Ahead of SOTU, Obama makes "Giant Leap" to the Right

In what appears to be an historic defeat of Obama's radical leftism, the past few days have been witness to, perhaps, the greatest lurch toward the center from the far reaches of the radical left. Obama, the same President who believes that the Auto industry, Healthcare industry, Banking industry, etc have no place in a capitalist free market has proposed a very radical idea in regards to human space exploration - Give it to the free market.

The White House has decided to begin funding private companies to carry NASA astronauts into space, but the proposal faces major political and budget hurdles, according to people familiar with the matter.
The controversial proposal, expected to be included in the Obama administration's next budget, would open a new chapter in the U.S. space program. The goal is to set up a multiyear, multi-billion-dollar initiative allowing private firms, including some start-ups, to compete to build and operate spacecraft capable of ferrying U.S. astronauts into orbit—and eventually deeper into the solar system.

As a veteran engineer in the aerospace industry, as well as a former employee of the NASA run Orion/Ares programs, I (for the first time since he has taken office) applaud the President. Where the Ares I rocket was nothing more than a money funnel and engineering disaster, private ventures like Space-X have developed and test flown the predecessor to their human rated launcher capable of servicing the ISS for about 1/10 the cost of NASA's Ares. Their Falcons are greener, cheaper, currently in production, and fully reusable. NASA has had one barely successful test of a mock-up Ares concept vehicle which revealed the further nightmare to follow (less about a Billion more dollars a year to fix), which is extremely inefficient, acoustically non-viable for human space flight, and economically impractical. The novel concept of eliminating governmental restrictions on human space flight, opening the frontier to start-ups which promotes innovation in space exploration technologies leaps and bounds above what the old dinosaur (NASA) could possibly conceive, is nothing short of Goldwater style governing.

This idea of privatization has already made heads explode at the "two liberal for Obama" (2L4O) lefties, such as BlueLyon (who can be found in my daily blog recommendations section). The left is up in arms that "The One", with the power of a near super majority and all his grace, has in one short year surrendered to the opposition on the fundamental philosophy of state run EVERYTHING. The very idea of private ventures taking governmental bureaucracies to task on ANYTHING is in direct contradiction to the Marxist values embraced by Obama and his ilk on the left, leading one to wonder - WHY?

Why has Obama endorsed a spending freeze for all federal government agencies except defense? Why has Obama endorsed a tax cut the likes of first term George W. Bush? Why this sudden lurch to the right?

The answer is clear - it is election year and a great number of Alinsky style leftists are positioned to lose their seats, losing power for the left in the final two years of the Obama presidency. Obama's power of persuasion has been met with defeat after defeat on everything from major elections, such as last week's MA Senate Race, to the simplest task of bringing the Olympics to America. He has quickly become the least popular president after his first year in office, setting the stage for being the least popular president in the history of the country. The implementation of a Socialist Empire in America is crumbling... As such, the spending freeze, tax cuts, and budget cuts are being proposed by a man eager to win back the hearts and minds of the independents ahead of the 2010 election with hopes that in two more years he can ram through socialist ideal after socialist ideal.

Is it enough to fool some people? Perhaps. Is it enough of a veil to mask a failed first year? Maybe for some. Is it enough to hid the fact that these proposals are merely a PR mirage to cover up his true agenda? Not likely. Congressional Democrats are going to eat this president alive for abandoning their core values on the public stage, their Alinsky/Marxist values, at a time when they have held more power than any party in history. Their disarray will be clear as the elections move closer, and without the "Blame Bush" message, the Democrats have nothing left to offer other than failed socialist policies... and the people are becoming well aware of this.

In the State of the Union speech tonight I have to wonder, will a teary eyed Democrat stand up and shout down the President with a resounding "You Lie(d)", as the hopes and dreams of the radical left are systematically renounced by the one who would "Fundamentally Change" America?

The Liberty Republican WANTS Healthcare Reform?

Astonishingly, Yes! However...

Obama has it wrong, the GOP has it wrong, the Federal Gummint has it wrong, and Liberal Scoundrels definitely have it wrong.

Let's look at some facts... Obama claims that the US spends more money than anyone in the world on Healthcare, but we have one of the lowest life expectancies per capita. How can that be? The answer: HEATH LEDGER. Heath died at age 28, adding a very low data point to our mortality schedule. In fact, you are more likely to die in an accident or murder in the US than anywhere else in the world. Americans have an unusual tendency to perish in homicides or accidents. We are 12 times more likely than the Japanese to be murdered and nearly twice as likely to be killed in auto wrecks. In their 2006 book, "The Business of Health," economists Robert L. Ohsfeldt and John E. Schneider set out to determine where the U.S. would rank in life span among developed nations if homicides and accidents are factored out. Their answer? First place.

