Republican Candidates Should Push for Real Education Reform

In light of his presidential candidacy, several commentators have cast wary glances at Texas Gov. Rick Perry’s record on crony capitalism and its implications for how he and other Republican candidates will approach education policy. Jay Greene commented on Wall Street Journal article outlining the crony capitalism charge: “The real problem is the hubris of thinking that a handful of government leaders can identify the ‘right’ businesses to which capital should be allocated. … In short, crony capitalism is an example of the errors of central planning.”

The predilection for central planning has been a hallmark of both Democratic and Republican policy for many decades. The hated No Child Left Behind law serves as a prime example; yet in all the controversy now surrounding the president and his education secretary’s decision to waive the law for some states (Montana received the first last week), neither the complaining states nor congressional Republicans planning to reauthorize NCLB under a slightly less centrist strategy seem to have noticed this fatal flaw in federal education policy. NCLB rests on the premise that the federal government should centrally plan education policy.

One would think this a prime target for Republican presidential candidates, a wide-open opportunity to distance themselves from the president’s command-and-control style and to talk about how the failure to propagate an educated citizenry means we’ll never have a chance to “grow our way out” of our economic hole. But we’ve heard only the faintest peep on the subject.

Writer RiShawn Biddle notes Perry’s weak record on K-12 education reform and speculates on why Republican candidates seem to avoid the topic: Although it serves as both a symbol and instrument of federal overreach, NCLB’s accountability provisions have helped governors overcome special interests and expand school choice by exposing the public schools’ poor performance.

Biddle suggests Republican candidates should offer a less sweeping, more “centrist” vision for improving the nation’s schools, based at the federal level and using the same formula of sticks and carrots as in NCLB.

I have a better idea. The Republican candidates should consider that education, like health care, is one of the dominant sectors in the United States today and one of the few actually expanding parts of the U.S. economy. If the forces of government expansion in these areas continue unchecked, they will ultimately drown the nation in statism.

The solution is not a different federal role in central planning. It’s for the federal government to get out of central planning altogether. The Republican candidate who perceives this truth will have a real alternative to offer the nation and its voters.

(Joy Pullmann ([email protected]) is an education research fellow and managing editor of School Reform News at The Heartland Institute.)


CA Ballot Prop Limits Union and Corporate Interests

There is a new ballot initiative being circulated for signatures, to place an important question before the voters of California at the June 2012 election.  Designed to prevent special interests from buying favors from our elected officials, the “Stop Special Money Interest Now” initiative would do four things:

1.       Ban corporations and labor unions from making direct contributions to candidates;

2.      Prohibit government contractors from contributing money to government officials who award them contracts;

3.      Prohibits corporations and labor unions from collecting political funds using the inherently coercive method of paycheck deductions; and

4.      Requires that employee contributions to the political funds of either corporations or labor unions be voluntary, via annual written consents.

This common-sense initiative is sorely needed if we are to get California back on the right track, because right now special interests own our government, bought and paid for.  In the 2010 election cycle, for example, $715 million was contributed to state-level campaigns and candidates, 79% of which came from groups outside the candidate’s district.  The top 15 special interest organizations have spent nearly $1 billion on political activities over the past decade.  In return for all this political cash, nearly 40% of all bills introduced in the legislature are sponsored by special interest organizations, and these bills are more than twice as likely to pass as those sponsored by the elected officials themselves.  If you think that $1 billion has been spent to advance the public good, you are naively mistaken.  Whether through sweetheart “no-bid” government contracts for multi-national corporations, or excessive pensions for public employee unions that those of us in the private sector cannot begin to fathom, the legislature has been generous in lining the pockets of their special interest benefactors.  They have nearly bankrupt the state in the process, squeezing out the legitimate needs of our communities, whether it be roads, or schools, or public safety.

Some have argued that the initiative amounts to an unconstitutional restriction on First Amendment speech rights.  Not so.  The Supreme Court has already upheld bans on direct contributions to candidates by corporations and labor unions because of the particularly corrupting effect such contributions can have on our political system.  The Court’s recent decision in Citizens United did not involve direct contribution bans; rather, it struck down limits on independent expenditures, and the Initiative leaves both corporations and unions free to make independent expenditures on their own.  It also leaves individuals free to make direct contributions to candidates themselves, whichever candidates they (rather than their corporate or union bosses) decide to support.

