TAXPROF ROUNDUP: The IRS Scandal, Day 447.
Archive for 2014
July 30, 2014
THE GODS OF THE COPYBOOK HEADINGS SPEAK: Self-Control Makes for Savvy Saving.
A few weeks back, when I wrote about the joys of the 15-year mortgage, I got the same reaction from a lot of people: “Why would you repay a loan when at these low rates, it’s practically free money?”
I hear this about a lot of things. “Why would you buy a car for cash/save up to remodel the kitchen/have an emergency fund instead of a home-equity line of credit? Mathematically, that’s insane!”
I don’t think it’s quite as arithmetically unreasonable as my interlocutors suggest. Once you add risk into the equation, the calculations don’t come out quite so neatly. By refinancing to a 15-year mortgage with a lower rate, we locked in 125 basis points a year, completely risk-free. And when the mortgage is completely paid off, we’ll get another 3.25 percent, 100 percent guaranteed and risk-free. There are no risk-free investments that deliver that kind of return. You can make more money by adding risk — but you can lose more that way, too.
Moreover, math is not the only consideration. As I’ve noted before, personal finance is not primarily about math; the arithmetic part is so easy that even journalists can do it. The hard part is discipline.
I agree.
TRAIN WRECK UPDATE: Medicare Actuary Throws Cold Water on ACA Cheerleaders. “The cuts to Medicare’s reimbursement rates imposed by the ACA may have bought the program a little more time. But without a revolution in service delivery, those cuts won’t be sustainable.”
AT AMAZON, New Deals on Men’s Clothes.
Also, New Fashions for Women.
“LIKE ENDLESS JURY DUTY:” Virginia Postrel: Why Being A Part-Time Worker Is Miserable. “Scheduling software now lets employers constantly optimize who’s working, better balancing labor costs and likely demand. The process demands enormous flexibility from part-time workers, sometimes requiring them to be on call all the time without knowing when they’ll work or how much they’ll earn. That puts the kibosh on the age-old strategy of working two or more part-time jobs to make ends meet.”
GREAT NEWS! US economy grows by 4% beating expectations.
Er, except for this: “From January to March, the US economy shrank a revised 2.1% on an annualised basis as a result of harsh winter weather. However even with the rebound, the winter is likely to mean overall growth this year will be only 1.6% – less than in 2013.” How did the economy do in 1993, the year of the Great Blizzard?
BECAUSE THE CULTURAL ROT HADN’T GOTTEN BAD ENOUGH: McDonald’s Unveils . . . Tofu McNuggets.
CRONY CAPITALISM UPDATE: Emails Show Cozy Government-Insurer Alliance, Expectation of Bailout.
A BAR EXAM TECHNOLOGY DISASTER. “The biggest bar exam debacle in history.” Plus: “Failing the bar in this economy is a 6-month sentence of unemployment. Somewhere, a plaintiff’s lawyer is putting together a class-action suit for those who used ExamSoft and failed.”
WHAT COULD YOU POSSIBLY SAY ABOUT THE GREENTECH SCAM THAT WOULD BE WORSE THAN THE TRUTH? Judge dismisses GreenTech suit in win for First Amendment.
UM: Air Passengers Quarantined With Signs Of Ebola Didn’t Have It. The authorities seem extra-worried, don’t they? I think that’s good.
“SMART DIPLOMACY” AGAIN, I GUESS: Hillary Clinton: Hamas Operates in Civilian Areas Because Gaza is a Small Place or Something. They had to put their HQ in a hospital! There was nowhere else!
HE CHOSE . . . POORLY: Rubio Siding With Claire McCaskill on Campus Sexual Assault Bill.
ED DRISCOLL: Yes, Next Question.
HEY, I’VE GOT AN IDEA: Let’s spend our highway money on . . . highways.
JOEL KOTKIN: Don’t Be So Dense About Housing.
FLASHBACK, 2012: Hillary Clinton criticizes Romney’s remarks on Russia.
Secretary of State Hillary Clinton hit back Sunday against Mitt Romney’s comments this week that Russia is America’s main “geopolitical foe.”
Labeling Romney’s words as “dated,” Clinton said in an interview with CNN there were more pressing matters of concern in global affairs.
“I think it’s somewhat dated to be looking backwards instead of being realistic about where we agree, where we don’t agree,” Clinton told CNN Foreign Affairs Correspondent Jill Dougherty.
On Monday, Romney set off a firestorm of criticism when he described Russia as the country’s primary enemy.
“In terms of a geopolitical foe, a nation that’s on the Security Council, and as of course a massive nuclear power, Russia is the geopolitical foe,” Romney said on CNN’s “The Situation Room.”
Romney’s rivals, Republicans and Democrats alike, immediately jumped on his remarks and used them as an opportunity to paint the candidate as out of touch on foreign policy issues.
Well, someone was out of touch.
THE DEEP STATE: Secretive Leftwing Network Discovered through Wisconsin Records Law.
A low-profile Google Group used by over 1,000 state and national leftwing leaders and activists has been discovered thanks to Wisconsin’s open records law. A Media Trackers inquiry into the actions of a University of Wisconsin professor turned up records and communications from “Gamechanger Salon,” an online community that provides a forum for leftwing activists and leaders to share tactics, strategies and opinions.
Operating as a closed Google Group, much of what the network does is unavailable for public review. However, a document listing the network’s membership and a policy manual describing the mission and ground rules for the entity were accessible when Media Trackers discovered a non-password protected link in the emails obtained through an open records request of a University of Wisconsin professor. . . .
The group has the self-described goal of creating a “more coordinated” movement for liberals across the country. Among those included on the membership list are:
Damon Silver, Policy Director for the AFL-CIO
Benjamin Joffe-Walk, Chief of Staff at Change.org
Medea Benjamin, co-founder of CODEPINK
Elizabeth Rose, Director of Communications at the Economic Policy Institute
Philip Radford, Executive Director of Greenpeace until earlier this year
Ilyse Hogue, President of NARAL
Raven Brooks, Executive Director of Netroots Nation
Adam Green, co-founder of the Progressive Change Campaign Committee
Deirdre Schifeling, National Director Organizing & Electoral Campaigns for Planned ParenthoodThe group’s policy manual directs members to abstain from forwarding emails to recipients outside the group. It does warn, however, that with 1,000-plus members, anyone emailing the group should not say anything “you wouldn’t want to be subpoenaed by a Grand Jury or broadcast on Fox News.” . . . In addition to the prominent leaders and activists listed above, Gamechanger Salon also includes members of the leftwing “media” such as: Amanda Terkel, Senior Political Reporter and Politics Managing Editor at The Huffington Post, Ryan Grim, Washington bureau chief for The Huffington Post and MSNBC contributor, Josh Dorner, Communications Director at ThinkProgress, and Angelo Carusone, Executive Vice President at Media Matters.
So, it’s like Brother Of Journolist.
WAPO: Hillary Clinton still hasn’t found a good answer to questions about her wealth. And Chris Cilizza is eager to offer advice, and point out that she’s not that awful Mitt Romney. Which is true. He earned his money by building businesses; she earned hers by selling access. In WaPo-land, the latter is morally superior.
July 29, 2014
THAT’S A NICE TURNAROUND: Man With Face Transplant Poses For GQ.
AT AMAZON, deals on bestselling Wi-Fi Routers.
Also, deals on bestselling Carpet Bots. That’s a category now? Well, it is the 21st Century.