First Place? So why all the fuss?
According to the Commonwelath fund, as reported by Newsweek, the answer comes down to Primary Care Visits. This report stated that nearly 25% of Americans reported waiting MORE THAN 6 DAYS when trying to schedule a visit with their Primary Care Physician.

New Zealand scored best, with just 3 percent waiting that long, followed by Australia (10 percent), Germany (13 percent), and Britain (15 percent). Canada rounded out the bottom, with more than a third waiting six days or more. Only 26 percent of Americans and Canadians reported being able see their doctor on the day they called, compared with 60 percent in the Netherlands and 48 percent in Britain.

"Where we do well is on …selective surgery," she says. Only 8 percent of Americans have to wait four months or more for an elective procedure, and 62 percent wait less than a month. In Britain, 41 percent of patients have to wait four months or more. The disparity between primary and elective care, says Davis, is mostly due to a shortage of primary-care docs in the U.S.; we produce more specialists because specialists earn a lot more.

AHA! The answer is staring us right there in the face... a free market healthcare system drove the best doctors into the higher paying specialties, because they could be compensated at a higher rate for their special talent! But that can't be the entire story... what about the reason why there isn't a swarm of young doctors looking to fill the vacuum in the Primary Care world. Therein lies the question.

The Journal of the American Medical Association (JAMA) produced an article highlighting medical malpractice lawsuit statistics, with regard to patient deaths:
106,000 patients die each year from the negative effects of medication
80,000 patients die each year due to complications from infections incurred in hospitals
20,000 deaths per year occur from other hospital errors
12,000 people die every year as a result of unnecessary surgery
7,000 medical malpractice deaths per year are attributed to medication errors in hospitals
This totals up to 225,000 deaths each year, due to medical negligence of some nature. And that number is ever growing.
In 2006, a report was produced by the Institute of Medicine of the National Academies, in which it is stated that medication errors are one of the most common medical mistakes, causing injury or harm to at least 1.5 million people every year.

In a country that has become lawsuit happy over personal injury, and a medical field that has become increasingly complicated and overbearingly understaffed, it is no wonder that the number of PCP is in decline.

What about the 47 Million Poor Souls who are dieing RIGHT NOW because they don't have health insurance allowing them to even SEE a doctor? Well, the following illustration is, in fact, a very accurate representation of the Democrat's "numbers"


Now, let's talk Healthcare reform. I said I was for it... right... so why the Obamacare bashing and the attack of all those in the Fed? Because I want to reform the government OUT of the Healthcare business altogether.

The system, IMHO, should be reformed to eliminate Medicare, Medicaid, and any other agency or program aimed at government regulated healthcare. There should be a private, affordable, and truly competitive set of services that will provide low cost coverage for healthcare needs. The government should reform laws PROTECTING the doctors from malpractice lawsuits - 25% of which are won by the patients, meaning that 3/4 of all lawsuits are most likely frivolous - driving up insurance costs and reflecting in premiums.

Patients and their families need to be more realistic. For instance, a 98 y/o woman has lower G/I bleeding. She is rushed to the hospital, the doctors begin giving her fluids and units of red blood cells. They determine that the best chance is exploratory surgery to find the cause, time is of the essence. They operate, she dies, the family sues for being one of the 12,000 deaths from unnecessary surgery.

What is the RESPONSIBLE THING TO DO HERE? First, start by understanding that Grandma is 98 YEARS OLD. It is most likely that her body was simply failing because it was done living. Nothing the doctors did could have saved her life - but inactivity would have also resulted in a lawsuit, I am sure.

Realistic expectations and responsible citizens are two solutions to the problem. Personal Responsibility of your own health, lifestyle, and habits is another solution. Finally, there should be a referendum of the states which officially cites the 10th amendment and that the Federal Government has NO AUTHORITY to collect taxes for, nor legislate or execute laws or practices related to healthcare.

My solution would encourage more local practices, community doctors, and incentivize healthy communities.

Final Post on Bail-outs... maybe

If there is any doubt that we are living in the dawn of Socialist America, you need look no further than the latest plan in "bail-outs" from the US Government - The Auto Industry Saga.

