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Where’s The (Political) Party?

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Categories: Politics, Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

With the recent Occupy Wall Street protests and the debt ceiling faux-crisis resolution, I’m reminded of how people like me are not truly represented in America’s representative republic. The two major parties in the United States have drifted closer to their extremes, leaving the majority of Americans to choose the lesser of two evils each election cycle.

A CBS News poll conducted before the debt deal was finalized showed a strong majority of Americans wanted a deal that took a “balanced” approach. Moderates in the U.S. were looking for spending cuts, entitlement reform, and tax increases to balance the federal budget and tackle the national debt going forward. This is essentially the plan worked out by the President’s National Commission on Fiscal Responsibility and Reform late last year. The Commission’s balanced plan was shot down by Congress, and so were similar ideas closer to the debt ceiling deadline. Instead of fair and balanced, we got slash and burn. Of course, most economists will tell you the plan we got won’t work, but it’s not really about solutions, is it? No, it’s about looking like you’re solving problems so you can keep your job.

Most Americans fall in the middle of the political spectrum, and that’s why so many of us wanted a debt ceiling/ deficit reduction plan that straddled the fence of tax increases and spending cuts. It’s not because we’re wishy-washy as a nation; it’s because we believe in justice and equality.

Unfortunately, the Democratic and Republican parties in America are ill-equipped to make government work for the majority of citizens. They are beholden to the extreme ends of the political spectrum, with moderates trapped betwixt and between.

As the protesters in Manhattan and beyond show, everyday Americans feel cheated by a system that pretends to have their best interests in mind but rarely works for them. These brave folks are frustrated by social and economic injustice. Unfortunately, without dramatic change, their aspirations of a more just civil society are doomed to failure.

I, therefore, propose a new party to represent the moderates in America. Here’s the platform:

  1. Repeal DOMA. Marriage regulation is a matter for the states to decide. In fact, I’ve argued marriage is a matter for churches to decide, with the state having overstepped its authority.
  2. Amend the United States Constitution to provide for term limits on the legislature. If one cannot serve more than two terms as President, it seems to follow that one ought not serve more than two terms in Congress. “Politician” is not a career; it is a civil service one performs. By limiting legislators to two terms, we could potentially see a Congress less beholden to corporate interests, and more attuned to solving problems. As the Congress is unlikely to send an amendment proposal out to be voted on, this would likely need to be proposed by the state legislatures.
  3. Abolish the federal minimum wage. While it may seem counter-intuitive to many Americans, the federal minimum wage actually makes your life worse by driving inflation and increasing unemployment. The minimum wage also drives employment of illegal immigrants. Because employing an American citizen requires they be paid the minimum wage, employers are willing to hire illegals to save labor costs. Without the minimum wage, it’s likely these jobs would be filled by American citizens, as they are more attractive employees (no risk of penalty for employing undocumented workers, no language barrier to training, etc). Further, if you are not a minimum-wage worker, each increase in the minimum wage is an effective pay cut, unless your employer is generous enough to increase your pay by an amount equal to the MW hike. Oh, they’re not? I’m shocked, really.
  4. Speaking of illegal immigrants, I prefer the Starship Troopers solution: “Service guarantees citizenship.” You give us four years of sacrifice, we’ll give you a lifetime of opportunity. It doesn’t have to be military service. Peace Corps, Americorps, whatever – if you serve the greater good, we’ll forgive your trespass, so to speak, and put you on track to citizenship.
  5. Let those who can take care of themselves. It’s funny when one hears conservatives say the poor should take care of themselves, yet are more than willing to take their slop from Uncle Sam’s trough. If you do not need Social Security or Medicare when you retire, you should not get it. Let’s start means-testing these programs, like we do so many other entitlements, and see if we can save some money and make the programs more sustainable.
  6. Walk the walk; be the world’s Superman. We stand for truth, justice, and the American Way. That is to say, when it comes to foreign affairs, we ought to always act upon those principles which make America great, and never betray those ideals no matter the short-term cost. We will always benefit in the long run when we loudly denounce those who act in violation of democracy, freedom, and human dignity. Specifically, this means we should end our normal diplomatic relations with Saudi Arabia, support Palestinians, and provide assistance to the floundering government in Mogadishu (again). There are plenty of other examples of tyranny and abuse around the world, but make no mistake – I’m not suggesting America should become the world’s police. I’m not suggesting we engage in cultural imperialism either. I’m saying we can’t have our cake and eat it too. We cannot speak of freedom from one side of our mouth while negotiating oil deals with dictators from the other.

Of course, there are many, many, many other things wrong with our system, but the six things I’ve listed above are a pretty good place to start, I think. I’m no politician or political scientist, but I bet I could get a dozen people to agree with me pretty easily. If I found someone on a ballot that agreed with even half of the principles I just laid forth, they would get my vote up to two times (term limits!). Until then, I’m going to write in the only two reasonable candidates I’ve seen in the last decade: Jon Stewart & Stephen Colbert.