The Stop Special Interest Money Now initiative is designed to prevent the corrupting flow of money directly to elected officials, while leaving open the avenues for campaign speech by everyone—citizens, corporations, and unions alike—that the Constitution rightly requires.  This simple, fair initiative removes the current abuses in our campaign finance system that have made elected officials more beholden to their special interest paymasters than to the rights and concerns of ordinary voters.  It is time to return our government to the people of California rather than the special interests.  You can read more about the initiative at its website,  I hope you will agree to join me in supporting this important effort.


(John C. Eastman is a Constitutional Law Professor and former candidate for Attorney General)


In the Aftermath of Iowa

The race to nominate a Republican presidential candidate has heated up considerably since the Iowa straw poll.

Republicans, clamoring for someone to rally behind with prospects of defeating President Barack Obama in next year’s election, may have exhaled a sigh of relief Aug. 13 when Texas Gov. Rick Perry threw his cowboy hat into the race for the GOP presidential nod.

While Michele Bachmann celebrated her victory in the Iowa straw poll, Perry basked in a national spotlight when he announced his candidacy the same day. Perry’s momentum continued Tuesday as he all but assumed national frontrunner status when Rasmussen’s GOP primary poll results showed Perry leading both Bachmann and former Massachusetts Gov. Mitt Romney by double-digit margins: 29 percent of poll respondents favored Perry, versus 18 percent for Romney and 13 percent for Bachmann.

What makes Perry’s entrance into the race special is that he was almost drafted. It seemed for months that he did not intend to run, but with what many conservatives, Tea Partiers and Republicans viewed as a lackluster field, calls for a Perry candidacy began to build, especially as it has become more evident that jobs and the economy will be the biggest issues of next year’s election. Perry, arguably, has the best record of any of the Republicans running on job creation – in fact, Texas accounts for the creation of more jobs during the so-called economic recovery than all other states combined.

Perry’s announcement overshadowed the results of the Iowa straw poll, but the poll is little more than a gauge of candidates’ popularity. Mitt Romney won the straw poll in 2007, then lost the 2008 Iowa Caucuses to Mike Huckabee. And, of course, inevitably the Republican nominee was John McCain. In fact, since 1979, the Iowa straw poll has picked only two candidates who won the Republican nomination – and in one case it was a tie between Bob Dole and Phil Gramm. George W. Bush was the only candidate to win the poll, the Republican nomination and the presidency.

While Perry appears to be the quasi-frontrunner nationwide, in New Hampshire, an important early primary state, a recent poll conducted by the New Hampshire Journal shows Romney with a commanding lead, 36 percent to Perry’s 18 percent. But Romney has been on the campaign trail for some time.

In California, and Orange County, in particular, an important campaign fundraising stop for GOP presidential hopefuls, Romney has the strongest support according to a Probolsky Research poll released Thursday. Romney is preferred by California Republicans, 22 percent to Perry’s 15 percent, the poll shows.

The preference for Romney makes sense, though, given that during the 2008 campaign he established a stronghold in Southern California, bolstered by the support of the Orange County Republican Party chairman, Scott Baugh, and major political donors. This time, however, all signs point to Baugh throwing his weight behind the Perry campaign – especially after Monday’s Orange County GOP Central Committee meeting, where a straw poll taken by Baugh showed about 85 percent of members preferring Perry.

“My goal is to always support the most conservative candidate,” Baugh told me in a phone interview, “and Rick Perry has stepped to fill a void in the primary contest as a credible, national figure who doesn’t intend to manage our inefficient government; he intends to reform it and give more power back to the states.”

Major Orange County business leaders have signed on for the Perry campaign. Real estate developer Hadi Makarechian, who helped Romney raise about $2 million in the previous campaign, is backing Perry, as is Auto Club CEO Tom McKernan; Family Action PAC chairman Larry Smith; and former Anaheim Mayor Curt Pringle, to name a few.