Congress and the White House have reached a plan that would allow $15Billion in loans from the "green car" fund, as well as give the US government major stock in the companies and oversight of their restructuring. The automobile manufacturing trio will be nationalized within the week...

The deal is so open ended that it is unclear as to if the US government will have voting rights on the companies' boards, how involved they will be during the bankruptcy style restructuring, and what role it will play in determining new products and marketing of their respective automobiles.

What is clear is that this "entity" known as the "government" is less "of the people, for the people, by the people" and more ruling class tending to their pleebs.

The people of America have been fooled... and I am almost tired of yelling it time and again - what good is it doing?

Don't the subjects of America, the consumers of this nation, understand that it has been excesses in LIBERAL ideas that have led the corporations across the nation to fail - not free market capitalism... FMC is taking the blame based solely on the assumption that a Republican is in office during this downfall, Republicans believe in FMC, therefore FMC has failed!

B-U-L-L-S-H-I-T

The truth is that the lack of ability for these banks and businesses to operate more freely, making sound business calls - not meeting government mandates - has led to this downfall. From forced loans made to live up to "houses for everyone", to government driven mandates on automobile standards (which may not be all bad), and namely Union Gestapo Thugs creating job banks, near full pay retirement benefits for life, etc... with some blame falling on CEO greed and inability of management to do just that... This is not FMC. This is government and Union intervention - mobster tactics from both...

And now the only way to survive these waters is to sell out to these interests... A mobsters dream!

And that is what the US Government has become to the free market - bullies, gangsters, thugs!

They set impossible rules, support impossible standards via unions, and then conduct violent take-overs of the companies when they fail...

Here is the solution:

• The US government needs to STOP. We cannot sustain - and we should not allow the US Government to operate outside the roles of the Constitution - not even for one moment!
• The auto makers need to file bankruptcy - shed all of their contracts with unions, and restructure... if the laborers want to strike, they lose their jobs... others will gladly take them in this recession/depression we are slipping into (or already in).
• Trade Tariffs should be lifted or imposed to force other economies around the world to give these automobiles equal footing in world markets, and equally allow a fair market for other world automobiles on US soil - something that is generally done today in the US.
• The companies should be allowed to thrive or fail based on their ability to follow market needs/wants... The industry giants became so because they gobbled up failures before them... If they also fail, they should downsize or eliminated based on the market.
• The general laborer should educate themselves, and strive to better their situation should a lay-off come. Be prepared to take care of yourself and your family... doing so means personal responsibility... a term that is equally as targeted as FMC.

Our society is failing - not because freedom and liberty are failing - but because we are allowing the government to rule. Shame on us - or those of us who are doing nothing to stop it!

Inasmuch, I am tired of repeating the same message week after week... Am I living in a pipe dream - that FMC stands a chance - that liberty is a desire in the hearts of all Americans... that we all strive to be free...

Are we living in a society that would rather be protected, even if it is to the point of fear of our rulers in lack of civil liberties? Have I got it all wrong, and before my eyes America shifted into a Socialist Authoritarian State?

Unfortunately, all signs are pointing to yes...

Socialism - the initiation of force is evil

In a recent debate between myself and a member of my family, the following gauntlet was thrown:

"STEVE, I CHALLENGE YOU TO EXPLAIN WHY SOCIALISM IS BAD. WE SOCIALIZE OUR ROADS, OUR POLICE, OUR FIRE DEPARTMENTS. WE SHOULD HAVE UNIVERSAL HEALTH CARE TOO. THE "FREE MARKET" APPROACH IS NOT WORKING. THE IDEA IS TO PROVIDE BASIC UNIVERSAL SERVICES FOR CITIZENS. IT IS REPUBLICAN JOE MCCARTHY SMEAR & FEAR & GUILT BY ASSOCIATION TACTICS [HE'S A MUSLIM. HE'S A SOCIALIST. HE'S NOT PATRIOTIC ETC] THAT HAS GIVEN SOCIALISM A BAD NAME."

My response, posted below, should be an indication that free market principles, and a grasp at the historical importance of liberty and the role of government are not only important, but VITAL to the preservation of our Republic (NOT Democracy!!!!!) If the fundamentals of our way of life are not udnerstood, then our way of life has already been lost - and we should accept that the government has grown into an authoritarian powerhouse - and we should accept that a Democrat victory in November will spell the end of liberty, and end that Bush has helped usher in! I digress... My response to the question of Socialism is as follows:

To be honest, it is socialism in history that has given socialism a bad name. The premise to socialism is a large government - large governments with authoritarian control. The presence of large governments in America is a current reality, which is a direct affront to liberty.

