The NHS drops Life-Saving Drug as it would lead to more Rationing and longer Wait Times

Posted by PITHOCRATES - April 22nd, 2014

Week in Review

In 1954 almost 35% of all workers belonged to a union.  Since then that number has fallen to about 11.3%.  As the high cost of union contracts chased manufacturing out of the country.  Today the majority of workers belonging to a union work in the public sector.  Where they enter contract negotiations with the taxpayers to secure better pay and benefits than most taxpayers have.  Of course during these negotiations the taxpayers have no say.  As politicians and unions hammer out these contracts.  Unlike trade unions.  Where the people paying the workers actually have a say.

This is another reason why national health care is the Holy Grail for the left.  They want to unionize all those health care workers.  Pay them more.  And deduct union dues from their pay to fund their political activities.  Leaving less money for patient health care.  But they’re okay with that.  But they’re not okay with a pharmaceutical company charging a lot of money for life-saving drugs.  Which, also, leaves less money for patient health care (see Breast cancer drug turned down for NHS use due to high cost by Sarah Boseley posted 4/22/2014 on the guardian).

A Herceptin-style drug that can offer some women with advanced breast cancer nearly six months of extra life has been turned down for use in the NHS because of its high cost.

In draft guidance now open to consultation, the National Institute for Health and Care Excellence (Nice) blames the manufacturers, Roche, who are asking for more than £90,000 per patient, which is far more than any comparable treatment…

“We apply as much flexibility as we can in approving new treatments, but the reality is that given its price and what it offers to patients, it will displace more health benefit which the NHS could achieve in other ways, than it will offer to patients with breast cancer.”

Paying health care providers more will not improve the quality of health care.  Unless health workers are doing a half-assed job now.  Which I don’t believe they are.  But Roche is helping people with death sentences live another six months or so.  That’s a pretty remarkable thing.  If the NHS can’t afford this wonder drug perhaps they should use their own.  Of course they can’t.  Why?  Because they don’t have one.  For they didn’t pour hundreds of millions of dollars in developing this drug and the all those drugs that failed.

Developing a miracle drug is costly.  Money the pharmaceuticals pay up front.  Because their employees don’t work for free.  Which is why these drugs cost so much.  That high price pays for all of the costs that went into this drug.  For all of the drugs that failed.  And provides a return for investors.  Who give these pharmaceutical companies hundreds of millions of dollars up front just in the hope they may develop a miracle drug.  Which is the only way we should invest in these miracle drugs.  Because these investors will only take a chance on a good thing.  Unlike government.  Which has a history of backing the wrong investment time after time.  And pouring good money after bad.

It’s a tough choice to make.  Take health care benefits away from other patients to pay for a miracle drug for those dying from cancer.  Or let people die 6 months or so sooner.  One thing for sure, though, unionizing our health care workers won’t give either of these patients more health care benefits.  It will only leave less money for everything else.  Leading to rationing.  And longer wait times.  Because less money will pay for fewer things.  Making those other things scarcer.  Forcing people to wait longer and pay more for treatment.

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FT214: “The far left has been and always will be an aristocratic-thinking, privilege-seeking people.” —Old Pithy

Posted by PITHOCRATES - March 21st, 2014

Fundamental Truth

Lawyers make a lot of Money without Contributing anything Tangible to Society

An attorney was sitting in his office late one night when Satan appeared before him.  Satan said, “I have a proposition for you.  You can win every case you try for the rest of your life.  Your clients will adore you, your colleagues will stand in awe of you and you will make embarrassing sums of money.  All I want in exchange is your soul, your wife’s soul, your children’s souls, the souls of your parents, grandparents, parents-in-law, the souls of all your friends and law partners.”  The lawyer thought about this for a moment then asked, “So, what’s the catch?”

That’s funny, isn’t it?  Lawyers.  Ambulance chasers.  The butt of so many jokes.  Why?  Well, some will say they deserve it.  Because they do chase ambulances.  And will pass out their business cards if they’re on a sinking ship.  Because sinking ships are good for lawsuits.  And lawyers love to sue.  For they can make a lot of money without contributing anything tangible to society.  All they do is get between two parties when large sums of money change hands.  And put a portion of that money into their pockets.  That’s how they earn their living.  Taking money away from others.  They’re parasites.  Just to get rich.  And the big tort lawyers (those who sue people and businesses) get really rich.  Allowing them to live very privileged lives.

Take a class action lawsuit.  Where they bring a lot of wronged people together to sue a large corporation.  The old David and Goliath thing.  A little person can never take on a big corporation.  But a whole class of them can.  When represented by a tort lawyer.  Who liken themselves as heroes of the little guy.  Taking the big corporation on to make them pay for all the horrible things they’ve done to their clients.  But who do they really help?  Let’s say they win a judgment from a big corporation of $250,000,000.  That’s a lot of money.  From that sum they take their cut.  Let’s say 50%.  Leaving $125 million for the people the corporation wronged.  That’s a lot of money.  So the people won, too, right?  Not really.  For there are a lot of people represented in these class actions.  Let’s say 5 million in our example.  So if you divide the $125 million by 5 million that comes to $25 per person.  So, again, who did the lawyers really help?  The lawyers.  Which is why there are so many lawyer jokes.

In the Private Sector if you want to spend Half of your Life Retired you have to Pay for It

Lawyers vote Democrat.  Because they like being privileged people.  They don’t want the laws changing that allow them to get so rich when money exchanges hands.  Which is why they donate heavily to the Democrat Party.  And don’t donate to the Republicans.  Who complain about the high costs of frivolous lawsuits to businesses in an overly litigious society.  It’s so bad that a footnote in the financial statements of a corporation about a lawsuit is not that big of a deal.  Why?  Because so many corporations are sued that investors are more surprised to see one that isn’t being sued.  This is why Republicans want tort reform.  And pass ‘loser-pays’ into law.  Like many other countries have.  Where the loser in court pays for the attorney fees for the side that wins.  Which would greatly cut down on frivolous lawsuits.  And cut the costs businesses incur from these frivolous lawsuits that they pass on to their customers.  So the lawyers donate to Democrats.  To prevent any tort reform that would change the easy way lawyers have of getting rich.

It’s the world’s oldest profession.  Screwing people for money.  But lawyers aren’t the only ones seeking privilege.  There are a lot of others, too.  Interestingly, they, too, support the Democrat Party.  Such as the United Autoworkers.  They donate heavily to the Democrat Party to keep labor laws favorable to unions.  To make it more difficult for their nonunion competition.  And to use the power of government to force people to pay may for a union-made car.  Allowing their union members to live better lives than those outside of the UAW.  And when even that doesn’t allow General Motors to pay its bills when selling a record number of cars the UAW goes to government for a bailout of their woefully underfunded pension fund.  So their union members can continue to have a more generous retirement at an earlier age than those outside of the UAW.

Teacher unions seek privilege, too.  You hear a lot about how the teachers don’t earn that much.  But then again, they don’t work that much.  Getting 3 months off in the summer.  So you can’t compare their wages to people who don’t get the 3 summer months off.  But for teachers it’s not so much about the paycheck.  It’s the benefits.  Very generous health insurance coverage.  And pensions.  Which have gone the way of the dodo in the private sector.  Because people are just living too long into retirement.  When they first set up these pensions people were dying in their sixties.  The actuaries never saw people living into their eighties as common.  So in the private sector if you want to spend half of your life retired you have to pay for it.  And you work as long as necessary to fund the retirement you want.  The union pensions just can’t work these days as they once did.  Which is why teacher unions like the United Autoworkers and lawyers support the Democrat Party.  They want to keep their privileged lives.

