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Sunday, January 31, 2010

What Deliberative Body?

I'm beginning to wonder if election to the Senate automatically induces the inability to think clearly. You've got Ben Nelson (D-NE) who changes his mind like Imelda Marcos changed shoes and now you've got the latest boy wonder of the right, Scott Brown, who seems oblivious as to why he was elected.

These two items showed up in my reader. Both are from Senatus.

Senator-elect Scott Brown’s (R-MA) “stunning victory for the Massachusetts Senate seat once held by Ted Kennedy has many Republicans hoping he’ll make a White House bid,” ABC News reports.

When Barbara Walters, in her EXCLUSIVE This Week interview, asked Brown if he’d rule out a 2012 run, he said he found it humbling, but he wouldn’t say no.

Don't worry, he found another way to say he wasn't running:

Senator-elect Scott Brown (R-MA) “says he opposes federal funding for abortions, but thinks women should have the right to choose whether to have one,” the AP reports.

Brown tells ABC’s "This Week" that he disagrees with his party’s position that the Supreme Court decision legalizing abortion should be overturned.

Brown says the abortion question is one that’s best handled by a woman, her family and her doctor.
This position may be OK when you are literally THE marginal GOP Senator, but you have to really be delusional to think that this stance would work in a national race. I mean if Rudy Giuliani's record on other matters wasn't enough to overcome his pro-choice attitudes, does anyone really think Scott Brown has a chance?

Saturday, January 30, 2010

Successful Blogs Have Links

A break-up letter to movement conservatism.

Thanks Kurt.

It's gonna snow? Where's the bread?

Rushmore as Catcher in the Rye? No way.

Thursday, January 28, 2010

CBO vs. CBO

It's almost like Spy vs. Spy.

Former CBO director and current Obama Budget Director Peter Orszag on his blog:
It is thus correct that federal spending rose by roughly 4 percentage points of GDP between 2008 and 2009 -- and it is also the case that the increase in spending has helped to stabilize the economy -- but it is wrong to attribute that increase primarily to Administration actions since it took office. The increase was already on the books when we arrived. [E.A.]
While I agree the Obama administration inherited quite a bit of spending, this didn't seem quite right to me, so I went to the CBO Budget and Economic Outlook: Fiscal Years 2010 to 2020 and found this:

Much of the rise in outlays in 2009 came from mandatory programs. After growing by an average of about 6 percent a year from 1999 to 2008, mandatory spending (excluding net interest) soared by 31 percent ($499 billion) last year, to $2.1 trillion. Three initiatives accounted for nearly two-thirds of that increase. Outlays recorded for the Troubled Asset Relief Program (TARP) totaled $152 billion in 2009; net payments to Fannie Mae and Freddie Mac accounted for another $91 billion; and fiscal stimulus legislation, the American Recovery and Reinvestment Act of 2009 (ARRA), increased mandatory outlays by $80 billion (largely for Medicaid, unemployment benefits, payments to Social Security beneficiaries, and supplemental nutrition assistance). [E.A].
Certainly you can lay TARP and Fannie/Freddie bailouts at Bush's feet, but Mr. Orszag seems to have forgotten about the substantial contribution to increased spending by the Obama administration's stimulus bill.

If there was a case for the stimulus spending, then make the case. Don't make meaningful increases in spending then try to pawn them off on your predecessor just because he spent even more.

Keynes v. Hayek Video

Just in case this is the only blog you read that addresses economics, here is the Keynes vs. Hayek rap video that has been making the rounds this week.

I'm generally skeptical of these attempts to shoehorn important concepts into popular media formats, but this is really well done. Just don't let this be your only source of information. It's OK to put ketchup on your fries, just don't count it as a vegetable.



I'll say something more substantive about the debate in the future. While it's clear Keynes is getting a lot of discussion these days, I'm not convinced that the opposing argument in the popular discourse is Hayek's. (It's seems more like Hayek-lite.)

One nitpick with respect to the video. Near the beginning, Keynes calls Hayek on the phone and Hayek's body language seems to suggest he is not exactly sure what that strange ringing object is. Hayek died in 1992, so I don't think he would be surprised by a ringing telephone in a hotel room. Even one appointed in such a modern style.

Ryan's Road Map on Taxes

Congressman Paul Ryan has shown leadership on a national level and is a source of many great ideas. His Road Map for America's Future has some appeal, but I am less than enthusiastic when it comes to the income tax provisions:
This highly simplified code fits on a postcard. It has just two rates: 10% on income up to $100,000 for joint filers and $50,000 for single filers, and 25% on taxable income above these amounts. It also includes a generous standard deduction and personal exemption (totaling $39,000 for a family of four), and no tax loopholes, deductions, credits or exclusions (except the health-care tax credit).
While I wholeheartedly support tax code simplification, this proposal seems to have two shortcomings.