Romney still has some considerable backing in Orange County, including Dale Dykema, CEO of TD Service Co., and Glenn Stearns, CEO of Santa Ana-based Stearns Lending.

Romney also has what some may consider a decisive advantage because he is viewed as the heir apparent to the nomination, something not to be underestimated among Republicans. McCain benefited from such perceived status in 2008, as did Ronald Reagan and Richard Nixon. Some believe it is Romney’s turn, that he is next in line.

What both Perry and Romney may find difficult, though, is engaging a new, powerful force in the GOP nomination process: the Tea Party. Many credit the Tea Party for propelling Texas Rep. Ron Paul to a close second-place finish in the Iowa straw poll. Romney is not a Tea Party favorite, and neither is Perry a natural fit for Tea Party support. Bachmann, however, has been soundly embraced by the movement.

There are several other wild cards in the mix, the two biggest potential spoilers being Rep. Paul Ryan and Sarah Palin.

Palin’s bus tour suggests she is testing the waters, but many Republicans would prefer she sit out the race, questioning her electability in a general election. As conservative columnist George Will has said about the 2008 GOP vice-presidential nominee, “There is no undecided vote in this country about Sarah Palin.”

As for Ryan, time grows short for him to make a serious run. He has the intellectual capacity and the credibility among conservatives, especially economic conservatives. He is being encouraged to jump into the race by some Republican heavyweights, including Reagan-era education secretary Bill Bennett, who, in a recent email to Jennifer Rubin at the Washington Post, said, “There are many talented candidates in the race already, but there is always room for a man of Paul Ryan’s intellectual depth, temperament, talent and conviction.”

If Ryan were to enter the race he would make an already interesting GOP primary more competitive. But for now the race appears to be between Romney, the heir apparent, and the Texas job engine, and momentum looks to be on the side of Perry, at least for now.

(Originally published at the Orange County Register.)

Obama’s EPA is Killing Job Creation

Obama says he will get focused on the jobs problem just as soon as he returns from his August vacation in Martha’s Vineyard. Like the more famous Hamptons, the Vineyard is a playground of the rich and famous out to find some summer enjoyment on the Atlantic shore. Just before leaving, Obama articulated his number one goal is to grow the economy.

But while Obama is playing jetsetter, back in Washington a crucial regulatory agency, the Environmental Protection Agency (EPA), has been captured by a group of extremists who actually believe the USA would be better off with a smaller economy.

In some of the economy’s most hopeful corners, these bureaucrats are wielding all of the levers of regulatory authority in their arsenal to kill growth. Just as the “green shoots” of recovery sprout, they come along with a can of herbicidal regulations and kill the sprout. As long as Obama leaves these extremists in charge of the agency, the economy is unlikely to recover and will suffer.

Having a reliable national electrical infrastructure is vital to new job creation.

Yet new EPA regulations will significantly reduce the amount of electricity generated from coal-fired energy flowing from our power grid. The EPA told the public that the agency was working with the Federal Energy Regulatory Commission (FERC) to determine the impact of its regulations on the reliability of the nation’s electricity capacity. This was to include a joint modeling effort.

However, responses from FERC Commissioners to an inquiry from Congress regarding the degree of agency coordination on the impact of the agency’s new rules clearly shows the EPA statements were not truthful. Correspondence from the FERC chairman and commissioners revealed the commission is not working on a formal assessment of the impact of the EPA regulations on the ability of our power grid to reliably deliver electricity to the nation’s homes and businesses.

“The EPA’s deception of the public is outrageous and it exposes the agency’s underlying zeal to regulate without regard to the consequences of its actions. EPA’s actions may very well put the reliability of our electricity supply in jeopardy,” said Tom Borelli, Ph.D., director of the National Center for Public Policy Research’s Free Enterprise Project.

These job killing EPA regulations are part of a wider program to “curb man made climate change” or global warming. But the science behind this believed threat to the planet’s existence keeps melting away under scrutiny.

The latest example is the Polar Bear’s supposed struggle against extinction.

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Obama Versus Job Creators

Captains of industry have begun, in uncustomary fashion, speaking up against President Barack Obama and his policies – and the chorus will likely grow louder going into next year’s presidential election, perhaps swaying independent voters. The president may dismiss the chorus as the rantings of greedy “corporate jet owners,” but he may soon see himself on a collision course with big job creators during his 2012 reelection campaign – a time when job creation and the economy well could be issues driving the electorate.

