Posts tagged with: national debt

schoolchoicesignWhy do liberal and conservative evangelicals tend to disagree so often about economic issues? This is the third in a series of posts that addresses that question by examining 12 principles that generally drive the thinking of conservative evangelicals when it comes to economics. The first in the series can be found here. Part 2 can be found hereA PDF/text version of the entire series can be found here.

7. The best way to compensate for structural injustice is to increase order and individual freedom.

As it relates to economics, structural injustice could be defined as occurring when outside forces unjustly limit some person’s opportunities to enact their morally legitimate plans. Almost all evangelicals – whether liberal or conservative — agree that structural injustices still exist and that they must be opposed. Where we disagree is about what forms of structural injustice are most pervasive in 2014 and how they should be corrected.

We tend to think of structural injustices as macro-level phenomena (such as racism) that affect the actions, practices, beliefs, and laws of a large region (such as the Jim Crow laws that that codified racial segregation and discrimination). That has historically been the case in America. But today, structural injustices are usually created on the micro-level and affect a smaller area. Take, for example, the issue of poverty. In 2014, the two factors that are most likely to create structural boundaries that keep a child in poverty are their parents and their local community.
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Blog author: jcarter
posted by on Wednesday, October 23, 2013

America’s debt is creating not servants of higher things but slaves to government, says Ray Nothstine in this week’s Acton Commentary.

As our nation’s $17 trillion debt spirals out of control, and spiritual disciplines decline in the West, we need to face the reality of America’s inability to collectively sacrifice. Even the 150th anniversary of the Battle of Gettysburg seemed to pass this year with scant attention, as if such extreme sacrifice is alien and distant to our way of life today.

Washington’s brokenness is cheered by a majority of the political class, declaring a “crisis averted.” The “crisis” for a majority of the leaders in Washington, however, is not our debt or insatiable appetite to spend, but the notion that it might possibly involve limitations or must end in belt-tightening.

The full text of his essay is here. Subscribe to the free, weekly Acton News & Commentary and other publications here.

Blog author: rnothstine
posted by on Wednesday, March 27, 2013

Coolidge cover copyToday, career politicians are out of fashion. In light of Washington’s dysfunction and a hyper partisan culture, the words of politicians offer little reassurances. Their deeds even less. One career public servant is finding his popularity on an upswing exactly eighty years after his death. I asked my grandfather, who turns 97 in July, to rank America’s great presidents? He immediately answered Ronald Reagan, almost reflexively. And then paused for a few moments and declared, “That Calvin Coolidge fellow was good too.”

To remember Coolidge is to remember an altogether different America. One that was rapidly modernizing but still deeply connected to rural life and its foundations. But even for his era, John Calvin Coolidge was a throw back, a man who emerged deep from within Vermont’s rugged hills. The symbols of his humble origins were magnified after the unexpected death of President Warren G. Harding in 1923. Coolidge, awakened in Vermont, was immediately sworn in to the greatest office in the world by kerosene lamp by his father, a public notary.

Oft forgotten or lampooned as a “simpleton,” there are no grand monuments for America’s 30th president. He certainly wouldn’t have sought such recognition. But in Coolidge by Amity Shlaes, she offers a kind of monument not just to Coolidge’s economic heroism, but his character.

Coolidge governed and taught from the deep well of America’s Founding and eschewed the material for the spiritual, declaring, “The things of the Spirit come first.” He was leery of progressive schemes saying, “Men do not make laws. They do but discover them.” He added, “If we wish to erect new structures, we must have a definite knowledge of the old foundations.”
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Blog author: rnothstine
posted by on Tuesday, February 19, 2013

Coolidge and pitching great Walter Johnson.

Coolidge and pitching great Walter Johnson.

Calvin Coolidge is ripe for national recognition and his wisdom is being sought out perhaps now more than ever. If you’re a voracious reader of commentary and columns you’ve noticed his common sense adages are being unearthed at a rapid pace. Most of the credit and recognition for the Coolidge revival goes to Amity Shlaes. Her newly released and splendid biography Coolidge can’t be recommended enough. (Full review on the PowerBlog forthcoming)

Coolidge was the last president to oversee federal budget surpluses for every year in office. He cut taxes and government while preaching the wisdom of the American Founders. He was dismissed by many intellectual contemporaries and most historians ignored him or discounted him as some sort of throwback that came to power by luck. A mere placeholder in between the more important Progressive and New Deal eras. But as our spending and debt crisis continues to spiral out of control, America is starving for economic heroes. There is so little courage in Washington to make the tough choices and address the crisis directly. The spending binge has become a mockery of America’s foundations and ideals.

