In her first economic policy speech as the 2024 Democratic presidential nominee, Kamala Harris rightly criticized Donald Trump for favoring steep tariffs, saying her Republican opponent "wants to impose what is, in effect, a national sales tax on everyday products and basic necessities that we import from other countries." But in the same speech, Harris pitched a half-baked idea that is just as economically dubious, promising to crack down on "price gouging" by the grocery industry.

That proposal is so misguided that it provoked undisguised skepticism from mainstream news outlets such as CNN, the Associated Press, The New York Times, and The Washington Post, along with criticism by Democratic economists. It showed that Harris joins Trump in pushing populist prescriptions that would hurt consumers in the name of sticking it to supposed economic villains.

"If your opponent claims you're a 'communist,'" Post columnist Catherine Rampell suggested, "maybe don't start with an economic agenda that can (accurately) be labeled as federal price controls." Harvard economist Jason Furman, who chaired President Barack Obama's Council of Economic Advisers, was equally scathing.

"This is not sensible policy, and I think the biggest hope is that it ends up being a lot of rhetoric and no reality," Furman told the Times. "There's no upside here, and there is some downside."

That downside stems from any attempt to override market signals by dictating prices. High prices allocate goods to consumers who derive the greatest value from them, encourage producers to expand supply, and spur competition that helps bring prices down.

Without those signals, you get hoarding and shortages. This is not some airy-fairy theory; it reflects bitter experience since ancient times with interventions like the one Harris proposes.

Consider what happened when President Richard Nixon imposed wage and price controls in the 1970s. "Ranchers stopped shipping their cattle to the market, farmers drowned their chickens, and consumers emptied the shelves of supermarkets," Daniel Yergin and Joseph Stanislaw note in their 1998 book on the rise of free markets.

Or consider what happened more recently with eggs. Thanks to avian flu, Furman noted, "egg prices went up last year" because "there weren't as many eggs," but the high prices encouraged "more egg production." If federal regulators had tried to suppress egg prices, they would have short-circuited that market response.

Harris, of course, says she would target only unjustified price increases, the kind that amount to "illegal price gouging" by "opportunistic companies." But as she emphasizes, there currently is no such thing under federal law, and any attempt to define it would be plagued by subjectivity and a lack of relevant knowledge.

The fact that Harris pins the sharp grocery price inflation of recent years on corporate greed suggests that her judgment about such matters cannot be trusted. Economists generally rate other factors—including the war in Ukraine as well as pandemic-related supply disruptions, shifts in consumer demand, and stimulus spending—as much more important.

High profits, in any event, are another important signal that encourages investment and competition. By forbidding "excessive profits," Harris' proposed price policing would undermine the motivation they provide.

According to the most recent numbers, the annual inflation rate dropped below 3 percent as of July. With inflation cooling, this might seem like a strange time for Harris to resuscitate an idea that was already proving disastrous thousands of years ago. But as the Times notes, her message "polls well with swing voters."

The broad tariffs that Trump favors, which Harris condemns as "a national sales tax" that would "devastate Americans," also poll well in the abstract. But they are popular only until voters consider the consequences.

In a recent Cato Institute survey, for example, 62 percent of respondents favored a tariff on "imported blue jeans," but that number plummeted when they were asked to imagine the resulting price increases. Harris likewise is counting on voters who like what she says but do not contemplate what it would mean in practice.

© Copyright 2024 by Creators Syndicate Inc.

The post Kamala Harris' 'Price Gouging' Ban: A New Idea That Has Failed for Thousands of Years appeared first on Reason.com.

Last week, the Trump campaign falsely asserted that "homicides are skyrocketing in American cities under Kamala Harris." On Tuesday, the campaign offered a more nuanced and sophisticated critique of crime data cited by the Democratic presidential nominee. But it still does not support the earlier claim, which is inconsistent with numbers from several sources.

A "memorandum" headlined "Joe Biden's Lies on Crime" (a title that makes you wonder whether Trump forgot who his opponent is) notes that the FBI changed its crime data collection methods in 2021, switching from the old Uniform Crime Reporting (UCR) program to the new National Incident-Based Reporting System (NIBRS). The transition, which was aimed at generating "new and better data," resulted in a big decline in the number of participating law enforcement agencies. According to the Bureau of Justice Statistics, the share of the population covered by participating agencies fell from the previous norm of about 95 percent to just 65 percent in 2021.

"The FBI's website reveals that the Q1 2024 data Joe Biden is citing comes from just 71% of the nation's law enforcement agencies," the Trump campaign says. "That means crime data from nearly one third of jurisdictions is missing." The overall NIBRS participation rate, which is relevant in assessing the FBI's final estimates for any given year, is higher: The FBI says 15,724 of 18,884 eligible agencies, or 83 percent, submitted data for 2022. The overall population coverage rate had risen to 85 percent by 2023. Still, the decline in participation since 2020 is a widely recognized problem.

The Trump campaign notes that "the FBI attempts to 'estimate' crime data for non-reporting agencies using a 'statistical weight' from reporting agencies similar in size and type"—a "practice of estimating crime numbers for agencies with missing data" that "has been going on since the 1960s." But historically, the missing data represented around 5 percent of the population, compared to 15 percent in 2023. A bigger gap magnifies the potential for error.

That is a perfectly reasonable point. But does it mean that homicides are, in fact, "skyrocketing"? No.

Nationwide, the FBI's preliminary numbers indicate, murders fell by 26 percent in the first quarter of this year compared to the same period last year. But other sources also report that homicides are falling this year, albeit by smaller percentages.

Based on a sample of 277 cities, AH Datalytics reports a 17.3 percent drop in murders so far this year, which is very large compared to historical trends. Most of these numbers come from "official" sources, meaning they were reported by local police departments or municipal governments. Some were compiled by state governments, and some came from local news outlets that track crime.

The Council on Criminal Justice (CCJ), based on data from 39 cities for the first half of 2024, reports that "most violent crimes," including homicide, "are at or below levels seen in 2019," the year before a huge spike in murders (which, as Trump wants us to forget, happened during his administration). The CCJ says the drop in homicides through June in "the 29 study cities providing data for that crime" was 13 percent.

According to a report from the Major Cities Chiefs Association (MCCA) that covers 69 cities during the same period, the total number of homicides fell by 17.4 percent. That is strikingly similar to the AH Datalytics estimate, although the latter analysis covers a lot more cities—including New York, which was not part of the MCCA sample but saw a 10 percent drop in homicides, according to AH Datalytics.

Instead of trying to defend its recent claim that "homicides are skyrocketing," the Trump campaign widens the focus, arguing that the National Crime Victimization Survey (NCVS), which includes crimes that are not reported to police, provides a more accurate picture of what is happening. The NCVS is not relevant in assessing homicide trends, since it does not cover homicides—the most serious violent crime and the one that is hardest to miss. And although the Trump campaign's criticism of the FBI numbers focuses on what happened in the first quarter of 2024, we do not yet have NCVS data for 2023, let alone this year.

The NCVS, like the FBI's system, has both strengths and weaknesses. But the Trump campaign deems it "by far the most credible and reliable barometer of crime nationwide." The NCVS, it says, "reveals that between 2020 and 2022 (the most recent year for which data is available), there was a 43% increase in violent crime, 58% increase in rape, 89% increase in aggravated assault, and a 56% increase in robbery."

Although these numbers omit 2023 and 2024, the Trump campaign wants us to believe they tell the true story of crime during the Biden administration. But the divergence between the NCVS and FBI numbers, especially in 2022, presents a puzzle that cannot be resolved simply by observing that the NCVS includes unreported crimes.

In 2002, when the FBI reported an overall 2 percent decline in violent crime, the NCVS results indicated a whopping 75 percent increase. Again, the latter number does not include homicide, which according to the FBI fell by 7 percent in 2022. But it does include respondents' reports of rape, which were up 58 percent, compared to the 6 percent drop estimated by the FBI; robbery, which rose by 47 percent according to the NCVS but only 1 percent according to the FBI; and aggravated assault, which more than doubled according to the survey but fell by 2 percent in the FBI's tally.

"Both too much and too little can be made of the divergence between the UCR and NCVS violent crime rates in 2022," the CCJ notes. "Divergent change in a single year should be viewed in the context of the similar long-term trends in the two indicators—and both sources show an appreciable decline in violent crime since the early 1990s." Still, "changes in the UCR and NCVS violent crime rates have rarely differed as much as they did" in 2022.

The 2021 changes in the FBI's reporting system and the concomitant decline in participation do not seem relevant here, since the participation rate was substantially higher in 2022 than it was in 2021. But if crime victims are increasingly disinclined to contact the police, that could help explain the striking 2022 divergence between the NCVS results and the FBI numbers.

According to the NCVS, the CCJ notes, "approximately 52% of serious violent crimes were reported to the police in 2021 and 48% in 2022, a relative decrease of nearly 8%. The decline in reporting crimes to the police was particularly large for aggravated assault, falling from 61% in 2021 to 50% in 2022, a decrease of 18%." But these changes in reporting behavior do not come close to fully accounting for the enormous differences between the NCVS and UCR numbers for 2022.

Beyond the difference between reported and unreported crimes, the NCVS and the FBI's system use different methods and measure somewhat different things. "As a household-based survey," the CCJ notes, "the NCVS does not include people who are homeless or those who live in institutions such as prisons, jails, and nursing homes. It also excludes crimes of violence against persons under 12 years of age. If persons included in the survey have experienced changes in violence that differ from the changes experienced by those excluded from the survey, that could help account for some of the divergence in violence rates."

The Bureau of Justice Statistics notes other possibly relevant differences between the two sources. For example, "the NCVS includes, but the [FBI system] excludes, attempted robberies, simple assault, [and] verbal threats of crime." The FBI system "includes, but the NCVS excludes, homicide, arson, commercial crimes, and human trafficking." The two sources also use different definitions of some crimes.

Another possible factor: While the FBI's 2022 numbers covered the calendar year, the 2022 NCVS asked about crimes experienced from July 1, 2021, through November 30, 2022. "Since the NCVS shows an increase in violent crime," The Marshall Project's Weihua Li and Jamiles Lartey suggest, "it's potentially because violent crime rates were higher in the latter part of 2021." They also note that "the victimization survey is historically much more volatile from one year to the next," suggesting "it may be influenced by statistical noise."

The Trump campaign describes the FBI's quarterly numbers as "garbage" and "fake statistics." But notwithstanding the preliminary nature of those numbers and the challenges associated with the transition to the new reporting system, they are broadly consistent, in direction if not magnitude, with what other sources indicate.

"Right now," Li and Lartey reported in June, "every source points to a decrease in violent crime." They quoted University of Miami criminologist Alex Piquero, an adviser to the CCJ Crime Trends Working Group, who said "the FBI's Q1 2024 data is incomplete, not inaccurate," adding: "There's no fudging of the numbers, and the drop is real. The question, of course, is how big that drop will be, and then how big that drop will be across crime types. That's the thing that we just don't fully grasp yet."

The post Trump's New, More Sophisticated Take on Crime Still Does Not Show 'Homicides Are Skyrocketing' appeared first on Reason.com.

Democratic delegates approved the party's 2024 platform at the Democratic National Convention in Chicago yesterday, including sections lamenting the unfairness of marijuana convictions. However, the platform failed to explicitly call for legalizing or even decriminalizing the drug, a change from its position four years ago.

"No one should be in jail just for using or possessing marijuana," the final 2024 Democratic Party platform reads. "Sending people to prison for possession has upended too many lives and incarcerated people for conduct that many states no longer prohibit. Those criminal records impose needless barriers to employment, housing, and educational opportunities, disproportionately affecting Black and brown people."

