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On today’s edition of Coffee and Markets, Brad Jackson and Ben Domenech are joined by Francis Cianfrocca to discuss jobless claims, the Fed’s realization that American’s buy groceries and gas, and whether or not we’re ready to pay higher taxes to erase the debt.

We’re brought to you as always by BigGovernment and Stephen Clouse and Associates. If you’d like to email us, you can do so at coffee[at]newledger.com. We hope you enjoy the show.

Related Links:

Weekly Claims See Fall, But Jobs Picture Remains Weak
Existing Home Sales Unexpectedly Dip in April
Bullard says core inflation is a rotten concept
Boehner Lays Down the Debt-Ceiling Gauntlet
Sen. Toomey On Debt Limit: ‘No Danger Of A Shortage Of Cash’
GOP “No New Taxes” Position Is Rapidly Crumbling

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The desperation level of teachers’ unions and their apologists is growing by the day.  Ceding major ground in states like Wisconsin, Michigan, Ohio, Indiana, New Jersey, Idaho, Illinois, Pennsylvania and Massachusetts, the unions seem to be on the run.

They’ve done their best to negotiate compromises to fight another day.   The progress that education reformers have made in undercutting traditional union positions is staggering.  Ideals that have been the life blood of teachers unions – like seniority and tenure – are being outright abolished or severely weakened.

In  an effort to fight back, the unions are dispatching as many advocates and apologists as possible.  Chavez-loving actor Danny Glover popped up in Indiana – of all places – to buck up unionized teachers.  Michael Moore wowed the radicals with his Madison, Wisconsin speech.  Perhaps the biggest apologist for unions – in fact she was the National Education Association’s 2010 “Friend of Education” – is Diane Ravitch.

The NEA often points out that Ravitch was an assistant secretary of education under President George H. W. Bush, as if that lends some credence to her criticism of Republican-led education reform.

Ravitch has been racking up frequent flyer miles in her effort to dismiss the relevance of charter schools, performance pay and increased teacher accountability. Her fundamental message is that everything would be fine in K-12 education if government would simply raise taxes and send schools more money.

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If you want to take a pulse on the political vibe in this country, one need only look at Wisconsin.  The state has become the barometer for judging not just the public’s appetite for political battle, but the competitive landscape as well.  The spotlight on anything that has six degrees of separation from a Koch brother has been great drama for Wisconsin’s ongoing soap opera, but audiences in the state and nationwide might get a better show by turning their attention leftward.  Few have examined the strange pattern of money and favor trading that’s been pervading Wisconsin’s beloved circle of progressive politics.

The activity in Wisconsin over the last few months becomes crucially pertinent as the state gears up for the 2012 Wisconsin Senate race.  It’s worth looking at the financial innards  of the Supreme Court race and the protests against Governor Scott Walker in order to assess what the fight for the Wisconsin Senate seat, soon to be vacated by retiring Democratic Senator Herb Kohl, will look like.  What many don’t realize is that this race could have broader implications – not just in national politics, but in specific policy areas, like health care and your personal medical records, for example.  Lots of money, fueled by liberal business interests and an ever-growing progressive movement in Wisconsin, has already been freely flowing.

But is anyone watching? Who are some of these donors?

Let’s start by looking back at the recent Wisconsin protests and the Supreme Court election, and then dissecting some of the money trail.

The hostility stemmed from the union reform bill signed by Wisconsin Governor Scott Walker on March 11^th as a stand-alone portion of the overall budget repair bill.

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Almost nine months after a Missouri dairy was ordered to stop selling cheese made from raw milk, I share details of another hare-raising story from the Show-Me State: John Dollarhite and his wife Judy of tiny Nixa, Mo., have been told by the USDA that, by Monday, they must pay a fine exceeding $90,000. If they don’t pay that fine, they could face additional fines of almost $4 million. Why? Because they sold more than $500 worth of bunnies — $4,600 worth to be exact — in a single calendar year.

About six years ago, the Dollarhites wanted to teach their young teenage son responsibility and the value of the dollar. So they rescued a pair of rabbits — one male and one female — and those rabbits did what rabbits do; they reproduced. Before long, things were literally hopping on the three-acre homestead 30 miles south of Springfield, and Dollarvalue Rabbitry was launched as more of a hobby than a business.

“We’d sell ‘em for 10 or 15 dollars a piece,” John said during a phone interview Tuesday afternoon, comparing the venture to a kid running a lemonade stand. In addition, they set up a web site and posted a “Rabbits for Sale” sign in their front yard. Most customers, however, came via word of mouth.

In the early stages, some of the bunnies were raised and sold for their meat. Much further down the road, John said, they determined it more profitable to sell live bunnies at four weeks old than to feed bunnies for 12 weeks and then sell them as meat.

