What's Wrong With "Welfare"?

Liberals are attacking Bush's Social Security proposal as converting the program into "welfare".

Paul Krugman in the NYTimes makes the point:

"In short, [Bush's proposal] would be a gut punch to the middle class, but a fleabite for the truly wealthy.

Beyond that, it's a good bet that benefits for the poor would eventually be cut, too.

It's an adage that programs for the poor always turn into poor programs. That is, once a program is defined as welfare, it becomes a target for budget cuts.

Mark Schmitt at the Decembrist quotes Stephen Bainbridge quoting Wilbur Cohen as the source for Krugman's adage. (A program only for the poor is ultimately a poor program.) Mark defends SS as a universal program, but starts questioning whether supporting only universal programs wouldn't put liberals behind the eight ball

"There would be real daring, real opportunity to make big changes if liberals went not necessarily for "soak the rich progressivity," but for a clear message that our well-being as a society is measured by how we treat the worst-off, and a moral agenda of targetted, rather than universal, programs. In both his 2004 campaign and in what appears to be the beginnings of its 2008 rerun, John Edwards has been the closest to this potentially liberating insight."

Edward in "ObsidianWings" post picks up on Krugman and Kevin Drum picks up on Edward and says:

[Social Security]"is a modestly progressive social insurance program that's paid for by everyone and that benefits everyone. If it ever stops being that, if it ever stops being universal, it will eventually cease to exist. Don't let anyone fool you into thinking otherwise."

A whole bunch of thoughts spring to mind, some contrarian and some just questions:

1. How'd we ever let conservatives devalue the term "welfare"? It's in the Constitution, isn't it?
2. Yes, "welfare programs" have a bad name, but they've lasted surprisingly well. I remember Reagan and his "welfare queen" in 1964 (based on earlier Reader's Digest article, I think). Should any program be immortal?
3. Targeted programs like EITC, supported by both right and left, survive. How'd that happen?
   
4. Although the roots of the food stamp program go back to the New Deal, the current program dates to JFK. It's been supported by a deal with farmers, urban Congresspeople support farm subsidies, rural ones support food stamps. That may be an artifact of the institutional structure--putting both programs under USDA and the Congressional Ag committees.
5. Is it possible to generate a rationale for SS, either modified per Bush or as it exists?
   

Economists, Analysis Wanted (Women's Clothing)

This article in the LA Times says that women's clothes don't have standard sizes.

What's With Women's Clothing Sizes? Industry Balks at Uniform Standards: "Women through the ages have griped about not being able to find clothes that fit properly. Their predicament is getting new attention as manufacturers, retailers, researchers and entrepreneurs wrestle to inject some sense into apparel sizes, the smallest of which have sunk to a mind-bendingly low 00 in some U.S. stores.

Most apparel manufacturers and retailers size clothes arbitrarily, often as a competitive tool. That makes it virtually impossible to get everybody on the same page."

I don't understand the logic here. In most cases it seems that having standards helps competition. Men's clothes don't suffer from a lack of competition, so what's the difference with women?

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What I Don't Understand on Indexed Benefits

For years I've heard the sort of thing included in today's New York Times in James Dao's article entitled "'55 and Out' Comes Home to Roost" That is, public employees "...receive among the best, most rock-solid pensions and retirement health benefits of any workers in America. Many can retire before 65, with generous cost-of-living adjustments built into their pensions and full medical benefits for life." Now Mr. Dao is describing state and local government employees, some of whom have only their government pension and some of whom have a pension on top of Social Security. (I think the 1983 commission required all employees to be under SS.)

When conservatives talk about changing Social Security benefits to be indexed to inflation rather than wages, liberals say that's unacceptable. But Mr. Dao can describe the same COLA's as "generous" when discussing public employees.

Ideas, IV, Accountability

A TV news piece on the abuse of drivers licenses as ID, particularly DMV clerks selling licenses, raises another idea. To ensure accountability, put the name of the issuing clerk on the drivers license. (I assume that DMV's already have security measures in place for handling the blank licenses.)

Competition and Change

I see three pieces in the Washington Post today as touching on the same topic (which always interests me): how does an institution compete in a changing world? In all, the answer may be: change to be more specialized, find a competitive advantage.