The platform praises President Joe Biden for his moves to reschedule marijuana and his "historic action to end this failed approach by pardoning people convicted federally for using or possessing marijuana." It also promises that Democrats "will take action to expunge federal marijuana-only convictions" and "combat drug trafficking and expand the use of drug courts, interventions, and diversion for people with substance use disorders."

Former Republican President Donald Trump's approach to criminal justice "could not be more different," the platform argues. "His Administration threatened federal prosecution for marijuana cases in states where marijuana was legal."

For opponents of drug prohibition, though, the platform is a step backward from the Democratic Party's 2020 platform, which said it was "past time to end the failed 'War on Drugs' which has imprisoned millions of Americans—disproportionately Black people and Latinos—and hasn't been effective in reducing drug use." That platform also said Democrats supported federal decriminalization and rescheduling of marijuana, and legalization of medical marijuana.

The Democratic Party's official position on marijuana prohibition continues to fall well short of its stated goal of ending the unfairness of the drug war. First, it conflates all recreational drug use with substance abuse and addiction, which is an atypical outcome. 

Second, the platform rests on the illogical notion that it shouldn't be a crime to possess and smoke marijuana, but it should remain illegal to sell it to others to smoke. (Notably, Biden's "historic" pardons for marijuana crimes excluded people convicted of growing or distributing the drug.)

Third, while drug courts and involuntary treatment are preferable alternatives to prison, they are still heavy-handed government interventions against adults for their personal choices. Drug courts and diversion programs operate under the threat of incarceration for noncompliance—the metaphorical iron fist in a velvet glove.

Even measures that the Democratic Party no longer explicitly supports in its platform—such as changes to Justice Department policy and decriminalization—would leave the federal prohibition of marijuana dormant but intact for future administrations to revive.

This has already happened. Former President Donald Trump's first attorney general, Jeff Sessions, rescinded President Barack Obama-era memos instructing U.S. Attorneys to take a hands-off approach to enforcing federal marijuana laws in states that legalized the drug.

Mass pardons and expungements are commendable initiatives, but those also don't address the underlying criminalization of marijuana. Neither does rescheduling.

The Democratic Party's position on pot is closer in spirit to creaky old Joe Biden, who could never quite give up his drug warrior ways, than the party's new leading candidates. As Reason's Jacob Sullum recently detailed, Vice President Kamala Harris and Minnesota Gov. Tim Walz both support marijuana legalization, although Harris is a Johnny-come-lately to her position. She was laughing off questions about marijuana legalization in 2014, but by 2018 she had come around and cosponsored a bill in the Senate that would have repealed federal prohibition.

According to a Gallup poll published last November, a record 70 percent of Americans, including 87 percent of Democrats, favor legalization. If the Democratic Party's presidential ticket and nearly 90 percent of its voters think marijuana should be fully legalized, how long will it take the party to catch up?

The post The Democratic Party Platform Still Won't Commit to Legalizing Marijuana appeared first on Reason.com.

On the first night of the 2024 Democratic National Convention (DNC), speakers assembled to make the case for Vice President Kamala Harris to be America's next president and to provide a glimpse of what policies she might pursue. Unfortunately, it's clear that industrial policy is likely to survive and thrive in a Harris administration, despite clear examples that giving public money to private companies carries significant risk.

Some speakers took shots at former President Donald Trump, with Shawn Fain, president of the United Auto Workers (UAW), invoking the closure of a General Motors (G.M.) plant in Lordstown, Ohio. G.M. shuttered the factory in March 2019 amid slowing sales; in July 2017, Trump had told supporters in Youngstown, "Don't move. Don't sell your house," because lost factory jobs would come back.

"Trump lied, and abandoned Lordstown," intoned the announcer of a video that played before Fain took the stage. "The G.M. factory in Lordstown did close, putting thousands of people out of work, because Donald Trump doesn't care about our communities."

"In 2023, who helped bring jobs back to Lordstown, Ohio?" Fain asked during his speech. "Kamala Harris!"

But it's worth noting that G.M. closed the factory just a decade after it received $60 million from the state of Ohio to operate the facility until at least 2039. When G.M. reneged on the deal barely 10 years later, Ohio chose to let the company keep $20 million.

Then between 2019 and 2023, the factory had another occupant: Lordstown Motors, an automaker that planned to build electric pickup trucks. The brand new company purchased the factory for $20 million after borrowing $40 million from G.M. Ohio officials, having not learned a lesson from the experience with G.M., gave Lordstown Motors $24.5 million in grants and tax credits.

And yet despite all the financial assistance, Lordstown Motors entered bankruptcy in June 2023.

"Today, tens of thousands of auto jobs are returning to the United States, thanks to the policies of the Biden-Harris administration," Fain said in a UAW video released last week. "That includes jobs in Lordstown, Ohio, where auto workers at Ultium Cells are now building batteries for General Motors."

Ultium is G.M.'s electric vehicle battery cell technology. "Ultium's Lordstown plant could qualify for tax credits worth more than $1 billion a year," according to a 2023 UAW report. And in 2022, the U.S. Department of Energy announced that it would loan the company $2.5 billion to build three factories, including the one in Ohio.

Ultium is also building a $2.6-billion factory in nearby Michigan, for which that state's government agreed to give the company $666 million. And Ultium was not the only company singled out at the convention.

"Trump talked big about bringing back manufacturing jobs, but you know who actually did it? President Joe Biden and Vice President Kamala Harris," New York Gov. Kathy Hochul said, moments after Fain spoke. "Look no further than the city of Syracuse, where a company called Micron is building a $100-billion microchip factory with union labor."

In October 2022, Micron pledged to spend $20 billion by the end of the decade to build what it deemed "the largest semiconductor fabrication facility in the history of the United States," signifying "the largest private investment in New York state history." The company further noted that it "intends to invest up to $100 billion over the next 20-plus years."

But the Biden administration agreed to award that company $6.1 billion in federal handouts for its Syracuse factory and one near Boise, Idaho. New York promised another $5.5 billion in state incentives.

Of course, it's entirely likely that these deals will be every bit as lucrative as promised: Micron alone promises that its Syracuse factory will "create nearly 50,000 New York jobs, including approximately 9,000 high paying Micron jobs." But at the time of this writing, Micron has a market cap of $118 billion, suggesting that it could've made the initial $20-billion investment without state and federal taxpayers picking up so much of the tab. Similarly, even though G.M. currently has a market cap of $52 billion and it has reneged on an economic development deal in the very recent past, it still continues to benefit from public cash.

With three more nights to go, the DNC will likely feature more policy proposals for a potential Harris administration. Unfortunately, the first night indicated that industrial policy is alive and well in the Democratic Party.

The post Industrial Policy Is Alive and Well at the Democratic National Convention appeared first on Reason.com.

After all the talk of abortion rights, protecting democracy, and how "fun" Vice President Kamala Harris apparently is, the first night of the Democratic National Convention culminated with a celebration of President Joe Biden's four years in office.

Biden "recovered all those millions of jobs that [Donald] Trump watched slip away," Sen. Dick Durbin (D–Ill.) declared. Biden "rebuilt the economy" after the pandemic put it "flat on its back," intoned Sen. Chris Coons (D–Conn.), a longtime Biden stan. 

Biden himself put the cherry on top. "We've had one of the most extraordinary four years of progress ever," the president said. "We gone from economic crisis to the strongest economy in the entire world," he claimed, pointing to job creation figures, economic growth, higher wages, and "inflation down, way down, and continuing to go down."

If so, someone should probably tell Vice President Kamala Harris about all that.

Just four days ago, Harris outlined plans for gigantic government interventions in the economy, including price controls. In what was billed as the first major policy speech of her hastily assembled campaign, Harris promised to implement the "first-ever federal ban on price gouging on food and groceries" and to take other actions to empower the federal government to "bring down costs." (There's been some debate in the days since her speech about whether it is fair to say Harris has called for price controls, but economist Brian Albretch has laid out clearly why she in fact did, writing that "any policy that gives the government the power to decide what price increases are 'fair' or 'unfair' is effectively a price control system. It doesn't matter if you call it 'anti-gouging,' 'fair pricing,' or 'consumer protection'—the effect is the same. When bureaucrats, not markets, determine acceptable prices, we're dealing with price controls.")

There has been a lot written already about why price controls are a terrible idea, and more will be written in the days ahead. For now, let's take a moment to appreciate the head-spinning logic that Biden and Harris are asking voters to accept: that America's economy is stronger than ever—but is also in need of radical government action to substitute the wisdom of bureaucrats for the market's power to determine prices.

Price controls are not a policy people reach for when things are going great. Governors don't go around threatening businesses with prosecution for price gouging when there's not a hurricane or other natural disaster happening. The Soviet Union didn't implement price controls because everyone was wealthy and well-fed. Neither did Venezuela.

But that's what Harris doing. On Friday, she promised "harsh penalties" on businesses that engage in whatever she (or her administration) determines to be "price gouging" or the collection of "excessive" profits—even though her campaign has yet to explain how she would determine those things.

Harris' promise to combat high grocery prices was made just hours after the White House Chief Economic Advisor Jared Bernstein was standing in front of reporters and touting how low grocery price inflation has been: "This morning, it was about 1 percent year over year," he said at a press briefing on Wednesday. "And there are a number of items within there where we actually have deflation, falling prices of some groceries."

Did someone tell Harris?

In part, this confusion probably stems from the unusual situation that Harris' campaign finds itself. She is, for all intents and purposes, the incumbent candidate in the race, despite not being the sitting president. And she's running against another quasi-incumbent in former President Donald Trump. Typically, incumbents try to push the message that everything is going well, or at least getting better, while challengers say everything sucks and promise to make it better.

With voters discontented with the state of the economy, both Trump and Harris are trying to distance themselves from the mess they each had a hand in creating. But Democrats can't go all-in on "everything sucks" for the obvious reason that Biden, the actual incumbent, is a Democrat.

The actual economic signals are a mixed bag right now. Unemployment has ticked up, raising fears of a possible recession on the horizon. High interest rates have replaced high inflation, which means many Americans are still feeling a squeeze on their personal finances. Biden doesn't deserve the applause he's getting, but there's also not a crisis that would demand the sort of radical actions Harris is proposing, even if the actions she's proposing really worked.

And of course, those high prices are largely the fault of government overspending (backed by heavy borrowing) during and after the pandemic. If Harris wants to put controls on something that would actually provide relief to Americans, she should aim to restrict government borrowing rather than grocery store prices.

Instead, it looks like Democrats have settled on the idea that Biden saved the economy and now Harris is here to clean up the mess—and they're just hoping no one thinks too hard about it.

By the way, you don't have to break your brain trying to make sense of this. It's far easier simply to remember that presidents don't run the economy and shouldn't get credit and/or blame for every single economic indicator. (Though they can certainly influence events, as we'll see if Harris gets her way and implements some form of federal price controls.)

But if nothing else, this Democratic cognitive dissonance creates a fun game for the next three nights of the convention: Will the speakers keep telling us that America's economy is stronger than ever, or that the country is in a crisis and Harris needs to be our price-setter-in-chief?

The post If Joe Biden Saved the Economy, Why Do We Need Kamala Harris' Price Controls? appeared first on Reason.com.

Full disclosure: I got into a little physical altercation yesterday with the Chicago police and lost my notepad in the scuffle. We'll get to that, but for now please forgive any errors in the timeline.

The first march organized by the March for the Democratic National Convention was set to take off from Chicago's Union Park at 1 p.m. Reporters were invited to get there at 7 a.m; I have no idea if any did, but at 10:30 a.m. a friend texted to say, "Union Park right now is very underwhelming." This seemed to be the consensus going in; that the anticipated 30,000 marchers would come nowhere near, and that the press would be overrepresented, which turned out to be the case—while reporting I ran into seven journalists in I know, when the average is about zero. But some of the protesters were also following the trend of pasting "PRESS" across their chests. A young woman I met on the bus around noon did the same. When I asked who she was reporting for, she looked confused; it was just a shirt. Okay, but why?

