Thursday, April 24, 2014

Democrat Symp Says Personal Responsibility Is Overrated

Bill King claims "Personal responsibility won’t trim health costs" (Thursday Outlook), but he relies on clichés and non sequiturs to make his point.  First, he conflates old age and susceptibility to disease with lifestyle diseases resulting from smoking, overeating and addiction, implying that all three are equal in their occurrence.  They're not.  Lifestyle diseases and preventable injury account for well over half of all health care expenditures. 
 
Second, he implies that old age means you're automatically going to get sick, conveniently leaving out the fact that the bulk of illness in old age is caused by the bad lifestyle choices people made when they were younger.  It is true that emphasis on personal responsibility is not a cure-all, but for King to say that it plays no role at all simply keeps us on the same berserk spending curve we have been on since the 60s, and that the Obama administration put on steroids with the Affordable Health Care Act.
 
Ironically, the implementation of Obamacare will prove him wrong.  The only winners of are the poor, who will get 100% coverage at virtually no cost.  In contrast, the vast majority of job holders get policies with huge premium increases and deductibles so high that they will end up paying the bulk of their health care costs out of pocket.  Working people will have no choice but to live responsibly, or go bankrupt. 
 
The irony is that people who work will be forced to live responsibly and simultaneously subsidize the costs of health care for the poor, who now have virtually no incentive to live a healthy lifestyle.  The inevitable result is to cripple the economy by driving people out of the job market and onto the dole, and we're already seeing that happen.  On this subject, Bill King is silent.
 
Pete Smith
Cypress, TX

Wednesday, April 23, 2014

LTE: Taxing and spending

Regarding "A profile in courage" (Page B8, Sunday), former Mayor Bill White's encomium to President George H.W. Bush illustrates yet again the talent of prominent Democrats such as himself to make something ugly sound virtuous, in this case, President Bush's embrace of the Democratic policy known as tax and spend.

In White's words, Bush was courageous for violating his promise of No New Taxes from the 1988 campaign. He also spoke highly of Bush's effort to restore balance between spending and taxation in approving the tax increases. This last phrase is as pretty a way of saying that he caved to the berserk federal spending that characterized every administration in the previous quarter century.

Sadly, for all the concessions that Bush made, there were no reductions in spending, and the higher tax rates he implemented put tax and spend back on track. The inevitable result was our $17 trillion deficit and the out-of-control spending of the Obama administration. That deficit is as much a legacy of Republican "pragmatists" like George H.W. Bush as it is Democratic tax and spenders.

Pete Smith, Cypress

http://www.chron.com/opinion/letters/article/Wednesday-letters-Bill-White-racial-politics-5422388.php

Original:
 
Regarding "A profile in courage" (Sunday Outlook), Mayor Bill White's encomium to President George HW Bush illustrates yet again the talent of prominent Democrats such as himself to make something ugly sound virtuous, in this case, President Bush's embracement of the Democrat policy known as Tax and Spend.
 
In White's words, Bush was "courageous" for violating his No New Taxes promise from the 1988 campaign.  He also spoke highly of "Bush’s effort to restore balance between spending and taxation" in approving the gigantic tax increases that were the legacy of his single term.  This last phrase is as pretty a way of saying that he caved to the berserk federal spending that characterized every administration in the previous quarter century.
 
It is also more than a little ironic that it took White so long to so praise Bush.  When "41" ran for re-election in 1992, Democrat candidates beat him like a rented mule for violating his "no new taxes" pledge from the 1988 campaign, and Bush was trounced by Bill Clinton.  White was notably silent back then.  I wonder why?

Sadyly, for all the concessions that Bush made, there were no reductions in spending, and the higher tax rates he implemented put Tax and Spend back on track.  The inevitable result was our 17 Trillion dollar deficit and the out of control spending of the Obama administration. 
 
That deficit is as much a legacy of Republican "pragmatists" like George HW Bush as it is Democrat Tax and Spenders, and it would be refreshing if just once folks like Bill White would say so, in plain English.  Not that I'm holding my breath waiting for that to happen.

Pete Smith
Cypress, TX

Tuesday, April 15, 2014

Kite Flying In America, Part III

I was ten.  I was undersized.  It didn't matter: kite flying was the Great Equalizer.  And I flew the American Dream kite in 1964.

