Drug Czar Supports More of the Same

April 30, 2010

The International Centre for Science in Drug Policy (ICSDP), a nonprofit organization of scientists, health care practitioners, and academics based in Canada and Britain, released a report this week that found that when government cracks down on the drug trade the result is an increase in violence.  The group reviewed over 300 international studies from the last 20 twenty years.  87 percent of the studies reviewed show a direct correlation between intensified drug law enforcement and drug market violence. 

Of course, this should come as no surprise since even without scientific literature anyone can point to examples from history.  The largest lesson to be learned from the prohibition of alcohol in the 1920s was that when government bans a demanded commodity consumers will find a way to get it and suppliers will find a way to supply it – unfortunately more often than not through the use of violence.  Thus, prohibition was a boom to organized crime in the 1920s as its profits soared and crime rates rose.  Similarly, the Drug War in the United States has had few if any victories in regards to reducing drug use and violence on our streets continues to be its biggest shortcoming.  Finally, the current Drug War in Mexico has been a catastrophe for that country.  There have been massive increases in gun violence, beheadings, and kidnappings since Felipe Calderon started the crusade.  Close to 23,000 deaths are attributed to the intensified drug law enforcement.  Worst yet, Mexico’s Drug War no longer threatens to spill over into our country, it is already here.

But, of course the drug warrior class in America, whose very livelihood relies on perpetuating the Drug War, denies the findings of the report support calls for ending drug prohibition.  Former drug czar, John Walters, said that increases in violence after law enforcement crackdowns usually only affect criminals and thus might be in a strange way a reflection of success for anti-drug efforts.  But, this ignores the fact that many who die are innocent bystanders caught in the crossfire of a turf battle.  In Mexico, a U.S. Embassy family, police, soldiers, politicians, and journalists have been killed by drug violence.  Besides, even if only the criminals are dying from shootouts on our streets, who wants that kind of atmosphere and the inherent threats to innocent people it presents in their neighborhood?

Then, there is the current drug czar Gil Kerlikowske, whose reaction to the report was “I don’t know of any reason that legalizing something that essentially is bad for you would make it better, from a fiscal standpoint or a public health stand point or a public safety standpoint”.  Any reasonable person should be incredulous at the drug czar’s remark.  How can he believe that in the face of this study and obvious historical examples of drug prohibition causing violence.

Now, we can do what Czar Kerlikowske would like and stay the course on the Drug War.  That means we will continue to spend $33 billion a year to fight an unwinnable war.  And we will continue to treat folks with severe drug abuse problems like criminals instead of allowing them to get the help they need to become productive citizens.  Lastly, we will continue to cause violence on our streets by keeping something demanded illegal which raises its costs thus attracting the criminal elements to enter the market with deadly force in seeking high profits.

There is a better way.  Decriminalize drugs and drop the law enforcement savings into treatment programs for those that really need it.  Private advertisers should proclaim the dangers of drug abuse in the same way it was proclaimed about cigarette smoking.  Finally, abolish the drug czar position altogether since its occupants are nothing more than advocates for the police state and violence on our streets.  Given the findings of the ICSDP report and what we can observe from historical examples, we seem to have no other choice.

Article first published as Drug Czar Supports More of the Same on Blogcritics.org


As Usual, Government Regulation as Political Payoff

April 23, 2010

I heard the president’s speech at Cooper Union College today and thought it was quite bizarre that he would criticize Wall Street for bad behavior when Washington is currently running our national debt through the roof and the policies that emanated from there in the last ten years caused our current financial crisis.  The old adage about those that live in glass houses and stone throwing immediately came to mind.  But, the president really believes that the financial crisis we still find ourselves in despite trillions of dollars in Keynesian spending is somebody else’s fault.  In fact, he indicated that, “…the system as it stands is what led to a series of massive, costly, taxpayer bailouts.”  And I thought it was Mr. Obama and his big government colleagues in the Congress who voted unconstitutionally to give away our money to the greedy, misbehaving banks.