Those entering Union Park were handed a gazillion pamphlets with slogans like "NO WAR BUT CLASS WAR SMASH IMPERIALISM WITH COMMUNIST REVOLUTION," "12 ESSENTIAL FACTS FOR UNDERSTANDING THE CURRENT ISRAEL-GAZA CONFLICT," "WORKERS STRIKE BACK, WHEN WE FIGHT—WE CAN WIN," and "NEITHER PARTY REPRESENTS THE WORKING CLASS—CLASS WAR 2024,"—the all-cap emphasis conveying the commitment of the pamphlet distributors. Nearly everyone at the rally turned out to be in their 20s, dressed in today's radical chic—keffiyeh as cape, keffiyeh as neck scarf,  keffiyeh as headwrap. There were a few women in full Handmaid's Tale regalia, many young people in pro-Socialist red, and one dude wearing, refreshingly, an old Star Wars t-shirt. There was no police presence inside the park proper, but just outside there were at least 100 officers, half of them on bicycles, all of them waiting in the shade for something to happen. When I asked whether they'd be accompanying the marchers on their 1.1-mile city-approved route, I was given two short nods.

Before any marching began, there were speeches from the stage—speeches about genocide in Palestine, abortion, student debt, colonial settlers, Black Lives Matter, and cops being bastards. On and on it went, past 1 p.m.; the chanting the speakers requested was rarely very chanty. It was hot and people were thirsty and the line for the porta-potties stretched over 200 people long. 

"Can someone help me spread this out so it can be seen by the helicopter?" asked a young man, unfurling a 50-foot sheet painted with the words, "LOOK UP 'NAKBA.'"

"Would you like to carry a sign?" asked another young man, trying to offload one of the 400 or so signs strewn across the field. The sign-makers had been industrious, affixing emphatic messages like "STOP THE CRIME—FREE THEM ALL" and "GENOCIDE JOE'S LEGACY: BUTCHER OF GAZA" to wooden stakes. The problem was, there weren't nearly enough takers. How many people did the guy next to me estimate were actually here?

"Five hundred," he said, after a beat, just before someone on stage shouted into the microphone how great it was to see 15,000 people in attendance. The guy adjusted his estimate to 1,500, which I'd say was about right.

What they lacked in numbers they made up for in enthusiasm, waving Palestinian flags, communist flags, anarchist flags, "land back" flags, and a flag whose exact origin the person holding it said he did not really know. Someone mentioned they'd seen some Israeli flags earlier but I didn't see any. As for American flags, I saw exactly one, carried by a veteran named Shawn, who said he had not liked seeing American flags burned during Israeli Prime Minister Benjamin Netanyahu's visit to Congress.

"I think that's greatly deplorable," he said, as several young men with their faces covered moved close to him. But when they noticed that several members of the press also wanted to talk with the one dude carrying an American flag, they backed off. 

"Earlier they were saying derogatory things towards me like, 'get that shit out of here. What the fuck's wrong with you?'" he said. "But at the end of the day, nobody's going to intimidate me. Nobody's going to prevent me from voicing my opinion."

If there was a similarity in the way the crowd looked and behaved, their many and multiple demands were perhaps what gave the gathering a lack of cohesion and group energy. That changed at 2:02 p.m., when it was announced that there was a special guest speaker.

However you feel about independent presidential candidate Cornel West, you would have been as energized by his 5-minute speech. He roared and he cooed, talking about "our profound love for our Palestinian brothers and sisters" and how we must extend that profound love to all our brothers and sisters. It was the adrenaline shot everyone needed to get through the next hour. With the bike police edging closer, the marchers funneled out of the park and into the streets. Messages were shouted into bullhorns, girls danced, boys drummed— they were on the move to Park 578 a mile away. The sun was still shining and the press—there must have been one for every three marchers—walked on the sidewalks. Between them and the marchers were the bike police, pushing their bikes in formation, and astride yellow-vested "safety team" members, who kept themselves between the marchers and the police. It was all very choreographed, and one would not be faulted for thinking that this whole thing would go off without a hitch.

But of course, there would be a hitch, and it came in the form of young men with their heads and faces covered. Though they may have had no affiliation with them, they marched beneath an Anarcho-brat flag and a People's Defense Units (YPG) flag, representing the Kurdish militant group in Syria. A colleague mentioned he'd seen maybe eight of the men trying to start something earlier but they had not gained purchase, the other marchers not wanting to be part of whatever mayhem they might want to commit. But now we were at the mouth of Park 578, the turnaround spot for marchers and the closest point to the United Center, where the DNC was taking place.

"That way!" one of the young men shouted, pointing toward the United Center, trying to get the group, which had grown to maybe 15 men, to make a break for the tall barrier fences. It was not going to happen—not with the cops forming a triple-line barrier of bikes and other marchers yelling for the YPG brats to stop, shouting that the march had been planned for nearly a year! It was supposed to be peaceful! Stop fucking it up! At least that's what I imagined the girl in the keffiyeh was yelling at the young men, her voice so hoarse with emotion I could not make out the words.

My colleague and I tried to interview the young men, but they had the same response to every question: "We don't talk to media." It's a catchall phrase common among young protesters, the eyes above their masks growing not bolder but shakier with each iteration. You could see them thinking it was better to stonewall than risk having one's responses scrutinized and memorialized.

But this is not always the case! As I would find ten minutes later, when some of the protesters had had enough of longingly looking at the United Center and decided to breach an exterior fence. Pop pop clang, down went the barriers, in went maybe 75 protesters. Busting shit down was an exciting change, if entirely predictable, meanwhile, a gentler strain of protesters, mostly women, were shouting from the other side, "Come back!" It was time to march back to Union Park, they said. They did not like the risks people were taking, and they were not going to do their many causes any good.

I followed the protesters over the fence.

"Come on everybody! Come on!" shouted a tall lanky guy all in black, with a garbage can lid painted with the anarchist A strapped to his back. What was he wanting everyone to do?

"I want to get all the way inside the DNC!" he said, pointing toward the United Center. "I mean what are we doing here? Isn't this what we came here to do?"

Maybe not everybody; maybe not the 70-year-old lady peace activist who I'd watch gasp as the fence came down. Maybe this kind of bravado was not for her.

"I've seen 70-year-olds do it!" he said. "We can do it if we do it together. If we can dream it, we can do it!"

He was clanging his garbage can lid when someone shouted, "Cops on all sides!" We turned toward the phalanx of blue uniforms, in the jubilation no one had seen them form a walking line, or I hadn't seen it. Shouts of "Nazi motherfuckers" and "Fuck you!" lasted maybe 30 seconds before the cops were on us. I did my best to duck into a little alcove in the fencing. Yeah, that didn't work.

"Move it! Move it!" cops shouted, as people fell down or were grabbed; when they were variously combative or trying to flee.

"You're in a restricted area!" an officer shouted at me. Another prodded me with her nightstick.

"Don't hurt her!" a protester shouted, which I thought was kind of adorable and which I caught on video, just before finding a small egress to the other side. Two men pulled me through—thanks guys—and into the waiting path of another journalist pal calmly taking in the proceedings.

"Hello Nancy," he said, adding that he thought things were about to calm down—and they did. The bulk of protesters marched back to Union Park, perhaps unaware of the side streets lined with hundreds of waiting officers, who (I'm told) were instructed to pull down their face shields, in case they needed them. On this night, they did not.

The post The Anarchist Dreams: Dispatch From the DNC appeared first on Reason.com.

I cannot get enough of the Democratic National Convention vasectomy van: Imagine, in an election where, thus far, one party has positioned itself as pro-family—to the point where "childless cat ladies" have become a focal point, brought to the fore by vice-presidential contender J.D. Vance's catty, mean-spirited cable news comments—the other party is parking vasectomy and abortion vans outside of the convention.

Technically, it's Planned Parenthood Great Rivers doing it, making reproductive rights—and the Republican Party's attack on them—a focal point of this convention. But Democrats are, more broadly, all over the place this first night of the DNC, as if they can't quite figure out what they're all about or where they want to go, whether they're the party of joy or a party that just dealt with a succession crisis, or a party that's riven by the Israel-Hamas conflict or a party that stands in defiance of purported Republican attacks on essential freedoms.

Consider the new ad, unveiled by Vice President Kamala Harris' presidential campaign:

DNC airs new "Freedom" ad to kick off the Democratic Convention pic.twitter.com/lXLqKi2rAN

— Kamala HQ (@KamalaHQ) August 20, 2024

But such an ad assumes Americans have short memories. Ones that forget all the regulations Democrats have imposed that have driven up housing costs. Ones that forget how people were not enjoying freedom when they were shut inside their homes during the COVID-19 pandemic, or forced to stay home from school and church, by blue-staters. Ones that forget the last decade of (Democrat-enforced) culture war language policing and hypersensitivity to all manner of grievance. Democrats aren't really the party of freedom, they're the party of dictating, in ways big and small, how you live, either for your own good or the greater good, as they define it.

What exactly are they for? The first night of the DNC was a good reminder of the party's schizophrenia. New York Rep. Alexandria Ocasio-Cortez's (D–N.Y.) speech was excellent, proving that they have at least one promising young talent waiting in the wings. Formerly an outsider given a paltry 90-second speaking slot, Ocasio-Cortez has earned her spot as a Democratic Party mainstay, a primetime speaker whose name is chanted by an adoring arena. (This undeniable charisma is bad for the rest of us, mind you, as Ocasio-Cortez is economically illiterate and embraces Bernie Sanders-style socialism.)

At times, they veered away from light-touch diversity—a raft of speakers from all different backgrounds—and toward more explicit identity politics. Hillary Clinton's speech was all about shattering the glass ceiling. Democratic National Committee Chair Jaime Harrison emphasized that a "black convention chair and a black D.N.C. chair lead us in nominating a black and [Asian American and Pacific Islander] woman to be the next president," saying that "this election is about every little boy inspired by a party chair who looks like them, and every little girl who will finally see a president who looks like her." (I highly doubt young children are paying attention to the party chair.)

This emphasis—on being a candidate of firsts, on the "I'm with her" mentality—is especially interesting because it's one Harris has steered away from, ostensibly learning from the mistakes of Clinton's failed 2016 run. Ocasio-Cortez directly inverted this emphasis in her speech, shifting from voters being with the candidate to the candidate being with the voters. "If you are a working parent trying to afford rent and childcare, Kamala is for you," said Ocasio-Cortez. "If you are a senior who has to go back to work because your retirement didn't stretch far enough, Kamala is for you. If you're an immigrant family just starting your American story, Kamala is for you."

Everyone who covered 2016 will overthink that race forever, but AOC's "Kamala is for you" sounds like the inversion of "I'm with her."

— David Weigel (@daveweigel) August 20, 2024

Oh, and President Joe Biden also spoke. He didn't really say much of note. It was fine. But the fanfare was…aggressive, thanking Biden constantly for his service, for his leadership, for everything. Also, implicitly, for stepping aside and putting the presidency back in play.

The shenanigans also turned destructive: Outside of the security perimeter, protesters—a smaller turnout than was expected—succeeded at tearing down gates and fencing.

