Romney and Jobs

Most of the debate about whether Romney created jobs at Bain Capital misses the point.  Of course, businesses succeed and fail.  Some jobs will be created, some eliminated.  The questions is whether Romney cared about jobs, or just about maximizing profits.  For example, if it cost Bain $1,000 to keep a job that paid $25,000 to some long-term employee, would Romney do it?  That question has not been asked, but I think the answer is no.  That is a legitimate position, a purely Darwinian capitalist view.  But do you want the government to approach the jobs issue the same way?  I don't think so.  The government should take a more humanitarian approach to jobs.  And businesses could, too. 

In some cases, businesses fail because the men who started them don't have the heart to fire people who have been with them for years, although the company's hard times require it.  The Mitt Romneys of the world can come in and do it because they are heartless.  And they end up preserving some jobs, just not all of them. 

But what is Romneys view of the importance of jobs versus profits?  We don't know, and probably never will, because Romney seems to have no permanent views on anything. 

I think Romney's income taxes may be revealing, if he releases them.  He probably benefitted from all the tax breaks for rich people, particularly those in investment activities, that the lobbyists have gotten passed over the years, thanks to huge donations from rich people.  They can afford huge payments to lobbyists and campaign contributions to politicians, because the resulting tax breaks save them obscene amounts of money.  I'm guessing Mitt benefited enormously.  It will be even worse if it turns out that he is hiding income by putting assets in the Cayman Islands, or some other tax haven. 

Obama Abandons Democratic Party

Obama's proposal to break up the Commerce Department is just another example of his kowtowing to the Republicans and abandoning Democratic party ideals.  Government needs reorganization, but breaking up a long existing cabinet department is not the way to start.  The Republicans probably want him to eliminate EPA or Education, and he thinks it is smart to hit Commerce instead, but it's still a recipe for disaster.  The Department of Homeland Security has been a disaster.  The country is no safer than when the agencies in Homeland Security were under different cabinet departments, but it has been a great financial boon for private contractors, most of whom have Congress under their thumb through their lobbyists and campaign contributions.  It's government welfare for rich contractors. 

Obama is a worthless coward.  People make a big deal of his approving the raid on Osama bin Laden and continued drone strikes, but in both cases he was just saying yes to hardliners in the military and intelligence communities.  Closing Guantanamo would take guts, and he won't do it, because he doesn't have the guts.  Elizabeth Warren makes him look like a little crybaby.  It's no wonder he didn't want her anywhere near him; the comparison is devastating. 

Republican Primary as Reality Show

The Republican primaries are basically a reality show.  The candidates are more like the housewives of Orange County than commanders in chief.  That’s why somebody who was just promoting a book, Herman Cain, came to be one of the leading contenders, if only for a few weeks  The debates and campaign speeches have been in general uneducated and banal, except for Ron Paul and Jon Huntsman, who have espoused reasonable positions, although I may not agree with them.  I think Ron Paul is wrong in his opposition to the Fed, but he is right that we are in serious economic trouble.  I think Huntsman is right on most important issues -- economic and foreign policy -- but too conservative on social issues like abortion and gun rights.  But Romney is campaigning as if he were a California housewife.  He may be the most intelligent housewife, but just a housewife nevertheless.  The others -- Santorum, Gingrich, Perry -- are good at puffery, but just full of sound and fury, signifying nothing.  Republican voters are not voting for a commander in chief but just on who is going to be voted off the island.

USAA and the Decline of the American Military

I’m a big fan of USAA insurance, but I think it’s significant that USAA now needs to advertise, when previously it tried to limit policyholders rather than attracting them.  In the old days USAA insurance was only available to military officers.  Because of patriotism and the draft, a lot of excellent people became military officers.  Many of them did not become career officers, but left after their initial period of service to return to civilian life, where they often became successful businessmen, lawyers, doctors, and other prosperous members of society.

 Vietnam destroyed respect for the American military, but because of the draft during the first part of the war, there were still a lot of good people who became officers.  With the end of the draft and rising disrespect of the military, particularly by “good” families, fewer and fewer people who were destined to become community leaders served as officers.   As a result USAA’s pool of excellent customers has been shrinking.  Now, instead of having a favorable opinion of former officers, Americans tend to have an unfavorable opinion, making it more difficult for former officers to rise to prominence in the civilian community.

As an example, look at recent Presidential elections.  The last military officer to serve as  President was George H. W. Bush.  He was defeated for his second term by Clinton, who avoided service in Vietnam.  Clinton defeated Bob Dole, a World War II hero, to win his second term.  Al Gore, Clinton’s Vice President, served in Vietnam, probably because as the son of a senator, he inherited a now antiquated family tradition of national service.  When he ran for President, however, he was defeated by George W. Bush, who did not inherit his father’s tradition of national service, and who avoided service in Vietnam by joining the Alabama National Guard, where he seldom did anything, even in Alabama.  For his next term Bush ran against Sen. John Kerry, who served in Vietnam and was awarded a Purple Heart medal.  The Republican Swift Boat veterans ridiculed Kerry’s service, in what to me was the most egregious attack on veterans by a major political party.  In order to win Bush a second term, the Republicans defamed all veterans by attacking Kerry for being a veteran.  In a turnaround, the Republicans nominated a veteran, war hero John McCain, in the next election.  McCain was defeated by Obama, who is not a veteran but is too young to have been influenced by Vietnam and the draft.  Although he did not serve in Vietnam, Bush II was probably eligible for USAA insurance under their old rules, although none of the other Presidents would have been.

The Presidential elections illustrate how Americans have turned against those who serve in their country’s military.  The result has been a significant downgrading of the USAA customer base, from leaders of American communities to those relegated to a lower social and economic status because of their service in the military.