Once your kite was in the air, playing out your kite line and gaining altitude was an art, and if you were successful, so was your flight. You would let out a section very slowly so as to maintain tension, always anxious if it started to dip.  You had to keep the tension on at all times until the stronger winds got hold of you. 

The American Beauty
 
The dynamics of kiting changed dramatically once you played out the standard 100 yard roll of string and then tied on another.  For one thing, the additional force exerted would frequently cause the string to break.  That is what always happened every time we tried tying on roll number three.  For another, the farther out your kite went, the lesser the gain in height proportionate to distance downrange; in other words, past the one to one vertical to horizontal you enjoyed with the first 100 yards of string, you were lucky to get one foot of vertical for every two feet of horizontal after that.  That and the weight of the string meant you were inevitably low, and the act of winding it in inevitably would cause it to get squirrely, which meant once again that you would end up in the trees.

So we all knew that going past the magic 100 yard mark generally meant that the flight - however long we could keep it up in the air - was doomed.  No biggie.  Chuck Yeager suffered a few setbacks, as did the Apollo Seven.  Sacrifice was the price of progress.

The monster flight was the ultimate and attainable ambition for those of us in the neighborhood with an allowance or otherwise gainfully employed, and thus able to afford flying the kite for an afternoon and then simply letting it go.  I was in my second year as a paper boy and grossing around $30 per week between that and yard work, so money was no object, and there was purely nothing more entertaining than releasing your kite after it reached its peak height and watching it run before the wind.  It would pirouette, spin, fall, come back upright, and then spin and fall some more, frequently taking minutes to fall to the ground, just as frequently landing a quarter mile or more away, and ever so occasionally flying a long way downrange, the sheer drag from the string acting to keep the kite flight worthy. 

The Release was a high moment on the street.  It would be announced well in advance so that everybody else could get themselves in position to watch.  Once the pilot let the string go, all other activity ceased; we would watch it and comment, connoisseurs of kiting, unconsciously backpedalling down the street in order to keep the kite in view for a scant few more seconds, and just as unconsciously learning something about geometry, perspective and horizons in the process. 

As soon as it dropped out of sight below the treetops, I and my friends would run like mad in hopes of retrieving it.  How many was the time that my little sister would come running behind us and my mother would yell "Peter, you hold your sister's hand if you cross State Fair!"  And if Mom was not there to witness the dash, her words would still ring out, dragged no doubt from a conscience equal parts concerned about my little sister's inability to look both ways before crossing, and the certainty of the consequences of not holding her hand across State Fair, or any other major intersection for that matter.

If Little Sister was around, inevitably I would be forced to lag behind chasing my own kite, yelling encouragement to trusted Outriders who surged ahead.

We ran without particularly high hopes that the kite would be reusable: they were mostly too fragile to survive crashing to the ground.  No, the objective was simply to relish in finding out how far it had gone, tracking it like bloodhounds, following the length of string as it ran ahead of us, now just out of reach, now reachable.  We never did try to grab it though, and the kite string would continue to be towed, and inevitably draped over trees, houses, or played out along the ground.  Neighborhood kids downwind frequently got to your kite before you did, but kite flyers had a code: It didn’t stop being your kite just because it flew out of your neighborhood.  Plus, you had an organized pack in pursuit, whereas the Finder was likely just some random kid.  And besides, it wasn’t the kite we were worried about: it was the precious tail.

If the kite was gettable, we got the tail, and bragging rights for however far downrange the kite flew unaided.  Another kid in the neighborhood had the record in that respect, a “two roller” that made it almost to Seven Mile, a full half mile away from State Fair.  His record stood for a long time. 

Everybody aspired to fly farther and higher than anybody else, but verifying the Monster Flight was nebulous outside of your own street.  There was always somebody who claimed to have gone ever higher and farther, but most of it was apocryphal, the unsubstantiated bragging of a kid who knew a kid down the street or one block over on Yacama, but never witnessed by credible persons.  My feat of two hundred yards of string had been duplicated in my presence but not surpassed, so on our street, that was the benchmark.  Of course, we didn't use words like "benchmark", but we all knew what it was.

I remember one very memorable flight we attempted on what was then Oakland Avenue in Detroit, now known as I-75, just one block East of my street, Omira.  Back then, Oakland Avenue was two lanes in each direction with a boulevard about 150 feet wide in between.  It ran south almost all the way downtown with almost no trees for the length of it.  You would have thought it was perfect for kite flying, what with the open space, no cars and such, but strangely, we rarely flew there.  In retrospect, we stayed on our street because we wanted the audience.  The admiration of adults was a powerful incentive to fly your kite well. 