Tearing down the fence. Others trying to keep the peace pic.twitter.com/jgVU4WklS2

— Nancy Rommelmann (@NancyRomm) August 19, 2024

Things turned chaotic:

Last vid of the day. Two funny things: the protesters saying to the cops, "Don't hurt her!" and, once I wriggled out of the fencing (with the help of two dudes pulling me), who is standing there cool as a cucumber saying, "Hello Nancy" but @mcmoynihan. Hello from Chicago! pic.twitter.com/vjhFdnREj9

— Nancy Rommelmann (@NancyRomm) August 20, 2024

There were also some protesters inside:

Group of protesters with their backs turned to Biden and hands over their mouths. They're quiet. So far unmolested by officials or security. pic.twitter.com/VuKcwc1Kzc

— Alex Seitz-Wald (@aseitzwald) August 20, 2024

It remains to be seen how much trouble the protesters will cause, and how the situation in Gaza will be discussed on the main stage, but the protests outside were a decidedly inauspicious start.

Scenes from New York: Why does 3.5 grams of weed, purchased legally, cost $60 in New York, while unlicensed bodegas are selling for $40? Some of it also has to do with the federal, state, and local taxes (including 13 percent sales tax upon purchase) that must be forked over by dispensaries, as well as the security systems they must put in place to keep their wares safe. They're also trying to recoup the costs of legal fees and securing expensive licenses to operate legally.

Basically, everywhere a legit entrepreneur turns, the state has made it quite expensive for them to simply open up a cannabis business. And a big chunk of that cost gets passed down to the consumer.

QUICK HITS

• "Democrats begin their four-day national convention Monday in the city that perhaps best exemplifies the chasm between their party's dreamy policy rhetoric and grim real-world results," writes Reason's Matt Welch. "As a direct result of one-party misrule (there are zero Republicans on the 50-seat City Council), Chicago's tax base is decreasing, not increasing. The population has declined for nine consecutive years, is shrinking by an annual rate of 1 percent, and is at its lowest point in more than a century."
• Anarcho-brat summer (if you're confused, read this):

Anarcho-brat flag flown at March on the DNC. pic.twitter.com/BFptgEUGa0

— Ford Fischer (@FordFischer) August 19, 2024

• "US job growth in the year through March was likely far less robust than initially estimated, which risks fueling concerns that the Federal Reserve is falling further behind the curve to lower interest rates," reports Bloomberg.
• Protests are still happening in Venezuela, where Nicolas Maduro has wrongly declared himself victorious in the latest presidential election (and refused to release results corroborating the outcome).
• On Friday, The San Francisco Standard published a piece titled "How ex-liberal billionaires Ben and Felicia Horowitz made a MAGA U-turn," which essentially spends a lot of words grappling with the idea that Felicia, a black woman, could not possibly authentically support former President Donald Trump, and that there must be some kind of mental derangement at play:

Wow, @micsolana nails it exactly. Amazing. @PirateWires for the win. pic.twitter.com/ikUrZrTJeZ

— benahorowitz.eth (@bhorowitz) August 19, 2024

The post All Aboard the Vasectomy Van appeared first on Reason.com.

In this week's The Reason Roundtable, editors Peter Suderman, Katherine Mangu-Ward, and Nick Gillespie welcome special guest Ben Dreyfuss onto the pod ahead of this week's Democratic National Convention in Chicago to talk about Kamala Harris' truly terrible economic policy proposals.

02:48—Dreyfuss' YIMBY conversion thanks to Reason

13:20—Harris drops some lousy economic policy ideas.

32:37—The DNC begins.

44:25—Weekly Listener Question

53:33—Tariffs are timeless.

1:03:32—This week's cultural recommendations

Mentioned in this podcast:

"Kamala Harris' Dishonest and Stupid Price Control Proposal," by J.D. Tuccille

"DNC Readies for Protesters," by Liz Wolfe

"Harris' Economic Illiteracy," by Liz Wolfe

"Harris Joins the FTC's Food Fight Against Kroger-Albertsons Merger," by C. Jarrett Dieterle

"The times demand serious economic ideas. Harris supplies gimmicks." by the Washington Post editorial board

The price tag of @KamalaHarris's big, bold economic plan? According to penny pinchers at @BudgetHawks, a mere $1.7 to $2 trillion over the next decade. Given that gross debt is $35 trillion, maybe it's time to tap the brakes a bit?https://t.co/qA5wFJleLw pic.twitter.com/q80MwxoRD9

— Nick Gillespie (@nickgillespie) August 16, 2024

"When your opponent calls you 'communist,' maybe don't propose price controls?" Catherine Rampell

"How did Doug Emhoff hear Biden was out? After taking a SoulCycle class in WeHo. Without his phone," by Kevin Rector

"Database Nation: The Upside of 'Zero Privacy,'" by Declan Mccullagh

"Alien: Romulus Is a Slick, Empty Franchise Pastiche," by Peter Suderman

The Calm Down Substack by Ben Dreyfuss

https://x.com/nickgillespie/status/1824430467191312525

"Sing for Change Obama"

Upcoming Events:

• "Is the American Dream Alive?" A Free Press debate with Katherine Mangu-Ward on Tuesday, September 10 in Washington, D.C.
• "Reason Speakeasy: Kat Timpf & Nick Gillespie" on Wednesday, September 11 in New York

Send your questions to [email protected]. Be sure to include your social media handle and the correct pronunciation of your name.

Today's sponsors:

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Audio production by Ian Keyser; assistant production by Hunt Beaty.

Music: "Angeline," by The Brothers Steve

• Video Editor: Ian Keyser
• Producer: Hunt Beaty

The post Why Libertarians Hate Kamala Harris' Economic Platform appeared first on Reason.com.

A few hours before touching down in Chicago Sunday, Vice President Kamala Harris, in one of her few interactions with reporters since snatching the Democratic Party's presidential nomination from her boss, gave a meandering yet revealing answer to the simple question of how she would pay for her recently introduced economic proposals.

"What we're doing in terms of the [first-time homebuyer] tax credits, we know that there's a great return on investment," Harris asserted in Moon Township, Pennsylvania. "When we increase home ownership in America, what that means in terms of increasing the tax base, not to mention property tax base, what that does to fund schools—again, return on investment. I think it's a mistake for any person who talks about public policy to not critically evaluate how you measure the return on investment. When you are strengthening neighborhoods, strengthening communities, and in particular the economies of those communities, and investing in a broad-based economy, everybody benefits, and it pays for itself in that way."

Italics added, to emphasize America's ongoing mistakes.

Democrats begin their four-day national convention Monday in the city that perhaps best exemplifies the chasm between their party's dreamy policy rhetoric and grim real-world results. As a direct result of one-party misrule (there are zero Republicans on the 50-seat City Council), Chicago's tax base is decreasing, not increasing. The population has declined for nine consecutive years, is shrinking by an annual rate of 1 percent, and is at its lowest point in more than a century.

Illinois, where Democrats control the governorship and a two-thirds majority of the legislature, lost "an estimated $3.6 billion in income tax revenue in 2022 alone, a year the net loss of 87,000 residents subtracted $9.8 billion in adjusted gross income," syndicated columnist and Illinois native George Will observed last week. "In the past six years, $47.5 billion [adjusted gross income] has left….Illinois leads the nation in net losses of households making 200,000 or more."

None of these or other grisly Windy City stats—including the murders and the pension liabilities—are obscure. As Illinois Policy Institute Vice President Austin Berg put it Saturday night at a live taping of the Fifth Column podcast, "I believe Chicago is the greatest American city, and the worst-governed American city."

The bigger mystery has been why the Democratic Party would choose such a metaphorically dicey backdrop. But an answer begins to suggest itself amid the banal dystopia of the DNC's endless security checkpoints, concrete barriers, and battalions of police officers separating America's political class from its serfs. Democrats chose Chicago for a similar reason that Harris chose a running mate with a particularly awful record during the pandemic- and riot-scarred year of 2020: Because they, like their candidate, know that, contra Harris' assertion Sunday in Pennsylvania, the people who talk about policy—whether politician, journalist, or political consumer—almost never "critically evaluate how you measure the return on investment."

If professional political conversation was tethered even loosely to policy results, you might expect one or maybe even two of the journalists dutifully collecting their DNC press credentials at the colossal (and colossally empty) McCormick Place convention center to ask a follow-up question about what their eyeballs cannot miss. How in the world can a city in terminal financial crisis not just support the country's largest convention-center complex during a time of market oversupply and conventioneering decline, but actually keep expanding the damn thing?

The DNC's second major site (behind the United Center, which is hosting what you watch on television), "has been a political money pit for nearly 60 years," Berg wrote in 2019. Built in 1960, rebuilt after a 1967 fire, then expanded in 1986, 1997, 2007, and 2017, McCormick Place looks this week like the cover of a Mike Davis book—extensive security barricades and fencing separating the nearby poors from a depopulated, dully corporate expanse.

"Over and over, Chicago and Illinois public officials and a roster of consultants promised that a bigger McCormick Place would yield hundreds of thousands of new convention attendees and billions in new spending and public revenues," Heywood Sanders wrote in his 2014 book Convention Center Follies. "Those repeated promises have proved false, the consultant projections unmet."

Instead, like so many other Chicago governance failures, the unmet promises are covered over with taxes—on hotel room stays, restaurants, car rentals. In completely related news, a 2024 Wallet Hub study of effective state/local tax burden per median U.S. household income ranked Illinois dead last.

But the 2024 campaign is famously more about "vibes" than anything related to governance. The Harris/Walz campaign website still does not have a policy page (though the party did on Sunday release a draft platform). "I have not had a single constituent in El Paso or a single person on the road try to get very specific policy details from me," Harris campaign co-chair Rep. Veronica Escobar (D–Texas) told The New York Times. You're going to have to vote for a Harris administration to see what's in it.

Republican nominee Donald Trump famously did not even update the 2016 GOP platform when he ran unsuccessfully in 2020, suggesting that America has a supply problem when it comes to national politicians and policy accountability.

But don't sleep on demand. Trump fans love his boorish, bizarre, and often funny jokes, so he keeps making cracks about Kamala Harris' looks and Montana Sen. John Tester's fat stomach rather than stay as focused on issues as his advisors would prefer. Harris is getting cheered on by a subset of journalists for not subjecting herself to any kind of public cross-examination. And the residents of Chicago, looking upon both the civic dysfunction and the city's undeniable energy and charm, just keep on voting for more Democrats.

Americans may be getting precisely what they want out of politics in 2024. Good and hard.

The post Democrats Unburdened by What They Have Done to Chicago appeared first on Reason.com.

Gird your loins, it's DNC time: The Democratic National Convention starts today in Chicago, and the Israel/Palestine-related tensions that have been coursing through the left since October 7 may very well come to a head this week.

Tens of thousands of protesters are expected to set up right outside of security to protest the party's support of Israel; presumptive nominee Kamala Harris' husband, Doug Emhoff, who is Jewish, is expected to speak about Judaism on stage; and, just like during the Republican National Convention, some families of hostages taken by Hamas will plead onstage for the return of their loved ones.

Some delegates who eschewed voting for Kamala Harris, calling themselves the Uncommitteds, have broken from the party pick precisely because they do not support U.S. support for Israel in the Gaza war. The Uncommitted factor is especially relevant to Michigan, a swing state with a large Middle Eastern population, and Democratic officials have been attempting to make inroads with the vocal disgruntled in recent weeks; they want a DNC that signals unity, and the likelihood that massive protests will be taking place just outside the gates undermines this.

"The key question for Democrats this week is whether the demonstrators represent a meaningful group of voters who could swing the election in November, or if they are outliers on the left who should be resisted in an appeal to the center," sums up The New York Times. 

Hamas rejects latest ceasefire proposal: On Sunday, following days of tense negotiating and Secretary of State Antony Blinken shlepping to Israel believing an agreement was imminent, Hamas rejected a proposed ceasefire deal with Israel.

