20. Texas Removes Restrictions: Let Freedom Ring
In this newsletter, Texas removes COVID-related restrictions, Congress and states need a pro-growth strategy, COVID "relief" bill is a disaster, and freedom is the best way to deal with crises.
Hello Friend,
Welcome back for another post of the Let People Prosper newsletter. I hope that you’ve had a prosperous week!
My family and I have been busy with work, school, and soccer, but have tried to focus on not taking things for granted and be thankful for God’s provisions. One of the latest things we’ve been thankful for is the improving COVID-19 situation in Texas and across the country, as we will soon have much of our freedom back.
I’m particularly thankful that starting this Wednesday Texans will have the freedom to operate a business, earn a living, and wear a mask as they see fit, joining one of only a few states after a year since the initial lockdowns.
There will likely be some struggles with this progress in terms of the virus and economic activity in the coming months, but I’m hopeful that freedom can be the guide for how to deal with those struggles rather than the heavy hand of government. People act rationally and aren’t ignorant as some assume them to be, so it is time for us to move forward as social beings with achieving God’s will in our lives and in our country. We can discuss whether the restrictions were imposed for too long and there will likely be legislative changes, and my work over the last year has questioned whether these restrictions imposed more costs than benefits, but I look forward to what we will achieve with expanded liberty.
Before we move on, register for this TPPF Livestream that I’ll moderate this Thursday from 12-1 pm CT.
Let’s get into more on the COVID situation, Texas situation, and U.S. situation. Don’t forget to subscribe at the link at the end of this post. Thanks!
OPEN TEXAS (AND AMERICA)
Summary of COVID-19 Situation in Texas: TX DSHS Data Here
As of Mar. 7, no Trauma Service Area (TSA) is on Texas Governor Greg Abbott’s soon-to-be-eliminated list for elevated restrictions.
On March 2, 2021, Governor Abbott announced Executive Order GA-36 which states that beginning Wednesday, March 10, there’ll no longer be restrictions on business operating capacity and removes the mask mandate. A county judge will have the authority to restrict business capacity of up to 50% if the COVID-19 hospitalizations as a share of total hospital capacity in that TSA are above 15% for seven consecutive days, but cannot mandate wearing a mask.
EO GA-36 opening Texas is welcome news as the data have been showing substantial improvement in the COVID-19 situation, and freedom is the best way to deal with a pandemic while concentrating resources where they’re needed most without blanket restrictions that have hurt lives & livelihoods.
The next policy step is to promoting and pass pro-growth policies so employers can expand their business, workers can return to work, and families can regain prosperity from before the pandemic. TPPF’s Responsible Recovery Agenda would help achieve this through less spending, taxing, and regulating.
TEXAS ECONOMIC AND FISCAL SITUATION
How should states use the COVID “relief” money? States should be considering how they can allocate taxpayer money from the federal government through the American Rescue Plan Act (ARPA) of 2021 with a pro-growth, long-term strategy that doesn’t waste taxpayer money even as the passage of ARPA further pushes the country toward bankruptcy.
Texas’s state government looks to receive $17B from ARPA. While this would ideally be used for tax relief and possibly funding government pensions while moving them to defined-contribution plans, these options are off the table in U.S Senate’s passed version. This means there will likely need to be other options that don’t unnecessarily grow government, such as paying down state debt (more here), paying down liabilities of other post-employment benefits (OPEB) and restructuring them, providing local property tax relief of school M&O taxes, or other options.
Another option with the COVID money to Texas is to expand education freedom which is lacking for too many in Texas as folks like those below want to hinder it.
More information on the recent power outages in Texas.
U.S. ECONOMIC AND FISCAL SITUATION
Info on the better than expected U.S. jobs report on Friday, though there’s much room for improvement. I’ll have more on this in my next newsletter.
Passage by the U.S. Senate looks to set the stage for a $1.9 trillion COVID “relief” bill that is a disaster for America in many ways yet the progressive media is already highlighting it as Heaven sent.
Treasury Secretary Janet Yellen gets it wrong here because of her assumptions based on failed Keynesian economics that says spending drives growth when we know that someone can’t spend unless she first saves their time, invests their energy, and earns a resource that allows for the benefit of consuming. And, possibly more importantly, these COVID dollars are being redistributed from the productive private sector either through taxes, debt markets, or inflation so the ARPA is a detriment to our prosperity.
We should instead be finding ways to open states, like Texas and Florida, rather than incentivizing governors to keep things locked down, employers to not fully open, and workers from having the dignity of work.
Unfortunately, some don’t want us to open…ever.
A good thing is that Congress didn’t raise the federal minimum wage.
And lowering the federally enhanced unemployment insurance, though it should be $0.
We must start promoting and passing a Responsible American Budget. I’ll have more on this very soon. It should be much like the Conservative Texas Budget.
Closing Thoughts
When there are many ugly words thrown around when someone thinks differently than another, let us focus on these Godly words:
And finally, here’s a quote from the great economist Friedrich Hayek:
Thanks again for reading! If you haven’t signed up for my newsletter yet, please subscribe here at no charge and share with others. Many blessings to you and yours.
Vance Ginn, Ph.D. | www.vanceginn.com | #LetPeopleProsper