“We started becoming the go-to people” for rabbits in the Springfield area, John said. “If you wanted a rabbit, you’d go to Dollarvalue Rabbitry.” He added that the family even made the local television news just before Easter in 2008 for a report about the care and feeding of “Easter bunnies.”

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So, riddle us this: Are we still allies with Israel?

Yesterday, Jan Schakowsky sat in on the Don Wade and Roma show on Chicago’s WLS 890 AM.

The topic of the Obama White House banning a critical media outlet came up, and Schakowsky was asked if she would ever like to exclude any media outlets. She promptly responded that she would like to ban Breitbart from covering her, calling him a “Sleaze bag” in a vicious and uncivil personal attack. Full clip here.

She probably feels this way because while covering the Schakowsky-Pollak congressional race last year on behalf of Big Government, Founding Bloggers and Adam Sharp of Sharp Elbows had the temerity to ask Representative Schakowsky some basic questions that she couldn’t/wouldn’t answer: 1) Where in the Constitution does Congress have the authority to force someone to buy a product or service? 2) What is the Democratic Socialists of America (DSA), and what is Democratic Socialism? Jan is a long-time supporter of the DSA, but for some reason she is shy about this association.

Here is the coverage that Democrat Representative Jan Schakowsky does not want you to see:

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As the IMF gets ready to choose a successor to Dominique Strauss-Kahn, who resigned following his arrest on charges that he sexually assaulted and raped a hotel housekeeper, it would be a good thing to step back for a moment and ask: What should the IMF do?

More specifically, can the IMF possibly morph itself into a worldwide force for economic growth instead of Bailout Nation?

Yes, it’s a powerful global economic agency. It’s also one with a very checkered past. Usually opting for austerity policies, such as currency devaluation and tax increases, the IMF has bungled a lot of rescue missions down through the years.

There was Turkey, Mexico, and the Asian Tigers. More recently, there was the Greece bailout plan, which has not succeeded. Neither have the Portugal and Ireland plans. Though the EU’s involvement in these European states has been larger than the IMF’s, the IMF was supposed to be the tough cop for budget cuts that have not materialized. The necessary debt restructuring also hasn’t occurred.

Socialist Strauss-Kahn restored IMF prestige with his political-economic activism. But he didn’t restore prosperity to the southern-tier European countries.

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The Transportation Security Administration – with a little help from Reason.tv and international web sensation Remy – have produced an instructional video outlining proper airport screening measures.

“Do the TSA Pokey Pokey” is the second of a series of collaborations between Remy and Reason.tv.

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The expression ‘Everything is Bigger in Texas’ used to apply to ambulance chasing attorneys, frivolous litigation, and mega-payouts to plaintiffs.  The Lone Star state was known for attracting a robust tort bar and a less-than-thriving medical community, as physicians gave the state a wide berth to avoid sky-high malpractice insurance rates and the constant risk of getting hit with junk lawsuits where even the winner loses via punishing legal fees.

That all changed when the state enacted pioneering tort reform laws in 2003 and 2005 that overhauled much of the state’s legal system, with a focus on areas that act as magnets for low-merit litigation, such as class-action certification, product liability, and medical malpractice.  The new law also put a cap of $250,000 on non-economic damages, vastly reducing the average size of lawsuits.  The result?  In just a few years, Texas has become first in the nation in job creation, and seen the number of doctors applying for license to practice rise by 60 percent.

Texas Gov. Rick Perry is not content to stop there; the popular Republican and current RGA Chairman devoted a portion of his most recent State of the State address to promoting adoption of a ‘loser pays’ rule, which requires plaintiffs to pick up the tab for defendants’ legal fees if their suits are judged to be groundless.   Sometimes called the ‘English Law’ due to its origin in England, loser pays laws are in place in the legal systems of nearly every developed nation besides the U.S.  Incidentally, the U.S. is home to the world’s most complicated and costly legal system by far.  The Wall Street Journal reports that Americans now spend more per year on tort litigation than on new cars, with the total tort tab reaching $247 billion in 2006.  Coincidence?  Probably not – loser pays measures are known to clear the legal system of nuisance litigation, act as a deterrent against low-merit class action suits, lower overall litigation costs, and create a more expedient path to justice for meritorious claims.

The Texas House handed Perry a victory this month, handily passing their version of the loser-pays legislation.  Now, the tort reform battle looms in the State Senate, where their version of the loser-pays bill is in committee.  Lt. Gov. – and likely U.S. Senate candidate – David Dewhurst will be pitted against Texas Trial Lawyer honcho President Steve Mostyn, a sort of King of the Ambulance Chasers.  Mostyn has amassed a large personal fortune by obtaining jackpot settlements from the state in hurricane-related lawsuits, and coughed up almost $6 million (nearly half of what the trial lawyers spent in total) to defeat Perry and other pro-tort reformRepublicans in 2010.  Perry has made it clear he will sign any loser pays bill that crosses his desk, so the spotlight is on Dewhurst to play the rainmaker.