"After being briefed by the mediators about what happened in the last round of talks in Doha, we once again came to the conclusion that Netanyahu is still putting obstacles in the way of reaching an agreement, and is setting new conditions and demands with the aim of undermining the mediators' efforts and prolonging the war," declared Hamas in a statement, adding that the U.S.-brokered ceasefire "aligns with" Israel's demands.

At issue is the fact that the ceasefire did not force full a Israeli withdrawal from the entirety of the Gaza Strip. Israel had proposed maintaining a large security presence on the border between Egypt and Gaza, as well as maintaining control over the Netzarim Corridor, which divides the Gaza Strip's north from its south.

Blinken has called this round of negotiations a "decisive moment" for Israel and Hamas. In the last few weeks, Iran and its proxies, including Hezbollah, have vowed to strike Israel in retaliation for its July assassinations of Hezbollah official Fuad Shukr in Beirut and Hamas leader Ismail Haniyeh in Tehran. Thus far, wider war has been staved off, but it's unclear for how much longer that will last; the fact that negotiations were in progress may have played a contributing role. Now that may not be so.

Scenes from New York: One of the New York City hospital systems, Northwell Health, is starting a studio to make its own movie and TV shows following the success of the Netflix show Lenox Hill, which followed doctors and patients within the system. But just a few years ago, NewYork-Presbyterian Hospital/Weill Cornell Medical Center had to pay out a more than $2 million settlement to federal regulators for failing to protect patient privacy when a television crew was filming inside the hospital. Expect more issues, both ethical and legal, to arise.

QUICK HITS

• "The ports of Los Angeles and Long Beach, which account for roughly a third of all US container imports, had their third-strongest month ever in July, just shy of an all-time high reached in May 2021. Back then, a wave of inbound consumer goods caused supply bottlenecks on land and a queue of cargo ships waiting for a berth offshore was getting longer by the day," reports Bloomberg. "Demand now is driven by retailers and other importers that are stocking up ahead of US tariffs on Chinese goods and a possible strike by a large group of American dockworkers—adding to the usual frenzy of pre-holiday ordering that occurs this time of year."
• Planned Parenthood Great Rivers is offering free vasectomies and abortions for DNC attendees at a van near the convention center, which seems a little self-defeating if the idea is to grow your political party.
• Also in DNC abortion news: Some protesters have dressed up as abortion pills.
• Officials in Georgia "like the prosperity that could come with making [electric vehicles], but not the California-style mandates that prop them up. They like the jobs but agree with many of their voters who think electric vehicles are a sheet metal-clad tenet of the Democrats' woke ideology," reports Politico. 
• Donald Trump's running mate, J.D. Vance, responded this weekend to news of a Kamala Harris poll bump by saying the "media uses fake polls."

The post DNC Readies for Protesters appeared first on Reason.com.

When you've caused a problem, deflect! At least, that seems to be the strategy of Vice President and Democratic presidential candidate Kamala Harris, who spent the last several years as part of an administration that presided over a growing mismatch between Americans' pay and the cost of living. Rather than take responsibility for the decline of the dollar's purchasing power, she blames businesses that were forced to raise prices as a result. And she wants to fix the problem she helped cause by restricting those prices, never mind the inevitable consequences for the availability of goods and services.

Wait, I Thought This Was an Economy To Be Proud Of?

First though, let's journey back to 2023 when Harris claimed to be proud of the state of the economy.

"That is called Bidenomics, and we are very proud of Bidenomics," she insisted last August in a speech where she also trumpeted, "the unemployment rate is near its lowest level in over half a century. Wages are up. Inflation has fallen 12 months in a row."

Now though, the vice president and would-be chief executive huffs, "When I am President, it will be a day one priority to bring down prices. I'll take on big corporations that engage in illegal price gouging and corporate landlords that unfairly raise rents on working families."

And that's exactly what she proposed in her speech last week which recognized concerns over the cost of living and included a host of schemes for greater government involvement in the economy, including "the first ever federal ban on price gouging on food" amidst worries over grocery bills.

It's nice that Harris recognized Americans' concerns over making ends meet. Less nice, though, was pretending that cost concerns are a result of mean corporations rather than bad policy. Also not so nice is her insistence on doubling down on bad policy with even worse cost controls.

Let's emphasize that there's little doubt government policy is at the root of inflation.

Government Officials Should Get the Blame for Those High Prices

"Inflation comes when aggregate demand exceeds aggregate supply," wrote economist John Cochrane of the Hoover Institution and the Cato Institute in a March piece for the International Monetary Fund. "The source of demand is not hard to find: in response to the pandemic's dislocations, the US government sent about $5 trillion in checks to people and businesses, $3 trillion of it newly printed money, with no plans for repayment."

"Fiscal stimulus boosted the consumption of goods without any noticeable impact on production, increasing excess demand pressures in good markets," admitted the Federal Reserve Board of Governors as early as July 2022. "As a result, fiscal support contributed to price tensions."

Even Jim Tankersley and Jeanna Smialek of The New York Times, a paper which almost reflexively supports Democrats, concede "most economists" say that factors including "snarled supply chains, a sudden shift in consumer buying patterns, and the increased customer demand fueled by stimulus from the government and low rates from the Federal Reserve…are far more responsible than corporate behavior for the rise in prices."

And the rise in prices is substantial. The U.S. Bureau of Labor Statistic's inflation calculator shows that in July 2024, it took $120.25 to buy what $100 purchased in January 2021 when Joe Biden and Kamala Harris took office. That's on average; some sectors have seen greater or lesser inflation.

What Price Gouging?

Especially when it comes to groceries, it's difficult to make a case for "price gouging." A New York University Stern School of Business annual survey shows a net profit margin of 1.18 percent for retail grocery stores last year. That's down a bit from when the Biden administration took office (you can check annual data here). Kroger, the industry giant that is frequently portrayed as a greedy bogeyman, recently enjoyed a slightly higher net profit margin of 1.43 percent; over the last 15 years, its profits briefly reached as high as 3.02 percent in 2018. (The Cato Institute's Scott Lincicome does a good dive into food-industry economics on X.)

So much for Harris's deflection. But then there's her scheme for price controls to address the higher prices brought by government policy. Such controls have such a well-documented track record that they heap stupidity onto Harris's dishonesty.

A History of Price Control Failures

In 2022, when inflation was surging and the dollar's declining purchasing power had many Americans looking for the sort of "solutions" that Harris now offers, Federal Reserve Bank of St. Louis economist Christopher J. Neely pointed out that schemes for government-imposed price controls date back to the Code of Hammurabi and "have costs whose severity depends on the broadness of the control and the degree to which it changes the price from the free-market price."

Free market prices, he emphasized, "allocate scarce goods and services to buyers who are most willing and able to pay for them" and "signal that a good is valued and that producers can profit by increasing the quantity supplied." In the absence of such allocation and signals, you get shortages of goods and services. With grocery stores, that means empty shelves—little to buy at the controlled prices.

There's more to it than that. Neely pointed out that you also get cheapened goods to reduce production costs, gamesmanship to get around rules, and black markets that entirely defy the law. He recommended that "price controls should stay in the history books."

The Washington Post editorial board, usually as protective of Democrats as the Times, agrees. It pointed out that Harris didn't define what constituted the "excessive" profits she wanted to target and that "thankfully, this gambit by Ms. Harris has been met with almost instant skepticism, with many critics citing President Richard M. Nixon's failed price controls from the 1970s."

From the Code of Hammurabi to former President Nixon, with a detour for the Roman Emperor Diocletian—who, economist John Cochrane notes, torpedoed production and trade with price restrictions—such controls have been irresistible for government officials. That's because bad economics all too often makes for good—or, at least, effective—public relations. People who tell pollsters they think corporations are raking in 36 percent profits (the real average across industries is closer to 8 percent) can be convinced by clever politicians that they're being ripped off and need government intervention.

What politicians won't admit is that it's their own policies that put the public in distress to begin with, and that their latest schemes, if implemented, will make matters worse.

The post Kamala Harris' Dishonest and Stupid Price Control Proposal appeared first on Reason.com.

The housing crisis is one of the most important policy issues facing the nation. Housing shortages increase living costs for large numbers of people, and also prevent millions from moving to places where they would have better job and educational opportunities, thereby slowing economic growth and innovation. Both Kamala Harris and Donald Trump have taken positions on housing issues. But their ideas are mostly ones that would cause more harm than good. Sadly, neither candidate proposes any meaningful steps to break down the biggest barrier to housing construction in most of the US: exclusionary zoning rules that make it difficult or impossible to build new housing in response to demand.

Harris is the one that has offered more in the way of detailed proposals. She proposes giving $25,000 tax credits to first-time homebuyers and tax incentives for developers selling homes to first-time buyers. She also advocates restricting the use of algorithms to set rental prices, and  capping rent increases and cracking down on "corporate" landlords. The rent control idea may be a reference to the Biden Administration's recent plan to cap rent increases at 5% per year, though it is not clear if Harris endorses it. Harris also promises to build 3 million new homes by 2029, but is extremely vague on how exactly she plans to do it.

These policy ideas range from mediocre to awful. A $25,000 subsidy for first-time homebuyers is unlikely to do much to ease housing shortages. The fundamental problem is one of regulatory restrictions on supply. In that environment, subsidizing demand will simply bid up prices. Moreover, the people who most suffer from housing shortages are mostly renters, not would-be homeowners. This subsidy plan does nothing for them. Much the same goes for the plan to provide tax incentives for developers. This won't do much for supply so long as developers are barred from building much in the way of new housing in many places, especially multi-family housing.

If zoning and other regulatory restrictions do get lifted, Harris's tax credit incentives would be unnecessary. And, indeed, there would be no good reason to have the tax code favor housing purchases over other types of consumption.

Rent control is a terrible idea that is actually likely to exacerbate shortages. This is an Economics 101 point broadly accepted by economists across the political spectrum. Don't take my word for it. Take that of prominent progressive ecoonomists, such as Paul Krugman, and Jason Furman, former chair of Barack Obama's Council of Economic Advisers, who points out that "[r]ent control has been about as disgraced as any economic policy in the tool kit."

Finally, there is no good reason to think that corporate landlords are any worse than other types of landlords, or that algorithmic pricing is somehow making the housing crisis worse. To the contrary, corporate landlords are usually as good or better than their "mom and pop" counterparts. Take it from a longtime renter with experience living under both types of landlords; the corporate ones usually maintain their properties better, and have better customer service. And algorithms can help owners identify situations where they can increase profit by lowering prices, as well as increasing them.

Harris is right to want to build 3 million new homes. Indeed, it would be great to build more than that. But, so far, she hasn't proposed much in the way of effective methods of doing it. Unless and until she does so, her aspiration for 3 million new homes is not much more viable than my desire to add 3 million unicorns to the nation's stock of magical animals.

At times she has made noises about cutting back red tape. I assume, also, that she supports President Biden's plan to make "underutilized" federal land available for housing construction. The latter is a good idea, but it's far from clear exactly which land will be opened up and on what terms.

Trump's housing agenda is less detailed than Harris's, but could well be even worse. The housing chapter of the Heritage Foundation's controversial Project 2025 emphasizes that "a conservative Administration should oppose any efforts to weaken single-family zoning." Single-family zoning, of course, is the most restrictive type of exclusionary zoning blocking new housing construction in many parts of the country. Donald Trump has disavowed Project 2025, and claims he "knows nothing about it." But the author of the housing chapter is Ben Carson, Trump's former secretary of Housing and Urban Development. During the 2020 election, Carson and Trump coauthored a Wall Street Journal op ed attacking efforts to curb exclusionary single-family zoning. He recently reaffirmed that position, promising to block "low-income developments" in suburban areas. On housing, at least, Project 2025 seems to reflect Trump's thinking, and that of the kinds of people likely to influence housing policy in a second Trump administration. The Trump worldview is one of NIMBYism ("not in my backyard").

