Viewpoint
Page 6
Indiana Gazette
Wednesday, March 9, 2016
The
Established in 1890
Published by The Indiana Printing & Publishing Company MICHAEL J. DONNELLY President and Publisher
STACIE D. GOTTFREDSON
HASTIE D. KINTER
Treasurer and Assistant Secretary
Secretary and Assistant Treasurer
JOSEPH L. GEARY
Vice President and General Manager
R. Hastie Ray Publisher, 1913-70
Lucy R. Donnelly Publisher, 1970-93
Joe Donnelly
Publisher, 1970-2000
“The Gazette wants to be the friend of every man, the
promulgator of all that’s right, a welcome guest in the home. We want to build up, not tear down, to help, not to hinder; and to assist every worthy person in the community without reference to race, religion or politics. Our cause will be the broadening and bettering of the county’s interests.”
T
When fallacies collide
he formal debates among the Republicans who would be president have exceeded all expectations. Even the most hardened cynics couldn’t have imagined that the candidates would sink so low, and stay so focused on personal insults. Yet last week, offstage, there was in effect a real debate about economic policy between Donald Trump and Mitt Romney, who is trying to block his nomination. Unfortunately, both men are talking nonsense. Are you surprised? The starting point for this debate is Trump’s deviation from free-market orthodoxy on international trade. Attacks on immigrants are still the central theme of the Republican frontrunner’s campaign, but he has opened a second front on trade deficits, which he asserts are being caused by the currency manipulation of other countries, especially China. This manipulation, he says, is “robbing Americans of billions of dollars of capital and millions of jobs.” His solution is “countervailing duties” — basically tariffs — similar to those we routinely impose when foreign countries are found to be subsidizing exports in violation of trade agreements. Romney claims to be aghast. In his stop-Trump speech last week he warned that if The Donald became president America would “sink into prolonged recession.” Why? The only specific reason he gave was that those duties would “instigate a trade war and that would raise prices for consumers, kill our export jobs and lead entrepreneurs and businesses of all stripes to flee America.” This is pretty funny if you remember anything about the 2012 campaign. Back then, in accepting Trump’s endorsement, Romney praised the businessman (who was already a well-known “birther”) as someone with an “extraordinary ability to understand how our economy works.” But wait, it gets better: at the time, RomPaul Krugman ney was saying almost exactly the same writes a things Trump is saying now. He promised column for The to — you guessed it — declare China a currency manipulator, while attacking New York Times. President Barack Obama for failing to do so. And he brushed off concerns about starting a trade war, declaring that one was underway: “It’s a silent one, and they’re winning.” More important than Romney’s awkward history here, however, is the fact that his economic analysis is all wrong. Protectionism can do real harm, making economies less efficient and reducing long-run growth. But it doesn’t cause recessions. Why not? Doesn’t a trade war reduce employment in export industries? Yes, and it also increases employment in industries that compete with imports. In fact, a worldwide trade war would, by definition, reduce imports by exactly the same amount that it reduces exports. There’s no reason to assume that the net effect on employment would be strongly negative. But didn’t protectionism cause the Great Depression? No, it didn’t — protectionism was a result of the Depression, not its cause. By the way, if you want an example of a policy that really did have a lot to do with the Great Depression’s spread, that would be the gold standard — which Ted Cruz wants to restore. So Romney is talking nonsense. But so is Trump. Five years ago the Trump complaint that Chinese currency manipulation was costing U.S. jobs had some validity — in fact, serious economists were making the same point. But these days China is in big trouble, and is trying to keep the value of its currency up, not down: Foreign exchange reserves are plunging in the face of huge capital flight, to the tune of a trillion dollars over the past year. Nor is China alone. All around the world, capital is fleeing troubled economies — including, by the way, the euro area, which these days tends to run bigger trade surpluses than China. And much of that flight capital is heading for the United States, pushing up the dollar and making our industries less competitive. It’s a real problem; U.S. economic fundamentals are fairly strong, but we risk, in effect, importing economic weakness from the rest of the world. But it’s not a problem we can address by lashing out at foreigners we falsely imagine are winning at our expense. What can we do to fight imported economic weakness? That’s a big subject, but one thing is for sure: Given the pressures from abroad, and the worrying strength of the dollar, the Federal Reserve really, really needs to hold off on raising interest rates. Did I mention that Trump wants to see rates rise? Not only that, but he’s a full-on conspiracy theorist, declaring that Janet Yellen, the Fed’s chairwoman, is keeping interest rates down as a favor to Obama, who “wants to be out playing golf a year from now.” So there you have it. The good news is that there was a real policy debate going on within the GOP last week. The bad news is that it was junk economics on both sides.