The pieces:

1. The Corcoran is an art gallery near the White House that includes a variety of art. Blake Gopnik suggests that instead of trying to compete with the National Gallery of Art it change to focus on photography.
2. The mainline Protestant churches have had trouble competing with the evangelicals, so this article "Old-Time Religion For Mainline Churches" says that some are taking "a heavily devotional, even mystical approach to spirituality that often calls on ancient Christian practices" and borrowing from other traditions.
3. In a commentary on Larry Summers, this piece describes the writer's experience in trying to turn around a West Coast university by "creating a new nationally respected research institute for molecular medicine [which] would be our best path toward attracting top-notch scientists, teachers and clinicians." He encountered great resistance from his faculty, which were wedded to their specialties and wanted any new money devoted to them.
   

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The New York Times > International > Middle East > Ex-Hostage's Italian Driver Ignored Warning, U.S. Says

Harshaw's Rule No. One (you never do it right the first time) strikes again:

The New York Times > International > Middle East > Ex-Hostage's Italian Driver Ignored Warning, U.S. Says: "It said the troops stationed at the checkpoint were on their first full day on shift there and 'lacked experience in issuing operational orders and in battle tracking security forces' at checkpoints."

The news report doesn't state how much experience the troops had otherwise. If green, then tension would be high.

Orin Kerr on Judicial Politics

Orin Kerr at The Volokh Conspiracy comments in part:

"Is it just me, or has the news relating to the courts and the legal system been a bit weird recently? The big stories in the past few weeks have been filibusters in the Senate, Justice Sunday, the alleged Constitution-in-Exile movement, and Tom DeLay's criticism of Justice Kennedy. All of these stories have something in common, I think. They are mostly proxies for the political struggle to confirm the Bush Administration's choice to replace the ailing Chief Justice Rehnquist."

It's a good observation, and undeermines my recent argument that compromise, which would preserve the issue, would work to the benefit of the interest groups on both sides.

Final Budget Resolution--Payment Limitation

Here's the provision in the final budget resolution pertaining to agriculture:

" a) SUBMISSIONS TO SLOW THE GROWTH IN MANDATORY SPENDING AND TO ACHIEVE DEFICIT REDUCTION- (1) Not later than September 16, 2005, the House committees named in paragraph (2) shall submit their recommendations to the House Committee on the Budget. After receiving those recommendations, the House Committee on the Budget shall report to the House a reconciliation bill carrying out all such recommendations without any substantive revision.

(2) INSTRUCTIONS-

(A) COMMITTEE ON AGRICULTURE- The House Committee on Agriculture shall report changes in laws within its jurisdiction sufficient to reduce the level of direct spending for that committee by $797,000,000 in outlays for fiscal year 2006 and $5,278,000,000 in outlays for the period of fiscal years 2006 through 2010."

Note that the cuts prescribed by the House prevailed over the smaller cuts ($171,000,000 in fiscal year 2006, and $2,814,000,000 for the period of fiscal years 2006 through 2010) of the Senate.

Belated House Action, H.R. 1590, Payment Limitation

Two months after S. 385 (see my analysis) was introduced to implement the Administration's proposals on changing payment limitations, two Representatives introduced the companion bill in the House:

"H. R. 1590

To amend the Food Security Act of 1985 to restore integrity to, and strengthen payment limitation rules for, commodity payments and benefits.

IN THE HOUSE OF REPRESENTATIVES

April 13, 2005

Mr. KIND (for himself and Mr. FLAKE) introduced the following bill; which was referred to the Committee on Agriculture"

Why the delay? Perhaps because the Senate is likely to be the decisive arena for this issue. The Senators from the cotton/rice states can play a bigger role in the maneuvering than their counterparts in the House. (Thank the compromise in the Constitutional Convention between big states and small states.)

Historical Hanging Terraces

In looking again at S. 385, there's a hanging terrace there. (Hanging terrace is, if memory serves, a geologist's term for a terrace formed during the Ice Age along the shore of a lake, when the level of the lake lowered because more ice melted, it left it hanging there, a geologic marker of a past historical event). In this case, the terrace is the name of the Senate Committee--it's a remnant of two issues: the shuffling of the Forestry Service between USDA and Interior back in TR's day and the origin of FDA in USDA before it became independent then into HHS. Regardless of the bureaucratic reorganizations, the committee jealously retained jurisdiction. The same power politics goes on today, with the Department of Homeland Security and its committees, much to the disgust of the 9-11 commission.

"S. 385

To amend the Food Security Act of 1985 to restore integrity to and strengthen payment limitation rules for commodity payments and benefits.

IN THE SENATE OF THE UNITED STATES

February 15, 2005

Mr. GRASSLEY (for himself, Mr. DORGAN, Mr. HAGEL, and Mr. JOHNSON) introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and Forestry"