The Wealth Transfers of the Welfare State give Democrats Money and Privilege

Of course privilege is nothing new to the Democrat Party.  They have long stood for privilege.  Even now.  As the Democrats provide themselves all kinds of exceptions from the Affordable Care Act.  For more expensive and lower quality health insurance is good for the masses.  But not for the privileged elite.  Or their special friends who support them so generously with campaign donations.  Congress has had a history of exempting themselves from the laws they pass for us.  It took the Republican winning of the House in the 1994 midterm elections to change that.  The first Republican-controlled House since 1952 required Congress to be held to the same laws as the rest of us.  A bitter pill for Democrats to swallow.  For their feelings of privilege go way back.

The Democrat Party can trace its pedigree back to Thomas Jefferson’s Democratic-Republican Party.  The party of the slave-owning planter elite.  Who from day one fought for their privilege starting with the Three-Fifths Compromise.  To give them a greater say in the new national government than their voting population allowed.  The planter elite’s South turned into an Old World aristocracy.  With great manors for the landed aristocracy.  And vast lands worked by slaves.  Very similar to feudalism in the Old World.  And something they fought hard to keep.  Their privilege.  The Southern Democrats used the power of the national government (such as the Fugitive Slave Act) to interfere with state laws in the North.  To protect their feudalism by keeping slavery legal as long as they could while the north was industrializing and modernizing.  With paid laborers.  When they lost control of the House due to the growing population in the North they turned to war.  Saying that the national government was interfering with state laws in the South.  And getting poor southern farmers who owned no slaves to fight and die so the southern aristocracy could live on.

When the Southern Democrats lost the American Civil War they scrambled to maintain their privilege.  They unleashed a terror on the freed slaves and Republicans with the KKK.  The Democrats then wrote Jim Crowe Laws.  Separate but equal.  Government-enforced racial segregation.  During debate of the Civil Rights Act of 1964 Democrat and former Exalted Cyclops of the KKK Robert Byrd filibustered for 14 hours.  To keep the South segregated.  With power and privilege in a new aristocracy.  Centered not on land but political power and cronyism.  Even becoming the party for blacks as ironic as that is.  Trading government programs for votes.  And destroying the black family in the process.  Aid to Families with Dependent Children (AFDC) replaced black fathers with government.  And moved single mothers and their children into housing projects that became infested with drugs and crime.  But this large (and failed) welfare state transferred a lot of wealth to the Democrats.  Giving them money and privilege.   That they can use to maintain their power.  By taking care of those who take care of them.  Lawyers, the UAW, teacher unions and other privilege seekers.  For nothing has changed on the left.  They have been and always will be an aristocratic-thinking, privilege-seeking people who want to live better than the rest of us.  While we pay for their privileged lives.

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Chrysler turns down Government Loan for Guarantee to keep Minivans in Windsor

Posted by PITHOCRATES - March 8th, 2014

Week in Review

Cities and governments have long loved big industry.  Unions, too.  Because they’re big.  And are difficult to move. Such as an automobile assembly plant.  They take a lot of real estate.  Require a lot of specialized production and assembly equipment.  And a lot of infrastructure to support them.  Making them very difficult to move.  But not impossible (see Chrysler spurns government money, Windsor to build minivans posted 3/4/2014 on CBC News Windsor).

Chrysler will continue to build its popular minivan in Windsor, Ont., and has withdrawn all requests for government financial assistance in relation to the redevelopment of its assembly plants in Windsor and Brampton…

At the Detroit auto show seven weeks ago, Chrysler CEO Sergio Marchionne said that changes at the Windsor plant alone would cost at least $2 billion, and that Chrysler needed government help to finance the project.

Chrysler said in a media release Tuesday it will now “fund out of its own resources whatever capital requirements the Canadian operations require.”

Industry Minister James Moore said the government’s commitment to the auto industry is strong and he was surprised by Chrysler’s decision.

Essex Conservative MP Jeff Watson, whose riding is just south of Windsor, said he believed talks were going well.

“We were prepared to invest in exchange for guarantees for Canadian production and a Canadian supply chain,” Watson said.

Money from the government doesn’t come without strings.  And the string here was a guarantee that Chrysler wouldn’t leave.  No matter how costly the government or union contracts made it to stay in Windsor.  Costs that Chrysler has to recover in the sales price of their cars.  Which can’t be so high as to price them out of the market.  So Chrysler chose to spend their own money.  So they didn’t get stuck in an adverse economic situation when trying to compete in a global market.

“It is clear to us that our projects are now being used as a political football, a process that, in our view, apart from being unnecessary and ill-advised, will ultimately not be to the benefit of Chrysler,” the company said in a news release.

“As a result, Chrysler will deal in an unfettered fashion with its strategic alternatives regarding product development and allocation, and will fund out of its own resources whatever capital requirements the Canadian operations require.”

The government wanted what was best for them.  Economic activity they could tax.  While Chrysler wanted what was best for them.  Being able to sell cars at market prices.  And leaving their options open in the future.  Should it become too costly to continue to build cars in Canada.  Due to the cost of labor.  Or new regulatory policies.  Or higher taxes to fund a welfare state struggling under the costs of an aging population.  Governments are desperate for new tax revenue.  And will make almost any promise to get it.  Making long-term deals with governments risky.

According to the Ontario government, the auto sector employs 94,000 Ontarians, and supports as many as 500,000 families through indirect jobs…

Unifor Local 444 president Dino Chiodo, who represents hourly employees in Windsor, said he wasn’t completely surprised by Marchionne’s announcement…

Chiodo said Tuesday’s announcement is short of the $2-billion retooling and flexible manufacturing line employees were looking for in Windsor…

Chiodo said a $2.3-billion investment would secure three generations of minivans, which could secure jobs for decades…

Marchionne also wants union concessions.

Yes, they love the jobs these corporations create.  And all that economic activity those jobs create.  Economic activity they can’t create.  But they still hate corporations.  That’s why they tax them.  Regulate them.  Call them greedy.  Exploiters of labor.  And that the only way they can get them to do something decent is by making deals with them that favor them and not these evil corporations.  But sometimes these evil corporations don’t enter agreements that may harm them in the long run.  And when they do governments and unions panic.  As they fear they may have let a cash piñata slip through their fingers.  Which is a problem for them.  For they can’t create a single job those evil corporations can.

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Henry Ford built a Strong Middle Class with Nonunion Labor

Posted by PITHOCRATES - February 9th, 2014

Week in Review

President Obama’s new message is the horror of income inequality.  As his friends on Wall Street and in Hollywood make so much more money than the ‘folks’ do.  Of course, if it weren’t for his abysmal economic policies the ‘folks’ would be able to get a better-paying job.  Since he’s been president his policies have destroyed some 11,301,000 jobs (see The BLS Employment Situation Summary for December 2013 posted 1/13/2014 on PITHOCRATES).  The Affordable Care Act, new taxation, costly regulatory policies and his support for union labor all help to kill jobs.  Forcing a lot of people to work a couple of low-paying part-time jobs to pay the bills.  While his friends on Wall Street and in Hollywood have never been richer.

The economy wouldn’t as bad as it is if President Obama didn’t attack business so much.  And, instead, embraced it.  Like Henry Ford (see The Internet Is the Greatest Legal Facilitator of Inequality in Human History by Bill Davidow posted 1/28/2014 on The Atlantic).

In the past, the most efficient businesses created lots of middle class jobs. In 1914, Henry Ford shocked the industrial world by doubling the pay of assembly line workers to $5 a day. Ford wasn’t merely being generous. He helped to create the middle class, by reasoning that a higher paid workforce would be able them to buy more cars and thus would grow his business.

Yes, Henry Ford did want to pay people enough so they could afford to buy his cars.  But this did something else.  It attracted the best workers to his company.  Because of the incentive of the higher pay.  And if they were lucky enough to have gotten hired in they busted their butts so they could keep those high-paying jobs.  It was a meritocracy.  If a worker wasn’t performing they got rid of that worker.  And offered that job to another person willing to bust their butt to keep that job.

