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Wednesday, February 3, 2010

The Failing Health Care Reform Bill III - Transparency

Obama vowed to bring transparency to government. Ironically, he is now identified with a massive, secretive and sometimes confusing campaign to pass health care reform.

We hear about backroom deals with blue dog senators that do not pass the smell test. In most instances the bill was drafted behind closed doors without significant dialogue in public hearings explaining how it works. It was initially presented to Congress and the Senate without any explanation as to how the costs would be covered. The public was simply supposed to trust them.

When details on financing came out, the vast bulk of the costs were to be underwritten by savings which the plan was supposed to generate. The proponents skipped over the details about how these costs would be wrenched out of the system. Obviously they were placing a lot of the burden on new regulations that they were also proposing.

I for one am cynical about cost reduction. History has proved that regulations coming out of the New Deal era were totally ineffective in reducing costs in the long run. Moreover, our government has proved that it has a rapacious appetite for spending saved moneys rather than paying off debt. I have watched the Department of Defense save costs decade after decade, but somehow the actual totals go up. We have already seen the Obama Administration’s propensity to spend. Last year the administration was downplaying the long term cost of TARP loans, because the banks would pay it back. Now that some of the banks are repaying the loans, Obama seems to be looking for ways to put the money into other give away programs.

Moreover, there are a myriad of taxes, including medicare premium increases, being proposed. Virtually every one of these taxes have been met by a maelstrom of criticism.

The sheer size of the bill also prevented thoughtful and thorough discussion of the ramifications of the plan. Most of the public, including me, does not understand all that the it entails.

Democrats charge the tea party types with distortion when they claim that the Federal government is planning to kill grandmother in order to save costs. The claim is easy to make, however, when no one can give an adequate explanation as to why that will not be the case. The cost savings are largely dependent on removing “unnecessary” expenses incurred in the final months of life. Admittedly a large portion of the costs are related to the final illness. Moreover, the present tends to enable incurring excessive expense for heroic but futile efforts to extend life. Who is going to make the decision as to which costs are unnecessary? Some bureaucrat?

The sprouting Tea Party movement has probably benefitted most from the non-transparency. They smell a conspiracy and have found that many others do, too. It is only human nature to believe that anyone who is hiding something does not want us to know the truth. I do not believe that the Democrats ever took them seriously enough until after they showed their muscle in Massachusetts. And then it was too late.

Tuesday, February 2, 2010

The Failing Health Care Reform Bill II- Overreaching Legislation.

The Democrats should have learned from Clinton’s experience that it is extremely difficult to adopt an comprehensive plan covering various subjects, all at the same time. One constituency may be concerned about by an isolated portion of the plan, but their best strategy is to oppose the entire package. Another segment may have entirely different concerns but they join in opposition in order to prevent their own interests from being adversely affected. Thus two groups with different interests combine to constitute a more formidable opposition.

That phenomenon is apparent in the case of health reform. Obama expressed shock that the insurance companies invested so much in their lobbying activities. Why not? Proposals such as the public option and single payer government insurance threatened their existence. I already mentioned the unions who suddenly became disaffected with the new taxes being assessed on the health plans they have proudly negotiated over the years.. The Medicare generation, which was betrayed by the NAARP, does not believe that their benefits will be secure. Even those who are approaching 65 have been hearing that they will not receive all the benefits now included in Medicare. Even the issue of the deficits is tied to self interest. Three quarters of the population are happy with the insurance they now have. Most likely they see the plan as a trillion dollar boondoggle for the benefit of some one other than themselves.

Clinton made the same mistake as Obama in attempting to take too big a bite at the apple, but he quickly retreated. If the Clintons had successfully sponsored a less ambitious plan, Obama could have built on what had been done and the Democrats might have had a significant trophy in their cabinet.

Sometimes overlooked is the fact that the most significant health care reform actually enacted was proposed by George W. Bush, who procured prescription drug benefits for the elderly. It certainly was not comprehensive, but it survived the scrutiny of a contentious congress.

Instead all the Democrats have done is generate a lot of hot air and, so far, have nothing to show for their work.

Monday, February 1, 2010

The Failing Health Care Reform Bill I - Who is to blame?

Obama and his party have a debacle on their hands.. They have fiddled with health care reform for an entire year, while more important issues remained unresolved. The Democrats have managed their razor thin majority in the Senate with the sophistication and finesse of a mafia hit man. Now that they have been caught making all the wrong choices, it is time to look for scapegoats.

The media has tended to look for parallels with the first years of the Reagan and Clinton. Both presidents escaped largely unharmed from their early failures. I believe that the Jimmy Carter years may be more apt. Carter had a strong mandate with a convincing victory over Gerald Ford and control of both houses. It appeared that the way was clear for the Democratic juggernaut to restore the New Deal. In fact they squabbled so much that very little was accomplished. The economy went south, and Carter ended up with a one term presidency.

The stunning defeat in Massachusetts now leaves the Democrats in limbo with a few choices that are all distasteful to them.

