Waxman Intimidates Corporations Over Health Care Bill
Unbelievable! Is it really a surprise that a slew of companies (e.g., AT&T, Caterpillar, and Valero) have had to announce to the market that the newly passed Democratic Party Health Care Bill has provisions that materially affect their liabilities and expenses? Congressman Waxman's attempts to intimidate corporate executives clearly reflects political embarrassment over the Democrats' misleading smoke and mirrors accounting, the delusion that you could add a new entitlement at virtually no cost to economic growth. As explained, in an earlier post, the GOP-led Congress, in devising a new Medicare prescription drug benefit during Bush's first term, provided employers with existing retiree prescription drug plans an incentive to retain their plan, including a tax-exempt status. The progressive Democrats, seeking funding sources for the new entitlement, decided to end the tax exempt status of these subsidies, in an attempt to generate $4.5B in revenue. Towers Watson, a benefits consultancy, has estimated this may cost corporations up to $14B in US corporate profits. The whole reason for the tax-free subsidy from the get-go was to keep Medicare drug benefit expenditures low, to provide companies an incentive not to drop their existing relevant retiree benefits. If the corporation is at the 35% level, it is now losing $1 of every $3 of the subsidy. The cost of the benefit has jumped, and I have no doubt, if the Congress doesn't restore the subsidy, at least some companies will drop their plans. That means not only do projected revenues go down, but Medicare expenses will go up. Progressives are bad at math...
Contrary to assertions otherwise, corporations did register objections over the plan. THEY ARE REQUIRED BY LAW TO DISCLOSE MATERIALLY RELEVANT EVENTS; these disclosures are not politically motivated to embarrass the Democrats. Policies have consequences--and so do elections. After Obama and his follow progressives repeatedly stated everything about the bill had been talked to death--whoops! I guess that must have been one of those hidden surprises Speaker Pelosi was talking about. Imagine that--$500B of new taxes on businesses, individuals and the job creator class might actually have an adverse effect on the fragile economic recovery and the job market. Who knew? Well, besides every single Congressional Republican and the average American whom has been saying, for months now: "Jobs! Jobs! Jobs!"...
The President's Health Care Hype Bluff Gets Called
Obama pushed his luck just one time too many, in a Today Show interview with Matt Lauer this morning calling the recently passed Democratic Party Health Care Bill "middle of the road, centrist approach" and then claiming that "in terms of the exchange...that originated from The Heritage Foundation." The conservative think-tank's President, Dr. Ed Feulner, forcefully responded:
The President knows full well...we and most others support...a market mechanism to enable families to choose their health insurance. President Obama's exchanges, by contrast, are a vehicle to introduce sweeping regulation and federal standardization on health insurance.
The President has made a habit of using conservative talking points when trying to sell a liberal ideology...The President's health care plan also raises premiums, taxes, and costs while lowering quality and expanding Medicaid. These are not conservative ideas. And let's be clear, these are not ideas Heritage has ever, or would ever, support...We remain fervently opposed to the President's partisan plan, and urge its immediate repeal.Moscow Subway Tragedy
I fully support the President's statement yesterday regarding the unconscionable terrorist acts on innocent Russian civilians:
I send my deepest condolences to the people of Russia after the terrible loss of life and injuries resulting from the bombings on the Moscow Metro. The American people stand united with the people of Russia in opposition to violent extremism and heinous terrorist attacks that demonstrate such disregard for human life, and we condemn these outrageous acts. My thoughts and prayers go out to those who lost loved ones, and I wish all who sustained injuries a succesful recovery.The multiple female suicide bomber attacks killed at least 38 people and injured over 100 others. The US, in response, upped its own ostensive security presence at New York City subway and Washington DC Metro systems. Having been a frequent passenger on the Chicago Metra rail and, more recently, the DC Metro lines, I've always been worried about the potential security issues. For example, after 9/11, I recall riding into Chicago Union Station, where you often see streams of hundreds of passengers going to and from Union Station during rush hours. I have stood in packed Metro rail cars with no room available. I'm sure there are security operations I didn't see or notice, but I rarely saw security personnel during my own commutes. I always check out any unusual behavior by fellow passengers, packages left behind, etc. We must always be vigilant and not be lulled into a false sense of security. We need to ensure the Moscow tragedy never happens again--in Russia, the US, or any other civilized country.
Political Cartoon
IBD cartoonist Michael Ramirez succinctly summarizes Obama's incoherent foreign policy: reach out to rogue nations, bully your allies... No doubt Obama's next tome will be entitled "How to Make Enemies and Influence Their Tactics".
Quote of the Day
Beginning today, treat everyone you meet as if they were going to be dead by midnight. Extend to them all the care, kindness, and understanding you can muster, and do it with no thought of any reward. Your life will never be the same again.
Og Mandino
Musical Interlude: Neil Diamond Early Songs
"Solitary Man"
"Holly Holy"
Brother Love's Traveling Salvation Show
Brooklyn Roads (great autobiographical song)