PAUL KRUGMAN
Trump’s immigration flip-flop DETROIT — Donald Trump won the we’ll get them in. But, and we do need South Carolina primary across the in Silicon Valley, we absolutely have to board, but he did particularly well with have.” the 10 percent of voters who named “So, we do need highly skilled,” immigration as the nation’s top issue. Trump continued, “and one of the In addition, some who named other is- biggest problems we have is people go sues — the economy, national security to the best colleges. They’ll go to Har— were undoubtedly also concerned vard, they’ll go to Stanford, they’ll go to about immigration, and Trump’s hard Wharton, as soon as they’re finished line likely helped him with them, too. they’ll get shoved out. They want to Which is why people who stay in this country. They follow immigration closely want to stay here desperately, were stunned Thursday they’re not able to stay here. night when Trump, at the Fox For that purpose, we abNews debate here in Detroit, solutely have to be able to announced that he has keep the brain power in this changed his position on one country. key element of the immigra“So you are abandoning tion debate — the use of Hthe position on your web1B visas to bring skilled forsite?” asked Kelly. eign workers into the United “I’m changing it,” Trump States. said, “and I’m softening the In the distant past — say, position because we have to yesterday — Trump focused have talented people in this on abuses in the system, in country.” which some big companies Trump’s turnaround sent a have been caught using Hjolt through the group of pol1Bs to bring in foreign work- Byron York is icy wonks and activists who ers, force American employ- chief political have opposed Gang of Eightees to train their own restyle comprehensive immicorrespondent for placements, and then pay gration reform. “I’ve heard the foreign worker less than The Washington from enough tech workers the American had made — Examiner. The displaced by H-1Bs that all to do mostly routine jobs Newspaper Trump’s apparent answer Enterprise in the tech industry. very dispiriting,” tweeted the At his recent rally in Ala- Association writer Mickey Kaus. “Clarifibama — the one in which distributes his cation?” Trump received the endorse- column. Mark Krikorian, head of the ment of Sen. Jeff Sessions, Center for Immigration StudCongress’ strongest voice against ex- ies, which favors reducing levels of impanding the troubled H-1B program — migration into the U.S., was not imTrump also won the endorsement of pressed. “(Trump) made clear in Octosome American workers who were vic- ber he didn’t believe what’s in his imtims of H-1B abuse at Disney. migration paper about skilled immigration,” Krikorian told me by email “THE FACT IS that Americans are los- after the debate, “and at the last debate ing their jobs to foreigners,” one of the he showed he buys the ‘jobs Americans laid-off workers told the crowd. “I be- won’t do’ line on unskilled workers lieve Mr. Trump is for Americans first.” too.” In Detroit, Fox News’ Megyn Kelly “So will he ‘clarify’ his ‘I’m softening’ pointed out that Trump’s campaign comment tomorrow, like he did after website has a strong statement against the October debate?” Krikorian continincreasing the number of H-1Bs, say- ued. “His embrace of foreign tech ing it would “decimate American work- workers is particularly shocking given ers,” and yet in one debate Trump that just days ago he featured Amerispoke favorably of the program. “So, can workers replaced by Disney at one which is it?” Kelly asked. of his rallies.” “I’m changing,” Trump said. “I’m Even as Krikorian was typing his changing. We need highly skilled peo- email to me, Trump was at work doing ple in this country, and if we can’t do it, just what Krikorian predicted. “Megyn
BYRON YORK
Kelly asked about highly skilled immigration,” Trump said in a clarification statement sent to reporters about an hour after the debate ended. “The H1B program is neither high-skilled nor immigration: these are temporary foreign workers, imported from abroad, for the explicit purpose of substituting for American workers at lower pay. I remain totally committed to eliminating rampant, widespread H-1B abuse and ending outrageous practices such as those that occurred at Disney in Florida when Americans were forced to train their foreign replacements. I will end forever the use of the H-1B as a cheap labor program, and institute an absolute requirement to hire American workers first for every visa and immigration program. No exceptions.” It would be hard to imagine a quicker or more complete flip-flop.
