THE NEWSLETTER OF THE MACKINAC CENTER FOR PUBLIC POLICY • FALL 1996 Contents: President’s Message ...... 2 Media Impact ...... 4 Development Impact ..... 8 Congressman and Scholars New Internet Services .... 4 Compassion and Convene at Summit ...... 3 Politics ...... 9 Educational Events ...... 5 Ed Meese Speaks to Reed Wins Award ...... 12 President’s Council ...... 3 High School Debate ...... 6 Maze Joins Staff ...... 12

Study: Universities Provide Inadequate Preparation University Officials Take Center Recommendations Seriously

eclining academic literature, language, and the Poor instruction in this course standards and ques- sciences, that all students once adversely affects a student’s tionable teaching took to gain a broad education. entire education and life.” Dmethods at Michigan The “process approach” to English public universities produce composition places less emphasis The study recommends ways to poorly prepared K-12 teachers on formal grammar and study of help universities better equip and graduates in other fields, classical literature than the new teachers and other profes- according to a new study traditional approach to the sionals to compete in the global released by the Mackinac marketplace. They include Center for Public Policy on October 31 at Michigan •Conduct a public trial to State University. Based on determine which method of employer surveys, K-12 teaching English composi- student test scores, teacher tion—the traditional or training studies, and an process approach—produces analysis of over 300 course the highest student achieve- syllabi from all fifteen state ment. Bertonneau said, “Let university campuses, the each method prove its worth study found that graduates and give students a chance to lack many basic skills that benefit from the better employers require, and that method.” aspiring K-12 teachers do •Re-establish core curricula not get the training neces- and the study of books sary to prepare their important to Western civiliza- students for college or tion. work. •Offer aspiring teachers a more meaningful curriculum Study author Dr. Thomas by requiring fewer education Bertonneau, a Mackinac courses and more courses in Center Senior Policy their specialty discipline, Analyst and an English such as math or history. instructor in Central •Alumni, parents, and Michigan University’s (CMU’s) course. Bertonneau said, “The employers should hold university Extended Degree Program, process approach fails to produce governing boards more account- traces the failure to the general students well-grounded in formal able for producing well-prepared demise of the core curriculum grammar and classical literature. graduates. and the widespread replace- Proper instruction in English ment of traditional methods of composition is critical because The study stresses that these teaching English composition that course, more than any other, improvements can be made courses with the “process should teach students how to without legislative action. “If the approach.” communicate clearly, how to legislature or governor must get interpret complex concepts, and The core curriculum is a set of how to separate fact from fallacy. See “Study...” on page 8 courses including history,

“I cannot find any authority in the Constitution for making the Federal Government the great almoner of public charity. . . .” —U. S. President Franklin Pierce, in an 1854 veto message. See page 9 for related article. PRESIDENT’SPRESIDENT’S MESSAGEMESSAGE

Board of Directors Richard Antonini, Chairman Lawrence Reed, President Peter Cook Richard McLellan Hon. Paul Gadola Richard Merillat Mara Letica James Rodney Rodney Lockwood Jr. Linda Shinkle Our Success Is Bruce Maguire Jr. Reason for Optimism Board of Scholars