Of course, the unions changed all of that.  The Keynesians will point to Ford to justify their consumption policies (putting more money into consumers’ pockets as the be-all and end-all of their economic policies).  And NOT on how attracting the best workers with the best pay helped make Ford the most efficient.  Allowing Ford to produce cars at prices working people could afford.  Once the unions came in they decreased efficiencies.  Slowed down those assembly lines.  And raised the cost of cars.  So only unionized working people could afford them.  While most other working people had to settle on used cars.  Unless they had a relative that worked for one of the automotive companies that could give them a car at an automotive worker’s discounted price.

Surprisingly, the much-vilified Walmart probably does more to help middle class families raise their median income than the more productive Amazon. Walmart hires about one employee for every $200,000 in sales, which translates to roughly three times more jobs per dollar of sales than Amazon.

Why do some vilify Wal-Mart?  Because like Henry Ford was in the beginning they are nonunion.  Helping them not only to hire the best workers but to provide goods at a lower price so those not in a union can afford to buy them.  So Wal-Mart helps middle class families in two ways.  They help to raise the median family income.  And they allow that median family income go further.  Perhaps the greatest weapon in the arsenal to fight income inequality.  As they help those not in privileged jobs (such as a UAW job or a government job) to live as well as someone in those privileged jobs.

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President Obama’s 2014 State of the Union Address

Posted by PITHOCRATES - January 30th, 2014

Politics 101

Democrats offered Enthusiastic Applause for Unsound Policy Proposals that have no Basis in Reality

President Obama’s 2014 State of the Union address was a little longer than an hour.  But if you didn’t look at a clock it felt a lot longer.  For it was the same tripe you hear all the time from this administration.  And the political left.  It was full of misleading statements.  Inaccurate facts and figures.  And some lies.  The usual stuff you expect from the liberal left.  But what was really disturbing was the enthusiastic applause for some really unsound policy proposals that have no basis in reality.  Showing either how clueless these enthusiastic Democrats are about economics, business, national security, etc.  Or how amoral they are in their quest for power.  As they judge and implement policy not by how it will improve the lives of Americans.  But how it will improve their lives in government.

Some Big Reasons why Businesses export Jobs are Taxes, Regulations and Labor Costs

If there was ever an example of what people not to have in power this state of the union theater was it.  Following are excerpts from President Obama’s speech (see FULL TRANSCRIPT: Obama’s 2014 State of the Union address posted 1/28/2014 on The Washington Post).  Comments and analysis follow each excerpt.

And here are the results of your efforts: the lowest unemployment rate in over five years; a rebounding housing market — (applause) — a manufacturing sector that’s adding jobs for the first time since the 1990s — (applause) — more oil produced — more oil produced at home than we buy from the rest of the world, the first time that’s happened in nearly twenty years — (applause) — our deficits cut by more than half; and for the first time — (applause) — for the first time in over a decade, business leaders around the world have declared that China is no longer the world’s number one place to invest; America is.

The total number of people who left the civilian labor force since President Obama took office is 11,301,000 (see The BLS Employment Situation Summary for December 2013 posted 1/13/2014 on PITHOCRATES).  Which means the unemployment rate is meaningless.  The only reason why it’s falling is that the BLS doesn’t count unemployed people who gave up looking for jobs that just aren’t there.  Oil production on private land may be up.  While overall oil consumption is down because of the Great Recession that just won’t end.  Which is helping to keep gas prices down.  Unemployed people just don’t have the money to buy gas.  So they don’t.  Greatly reducing the demand for gas.  Thus reducing gas prices and oil imports.  George W. Bush’s last deficit was $498.37 billion.  President Obama’s first deficit was $1,539.22 billion.  And it was over $1 trillion in 2010, 2011 and 2012.  It fell to $680 billion in 2013 thanks to the sequester.  But the deficit is larger now than when President Obama assumed office.  The only reduction in the deficit is a reduction in the amount he increased it.

Now, as president, I’m committed to making Washington work better, and rebuilding the trust of the people who sent us here.

Really?  You’re committed to rebuilding the trust of the people?  Mr. “If you like your health insurance you can keep your health insurance.  Period.”  Otherwise known as the lie of the year.  You’re going to rebuild the trust of the people?  Good luck with that.  What with your pants on fire and all.

Today, after four years of economic growth, corporate profits and stock prices have rarely been higher, and those at the top have never done better. But average wages have barely budged. Inequality has deepened. Upward mobility has stalled. The cold, hard fact is that even in the midst of recovery, too many Americans are working more than ever just to get by; let alone to get ahead. And too many still aren’t working at all.

Well, finally something Republicans can agree with the president about.  Yes, his economic policies have benefitted Wall Street.  While hurting Main Street.  Finally some bipartisan agreement.

So let’s make that decision easier for more companies. Both Democrats and Republicans have argued that our tax code is riddled with wasteful, complicated loopholes that punish businesses investing here, and reward companies that keep profits abroad. Let’s flip that equation. Let’s work together to close those loopholes, end those incentives to ship jobs overseas, and lower tax rates for businesses that create jobs right here at home. (Cheers, applause.)

There are only a few reasons why businesses export jobs.  And the big three are taxes, regulations and labor costs.  The Obama administration wants to raise taxes.  They’ve increased regulatory costs.  And they support costly union labor.  So everything they stand for encourages businesses to export jobs.

But — but I’ll act on my own to slash bureaucracy and streamline the permitting process for key projects, so we can get more construction workers on the job as fast as possible. (Applause.)

So how’s that approval for the Keystone XL pipeline coming along?  That thing you’ve been studying since 2010?  Which by the laws of arithmetic is approximately 4 years ago.  Is this slashing bureaucracy and streamlining the permitting process?  At this rate it would probably be quicker to elect a Republican president in 2016.  You know, someone who, when it comes to economic activity, walks it while the Democrats only talk it.

We also have the chance, right now, to beat other countries in the race for the next wave of high-tech manufacturing jobs. And my administration’s launched two hubs for high-tech manufacturing in Raleigh, North Carolina, and Youngstown, Ohio, where we’ve connected businesses to research universities that can help America lead the world in advanced technologies.

Universities are in the grant business.  They want as many grants as they can get to help bring money into the university.  And to do so they will study anything the government wants them to.  No matter how wasteful it is.  While some of the biggest high-tech companies started in garages.  Apple, Google, Hewlett Packard and Microsoft.  To name a few.  Yes, there is a lot of university-driven research.  But the big innovation is more entrepreneurial.  Created by people thinking up new stuff no one thought of yet.  Which is the last thing you want government involved in.  That same government that can’t build a website using 1990s technology.

Let’s do more to help the entrepreneurs and small business owners who create most new jobs in America. Over the past five years, my administration has made more loans to small business owners than any other. And when 98 percent of our exporters are small businesses, new trade partnerships with Europe and the Asia-Pacific will help them create even more jobs. We need to work together on tools like bipartisan trade promotion authority to protect our workers, protect our environment and open new markets to new goods stamped “Made in the USA.” (Applause.)

You want to help entrepreneurs and small business?  Get rid of Obamacare.  And slash tax rates.  This will provide incentive.  And allow them to reinvest more of their earnings to grow their business.  Allowing them to create those jobs.

Now, one of the biggest factors in bringing more jobs back is our commitment to American energy. The “all the above” energy strategy I announced a few years ago is working, and today America is closer to energy independence than we have been in decades. (Applause.)

‘All of the above’ as long as it isn’t coal, oil or nuclear.  But if it’s solar power and wind power they are committed to giving more tax dollars to their friends and bundlers in the green energy industry.