Abandoning the health care effort will make them look like the gang that cannot shoot straight.

Starting over again, as the Republicans smugly suggest, would take at least another six months. Neither the Congress, which is facing an uncomfortable election, nor the country will tolerate more of the endless bickering and stalemate.

The only viable choice would be for the House of Representative to adopt what the Senate already passed without changes. In that case, they would avoid the necessity of coming back to the Senate where the Republicans are armed with their forty first vote. The problem is that the Senate bill includes terms that the left wing Democrats deem to be abominable, such as restrictions on funding abortions and taxing the so-called Cadillac plans which are largely established through union collective bargaining agreements.

How did they get into the mess? I have three major suggestions, which will be discussed separately over the next three days. I hope you will join me.

Monday, January 25, 2010

Travel - A place you probably have not seen, but you should - Spice Island, Africa

Yes, there is a Zanzibar. I am sure that many of you may have thought that Zanzibar is the fictitious invention of some fantasy writer such as Rudyard Kipling. Others may know it exists but could not tell you the continent where it is located.

Zanzibar in real life is just as exotic as we may conjure up in our imagination. It is one of the Spice Islands off the coast of Tanzania, which is, of course, located in East Africa. Many of us may dream of taking an African Safari, which is one of the great experiences on this planet. If you choose to visit some of the popular places such as Mount Kilimanjaro or the Serengeti, consider reserving about three nights and two days at this unique place.

Zanzibar was a slave trading mecca in the past. Hapless Africans would be captured on the continent and their new masters would carry them off to Zanzibar where the slaves would be auctioned off to be transported to destinations all over the world. Today the Slave Market includes the old auction block and holding quarters, which make a sobering statement on the cruelty of slavery.

But do not think of Zanzibar as a downer. Far from it. Zanzibar has been ruled by many peoples over the centuries including, Arabs, Asians and Europeans. As a result, the inhabitants are the product of a confluence of many cultures. The Old Stone Town appeared to me to be extremely authentic. The streets are so narrow that I felt that I could touch the walls on each side at the same time.

One night we took a meal on the open air roof of one of the local hotels. Although our own hotel was only about a quarter of a mile or less away from the restaurant, the concierge insisted that a bell boy accompany us to and from the restaurant for fear that we would be hopelessly lost in the labyrinth of alley ways that passed for streets. Needless to say that walk itself deserved four stars.

The meal was just as exciting. The starry sky was clearly visible as the guests sat on the floor surrounded by pillows to make us comfortable. The eerie music, the food which was delicious but largely mysterious, made that night one of the highlights of all of our travels.

Zanzibar produces many spices, including clove, vanilla, cinnamon, turmeric, nutmeg. and black pepper. Spice farms dot the landscape and make for a wonderful day of meandering through the countryside.

Finally, when you return home and someone at a cocktail party asks you where you have been, you can say “Zanzibar.” Most likely they will be speechless.

Wednesday, January 20, 2010

My Take on the Tuesday Elections

Democrats and some of their friends in the media tried to spin the Scott Brown victory over Martha Coakley as a local race with minimal effect on the November elections. That tactic may have been persuasive in Virginia and even sounded reasonable when consistently Democratic New Jersey elected a Republican governor. In Massachusetts, however, Brown campaigned on platform dominated by national issues boasting that he would be the forty first senator who could derail the Obama juggernaut. Now that the Democrats have shown that they cannot hold power in the East, what is going to happen when seats are contested in the Midwest, South and beyond? It may not be pretty.

The fact is that the Democrats now have no safe seats in the November elections. Their efforts to raise money will be impaired, and they will have many more places to spend it. The health care bill has become an albatross and will only pass by use of brute force and awkwardness.

The White House is bound to be in disarray too. Obama chose to invest virtually all of his political capital on a health care plan which now enjoys support of less than a majority of Americans who view the economy as their number one priority. Health care is Nero’s fiddle while the economy is the fire burning in Rome. Moreover, Obama has not seemed to be any more effective in dealing with the mess in the Middle East than Bush.

There was another election. William Bell has finally become Birmingham’s mayor, a position that he thought would come to him many years ago. There are many needs for the city of Birmingham. At the top of my list would be the curbing of wholesale corruption, bringing sanity and some measure of competence to the education system, and attracting new businesses. Is Bell the man for the job? The answer is patently obvious.

Bell’s victory is no surprise. The election result last night was politics as usual in Birmingham. The most stunning event in my mind was a political ad Bell ran close to election day. Many years ago Art Hanes Sr., a hard nosed segregationist, was running for president of the old City Commission against Tom King, Sr., who was more moderate. (Both men had sons who ended up as distinguished judges in the Jefferson County Circuit Court. I always wondered what they discussed during coffee breaks.) The Hanes campaign hired a black man to approach King and shake his hand and a photographer to snap King’s picture. The picture was reproduced in Hanes ads to show that King was an “integrationist.” The ploy worked and Hanes was elected. That tactic has been widely regarded as one of the low points in the politics of the segregation era.

