The states have shed thousands of public employees since the beginning of the recession
State governments have eliminated thousands of public employees since the beginning of the recession.
Tag: budget
The astonishing collapse of MF Global
The astonishing collapse of MF Global.
The failure of broker MF Global is a unique event in the annals of American corporate history: To my knowledge, it’s the first time a CEO singlehandedly bankrupted his firm through actions that the board of directors was not only knowledgeable of, but had indeed expressly sanctioned. “That takes some talent!” quipped Roderick Hills, a former chairman of the SEC.
The article is long, detailed, and thorough. It describes a deep corruption that should chill the spine of anyone who has money in the investment world.
I must note that I do not advocate more regulations to eliminate this corruption. Such regulations never work. Take for example this quote from the article, describing the accounting systems that are required by law to prevent a client’s funds from being misused:
As noted above, it’s a major part of the CEO’s job to put the proper systems in place. In fact, regulations implemented through Sarbanes-Oxley — a bill that Corzine co-wrote while he was a senator — require that the CEO and CFO sign off on the effectiveness of the controls over financial reporting. … If those proper “controls and procedures” were in place, a breach of segregated client funds should have set off loud, blaring, obnoxious alarms that would have alerted management to that breach.
In the case of Jon Corzine and MF Global, those controls were obviously not in place, and thus the Sarbanes-Oxley bill wasn’t worth the paper that Corzine used to write the bill.
Rather than more regulations, what works is very simple and can be summed by two words: “Buyer beware.” Investors (as well as voters considering the political ambitions of Corzine and his friends) have to be more skeptical of whom they put their trust in. You have to protect yourself. You can’t ask others to do it for you.
Deficit may be biggest threat to ObamaCare
Well duh! Deficit may be biggest threat to ObamaCare.
I always opposed ObamaCare because I oppose the use of government to run our lives. But putting that minor point aside, it made absolutely no sense for the government to add this entitlement to the nation’s balance sheet at a time when that balance sheet is so completely in the red. The only time these kinds of government programs can possible work (if ever) is when there is lots of spare cash in the bank, something we definitely don’t have right now.
The Great Spending Betrayal
Over Friday and Saturday, 61% of House Republicans and 34% of Senate Republicans voted for the omnibus megabus bill. In doing so, not only did they violate their pledge pertaining to bundled (1200-page) bills and the 72-hour layover rule and agree to fund Obamacare, Dodd-Frank, Planned Parenthood, the EPA, the PLO and the UN; they actually agreed to spend almost $9 billion more than last year. Overall, budget authority will be $33 billion higher than the House budget, while appropriations for non-defense spending will be $45 billion more. One of the members who voted in the affirmative even agreed that he had voted for a “crap sandwich.”
One reason the budget is still growing is that two-thirds of the government is still controlled by the spendthrift Democratic Party. A second reason is that there are too many wimpy Republicans willing to compromise with these spendthrifts.
Which is why we have elections. 2012 should help fix this problem.
“We Didn’t Know What The Hell Was Going On”
A Democrat explains the reasoning behind the Obama stimulus package: “We didn’t know what the hell was going on.” With video.
NASA Faces Further Cuts in Last-minute Spending Package
NASA faces a $325 million additional cut in the last-minute spending deal now before Congress.
These cuts will bring NASA’s budget back to what it had in 2008, hardly a disaster for space exploration.
Budget deal cuts EPA by three percent
Another science budget update from Nature states that the budget deal will cut EPA by three percent.
This cut reduces EPA’s budget from its 2011 numbers by about $400 million. However, the agency’s total 2012 budget of $8.4 billion is still $1 billion more than it got in 2008, hardly what I’d call a draconian cut.
Once again, the inability of Congress to seriously face the deficit issue threatens to eventually destroy the U.S.’s ability to do any science. A bankrupt nation can’t do much but feed itself, as the scientists in the Soviet Union learned back in the 1990s.
NIH and DOE in the proposed budget deal
The National Institutes of Health (NIH) and the science office in the Department of Energy (DOE) appear to avoid serious cuts in the proposed budget deal.
Actually, NIH’s budget remains almost identical to what it got in 2012, $30.6 billion. However, this amount is $1.4 billion more than it got in 2008, and $1.7 billion more than it got in 2007. As for DOE’s Office of Science, the $4.889 billion for 2012 is still $700 million more than the office got in 2008.
In other words, considering the budget deficits the federal government faces, these 2012 budget numbers hardly seem to be a reasonable attack on the problem. Simply bringing those budget numbers back down to 2008 numbers would hardly damage the work these government agencies are doing, and it would surely do more to reduce the deficit.
Another ObamaCare program goes bankrupt
Repeal it! Another ObamaCare program has gone bankrupt, spending its full budget three years earlier than expected.
The stimulus was not a one time expense, it was built into the baseline
One reason we are going bankrupt: The stimulus was not a one time expense, it was built into the baseline.
Click to see the chart most of all. It will make you sick.
Germany’s space chief sees big battles in Europe over funding for ISS and Ariane
Germany’s space chief yesterday said he expected big battles in Europe over future funding for ISS and Ariane.
Ariane is a serious problem, as it is expensive and a money-loser, despite dominating the commercial market in recent years. And worse, it will be difficult to make Ariane competitive in the future:
ESA in 2010 hired an outside auditor to review the current Ariane 5 system to look for ways to save money. Its principal conclusion was that very few savings were possible without scrapping the forced geographic distribution of industrial contracts that preserves the political and financial support needed for the Ariane system.
The $600,000 toad statue your tax dollars paid for and you will never see in person
The $600,000 toad statue your tax dollars paid for and you will never see in person.