Meanwhile, my administration will keep working with the industry to sustain production and jobs growth while strengthening protection of our air, our water, our communities. And while we’re at it, I’ll use my authority to protect more of our pristine federal lands for future generations. (Applause.)

You can’t sustain production and jobs growth by strengthening protection of our air, water and pristine federal lands.  That’s just more regulatory costs.  And raising energy costs by not allowing any oil or natural gas production on those pristine federal lands.  Raising energy costs by restricting supply.  Which raises business costs.  In addition to those new regulatory costs.

Every four minutes another American home or business goes solar, every panel pounded into place by a worker whose job can’t be outsourced. Let’s continue that progress with a smarter tax policy that stops giving $4 billion a year to fossil fuel industries that don’t need it so we can invest more in fuels of the future that do. (Cheers, applause.)

That says it all.  Fossil fuels don’t need subsidies because their costs are affordable.  While solar (and wind power) are so costly that they are unaffordable.  Unless government heavily subsidizes them.

But the debate is settled. Climate change is a fact. (Applause.) And when our children’s children look us in the eye and ask if we did all we could to leave them a safer, more stable world, with new sources of energy, I want us to be able to say yes, we did. (Cheers, applause.)

There is no such thing as settled science.  Only science that has yet to be disproved.  Besides, once upon a time glaciers stretched down from the poles to near the equator.  And then receded back to where they are now.  All without any manmade carbon in the atmosphere to warm the planet.  As we were still simple hunter and gatherers then.  So if the glaciers moved more before there was manmade global warming they’ll move again regardless of what man is doing to warm the planet.

Finally, if we’re serious about economic growth, it is time to heed the call of business leaders, labor leaders, faith leaders, law enforcement — and fix our broken immigration system. (Cheers, applause.) Republicans and Democrats in the Senate have acted, and I know that members of both parties in the House want to do the same. Independent economists say immigration reform will grow our economy and shrink our deficits by almost $1 trillion in the next two decades. And for good reason: When people come here to fulfill their dreams — to study, invent, contribute to our culture — they make our country a more attractive place for businesses to locate and create jobs for everybody. So let’s get immigration reform done this year. (Cheers, applause.) Let’s get it done. It’s time.

Funny how that argument doesn’t apply to birth control and abortion.  The reason we need to “fix our broken immigration system.”  For if we were having babies at the rate when government created the welfare state we could pay for that welfare state today.  But thanks to the Sixties, birth control, abortion and feminism women stopped having babies.  Which is fine if a woman doesn’t want to.  But the progressives designed the welfare state based on them being baby machines.  Creating a greater number of taxpayers with each generation.  So more people pay into the welfare state than collect from it.  The way it must be for a Ponzi scheme to work.

That’s why I’ve been asking CEOs to give more long-term unemployed workers a fair shot at new jobs, a new chance to support their families. And in fact, this week many will come to the White House to make that commitment real.

When you raise the cost of labor (union labor, Obamacare, etc.) businesses tend to look at automating production instead of hiring that costly labor.  They may not be able to do anything about the higher regulatory costs but they can do something about higher labor costs.  Use more machines than people.  If you want CEOs to create new jobs stop making labor so costly.  And you can start with getting rid of Obamacare.

Of course, it’s not enough to train today’s workforce. We also have to prepare tomorrow’s workforce, by guaranteeing every child access to a world-class education. (Applause.)…

Five years ago we set out to change the odds for all our kids. We worked with lenders to reform student loans, and today more young people are earning college degrees than ever before. Race to the Top, with the help of governors from both parties, has helped states raise expectations and performance. Teachers and principals in schools from Tennessee to Washington, D.C., are making big strides in preparing students with the skills for the new economy — problem solving, critical thinking, science, technology, engineering, math.

Yes, more kids are going to college than ever before.  But they’re going there to have fun.  And to facilitate their fun many are getting easy, worthless degrees in the social sciences and humanities.  Costly degrees that universities sold them promising them future riches.  Enriching the university.  While impoverishing their graduates.  For a high-tech company has no use for these degrees.  Which is why a lot of these people end up in jobs they didn’t need that costly degree to do.  And our high-tech companies are using the visa program to get foreigners who have the skills they want.  Problem solving, critical thinking, science, technology, engineering and math.

It requires everything from more challenging curriculums and more demanding parents to better support for teachers and new ways to measure how well our kids think, not how well they can fill in a bubble on a test. But it is worth it — and it is working.

If you want kids to do better we need to champion marriage and family more.  And they should embrace religion a little more.  Instead of encouraging our young women to use birth control and abortion to avoid marriage and family.  And pulling every last vestige of religion from our lives.  Kids growing up in a household with a mother and a father who go to church do far better on average than kids growing up in a single-parent household and don’t go to church (see Strong families steeped in Conservative Values and Traditions do Well in America posted 1/11/2014 on PITHOCRATES).

Research shows that one of the best investments we can make in a child’s life is high-quality early education. (Applause.) Last year, I asked this Congress to help states make high-quality pre-K available to every 4-year-old. And as a parent as well as a president, I repeat that request tonight.

Actually, research doesn’t show that.  Yet they keep saying that.  For it’s like that line in the musical Evita, “Get them while they’re young, Evita.  Get them while they’re young.”  The sooner they can take them away from their parents the sooner they can start turning them into Democrat voters.  Such as teaching them to blame their parents for the manmade global warming that is killing the polar bears as they have no ice to rest on while eating their baby seals.

You know, today, women make up about half our workforce, but they still make 77 cents for every dollar a man earns. That is wrong, and in 2014, it’s an embarrassment.

Women deserve equal pay for equal work. (Cheers, applause.)

Actually, it’s closer to 91 cents (see The White House’s use of data on the gender wage gap by Glenn Kessler posted 6/5/2012 on The Washington Post).  And the small difference is not due to discrimination but personal choice.  When you look at aggregate wages women will make less than men.  Because more women are teachers (with 3 month off without pay) than men are.  Some women work fewer hours at work to spend more time with their children. While men tend to work more overtime.  Men also work the more dangerous and higher paying jobs.  And are more likely to belong to a union.  When you compare childless, single men and women with a college degree some women are actually earning more than men.  Figures don’t lie but liars figure.  And for the contortions the Obama administration did here The Washington Post’s The Fact Checker gave the president one Pinocchio.

Now, women hold a majority of lower-wage jobs, but they’re not the only ones stifled by stagnant wages. Americans understand that some people will earn more money than others, and we don’t resent those who, by virtue of their efforts, achieve incredible success. That’s what America’s all about. But Americans overwhelmingly agree that no one who works full-time should ever have to raise a family in poverty. (Applause.)

In the year since I asked this Congress to raise the minimum wage, five states have passed laws to raise theirs.

You’re not going to have a lot of upward mobility when you pay people more to remain in the jobs they hate.  All the talk about making college more affordable and bringing employers and community colleges together to help give people the skills they need to fill the jobs employers have is all for nothing if they just pay people more for doing an entry-level job.

Let’s do more to help Americans save for retirement. Today most workers don’t have a pension. A Social Security check often isn’t enough on its own. And while the stock market has doubled over the last five years, that doesn’t help folks who don’t have 401(k)s. That’s why tomorrow I will direct the Treasury to create a new way for working Americans to start their own retirement savings: MyRA. It’s a — it’s a new savings bond that encourages folks to build a nest egg.

Once upon a time people opened a savings account at their local bank and they saved to buy a house.  And they saved for their retirement.  That’s how people saved when they didn’t have a pension or a 401(k).  They can’t do that today because of the Federal Reserve destroying the banking industry by keeping interest rates at zero.  If the Fed stopped printing money and let investment capital come from our savings like they did before the Keynesians gave us the Federal Reserve people would be saving like we once did.  And we’d stop having Great Depressions, stagflation and Great Recessions.  Created by their prolonging the growth side of the business cycle.  Which raises prices higher than they normally would go.  Making the contraction side of the business cycle that much more painful.  As those prices have a much longer way to fall than they normally would.  Thanks to the Fed’s meddling with interest rates.