However, This fiscal insanity, debt, and rapid centralization of power is magnifying Coolidge’s heroics. His words and deeds are really timeless though, and deeply rooted in America’s Founding. The principles and lessons only need to be put into practice. Below is a great excerpt from the introduction of Shlaes’s biography:

Our great presidential heroes have often been war leaders, generals, and commanders. That seems natural to us. The big personalities of some presidents have drawn attention, hostile or friendly: Lyndon Johnson, Franklin Roosevelt. There are plenty of personal events in Coolidge’s life, many of them sad, but he was principally a man of work. Indeed, Coolidge was a rare kind of hero: a minimalist president, an economic general of budgeting and tax cuts. Economic heroism is subtler than other forms of heroism, harder to appreciate.

Blog author: rnothstine
posted by on Wednesday, November 28, 2012

It makes little, or really no sense for Americans to fork over more taxes without a balanced federal budget and seeing some fiscal responsibility out of Washington. The fact that the United States Senate hasn’t passed a budget in well over three years doesn’t mean we aren’t spending money, we are spending more than ever. The last time the Senate passed a budget resolution was April of 2009.

We are constantly bombarded with rhetoric that “taxing the rich” at an even greater rate will somehow dig us out of this mess. That’s delusional of course but the line works well in focus groups and polls. Here is a great common sense post from Frank Hill on the problems with that line of reasoning. Hill directs The Institute for the Public Trust and has a solid understanding of the economic and budget challenges facing the nation. His blog is a must to follow and as always Acton’s Principles for Budget Reform are worth reading.

There has been a lot of news coverage and debate about Republicans who signed a tax pledge. Now some of them feel boxed in and want flexibility to cut a deal. The criticism from some is that they want to cave without demanding any real concessions. Sen. Rand Paul (R-Ky) is leading the charge of criticizing Republicans who want to raise taxes. His argument is that budgets need to be balanced and taxes cut to spur economic growth.

At any rate, it’s obvious we have a spending crisis in Washington not a crisis stemming from a lack of revenue. More revenue won’t cure the ailment that plagues Washington.

At this hour, it seems that the number of leaders who are making the moral argument on the rights of Americans to keep more of their property is rapidly dwindling. Strong economic conservatives like Calvin Coolidge and Ronald Reagan made impressive moral arguments about the importance of low taxes in a free society. It not only makes economic sense but it makes sense morally. And for the record, if a politician signed his name to a pledge he or she should show some backbone and principle by honoring his word. Property and taxes are important issues, but today there is little leadership on the issue, especially the kind of moral leadership this nation desperately needs.

I just read the introduction to Amity Shlaes’s forthcoming biography, Coolidge: Debt, Perseverance and the American Ideal. She has been very gracious in taking an interest in the work I have been doing on Coolidge and my recent Acton commentary on the 30th president.

Shlaes was interviewed in the Fall 2007 issue of Religion & Liberty about her book The Forgotten Man. I quickly realized in my own research there is no biography that captures Coolidge’s deep relevancy for today given the mammoth federal debt and the centralization of federal power. Coolidge took limiting federal power and its reach seriously.

Without naming names or titles, many of the Coolidge biographies in print are simply sub par. That will change with the release of her biography and this is a book that needs to be out now. There is no release date set in stone to my knowledge or I would offer it up to readers of the PowerBlog.

In the introduction, it is clear just how well Shlaes understands Coolidge’s leadership on economic issues and his emphasis on thrift. I love that she played off her title The Forgotten Man by calling Coolidge “The Forgotten President.” I’ve certainly noticed in my own talks when I go out and discuss Coolidge that so little is known about him.

In her introduction, Shlaes brilliantly draws out comparisons of Coolidge with George Washington, John Adams, Abraham Lincoln, Grover Cleveland, Theodore Roosevelt, Woodrow Wilson, Warren G. Harding, John F. kennedy, Lyndon Johnson, and Ronald Reagan. Some of her insightful comparisons I would never have highlighted on my own. Shlaes is a gifted writer and I foresee this book being very influential with the ability to transform contemporary thinking about our national government.

One of the things that draws me to Coolidge is his appreciation for the past. He was a very modern president who oversaw great technological advances and an America that was modernizing at a rapid pace but he always reminded the people of who they were and the great heritage that gave birth to the American ideal. “If we are to maintain the great heritage which has been bequeathed to us, we must be like-minded as the fathers who created it,” declared Coolidge.

