Rice County Republicans

ECONOMICS / BUSINESS
Much of the information and analysis you see about the economy in the media is decidedly Keynesian. What is left out is the fundamental criticism of Keynesian economics, that it is seemingly very empirical, yet is is only factoring in the very limited data of what “can be measured.” Much of the classical school questions if any of the measurements used are actually meaningful, as they are rather small bits of data collected from a gargantuan series of transactions (and unmeasurable non-transactions) in a global economy. This author does a good job questioning the usefulness of the headline GDP number, used ad nauseum in all kinds of (necessarily questionable) economic analyses.

In Europe, there are a number of successful car manufacturers, all of whom specialize to some degree. If you want a mid-sized or large luxury care you can buy a Volvo, Mercedes, Jaguar or a few others. If you want a small economical model, you can buy a Mini, a Fiat or other vehicle. The point is, each is free to compete and find its own niche. Here in the U.S. we have Corporate Average Fuel Economy (C.A.F.E.) standards set by the Federal Government, which means here Ford could not specialize in Trucks, Chrysler in luxury cars and GM economy vehicles. They must all try and balance an arbitrary fleet mileage standard while trying to compete by selling consumers what they want. In short, what we’re doing here is doomed to cause the failure of or auto manufacturers, by forcing them to try and meet unrealistic measures and build vehicles consumers don’t want.

GENERAL INTEREST
From the Hannity show, how Republicans need to talk about immigration reform.

What is maybe as interesting as the record low approval for the Federal Government is that only 41% of Democrats view the Federal Governments favorably, down from 61% prior to Obama being elected.

 
Questions about Climate Science are finally hitting the mainstream. The Economist magazine published an article that set off a firestorm and now Reuters is publishing this. There are inherent errors in using any model to predict future occurrences and climate scientists (and Al Gore) have been doing just that to raise the specter of catastrophe (and with it more funding for their research). Relying on a priori predictions where none are possible is a common folly of learned people of all fields of study.

Taxes, taxes and more taxes…..the movement to tax the internet is back again. It’s being pushed by the likes of Al Franken and unfortunately has some support on the Right side of the aisle too, due to heavy lobbying by cronies in the business community who think they may benefit at the expense of consumers and more tech savvy businesses.
….the last article was from the conservative Heartland Institute. Here’s more from that venerable voice of the Right, the Heritage Institute
….and an editorial opposing it from a GOP Senator.

Here’s an article about the fault lines which could, and probably will, tear the Democratic Party coalition apart. The problem is, different fault lines are found in the GOP which may not allow us to profit from them, and if we do, not for long.

George Will on funding the Welfare State.

Enjoy,
Stephen Kallestad
Northfield

ECONOMICS / BUSINESS
Does the FDIC have the power to do what was done in Cyprus? This reputable financial newsletter says they do, why they do, and why you should be worried. That being said, FDIC insurance has always had a maximum dollar amount they’ll cover, but in practice the government has never observed it; that is what may necessarily have to change.

The outlook for the U.S. economy begins to dim. What I find interesting in all this analysis is that they recognize that small businesses aren’t hiring and that’s a problem. Obviously the authors of all the articles like this one seem to not have bothered to go out and ask actual small businessmen, “Why?” If what I’m hearing from other Chamber members is true, it’s ObamaCare and the almost punitive effect it has on those small firms of over 50 and under 1000 employees. I don’t see these businesses adding anyone, even replacements for normal attrition, for a very long time.

GENERAL INTEREST
For all of those of you concerned by the power grab by the RNC last year in Tampa, the push-back is gaining momentum. Besides the MNGOP, which stands firm in its united opposition to the rules (which may violate MN State Law), here’s a letter signed by 60 leaders within the GOP and senior members of conservative organizations which also oppose the ruling.

Here’s an interesting article from University of Washington’s paper “The Daily,” which discusses Prof. Arnold Kling’s three axes model. It’s a model that I believe is true and useful, albeit slightly simplistic in conception.

A response to the firestorm set-off by MSNBC and Melissa Harris-Perry.….and here’s the terrible piece that elicited the backlash.

The American Conservative Magazine takes up the issue of Gay marriage and argues that the fight was actually lost demographically long ago. They also make some recommendations for the rest of the cultural traditionalist agenda, if it is not to be lost too over the next couple decades.

Enjoy,
Stephen Kallestad
Northfield

ECONOMICS / BUSINESS
An article on how the Fed’s easy money policy hurts Main Street and enriches Wall Street.
The terrible news behind the latest unemployment numbers.

GENERAL INTEREST
The MNGOP has a new chairman, Keith Downey, a re-elected deputy chair Kelly Fenton, and new secretary Chris Fields (not Chris Shields as this Pioneer Press article says). Bron Scherer has indicated that he will stay on as Treasurer, but that is now an appointed, rather than elected position.

…and here’s the official MNGOP press release.

We may find ourselves working till we’re 75 so members of public employee unions can retire at 62.

…and here’s list of Union political spending in 2012 on the DFL in Minnesota: the number is not the $3 million reported by the Star Tribune right after the election, but it’s $11 million.

The likely abject failure of E-pulltab funding for the Vikings Stadium – that cost the Republican brand of “fiscal responsibility” so dearly in 2012 – means that the GOP class of 2010’s failure to show fiscal discipline will continue to haunt Republicans in future cycles.

LETTERS TO THE EDITOR
Rep. Pat Garofalo has an editorial in the Northfield News. l

Enjoy,
Stephen Kallestad
Northfield