It is usually frowned upon – even looked upon as taboo – for CEOs of major U.S. companies, and especially multinational corporations, to openly criticize the president or show outright partisanship toward or against a political party. At least publicly. But recently – and, especially, within the past month – corporate leaders have begun to openly criticize administration policies as helping to depress the nation’s business climate.

In that time, three major business leaders spoke out against the Obama administration: Bernie Marcus, the co-founder of Home Depot; Andy Puzder, CEO of CKE Restaurants (parent of Carl’s Jr. and Hardee’s); and casino tycoon Steve Wynn, CEO of Wynn Resorts. They contend that President Obama has strangled the economy and hamstrung job growth in the country. As Puzder told me directly, businesses in the country “are being actually prevented” from creating jobs because of the administration.

CEOs are typically careful, measured and scripted when making political remarks, but that approach is changing, likely because of the Obama administration’s constant demonization of corporate America.

During a well-publicized company conference call last month, Wynn, a self-described Democrat and supporter of fellow Nevadan Senate Majority Leader Harry Reid, told listeners, “This administration is the greatest wet blanket to business, and progress and job creation in my lifetime.” He added that businesses “are frightened to death about all the new regulations,” singling out Obamacare as a major challenge for companies. Fear of the administration, he said, “makes you slow down and not invest your money.”

“And those of us who have business opportunities, and the capital to do it, are going to sit in fear of the president,” Wynn said.

And Wynn predicts things will not get better unless Obama is booted from office: “I’m telling you that the business community in this country is frightened to death of the weird political philosophy of the President of the United States. And until he’s gone, everybody’s going to be sitting on their thumbs.”

Bernie Marcus echoed the sentiments of Wynn and Puzder when he recently said “Home Depot would never have succeeded if we’d tried to start it today.” “[T]he impediments that the government imposes are impossible to deal with.” “Every day you see rules and regulations from a group of Washington bureaucrats who know nothing about running a business. And I mean every day. It’s become stifling.”

John Mackey, CEO of Whole Foods Markets, who made national headlines when he publicly came out against Obamacare, recently made similar comments about the stifling business climate in the U.S. “It was a lot easier for me to start my business 30 years ago than it is for an entrepreneur starting out today to do the same thing,” Mackey said in an interview with Bloomberg TV.

Numerous other CEOs, especially in the medical industry, have warned, albeit more passively, that the president’s policies will hurt job growth and the broader economy, especially in the aftermath of the passage of Obamacare last year.

Even with mounting backlash from business community against Obama, one wonders if more business leaders will join in. Marcus believes it is essential for more CEOs to speak out but understands why they might not: “They are frightened to death – frightened that they will have the IRS or [Securities and Exchange Commission] on them,” he said. “In my 50 years in business, I have never seen executives of major companies who were more intimidated by an administration.”

To combat this, Marcus founded a new organization – based in Texas – called the Job Creators Alliance. It aims to increase the number of business leaders and job creators publicly criticizing jobs-squelching public policy. He believes doing so will help preserve the free-enterprise system. If he succeeds, we could see more outspoken CEOs just in time for the election year.

Given the moribund state of the U.S. economy, stubbornly high unemployment rates and the recent gyrations of the stock market, having an army of boisterous businesspeople chiding his administration darkens President Obama’s reelection hopes – perhaps especially if the GOP nominates a candidate with a track record of job creation to brag about, such as the governor of a state like Texas, whose economy is flourishing and business climate is welcoming.

(This piece originally appeared in the Orange County Register and was featured on Real Clear Politics.)

National Popular Vote is bad for California, bad for the nation

Liberals have long sought to erode the checks-and-balances that guard against centralized government.  But, the current push to scrap the Electoral College by enacting a National Popular Vote (NPV) could be their crowning achievement.

Critics warn that once the Electoral College is out of the way, the big government progressives could conceivably engineer election victory after victory, providing a continual stream of chief executives far left of Barack Obama.