Dr. Donald Alexander David Littmann Lawrence Reed, Western Michigan University Comerica Bank President Dr. William Allen Dr. Brian Long Michigan State University Marketing & Management Institute s our supporters well know, the Mackinac Center for Public Policy seeks to Mr. Patrick Anderson advance sound economic policy and greater appreciation of private property, Anderson Economic Dr. Dale Matcheck Consulting Group entrepreneurship, limited government, and individual responsibility. Mr. Brian Barnier Dr. Paul McCracken Strategic Innovations University of Michigan A These ideas are certainly not new. They are, indeed, the foundations of a free society, the Corporation Prof. Charles Milliken principles upon which Americans built a strong, prosperous and compassionate nation. Dr. Thomas Bertonneau Siena Heights College Central Michigan University It’s a timeless, inspirational message but I am often approached by doubting friends who Dr. Gerald Musgrave ask, “Are we really making progress in getting this message across today?” Dr. America New York University Dr. George Nastas I could, of course, preface my response with any number of wishy-washy qualifiers: “Well, Dr. John Bornhofen Marketing Consultants Grand Valley State University we just have to keep at it and hope for the best;” or “You know, nothing worthwhile comes Dr. John Pafford Dr. William Browne Northwood University easily.” But that wouldn’t do justice to what I genuinely believe. So when someone asks Central Michigan University me if we’re making headway, I say without a moment’s hesitation, “Yes!” Dr. Karen Potter-Witter Dr. Stephen Colarelli Michigan State University Central Michigan University If you measure progress against where we were a few days ago, or before the last election, Gregory Rehmke Dr. Robert Crowner Free Enterprise Institute or prior to a particular recent debate in the legislature, you can always come up with Eastern Michigan University Dr. Steve Safranek reasons for pessimism. But progress ought to be considered in a broader, longer-term Dr. Richard Cutler University of Detroit Law School context. Are we better off today than we were, say, thirty years ago? Michigan Association of Scholars Dr. Parth Shah Robert Daddow University of Michigan-Dearborn Oakland County Executive The term “privatization” was not even an entry in Webster’s dictionary thirty years ago. Louis Schimmel Jr. “School choice” was a fanciful concept discussed by a mere handful of people. Faith in Dr. Stephen Dresch Municipal Advisory Council of Jhéön & Associates Michigan government spending as a cure-all was widespread. Few people were challenging the prevailing orthodoxy that called for higher taxes, more regulation, and the false and Prof. Richard Ebeling James Sheehan Hillsdale College Competitive Enterprise Institute ineffective compassion of government welfare Prof. Greg Fleckenstein Fr. Robert Sirico programs. Baker College Acton Institute for Religion and Liberty Dr. Christopher Fleury In Michigan thirty years ago, we didn’t have a Eastern Michigan University Bradley Smith Headlee Amendment to constitutionally limit state “I never take any Capital University Law and Dr. Wayland Gardner Graduate Center spending. We didn’t have a lively, informed debate Western Michigan University setback as a reason to David Sowerby about the proper role of government. And we didn’t Dr. Dale Haywood Beacon Investment Company have a Mackinac Center to provide economic let up or feel glum. I Northwood University Dr. John Taylor education to teachers and students and problem- take it as a reason to Dr. Ormand Hook Wayne State University Michigan Resource Center for solving ideas to the media, legislature, and the Charter Schools Dr. Charles Van Eaton governor. The public debate today is fundamentally work harder and Hillsdale College Prof. Harry Hutchison different and profoundly improved over where it was smarter. . . .” University of Detroit Law School Prof. Harry Veryser Jr. then. Walsh College Dr. David Janda Institute for Preventative Sports Dr. William Wilson Medicine Comerica Bank Sometimes progress takes the course of “three steps forward, two steps backward,” which can be a little discouraging at times if you don’t Mrs. Russell Kirk Dr. Martin Wing Author, Lecturer GMI Engineering & Management maintain a long-term view or if you forget to “keep your eyes on the prize.” Personally, I Institute never take any setback as a reason to let up or feel glum. I take it as a reason to work Dr. Robert Kleiman Oakland University Dr. Gary Wolfram harder and smarter, and so does the incredibly talented and dedicated staff I work with Hillsdale College George Leef every day. Patrick Henry Associates So let’s celebrate the progress we’ve made, reaffirm our mission, and face the future IMPACT! knowing that good ideas on behalf of a noble ideal will ultimately prevail. We’ve come too Joseph Lehman Todd Crelly far already to ever waste a second on self-defeating pessimism.! Editor Graphic Designer IMPACT! is a quarterly publication of the Mackinac Center for Public Policy, a nonprofit, nonpartisan, tax-exempt research and educational organization classified under section 501(c)(3) of the IRS code.

Mackinac Center for Public Policy 119 Ashman Street • P.O. Box 568 Midland, Michigan 48640 (517) 631-0900 • Fax (517) 631-0964 Internet: http://www.mackinac.org • [email protected] EVENTEVENT IMPACTIMPACT Congressman Hoekstra Explores Role of Ideas at Scholars Summit representation; finding solutions to balancing the ongressman Pete federal budget; Hoekstra of •Transportation Holland delighted Policy Analyst •Adjunct Scholar and Russell an audience of over C and Wayne State Kirk Center for Cultural Renewal 60 scholars and guests at the University President Annette Kirk on the annual Mackinac Center Assistant Profes- history and influence of the Scholars Summit at the sor Dr. John writings of the late Russell Kirk; Dearborn Inn in Dearborn on Taylor on how to November 8. Hoekstra’s improve the •Senior Policy Analyst Dr. keynote address was entitled repair and Thomas Bertonneau on the “The Role of Ideas in Current maintenance of restoration of university under- Political Debate.” Michigan roads; graduate core curricula and English composition instruction; Hoekstra sought to both •Adjunct Scholar challenge and get advice and Strategic •Adjunct Scholar and Michigan from the scholars on how Innovations Association of Scholars President principles and ideas of sound Corporation Richard Cutler on how to economics and good govern- Congressman Pete Hoekstra discusses with the scholars President Brian reinvigorate and raise the quality ment could best be commu- the best way to convey sound economic concepts to the Barnier on how of K-12 education; nicated to opinion leaders public. state-initiated and the public at large. specific disciplines. Presenta- local taxing districts subvert the •Senior Fellow in Economic tions included democratic process; Education Dr. Burton Folsom on The evening event was followed the failures of 19th century state- by a full day of reviews of the Director of Labor Policy Robert •Senior Policy Analyst and run railroad and canal ventures past year’s Mackinac Center- • Hunter on how to move Michi- Hillsdale College Professor of published research, and presen- gan toward a in labor Economics Dr. Gary Wolfram on See “Hoekstra...” on page 10 tations by scholars in their Former U. S. Attorney General Edwin Meese III Calls for “Triage” Solution to Juvenile Crime