Still, we were working up to the three roll flight, and occasionally recreation had to take a back seat to engineering.  In particular, we were experimenting with playing out around a hundred feet of string before the launch as a means to get a kite airborne on low wind days.  Remember that the sweet sustainable winds were just above the housetops, regardless of how little wind you had at ground level.  Playing out a hundred feet was tricky because you had much greater stress on your string than the standard launch, which started out with around twenty feet, and you running like Hell and simultaneously letting out more line as you ran.  With the 100 foot launch, you also needed a Spotter who held the kite and ran with you, letting go once you had tension on the line.

Suffice to say we had some kinks to work out, and desired not an audience to witness our failures.  So Oakland Avenue is where we did our dry runs, and with all the extra space, it was kind of like our Bonneville Salt Flats.  We quickly mastered the Long Play.  Through trial and error we found that a hundred feet of line could take the stress of running, and gained altitude quickly to let us get above the housetops.  Perfecting the technique vastly expanded the possibilities.  For one thing, kite flying was now doable on two days out of three, whereas before it might have been only one in five.

We were that much closer to the Monster Flight.  It would not be long before we got our chance.

Saturday, April 12, 2014

LTE - Buying Justice

Regarding "Woman gets 50-year sentence for DUI deaths" (Sat page B2), the story of the woman from McAllen who plead guilty to killing five people while driving drunk is an illustration of how appallingly unfair the criminal justice system can be in Texas.  My beef isn't with the harsh sentence imposed on Margaret Gil, but with the fact that on the same page in the Chronicle, there is an update about the "Affluenza Teen", who killed four people and turned a fifth person into a quadriplegic, also while driving drunk (‘Affluenza’ teen gets lowered rehab fee).
 
Affluenza Teen avoided jail time in part by offering as a defense the hardships of growing up as the son of a multi-millionaire.  That money and influence ended up buying him ten year's probation and a rehab stint at a luxury hospital in Vernon costing $22,000 per month.  To add insult to injury, the story informed us that the same judge that rendered the sentence just ruled that Texas taxpayers will be required to pick up 95% of the tab for his "therapy".   
 
By contrast, Margaret Gil got the book thrown at her and will likely serve at least 25 years in prison, even though she plead guilty to homicide and apologized at her trial, two things that Affluenza Teen never did.
 
Money buys justice in Texas.
 
Pete Smith

Wednesday, April 9, 2014

Robert Reich Hurts His Own Brain

So this was the argument from Robert Reich.  I left in the grammar mistakes.  Sorry Bob, there is no need to express the possessive in the phrase “arms race”:

“The typical CEO of America's largest companies and banks is now earning more than 475 times what America's average worker is paid. Fifty years ago, it was 40 times. This meteoric rise isn’t because CEO’s are “worth” it but because their boards want to give them more than the CEOs they compete with, giving the firm bragging rights on the Street and ensuring that the CEO will stay put. But this has resulting in an escalating arm’s (sic) race. And because CEO pay is fully deductible from corporate taxes, taxpayers are subsidizing this arm’s (sic) race -- even as median household income drops. In the table below you can see the ratio of CEO pay to average workers in the U.S. compared to other countries.

 Republican David Camp, chair of the House Ways and Means Committee, recently proposed a way to stop this arm’s (sic) race: by not allowing corporations to deduct from their taxes CEO pay in excess of $1 million. That’s a good start. But how about going a step further and imposing an ‘excessive pay’ surtax on corporations whose CEO pay exceeds 100 times that the average American worker?”

 And this was the chart:


 This is all fairly compelling for the people who graze on what Reich sows: Those rotten CEOs; something must be done about their pay.  

Problem One for Bob and his followers is that the conclusion is largely a crock, and an easily disprovable one at that.  Problem Two is that this is nobody’s business except for Stockholders, and it sure as Hell isn’t something that Republican congresspersons ought to be advocating.