MyRA guarantees a decent return with no risk of losing what you put in. And if this Congress wants to help, work with me to fix an upside-down tax code that gives big tax breaks to help the wealthy save, but does little or nothing for middle-class Americans, offer every American access to an automatic IRA on the job, so they can save at work just like everybody in this chamber can.

You know why they want these MyRAs?  Because they can’t stand people saving money.  They love Social Security.  Because they can borrow from the Social Security Trust Fund.  Which is what they will do with these MyRAs.  They will take this money and spend it.  Filling the MyRA Trust Fund with a bunch of IOUs.  Just like they do with the Social Security Trust Fund.  And then provide a retirement benefit like Social Security.  That is too small to live on.  Whereas if we saved the money ourselves our retirement nest-egg will be much larger.  And it will provide for our retirement.  Unlike Social Security.

And since the most important investment many families make is their home, send me legislation that protects taxpayers from footing the bill for a housing crisis ever again, and keeps the dream of homeownership alive for future generations. (Applause.)

It was Bill Clinton that set the stage for the subprime mortgage crisis with his Policy Statement on Discrimination in Lending (see Bill Clinton created the subprime mortgage crisis with his Policy Statement on Discrimination in Lending posted 11/6/2011 on PITHOCRATES).  Using the heavy hand of government to get lenders to qualify the unqualified.  Then the Fed’s artificially low interest rates were the bait for the trap.  Enticing people to borrow huge sums of money because those interest rates were just too good to pass up.  Even if they weren’t planning to buy a house to begin with. The subprime mortgage crisis and the resulting Great Recession were government made.  If we want to prevent the taxpayers from footing the bill for another housing crisis we need to get the Keynesians out of government.

Already, because of the Affordable Care Act, more than 3 million Americans under age 26 have gained coverage under their parents’ plans. (Applause.)

More than 9 million Americans have signed up for private health insurance or Medicaid coverage — 9 million. (Applause.)

The Washington Post gave this lie three Pinocchios (see Warning: Ignore claims that 3.9 million people signed up for Medicaid because of Obamacare by Glenn Kessler posted 1/16/2014 on The Washington Post).  For they’re counting some 3.9 million who would have signed up anyway for Medicaid regardless of the Affordable Care Act.  Also, the government was counting people who put a health care plan into their shopping cart as if they signed up for it.  Which many couldn’t.  As they haven’t programmed the back end of the health care website yet to actually accept payment or to pass that information on to the insurers.

And here’s another number: zero. Because of this law, no American, none, zero, can ever again be dropped or denied coverage for a pre-existing condition like asthma or back pain or cancer. (Cheers, applause.) No woman can ever be charged more just because she’s a woman. (Cheers, applause.) And we did all this while adding years to Medicare’s finances, keeping Medicare premiums flat and lowering prescription costs for millions of seniors.

That’s right.  Women with reproductive systems that men don’t have won’t pay more for their health insurance than men pay for theirs.  How can they do that?  Simple.  They just are charging men more.  To cover the cost of a reproductive system they don’t have.

Citizenship means standing up for the lives that gun violence steals from us each day. I have seen the courage of parents, students, pastors, and police officers all over this country who say “we are not afraid,” and I intend to keep trying, with or without Congress, to help stop more tragedies from visiting innocent Americans in our movie theaters and our shopping malls, or schools like Sandy Hook. (Applause.)

If you take away guns from law-abiding gun owners that won’t keep dangerous people with mental health issues that want to harm people out of our movie theaters, our shopping malls or schools like Sandy Hook.  For there are other ways to harm people.  Just look at the Boston Marathon bombers.  The people he’s talking about not only had mental health issues but they were also smart.  Many were even college students.  Who probably could think of other ways to hurt people.  And you just can’t take away everything they might use to harm people.  But you can place these people somewhere where they can’t harm anyone.

You see, in a world of complex threats, our security, our leadership depends on all elements of our power — including strong and principled diplomacy. American diplomacy has rallied more than 50 countries to prevent nuclear materials from falling into the wrong hands, and allowed us to reduce our own reliance on Cold War stockpiles.

Since President Obama assumed office he did nothing to support the Green Revolution in Iran.  Which kept the hard-line Islamists in power there.  He gave Egypt to the Muslim Brotherhood by telling Hosni Mubarak that he had to go.  Removing the stable anchor of the Middle East.  And moved Egypt closer to Iran.  (The Egyptian people eventually rose up to overthrow the oppressive Muslim Brotherhood).  He went to war in Libya and helped to overthrow Colonel Muammar Qaddafi.  Who at the time was a quasi ally in the War on Terror.  After the Iraq invasion frightened him into believing he may be next.  President Obama was thanked for his Libyan war by al Qaeda with 4 dead Americans in Benghazi on the anniversary of 9/11.  He waited too long to act in the Syrian civil war.  Which only brought al Qaeda into the conflict.  He failed to attain a status of forces agreement in Iraq.  So he pulled all U.S. forces out of Iraq which has only invited al Qaeda in.  And it looks like this will be repeated in Afghanistan.  He blamed George W. Bush’s wars as recruitment tools for al Qaeda.  While his extensive drone use is doing the same thing.  Especially in Yemen.  The hotbed of al-Qaeda in the Arabian Peninsula.  All that his diplomacy and leadership has done was to make the world a more dangerous place.

American diplomacy, backed by the threat of force, is why Syria’s chemical weapons are being eliminated. (Applause.) And we will continue to work with the international community to usher in the future the Syrian people deserve — a future free of dictatorship, terror and fear.

His diplomacy with Bashar al-Assad in Syria only gave his oppressive regime legitimacy in the civil war he was raging against his people.  Making it easier for Assad to kill Syrians with conventional arms while he gives up a token amount of his chemical weapons.  While also making Russia who brokered the deal the dominate player in the region.

And it is American diplomacy, backed by pressure, that has halted the progress of Iran’s nuclear program — and rolled back parts of that program — for the very first time in a decade. As we gather here tonight, Iran has begun to eliminate its stockpile of higher levels of enriched uranium.

It’s not installing advanced centrifuges. Unprecedented inspections help the world verify every day that Iran is not building a bomb. And with our allies and partners, we’re engaged in negotiations to see if we can peacefully achieve a goal we all share: preventing Iran from obtaining a nuclear weapon. (Applause.)

All Iran is doing is pausing their program.  And chemically altering some of their enriched uranium to meet the requirements of this diplomatic deal.  But this chemical process is reversible.  And they will reverse it once they get what they want.  This deal makes the world no safer.  If anything it makes it more dangerous.  For it does not diminish the Iranian nuclear program in the least.  But gives them more time to work on it as they prop up their regime with much needed supplies thanks to a relaxation of the sanctions against them.

These negotiations will be difficult; they may not succeed. We are clear-eyed about Iran’s support for terrorist organizations like Hezbollah, which threaten our allies; and we’re clear about the mistrust between our nations, mistrust that cannot be wished away. But these negotiations don’t rely on trust; any long-term deal we agree to must be based on verifiable action that convinces us and the international community that Iran is not building a nuclear bomb. If John F. Kennedy and Ronald Reagan could negotiate with the Soviet Union, then surely a strong and confident America can negotiate with less powerful adversaries today. (Applause.)

The sanctions that we put in place helped make this opportunity possible. But let me be clear: if this Congress sends me a new sanctions bill now that threatens to derail these talks, I will veto it. (Applause.) For the sake of our national security, we must give diplomacy a chance to succeed.

