Roll Your Own . . .


photo credit: She Who Shall Not Be Named

When I wrote about the importance of investing in yourself I was having trouble trying to find the words to convey what I meant. I finally found a way to explain what I mean so that nobody should be confused (I hope).

Virtually every book on financial planning or wealth building I have ever encountered says something to the effect that there are two ways to have more money. The most obvious being to make more money and the too-often overlooked being to spend less money. When I wrote about investing in yourself my expectation was that readers would assume I was talking about the things that amount to making more money – increasing your education being frequently cited. That kind of self investment is focused on being better able to produce more goods, or more valuable goods for others to purchase in an economic marketplace.

What I was trying to advocate before was to not forget about self investments that amount to spending less. I would generalize those kinds of self investment as focusing on being able to produce for yourself those things which you have become accustomed to purchasing in the economic marketplace. That may be producing the same thing, or it may be producing a substitute.

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Bob Lonsberry Contradicts Himself on Term Limits

It’s not really fair to expect everyone to have an up or down opinion on a candidate within a week of their campaign being announced. For that reason there should be nothing surprising about the fact that Bob Lonsberry is not sold on Mike Lee (yet). As he aired his minor reservations with our latest 2010 Senate candidate he got talking about term limits – because Mike Lee thinks we should have a term limits amendment (perhaps like this one) – and Bob’s position completely failed to add up. At first I was planning to just comment on Bob’s site, but I felt that this deserved a full post.

There is a disconnect between Bob’s position on term limits and what he says later in his article. Here’s what he thinks of term limits:

Yes, people serve way too long in Congress. Yes, we have a professional political class right now. But the insinuation that the era of the Founders was much different doesn’t stand up to the test of history. Several of the Founders themselves held elected office for years on end. Some for the majority of their lives, and our Republic was benefited by their service.

And any person with Mike Lee’s knowledge of the Constitution must understand that an amendment mandating term limits would go against both the letter and the spirit of what the Founders wanted. Term limits don’t limit the freedom of politicians, they limit the freedom of the voters. We don’t need term limits, we have elections. And if Mike Lee, or someone else, can pose a viable alternative to Bob Bennett, and convince voters of that fact, the Constitution’s existing system for replacing politicians will work perfectly.

Later he makes this statement which exposes the weakness of his position:

I’m also bothered by Mike Lee’s age. Not that a 38-year-old can’t serve well in the Senate, but that he’s got so much life left. True, he is saying that people shouldn’t make a career of Washington, but so too did the two current Utah senators, both of whom have since made a career of Washington. Everybody running against incumbents is against long tenure in office. And everybody running for re-election believes in experience and seniority.

My concern is that at 38, Utah could be biting off something it will take 30 or 40 years to chew. I’m nervous about that.

The one selling point for 76-year-old Bob Bennett is that, at his age, he’s got a built-in term limit. He’s also, as they say, the devil you know. (emphasis added)

In case you missed the disconnect, Bob says that the founders already established a way to limit terms through regular elections and then worries that we might be stuck with Mike Lee for 40 years because he’s relatively young.

Here’s the half-truth that opens up the heart of the problem:

Term limits don’t limit the freedom of politicians, they limit the freedom of the voters. We don’t need term limits, we have elections.

It’s true that term limits limit the freedom of voters by eliminating the option to elect a president they like to a third term (to use our existing term limit as an example) – that’s the only freedom of the voters that is being limited. The problem is that the freedom of voters is already severely limited by our lack of term limits because of our political environment where potential candidates often choose not to challenge an incumbent, especially within their own party. For proof of that just look at how many more candidates tend to run for open seats. With term limits we would lose the option to vote for an incumbent after a set time, but we would gain so many candidates who currently choose not to run against an incumbent.

Bob claims that the founders did not want term limits and he’s probably right (although I doubt they ever addressed the issue to prove that conclusively) but they didn’t want parties either (they did make that clear) and we have parties anyway. The party system without term limits makes the regular election cycle a very weak way to limit terms – especially in a place where one party is dominant. Bob says that if someone can pose a viable alternative to an incumbent and convince voters of that fact then the system works perfectly. The question is, how can that happen when the potential candidates remove themselves from consideration because of the system that tilts heavily in favor of incumbents? And what makes a viable candidate? If a viable candidate is one that has the capacity and interest necessary to tackle the issues and do the job of a senator then I am a viable candidate. If a viable candidate is one that voters are likely to believe in that I am nowhere near viable. The first one should be the criteria, and if it were we would have lots of viable candidates for any office.

In a nation that probably has 80 out of 100 senate seats safely in the hands of one party or another and only about 20 seats that actually have a reasonable chance of changing hands from one election to the next the method of limiting terms that the Founders established is virtually impotent. The era of the founders may not have been much different than our era but it was different in some important ways. In this environment the Founders might find term limits to be a very reasonable method to ensure that the voters had the maximum amount of choice in candidates.

