This report presents the findings of the Cato Institute's fifth biennial fiscal policy report card on the nation's governors. The grading mechanism is based on purely objective measures of each governor's fiscal performance. Those governors with the most fiscally conservative records— the tax and budget cutters—receive the highest grades. Those who have increased spending and taxes the most receive the lowest grades.
Critics of the oil industry allege that the industry receives large and unwarranted government subsidies and that rival technologies, such as those for ethanol, renewable energy, and energy efficiency, deserve compensating government preferences. The evidence indicates that, on balance, the oil industry is not a net beneficiary of government subsidies. The facts point in the opposite direction. The oil industry is more harmed than helped by government intervention in energy markets.
To prosecute the war on terrorism, President Bush has assembled a diverse coalition of countries for political, diplomatic, and military support. Some of those countries are long-standing friends and allies of the United States. Others have new or changing relationships with the United States. Although there may be a price for their support, America should not pay an excessive price—one that could be detrimental to longer-term U.S. national security interests. And though it may be necessary to provide a certain amount of immediate aid (directly or indirectly) as a quid pro quo for the support of other nations in our war on terrorism, the United States needs to avoid longer-term entanglements, open-ended commitments, and the potential for an extreme anti-American backlash.
Topic:
Security, Religion, and Terrorism
Political Geography:
Russia, United States, America, Europe, Middle East, and Asia
Official U.S. and Cuban depictions of the effects of the U.S. embargo differ notably from Cuban economic reality. This report, based on the authors' recent visits to Havana and interviews with top Cuban officials, dissidents, and other private citizens, shows that the embargo is not responsible for Cuba's poor economic condition—as Havana claims—nor has it been effective at achieving Washington's goal of isolating the Cuban regime.
Topic:
Economics, International Political Economy, and International Trade and Finance
Political Geography:
United States, Cuba, Latin America, Caribbean, and Havana
Recent financial problems in emerging economies have led to calls for a new international financial architecture. Proposals include restricting short-term capital flows and extending the International Monetary Fund's role to that of an international lender of last resort. Both “reforms” would be mistakes.
Topic:
Economics, Emerging Markets, International Organization, and International Trade and Finance
As the world becomes a less dangerous place for America, U.S. officials work more desperately to preserve America's pervasive international military presence. This policy is evident in the Philippines, with which Washington recently concluded a Visiting Forces Agreement.
Topic:
Foreign Policy and Politics
Political Geography:
United States, Asia, Philippines, and Southeast Asia
This paper compares approaches towards food safety regulation in Europe and the United States. It focuses on mad cow disease and examines how the British Government and the European Union handled the first big crisis in the nineties, juxtaposed to the American response. This worst public health disaster in Europe has led to new agencies and policies. However, these institutional changes do not abolish fragmentation, but extend the existing landscape regulatory bodies. The paper emphasizes that fragmentation-as the American case shows despite its shortcomings-prevents science from being captured by the state, allows interest groups broader access and ensures a distinct pattern of checks and balances.
A hallmark of the administration of social assistance under the socialist regimes in Eastern Europe and the USSR was the universal nature of eligibility for benefits, either to all citizens or to categories of deserving citizens, e.g., the physically handicapped. During the transition period since the collapse of the Soviet Union, the Russian Federation has taken limited steps to improve the targeting of benefits. The challenge to improvement is acute because the administration of the great majority of programs rests with agencies of local government. The question addressed here is how amenable local program administration is to improved targeting and more progressive program administration in general. Presented is an analysis of the results of assessments of two pilot programs implemented in two Russian cities in 2000–2001. The “school lunch pilot” introduced means testing in the school lunch program on a citywide basis; eligible families receive cash payments and all children pay the same price for their lunches in cash. The “jobs pilot” is a new, local means-tested program that provides cash support to families while unemployed workers search for work; continued receipt of funds is conditional on a minimum job search effort. We find that both programs were successfully implemented and that there was little resistance to the sharper targeting. On the other hand, a variety of problems with program administration were identified—problems that need to be addressed if program integrity and credibility are to be maintained.
In the Russian Federation the delivery of social services to deserving population groups is mostly the responsibility of municipalities and other local governments. Services are delivered by municipal agencies. One way to inject competition into the delivery system is for local government to hold competitions to contract for social service delivery. The competitions can be open to nonprofit organizations (NPOs), some of which have been providing assistance in recent years to needy individuals and families similar to those that would be contracted.
Topic:
Economics, Human Welfare, and Non-Governmental Organization
This paper examines Australia's scheme of unemployment protection and makes some comparisons with unemployment protection in the United States of America. A major concern of the paper is to understand the differences in unemployment duration between these two economies. Policies followed in the United States intended to reduce duration are reviewed for possible applicability in Australia.