First, a continuation of the tax credit for health insurance. I think many people would agree that the preferential tax treatment of health insurance premiums is a factor in their high rates of inflation. Continuing this practice is not a step in the right direction for tax simplification or health insurance reform.

Second, elimination of the Child Tax Credit and the Additional Child Tax Credit, which is a refundable credit. I know, spoken like somebody with six kids and one income. Dad29 recently highlighted the idea that we ought to be expanding the child tax credit.

The argument centers around the fact that we have a social insurance system (i.e. Social Security and Medicare) where current benefits are paid by current workers. Ryan's ideas for these programs may include some reforms that reduce this arrangement, but they do not eliminate it entirely. This means that future benefits require future workers, and producing future workers takes children, hence the enhanced credit.

Wednesday, January 27, 2010

Oregon Voters Want Someone Else to Pay

Via The Atlantic:
Oregon voters approved by a wide margin new taxes on wealthy families and corporations. For two decades, Oregon voters had mimicked California, freezing property taxes, rejecting sales taxes and demanding that any surpluses go back to the people in the form of rebates. No more! The two measures will raise income taxes for households making more than $250,000 a year and raise the state's corporate income tax.
On the one hand, it could be that these changes are overdue and a necessary modernization of an outdated tax code. The fact that many corporations are still subject to a tax enacted in 1931 argues for such an interpretation.

On the other hand, this could be the latest manifestation of the dangerous disconnect between the level of services Americans expect to receive from their governments and the amount of taxes they are willing to pay.

Draw your own conclusion. As you do, please keep this quote from Benjamin Franklin in mind:
When the people find they can vote themselves money,
that will herald the end of the republic.

Public Ignorance & Polling on the Stimulus

Joe Klein of Time laments poll results indicating that many Americans think the stimulus spending was wasted since, as he reminds us, a big chunk of that went to tax cuts for those same folks. He interprets this state of affairs as proof that Americans are "flagrantly ill-informed" and, "too dumb to thrive."

For this, Dad29 calls Klein a twit, and he is right. Klein is a twit.

Liberal blogger Matthew Yglesias is nicer to Klein, but still thinks he is wrong both in his approach and on the substance. Yglesias argues that the "too dumb to thrive" line makes it too easy to dismiss Klein's argument as elitist. From there, though, he descends into a chilling argument on why average folks don't need to be experts on policy. He argues that what we need are elected officials that "produce results people approve of." He stopped short of calling for bread and circuses, but that can't be too far behind.

I would argue that while the average American may not need to know the intricacies of many policy issues, when the government undertakes a $787 billion spending effort they ought to be able to understand its major components and their basic implications.

Of course there is another explanation. Perhaps what is showing up in the poll results is really dissatisfaction with the infrastructure spending portion of the stimulus. In Klein's piece even he admits that the highly touted shovel ready projects simply didn't exist. Given that, is it any wonder that the stimulus polls badly?

Ultimately, these two items are not mutually exclusive. It seems to me that the poll results get it about right and that much of the stimulus was ill-conceived and poorly executed. But it also seems quite clear that many people remain in the dark about the basic facts surrounding a government supposedly of, by, and for them.

Tuesday, January 26, 2010

Rep. Kind Wrong on Comparison of Base Closings & Deficits

The LaCrosse Tribune reports:

U.S. Rep. Ron Kind called Monday for new measures to reduce the deficit and balance the federal budget.

Those included the creation of a bipartisan fiscal commission, or deficit reduction commission, that could recommend specific budget items to target.

The La Crosse Democrat said it should be modeled after the Base Closing Commis-sion, be-cause it often is too difficult for members of Congress to recommend cuts that could affect their own districts.

"I've been calling on the administration and my colleagues to embrace this idea," he told reporters in his La Crosse office. "We're trying to get more of my Republican colleagues to embrace the idea, too. If there's a concept that we're all in this together, through shared sacrifice, it might make this more politically feasible."

This may sound entirely reasonable to the ears of many, in reality this is nothing more than an attempt to disguise the continuing failure of leadership from those on Capitol Hill.

The fact of the matter is that we already have a bipartisan commission tasked with maintaining fiscal order. It is called the United States Congress. It's members are elected at regular intervals by the people. They are tasked with making our laws, including the collection and spending of revenues. They are not tasked with going to Washington DC to attend fabulous cocktail parties while another group of people, whom they have selected, do the actual work of governing.