ormer at the Amway Grand Hotel in minutes by Grand Rapids TV-8 Attorney General Edwin Grand Rapids. and also by the Grand Rapids Meese III was the Press. Mackinac Center Board of featured guest at the Meese told about 80 friends of Advisors member Ginny Seyferth FMackinac Center President’s the Center that juvenile crime graciously coordinated the media Council dinner on September 30 would increase unless churches, coverage. schools, and law enforcement officials worked together in a Meese’s itinerary included an “triage” system. As envisioned address to nearly 200 high school by Meese, these institutions students at the Center’s High would share information on School Debate Workshop at youthful offenders to separate Grand Valley State University the those who commit relatively following day. minor offenses from those who (See story page 6.) are clearly headed for lives of crime. He cautioned against Meese currently holds the greater federal involvement in Ronald Reagan Chair in Public juvenile crime, calling it a local Policy at the Heritage Founda- problem. He also endorsed tion, a Washington, D. C.-based privatization of correctional public policy think tank. Meese facilities as a viable, cost-saving served as the 75th attorney Edwin Meese III discusses his general of the United States from experience as U.S. attorney general option. with Mackinac Center board member 1985 until 1988. He was coun- Edwin Meese III told Mackinac Center and U.S. District Court Judge Paul Before the dinner, Meese was selor to the president from 1981 supporters that local institutions are Gadola interviewed live for fifteen until 1985.! best suited to help juvenile offenders. Mackinac Center for Public Policy Mackinac Center for Public Policy IMPACT! Fall 1996 3 MEDIAMEDIA IMPACTIMPACT Center Research Amplified by Massive Media Exposure

ackinac Center news Thomas •Nationally syndicated colum- media exposure has Bertonneau and nist Walter Williams devoted an been dominated this Director of entire column to the Mackinac Mfall by reports on a Communications Center’s Right To Know Payroll new study, Declining Standards at Joseph Lehman Form and how it helps workers Michigan Public Universities. (See gave editors and better understand the cost of cover story.) Journalists sought reporters per- government. The column is out Center staff and scholars for sonal briefings on syndicated in about 130 newspa- expertise on many other policy Declining Stan- pers. topics as well. A few highlights dards at the of recent news coverage follow. offices of the •Former United States Attorney Detroit Free Press, General Edwin Meese III The Detroit News, represented the Mackinac •The Mackinac Center released The Oakland Joseph Lehman (right) explains to Saginaw Channel 12’s Center in a fifteen-minute live its study, Declining Standards at Press, Midland Tony Miller (second from left) that K-12 teachers shouldn’t interview on Grand Rapids Michigan Public Universities, and Daily News, and be singled out for blame for poor student performance. television (Channel 8) and in a called on the state’s university Mount Pleasant Grand Rapids Press story on system to adopt recommenda- Morning Sun. juvenile crime. (See story page tions to improve undergraduate 3.) education. Every major news •Major stories in nearly every •Declining Standards author outlet was represented at the daily newspaper in the state and Bertonneau explained weak- •Lawrence Reed described in a October 31 news conference at many campus newspapers nesses in university core Detroit News op-ed the potential Michigan State University even reported the impact of and curricula and English composi- harm of a proposed Michigan though First Lady Hillary Clinton reaction to Declining Standards. tion courses in a Michigan Public law that would mandate insur- was speaking on campus at the Letters to the editor affirming Radio interview broadcast on ance coverage of pre-existing same hour. the study were published in more than a dozen public radio health conditions. •Senior Policy Analyst Dr. many papers. stations throughout the state. •News reports describing the •Several newspapers to date •WJRT TV-12 in Saginaw carried Center’s educational High School have editorialized about Declin- a 95-second news story on Debate Workshops were printed ing Standards. From the Detroit Declining Standards. It said, in in newspapers in Detroit (Detroit Free Press, “. . . there is good part, that the study was being Free Press), Grand Rapids, reason to hear out arguments by taken seriously by Michigan Traverse City, Cadillac, Holland, the Mackinac Center. . . .” From universities and that the Gaylord, Zeeland, Petoskey, and the Lansing State Journal, “. . . the Mackinac Center defended Blissfield. Mackinac Center’s study teachers against unfair blame for performs a valuable service. . . .” failures in the K-12 school •Adjunct Scholar Dr. David system. Channel 10 in Lansing Thomas Bertonneau describes his From The Oakland Press, “. . . the Janda described how medical also covered the story. recommendations to improve Mackinac Center for Public savings accounts can save undergraduate education to Michigan Policy has ridden to our rescue.” Medicare from bankruptcy in an Public Radio’s Rick Pluta. op-ed which appeared in several newspapers.

