Beyond how communications about swine flu are handled, consider also the merits of this “public health emergency.” Hamilton Nolan at Gawker has a pithy retrospective.
Cato at Liberty
Cato at Liberty
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Health Care
Does the GOP Recognize Socialized Medicine When They See It?
Rumor has it that Republicans in the House and Senate will soon decide whether their alternative to the Democrats’ health care reforms will include an “individual mandate” — a legal requirement that all Americans obtain health insurance.
A recent Consensus Group statement shows that the entire free-market health policy community — including scholars from the Heritage Foundation — opposes such a move.
The Cato Institute has published one study arguing against an individual mandate in itself, and two studies critical of its use in Massachusetts. Cato will soon publish additional studies showing how an individual mandate has — as predicted — led to exploding costs and government rationing efforts in Massachusetts, and arguing against its use at the federal level.
Worse, as I explain in this study, an individual mandate is in fact a large leap toward socialized medicine — regardless of the fact that health insurance would remain nominally “private.” Republicans may oppose creating a new government health insurance program. Yet if they are willing to force Americans to purchase insurance, they will effectively nationalize the health insurance industry.
Finally, as I explain in this op-ed, an individual mandate is always accompanied by taxpayer subsidies to people who may (or may not) need aid to comply. The more people who rely on government aid for their health care, the harder life will become for the party of tax cuts. Bill Clinton showed that the best way to defeat tax cuts is to paint them as a threat to YOUR health care. Just in case doing the right thing isn’t reason enough to reject this horrid idea, Republicans should know that by supporting an individual mandate, they will be slitting their own throats.
All for an idea that doesn’t even command support from a majority of the public.
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Poor Situation Management
Part of controlling the damage from disasters, terrorists attacks, and other national public incidents is controlling public reaction. So it is with the current swine flu “public health emergency.” So far, there have been twenty confirmed cases of swine flu in the United States.
In terms of managing reaction, there’s good and bad in the following quote from this morning’s Washington Post: “ ‘Clearly we all have individual responsibility for dealing with this situation,’ said deputy national security adviser John O. Brennan.”
The good: Brennan is correct on the merits. Controlling flu is mostly a matter of good hygiene.
The bad: A deputy national security adviser should not give quotes about flu outbreaks to a national newspaper. His title circumscribes his responsibilities, and he conveys wrongly by speaking about the matter that a (still largely potential) swine flu outbreak is a national security event. It is not under any reasonable definition of the phrase “national security.”
Just like the U.S. president shouldn’t be perceived as occupying himself with pirates off the Somali coast — the administration handled that situation well — a national security adviser should not weigh in on an inchoate outbreak of flu.
The result from suggesting that the flu affects national security could be more damage than the outbreak itself: canceled travel, reduced trade and commerce, pulling kids from school, staying home from work. An infantilized country is a weaker country, not a safer one.
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Cato on CNBC
Health care, Jonathan Cohn, and me. All in one place on CNBC at 8pm tonight.
UPDATE: Here’s the video.
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Cato and the Bailouts: A Correction for the NY Times ‘Economix’ Blog
At the New York Times Economix blog, economist Nancy Folbre of the University of Massachusetts writes:
The libertarian Cato Institute often emphasizes the issue of corporate welfare, but it’s remained remarkably quiet so far on the topic of bailouts.
Excuse me?
Since she linked to one of our papers on corporate welfare, we assume she’s visited our site. How, then, could she get such an impression? Cato scholars have been deploring bailouts since last September. (Actually, since the Chrysler bailout of 1979, but we’ll skip forward to the recent avalanche of Bush-Obama bailouts.) Just recently, for instance, in — ahem — the New York Times, senior fellow William Poole implored, “Stop the Bailouts.” I wonder if our commentaries started with my blog post “Bailout Nation?” last September 8? Or maybe with Thomas Humphrey and Richard Timberlake’s “The Imperial Fed,” deploring the Federal Reserve’s help for Bear Stearns, on April 14 of last year?
Cato scholars appeared on more than 90 radio and television programs to criticize the bailouts during the last quarter of 2008. Here’s a video compilation of some of those appearances.
Folbre complains that some people seem more concerned about welfare — TANF, in the latest federal acronym — than about welfare for bankers — TARP. Google says that there are 138 references to TANF over the past 13 years or so on the Cato website, and 231 references to TARP in the past few months.