Let’s start with the central premise and the chart.  They’re bogus.   Per the 2008 Census, there are 981 companies of 10,000 employees or more in the US. Even if the 475 multiple is right (and it's not), that's an average CEO salary of $23 Million vs. an average employee salary of $46K. So let's say CEO compensation is 981 * $23 Mil = $22.5 Billion. So what? Big CEO pay is around 1/1000th of our GDP. Cut their pay in half and give it away and everybody in America gets a check for $68.

Now for the blatant falsehoods: Forbes lists total compensation for the Top 100 CEOs in America. Number 50 (William Johnson of Heinz), made $21 Million. Number 100 made $15.3 Mil. Oil & Gas CEOs get paid better than any other industry, and their average pay in 2012 per the WSJ was $13.6 Mil. Average CEO pay for the Top 1000 is closer to $5 Million. Average CEO pay across the board is well under $1 Million. That means that CEOs on average earn far less than 20 times what the average worker makes.

And the pay of foreign execs is vastly understated. The Top 100 Euro execs averaged $6 Mil in 2012, or roughly half their American counterparts, and that doesn’t even begin to take into account the off the books perks so typical of foreign tycoons, and particularly the Japanese. The Japanese and Euros are also far less transparent about the effect of stock and options on their Execs’ pay packages, whereas American corporations are an open book.

Bottom line, this chart is what happens when you blindly accept as fact the bilge that emanates from the AFL-CIO or the Huffington Post. This research took me one hour to do whilst I drank my coffee.

Take the high end of $13 Mil against an average employee base of 20,000 for Top 981 firms, divide by two and each employee gets an extra $6 per week in their paychecks. Hot Dog! Now Grandma can get that operation!

Teresa - I proposed that if somebody confiscated half the $13 Mil average pay ($6.5 Mil) and gave it to the 20,000 employees (rough average of size of the top 1000 companies with 10,000+ employees), you come out to about six bucks per week ($325 per year). Sorry, I can't make the calculator tell me anything different. And the employees of Top 100 corporations make waaaay more than smaller firms, averaging over $50K per year per employee. One of the reasons is that they have megabuck chairpersons making the company boodles of money. As to your generous offer to allow them to live comfortably, you view economic activity as a zero sum game. It's not.

I did make one mistake: average employment at a Top 1000 firm is 34,000 employees, not 20,000. That means if you took half the CEO’s pay and divvied it up, it would add $3.81 to each employee’s weekly paycheck. Here’s the figures:
Not that I am completely down on Reich’s populism: he did an article on the pay of hedge fund managers and I am with him.  The Money Changers do nothing but crowd around their tables in the Temple.  They should all be driven into the sea, but the minute that happens, the Democrats lose the second biggest source of funding for their political campaigns. 

https://www.census.gov/econ/smallbus.html
http://www.forbes.com/.../12/ceo-compensation-12_rank.html
http://online.wsj.com/.../SB10001424052748703864204576313...
http://www.businessweek.com/.../feb.../gb20090210_949408.htm
http://www.aflcio.org/Corporate-Watch/CEO-Pay-and-You
http://www.huffingtonpost.com/tag/executive-pay

Monday, April 7, 2014

Kite Flying In America, Part II

Part II

In kite building, fine tuning is crucial.  For example, we learned that our kite was useless without the proper tension on the piece of string tied to both ends of the horizontal cross member that was bowed to create the concave shape of an airworthy kite.  String it too loose, and it wouldn’t fly at all; Too tight, and it might break in half on takeoff.  Tying the proper knots for your kite probably qualified you for a merit badge, not that we cared. 
The Diamond Bow Kite
 
And of course, there were accessories: everybody would attach some token to their kite: a GI Joe figure, a sticker, or some other small item that would be found when the kite finally landed, hopefully many miles away. 

All of these were preliminaries though, because everybody knew that a well engineered kite required a well engineered tail, and kite tails - fashioned from long thin strips of knotted bed sheet - did not grow on trees.  Nobody's Mom willingly retired a bed sheet back in those days, and when she did, she had a dozen different uses for it.  You might get first dibs for your kite tail, and maybe an extra few feet as you described the need for a little more ballast in order to go really high and really long, but woe unto you if you lost it.  There might not be a replacement the rest of the summer, and you would be relegated to paying some exorbitant price to the rare kid in your Hood who had a spare, or the one kid who’s Mom didn’t guard the household linens quite as religiously as yours did.

That is the origin of the phrase “losing your tail”, by the way.  You can look it up.