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A New View on the Flag and Pledge of Allegiance


photo credit: eschipul

I had some interesting thoughts this morning after reading an article I would normally not bother to read. It was talking about a specific historical flag, but my thoughts were turned to the flag generally and then to the Pledge of Allegiance. Here’s the statement that got my brain moving:

The flag is an American flag — 13 stripes, a blue square canton with 13 white stars surrounding an American bald eagle. So far, this flag isn’t strange for its day. In the 19th century, almost anything goes in handmade national flags. (emphasis added)

Suddenly I am released from the idea of a standardized flag and considering the flag more abstractly as a representation of something to believe in. The nation represented by all those handmade national flags was the same, and the symbolism of that nation was consistent across flags (stars, stripes, red, white, and blue), but people felt free to add things to the flag that helped represent their feelings regarding the nation (an American bald eagle in the field of blue being an apparently common addition back then).

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Invest in Yourself


photo credit: Cambodia Trust

I drove in to work later than usual today and caught a bit of Glenn Beck. Like many conservative talk radio hosts I have heard he was promoting the value of gold as an investment. What caught my attention was the way he started out. I’m going to paraphrase here but essentially he started out by saying:

I don’t know what the future holds for this nation, nobody does. I don’t know what you should be investing in right now.

My immediate reaction was to say to myself that I know exactly what the vast majority of people should be investing in right now – they should each invest in themselves. To his credit Glenn said that gold was not the right investment for everyone and suggested that before investing in gold people should invest in food storage, paying down debt, and having some cash reserves. I think that’s a great start but investing in yourself is more than that.

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New Year’s Resolution

My New Year’s resolution for this election year is to be elected as a GOP state delegate in my neighborhood caucus meeting in March. It’s amazing to think that it’s only a few weeks away now. I can’t wait to see what all the candidates will have to send me as they try to win my vote at the state convention. I’ll happily try to be selected as a county GOP delegate  as well, but if I had to choose one I would prefer to be a state delegate.

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Public to Private is a One Way Economic Street

photo credit: taberandrew

A post entitled The New Robber Barons got me thinking about what happens when public and private enterprises compete in a marketplace. Thinking about that led to some interesting observations. The first of which is that progressives are right in their assertion that public and private enterprises can compete without eradicating each other. The problem is that the progressives don’t seem to recognize that this only works in limited cases. They like to point to the post office as an example – let’s go explore that.

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Term Limits in a Nutshell

I read what must be the most succinct summary of the term limit debate over at Utah Policy. LaVarr Webb said:

I am a big fan of congressional term limits if they are applied across the board. It would be foolish, however, for Utah to unilaterally impose term limits.

As long as power in Congress is amassed in its most senior members, Utah needs to play that game or be badly disadvantaged.

But term limits for all makes sense.

The response from trgrant:

I don’t agree in a legislated term limit.  There are people you will want to keep in office for longer than a certain term.

I would respond to trgrant by asking a question inspired by someone who had previously opposed term limits. How many hundreds of incumbent get reelected after “a certain term” despite widespread dissatisfaction with their service – now compare that to the number of people who you would really want to keep in after that time. I would bet the benefits of term limits in terms of removing entrenched and undesirable incumbents would outweigh the loss of established and desirable incumbents by at least 100 to 1. Besides that, of those who you wish to keep in, how much of the reason for keeping them is based mainly on seniority rather than irreplaceability?

To LaVarr Webb I would ask – if Congressional term limits are good, why not set the example by imposing term limits at the state legislature so that voters can begin to see the benefit locally and have more inclination to implement it federally.

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A Bit Late But Welcome to 1984

I wanted to gag this morning when I heard the suggestion on the Wall Street Journal This Morning that those who needed health care had the option to go on the internet to purchase it. Since when was Viagra, or even Advil, considered health care?

Of course I understand what they meant – those who need health insurance can go on the internet and find more and better options than they might otherwise encounter and we have been repeatedly exposed to the notion that “health insurance is health care.” Admittedly that’s not quite “War is Peace” or “Freedom is Slavery” but January 1 is approaching and by the time it arrives we might just find that we have another 26 years until 2010.

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A Real Christmas Gift

President Obama, Harry Reid, Nancy Pelosi, and other congressional leaders among the Democrats hailed the passage of the Senate health “reform” bill as a Christmas gift to the American people. That’s about the equivalent of trying to convince the chief income earner(s) in a home that the real gift of Christmas for them is the increased balance on the credit card (or the reduced balance of their checking and/or saving’s accounts) rather than the presents they got.

In response to the news that the bill had finally passed my wife had a great idea for a real gift that the Senate could give us for Christmas some year (besides repealing that bill). If they have the authority to mandate that we buy insurance that opens up a world of possibilities. First and foremost her suggestion is that they should mandate that everyone in America should get an answering machine. Just imagine and end to:

Ring . . .

Ring . . .

Ring . . .

Ring . . .

Ring . . .

Ring . . .

Ring . . .

Ring . . .

The person you are calling is not available. *click*

I’m quite confident that universal telephone answering machines would have a positive impact on interstate commerce.

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Reid Has a Moment of Sanity

I was very surprised when reading about the results of the Senate vote on health care.

Senate Majority Leader Harry Reid, D-Nev., initially cast a “no” vote.

The explanation we are given is that he was exhausted – which makes sense considering the amount of all-night negotiations and arm-twisting that he has been doing recently.

It reminds me of a friend of mine who grew up in Boston. By the time I knew her she had been out of Boston long enough to lose the accent. one time I called her early enough in the morning that she was still waking up and her natural Boston accent was prominently on display in her voice. When the defenses are down the truth shines through.

I guess it just goes to show that when his defenses are down even Harry Reid knows that this is a horrible piece of legislation.

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