Now she has a legitimate point. Welfare for the rich is at least as bad as welfare for the poor. And as much as welfare for the poor has cost taxpayers, the new welfare for banks, insurance companies, mortgage companies, and automobile industries is costing us more. Samuel Brittan of the Financial Times has written that “reassignment,” an economic policy that changes individuals’ ranking in the hierarchy of incomes, is far more offensive than a policy of redistribution, which in his idealized vision would merely raise the incomes of the poorest members of society. By that standard, taxing some businesses and individuals to subsidize the high incomes of others is certainly offensive. Of course, Brittan underemphasized the harm done by welfare to people who become trapped in dependency. But there’s good reason to oppose both TANF and TARP, and Cato scholars have done both.
Lest the good work of Cato’s New Media Manager Chris Moody go under-utilized, here’s a probably incomplete guide to Cato scholars’ comments on the bailouts of the past few months. (Note that it doesn’t include blog posts, of which there have been many.) Quiet? I don’t think so:
Articles:
September 9, 2008, “Fannie/Freddie Bailout Baloney,” Gerald P. O’Driscoll Jr., New York Post.
September 18, 2008, “Why Bailouts Scare Stocks,” Alan Reynolds, New York Post.
September 17, 2008, “Bailout-Mania,” Jagadeesh Gokhale and Kent Smetters, Forbes.com.
October 1, 2008, “The Bailout’s Essential Brazenness,” Jay Cochran, Cato.org.
October 3, 2008, “The Big Bailout – What’s Next?” Warren Coats, Cato.org
October 13, 2008, “Should Taxpayers Fund the American Dream?,” Daniel J. Mitchell, Los Angeles Times.
October 20, 2008, “Is the Bailout Constitutional?,” Robert A. Levy, Legal Times.
November 11, 2008, “There’s Nothing Wrong with a “Big Two”,” Daniel J. Ikenson, New York Daily News.
November 21, 2008, “Don’t Bail Out the Big Three,” Daniel J. Ikenson, The American.
November 5, 2008, “Is it Constitutional?,” Richard W. Rahn, Washington Times.
December 14, 2008, “Consequences of the Bailout,” Richard W. Rahn, Washington Times.
December 5, 2008, “Bail Out Car Buyers?,” Daniel J. Ikenson, Los Angeles Times.
December 3, 2008, “Big Three Ask for Money — Again,” Daniel J. Ikenson, Los Angeles Times.
December 10, 2008, “Dissecting the Bailout Plan,” Alan Reynolds, Wall Street Journal.
January 14, 2009, “Bailing out the States,” Michael New, Washington Times.
February 28, 2009, “Stop the Bailouts,” William Poole, The New York Times.
Papers:
“Bailout or Bankruptcy?,” by Jeffrey A. Miron (Cato Journal, Winter 2009)
“Freddie Mac and Fannie Mae: An Exit Strategy for the Taxpayer,” by Arnold Kling (September 8, 2008)
“Financial Crisis and Public Policy,” by Jagadeesh Gokhale (March 23, 2009)
“Bright Lines and Bailouts: To Bail or Not To Bail, That Is the Question,” by Vern McKinley and Gary Gegenheimer (April 20, 2009)
On Television and Radio:
Dan Ikenson discusses auto bailout
September 30, 2008 Daniel J. Mitchell discusses the failed bailout on NPR Affiliate KPCC’s “The Patt Morrison Show”
September 29, 2008 Peter Van Doren discusses government bailouts on WTTG FOX 5.
September 29, 2008 Daniel J. Mitchell discusses the failed bailout on NPR Affiliate KPCC’s “The Patt Morrison Show”
September 26, 2008 Jagadeesh Gokhale discusses the bailout on BNN (CANADA)
September 26, 2008 Steve H. Hanke discusses the bailout on BBC Radio’s “Have Your Say”
September 25, 2008 Patrick Basham discusses the bailout on Radio America’s “The Michael Reagan Show”
September 24, 2008 William A. Niskanen discusses government bailouts on WUSA 9
September 24, 2008 William Poole discusses government bailouts on NPR DC Affiliate WAMU’s “The Diane Rehm Show”
September 23, 2008 William A. Niskanen discusses government bailouts on CNBC’s “Closing Bell”
September 23, 2008Bert Ely discusses government bailouts on WOR’s “The John Gambling Show”
September 22, 2008 Daniel J. Mitchell discusses government bailouts on the CBS “Early Show”
September 22, 2008 William Poole discusses government bailouts on Bloomberg Live.