Now, the president’s bizarre remarks are one thing, but the financial regulation bill before the Senate is even more bizarre.  Crafted by Connecticut Senator Chris Dodd, the bill will do nothing to fix the real causes of the financial crisis. In actuality, the bill amounts to nothing more than a political payoff for Dodd’s benefactors on Wall Street.  And this should come as no surprise since Dodd’s donor list reads like a who’s who of the financial services sector.        

First of all, Dodd’s bill does nothing to address the primary culprit of the financial crisis – the Federal Reserve.  Yes, consumers took out mortgages they could not afford and loan officers falsified applications knowing that they would collect their commissions long before the bad loans defaulted on a bigger institution up the line.  But the Fed supplied the poison for it all to happen – easy money.  After 911, Alan Greenspan’s Fed kept interest rates artificially low at 1 percent for three years.  This encouraged a mortgage craze as trillions of dollars were borrowed.  It was a government sponsored get rich quick scheme as many housing investors bought homes with low teaser rates and no money down.  You know the rest of the story – homeowners leveraged their homes to the max, rates adjusted up and the bubble burst when many folks could no longer afford their payments.  To add insult to injury, the Fed came to the rescue of financial institutions, even foreign ones, at the expense of taxpayers.  Make no mistake about it, the Federal Reserve exists for the profit making of banks alone.  It was established by bankers; it is run by bankers; it allows banks to inflate dollars through fractional reserve banking; and it is there for them when they need a few dollars to keep the charade going.  No other industry has a full government agency to support its shady dealings like the banking industry.  Dodd’s bill, by ignoring the Fed’s culpability in the crisis, has no chance of preventing financial calamities in the future.  Additionally, it only benefits the big banks since their benefactor, the Fed, will continue to operate unencumbered by any new regulations or oversight.

If ignoring the Fed’s role in the financial crisis is not bad enough, Dodd’s bill also institutionalizes “too big to fail” bailouts.  It should be pointed out that a major rationale of financial reform is to ensure that taxpayers never again get stuck with bailing out firms that are too crucial to our economy to fail.  Well, Section 113 of the bill provides for a “Financial Stability Oversight Council” which would identify distressed firms whose failure would “pose a threat to the financial security of the United States…”  Section 210(n)(1) establishes an “Orderly Resolution Fund” within the U.S. Treasury that would provide $50 billion in bailout money funded by taxes on financial firms.  Of course, ultimately those taxes would come from consumers in the form of higher bank fees.  These two sections of the bill essentially provide implicit guarantees from the government against failure for big banks.  They extend the life of the moral hazards that we have become too familiar with.  In the end, they will encourage big banks to continue to take undue risks which will once again put taxpayers in harm’s way.  These sections of Dodd’s bill will not prevent future financial crises.  On the contrary, they only benefit big banks by allowing them to risk everything with the knowledge that taxpayers will be there to pony up bailout funds for them.

Since 1989, Chris Dodd has received over $12 million in campaign contributions from the financial services industry.  They own him and this bill proves it.  On the other hand, the president is yet to embrace Dodd’s bill.  In his speech at Cooper Union he said to financial firms, “I want to urge you to join us, instead of fighting us in this effort.”  If he chooses Dodd’s bill to reform the financial industry he probably won’t get much of a fight from Wall Street.


Why the Constitution Matters in Military Affairs

April 18, 2010

Week after week it’s easy for me to blog with compelling arguments that most things Congress does is unconstitutional.  But, up until about two years ago with the advent of Ron Paul’s Freedom Revolution and last year’s birth of the Tea Partiers, most Americans would have said, so what if something is unconstitutional?  That document is outdated and irrelevant.  These are modern times with issues unimaginable to the Founders.  Nonsense, the eternal truths contained in the U.S. Constitution are as relevant today as they were in the 1700s.

Take making war for instance.  Article 1 Section 8 gives Congress, not the president, the power to declare war.  In that same section, Congress has the power to finance the endeavor.  Since the end of World War II, the clause pertaining to declaring war in the Constitution, like many others, has been almost totally ignored by both the Congress and president.  Additionally, Congress has rarely if ever invoked its power to restrain presidential power by controlling the purse strings of the military during times of war.  The consequences have been horrendous. 