Now after many decades, the same tactic was used again in reverse. Bell ran an ad showing him and his wife accompanied by pictures of Patrick Cooper and Julia Boaz Cooper, Patrick’s ex-wife. Nothing was said in the ad, but the message was clear, Julia is white and Patrick is black. Bell was conveying the message that Patrick Cooper was not black enough to be mayor. Who said that racism is dead?

Oh well, Birmingham once called itself the “Pittsburgh of the South.” Today it would be more appropriate to be described as the “Newark of the South.”

Monday, January 18, 2010

Travel - A place you probably have not seen, but you should - The Land of the Rising Sun..

When Monty and I decided to go to Japan we were met with skepticism and downright opposition from our friends. “Why do you want to go to Japan?” You would think we were going to Siberia; but then, I would not mind going there either.

Japanese travelers usually appear to be aloof, iconoclastic and humorless, but, in their own country, they are the friendliest to tourists that we have seen. You are surprised aren’t you?

Before leaving we purchased a two week train pass. It was a necessity, because trains are the only feasible means of travel. After selecting our itinerary, we made a list of every train and departure time that we anticipated using for the entire trip. Shortly after reaching Tokyo we made all of our reservations with the precise dates and times for each trip. Only in Japan is such precision so easy.

I can recall at least five sites which were breathtakingly exciting and unique to Japan. They are:

1. Ryokans, the traditional hostel. It is hard to believe that sleeping in a spare room on palettes and eating meals while sitting on the floor can be one the most luxurious experiences imaginable, but it is true.

2. The Kabuki and Noh theaters. This traditional drama has a pace and eeriness unmatched in our experience.

3. The Kyoto National Museum. There are only a handful of museums in its class in the world, but it stands number one as a reflection of the nation it serves. I was particularly taken to see the early Buddhist art which was much finer than what was being produced in the West at the time.

4. Kyoto again - the vaunted tea ceremony. It is a thing of beauty and good taste and is unforgettable.

5. And of course there the trains. The Japanese idea of a late train is one that arrives two minutes after the scheduled time. All passengers line up in the premarked spots where their car will stop and it takes less than five minutes to load and unload the cars. The ride is exquisite. The most famous trains are the Shinkansen. We took one from Hiroshima to Tokyo. There were five stops and covered 850 miles in five hours.

There is not much downside to a trip to Japan. My only warning is to travel light. There are no red caps in the train stations although most of them are equipped with escolators making the walk easy

I am sorry I wrote this blog. As I think of it, I wish I were in Japan again.

Monday, January 11, 2010

Alabama’s Secret Weapon

Much has been said about Alabama’s national championship, but the pundits are strangely silent about Bama’s secret weapon without whom this team would never have reached its dream. That weapon is Lady Luck.

Consider the Tennessee game. The image of Terence Cody running off the field without his helmet before the play was even over will define him as a hero for the ages, much like Van Tiffin and his kick. But really, Alabama won the Tennessee game because a kicker was twice unable to elevate field goal attempts to their normal trajectory. That is real luck. Otherwise, Cody would have been weeping on the bench and Kevin Scarbinsky would not be boasting that this team was the best ever.

Mack Brown claims that he had the superior team and that he lost simply because Marcell Demarius pinched Colt McCoy’s nerve. Mack should be a better sport than that, but it is true that Texas was unlucky and Alabama was lucky when that injury occurred. The game would have been different with a healthy McCoy, but we will never know how different it would be.

The biggest stroke of luck for Alabama is what did not happen, namely it never suffered a crippling injury throughout the year.. The only significant loss was Dante Hightower, but Alabama was lucky because he was one of many talented linebackers who ably filled the void created by his absence.

I can remember when Auburn lost all of its centers and had to move a guard to the center positiion to deliver the ball to the quarterback. Nothing like that happened to this team. Terry Grant, a fourth string running back, was injured this year, Wasn’t Alabama lucky that they did not lose Mark Ingram for the year instead?

But the scariest prospect was at quarterback. The top three quarterbacks in the nation, Sam Bradford, Tim Tebow and Colt McCoy, all suffered signifcant injuries. Isn’t Alabama lucky that the same fate did not happen to Greg McElroy? He may not be in the class of those three, but do you really believe that Alabama would have won the national championship with Starr Jackson at the helm? I don’t.

Texas cannot complain. They lost the shot at the national championship last year because of a play that took place with one second left of the clock in the Texas Tech game. This year they would not have been able to show up on January 6, if the clock had ticked one second longer on the next to last play in the Nebraska game. They were lucky this year and last year they were not.

It is not my point to belittle Alabama’s accomplishment. I believe the most championships are accompanied by a generous dose of good luck. If Alabama, is to win another championship, they need the players, the coaches, the discipline, training and dedication to do the job. But if they really expect to succeed they must pay attention to the mysterious and powerful thirteenth woman of the gridiron - Lady Luck.