•Adjunct Scholar Robert New Internet Bidinotto reviewed history, causes, and solutions to juvenile Services Answer Students’ Questions Quickly crime in an op-ed printed in newspapers around the state. http://www.mackinac.org Communications Director Lehman explained how income wo new Mackinac theory and solid evidence to Chris Wells, a student at Hope tax cuts have historically been Center Internet e-mail buttress their understanding of College in Holland, Michigan, followed by higher government services provide college economic principles, or to refute recently asked if there was a revenue on the syndicated radio and high school students economic myths perpetuated in free market remedy to the T program Michigan Business Beat, timely answers to tough ques- their classrooms. Research problem of monopolists which is broadcast on several tions on economics and the Assistant Michael LaFaive charging exorbitant prices for stations.! national high school debate coordinates the program and their products. The Mackinac topic, juvenile crime. organizes Mackinac Center Center provided Mr. Wells a economists to provide accurate, reading list and a two-page “Ask the Economist” helps col- scholarly e-mail responses within lege students who need sound 24 hours. See “Web...” on page 11 Mackinac Center for Public Policy 4 IMPACT! Fall 1996 EVENTEVENT IMPACTIMPACT Expert Speakers Educate Business, Community, and Policy Leaders n addition to extensive media failures of 19th century state-run the way for a more free-market strategic planning to leaders of coverage, hundreds of scholarly railroad and canal companies to economy which fueled the over 25 state and national policy studies and commentaries, and 50 members of the Michigan state’s rise to world leadership in research institutes at a strategy a host of educational programs, Right of Way Association in the lumber, carriage, and auto planning conference in Wichita, theI Mackinac Center also influences Frankenmuth on November 7. industries. Folsom also briefly Kansas, on October 4-5. The public opinion toward appreciation This part of Michigan history is reviewed for the group an April Mackinac Center is nationally of the free market by providing key important, he explained, because 1996 Mackinac Center study on recognized as a leader in effec- groups with expert guest speakers. the constitution was subse- protecting private property tive management and execution Three examples from this fall quently amended to prohibit rights. of projects that influence public illustrate just some of the Center’s such state ventures. This paved policy and shift public opinion impact. Senior Vice President Joseph toward a better understanding of Overton explained the methods, sound economic principles.! On November 12, President necessity, and benefits of Lawrence Reed updated over 230 members of the Traverse City Rotary Club on recent Mackinac Center successes. Reed told the group about the growing impact of Officials Learn For-Profit student and teacher educational programs, the Center’s expanding Hospitals Are Nothing to Fear staff and budget, and ongoing assistance to officials who are privatizing to improve quality and he Mackinac Center barriers to entering the market- reduce the cost of government assembled over 50 policy place than Michigan. services. Many of the attending experts to learn about for- business people and community Tprofit hospitals at its Columbia/HCA has 340 for-profit leaders who belong to the Rotary November Issues and Ideas hospitals operating in 36 states Club are also Mackinac Center luncheon forum in Lansing. Jay with $19 billion in annual members. Grinney, president of Columbia/ revenue. Its first acquisition HCA Healthcare Corporation’s target in this state is Michigan Senior Fellow in Economic Educa- Eastern Group described his Capital Healthcare in Lansing. tion Burton Folsom described the firm’s plan to establish itself in Attorney General Frank Kelley Michigan and its vision for blocked the 50-50 joint venture providing quality health care proposal of Columbia/HCA and services. Michigan Capital. But a circuit court ruling found that a sale of Burton Folsom explains the Among the attending state the entire hospital to Columbia/ development of Michigan’s private officials were Michigan Depart- HCA would be acceptable. enterprise successes in the timber, Michigan Capital announced it carriage, and auto industries. ment of Community Health Director James Haveman, State will appeal the circuit court Representative Lingg Brewer, decision to the state supreme Department of Labor Deputy court, if necessary. Michigan Director Kalmin Smith, and Capital also said it is negotiating policy professionals from the for the complete sale of the governor’s office, legislature, hospital to Columbia/HCA. and executive branch. The Mackinac Center hosts Grinney explained Columbia/ regular Issues and Ideas lun- HCA’s corporate strategy and its cheons in the state capital to success in lowering health care expose policy experts and costs. He also dispelled many government officials to theoreti- myths surrounding the firm’s cal and philosophical aspects of for-profit network, such as current public policy debates. reduced charity care and lack of The forums help equip officials cooperation with other health to enact policies which incorpo- agencies. Grinney noted that no rate the best understanding of Lawrence Reed describes the Center’s Joseph Overton stresses the crucial state has erected more difficult legal, economic, psychological, growing staff, budget, and role of strategic planning at the moral, and scientific principles.! accomplishments to over 230 friends in Mackinac Center. Traverse City.