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Just when you think things can’t get any more ridiculous in Madison, Wisconsin…

As we all know by now, in February of this year thousands of public school teachers in Madison, Wisconsin called in sick in order to attend protests at the State Capitol.  They joined thousands of government union employees who gathered to protest Governor Scott Walker’s budget repair bill, which placed limits on the unions’ collective bargaining powers.

We broke the story on how doctors, including many affiliated with the University of Wisconsin, attempted to give many of those teachers fraudulent medical excuses so they could get paid for work they never did for taxpayers. The School District refuses to release a list of teachers who attempted to perpetuate this fraud.

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Judicial Watch continues its aggressive probe of the Obama administration’s scheme to bypass Congress and enact stealth amnesty by hook or by crook.

We recently filed a FOIA lawsuit against the Department of Homeland Security. And here’s what we’re after:

Any and all correspondence (including, but not limited to, email) between USCIS (United States Citizenship and Immigration Services) Director Alejandro Mayorkas and David Shahoulian, from December 3, 2010 through February 3, 2011. Fulfillment of this request should include any emails exchanged between Mayorkis and Shahoulian via their respective personal accounts where such personal email mentions or refers in any way to agency regulations or policy issues of any kind, including the planning or scheduling of meetings to discuss agency regulations or policy issues of any kind.

Judicial Watch filed its original FOIA request on February 4, 2011. Homeland Security was required by law to respond by March 23, 2011. However, the agency has failed to respond to the request in any manner.

The name Alejandro Mayorkas may sound familiar to you. Remember the USCIS memo that described “administrative alternatives” to going through Congress to implement blanket amnesty for illegal aliens? Well that document was prepared for the agency’s director, Mayorkas. (Perhaps even at his direction?)

Let’s review a few of the smoking gun memo’s key conclusions.

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On today’s edition of Coffee and Markets, Brad Jackson and Ben Domenech are joined by Chuck DeVore to talk about the uprisings in the Middle East and how it could lead to a war against Israel.

We’re brought to you as always by BigGovernment and Stephen Clouse and Associates. If you’d like to email us, you can do so at coffee[at]newledger.com. We hope you enjoy the show.

Related Links:

Chuck DeVore: The Next Middle East War
Egyptian generals speak about revolution, elections
Egypt’s liberals worry about loss of clout as Muslim Brotherhood rises

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From the Washington Post:

Verizon Wireless sued the Federal Communications Commission to overturn a recent data-roaming rule, saying the agency overstepped its jurisdiction with the order.

The wireless giant filed its appeal last Friday to the U.S. Court of Appeals for the D.C. Circuit, the same court where it filed a lawsuit to overturn the FCC’s so-called net neutrality rules. The court overturned Verizon’s appeal in that case mostly on a technicality — the FCC hadn’t put the rules in the national Federal Register, a step necessary before appeals can be fought.

Verizon noted in its data-roaming appeal, that the FCC rules were implemented in the Federal Register on May 6. The data-roaming rules, passed last April, force national carriers such as Verizon Wireless and AT&T to allow regional wireless customers to roam on their networks.

And it argued that the same court in early 2010 said the FCC in a legal battle with Comcast, exceeded its authority as a regulatory of broadband Internet services when it sanctioned the cable giant for blocking Internet traffic.

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Upon learning that average per pupil spending in the public education system is $9,000, recent Rasmussen poll takers overwhelming stated their dissatisfaction with the return on their investment.

It’s hard to blame them.  Per pupil spending on education has tripled since the 1960s and increased 138 percent since 1985, but test scores and academic achievements remain stagnant and unchanged.

Noticing this trend, taxpayers and parents have found other options—an alternative to the status quo.  Americans are used to variety and choice and thought the education system should offer nothing less.

“In our society choice is something we’ve all been used to,” says Jeff Sands, senior manager of school development for Northeastern and Central California for the California Charter Schools Association.  “Now you can find schools that fit your needs and styles.”

The charter school movement has grown to 4,600 schools serving more than 1.4 million students nationally.

Charter schools have been a welcomed change for taxpayers, parents, students and those states and local governments who have adopted them.

What makes charter school different than public schools?

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Under normal circumstances, when a process is found to be corrupt, any outcome or recommendation from that chain of events is either cancelled or put on hold until the full extent of the corruption can be uncovered. Essentially, good practice dictates that you start from scratch, to ensure that there is no undue influence.

But that’s not how the Obama Administration works when the final outcome is something they want. Displaying the “Damn the torpedoes, full speed ahead” attitude they’ve come to be known for on everything from health care and spending to cap & trade and net neutrality, the Obama administration is on the verge of adopting rules governing for-profit educational institutions, even though they have emerged from a wholly corrupt process that, to paraphrase Senator Tom Coburn (R-OK), may end up with people going to prison.