Trump's immigration policies—a centerpiece of his agenda, if anything is—would also have negative effects on housing. Evidence shows that mass deportations of undocumented immigrants reduce the availability of housing and increase the cost, because undocumented immigrants are an important part of the construction work force (an effect that outweighs the potential price-increasing effect caused by immigration increasing the number of people who need housing). Trump and his allies also plan massive reductions in most types of legal immigration. Slashing work visas is also likely to negatively affect housing construction (as well as damage the economy in other ways).

If there is a saving grace to the Harris and Trump housing policies, it's that most of them cannot be implemented without new legislation, which will be extremely hard to push through a closely divided Congress. That's true of the Harris's rent control policies, and her plans to subsidize home purchases, and crack down on "corporate" landlords. Likewise, a Trump administration would probably need new legislation for any major effort to protect single-family zoning against state-level reform efforts.

But Trump's immigration policies are an exception. The executive could ramp up deportation and slash legal immigration without new legislation. Indeed, the Trump administration did in fact massively cut legal immigration during Trump's previous term in office. Deportation efforts could be partially stymied by state and local government resistance (as also happened during Trump's first term). But Trump could partly offset that by trying to use the military, as he and his allies plan to do (whether legal challenges to such efforts would block them is debatable). At the very least, ramping up federal deportation efforts would drive undocumented immigrants further underground, and reduce their ability to work on construction, where laborers are relatively out in the open and more vulnerable to detection than in some other jobs.

In sum, Harris and Trump are offering mostly terrible housing policies. Their main virtue is the difficulty of implementing them.

There are, in fact, steps the federal government can take to ease housing shortages. Most restrictions on new housing are enacted by state and local governments, which limits the potential of federal intervention. But Congress could enact legislation requiring state and local governments that receive federal economic development grants to enact "YIMBY" legislation loosening zoning rules. Perhaps a stronger version of the YIMBY Act proposed by Republican Senator Todd Young and Democratic Rep. Derek Kilmer (their version could be a useful start, but does not have enough teeth). Those who object to such legislation on grounds of protecting local autonomy should recall that YIMBYism is actually the ultimate localism.

The federal Justice Department could also support litigation aimed at persuading courts to rule that exclusionary zoning violates the Takings Clause (which it does!). Such litigation could do much to break down barriers to new housing construction. Federal government support wouldn't guarantee victory. But it could help by giving the argument instant additional credibility with judges.

Finally, the feds could help pursuing the opposite of Trump's immigration policies, and instead make legal migration easier. That would increase the construction workforce, and make housing construction cheaper and faster.

Sadly, neither major-party candidate is proposing to do any of these things. Instead, they mostly sell claptrap that is likely to make the housing crisis even worse.

The post Harris and Trump Offer Terrible Housing Policies appeared first on Reason.com.

Amid all the competing headlines of the 2024 election, there may be no more bread-and-butter issue—literally—than how much Americans are paying to put food on their tables. The GOP is gearing up to attack the Biden-Harris administration for escalating grocery store bills, while presumptive Democratic nominee Kamala Harris has now responded with her own plan to fight higher food prices. 

One of the hottest items in this political food fight is unquestionably the ongoing litigation from the Federal Trade Commission (FTC) attempting to block the Kroger-Albertsons grocery store merger. A host of Democratic lawmakers recently joined the legal fight, arguing that any potential merger would raise prices, increase food deserts, and disproportionately hurt unionized labor. As part of her new food price plan, Harris included a call for aggressive antitrust crackdowns in the food and grocery industry, mentioning the Kroger-Albertsons merger by name in her speech this week.

None of the arguments against the merger make much sense on the merits, but the FTC—and the Democratic Party writ large—are stacking the legal deck to achieve a predetermined outcome that conveniently aligns with their policy priorities.

The saga started back in October 2022, when The Kroger Company and Albertsons Companies Inc. (the parent company for popular grocery chains like Safeway and Acme, among others) announced their plans for a $24.6 billion merger. The FTC promptly launched a 16-month investigation, culminating in a lawsuit in federal court to block the proposed merger.

Kroger is the fourth-largest grocery store chain in America—behind Walmart, Amazon, and Costco—and Albertsons is the fifth-largest. Once merged, the combined company would rise to third on the list. On the surface, this may seem to provide some support for the FTC's position, but American shoppers would be wise to read the fine print.  

In truth, if the deal were to proceed, a merged version of Kroger and Albertsons would still only make up 9 percent of overall grocery sales. To put this in further perspective, consider that Walmart—the nation's largest grocery provider—would continue to operate more stores (including its Sam's Club outlets) than a Kroger-Albertson combo and maintain grocery revenue that is more than twice that of the merged company. 

One could easily argue, in other words, that far from being a monopoly, a Kroger-Albertsons joint venture would be the best hedge against potential monopolies forming among the even-more-dominant firms above it on the grocery store food chain. But incredibly, the FTC pretends that two of those larger companies don't exist in the marketplace at all simply by working with their own definitions.

The FTC contends that only local brick-and-mortar supermarkets (what one might think of as a "traditional" grocery store) and hypermarkets (such as Walmart or Target, which sell groceries alongside other goods) count in the market for groceries. This narrow definition completely circumvents wholesale-club stores (such as Costco) and e-commerce companies that sell groceries (such as Amazon). 

Given that Amazon and Costco just happen to be the second- and third-largest grocery retailers in the United States, the agency is blatantly gerrymandering the definition of the marketplace. The agency's longstanding position is that the only relevant market is stores where consumers can buy all or nearly all of their weekly groceries, which begs the question: Has anyone at the FTC stepped foot inside a Costco recently? Many Americans use club stores like Costco and BJ's Wholesale Club as their primary grocery stores, with around 15 percent of Americans ages 18–34 reporting that they do most of their grocery shopping at Costco.  

Pretending that the internet doesn't exist makes even less sense. As the International Center for Law and Economics notes, 25 years ago a mere 10,000 households took part in online shopping, whereas today 12.5 percent of consumers (or over 16 million people) purchase their groceries "mostly or exclusively" online. Amazon is also preparing to make its own big push into brick-and-mortar grocery retailing as well, with CEO Andy Jassy saying last year that the company must "find a mass grocery format that we believe is worth expanding broadly."

Beyond the FTC's tortured marketplace definitions, its arguments for the alleged harms of a conjoined Kroger-Albertsons are equal parts unconvincing and outdated. In its complaint, the agency points to escalating grocery prices in recent years, and Harris echoed this by stating that she would enact a "ban on price gouging on food and groceries" by directing the FTC to impose "harsh penalties" on grocers. She also pledged to continue aggressive antitrust enforcement in the food sector, going so far as to highlight the Kroger-Albertsons merger as an example of the type of deal that could increase prices. However, as many commentators have pointed out, food price increases likely have more to do with inflation than any lack of competition in grocery markets.

In addition to the consumer price harms the FTC alleges, over half of the agency's legal complaint focuses on the alleged harm the proposed merger would cause to the unionized workers at Kroger and Albertsons. Both companies are heavily unionized—in contrast to Walmart and Amazon—and the agency claims that a combined company would have more leverage over unions given that the unions would no longer be able to play one company off against the other as a negotiating tactic. This glosses over the fact that the demand for labor is particularly competitive in the retail sector broadly, and workers could easily just jump ship to a different employer in the face of any exploitative terms pushed by the merged firm.

A final concern highlighted by some Democratic lawmakers is that a merged company could result in more store closures that lead to geographical areas within which there are few or no grocery options. Once again, this ignores the rise of club stores like Costco and online/home delivery grocery options. These alternatives reduce the plausible areas within which such food deserts can take hold, showing once again a poor understanding of the modern grocery marketplace.

Despite the many dubious underpinnings of the FTC's challenge, it fits with the Biden administration's aggressive antitrust emphasis over the past four years. While some observers were holding out hope that a Harris administration might curtail overzealous antitrust enforcement, her new food price agenda has poured cold water all over that (already wishful) thinking.

The post Harris Joins the FTC's Food Fight Against Kroger-Albertsons Merger appeared first on Reason.com.

Move over Lincoln Project and Republicans Against Trump! Republicans are joining the Kamala Harris campaign in droves, forming a new anti-Trump group called "Republicans for Harris."

Some of the GOP's pro-Harris members include former U.S. Secretary of Defense Chuck Hagel, former Republican Congress members Adam Kinzinger, Joe Walsh, and Susan Molinari, former governors Governors Jim Edgar, Bill Weld, and Christine Todd Whitman, and former Trump staffers Stephanie Grisham and Olivia Troye. — Read the rest

The post B'Bye Trump! Many in GOP — including former Trump staffers — join "Republicans for Harris" appeared first on Boing Boing.

As Kamala Harris contemplates her choice of Vice President today, some Republicans are choosing her, including former White House aides to then-president Donald Trump and former GOP congresspersons.

In its Sunday announcement, the Harris campaign also included dozens of prominent current or former Republican figures, some of which now identify with a different party, who have already endorsed the vice president.

— Read the rest

The post More Republicans endorse Kamala Harris appeared first on Boing Boing.

In this week's The Reason Roundtable, editors Matt Welch and Nick Gillespie welcome not just one but two special guests from The Dispatch. In this convivial Roundtable crossover episode, Jonah Goldberg and Kevin D. Williamson ruminate on Kamala Harris' veep options, identity politics, and drug legalization.

04:54—Kamala Harris' potential running mates

20:09—Identity politics across both major parties

36:40—Weekly Listener Question

56:16—This week's cultural recommendations

Mentioned in this podcast:

"Josh Shapiro Is Kamala Harris' Best Bet for Veep," by Robby Soave

"Trump and Harris Are Just Making It Up as They Go," by Eric Boehm

"J.D. Vance Has Changed a Lot Since the Days of Hillbilly Elegy," by Steven Greenhut

"Democratic Gubernatorial Candidate Who Defended COVID Lockdowns in Court Now Says They Were a Mistake," by Eric Boehm

"Pennsylvania's Democratic Governor Is Threatening To Veto His Own School Voucher Plan," by Eric Boehm

"Majority of Public Comments Support Descheduling or Legalizing Marijuana," by Joe Lancaster

"Don't Blame Decriminalization for Oregon Drug Deaths," by Jacob Sullum

"Glenn Loury on Economics, Black Conservatism, and Crack Cocaine," by Nick Gillespie

"Paris Spent $1.5 Billion Cleaning Poop Out of the Seine, and It's Still Too Dirty for Olympic Swimming," by Natalie Dowzicky

"Full Interview with Nick Gillespie (How the World Works)," by Kevin Williamson

"Faisal Saeed Al Mutar, Melissa Chen: Bringing Enlightenment Values to the Middle East," by Nick Gillespie

Send your questions to [email protected]. Be sure to include your social media handle and the correct pronunciation of your name.

Today's sponsors:

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Audio production by Ian Keyser; assistant production by Hunt Beaty.

Music: "Angeline," by The Brothers Steve

• Video Editor: Ian Keyser
• Producer: Hunt Beaty

The post Weighing Kamala Harris' Veep Options appeared first on Reason.com.

Kamala Harris is now beating Donald Trump in seven national polls, reports Newsweek, with the vice president ahead of the ex-president by up to 4 points.

Harris' biggest lead shows her at 49% to Trump's 45% in a poll that was conducted from July 27 to July 30 by Kos Media's Civiqs. — Read the rest

The post Kamala Harris surges ahead — now beating Donald Trump in 7 national polls appeared first on Boing Boing.

