govt activism: tons of benefit with little cost?

A relatively weak article in Monday's C-J...

Comprehensive in terms of coverage, but weak in terms of analysis. How can anyone think-- or at least write-- that government activism is all benefits without only the occasional cost?

College students, minimum wage workers and ethanol producers were among the Hoosiers Congress helped this year. But Congress failed to act on -- or is still working on -- other issues that affect Indiana businesses, state privatization efforts and children without health insurance...

Notice, early-on, the reference to "help" without mentioning any costs...

Here's a look at what Congress did and didn't do that will affect Hoosiers:

Workers

Congress boosted the minimum wage from $5.15 to $7.25 over two years, the first raise in the minimum wage in a decade. About 354,000 Hoosier workers are expected to be directly or indirectly helped, according to the Economic Policy Institute, a nonpartisan think tank based in Washington, D.C.

Congress is still working on a possible expansion of a federal program that would help workers who've lost their jobs because of foreign competition.

No mention of increased unemployment among the relatively unskilled from artificially increasing the price to rent their services. And no mention of the taxes required to pay for the "federal program"-- and thus, the jobs destroyed by that program.

Soldiers and veterans

Responding to the disclosure earlier this year of conditions at Walter Reed Army Medical Center, Congress included provisions in a defense policy bill to improve health care and benefits for recovering veterans, service members and their families....

And lawmakers approved a 3.5 percent pay raise for military personnel, half a percentage point more than the White House had sought.

Again, perhaps a wonderful decision, but sold here as all benefit, no cost.

But Democrats could not get enough support from Republicans to set a timeline for troop withdrawals from Iraq. At least 101 members of the armed forces with Indiana ties have died while serving in the Iraq war, and a major Indiana National Guard unit is preparing to deploy next year.

Interestingly, the deaths of those serving in Iraq is the most direct mention of cost in the article!

College students

Congress made several changes to student-loan programs, including increasing the maximum Pell grant award to the neediest students; cutting the interest rate on subsidized student loans; capping the amount low-income borrowers must pay back each month; and creating a debt-forgiveness program for many public service employees.

Some of the changes were paid for by cutting federal subsidies to private lenders, including Sallie Mae, which has significant operations in Indiana....

More subsidies, balanced in "some" part by reducing other subsidies.

Children's health care

President Bush vetoed efforts to expand the State Children Health Insurance Program, which provides health care for children whose parents earn too much to qualify for Medicaid but not enough to pay for health insurance. The state says about 70,000 Hoosier kids are using the program while about 20,000 more are eligible but not enrolled.

Translation: we wish we had these benefits (despite whatever costs are unmentioned here).

Here's a list of Congressional accomplishments from the rest of the article...

Homeowners

Congress is still working on various bills to address the mortgage crisis but did approve a temporary change that will prevent mortgage debt forgiven through foreclosure, sale or debt restructuring from being considered taxable income.

Taxpayers

More than 200,000 Indiana taxpayers will avoid being hit by the alternative minimum tax next year because Congress approved a one-year adjustment to the tax...

Auto industry

Congress raised fuel economy standards for vehicles for the first time since 1975...

Biofuels

Congress greatly expanded the amount of renewable fuels, such as ethanol, that must be mixed with gasoline by 2022. This helps guarantee a market for those investing in new biofuels production.

The nature of most government activism is that it produces obvious benefits and subtle costs. Thus, the public is biased toward thinking that government activism is more effective than it is. That's also why it's useful to have those in the media provide a more comprehensive analysis-- to make objective information available to people at relatively low cost.

This was a missed opportunity.