But what about the comparison to the Base Closing Commission? Don't be fooled for an instant, there is simply no comparison. There are relatively few military bases, and the loss of a single base in a congressional district can have a tremendous local impact, so legislators fight to keep them open. A commission in this scenario gives political cover to legislators who have to answer to constituents back home about why their base was closed, but a base in a nearby district or state was not. If all we faced was the need to eliminate some discreet and localized points of spending, even if they were rather large, then perhaps a commission would be the way to go, but that isn't the case.

The Congressional Budget Office notes that about half of federal spending is mandatory, that is enacted into law and then happens automatically without being reauthorized every year. The biggest portion of this mandatory spending comes from Social Security, Medicare, and Medicaid. These are, of course, the programs that are most affected by the changing demographics of the country and the fact that health care costs continue to rise faster than overall inflation.

You know what else these programs have in common? They affect the elderly and those in poverty. And guess what, there are elderly people and poor people in every congressional district in the nation. Someone ought to tell Mr. Kind we already are all in this together. So if the real fiscal threat stems from circumstances that affect every single legislator, the case for a special commission tasked with making the tough choices simply falls apart.

I've singled out Mr. Kind for what I see as a particularly egregious example of making a reasonable sounding case for an unreasonable position, but it's not as if the Republicans in Congress have shown any more willingness to make the tough choices, and at times they have descended in to downright incoherence.

The fact of the matter is that this country has some difficult decisions to make in the not too distant future. These decisions are not the end of the world, but they are not at all easy. They involve deeply held notions about what our government "owes" us (hence the name, entitlements). Making them will require skilled leaders who are able to determine the best course of action and make a convincing case for their decision. I wonder how many currently serving in Congress are up to the task. Unfortunately, I fear it is not many.

Scott Baio's Twitter Trouble

Via The Atlantic:
They want to kill Chaci.

Conservative Scott Baio is being threatened on twitter.

Scott Baio, who supported Scott Brown in Massachusetts, received death threats this week after he posted an unflattering photo of Michelle Obama on twitter.
Conservative Scott Baio? Who knew?

While I understand that to some folks Baio will always be Chaci, there is a certain cohort that will always think of him as Charles, as in the guy who is in charge.

Here's the theme song from the first season:

Saturday, January 23, 2010

Successful Blogs Have Links

Feingold a 'NO' on Bernanke.

The beautiful ruins of Detroit. (H/T Cindy Kilkenny)

Is 'The Phantom Menace' really to blame for the terrible state of the world? (H/T Mrs. RWC)

WI-8 Candidate Forum on Monday, January 25th.

Joaquin Phoenix's 'brilliant' hip hop album? Is this a joke?

Nostalgia for unipolar world. Original by The Kinks, this version by The Fall (why'd they have to ruin the cake?!)....

Thursday, January 21, 2010

Should firms be able to bet with your money?

The White House issued a statement on financial regulatory reform outlining two parts of their proposal. This one in particular seems like a very good idea:
1. Limit the Scope-The President and his economic team will work with Congress to ensure that no bank or financial institution that contains a bank will own, invest in or sponsor a hedge fund or a private equity fund, or proprietary trading operations unrelated to serving customers for its own profit.
Megan McArdle describes it this way:
banks that have access to the discount window will not be able to trade for their own account. That means no prop [proprietary] trading desk. No owning hedge funds or private equity funds. No investments of any kind to make profits for your shareholders. Financial institutions can make profits by servicing clients, or they can make profits by investing for their own book. But they can't do both....

Indeed, if they pass this thing, they should probably call it the Hey Goldman Sachs! You're Not Going to Be So Profitable Any More Act of 2010.
She has reservations as to whether or not such a proposal is enforceable, but if it is then it seems like a positive step.

I still think resolution authority (that is, a way for failed firms to go out of business in an orderly manner) is the key to regulatory reform, but this proposal could compliment that authority.

If firms want to gamble, they should do so with private money. Preventing them from doing so with public money seems like sound policy.

Senate Democrats Vote to Extend TARP

Via Senatus

The Senate defeated an amendment offered by John Thune (R-SD) that was designed to end any further use of TARP funds for bailouts.

I thought that one of the consequences of the Brown victory in MA and the apparent end to health care reform would be an uptick in outrage over bailouts and efforts by the Democrats to demonstrate they were sufficiently on the side of "Main Street rather than Wall Street". We've seen something in this vein from the President, but apparently Congressional Democrats didn't get the memo. Perhaps they are waiting for a more opportune time to adopt the mantle of populist outrage, maybe some time a little closer to November.