One of my favorite books is The Word of Life by Thomas C. Oden. In the introduction to that book Oden quotes Henry Vaughan’s “Retreat:”

O How I long to travel back,
and tread against that ancient track! . . .
Some men a forward motion love,
But I by backward steps would move.

If Coolidge had heard those words, which is quite possible, I feel he would have loved them.

Blog author: dpahman
posted by on Wednesday, May 9, 2012

Virgil's Aeneas fleeing the sack of Troy with his father on his shoulders and leading his son by the hand.

“Even the conventional everyday morality,” writes Vladimir Solovyov,

demands that a man should hand down to his children not only the goods he has acquired, but also the capacity to work for the further maintenance of their lives. The supreme and unconditional morality also requires that the present generation should leave a two-fold legacy to the next,—in the first place, all the positive acquisitions of the past, all the savings of history; and, secondly, the capacity and the readiness to use this capital for the common good, for a nearer approach to the supreme goal. This is the essential purpose of true education….

According to Solovyov, there is a basic, commonsense morality by which most parents feel an obligation to leave an inheritance to their children and give them the opportunity and know-how to use it. He goes on to argue that this principle ought to be expanded generationally: “the present generation should leave a two-fold legacy to the next,” passing on what it has received and instilling in the next generation the ability and desire to use the heritage of human history for the common good. This, he believes, is the “essential purpose of true education.” As commencement ceremonies are celebrated throughout the country this month, how well, I wonder, do we match up to this standard in the United States today? (more…)

Blog author: rnothstine
posted by on Wednesday, February 1, 2012

In my commentary this week, I reflect on the unemployment rate of many newly separated military veterans of our Armed Forces. The grim jobs outlook affects our reservists and National Guard forces too. As You Were, a book I reviewed on the PowerBlog in late 2009, touched on this topic quite a bit.

My first job out of college was working on veterans issues for former Congressman Gene Taylor (D-Miss.) I was able to meet and get to know combat veterans from battles like Okinawa, the Chosin Reservoir and Khe Sanh. It was a rewarding and educational experience.

I suspect we will hear more from Washington about how to solve this problem with additional centralized government action. But we already have real commitments and promises to veterans that must be honored and a debt of $15 trillion and growing that is staring down at us. My commentary is printed below in its entirety.

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Playing Politics with Unemployed Veterans

Getting the U.S. economy back on a path to solid growth and the job creation engine jumpstarted is dominating the headlines, talk shows and policy debates in Washington right now. Many of the legislative prescriptions focus on the dismal unemployment woes of newly separated military veterans, whose rates outpace the civilian population. The troubling figures reveal a persistently bleak and stagnant economy.

National unemployment currently hovers around 9 percent, while unemployment for veterans of the Afghanistan and Iraq wars is more than 13 percent. Veterans in the age group of 18-24 are worse off, with an unemployment rate of 30 percent. Dead last in the Union is Michigan, where 30 percent of all former service members are unemployed.

These numbers may only get more discouraging as defense budget cuts push more and more from the active duty ranks into a weak job market.

Federal legislation passed at the end of last year seeks to address the problem with tax credits for companies who hire veterans. The measure could help some, but tax incentives like these generally offer no substantial improvement for removing people from the unemployment rolls.

Better immediate solutions would be omitting special licenses and training required by states to work in certain fields. There is no reason a combat medic in Iraq should not be able to work as an emergency medical technician. Many already have more training than their civilian counterparts do.

In his election-year State of the Union address, President Barack Obama painted a vision of a post-WWII society where triumphant veterans came back and created the strongest economy in the world. In his words, they understood that they were “part of something larger.” Part of that “something larger” after the defeat of fascism was a growing free economy, but they also faced a long twilight struggle against the spread of communism.

To restore prosperity today, President Obama called for a “common purpose” to rally behind. But the obvious common purpose, the reduction of the staggering national debt, was largely ignored by the commander-in-chief during his address. For the unemployed, all Americans, and a free economy, the debt is the largest obstacle to restoring prosperity and reawakening the most expansive economy the world has ever seen. The failure of the American government to live within its means threatens to eviscerate the promises made to America’s veterans. It is a classic case of one moral failing leading to another.

