Monthly Archives: August 2011

What Shrinking Government?

I have a letter to the editor in today’s Washington Post:

Richard Cohen fretted that Tea Party activists have “shrunk the government.” He need not worry. Federal spending has gone from $2.9 trillion in 2008 to $3.8 trillion in 2011. Thirty percent spending growth in three years is hardly shrinkage. Even under the Boehner plan, federal spending will continue to increase every year for at least the next decade.

Meanwhile, federal agencies continue to finalize more than 3,500 new regulations per year. They repeal almost none, no matter how loud the Tea Party’s howls.

If anything, Tea Party activists have been devastatingly ineffective at shrinking government. Mr. Cohen can rest easy.

Ryan Young, Washington

The writer is a fellow at the Competitive Enterprise Institute.

Brewers 8, Astros 1

Tonight’s victory means the Brewers’ magic number is now down to 57.

The Cardinals’ 3-2 win over the Florida Marlins means that getting it down to 56 will have to wait until at least tomorrow.

Friday Fun

Nyjer Morgan plays center field for the Brewers. He’s also quite the character. This is how he greets Bob Uecker in the clubhouse:

It started in an empty clubhouse in Chicago, where a few repeated whispers of “Bob” had the announcer wondering where the sound was coming from. Uecker kept hearing his name and after walking through the clubhouse, he eventually realized that it was coming from Morgan’s locker. He looked inside and found the player hiding behind all of his clothing with a huge grin on his face.

Meanwhile, Steve Rushin has penned a lovely paeon to the city of Milwaukee and its baseball team.

TSA Saves Country from Diabetic, Pregnant Terrorist

A pregnant woman who suffers from diabetes got into trouble with the TSA in Denver. They allowed her to take through her needles and syringes. But they confiscated her insulin, claiming it was an explosives risk.

The woman and her husband have filed a formal complaint with the TSA. She spoke to Denver’s ABC affiliate on condition of anonymity; as a frequent traveler, she fears retaliation.

CEI Podcast for August 4, 2011: Liberalizing Trade

 

Have a listen here.

Congress is likely to take up stalled free trade agreements with Colombia, Panama, and South Korea when it returns from its August recess. Adjunct Fellow Fran Smith talks about the good and bad parts of the agreements. Billions of dollars of economic benefits are offset by trade-unrelated provisions, such as labor and environmental standards. These erode our trading partners’ lawmaking sovereignty. An increase in trade adjustment assistance also seems likely. This gives money and training to workers who lose their jobs because of international trade.

Brewers 10, Cardinals 5

Thanks to three home runs from previously slumping 3B Casey McGehee, the Brewers’ magic number to clinch their division is down to 58.

Brewers beat writer Adam McCalvy learned of an amusing subplot behind today’s game. Seinfeld fans will remember the episode where Yankees all-star Paul O-Neill promised to hit two home runs for a sick child.

Well, McGehee met a young fan before today’s game:

“This morning, I got to meet a little kid. His name’s Clayton,” McGehee said. “Clayton was being pretty shy and I kept asking him, ‘Do you have any questions for me?’ He wouldn’t ask me anything. Finally, jokingly, his dad asks me, ‘Why don’t you hit a home run for him?’”

McGehee scoffed. He’d hit five home runs all season, none since July 6 and one in his last 63 games.

“It it was that easy, I would have had one by now,” McGehee answered. “How about we just go for I don’t screw anything up for the kid today? That was good enough for him.”

Three home runs later, I think young Clayton will be a welcome presence in the Brewers’ clubhouse from now on.

August 20 Is Lemonade Freedom Day

Kids have been setting up lemonade stands for as long as there has been lemonade. But in recent years, regulators have started shutting them down. Robert Fernandes, a father of two, has had enough. That’s why he has declared August 20, 2011 to be Lemonade Freedom Day.

Fernandes is encouraging kids and parents to set up lemonade stands that day without going through the permits, inspections, and fees that many towns require. For more information, visit LemonadeFreedom.org. There is also a Lemonade Freedom Day Facebook event page here.

Fernandes also links to a list of news stories about lemonade stand shutdowns. The list is disturbingly long.

That’s why on August 20, I’m going to take a stroll through my neighborhood to see if any young entrepreneurs are selling unlicensed lemonade. I encourage everyone to do the same.

This is a minor battle, as these things go. But the same obstacles to lemonade freedom apply throughout the economy. Federal regulations alone cost nearly an eighth of GDP to comply with. That sizable burden is a major reason why the economy is still struggling. Lemonade Freedom Day is one way to tell overzealous regulators to back off.

Police Shut Down Another Rogue Lemonade Stand

Abigail Krutsinger is 4 years old. She lives in Coralville, Iowa. A local tradition there is the RAGBRAI bike ride, where cyclists ride clear across Iowa. Abigail, seeing how exhausted the cyclists were when they reached Coralville, opened up a lemonade stand. It was a way to help out thirsty bikers, make a little bit of money, and learn a little something about running a business. Classic Americana.

In another display of classic Americana, police  quickly shut her down. Abigail, who is 4, never applied for a permit and a health inspection.

This is not an isolated incident. Similar crackdowns have happened in Wisconsin, Georgia, Oregon, and Maryland, and New York. Will there be more?

Brewers Postseason Countdown

The first-place Milwaukee Brewers (61-49) defeated the second-place St. Louis Cardinals (57-52) tonight, 6-2. By my calculations, that puts the Brewers’ magic number to clinch the NL Central division at 60.

Any combination of Brewer wins and Cardinal losses adding up to that number will guarantee the Brewers their first postseason appearance since 2008, and their second since 1982.

Good luck!

License to Rent-Seek

Few regulations are more blatantly anti-competitive than occupational licensing. Incumbents place barriers to entry to keep pesky competitors out of the market. Licensed occupations also enjoy an artificial 15 percent wage premium because of the supply restrictions. The Economist recently ran a column on licensing’s rent-seeking aspects:

But the people who care most about this issue—the cartels of incumbents—lobbied the loudest. One predicted that unlicensed designers would use fabrics that might spread disease and cause 88,000 deaths a year. Another suggested, even more alarmingly, that clashing colour schemes might adversely affect “salivation”. In the early hours of May 7th the bill was defeated. If Republican majorities cannot pluck up the courage to challenge a cartel of interior designers when Florida’s unemployment rate is more than 10%, what hope has America? The Licence Raj may be here to stay.