Posts tagged with: the Wall Street Journal

Earlier this month, I wrote a two part article for the Library of Law & Liberty, critiquing the uncritical condemnation of income inequality by world religious leaders.

In part 1, I pointed out that “while the Pope, the Patriarch, the Dalai Lama, and others are right about the increase in [global income] inequality, they are wrong to conclude that this causes global poverty—the latter is demonstrably on the decline. And that, I would add, is a good thing.”

F. A. Hayek

In part 2, drawing on the work of F. A. Hayek, I noted, “As societies learn to use their resources ‘more effectively and for new purposes,’ the cost of manufacturing luxury goods decreases, making them affordable to new markets of the middle class and, eventually, even for the poor.” I continue, “Such inequality not only accompanies the very economic progress that lifts the poor out of poverty, it is one essential factor that makes that progress possible.”

We may add to this two more ways in which focusing solely on income inequality can be misleading from article in the Wall Street Journal yesterday by Nicholas Eberstadt: increased equality in lifespan and education. He writes,

Given the close correspondence between life expectancy and the Gini index for age at death, we can be confident that the world-wide explosion in life expectancy over the past century has been accompanied by a monumental narrowing of world-wide differences in length of life. When a population’s life expectancy rises from 30 to 70, the Gini index drops by almost two-thirds—from well over 0.5 to well under 0.2.

This survival revolution—and the narrowing of inequalities in humanity’s life chances—is an epochal advance in the human condition. Since healthy life expectancy seems to track closely with overall life expectancy, a revolutionary reduction in health inequality may also have occurred over the past century. Improvements in global mortality for the poor have contributed to the very “economic inequality” so many now decry. This is another reason such measures can be deceiving.

The spread and distribution of education has had a similar impact. In 1950 roughly half of the world’s adults—and the overwhelming majority of the men and women from low-income regions—had never been exposed to schooling. By 2010 unschooled men and women 15 and older account for a mere one-seventh of the world’s adults, and about one-in-six from developing areas. (more…)

Last week was a busy one, news-wise, and this may have slipped by you. Suddenly, 4.5 million people in the 5 U.S. territories (American Somoa, Guam, Northern Mariana Islands, Puerto Rico and the U.S. Virgin Islands) are now exempt from Obamacare. Just like that.

What’s the story? Obamacare costs too darn much, and insurance providers were fleeing the U.S. territories, leaving many without insurance or at least affordable insurance. These territories have spent the last two years begging to get out from under this law, only to be told the Department of Health and Human Services

has no legal authority to exclude the territories” from ObamaCare. HHS said the law adopted an explicit definition of “state” that includes the territories for the purpose of the mandates and the public-health programs, and another explicit definition that excludes the territories for the purpose of the subsidies. Thus there is “no statutory authority . . . to selectively exempt the territories from certain provisions, unless specified by law.”

Laws, let us remember, are made by Congress. Unless they’re not. For instance, last week, the Department of Health and Human Services said they’d reviewed the situation and

the territories will now be governed by the “state” definition that excludes the territories for both the subsidies and now the mandates too. But the old definition will still apply for the public-health spending, so the territories will get their selective exemption after all.

As the Wall Street Journal notes, there seems to be some elasticity in the White House’s definition of “state.” And, may I add, some elasticity in the democratic process, the Constitution and rule of law. Perhaps a review via Schoolhouse Rock will help.

It seems like nowadays everyone has a connection to someone who brews their own beer. Grand Rapids recently was named Beer City because of its lively microbrewery scene so this is especially true here. While this hobby can be very enjoyable and refreshing be aware that taking your hobby to the next step could be more difficult than you would imagine. Recent regulations have made it harder than ever for new craft beers to enter into the consumer market.

Entrepreneurs are the building blocks of all economies. Every company must come from somewhere to create what they are today. This can easily be seen by looking at any company from Apple all the way to Nike. The problem is that many large companies are now being protected from competition from small businesses by unnecessary regulations. (more…)

forced laborThe American Bar Association and Arizona State University’s McCain Institute and School of Politics and Global Studies have issued the first study of its kind: examining Fortune 100 companies for policies regarding human trafficking and forced labor. The study also looked at whether or not Fortune 100 companies had policies regarding conflict minerals (what are often referred to as “blood diamonds:” gems and minerals mined by children and/or forced labor.) The study is entitled, “How Do Fortune 100 Corporations Address Potential Links To Human Rights Violations In A Globally Integrated Economy?”

According to a summary in The Wall Street Journal, the study itself had a straightforward approach:

[The policies] had to be available on the company website or by searching for them on Google. The objective was to go as far as the public would in finding the company policy, said Linda Hayman, of counsel at Skadden Arps Slate Meagher & Flom LLP who is co-chair of the American Bar Association’s task force on human trafficking. It also didn’t judge the company’s conduct in relation to the policy, she said.