In the 1960s and 1970s it led to an 11 year war in Southeast Asia.  Instead of a declaration of war the military action was justified on the basis of the Gulf of Tonkin Resolution passed in 1964.  The resolution gave President Johnson the authorization to do whatever was necessary in order to assist “any member or protocol state of the Southeast Asia Collective Defense Treaty.”   This vague and open ended wording led to much criticism of the president and his Secretary of Defense over how they conducted the war.  Specifically, President Nixon’s expanding of it to include the bombing of Cambodia made an already unpopular war almost an event that tore the country in two.  It also led to over 50,000 American and countless Southeast Asian lives being lost.  The conflict ended in defeat for the U.S. and spending for the war caused high inflation which hurt American households, facilitated our manufacturing base to move overseas, and eventually brought on problems like the Savings and Loan crisis.

In current times we find ourselves mired in two conflicts in Afghanistan and Iraq.  To be sure, Congress did not declare war in either circumstance.  For Afghanistan, it passed a resolution authorizing the president to use all “necessary and appropriate force” against those whom he determined “planned, authorized, committed or aided” the September 11th attacks, or who harbored said persons or groups.  For Iraq, the resolution authorized the president to use the Armed Forces of the United States “as he determines to be necessary and appropriate” in order to “defend the national security of the United States against the continuing threat posed by Iraq; and enforce all relevant United Nations Security Council Resolutions regarding Iraq.”

It seems like Washington never learns from its mistakes.  Again, loosely worded resolutions instead of firm declarations with a narrow objective allowed President Bush to abuse his powers by spying on Americans, holding prisoners at Guantanamo Bay indefinitely, and expand the bombing to include other countries other than Afghanistan and Iraq, namely Pakistan.  In addition to over 1 million Iraqi and Afghani deaths from the main theaters of war, 1 in 3 people killed in the expanded bombings of Pakistan have been civilians. 

Because Washington has not followed the eternal truth that war should be entered into and conducted carefully, our government is primarily responsible for the destabilization of the Middle East.   It doesn’t take a rocket scientist to understand that because of the threats of invasion that came from the previous administration and with American military might all around it Iran is attempting to acquire nuclear weapons.  Even though Saddam was a vile and ruthless tyrant his Iraq acted as a counterweight to Iran.  Today, Iraq is in chaos and if U.S. forces do ever leave it will be ripe for a takeover by Islamic extremists.

A Republican Congress unfortunately did not deny George W. Bush the ability to launch an unjust war on Iraq based on lies, misinformation and his desire to avenge Saddam Hussein for allegedly sending a hit squad to assassinate his father.  One man made the decision to start the war in which Americans would die and hundreds of billions of dollars would be spent.  This was not the intent of the Founders who were wise enough to give the powers of declaring wars and financing them to the Congress.  The Founders gave them to Congress because it is a deliberative body that represents the many viewpoints of Americans.  These viewpoints, like in the enactment of laws, place a check and balance on the solitary power of the president.  Congress has abdicated this constitutional power and consequently has propped up an imperial presidency – something the Founders, other than Hamilton and Adams, would have vehemently rebelled against.

In 2006 the Democrats took back control of Congress with a pledge to end the wars in Afghanistan and Iraq.  For a time there was hope that they would restore the constitutional balance of power in war making. They simply could have done this by cutting funding for the wars.  But instead, Congress continues to finance the wars and in fact has gone along with President Obama’s wishes to continue funding bombings in Pakistan and to escalate the war in Afghanistan – so much for the hope that Congress would exert control over the powers granted to it and rein in the powers usurped by the president.

Wars are costly both in terms of human life and monetary expense.  Unless an attack on U.S. soil is imminent, Congress must retain its constitutional power to declare war and use its authority over funding it to limit the president’s actions.  By not following these constitutional mandates we have become a militaristic society almost constantly at war in adventures far beyond what the Founders envisioned.  This has caused a drain on our families, our finances, and our country’s reputation in the world.  Fortunately, many Americans are finally waking up to this reality.