Mackinac Center for Public Policy Mackinac Center for Public Policy IMPACT! Fall 1996 5 EDUCATION IMPACT For Once, Good News about Juvenile Crime

ost stories about Center High School Debate experiences and provided evidence kids and crime Workshops in Southfield, Grand the students will use in a tough are tragic. But Rapids, Jackson, Midland, and season of debate competition. education and Boyne Falls helped debate team brightM potential are what you members and their coaches Educational presentations were get when the Mackinac hone skills and build cases for given by former United States Center for Public Policy and against increased federal Attorney General Edwin Meese III; combines nearly 700 students involvement in the juvenile David Beers, a program officer at and teachers from 49 high crime problem. Juvenile crime the Free Enterprise Institute in schools, five county and was selected as this year’s Houston, Texas; Robert James federal judges, and a former national debate topic by repre- Bidinotto, an award-winning United States attorney sentatives of state high school investigative journalist; Dr. Burton general to examine the associations. Folsom, Mackinac Center Senior history, causes, and remedies Fellow in Economic Education; and of juvenile crime. Juvenile crime experts and Gregory Rehmke, Free Enterprise practicing judges from Michigan Institute Director of Educational On September 23 through and around the nation shared Programs. October 2, five Mackinac insights from their diverse Michigan judges also shared with the students their professional knowledge of juvenile crime. They Former U. S. Attorney General Edwin included U. S. District Court Judge Meese III delighted nearly 200 high Paul Gadola, Jackson County school students debate at the Grand Probate Judge Susan Vandercook, Rapids workshop. Oakland County Probate Judge Joan Young, Midland County Probate Judge Donna Morris, and Antrim County Probate Judge John Unger.

Past participants, including teams from (Detroit) Southwest High

David Beers helps the students understand a key economic concept: Nick Grassman of Grand Rapids’ South Christian High School debates the merits “There ain’t no such thing as a free of federal juvenile crime programs while his opponents huddle on strategy. lunch.”

Rohin Verghese of Midland’s H.H. Dow Students at the workshops often heard free-market Debaters learned the important role of economics in High School answers arguments for less economic ideas for the first time. juvenile crime. federal involvement in juvenile crime. School and (Midland) Calvary Baptist Academy won championships using ideas they learned at the educational workshops.

The full-day workshops do more than just help students win competi- tions. Carefully structured sessions teach a systematic approach to persuasive free-market economic arguments that many students have never before heard. Since debaters tend to be among the brightest students and those who pursue leadership positions in society, this exposure to sound economics has decades-long impact.

None of this would be possible without the foresight and commit- ment of Mackinac Center members. Special gifts, such as the Patricia Rodney High School Debate Work- shop Scholarship Fund, help thou- sands of students learn free market economic concepts at debate workshops. Some of their thank you notes are shown here.!

Debaters take notes to add to their research on juvenile crime. DEVELOPMENT IMPACT

Study, continued from page 1

O’Neil Helps Thousands involved, there is more risk of politicization,” Bertonneau said. Learn about Sound Economics Chrysler Corporation President and Chief Operating Officer mer O’Neil is make well-informed decisions in and communities. Mackinac Robert A. Lutz writes in the president of the the political process. “I want my Center literature is a great study’s foreword that the success Southern Wayne members to understand how free teaching tool and that’s why I of universities directly affects O County Chamber of markets and individual liberty provide it to Chamber members.” our nation’s economic success. Commerce, a business organiza- lead to more prosperity for their tion which works with over 6,000 families, suppliers, customers, O’Neil and his wife, Theresa, live Print and broadcast media job providers to improve the in Allen Park and have twelve reported widely on the study competitiveness and workplace children, most of them grown. and official reaction to it. (See quality of southern Wayne He has held various professional page 4.) Bertonneau and ounty. He has been a member positions with Production Mackinac Center officials met of the Mackinac Center for Finishing Corporation in personally to discuss the study’s Public Policy since 1994. Wyandotte and Seco Safety findings with Michigan State Products. He served in the U. S. University President Peter O’Neil provides his members and Navy in World War II. He McPherson and CMU President directors with Mackinac Center studied at University of Detroit Leonard Plachta. reports and commentaries on Mercy, Walsh College, and specific issues to help them Wayne State University. Several universities ordered better understand how govern- multiple copies of the document. ment economic policies affect The Southern Wayne County CMU has ordered fifty in their businesses and livelihood. Chamber of Commerce serves preparation for what published 21 communities with 400,000 reports say is the creation of a As president, O’Neil believes his residents and 10,000 busi- special panel to consider members, many of whom own nesses.! implementing the document’s their own businesses, should recommendations at the school. learn as much as they can about CMU Provost Richard Davenport sound economic policy so they Omer O’Neil said, “Nobody is taking the report lightly. . . .”!

Setting Standards, Changing Opinions, and Getting Results

oliticians come and go, if a politician is all these things, shift public opinion to an but the Mackinac there is still pressure to make big appreciation of sound policy— Center for Public Policy campaign promises calculated to free markets, limited govern- P is here to stay. The appeal to voters. Once elected, ment, personal responsibility, Mackinac Center raises the there is more pressure to keep and respect for private prop- public standards for good policy voters “happy” to gain re- erty—which voters will demand and blows the whistle on the election. Is this good representa- at the polls, and then get from bad. tive government? elected leaders.