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pope and cross

Pope Francis

Much has been said about Pope Francis’ views on economics (in fact, you can read Acton’s Special Feature on this here.) In The Wall Street Journal, Cardinal Timothy Dolan of New York, discusses how the media has skewed Francis’ remarks as endorsing redistribution and denouncing capitalism. Cardinal Dolan says this is unfortunate, given what the pope has actually said. While the pope is clear that we must be generous in all our social activity, he is not denouncing capitalism.

The church believes that prosperity and earthly blessings can be a good thing, gifts from God for our well-being and the common good. It is part of human nature to work and produce, and everyone has the natural right to economic initiative and to enjoy the fruits of their labors. But abundance is for the benefit of all people.

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Blog author: jcarter
posted by on Monday, March 3, 2014

“Most CEOs now spray the word ‘innovation’ as if it were an air freshener,” says Dennis Berman in the Wall Street Journal, “A little spritz can’t hurt.” A prime example, notes Berman, is what Kellogg’s CEO John Bryant described as one of their company’s most important “innovations”: a peanut butter Pop-Tart.

Most of us would probably agree that a new flavor of breakfast pastry isn’t as innovative as, say, the iPhone. But how do we know? What exactly is innovation?

As David Brier explains, innovation is about “seeing and connecting the dots.”

Acton Institute Director of Research Samuel Gregg has been busy on the interview circuit over the past few days as news organizations look for intelligent analysis of Evangelii Gaudium, Pope Francis’ Apostolic Exhortation that that was released last week. On Monday, the Wall Street Journal called upon Gregg to provide his thoughts on the economic content in the exhortation on Opinion Journal Live; we’ve embedded the video below.

Blog author: ehilton
posted by on Wednesday, October 16, 2013

Tea-Party-Catholic-196x300Tea Party Catholic: The Catholic Case for Limited Government, A Free Economy and Human Flourishing, the new book by Acton’s Director of Research Samuel Gregg, has received a review from Fr. Dwight Longenecker at Aleteia.com. Fr. Longenecker dives right in, asking “Is Catholicism Conservative?” and looking to Gregg’s book for some answers.

Catholics have too often fallen into the easy trap of conflating their political opinions with their political views. So left-wingers latch on to the Catholic Church’s “preferential option for the poor” and think that means Marxism. Right-wingers pick out the Catholic Church’s condemnation of socialism and conclude that Catholicism backs an unrestrained free market economy.

The prevailing assumption among many American Catholics is that the Democratic Party is the Catholic party because they want to help the poor. A strong minority of American Catholics think the Republican Party should be favored because they’re for personal responsibility. Samuel Gregg encourages us to think more deeply about the relationship between Catholicism and the economic theories behind political movements.

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choiceopportunityfront1Last week, as the country was remember MLK’s dream of children being judged on the content of their character rather than the color of their skin, Attorney General Eric Holder was suing the state of Louisiana because he’s more worried, as the Wall Street Journal says, about the complexion of the schools’ student body than their manifest failure to educate.

Late last week, Justice asked a federal court to stop 34 school districts in the Pelican State from handing out private-school vouchers so kids can escape failing public schools. Mr. Holder’s lawyers claim the voucher program appears “to impede the desegregation progress” required under federal law. Justice provides little evidence to support this claim, but there couldn’t be a clearer expression of how the civil-rights establishment is locked in a 1950s time warp.

Passed in 2012, Louisiana’s state-wide program guarantees a voucher to students from families with incomes below 250% of poverty and who attend schools graded C or below. The point is to let kids escape the segregation of failed schools, and about 90% of the beneficiaries are black.

During the 2012-13 school year, about 10% of voucher recipients came from 22 districts that remain under desegregation orders from 50 or so years ago.
For example, says the complaint, in several of those 22 districts “the voucher recipients were in the racial minority at the public school they attended before receiving the voucher.” In other words, Justice is claiming that the voucher program may be illegal because minority kids made their failing public schools more white by leaving those schools to go to better private schools.

Read more . . .

Acton University is just two months away and we’ve just confirmed our featured lecturers for the big event. Check out their bios below.

The four featured speakers are:

Rev. Robert Sirico

He is presidsiricoent and co-founder of the Acton Institute.  Fr. Sirico serves on the staff of Sacred Heart of Jesus parish in Grand Rapids, Michigan. His writings on religious, political, economic, and social matters are published in a variety of journals, including: the New York Times, the Wall Street JournalForbes, the London Financial Times, the Washington Times, and more.
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