September 22, 2008 William A. Niskanen discusses government bailouts of financial institutions on Bloomberg TV
September 22, 2008 Steve H. Hanke discusses government bailouts of financial institutions on Bloomberg Radio’s “On the Money”
September 19, 2008 Daniel J. Mitchell discusses government bailouts on Federal News Radio
September 18, 2008 Daniel J. Mitchell discusses the AIG bailout on KTAR’s “Ankarlo Mornings”
September 17, 2008 Daniel J. Mitchell discusses the AIG bailout on WTTG FOX 5
September 17, 2008 Daniel J. Mitchell discusses the AIG bailout on FOX’s “America’s Election HQ”
September 10, 2008 Daniel J. Mitchell discusses a proposed bailout for the auto industry on Marketplace Radio.
October 24, 2008 Gerald P. O’Driscoll Jr. discusses the fallout of the bailout on FOX Business Network’s “Cavuto”
October 15, 2008 Daniel J. Mitchell discusses the bailout on Federal News Radio
October 14, 2008 Daniel J. Mitchell discusses the financial crisis on CNN’s “American Morning”
October 14, 2008 Daniel J. Mitchell discusses the banking crisis on BBC World
October 14, 2008 Gerald P. O’Driscoll Jr. discusses the banking crisis on WBAL Radio. (Baltimore, MD)
October 13, 2008 Daniel J. Mitchell discusses the financial crisis on the FOX Business Network
October 9, 2008 Jim Powell discusses the economy on FOX Business
October 9, 2008 Daniel J. Mitchell discusses the current treasury plan on Reuters TV.
October 9, 2008 Daniel J. Mitchell discusses the bailout on the WIBA’s “Upfront w/Vicki McKenna” (Madison, WI)
October 2, 2008 Daniel J. Mitchell discusses the bailout bill on WRVA’s “Morning Show” (West Virginia)
October 1, 2008 Daniel J. Mitchell discusses the bailout plan on CNBC’s “On the Money.”
October 1, 2008 Daniel J. Mitchell discusses the bailout plan on CNBC’s “Power Lunch”
October 1, 2008 William Poole discusses the bailout on KMOX’s “The Charlie Brennan Show” (St. Louis, MO)
October 1, 2008 Daniel J. Mitchell discusses the failed bailout on WTOP Radio (Washington, D.C.)
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Well, At Least He Should Know What Doesn’t Work
In today’s Washington Post, Chris Cillizza predicts that Mitt Romney “will move to seize the high ground (from a policy perspective) on health care over the coming months and is likely to be Obama’s leading critic when Congress takes up the legislation in the fall.” For anyone who thinks this is good news, I refer you to my post from last week regarding the many failures of Governor Romney’s last foray into health care reform.
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The Wonders of Socialized Dentistry
As we all know, the American health care system is less than perfect. An inefficient amalgam of government spending, federal tax incentives, employer-based insurance, and private providers, the U.S. system costs us more than it should for the services provided. Nevertheless, medicine in America remains far more directed by and for patients, in contrast to nationalized systems, which are usually organized by and for bureaucrats.
The results sometimes are horrific. Indeed, the best way to understand the consequences of Britain’s National Health Service is simply to read stories in British newspapers. Consider this one in the Daily Mail about the lack of adequate dental care:
Like so many young women, Amy King always took great pride in her appearance.
Standing in front of the mirror to check her make-up before a night out, the 21-year-old would always try a smile — friends told her they loved the way it lit up her face.
Eight weeks ago, all that changed. The student from Plymouth was admitted to hospital where, in a single operation, she had every tooth in her mouth removed.
Obviously, not all foreign systems do so little for their patients. France, Germany, and Switzerland all provide care differently, and in all of these nations people receive better treatment than in Britain. But no where is turning health care over to government the best way to ensure quality yet affordable medical care. Instead, control over health care should be placed back in the hands of those who have the most at stake: patients.