The month after the national Fortunately, the problem of poor Each fall we ask you to support elections is a good time for policy resulting from attempts to the Mackinac Center Annual reflection and analysis. Are you satisfy voter demands has a Fund with a year-end contribu- satisfied with the election solution. The answer lies in tion. These funds help the outcome? Did your candidates changing public opinion. If Center shift public opinion win? Did you contribute finan- James E. Kostrava, Vice citizens understand basic issues toward sound policy that the cially to campaigns? Did you do President for Development and economic principles such as politicians then have a strong everything you could to help “there is no such thing as a free incentive to enact. There is no your candidates win? And if politician’s challenge is not lunch,” they will ask candidates more effective way to change they were elected, are you much easier. Elected officials tough questions and support opinion and policy toward free confident that they will do what are expected to be high-minded politicians who are honest market solutions than investing they promised to do to earn your people of principle, knowledge- enough to give tough answers and in the Mackinac Center for support? able on current issues, and full of enact sound policy accordingly. Public Policy. Please give thoughtful solutions to problems generously.! It’s frustrating to be a voter, but a facing their constituency. Even The Mackinac Center’s role is to

8 IMPACT! Fall 1996 FREEFREE MARKETMARKET FUNDAMENTALSFUNDAMENTALS The Politics of Compassion by William B. Irvine

Editor’s note: It is appropriate this that to do otherwise is to someone else’s money than of the Mother Teresa Theory. holiday season to consider what it abandon compassion. Before we your own. In short, the Modern means to be compassionate. May follow in their footsteps, though, Liberal Theory of Compassion It is indeed puzzling that anyone you experience the joy of both we would do well to think about allows you to create the appear- would take a person’s willingness giving and receiving.—JGL the nature of compassion. ance that you are a caring to spend government funds on person without simultaneously aid programs as evidence that There are, I think, two compet- putting a dent in your lifestyle. the person is himself compas- ot long ago a col ing “theories of compassion”— sionate. By way of analogy, it league and I were i.e., two different ways in which These two theories of compas- would be absurd to take a discussing my article we can measure how caring an sion will, of course, differ in the person’s willingness to increase on Federal disaster individual is. There is, to begin “compassion rating” they assign Federal defense spending as reliefN that appeared in the March evidence that the person is 1990 Freeman. In the article I himself brave, or to take a argued, among other things, that person’s willingness to spend the government should not government money on athletic spend money to help rebuild the programs as evidence that the homes and businesses of the person is himself physically fit. victims of the 1989 San Francisco In the same way as it is possible earthquake. I pointed out that for a “couch potato” to favor someone who could own a home government funding of athletic in San Francisco would be teams, it is possible for a person wealthier than most Americans, who lacks compassion to favor and would therefore hardly be in various government aid pro- need of a Federal bailout; that grams; and conversely, it is the homeowner could and possible for a compassionate should have bought earthquake person to oppose these pro- insurance; and that by “bailing grams. out” those who failed to buy earthquake insurance, the In general, it is a mistake to use government was inadvertently a person’s political beliefs as the encouraging people to go litmus test of his compassion. If without insurance. you want to determine how compassionate an individual is, My colleague reacted to my with, what might be called the to various individuals. Mother you are wasting your time if you article not by attempting to Mother Teresa Theory of Teresa, for example, rates a ask for whom he voted; instead, refute its claims, but by com- Compassion. According to this perfect 10 under the Mother you should ask what charitable menting on my lack of compas- theory, when A feels sorry for B, Teresa Theory (which is why I contributions he has made and sion. According to him, my what A should do is expend named it after her), but would whether he has done any views on the San Francisco personal effort and/or personal rate perhaps a 2 under the volunteer work lately. You earthquake showed an incredible finances on B’s behalf. This Modern Liberal Theory; some- might also inquire into how he degree of “professional detach- theory used to be popular, but in one like Senator Edward responds to the trials and ment.” This, of course, was just America it has been supplanted Kennedy, on the other hand, tribulations of his relatives, a socially acceptable way of by what might be called the would presumably fare better friends, and neighbors. calling me heartless. This is a Modern Liberal Theory of under the Modern Liberal charge I have run into before, Compassion. According to this theory than he would under the Politically speaking, there are and it is a charge that anyone theory, when A feels sorry for B, Mother Teresa Theory. three important reasons why we who opposes Big Government what A should do is cause C to should favor private acts of must learn to live with, since by be taxed so that B can benefit Which theory of compassion is charity over governmental aid opposing Big Government one from the revenues thus raised. correct? In answering this programs. In the first place, must simultaneously oppose question, it is useful to ask a government aid programs tend most of the things our govern- The Modern Liberal Theory may second question: Who, in your to be destructive of Americans’ ment does to “help people.” sound odd, but it has some opinion, is a better example of a spirit of charity. Many Ameri- obvious advantages over the truly compassionate person, cans do not make charitable Indeed, a case can be made that competing theory. In the first Mother Teresa or Edward contributions and do not play a many individuals develop place, it requires nowhere near Kennedy? If you think that personal role in relief efforts modern liberal political lean- the level of personal commit- Mother Teresa really is the more because they feel that they have ings—and come to advocate a ment that the Mother Teresa compassionate person, you will already given—not “at the office,” variety of government aid Theory requires. In the second reject the Modern Liberal programs—because they think place, it is far easier to spend Theory of Compassion in favor See “Politics...” on page 10