Delaware Senator, President Pro Tempore, and former IBEW Business Manager Anthony DeLuca said as much when he declared that, once the NPV passes, Republicans will never again elect a President.

Why would he say that?  The answer is simple.

In Federalist 10, James Madison argues that a system of “electors” safeguards the citizenry against those factions that seek greater governmental control.  Confining the influence of factions to single states protects against greater impact on the national election.

Today, these factions often manifest themselves through pockets of organized urban-area voter fraud.  Just as Madison predicted, the Electoral College limits to a single state the impact of corrupt political activities, such as Chicago’s notorious fraudulent cemetery voters.

Throw off the system of electors and you’ll likely see epic turnouts in heavy urban areas like Los Angeles, New York, and Chicago as Democrats pull out all the stops to nullify the power of smaller, rural states.  No longer would 50 states matter, but only huge urban regions would control the vote.  Chicago alone would bury the mid-west.

The fact is: the NPV movement was given new life when renegade billionaire Tom Golisano took over the fledgling campaign after the initial post Bush/Gore election drive faltered. Golisano is a seven figure donor to the Democratic Party, and he ran as an ‘independent’ not once, or twice, but three times against moderate Republican Governor George Pataki.  Golisano then moved to Florida and adopted NPV.

To promote the NPV, Golisano has hired an army of Republican lobbyists throughout the country, including the venerable Fred Thompson.  Golisano did not hire many Democrats, because they get the joke.  However, Golisano needed to mitigate potential Republican opposition, and so his army went to work.

Before the GOP was able to accurately assess the threat and produce a counter-effort, Golisano’s paid consultant army signed up scores of otherwise solid conservative Republican legislators, including some here in California.

But, in the last several months, conservatives have begun removing their names from the pro-NPV campaign.  And just last week the Republican National Committee overwhelmingly voted to oppose the National Popular Vote.

Our Nation continues to face unprecedented struggles posed by economic and debt woes. But, the NPV provides an even greater threat – one that could end the liberty and freedoms upon which our very system of government was founded.  We must remain vigilant to protect and preserve the American system of governance – one that has produced history’s most successful model of self-governance.


(Shawn Steel is a former Chairman of the California Republican Party, and currently serves as California’s Republican National Committeeman.  Learn more about Shawn Steel and Save Our Electoral College at

Budgetary Gimmicks Meet Economic Reality

Once again, California is already outside of its projected state budget, passed late last June.

How can Sacramento already be spending more than it expected to collect only two months since the budget was signed?

It is the economic assumptions that the state makes when planning the budget that are just as important as the application of rates of taxation and fee rates.  Is that boring?  Quite possibly.  But it speaks to the larger point that government is inefficient in determining future economic activity and, when possible, will make absurd assumptions when politically expedient.

And why is this important?

It is important because it allowed public officials to proclaim Californians will “live within our means” because the budget is now balanced – a refreshing headline!

But the “means” are the assumptions built into the budget.  In this year’s budget, Sacramento expected the economy to expand rapidly, despite a stubborn unemployment rate of 11.8% as of June and a willingness to drive away jobs. Thus, California is already ten percent below revenue projections, which amounts to a loss of revenue of nearly $539 million.

When sluggish economic reality meets the decree of Sacramento, automatic budget cuts are initiated, which insulates public officials from the criticism that comes with assembling a budget that truly reflects living within our means.

Regardless of nominal numbers, when a state spends more revenue than it takes in at an increasing rate, there will be a threshold where the state becomes insolvent.  Without quantitative easing or the ability to increase money in circulation, that state has no control over the currency it borrows and spends.  This makes every state a lot more susceptible to budgetary crises than sovereign nations.

Sacramento is in need of true budgetary solutions that reflect the state’s economic reality not rosy assumptions that politicians would like to see.  State government needs less economic delusion and more economic leadership. The first step is honest, household budgeting procedures.


Is a National Popular Vote Good for California and the GOP?

National Popular Vote is good for conservatives, the GOP, and public policy.  Period.

Having been active in support of the initiative for over a year now, I have met and talked to hundreds of conservative leaders, activists, and elected officials. I have found most of those who reflexively oppose it do so because they think it is a process to amend the Constitution, don’t understand how it works or how it would affect outcomes, or are convinced of some grand conspiracy to turn America into a permanent Democrat hegemony.