SEN. MARCO RUBIO, co-author of the Gang of Eight bill, wants to increase the number of H-1Bs; he’s a co-sponsor of another bill to do just that. After the debate, top Rubio campaign aide Todd Harris was happy to entertain questions about Trump’s changing positions. “First of all, I’m not surprised that he so easily took what yesterday was something that he had said was a core principle and threw it out the window, because the fact is that Donald Trump has no core principles,” Harris told me. “One of the hallmarks of a con man is to say whatever it is that you need to say in order to fool somebody, and he obviously feels that what he needs to say to fool the people now is different than what it was yesterday.” I asked whether Sen. Rubio is happy to have Trump join him in advocating for H-1Bs. “Sen. Rubio supports the H1B program,” Harris said. “The problem is we have no idea where Donald Trump is going to be tomorrow on this issue or frankly, any other issue.” A short time later, Rubio himself issued a statement noting that in the debate Trump “finally took an actual position, but as soon as the debate was over, his handlers made him reverse himself.” “The Republican nominee,” Rubio said, “cannot be somebody who is totally clueless on so many issues, including his signature issue.”
Working to avoid opioid OD deaths
D
rug overdose deaths are claiming the lives of more Pennsylvanians today than even motor vehicle accidents. In 2014, 2,500 individuals — seven people a day — succumbed to fatal overdoses from prescription opioids and heroin in the commonwealth, a staggering 20 percent increase over the previous year. Sadly, we expect that number to grow when 2015 statistics are released this summer. Drug addiction is the public health crisis of our time. In fact, it is the worst public health crisis I have seen in more than 30 years as a health professional. We know the greatest risk factor leading to heroin ad-
AS I SEE IT
diction is a prior all public schools addiction to prewill have access to scription opioid naloxone at no pain medicacost. Thanks to a tions. standing order Gov. Tom Wolf signed by Physihas called on the cian General Department of Rachel Levine, all Health and other Pennsylvanians state agencies to can access naloxcollaborate and one at their phardevelop a plan to macies. address this devWe have develastating health oped opioid-preproblem. scribing guidelines To date, we for medical profeshave taken many sionals. DR. KAREN steps to save lives We are moving from overdoses: toward impleMURPHY We have dismenting a compretributed naloxhensive prescripone, a lifesaving drug that tion-drug monitoring proreverses overdose, to emergram. gency medical and law enPennsylvania’s original forcement personnel. Soon monitoring program is
among the oldest such databases in the country. It was established in 1972 under the attorney general’s office to prevent fraud and criminal diversion of controlled substances. The enhanced database will provide physicians with information on patients’ prescription histories in order to identify and treat potential abusers. We recently selected a vendor to create and maintain the database, and expect it to be fully functional later this year. It is our hope that this additional tool will support our ongoing efforts to save lives and prevent the devastation caused by this disease. Karen Murphy is Pennsylvania’s secretary of health.
How to send your letter to editor The Indiana Gazette welcomes letters to the editor and will endeavor to print readers’ letters in a timely manner. Letters should be signed and include the writer’s full address and telephone number so the authenticity of the letter can be confirmed. No letters will be published anonymously. Letters must be factual and discuss issues rather than personalities. Writers should avoid name-calling. Form
letters and “canned” email will not be accepted. Generally, letters should be limited to 350 words. All letters are subject to editing. Letter writers are limited to one submission every 30 days. Send letters to Mike Petersen, editorial page editor, The Indiana Gazette, 899 Water St., Indiana, PA 15701. Letters may also be emailed to mepetersen@indi anagazette.net. Be sure to include a phone number.
LETTER TO THE EDITOR
Halvorson’s career, character impressive I would like to support the candidacy of Art Halvorson for U.S. Congress. I have known Mr. Halvorson for several years and am very impressed with his qualifications. He had a 29-year career in the military. Following this, he has been a successful businessman in Bedford County. Art and his wife have six
children and nine grandchildren. My daughter Melissa, who is a business owner in Bedford, has known the Halvorsons for a number of years and she has shared they are people of strong character. Art Halvorson’s military background, along with his involvement in establishing the guidelines for Homeland Security, reinforce his
backing of strong national security. I feel national security has become increasingly important. Our current congressman has been in office for number of years and I think he has done little for the Indiana County area and has supported a number of questionable issues, such as voting to increase the nation debt. Art Halvorson has also
promised to hold this office no longer than six years and pledges to refuse the government pension that goes with this position. I strongly believe it is time to make a change in favor of a candidate who is not a career politician and who believes in families and small business. G. Ronald Marshall Indiana