Mackinac Center for Public Policy IMPACT! Fall 1996 9 FREEFREE MARKETMARKET BOOKSTOREBOOKSTORE

Viewpoint Commentaries

“Politics...” continued from Exploring Medicaid population will be accompanied What Is Corporate page 9 Options by another surge in violent Responsibility?

th youth crime. but on April 15 on their 1040 September 1996 VP 96-25 November 1996 VP 96-33 tax forms. In the second place, Michigan’s Medicaid program What does it mean for a firm to a case can be made that private has ballooned into a $4.5 billion be a good corporate citizen? Are acts of charity are more “cost Union “Salt” Poisons the giant. Medical savings accounts generous benefits, family- effective” than government aid Well are a promising way to treat programs. People are unlikely friendly policies, and earth- to give their hard-earned poor, disabled, and elderly October 1996 VP 96-29 friendly practices enough, or are money to an unworthy recipi- people fairly and relieve Some unions “salt” non-union there also responsibilities to ent or to a charitable organiza- Medicaid of the burden of firms by forcing them to hire customers and shareholders? tion that will waste it. Those providing long-term care for the union sympathizers or even paid who administer government middle class. union organizers in an attempt aid programs, on the other to force them to unionize. This Pre-Existing hand, often lack the same abuse means higher prices for Condition Mandate Is motivation to make sure that Let’s Get Moving on consumers and loss of freedom Unhealthy Policy the money they are spending is the Roads for non-union firms and their spent wisely. In the third workers. November 1996 VP 96-34 place, private acts of charity are September 1996 VP 96-26 By forcing insurance companies voluntary: No one forces Everyone agrees that Michigan’s to cover pre-existing conditions, a anyone to give money. The crumbling roads need to be Cutting Taxes to Raise proposed Michigan law may same cannot be said of govern- fixed. The state needs to make Revenue make health insurance harder to ment aid programs, which are road repair a higher priority, get, not easier. funded by tax dollars. continue recent cost-saving and October 1996 VP 96-30 efficiency measures, and adopt Are income tax cuts voodoo It may be true, then, that we other recommendations that economics or an economic opponents of governmental Journals apply market forces and sound jump-start? History tells us what largess lack compassion—as economics to road funding. measured by the Modern Coolidge, Kennedy, and Reagan Michigan Privatization Liberal Theory of Compassion, learned when they slashed Report at any rate. Fortunately for us, income taxes. there is another way to mea- Can Michigan Keep Its Summer 1996 sure compassion, and I trust Status as a Leader in MPR 96-03 $3.00 that we fare somewhat better Education Reform? High Time to Reverse This issue frames privatization’s under this alternative Low Standards in Higher big picture: an AFSCME labor yardstick.! September 1996 VP 96-27 Education union chief who embraces In Michigan, the same constitu- privatization, private prison tion that reads the “means of November 1996 VP 96-31 successes, the role of private Reprinted from , education shall forever be Blame for the decline in literacy business in fostering civil society, October 1990, with permission encouraged” is also the nation’s is often hung on K-12 public an interview with a public school of the Foundation for Economic strictest in forcing parents who education. However, the superintendent whose district is Education. choose an alternative to the university system that teaches public school system to pay the teachers should be made twice for education. A tuition accountable for its contribution tax credit plan would provide to K-12 educational problems. some relief and address some of “Hoekstra...” continued the flaws of a voucher system. from page 3 New Energy Tax Is and how subsequent revisions Bad Economics and of Michigan’s constitution set More Juvenile Justice, Faulty Science the stage for the state’s world Fewer Excuses industrial leadership; and November 1996 VP 96-32 October 1996 VP 96-28 One of President Clinton’s first •Adjunct Scholar and Patrick Our 97-year-old juvenile justice actions was to propose an energy Henry Associates President system sends the message to tax. This destructive tax could George Leef on positive young criminals that the law has alternatives to the barriers of be back in 1997, but it is based no teeth. Until young people are occupational licensure.! on unsound economics and held responsible for their dubious science. actions, the rebounding teen