An energized Harris campaign more than doubled Trump's July fundraising.

The Harris campaign has raised a record-breaking $310 million in record time. New and smaller donors are helping fund the campaign, while Trump's enthusiasm seems to be waning. Getting outraised in the month, the Republicans held their convention by a fresh out-the-gates candidate has to hurt. — Read the rest

The post Kamala Harris far out raises Donald Trump in July appeared first on Boing Boing.

Vice President Kamala Harris is expected to announce her running mate next week. She is reportedly considering several governors who theoretically appeal to moderate voters in the swing states: Pennsylvania Gov. Josh Shapiro, Minnesota Gov. Tim Walz, and Kentucky Gov. Andy Beshear. Arizona Sen. Mark Kelly and Transportation Secretary Pete Buttigieg are also in the mix.

Which of these individuals would be best from a libertarian perspective is not as clear cut as it was on the Republican side, where North Dakota Gov. Doug Burgum was obviously better than the alternatives. (Unfortunately, former President Donald Trump selected Ohio Sen. J.D. Vance, whose distinguishing feature is his contempt for libertarian economic policies.) Nevertheless, it's possible to parse them.

First, the national figures. Unlike the other names on the list, Buttigieg is actually a member of the current administration and has been responsible for implementing federal policies. Unfortunately, his tenure as Transportation secretary will not be remembered as particularly libertarian. While he has signaled openness to tearing down bureaucratic "barriers" in the wake of transportation-related disasters, he has not made any serious attempts to grapple with said bureaucracy. On the contrary, when things have gone wrong, he has reserved most of his ire for private companies like Southwest Airlines and Norfolk Southern, rather than the outdated and meddlesome regulators who make their jobs more difficult.

Buttigieg comes across as a technocrat rather than a progressive: He appears to believe that smart, capable people like himself should run the government and make things more efficient. When he pursued the presidency in 2020, liberal news site Vox described him as a "product of the meritocracy" and did not intend it as a compliment. He enrages the left, but this does not make him a friend to liberty, amusing though it is. His foreign policy views also seem somewhat more hawkish than other standard-issue Democrats, which is not an improvement.

Then there's Kelly. As an astronaut and the husband of former Rep. Gabby Giffords (D–Ariz.)—who was grievously wounded after being shot in the head by a deranged gunman—he is certainly an inspiring figure. However, his political positions are mostly in line with his party. He has voted in support of President Joe Biden's approved policies 95.5 percent of the time. On energy and environmental issues, he has deviated from the progressive wing of the party: He opposes the Green New Deal and has voted in favor of increased oil drilling in the Gulf of Mexico. On the other hand, he is one of the more outspoken Democrats on gun control.

Arizona's U.S. senators have tended to be more individual-minded, bipartisan, and independent: see Kyrsten Sinema. For those reasons, Kelly might be slightly preferable to some of the other options.

Now for the governors. Walz and Beshear were both elected in 2018 and thus have longer records than Shapiro, who became governor of his state just last year. Alas, their tenures are not particularly inspiring, as both of them overlapped with the COVID-19 pandemic—providing an opportunity to implement policies that were anathema to liberty.

Walz implemented many of the same heavy-handed, liberty-infringing mitigation policies as other blue state governors; he also maintained a government hotline for people to call and report their neighbors for violating social distancing rules. When Republicans complained about it, he replied: "We're not going to take down a phone number that people can call to keep their families safe." This alone should be disqualifying.

For his part, Beshear attempted to keep lockdowns, mask mandates, and school closures in place—well into the pandemic. In fact, he reimposed masks on public school students in August 2021, saying, "We are to the point where we cannot allow our kids to go into these buildings unprotected, unvaccinated and face this delta variant." This is also disqualifying.

It's nice that Walz and Beshear are supportive of legalizing, or at least decriminalizing, marijuana. But it's hard to look past the whole wrestling-masks-onto-5-year-olds thing. The best thing to be said for them is that they are not Michigan Gov. Gretchen Whitmer.

That leaves Shapiro, who has had mercifully less time in office to do things that would offend libertarians. To his credit, he has supported several encouraging initiatives. One of his first actions after taking office was to eliminate the college degree requirement for government jobs. He also made some small progress on reforming the state's occupational licensing system. He is a supporter, to a degree, of school choice; he ultimately vetoed a voucher bill after facing significant pressure from teachers unions, however.

Given how popular he is in Pennsylvania—a must-win state for Harris—Shapiro has emerged as the likeliest veep pick in recent days. Like Buttigieg, Shapiro seems to make the far-left very upset: The New Republic called him "The One Vice Presidential Pick Who Could Ruin Democratic Unity." While that sounds entertaining enough, the main knock on him from the left is that he harshly condemned the recent pro-Palestinian protests on college campuses and is vocally supportive of Israel. For libertarians who would like to see the U.S. become less involved in Middle Eastern affairs and stop spending American tax dollars on costly foreign wars, these are reasonable concerns.

At the same time, it's hard to imagine Vice President Shapiro steering a markedly different course on foreign policy than any of the other options; on most other issues, he is slightly better. All this contributes to a weak—very weak—libertarian preference for Shapiro.

The post Josh Shapiro Is Kamala Harris' Best Bet for Veep appeared first on Reason.com.

A few minutes before 10 a.m. on Wednesday, former President Donald Trump dropped a plan to completely overhaul the relationship between millions of older Americans and the federal government.

"SENIORS SHOULD NOT PAY TAX ON SOCIAL SECURITY," Trump shouted from his Truth Social account.

If implemented, that would be a hugely expensive policy change. According to one quick estimate by a former White House chief economist, it would reduce federal revenue by $1.5 trillion over 10 years and would add $1.8 trillion to the national debt. (The extra cost is the result of interest on the new debt that would be racked up in the absence of that revenue.) It would also accelerate Social Security's slide into insolvency. And, obviously, it would be a big tax break for Americans who collect Social Security checks—but not a tax break that would be particularly good at fostering economic growth.

Despite all that, the most notable thing about Trump's announcement was what it didn't include. There was no attempt to reckon with those figures, for example. No surrogates were dispatched to explain why this change is necessary or good for the economy or country. No press releases went out. There was, of course, no attempt to explain what government programs would be cut to offset the drop in revenue. For that matter, there had been no discussion of this idea at the Republican National Convention. It was not mentioned in Trump's (long) acceptance speech and was not included in the party's platform.

Like so much else in the Trump era, this looks like an idea that went from the former president's head to his social media account with very few stops in between.

There is something to be said for that degree of—let's say—transparency. If nothing else, it is quintessentially Trumpian: hastily conceived and not deeply considered, more of a marketing slogan than substance. Let's just call this what it is: a nakedly political play to win the votes of Social Security–collecting Americans.

Coming as it did on Wednesday morning, the "no taxes on Social Security" plan stood in stark contrast to the news the Trump campaign had made just one day earlier. On Tuesday, Trump's campaign had officially (and gleefully) sunk the Heritage Foundation's "Project 2025"—a 900-page document in which the conservative think tank had outlined an extensive policy plan for Trump's prospective second term. The project had been headed by Paul Dans, who had served in the Trump administration, and was central to the institutional-wide pivot toward populism that Kevin Roberts, Heritage's president, had executed in recent years.

In a statement, two of Trump's top campaign officials didn't merely bury Project 2025 but also issued a threat.

"Reports of Project 2025's demise would be greatly welcomed and should serve as notice to anyone or any group trying to misrepresent their influence with President Trump and his campaign—it will not end well for you," said Susie Wiles and Chris LaCivita.

Translation: How dare anyone try to substitute actual policy substance for whatever random thought might fall out of the former president's head on a Wednesday morning?

Roberts' mistake "was thinking that Mr. Trump cares about anyone's ideas other than his own. He governs on feral instinct, tactical opportunism, and what seems popular at a given moment," wrote the Wall Street Journal's editorial board in a scathing response to the news of Project 2025 being scuttled and that Dans had resigned from Heritage. "The lesson for Heritage, and other think tanks, is that it's better to stick to your principles rather than court the political flavor of the day."

Amen to that.

Meanwhile, Vice President Kamala Harris has launched her campaign by veering hard into an almost Trump-like policy nihilism of her own. Having already tried to memory-hole her track record as the Biden administration's so-called "border czar"—read Reason's Liz Wolfe if you need to catch up on that controversy—Harris is now seemingly rewriting her positions on a bunch of other things too.

For example, Harris was a co-sponsor of the Green New Deal when she was a member of the U.S. Senate in 2019. She voiced her support for the progressive environmental package while campaigning for president that same year.

Now, she's backing away from it. This week, a spokesperson for the Harris campaign told the Washington Examiner that Harris no longer supports the federal job guarantee—a promise that the federal government would provide jobs with "family-sustaining wages" to anyone who wanted one—that was a key feature of the Green New Deal.

As the Examiner notes, Harris has also "backed away from her endorsement of eliminating private healthcare plans as part of a Medicare for All proposal. Her campaign also told The Hill that she will not seek to ban fracking if she is elected. That was after previously telling CNN while running for president 'There's no question I'm in favor of banning fracking.'"

Maybe this is Harris embracing her philosophy of being "unburdened by what has been." Maybe she's simply taking a page from Trump's book—after all, the former president has never paid much of a price for making it up as he goes along.

For both Trump and Harris, simply telling voters what you think they want to hear is possibly the most direct route to winning an election. But such a cynical approach to campaigning sidelines any discussion of policy—and means the election is likely to be decided on far stupider grounds.

The post Trump and Harris Are Just Making It Up as They Go appeared first on Reason.com.

"We have pardoned tens of thousands of people with federal convictions for simple marijuana possession," Vice President Kamala Harris bragged on Thursday. It was not the first time she had offered that estimate, which she also cited during an appearance in South Carolina last February and at a "roundtable conversation about marijuana reform" the following month.

Where did Harris get that number? From thin air, it seems. "While Harris said 'tens of thousands' have been pardoned under President Joe Biden's October 2022 and December 2023 clemency proclamations," Marijuana Moment noted in February, "the Justice Department estimates that roughly 13,000 people have been granted relief under the executive action." And only a tiny percentage of those people have bothered (or managed) to obtain evidence of their pardons: This week the Justice Department reported that "the Office of the Pardon Attorney has issued 205 certificates of pardon" to people covered by Biden's proclamations.

In October 2022, President Joe Biden announced pardons for people who had possessed marijuana in violation of 21 USC 844 or Section 48–904.01(d)(1) of the D.C. Code. That proclamation applied to "all current United States citizens and lawful permanent residents" who had "committed the offense of simple possession of marijuana" on or before October 6.

According to a count by the U.S. Sentencing Commission (USSC), about 7,500 citizens and 1,200 "resident/legal alien offenders" (only some of whom would be eligible for pardons) were convicted of marijuana possession under 21 USC 844 from FY 1992 through FY 2021. Those numbers include some people who also were convicted of other offenses.

That count did not include D.C. Code violations. "We estimate that over 6,500 people with prior federal convictions for simple possession of marijuana and thousands of such convictions under D.C. law could benefit from this relief," a White House official said during a press background call on the day Biden announced the pardons.

In December 2023, Biden expanded the pardons to include people who had violated either of two additional laws covering attempted possession (21 USC 846 and Section 48-904.09 of the D.C. Code) or federal regulations prohibiting marijuana possession in specific locations such as "Federal properties or installations." That proclamation also extended the cutoff for violations by another year or so. At the time, Harris said the additional pardons would help "thousands of people."

So how did Harris arrive at "tens of thousands"? Even if you include people who committed these offenses prior to FY 1992, there would have to be about 10,000 of them who are still alive to justify Harris' estimate.

