Friday, October 30, 2009

Avoiding Another Vietnam

In a recent CNN/Opinion Research Corporation survey released October 19th, fifty-two percent of people say that the eight year long conflict in Afghanistan has turned into a situation like the U.S. faced in the Vietnam War, with 46 percent disagreeing. The CNN/Opinion Research Corporation poll was conducted that prior Friday through Sunday, with 1,038 adult Americans questioned by telephone. The survey's sampling error is plus or minus 3 percentage points.

A slight majority, 59 percent of people questioned in the poll, also oppose sending more U.S. troops to Afghanistan. There are some similarities to make with American resentment to that of the Vietnam War but there are also some dissimilarities that make this a war that can have a sustainable positive outcome. I'm not saying we can thwart off terrorism all together but we can feel much safer for many years to come if we stay course in our fight against terrorism and it starts with finishing the mission in Afghanistan.

What is different is that the public can make the distinct relationship between Afghanistan and the war against terrorism which began with the 9/11 attacks in 2001. According to the survey, around two-thirds also feel that its unlikely that without American assistance, the Afghan government will be able to keep order in their country or prevent terrorists from using Afghanistan as a operation base for planning future attacks. With Afghanistan elections in chaos and no strong government, there's likely no solution without outside intervention.

I feel that we can prevent another Vietnam by expediting the fight against terrorist in Afghan and surrounding areas. Obama is hesistant to send the recommended 40,000 additional troops that the top U.S. commander states is a must to succeed. Not acting quickly will only assist with the terrorist regrouping and planning another attack such as 9/11. Our vested interest is obvious, protecting U.S. citizens here in America and abroad. In any war there will be casualties and while it's disheartning to hear about the rise in casualties among U.S. soldiers, to have a massive threat among civilians is even a greater risk.

Friday, October 16, 2009

Insurance Death Spiral

A blog posted by James C. Capretta of the National Review Online addresses what he views as a crucial flaw in the plan sponsored by Finance Committee Chairman Max Baucus. He claims the health-care plan approved this week by the Senate Finance Committee would lead to an insurance death spiral. He defines this as occurring when regulators force insurers to offer coverage at premiums below the known risk of those they are insuring, without insurance that the shortfall can be made up elsewhere. I feel that his audience here are other Republicans as well as those not well informed on the financial impact on individuals but more so on the private health care market.

Mr. Capretta does provide full disclosure that he does consulting work for private health insurance and one may argue that he has vested interest in posting such a blog that may be partial in that his clients are the health insurers but he provides what I feel are irrefutable third party findings that support his view. In a Price Waterhouse Coopers study, it points to four provisions included in the Senate Finance Committee proposal that could increase private health insurance premiums above the levels projected under current law:
1.) Insurance market reforms coupled with a weak coverage requirement
2.) A new tax on high-cost health care plans
3.) Cost-shifting as a result of cuts to Medicare
4.) New taxes on several health care sectors

The study provides analysis that supports the key finding that overall impact of these provisions will be to increase the cost of private insurance coverage for individuals, families, and businesses above what these costs would be in the absence of reform. Looking out 10years, on average, the cost of private health insurance coverage will increase 79 percent between 2009 and 2019 under the current system and by 111 percent during this same period if these four provisions are implemented.

He urges that instead of focusing on 'universal coverage' and addressing how their plan would not have the same fate of some failed state reforms by forcing young and healthy to purchase insurance, he would like to see Democrats working alongside Republicans on a sensible plan to introduce reforms that would inject more market discipline into the health sector, thus making coverage more affordable for everybody. By passing the Baucus bill, he feels that Congress will be dealing with new issues and could be bailing out the private insurers in a couple of years.

I couldn't agree more with Mr. Capretta's view and with the findings of the Price Waterhouse Coopers study, I shouldn't be forced to pay tax penalty if I can't afford the more expensive plan. He has my attention and I feel these findings and his comments should be heard by all.

Friday, October 2, 2009

In a recent opinion article found in the Wall Street Journal, the columnist points to federal minimum wage increases as the main reason behind low teen employment. After reading the article and the studies he references such as the Stanford study, I would agree that the impact of minimum wages can have even longer term affects on young job seekers. Yes, economy has been hit hard but there is a bigger disparity between the whole unemployment number and the unemployment number of America's teens. It's also pointed out that the number is as high as 50% for black teens. It begs the question, would teens be less likely to engage in wrongful acts if they could work during high school years. Chicago inner city has been spread accross the news with horryfing details of fellow classmates killing one and youth gang violence. Could this violence be derailed some if inner youth were incented by job creation. The columnist suggest that Congress look at creating a teenage wage of $4 or $5 hour to help put thousands of teens back to work. I also agree, without any change, this trend will continue and could have a much more negative impact that affects communities all over America. Also, as a father of a 13 year old teen, I'm dealing with him finding interest in activities that may lead to a hard lesson and this notion of little job opportunity is one less option to keep him focused on positive lessons as having a job and starting an investment in his future. States should also be given more ownership of setting minimum wages in urban cities where youth crime is a major problem and community programs do little to deter this crime. It's time to take action and protect the interest of our future workforce.