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Human Capitalism

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Categories: Essays, Tags: , , , , , , , , , , , , , , ,

Attempting to describe an individual’s welfare is no easy task. A psychologist might discuss a person’s neuroses. A physician could talk about cholesterol and lung function. A sociologist may explore a person’s relationships with friends and family. Human welfare is made up of mental, physical, and social health, but it’s also a person’s ability to provide for his or her needs, contribute to the society at large, and enjoy the freedoms provided by responsible political and economic governance. While psychologists, physicians, and sociologists use different terms and tools to measure human welfare, economists use terms like GDP1 and tools such as the United Nations Human Development Index to determine welfare. Economic measures alone are not perfect determinants of human welfare, but they do provide easily quantifiable metrics for comparing the effects of different circumstances on welfare. Things like immigration/ emigration, infant mortality, average lifespan, AIDS infection prevalence, and adult literacy can be determined, and impacts to a nation’s GDP (the standard of living) explored. Of course, a comprehensive exploration of each country’s circumstances and the impact upon GDP thereof is outside the scope of this essay. Instead, a small sample (three countries each) from the UN Human Development Index in the low-, medium-, and high-development categories will provide case studies from which generalizations can be made about the impacts of illiteracy, HIV/ AIDS rates, life expectancy, infant death, and net migration on GDP.

In high human development counties, positive net migration has a positive impact on GDP. The high (relative) GDP entices further immigration, creating continuous upward momentum in economic growth. As Bade and Parkin note in their economics textbook Foundations of Macroeconomics, “population growth is the only source of growth in the quantity of labor that can be sustained over long periods” (220). The medium development countries, however, face a continuous struggle with negative net migration putting downward pressure on GDP. As their citizens flock to other, more prosperous, countries, less labor is available and GDP suffers. In the low human development countries studied, net migration was also positive, which would normally help boost GDP growth. Unfortunately, any upward trend in GDP in these countries created by positive net migration is offset by other factors.

One of the major factors depressing GDP growth in low development countries is high infant mortality rates. Over nine percent (on average) of children born in the three low development countries studied will not survive to their first birthday. This dampens labor growth, which slows growth in the country’s GDP. The problem of infant mortality is not much better in the medium development countries studied. With rates well above 1%, these countries struggle to increase their populations – and thus the pool of available labor – and a smaller GDP is the result. The high human development countries, conversely, enjoy dramatically lower infant mortality rates. These low rates of infant death help ensure the population continues to expand: greater labor supply pushes GDP upward.

The upward trend in GDP enjoyed by the low infant mortality rate in the high human development countries studied continues into old age. With average lifespans around 80 years, workers in high development countries stay productive longer, further contributing to GDP growth. People in medium development countries enjoy life expectancies between 68 and 77 years; these workers also stay productive for a relatively long period of time. The average life expectancy in the low human development countries (less than 60 years) destroys GDP growth potential. Workers in these countries aren’t likely to see any form of retirement, and will have little incentive to invest in their own human capital.

Workers suffering from HIV/ AIDS are also unlikely to invest in their own future when that future seems so bleak. In the low development countries, average infection rates are well above 1%. Sick workers are unproductive workers. Unproductive workers drive down GDP. Further, the high incidence of AIDS infection seen in the low development countries spills over into higher numbers for infant mortality and a shorter average life expectancy. The medium and high development countries enjoy lower rates of HIV/ AIDS infection and higher GDP figures.

The lower incidence of HIV/ AIDS infection that helps bolster the GDP numbers of the medium and high development countries is in addition to, or perhaps because of, an adult literacy rate that’s dramatically higher than the ones seen in the low development countries studied. While medium development countries have rates around 90% or better, and 99% of the population in the high development countries is literate, 30% – 50% of adults in the low development countries cannot read their native language at a functional level. These low development workers are therefore unable to contribute to the economy in anything but the simplest, lowest-skill jobs. These jobs, of course, are also low-paying. The drag on GDP caused by this lack of human capital development is substantial.

As the previous paragraphs illustrate, low human development countries face significant challenges in growing their economies and promoting human welfare. These challenges are not insurmountable though; policies designed to target the core issues depressing economic activity can improve the lot of citizens in third-world countries. Many issues facing the developing world are important and should be addressed to improve the standard of living in the poorest nations. Two policy initiatives, however, are critical in improving economic conditions and human welfare: HIV mitigation and literacy improvement.

Lowering the incidence of HIV infection is imperative for low development countries as it dampens economic growth by increasing the infant mortality rate and lowering the average life expectancy. In the third world, medicines to extend the life of AIDS patients are not readily available, and infected mothers frequently pass the disease along to their newborn children. High rates of HIV/ AIDS disease also drive down human capital growth, because “as life expectancy shortens so does schooling inducing a lower growth rate of income” (Huang, Fulginiti, and Peterson).

Reducing HIV/ AIDS rates is facilitated by a literate populace: people who can read can be taught more easily than those who cannot. Those same literate workers can also acquire job skills more easily. As noted by Grant Johnston, in his work for the New Zealand Treasury, “people with better literacy skills are more likely to be employed, and to earn more, than people with poorer literacy skills.” Adult literacy also has non-economic benefits, such as increased appreciation of arts and culture, political and religious tolerance, and family stability. 

1Throughout this essay, the acronym “GDP” is used to signify “real gross domestic product per capita.”

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