The reality is the current system disenfranchises millions of conservatives from the process of electing the president, encourages pandering that transcends ideology (ethanol for Iowa, steel tariffs for West Virginia), and excludes 35 states from relevance in determining the Leader of the Free World. 

National Popular Vote is not ideological. In fact, both sides of the divide have found reasons to support the plan.  What else can explain the strange union of Tom Tancredo and (allegedly) George Soros?

But it’s complicated.  Since conservatives, me included, think “hell no!” the first time they hear about it, it takes time to understand it and realize how much it helps our nation’s governance and our movement’s objectives.  I have been in meetings with dozens of Republican legislators, spending hours going through how it works, constitutional history, Founders’ intent, and the impact it would have on the process.

Almost all of them begin the discussion opposed to the idea. After taking the time to learn more, I’d say 80% leave supporting it.  These policymakers were not brainwashed, but rather took considerable time to consider the plan on the merits.

The fact is, however, it takes 30 seconds to oppose National Popular Vote and 30 minutes to support it.  In today’s world, that’s a tough sell.

National Popular Vote has been signed into law in California, unfortunately without the Republican support it deserved.  A number of elected Republicans were subjected to threats and harassment for a bill considered to be a fait accompli, and it just wasn’t worth the political capital to remain in support. Such is the hallmark of the California Republican Party: it is better to fight each other over anything than fight Democrats.  It is this kind of intramural fratricide that has helped us become a party lacking any relevance whatsoever in public policy.

In 2008, California donors contributed $150 million to John McCain and Barack Obama.  Of that, a mere $29,000 was spent in the state.  Our irrelevance, as the largest state in the union and the 8th largest economy in the world, is terrifying.  Look around our state and see what unchallenged liberal governance has gotten us.

How’s the economy doing?  How about your tax bill?  Making a lot of progress on protecting the unborn?  Feeling a little bit safer with your concealed carry permit?  Proud of Senate and Assembly Republicans impact on the FY12 budget?

What Republicans have been doing in California is not working.  Forcing the RNC and our presidential nominees to commit to California and make the kind of infrastructural investment required to be competitive down ballot is critical to rebuilding our party.  Absent that, I guarantee you the movement to moderate the GOP to be attractive to independents will only increase, leaving conservatives in the dust.

Our ideas are right and we should not abandon them.

A New Chapter For California: Chapter 11

As a state, we take in about $70 billion a year. That looks like big number, except for one problem. We spend about $90 billion a year. You don’t have to star in Good Will Hunting to figure out that there’s a hole in that math and some blame to be placed.

Actually, there’s tons of blame to shovel around. You can go back to Gray Davis, who somehow thought that the rising tide of tax receipts from the Internet boom would last forever. Actually, he wasn’t alone–pretty much everybody felt that way, but pretty much everybody wasn’t Governor. With all that money flowing in, he was a laydown for the state unions that demanded and received all manner of salary increases, retirement goodies, and other means of reward not tied in any way to performance.

Once that particular beanstalk crashed to earth, California was stuck with enormous transfers to its unionized workers that it could no longer afford. But it had to pay them anyway.

Schwarzenegger followed, and we as a state are waking up from that political equivalent of a one-night stand with the same question on Schwarzenegger’s housekeeper’s mind–What were we thinking? Or were we just blinded by his muscular good looks?  He’s free, and we’re stuck with his love child, a $20 billion deficit.

Schwarzenegger’s next movie shouldn’t be a Terminator film. It ought to be a remake of Gulliver’s Travels, re-christened Governor’s Travels, or Governor’s Travails.  Here’s the plot:  Ahh-nold is tied down to a bed of concrete cigar boxes by a bunch of girly men playing the part of Lilliputians playing the part of members of the State Assembly and Senate. The only person who got more money out of Schwarzenegger than the unions will be Maria.

Then you’ve got the left, which has somehow made a moral issue out of violating borders and demanding handouts. Frankly, as a businessman, I’m astonished I have time to write this column. I’m so busy supporting not just my family but sixteen union workers and approximately forty-three undocumented individuals who are attending California schools and universities, benefiting from California hospitals, and otherwise enjoying the crumbling infrastructure of California, all on my dime.