The Soviet Union never attacked U.S. soil.  And there was a reason they didn’t.  They were rational.  And knew they would lose a great deal in a war with America.  Especially a nuclear one.  Which is why they never used their nuclear weapons.  But Iran giving a nuclear weapon to a shadowy group that is not a state?  With little to lose in using a nuclear weapon?  If it’s not a nuclear missile there will be no way in knowing where the nuclear bomb came from.  We can have our suspicions that Iran made it and gave it to someone.  But do we nuke Iran over that?  What if there are more nukes in the hands of al Qaeda, Hezbollah, al-Qaeda in the Arabian Peninsula, etc.?  You could nuke Iran back to the Stone Age but it won’t stop those others being used.  The president insists this will not happen as Iran signed an agreement.  The only problem with that is the Iranians are liars.  And they call the United States the Great Satan.   These two facts suggest that replacing those sanctions with a promise not to build nuclear bombs was probably not a wise trade.

But for more than two hundred years, we have put those things aside and placed our collective shoulder to the wheel of progress: to create and build and expand the possibilities of individual achievement; to free other nations from tyranny and fear; to promote justice and fairness and equality under the law, so that the words set to paper by our founders are made real for every citizen.

Use our collective shoulder to expand individual achievement?  The president believes in the former more than the latter.  He didn’t help the Iranians get free from tyranny when he had the chance.  And he turned the Egyptian people over to tyranny.  The Muslim Brotherhood.  Who were oppressing women and Christians.  Fairness and equality under the law?  Ask those Tea Party groups who were targeted by the IRS about fairness and equality under the law.  The Constitution?  That document of negative rights?  The left hates it.  And insists it’s a living document that can evolve over time to suit the needs of an expanding government.  So they can do exactly what the Founding Fathers wrote the Constitution to prevent from happening.

The Left endorses Unsound Policy Proposals with no Basis in Reality to improve their Chances of Winning Elections

The country is more conservative than liberal (see Liberal Self-Identification Edges Up to New High in 2013 by Jeffrey M. Jones posted 1/10/2014 on Gallup).  Which is why liberals want state-funded pre-K to start indoctrinating our children as soon as possible.  To get them away from their parents so they can begin the process of turning them into Democrat voters.  It’s why kids are getting worthless social science and humanities degrees.  To further indoctrinate them.  Because their views are minority views.  So they need to play loose with the facts.  And lie.  Which is easier to do with indoctrinated kids than educated adults.  You’ll even hear Democrats talk about lowering the voting age.  To get a few more years of voting out of these kids before they grow old and wise.  And begin voting conservative.  So they do what they can to dumb down education.  Lie.  Cheat.  And buy as many votes as they can by giving away free stuff.  And the thing they really want to give away is citizenship for illegal aliens.  Who they are sure will be forever grateful.  And show it by voting Democrat.

This explains the enthusiastic applause for unsound policy proposals that have no basis in reality.  For the left is not interested in improving the lives of Americans.  They just want to improve their chances of winning elections.

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Allegiant Air the most Profitable Airline despite being the least Fuel-Efficient

Posted by PITHOCRATES - September 21st, 2013

Week in Review

When people fly on vacation they’re about to spend a lot of money.  And a big cost is airfare.  Which they will try to book in advance to lock in some low prices.  This is what people think about when they are about to fly on vacation.  Not carbon emissions (see America’s greenest airlines by N.B. posted 9/17/2013 on The Economist).

IN THEORY, fuel efficiency should be a win-win proposition for airlines. Burning less fuel is better for the environment and the carriers’ bottom lines—fuel is generally their biggest single cost. That’s why one finding from a recent fuel-efficiency study is so surprising. In a new report (pdf), the International Council on Clean Transportation (ICCT) found that Allegiant Air, the most profitable airline on domestic American routes between 2009 and 2011, was also the least fuel-efficient airline during 2010.

…The upshot is obvious: according to the researchers, the financial benefits of fuel efficiency have not been enough to force convergence—”Fuel prices alone may not be a sufficient driver of in-service efficiency across all airlines…. Fixed equipment costs, maintenance costs, labour agreements, and network structure can all sometimes exert countervailing pressures against the tendency for high fuel prices to drive efficiency improvements.”

So if the bottom line cannot force airlines to be more fuel efficient, what can? The researchers suggest that airlines can start by making more data available to the public…Cars come with fuel-efficiency ratings, and appliances come with energy-efficiency stickers. Maybe flights should include that kind of data, too, so that concerned passengers can make an informed choice.

Allegiant Air is a low-cost no-frills airline that caters to people going on vacation.  And when you’re on vacation you are taking a break from worrying.  About the bills.  The job.  Even the environment.  You may drive a Prius back at home.  But for two 4-hour flights a year (to and from your vacation spot) you’re just not going to worry about carbon emissions.  Because you’re on vacation.

Allegiant Air flies predominantly MD-80s that sit about 166 people.  An MD-80 is basically a stretched out DC-9.  These have two tail-mounted turbojet engines.  The least fuel-efficient engines on planes.  But these turbojet engines are small and can attach to the fuselage at the tail.  Allowing it to use shorter landing gear.  These planes sit lower to the ground and can be serviced with the smaller jet-ways you see at smaller airports.  Where Allegiant Air flies out of nonstop to their vacation destinations.  People like not having to make a connecting flight.  And will gladly dump a few extra tons of carbon into the atmosphere for this convenience.

The Allegiant Air business model includes other things to help keep costs down.  They are nonunion.  They also fly only a few flights a week at each airport.  Allowing a smaller crew to service and maintain their fleet.  These labor savings greatly offset the poorer fuel efficiency of their engines.  The airlines that have unions (pilots, flight attendants, maintenance, etc.) all share something in common.  Recurring bankruptcies.  Which Allegiant Air doesn’t have.  Despite their higher fuel costs.

Fuel costs are an airlines greatest cost.  Especially for the long-haul routes.  Which burn a lot more fuel per flight than the typical Allegiant Air flight.  Which is why the fuel-efficient Boeing 787 is so attractive to them.  As they need to squeeze every dime out of their fuel costs as they can.  To offset their high union labor costs.  Those very costs that return a lot of airlines to bankruptcy.

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The NHS is all about keeping Labour in Power just as Obamacare is about keeping Democrats in Power

Posted by PITHOCRATES - July 20th, 2013

Week in Review

Why did FDR give us Social Security?  To connect retiring Americans with the Democrat Party.  Why did LBJ give us Medicare and Medicaid?  To connect retiring and poor Americans with the Democrat Party.  And why has national health care been the Holy Grail of the Democrat Party?  Because that will connect ALL Americans to the Democrat Party.

During each election it’s the same thing.  Social Security and Medicare are going broke.  Republicans put forth plans to save these programs.  While the Democrats shout out, “See!!!  The Republicans want to take away your Social Security benefits and your Medicare benefits, seniors.  They want you to die.  They want to roll Grandma off the cliff.  Because they are nothing but a bunch of greedy, vicious, heartless bastards.  So remember to vote Democrat.  Unless you want to become homeless and die an excruciatingly painful death.  If so, then vote Republican.”  They scare seniors to vote for them and win elections.  And Social Security and Medicare become even more broke.

The Labour Party in Britain scored big with the creation of the National Health Service (NHS).  For the NHS was their baby.  And people would forever remember that fact.  And that was electoral gold.  But to maintain appearances they had to make sure everything looked hunky dory in the NHS.  Even when appalling care was killing thousands a year (see Labour must bear the blame for the shameful decline of the NHS by Sean Worth posted 7/15/2013 on The Telegraph).

One of the most depressing experiences in politics is to listen to a focus group discuss Labour and the NHS. Time after time, the voters’ attitude is simple: unconditional praise. No matter how bad the health service’s performance, there is a feeling that it is safest in the hands of the party that created it… The NHS is such an electoral asset that Ed Miliband is expected to make it a central part of his campaign to be Prime Minister – not least because he lags so badly on so many other issues, such as economic competence and personal credibility.