The USSC found fewer than 9,000 such cases over three decades, and Biden's expansion may have added a few thousand more. So going back a couple more decades would not do the trick, even if you assume that the annual numbers are about the same over time, which we know is not true: The USSC count included years when the number of federal sentences for simple marijuana possession rose and fell precipitously. Overall, the annual number of marijuana arrests (the vast majority under state law) was much lower in the 1960s and '70s than it was in the period covered by the USSC analysis. And if you go back that far, you are including many people busted for possession who are no longer with us.*

Harris' exaggeration reflects the Biden administration's general tendency to fib about the extent of its "marijuana reform" while trying to motivate younger voters whose turnout could be crucial to the president's reelection. In his State of the Union address on March 8, for example, Biden falsely claimed that he was "expunging thousands of convictions."

Biden's marijuana pardons do not entail expungement because it is not possible under current federal law. As the Justice Department notes, a pardon "does not signify innocence or expunge the conviction." So it is also not true that Biden's clemency "lifts barriers to housing, employment, and educational opportunities for thousands of people with prior convictions under federal and D.C. law for simple marijuana possession," as inaptly named "fact sheets" from the White House claimed in February 2023, September 2023, and April 2024. Likewise for Biden's recent claim that he is "lift[ing] barriers to housing, employment, small business loans, and so much more for tens of thousands of Americans," which combines two kinds of hyperbole.

During his 2020 campaign, Biden promised to "decriminalize the use of cannabis." But his pardons did not accomplish that either. Without new legislation, simple possession will remain a federal offense punishable by a minimum $1,000 fine and up to a year in jail. Biden and Harris have muddied that point by saying his pardons are based on the premise that "no one should be jailed for simply using" marijuana, as Biden said in March, or that "no one should go to jail for smoking weed," as Harris put it on Thursday.

Those formulations also imply that low-level marijuana arrests commonly result in incarceration, which is not true. The USSC reported that "no offenders" covered by Biden's October 2022 proclamation were in federal Bureau of Prisons custody as of the previous January. And since those pardons excluded people who had been convicted of growing or distributing marijuana, they did not free a single federal prisoner.

Biden also has misrepresented the significance of moving marijuana from Schedule I to Schedule III of the Controlled Substances Act, which he describes as a "monumental" accomplishment. That change, which the Drug Enforcement Administration formally proposed this week, would facilitate medical research and allow state-licensed marijuana suppliers to deduct standard business expenses when they file their federal tax returns—a big financial benefit to the cannabis industry. But it otherwise would leave federal pot prohibition essentially unchanged, which is how Biden wants it.

For a longtime drug warrior who supposedly has seen the error of his ways but nevertheless opposes marijuana legalization, appealing to voters who overwhelmingly favor it is a tough sell. As Harris' pardon prevarication illustrates, that pitch requires obscuring the truth in ways small and large.

*Addendum: "I share your concerns about hyperbole around the number of pardons (and all the other marijuana reform hype)," Douglas Berman, a sentencing expert at the Ohio State University's Moritz College of Law, says in an email. He nevertheless suggests that "motivated math" could get Harris to a bit more than 20,000 simple possession convictions. That calculation would hinge on including D.C. arrests from the mid-1970s on and assuming about 15 percent resulted in convictions, which Berman says is "reasonable for a mid-sized city." But "this VP-friendly accounting," he notes, "is entirely back of the envelope," which he sees as "a big problem in this space." And Harris said she was talking about "federal convictions for simple marijuana possession," which implies convictions under 21 USC 844, 21 USC 846, and location-specific federal regulations.

[This post has been updated with additional observations about the impact of Biden's pardons.]

The post Kamala Harris Implausibly Claims Biden's Marijuana Pardons Number in the 'Tens of Thousands' appeared first on Reason.com.

A large majority of Americans—70 percent, according to the latest Gallup poll—support marijuana legalization, and that sentiment is especially strong among younger voters. Gallup found that 79 percent of 18-to-34-year-olds thought marijuana should be legal, compared to 64 percent of adults 55 or older. Similarly, a Pew Research Center survey found that support for legalization was inversely correlated with age. It therefore makes sense that President Joe Biden, who has generated little enthusiasm among Americans of any age group, would try to motivate young voters by touting his support for "marijuana reform."

The problem for Biden, a longtime drug warrior who is now presenting himself as a reformer, is that his position on marijuana falls far short of repealing federal prohibition, which is what most Americans say they want. His outreach attempts have clumsily obfuscated that point, as illustrated by a video that Vice President Kamala Harris posted on X (formerly Twitter) earlier this month.

"In 2020," Harris writes in her introduction, "young voters turned out in record numbers to make a difference. Let's do it again in 2024." The video highlights "the largest investment in climate action in history," cancellation of "$132 billion in student debt," "the first major gun safety legislation in nearly 30 years," and $7 billion in subsidies for historically black colleges and universities. Then Harris says this: "We changed federal marijuana policy, because nobody should have to go to jail just for smoking weed." That gloss is misleading in several ways.

Biden has not actually "changed federal marijuana policy." His two big moves in this area were a mass pardon for people convicted of simple possession under federal law and a directive that may soon result in moving marijuana from Schedule I of the Controlled Substances Act, a category supposedly reserved for drugs with a high abuse potential and no recognized medical use that cannot be used safely even under a doctor's supervision, to Schedule III, which includes prescription drugs such as ketamine, Tylenol with codeine, and anabolic steroids.

Although Harris, echoing Biden, says "nobody should have to go to jail just for smoking weed," that rarely happens. Biden's pardons, which excluded people convicted of growing or distributing marijuana, did not free a single prisoner, and they applied to a tiny fraction of possession cases, which are typically prosecuted under state law.

When he announced the pardons in October 2022, Biden noted that "criminal records for marijuana possession" create "needless barriers to employment, housing, and educational opportunities." But his pardons do not remove those barriers. They do not entail expungement of marijuana records, which is currently not possible under federal law. The certificates that pardon recipients can obtain might carry weight with landlords or employers, but there is no guarantee of that.

Biden's pardons also did not change federal law, which still treats simple marijuana possession as a misdemeanor punishable by a minimum $1,000 fine and up to a year in jail. So people can still be arrested for marijuana possession under federal law, even if they are unlikely to serve time for that offense (which would be true with or without Biden's pardons). The pardons that Biden announced on October 6, 2022, applied only to offenses committed "on or before the date of this proclamation." When he expanded those pardons on December 22, 2023, that became the new cutoff.

Marijuana use still can disqualify people from federal housing and food assistance. Under immigration law, marijuana convictions are still a bar to admission, legal residence, and citizenship. And cannabis consumers, even if they live in states that have legalized marijuana, are still prohibited from possessing firearms under 18 USC 922(g)(3), which applies to any "unlawful user" of a "controlled substance."

The Biden administration has stubbornly defended that last policy against Second Amendment challenges in federal court, where government lawyers have likened cannabis consumers to dangerous criminals and "lunatics." Worse, Biden signed the Bipartisan Safer Communities Act of 2022, which increased the maximum prison sentence for marijuana users who own guns from 10 years to 15 years and created a new potential charge against them, which likewise can be punished by up to 15 years behind bars. This is the very same law that Harris touts as "the first major gun safety legislation in nearly 30 years."

Biden, in short, has neither "decriminalize[d] the use of marijuana" nor "automatically expunge[d] all marijuana use convictions," as Harris promised on the campaign trail. Both of those steps would require congressional action that Biden has done little to promote.

What about rescheduling? A recent poll commissioned by the Coalition for Cannabis Scheduling Reform, Marijuana Moment reports, found that "voters' impression of the president jumped a net 11 points" after they were informed about "the implications of the rescheduling review that the president initiated." That included "an 11-point favorability swing among young voters 18-25," who "will be critical to his reelection bid."

But let's not get too excited. Since rescheduling has not happened yet, it is not true that Biden "changed federal marijuana policy" in this area either. And assuming that the Drug Enforcement Administration moves marijuana to Schedule III, as the Department of Health and Human Services recommended last August in response to Biden's directive, the practical impact would be limited. Rescheduling would facilitate medical research, and it would allow state-licensed marijuana suppliers to deduct business expenses when they file their federal tax returns, which is currently prohibited under Section 280E of the Internal Revenue Code.

Even after rescheduling, however, marijuana businesses would remain criminal enterprises under federal law, which makes it hard for them to obtain financial services and exposes them to the risk of prosecution and asset forfeiture. For businesses that serve recreational consumers, prosecutorial discretion is the only protection against that risk. Cannabis consumers would still have no legally recognized right to own guns, and people who work in the cannabis industry would still face other disabilities under federal law, including life-disrupting consequences for immigrants. Rescheduling would not even make marijuana legally available as a prescription medicine, which would require approval of specific products by the Food and Drug Administration.

In response to overwhelming public support for marijuana legalization, in other words, Biden has made modest moves that leave federal prohibition essentially untouched. While he does not have the authority to unilaterally deschedule marijuana, he cannot even bring himself to support legislation that would do that. Why not?

During the 2020 campaign, Biden echoed seven decades of anti-pot propaganda, saying he was worried that marijuana might be a "gateway" to other, more dangerous drugs. "The truth of the matter is, there's not nearly been enough evidence that has been acquired as to whether or not it is a gateway drug," he said. "It's a debate, and I want a lot more before I legalize it nationally. I want to make sure we know a lot more about the science behind it….It is not irrational to do more scientific investigation to determine, which we have not done significantly enough, whether or not there are any things that relate to whether it's a gateway drug or not."

After Biden took office, his press secretary confirmed that his thinking had not changed. "He spoke about this on the campaign," she said. "He believes in decriminalizing the use of marijuana, but his position has not changed."

Biden's rationale for opposing legalization is the same line of argument that Harry J. Anslinger, who headed the Federal Bureau of Narcotics from 1930 to 1962, began pushing in the early 1950s after retreating from his oft-reiterated claim that marijuana causes murderous madness. "Over 50 percent of those young [heroin] addicts started on marijuana smoking," he told a congressional committee in 1951. "They started there and graduated to heroin; they took the needle when the thrill of marijuana was gone."

Anslinger reiterated that point four years later, when he testified in favor of stricter penalties for marijuana offenses. "While we are discussing marijuana," a senator said, "the real danger there is that the use of marijuana leads many people eventually to the use of heroin." Anslinger agreed: "That is the great problem and our great concern about the use of marijuana, that eventually if used over a long period, it does lead to heroin addiction."

Since then, a great deal of research has examined this issue, which is complicated by confounding variables that make the distinction between correlation and causation elusive. Biden nevertheless thinks "more scientific investigation" will reach a definitive conclusion. If he won't support legalization until we know for sure whether marijuana is a "gateway drug," he will never support legalization.

The supposedly reformed drug warrior's intransigence on this issue poses an obvious challenge for Harris, a belated legalization supporter who is trying to persuade voters who take the same view that Biden is simpatico. Marijuana Moment reports that Harris' staff recently has been reaching out to marijuana pardon recipients, "seeking assurance that the Justice Department certification process is going smoothly and engaging in broader discussions about cannabis policy reform."

According to Chris Goldstein, a marijuana activist who was pardoned for a 2014 possession conviction, the vice president's people get it. Goldstein was "surprised by how up to speed and nice everybody was," he told Marijuana Moment. "Her staff really did know the difference between rescheduling [and] descheduling, and they were interested to talk about it."

No doubt Biden also understands the difference. The problem is that he supports the former but not the latter, which he rejects for Anslinger-esque reasons. Cheery campaign videos cannot disguise that reality.

The post Biden Is Trying To Motivate Voters Who Oppose Pot Prohibition. Maybe He Should Stop Supporting It. appeared first on Reason.com.