I actually agree with one liberal shibboleth–people aren’t illegal. Illegal acts, however, are illegal. Breaking the law is illegal. If the numbers were reversed–if California took in $90 billion in taxes and only spent $70 billion–I might feel a little more charitable. As it is, I’m feeling a little pinched.

That’s why I say it’s time for California to declare bankruptcy. A clean slate. A fresh start. Just like you see on those late night infomercials. California ought to go to one of those bankruptcy guys you see advertised on the backs of buses and declare itself bankrupt, for the low, low fee of $249.00, plus filing fees. If we did that, what would we get?

We’d get a chance to start over. We’d get a chance to rewrite all the agreements with the unions, and maybe we’d have enough money left over to buy back some of the legislators whom the unions currently own.

We’d be able to reallocate spending in this state, so that there’s more of a connection between who earns money and whose kids get educated.

We would no longer be tied to the craven, secret giveaways that governor after governor has offered to special interests in exchange for campaign contributions, cigars, hookers, junkets, or whatever the currency of Sacramento really is.

With that kind of clean slate, we’d be able to pay people what they are worth, instead of what their union leaders have been able to carve out for them over decades of wheeling and dealing.

We’d be able to pay our prison guards what they would make in other states, which would allow us to build more prisons and arrest more bad guys to fill those prisons.  We might even have enough left over to hire some more prison guards.

As a result, the state and municipalities might not be so broke that they have to spend all their time nickel and diming businesses to wring out every ounce of tax revenue to pay for the bloated expenditures that are destroying our state.

There might even be enough money left over to re-open the courtrooms, libraries, and emergency rooms that have been shuttered by our endless financial emergency.

Would it be a black eye for California if we went bankrupt? Yes, but compared to what? The knuckleheads in Washington, who nearly took down the world economy and may have torched America’s fragile economic recovery in the name of scoring a few points during the debt ceiling fiasco? Compared to Portugal, Italy, Ireland, Greece, and Spain–five European nations who make Arnold Schwarzenegger and Jerry Brown look like Thomas Jefferson and Alexander Hamilton?

Although, come to think of it, Thomas Jefferson died broke, so maybe that’s not the best analogy.

You get what I’m saying. As one economist put it, “Things that can’t go on, stop.” It’s time we put a stop to the idiotic, seemingly unstoppable spending that is bankrupting the state, driving businesses to Texas or other healthier, more business-friendly locales, and get things headed in the right direction.

Going bankrupt, for California, would hardly be a badge of shame compared to what’s been going on in Sacramento for decades. It would be a situation where the state finally told the truth.


Michael Levin is a New York Times bestselling author and runs, America’s leading provider of ghostwritten business books.

Green energy boondoggle raises costs while killing jobs and birds

You have to wonder if most California politicians simply can’t stand the notion of a thriving economy.  In a move that will have a devastating effect on jobs and on the pocketbooks of regular citizens, Jerry Brown recently signed legislation that will dramatically increase the amount of costly “green” energy California’s citizens will be forced to purchase.

In this time of record high unemployment, the political class should focus on stimulating the economy to create jobs.  Instead, the politicians have imposed a new mandate called “renewable portfolio standard” or RPS which decrees that 33% of our energy needs to be green by 2020 – as of right now, we have not even met the 20% target that was set for 2010.

Statistics from the Department of Energy show that renewable energy, as defined by the RPS mandate, can cost three or four times as much as traditional energy on a per-megawatt basis.  Higher electricity bills will further strain taxpayers’ budgets and lead to even more job losses.  The US Bureau of Statistics just released a report saying California lost 572,400 manufacturing jobs over the last decade, and our unemployment is now a full two percentage points worse than Michigan, a state famous for Detroit and its poorly performing economy.

In fact, California’s environmental regulations are so extreme that the majority of the renewable power we will be forced to buy will not even be produced in this state but imported from Mexico, Canada and other states.  While the political class likes the idea of green energy, getting any type of power plant built in California is difficult in a state as tangled in government red tape as ours.

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