Losing your tail was a revolting development, and if you couldn’t find a replacement, you might be relegated to Wing Man status for the rest of the summer, spotting for your friends, holding the line while they tied on another roll of string, and perhaps even staging downwind for the Big Release and Recovery; Anything to stay in the game, but this sorry state made you an object of pity amongst your friends, kind of like the kid who sucked at Dodge Ball.  You know the one I’m talking about: Slow, unaggressive, the perpetual target resigned to his fate and just wanting it to all be over so he could get tagged early and slink to the sidelines, free from the performance anxiety that was so crucial to the game.  Anyway. 

Kite flying was serious business for the entire neighborhood.  Whole Saturdays and Sundays were devoted to the sport, with a half dozen kites going down the length of the street.  We flew exclusively on the street, by the way.  There were no parks of any size close to us, and precious few of those amenable to kite flying, Detroit being so very much a city of trees, at least back then.  Off-hand I can think of only two parks that were any good for kite flying – Farwell Park and some sections of Palmer Park, and both of those were a couple miles away from our neighborhood.  Besides, your typical city street was perfect for kite flying not only because it had a long flat runway, but also because there was a break in the canopy directly above the street.  Charles Schultz was entirely in the right of it when he portrayed the frustrations of Charlie Brown and the Kite Eating Tree.  None of that was an exaggeration.

On the street, everybody observed protocols that would have made the FAA proud.  There were up to four “runways” lined up vertically the length of the block, and nobody who started on one runway ever encroached on another; if you ran out of room, you lugged it back to the bottom of your runway and started over.  No additional flights were allowed until the previous takeoff had caught the good air above about 50 feet, at which point it generally stabilized.  Kids intending to extend their string beyond the 100 yard standard had to be staged the furthest downwind, so as not to tangle with anybody else. 

In essence, kite fliers duplicated modern air traffic control procedures without ever having been exposed to them.

We all prayed for wind.  With even a modest but steady breeze, you only needed about a hundred feet to run like crazy up the street, play out the kite as it rose and pray for it to get above the housetops, where the sweet, self-sustaining wind could be found. 

In our youth, Kite flying was the ultimate form of recreation, even for reasons we little understood.  Parents would happily boot us outside, knowing full well that we weren't going far, we would get exercise, we would be safe, and we would be absorbed in something that was demonstrably harmless - the complaints of the occasional motorist or homeowner with a tree notwithstanding.  As an added bonus, we would be out from underfoot for hours at a time, giving Mom and Dad some precious Alone Time. 

Everybody pitched in. The adults came out onto their porches to watch, shouting out helpful advice, but leaving the kids to themselves to do the engineering and the math necessary for a successful flight.  I always wondered why our next door neighbor Mr. Wilson was out on the porch at the very start of a kite flying Saturday, whereas Mom and Dad wouldn't show up until about an hour later.  I figured it was because he was a retiree and simply had more time on his hands. 

And yes, we really did have a next door neighbor named Mr. Wilson.  He had a son named Tommy who at age twelve shared with me - then an eight year old - everything he knew about sex.  Tommy Wilson was the kid who explained why the instructions for the kite were only pictures, so by now we’ve established that he was a spectacular font of misinformation and half-truths.  It didn’t matter.  Tommy made these proclamations with the authority that only a twelve year old could muster, and I remember verbatim everything he told me about sex.  It was hysterically wrong.  It didn't affect my well-being at all, but it did take me and my friends another decade to get reasonably accurate information on the subject. 

But that will have to be the subject of another Blog at some future date….

Tuesday, April 1, 2014

Just Another Democrat Overspender

Good old Bill White: he always sounds so reasonable, but at the end of the day, he's just another Democrat politician looking to rationalize the berserk spending of Democrats.

In his book about the federal deficit, his carefully neutral language and his willingness to spread the blame for Washington's failure to "balance the budget" is crafted to obscure three simple facts: 1) Democrat mayors have been bankrupting our cities for generations; 2) They have used taxpayer money to fund the political machines that perpetuate the berserk spending; and 3) There is no difference between Democrats at a national level and those at the local level.

No amount of bipartisan budget balancing is going to fix berserk, out of control politicians who grab an ever larger slice of taxpayer wages. Before Bill White sees fit to lecture the rest of us on fiscal responsibility, he should take a long hard look in the mirror.


Pete Smith
Cypress, TX