But does Labour really have cause to be proud of its record on the NHS? Today, the results of an investigation into suspicious death rates at 14 hospitals – carried out in the wake of the scandals at Mid Staffordshire – are revealed. The facts are appalling: their performance was so poor that up to 13,000 people may have died needlessly. So severe are the problems that Prof Sir Bruce Keogh, the medical director of NHS England, is expected to place many in special measures, or replace management teams entirely.

This comes on the back of a number of revelations about abuse and neglect in the NHS, stretching back over many years. Yet while the agencies set up by Labour to monitor patient safety have been shown to be either negligent – with many of the 14 trusts on the “death list” receiving clean bills of health from the Care Quality Commission – or actively complicit in covering up hospitals’ errors, no politician has had to carry the can. In fact, the polls show that in the wake of revelations about Labour-era scandals such as at Mid Staffs, it is actually the Tories who are blamed.

That, however, could be about to change. A parliamentary question tabled by the Tory MP Priti Patel shows that Labour ministers – including Andy Burnham, the party’s current health spokesman and former health secretary – received more than 1,500 warnings over the safety of care at the 14 hospitals on this “death list”, many from concerned staff, patients or members of the public…

In addition, people around the last government are starting to speak out. Prof Sir Brian Jarman – the expert who uncovered the original problems at Mid Staffs, Morecambe Bay and Basildon hospitals – has claimed that his work was “suppressed” by Labour ministers, describing the Department of Health as “a denial machine”, focused on producing good news stories rather than getting to the bottom of the death-rate data. Two former NHS regulators who worked under Labour, Dr Bill Moyes and Baroness Young, have also described the “pressure” exerted on the system by ministers to keep quiet about unsafe care…

One central reason why Labour has been allowed to get away with the idea that it is the “party of the NHS”, while presiding over such a shameful record, is that it benefits from the axis within the public services that tirelessly attacks those who dare to suggest that the health service might need to change. Most notorious is the treatment of Julie Bailey, the ex-nurse whose mother was killed by neglect at Mid Staffs, who has been the targeted of venomous abuse for speaking out about it. In 2011, union activists posted an internet video which stated they hoped she would die; she has since been subjected to a campaign of nuisance calls, threats and online vitriol; has been hounded from her business and her home and even seen her mother’s grave desecrated.

Fast and Furious.  Benghazi.  The IRS abuse of conservatives.  All scandals that the Obama administration was going to look into and get to the bottom of.  And here we are.  With the Obama administration getting to the bottom of nothing.  Everything is an ongoing investigation that they can’t comment on.  And time advances on.  Hopefully to the point that people get tired asking about these scandals.  So is there any question that what’s happened in the NHS could very well happen in Obamacare?

One of the reasons why Democrats want to nationalize health care so badly is to unionize those health care workers.  Because if they’re unionized they will pay union dues.  Which will be a windfall into Democrat coffers.  The administration will fight to give these health care heroes a decent living wage.  The higher the better.  For the more of the taxpayers’ dollars they get the more of the taxpayers’ dollars flow into Democrat coffers.  And once that big money revenue stream is set up you will see the public sector unions pulling out all stops to protect it.  Just like they are in Britain.  To protect the windfall of the NHS to Labour coffers.

The NHS isn’t in the health care business.  They’re in the election business.  And so far that business has been very successful.  Even if the health care side of it has not.  This is what Obamacare is all about.  To set up the same cash windfall to Democrat coffers.  And they have been salivating for that day to arrive.  And will do anything to attack their enemies that try to deny them their Holy Grail.

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Greedy Public Sector Unions in San Francisco demand Taxpayers pay them More

Posted by PITHOCRATES - July 7th, 2013

Week in Review

FDR was pro-union.  He was all for tearing businesses a new one when it came to collective bargaining.  For he didn’t like those royalists.  Greedy businessmen who put their profits ahead of their employees.  While making them work in horrible conditions.  For long hours.  For little pay.  The greedy little profit whores they were.  But FDR drew a line when it came to government workers.  Because taxpayers pay government workers.  And it just didn’t look right for government unions to call the taxpayers greedy little profit whores.  So FDR opposed unionizing government workers.  Because you just can’t have government workers tear the taxpayers a new one to enrich themselves at the taxpayers’ expense.  Something was just wrong with that.  But that was then.  This is now (see San Francisco Bart rail strike ends as contract extended posted 7/5/2013 on BBC News US and Canada).

San Francisco Bay’s transit rail service has resumed after two labour unions called off a strike.

The four-day walkout came to an end after both sides in the Bay Area Rapid Transit (Bart) dispute agreed to a one-month extension of the current contract while bargaining continues…

Talks between the two sides had resumed as early as Tuesday, but key sticking points include salaries, as well as employee costs for pensions and healthcare…

Bart has said workers from the two unions earn on average $71,000 (£47,500) in base salary and $11,000 in overtime annually…

The president of one of the striking unions, the Amalgamated Transit Union, struck a defiant tone.

“We’re not going to let them hijack us and the riding public,” Antonette Bryant said, as she apologised to commuters for the disruption.

So these union workers make $88,000 between base salary and overtime.  Being that train schedules are pretty fixed so must that overtime.  That’s well above the median household income of about $50,000.  Yet on top of that $88,000 they get pension and health care benefits.  And some pretty nice ones at that.  Which is why everyone wants to get into these unions.  While most Americans have to put something aside for their retirement from that median household income.  As well as pay a percentage of their health insurance premium.  Unlike public sector unions.  Who just have to go on strike to get the city to increase taxes on the taxpayers.  So the city can afford to pay those generous pay and benefit packages.

Hijack the riding public?  By opposing these union demands management is trying to prevent the unions from hijacking the riding public.  For when you add in the pension and health care benefits they’re already making about twice what the riding public is earning.  Making it difficult to call the taxpayers the greedy little profit whores here.  Yet they are because they won’t consent to pay more.  Which they can do by only having less in their personal lives.  Which certainly isn’t fair.  Especially considering that a lot of these people don’t even ride the damn trains.

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The Rise and Fall of the American Textile Industry

Posted by PITHOCRATES - July 2nd, 2013

History 101

Inventions and Innovation gave the United States a Burgeoning Textile Industry

The American textile industry was founded by businessmen.  And inventors and their inventions.  Not by any labor movement.  For before there could be a labor movement there first had to be industry to employ laborers.  And laborers weren’t creating these industries.  They were just selfishly waiting for others to do this so they could get a job in them one day.

We may never know which came first.  The chicken or the egg.  But we do know which came first when it comes to industries and laborers.  The mind came first then the muscle.  Rich people with a keen eye to judge a good investment.  Businessmen and entrepreneurs unafraid to take a risk.  And who will throw their body and soul into their business.  Then the non-risk taking people come along.  The laborers.  Who have no skin in the game.  Who wait until the minds come together to create something in which they can apply their labor.  And get a paycheck.

Samuel Slater built cotton mills in New England (1800ish).  Slatersville Rhode Island, the town he established, bears his name.  Francis Cabot Lowell and Paul Moody created a more efficient power loom and a spinning apparatus (early 1800s).  Elias Howe invented the sewing machine (mid 1800s).  And the lock-stitch.  Throw in a few more inventions, some improvements on past inventions and some innovation and you have a burgeoning U.S. textile industry.