The “something larger” greeting veterans when they come home today is a national debt of more than $15 trillion and an economy burdened by more and more regulations. The White House has already requested a debt ceiling increase to a whopping $16.4 trillion dollars. So great is the obstacle, and so serious is the threat, Indiana’s governor Mitch Daniels dubbed it “the new Red Menace.”

The threat to veterans is substantial. Although veterans’ benefits are justly generous, the government’s fiscal crisis has put those guarantees at risk. Last year, for the first time, some in Washington talked about the necessity of trimming promised pensions and health benefits for military retirees. Politicians are playing politics with veterans when they talk of reducing promised benefits with one side of their mouth and say they are creating jobs for veterans with the other.

Older military retirees can remember a time when they counted on the promise of free health care for life. Many sacrificed more lucrative private sector careers, nonpayment for overtime, and additional time with their family because of patriotism and promised security. Now they pay premiums for their care.

Thomas Jefferson warned of the moral pitfalls and decay of debt when he said, “The earth would belong to the dead and not to the living generation.” Profligate spending in the past undermines our capacity to honor present commitments.

With their skills, work ethic, and patriotism, veterans have the ability to overcome the challenges confronting them. Most businesses and companies want to hire veterans. All they need is some assurance that their prospects going forward will not be dimmed by burdensome regulation or economic instability stemming from federal fiscal irresponsibility.

Washington does not understand there is little to be done in terms of a prescriptive policy to cure veteran unemployment. The oft forgotten Calvin Coolidge once warned, “Unsound economic conditions are not conducive to sound legislation.”

The best cure is still a market unleashed from needless regulation and spending policies that reflect a moral and rational resolve. In the end, a federal government that is broke can do little for veterans who earned and are entitled to benefits already promised.

Blog author: rnothstine
posted by on Wednesday, January 18, 2012

The Keynesians will have little to cheer about in this story. Yesterday I saw this report from CNN Money that said U.S. consumer credit card debt fell by 11 percent in 2011. Mississippians led the Union by reducing their card balance by 23 percent. While total household debt fell by only 1 percent last year, it is still a towering accomplishment when compared to the U.S. federal debt increase.

This is exactly the point Jordan Ballor and I made in our 2008 commentary “The Fiscal Responsibility of Mall Rats and Bureaucrats.” In that piece, we pointed out that the federal government is a significantly poorer steward of our resources when put up against the supposedly “materialistic” and “selfish” consumer.

The inability of the federal government to curtail spending should be considered a form of insanity when one simply looks at the numbers. Instead, as I pointed out before, government spending is now so sacred for some in the religious community, it is a shrine that must be encircled.

Blog author: rnothstine
posted by on Tuesday, August 2, 2011

Mark Tooley has an excellent write up over at FrontPage about religious left figures staging martyr like arrests in defense of tax increases, unsustainable deficit spending, and the welfare state. Here are some details provided by Tooley:

Religious Left officials on July 28 successfully sought arrest for “faithful civil disobedience” in the U.S. Capitol Rotunda to protest any consideration of limits on the Welfare and Entitlement State. They were also demanding tax increases. Unlike more courageous and spiritually insightful fellow believers imprisoned in Iran, China, and North Korea, these U.S. activist prelates were presumably arrested, booked, bonded and released back to their nearby air-conditioned offices in time for posting fresh news releases.

Arrestees included United Methodism’s chief lobbyist Jim Winkler; former United Church of Christ President Paul Sherry; and multi-faceted Bob Edgar, himself an ordained United Methodist, former NCC general secretary, former Democratic congressman from Pennsylvania, and now chief of the liberal advocacy group Common Cause, the secular chief organizer of the “prayer” witness at the U.S. Capitol.

In a previous post, I pointed out the fact that just one example of government becoming so mammoth is that it now has self-appointed clergy over a flock of bureaucracy. They are declaring the bureaucracy sacred. Tooley’s use of “photo-Op” and “martyrdom” in the title of the piece is entirely appropriate and fully exposes the sadness and hollowness of staging civil disobedience for a broken and bankrupt bureaucracy.

For these mostly white and aging baby boomers, trying to recreate the courage of the civil rights movement of the 1950s and 1960s is foremost. However, it will never be actualized by defending a broken system and by looking to the failed policies of the past. One of the strengths of Dr. Martin Luther King was borrowing from the richness of the American narrative history of freedom and Scripture and using it to expose the weakness of a bankrupt system of injustice that was of the past. Bankrupt is bankrupt.

At least from their perspective, these budget busting pastors will keep evangelizing and suffering for more government as faithfully as those who toil for the souls of the lost in mission fields.