10 IMPACT! Fall 1996 FREEFREE MARKETMARKET BOOKSTOREBOOKSTORE contracting with The Edison offered to university presidents, Freedom from Bad Labor “Web...” continued from page 4 Project, and the regulatory faculty, alumni, employers, and Advice extermination of America’s elected officials. 88 pages. response that explained how jitney bus industry. 20 pages. #LABOR Complimentary free-market conditions such as This informative resource gives free entry to the marketplace, competition of substitutes, and workers straight answers to foreign competition all work to common limit a monopolist’s advantage questions Studies Special Items and make it short-lived. about labor unions and Mackinac Center scholars who Declining Standards The Right To Know employee have served as the “economist on at Michigan Public Payroll Form Kit rights and call” include Dr. Gary Wolfram, Universities responsibili- Dr. Richard Ebeling, Dr. Martin #RTKPF Complimentary ties. The Wing, and Dr. Lawrence Reed. October 1996 Hundreds of companies are question- S96-04 $10.00 finding The Right To Know and-answer “Ask the Debate Coach” provides Reflecting a national problem, Payroll Form an easy, effective format helps a 48-hour e-mail turnaround to Michigan public universities are way for employers to show their workers high school students’ questions producing graduates who are workers the true cost of govern- understand on juvenile crime and debate unprepared for K-12 teaching ment with every paycheck. An how federal techniques and tips. High School careers and the business world. informative four-page brochure labor law Debate Workshop Coordinator The demise of the traditional explains how to modify pay affects them Kendra Shrode and Adjunct core curriculum, indoctrination stubs to show line-by-line the directly on Scholar Gregory Rehmke work to in the classroom, and question- hidden government-mandated topics answer questions such as the one able teaching methods that costs paid by the company on including asked by Milford, Michigan, high emphasize emotion and subjec- behalf of the worker. These mandatory school debater Mark Laidlaw regarding the effectiveness of union membership and payment government youth employment of dues. Public employees, programs in reducing juvenile including teachers, will also crime. Rehmke provided benefit from this handy brochure. evidence that specific govern- ment job programs have failed to produce many jobs or reduce crime, and that the tax burden created by these programs actually makes it more difficult How to order: for private job providers to employ young people. VIEWPOINTS: Viewpoints on Public Issues are two-page commentaries Both “Ask the Economist” and on current Michigan policy issues. “Ask the Debate Coach” are Two or three are published each accessible through the Mackinac month. Individual Viewpoints are Center World Wide Web site at 50¢ each. Please call for bulk http://www.mackinac.org. discounts. tivity over rigor and critical costs include employer-paid Please direct questions about the For telephone orders, please call thinking are to blame. The Social Security and Medicare Web site to Manager of Informa- the Mackinac Center at (517) 631- study documents extensive taxes, unemployment and tion Systems Jeff Tucker at 0900. The Center accepts Visa or [email protected].! evidence cited by employers worker’s compensation insur- Mastercard for your convenience. that college graduates lack ance, and other costly mandates. Please have your card and item crucial communications and The Right To Know Payroll Form title(s) handy when calling. If you thinking skills, and it finds a link helps employees be better do not have the Mackinac Center between poor training of informed in the democratic for Public Policy’s current Publica- aspiring teachers and declining process by shattering the myth tions catalog with a complete listing K-12 student performance. that taxes, regulations, and of all Mackinac Center publications, Analysis of over 300 under- mandates on businesses do not please request your free copy when graduate course syllabi reveal affect them personally. ordering. the dominance of trendy, politicized course content. Eleven practical recommenda- tions for improvement are

Mackinac Center for Public Policy IMPACT! Fall 1996 11 INDIVIDUAL IMPACT Reed Wins Prestigious Roe Award ackinac Center The award is sponsored by the The is an san public policy research President Lawrence State Policy Network (SPN) and organization serving and institutes at state and local Reed has received a was given at the group’s annual promoting the work of more levels.! M1996 Roe Award in meeting last September in than 35 independent, nonparti- recognition of his leadership and Minneapolis. innovation in state and local public policy research and The Roe Award is named to Maze Begins Labor Policy education. honor Thomas A. Roe, a founding director of the South Carolina Reed was honored along with Policy Council and a founder and Work John Fund, editorial writer for chairman emeritus of SPN. ecent Wayne State , and University law graduate William Eggers, director of the Presenting the award, Roe noted William Maze is the Los Angeles-based Reason that in addition to Reed’s leader- Mackinac Center for Foundation’s Privatization Center. ship in public policy, the R Public Policy’s new labor policy Mackinac Center’s research assistant. willingness to mentor new state- Maze is working with Director of focused research Labor Policy Robert Hunter to institutes is espe- help Michigan workers and cially valuable. employers better understand their legal rights and responsi- Reed acknowledged bilities. the award with praise for the professional Maze’s projects include helping staff and scholars of union members exercise their William Maze the Mackinac Center, civil rights, analyzing the of arts degree from The Citadel in saying “This great economic impact of labor laws, Charleston, South Carolina, in honor is a tribute to and educating workers and the 1992. the strategic plan- public about labor representa- ning, hard work, and tion in a free market. Hunter, a former NLRB member, results-oriented focus said, “William has precisely the of my Mackinac Maze is a member of the state skills we need to help the Center colleagues.” bar of Michigan. He received his Mackinac Center advance a free Juris Doctor from Wayne State in market in Michigan labor Reed, a past presi- 1996, where he was editor in representation. His NLRB dent of SPN, was also chief of the school’s law newslet- experience and desire to help elected to another ter, The Advocate. In 1995, he people exercise their rights make Lawrence Reed received this congratulatory letter term on its Board of was an intern at the National him a great addition to the from Byron Lamm, State Policy Network Executive Directors. Labor Relations Board, Region 7 team.”! Director. (Detroit). He earned a bachelor

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