It all started last summer when Senator Tom Harkin (D-IA), chairman of the Health, Education, Labor and Pensions (HELP) Committee, held a hearing on whether or not students attending for-profit colleges should be allowed to receive federal financial aid. Harkin strongly supports a proposed Department of Education (DoE) rule, known as Gainful Employment, which would severely damage those institutions and kill higher education opportunities for thousands of Americans.

It was odd that one of the witnesses Senator Harkin chose as an “expert” on for-profit colleges had no expertise in the industry whatsoever. Steve Eisman is a Wall Street short-seller with no background or expertise on education policy. But with the stock prices of private-sector colleges and the companies that run them risking collapse, he does have a lot to gain by ensuring that happens.

This was just the first of what would be many curious developments in the Progressives’ crusade against for-profit education.

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School choice is on the move in Wisconsin, at least in Milwaukee County.

The state Assembly has approved a bill that will increase the number of voucher students in Milwaukee, and increase the number of private schools they can choose from.

But an idea recently suggested by Gov. Scott Walker, to spread voucher opportunities beyond Milwaukee to Green Bay, Racine and Beloit, received a cool reception from Senate President Mike Ellis, as well as several other Republicans.

Ellis also questioned a reform, embedded in the governor’s budget proposal, that would lift income restrictions from voucher programs so all families would be eligible to participate.

That leads me to wonder if some Republicans, once committed to the concept of public school reform, have lost their nerve in the face of obnoxious union rallies and recall efforts.

I also wonder if Walker might have received a more positive response if he had targeted the entire state for voucher eligibility, in the same manner as Indiana. Only expanding to three cities may not sit well with legislators from areas that would not benefit.

School choice is best for all families and students. Every child is unique, and parents are best equipped to choose a school that fits their needs.

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On May 16th, 2011 we attended a MoveOn.org protest staged in Chicago outside a Paul Ryan luncheon. The protesters were unfriendly and hostile to our questions, as well as confused about their message. We also questioned MoveOn members and organizers about their opinion regarding racially offensive comments made by former progressive radio talk show host and radically liberal blogger Greg Morelli.

Morelli is known for consistently spewing violent and hateful rhetoric on his blog, Family Values with an Oy Vey. We were particularly interested to find out if MoveOn.org has any issue with his racially charged comments about President Obama, since they invited him to speak at their “Defending the Dream” rally in March. In a blog post titled “Harry Reid is My Nigga!” Morelli refers to President Obama as the “Negro-in-Chief.” He also claims former RNC Chairman Michael Steele and Supreme Court Justice Clarence Thomas are only black on the outside. MoveOn was silent in response to the questions.

Morelli: “Health Care will soon pass in America thanks in large part to the Top Cracker in the senate, the Top Bitch in the house and a signature from the Negro-In-Chief.”

“Michael Steel is black in the same way Clarence Thomas is black: on the outside only.”

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It’s official.  I have returned to my Liberal roots, and have chosen to embrace Liberalism as I did from birth until 1994.  It makes no sense to fight the tsunami of government anymore, and the truth is, Liberals have had it right all along.  I was completely brainwashed by right-wing talking points, and during a session with my masseuse, she opened up some chakras that wiped my mind clear.

No longer having a mind, I’m putting my intellect to work on making Liberal policies work with maximum impact.  I hope Big Government readers can forgive me.  Your close-mindedness and hate speech cannot hold a candle to doing what is right.

Healthcare

As a Resurrected Liberal, I strongly endorse government intervention to protect people, primarily from themselves.  People have shown they are not capable of personal responsibility or making good choices.  They eat too much.  They drink too much.  They are too stupid to know who the best candidate is.   Therefore, I endorse a Universal Health Care option that, among other things, will tackle several epidemics in our country.

Obesity, for example, is running rampant.  The First Lady has made it her project to get people to eat healthy and trim down.  The problem is that a lot of people just won’t listen, and they are going to eat bad food no matter what they get told, and no matter how often they get the USDA Food Pyramid shoved in their face.

I propose a tax be instituted on all people who exceed their ideal body weight, as determined by the Department of Health.   The tax should really hit fat people hard, because once their pocketbook lightens, they will, too.  I suggest a $1000 tax per pound per year per person.  When they visit their doctor for their free health care, the doctor will record their weight on a standardized scale that a government factory will produce, populated with unionized government employees at a flat salary of $90,000 per year, plus a pension that will have contributions made on their behalf as part of their employment.

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Today, in 1848, Mexico adopted the Treaty of Guadalupe Hidalgo, ending the Mexican-American War and ceding California, Nevada, Utah and parts of 4 other states to the U.S.