Let me explain further.

Can we agree that the initiation of force is evil? This is not to be confused with defense, etc... but the initiation of force.

Assuming your answer is yes, I will continue.

The idea of taxation is the essence of the initiation of force, by the government on the people. George Washington referred to the policy of taxation as "inconvenient and unpleasant" and an "intrinsic embarrassment" - though he did recognize that there was a necessity of taxation with the purpose of paying down debt. In his farewell address to the nation, paragraph 30, Washington discussed debt: "...avoiding likewise the accumulation of debt, not only by shunning occasions of expense, but by vigorous exertions in time of peace to discharge the debts..." He also advocated for neutrality in regional conflicts, as the idea of forcing free men into foreign wars was an initiation of force as well. There is an historical precedence that indicates that the initiation of force is evil, and that taxation is a nasty side effect of government with the purpose of paying down the debt. It was not until 1913 when the idea of an Income Tax was made a reality - opening the doors for a continued large scale government. This was not part of the original intent of the free nation.

Furthermore, classical economist Adam Smith indicated that the government has three functions: national defense, administration of justice (law and order), and the provision of certain public goods (e.g., transportation infrastructure and basic and applied education). The existence of these three functions provided the atmosphere for the best economic growth - indicating minimal taxation, minimal government interference in private life, while stressing the importance of collective needs which do not hinder liberty, but serve to increase fundamentals of a society (access and education). This answers your question regarding fire and police protection... classical capitalism requires the administration of justice as a means to secure private property.

Ultimately, the existence of liberty - true personal freedom - lies within personal responsibility and minimal government intervention. As stated above, the ideology of socialism is predicated on the existence of an overbearing government with the power to intervene in personal decision making. This intervention (through taxes or authoritarian laws) is the initiation of force, and by definition, evil.

Let's use an example that was on the Colorado Ballot - a change to the Colorado Constitution dictating that an employer with 20 employees or more shall provide healthcare coverage. This is an example of the initiation of force by the government. What laws of this nature encourage is economic slowdown - as an employer now has just cause not to hire a 20th person, or has just cause to lower wages to cover the cost of the mandatory service, or risk taking the money directly out of his/her small business earnings. A more appropriate (small government) path would be to fix the high cost of healthcare by encouraging more citizens to go into medicine, and tightening loose laws on malpractice lawsuits (lowering insurance premiums for doctors - thus lowering costs).

The reason why healthcare is not working now is because the system is in a pull between the idea of free market and the false system of "insurance" that has propped up as a safety net - artificially driving costs through the roof.

One thing is for certain, the Socialist dictum of "to each according to his need, by each according to his ability" would indicate that a doctor MUST provide a service, regardless of goods received, because they are able. However, doctors are businessmen, who take on large loans/debts to pursue a career - to serve their duties as doctors as they see fit. The same can be said for educators, musicians, and engineers. What right does the government have in dictating how we use our skills, at what price we charge for our skills, and where we can use our skills? This idea of a "government entity" that is separate from the people, able to dictate such nonsense, is the absence of liberty.

Remember also that this conversation is in regards to the FEDERAL GOVERNMENT, which is dictated by the constitution of the united state. Should a state or local government so choose to provide services, the 9th and 10th amendment dictate that it is their right to establish their own local laws and way of life.

In short, Socialism is bad not because McCarthy told me it is bad - even though that is the stigma associated with "He's a socialist". It is not smear if it is true, btw. Socialism is predicated on the initiation of force by a government entity, dictating unnecessary taxes and social behavior through such use of force. By this definition, Socialism is evil.

(as a side note, regarding economies tending toward socialism - history has shewn that free market capitalist societies with tax rates no higher than 20% nominally show fastest economic growth, while countries which have attained a status of "wealthy" who trend toward increased social programs and higher taxes see an economic growth plateau. See the history of Sweden and Ireland as examples of Socialism and Capitalism (repsectively) and the effects on their economic growth.)

The end of Castro's Cuba

I have waited my entire life for this news. Fidel Castro is officially stepping down after half a century of rule over the Cuban people. But with Castro's brother likely to get the nod, one must wonder how things will change.