The Luddites went about England smashing the Machines of the Mechanized Textile Industry

Cloth-making used to be a labor-intensive activity of highly skilled artisans.  For those who had the money to afford the costly clothing they made.  Many could not.  And made their own clothing in the home.  Women would spin fiber into yarn.  And weave the yarn into cloth.  Which was very labor intensive.  Allowing only a meager production of clothing for the family to wear.  Which meant a lot of darning for worn out clothing.  Hand-sewing patches to cover holes.  Sewing ripped seams back together.  And sewing together rips and tears.  Until the clothing was so worn that it couldn’t be darned anymore.

It is hard to fathom how important this was during early America.  A time of a mini ice age.  In the north the winters were long and they were cold.  This homemade clothing may not have been pretty.  But it could keep you from dying of exposure in those brutally cold winters.  The mechanization of the textile industry changed all of that.  Smart inventors and business owners used machines to automate the cloth-making process.  Allowing less skilled people to operate smart machines.  Producing more clothes for less.  Bringing the cost of clothing down.  So anyone could afford to buy clothing.

Of course, this did not make everyone happy.  As those machines replaced the need for highly skilled artisans.  Who demanded high prices for their craft.  Allowing only the rich to afford their wares.  They didn’t like these machines cutting into their high wages.  And did something about it.  A group of people called ‘Luddites’ went about England smashing the machines of the mechanized textile industry (1811-1817).  Hoping to force a return to the old ways of making clothing.  By skilled artisan.  Where only the rich could afford to buy clothing.

Unions have Exported Entire Industries to Emerging Economies to Escape Soaring Labor and Regulatory Costs

Just as the textile industry was modernizing and mechanizing two seamstresses formed the first all-women’s labor union in 1825.  The United Tailoresses of New York.  Protesting 16-hour workdays.  And the lack of a living wage.  Strikes followed.  The Lowell, Massachusetts, mill women’s strike in 1834.  The Manayunk, Pennsylvania, textile strike in 1834.  The Paterson, New Jersey, textile strike in 1835.  And the Llowell, Massachusetts, mill women’s strike in 1836.  In 1844 women formed and ran the Lowell Female Labor Reform Association.  Then more strikes.  The Cohoes, New York, cotton mill strike in 1882.  The Fall River, Massachusetts, textile strike in 1884.  The Augusta, Georgia, textile strike in 1886.  The Fall River, Massachusetts, textile strike in 1889.  In 1890 New York garment workers won the right to unionize.  Close their shops to nonunion workers.  And fire any nonunion workers on the payroll.  In 1900 the International Ladies’ Garment Workers Union was founded.  In 1901 the United Textile Workers was founded.  Then came the New York shirtwaist strike in 1909.  Massachusetts passed the first minimum wage law for women and minors in 1912.  Then came the Lawrence, Massachusetts, textile strike in 1912.  Giving us the walking picket line.  Then the Paterson, New Jersey, textile strike in 1913.  The Amalgamated Clothing Workers union was founded in 1914.  Then the Fulton bag and cotton mill strike in 1914.  The Passaic, New Jersey, Textile Strike in 1926.  And so on.

The Luddites hated the machinery of the modern textile industry.  As they didn’t like the idea of replacing many highly skilled and well-paid artisans with automated machinery operated by fewer low-skilled laborers.  So they tried to smash the automated machinery.  To try and save their jobs.  Which the labor movement was happy to see go away.  For they would rather pack as many low-skilled laborers into those Dickensian factories as possible.  For the more members they had in their unions the more powerful they were.  And the more they could demand from the business owners.  They demanded a lot, too.  Higher wages, shorter hours and better working conditions.  So much so that the cost of labor rose while productivity fell.  Throwing the door open to foreign competition.

The big labor movements used their friends in government to protect their generous union contracts.  By passing pro-union legislation.  And placing tariffs on imported textile goods.  Keeping clothing prices high.  So business could earn enough to pay those generous union pay and benefits.  But this left these businesses uncompetitive in the world’s markets.  Which they wanted to sell in.  For it wasn’t only Americans that wore clothes.  Those union contracts increased labor costs so much that businesses found it hard to remain in business let alone remain profitable.  So they started leaving the United States during the 20th century.  Which is why today there is no U.S. textile industry.  Because of the high cost of labor.  And costly regulatory policies.  Where is the textile industry today?  In the emerging economies.  Where labor and regulatory costs are lower than in America.  While the standard of living for those employed in these factories are often higher than their fellow countrymen.  Which is what unions have often done in the United States.  Create good jobs in emerging economies.  By exporting entire industries from the United States to these emerging economies.  Where they can escape soaring labor and regulatory costs.

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Aging Casino Waitresses turn to the Union to Protect their Jobs from Younger and Sexier Women

Posted by PITHOCRATES - June 9th, 2013

Week in Review

Sex sells.  Advertising is full of scantily clad women peddling some product.  Television executives push the envelope with racier content during the family hour.  And famous actresses often show their boobs in the movies for a bigger paycheck.  Because guys want to see famous actresses’ boobs.  Even Seth McFarlane sang a song about seeing these actresses’ boobs at the Oscars.  Something many of them were not amused at.  Yet they showed them.  Because sex sells.  Always has.  And always will.  Especially with attractive women.  Who can often increase their income by showing a little more flesh.  And do.  Until they age.  At which time they turn to the union to keep a job they got with their looks.  Such as waitressing in a casino (see Conn. casino cocktail waitresses fight shoe rules by Michael Melia, Associated Press, posted on Yahoo! News).

Cheryl Haase has been serving cocktails for more than two decades, and the 52-year-old waitress says she has a list of foot ailments to prove it.

The miles she has walked carrying trays of drinks through the Foxwoods Resort Casino in high heels have sent her over the years to chiropractors and podiatrists for injections to treat inflammation.

Now she and a union representing her fellow cocktail waitresses at the country’s largest casino are fighting for the servers to wear shoes of their own choosing. Many have worked at the casino since it opened in 1992, and some see proposed new requirements as a bid to push them out and make way for younger workers.

“Most of us girls have been here for 20 years, 15 years. This job has really done a number on our feet and they know it,” Haase said…

From Las Vegas to Atlantic City, footwear for cocktail waitresses has been a spiky issue as image-conscious casinos encourage dress codes to help attract customers. A coalition that formed more than a decade ago in Nevada challenged casinos with rallies against high heels. In New Jersey in the 1990s, female servers sued the Borgata Hotel Casino & Spa, which had waitresses it dubbed “Borgata Babes” wear high heels and cleavage-baring bustiers. The lawsuit was settled in 2008…

‘The higher the heel, the larger the tip…’

At Foxwoods, some cocktail waitresses sought out the union around 2009, partly because of their concerns that older workers were vulnerable…

Haase, who has 13-year-old triplets, said she makes only half of what she used to as the gaming slump has cut into her tip money, but she does not want to give up on a job where she enjoys seniority.

Prostituting yourself for tips is a young woman’s game.  Look, it’s no secret who’s spending money at casinos.  Old men with money who like looking at sexy waitresses.  Even your greasy diners will hire sexy waitresses to get old men who don’t cook to become regulars.  And these waitresses will flirt with these old coots, pinch their cheeks, call them sweetheart and show a lot of cleavage all day long.  Because these old coots will tip more when these sexy waitresses flirt with them.

It’s tough for a 52-year-old to wear spike heels and compete with younger waitresses.  But a woman who’s worked at a casino for 20 years no doubt took a job away from an older woman who could not wear sexy high heels or a bustier showing ample cleavage.  That was okay when they were getting a job when they were young and sexy.  But it’s wrong when the owner wants to do the same thing again.  Only with other women who are young and sexy.

You can’t have it both ways.  You can’t use your sexuality to get a job and make big tips.  Then complain about that same owner wanting to replace you because you’re not as sexy as you once were.  And these old coots are buying a drink or two less because of it.  No.  There’s a reason these old coots are staying in the casino a little longer even when they are losing.  Because some sexy waitress is calling them sweetheart while showing a lot of leg and cleavage.

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