Will the embargo end after all these years? Will the people of Cuba be the inhabitants of a freer Cuba? Will we see an end to families sailing to America in refrigerators and other make-shift rafts? Will Cubans be free to travel the world without the Cuban government wondering if they will come back to their island prison? Will the free market take hold on the Caribbean Island, allowing lower prices and more selection of goods?

Time will tell.

I have been waiting for the day when the Cuban markets are open to the Americans for one reason: Cars.



Cuba is chock-full of classic cars straight out of the heyday of American automobile era! Rust buckets or not, opening this market to investors will allow a huge new inventory of well kept automobiles! And soon thereafter, these cars will make a new appearance on the streets of America… a homecoming of sorts!



Cuban cigars… pfft. I am looking forward to the cars!



And what better way to help boost the economy than with the flood of the Cuban Economy with the US Dollar in exchange for their automobiles!

The US economy will see a boost as well. Auto traders will be looking for replacement parts, kits to revive the old beauties, and of course mechanics will be in high demand.

But back to the more serious issue of freedom. If the Cuban market is allowed to be free, the people will have the opportunity to thrive. If the people can be successful in a free market, they have something to fight for, and the Island will strengthen itself as a free nation. If Cuba becomes a free nation, Cubans will be less likely to flee the country in search of freedom in America. The increase in wealth will spark the increase in education and health, and of course leisure. Cubans will be free to once again explore the world as free people, without fear of returning home. And foreigners will be free to visit the island, strengthening their tourism market, and creating jobs.

This could be the perfect example of the importance of a free market society, and the benefits thereof. We would not have seen such a turn around since the fall of the Berlin wall… so this will be a great example for our youngest generation.

And the possibilities for Cuba are endless.

Cuba needs no real army. The only nation to invade or attack them in 50 years has been the United States. They can reduce their armed forces spending, and in turn reduce taxation of the Cuban people. I am sure the US would be more than happy to provide military defense of the island nation.

Cuba is a great place for the space industry to flourish. Florida is nice, but Cuba is better! Cuba’s more southern location makes it a better location to launch into GEO orbit. The closer to the equator the less fuel required to stabilize the orbit, and the less money required to launch. Cuba could market itself as the hub to the space tourism market, providing low cost and highly accessible launches to space tourists on their way to honeymoon in orbit, or eventually on the moon itself.

But before we get ahead of ourselves, let’s wait and see who the new president of Cuba will be, and if the successor has the foresight required to bring his country to the forefront of the developed nations.

America's Failed Economy (?)

Let me preface this post by saying that I am an Economist by NO means. I have a rudimentary understanding of advanced market studies on economy... but I do understand economic principles, and am currently enrolled in a Leadership Program which teaches the capitalist economy.

With that said, I have to restate my blog title: America's Economy has Failed

President Bush's relief plan is the next sign of the failing times.

A year ago, I moved away from California, mainly due to work reasons, but also on the burner were the reasons of overcrowding and real estate prices. a 500 sqft shack in the worst part of San Jose was being sold for $500,000... That is right. I stated at the time that there was no way that the market could survive when the middle class could not even afford housing.

Moving to Colorado, where the foreclosure rates were pretty much leading the nation until recently, I was excited to find affordable housing... and when I talked to the banker regarding home loans, I was sure to specifically request a 30yr fixed. Why? Not because the rates were great, but because I knew that a few years down the road, if I had an adjustable, that I would be out on the street with a LOT of other Coloradans.

Now, the Federal govt. is freezing the rates all together. So in a sense, it is a bad time to be a banker. The federal govt. is dictating who they have to do business with and at what price... Anybody see any resemblance to Ayn Rand's Atlas Shrugged?

The president says that he is bailing out the citizens... what is really happening is that he is bailing out the bankers. Though the citizens will initially lose their houses, the banks will be left with useless real estate, which they will have to unload at a lower price (market correcting itself), and the banks will take the loss. Then, the $500,000 houses will be back on the market for the $150,000 that it is worth, and the citizens can afford a lower mortgage at a higher rate, the banks make their money back over time... everyone is happy in the long run, and the free market works...

The problem is that the rate freeze will help people keep houses that they cannot afford, house prices will remain high, and at the end of the five year freeze there is going to be an economic implosion. Banks retain their wealth, the people continue to barely make their high mortgage payments, and the economy stagnates.

This, as a free market guy, is wrong on so many levels... so many, in fact, that I am still learning the impacts in my class.

Any opinions?