The vote was 53 to 45. Thirteen Democrats joined the Republicans in supporting the amendment, including Wisconsin's Russ Feingold. Herb Kohl joined fifty Democrats and two independents and voted against the amendment.

Collapse of the Paparazzi Bubble

Via Harper's Index
Estimated percentage change since 2007 in the average tabloid payout for a celebrity photograph : –30
Obviously a bailout is in order.

Perhaps in lieu of cash, Congress could mandate that Tiger Woods come out of hiding and pose for photographs. I'm pretty sure there is some pent-up demand in that market.

Just think of the multiplier!

Wednesday, January 20, 2010

The economy that swallowed a fly

The Obama administration has proposed a new tax on large banks and are promoting it as a way for taxpayers to recover the money lost due to the TARP bailout.

At FoxPolitics.net Jo Egelhoff has all the right reasons as to why this is a bad idea. Among them, the TARP losses primarily stem from AIG and the auto companies, which are NOT subject to the tax and the fact that these banks will simply pass the tax on to consumers.

With another view is Harvard Economist Greg Mankiw. Mankiw is not known as a promoter of higher taxation, so his advocay of the proposal cannot simply be dismissed as promotion of an agenda aimed at government expansion.
We could promise never to bail out financial institutions again. Yet nobody would ever believe us. And when the next financial crisis hits, our past promises would not deter us from doing what seemed expedient at the time.

Alternatively, we can offset the effects of the subsidy with a tax. If well written, the new tax law would counteract the effects of the implicit subsidies from expected future bailouts.

So the tax could be an antidote to the poisonous bailouts that have now become the norm. While Mankiw may be absolutely right on the economic merits, I can't help but find his argument thoroughly unconvincing.

So many in the financial industry conducted themselves recklessly, but were saved from the consequences of their actions by a government bailout. And because of the bailout, we now need to impose a tax on those institutions? When I heard this proposal, I couldn't help but think of the old lady who swallowed the fly, then the spider, then the...well, you know.

Mankiw may simply be arguing for the best solution given the reality of our situation, but there may be an alternative.

We should make it clear that there won't be any more bailouts, but how?

Since many reasonable people believe that letting large financial firms collapse in a chaotic manner would have been even worse than the present conditions, solving that problem becomes key to ending the era of bailouts. Finding a way to let failed firms go into bankruptcy in an orderly manner should be the number one priority of our financial reform efforts. Such a system would not, and could not, ever be perfect. It would just have to be good enough to avoid the catastrophic.

Bailouts are only tolerated when the alternative seems even worse. With a system in place to provide a framework for the dissolution of failed firms, people, and the politicians that represent them, will be far less tolerant of bailouts, and better off in the long run.

Kagen oblivious to implications of Brown victory

From the WisPolitics DC Wrap:
Dem U.S. Rep. Steve Kagen says he feels no threat from the results of yesterday's Massachusetts election because he is an outsider like Sen.-elect Scott Brown.

"I am confident, I am on their side." Kagen said of his constituents. "I think anyone would be happy for the people of Massachusetts because their viewpoints will now be expressed. It is upon Senator Brown to carry out the will of the people."
I'm glad the author clarified exactly whom Kagen was referring to when he said he was on "their side." First, since Kagen has a history of holding fundraisers featuring the Boston Red Sox, I thought maybe he was talking about the people of Massachusetts. Second, I simply don't believe that a majority of people in Wisconsin's 8th district feel that Kagen is on their side.

Not long ago the subject of health care came up during a discussion with some acquaintances. People whom I know personally, but do not regularly discuss politics with. One of the people in the group had no hesitation stating that she thought Kagen simply did not care what his constituents thought and that it came to votes and stances on issues he simply did whatever he felt like. She said this in such a matter-of-fact tone that it struck me as quite damning.

It's really hard to argue with this assessment when Kagen says the health care bill, "is a good bill and keeps getting better." Perhaps Kagen hasn't seen the polling data (the RCP average has the bill being opposed 49 to 40) or perhaps he simply doesn't put much stock in the opinions of his constituents.

Tuesday, January 19, 2010

The End of Egalitarianism

On his blog, Matthew Yglesias discusses a new report that shows the percentage of women who earn more or have more education than their husbands has increased since 1970. While he applauds these results, he worries that their source is no so much the advancement of women as men losing ground:
The less happy part of this story, however, is the dramatic slowdown in wages for working class men paired with the fact that American public schools are getting very poor results from low-income boys. Equality is good, but leveling down is not. [E.A]
I hate to be the bearer of bad news, but "leveling down" is the inescapable endpoint of all schemes designed to produce equality of results. We are unfortunate that such schemes are the centerpiece of most modern democracies.

Alexis de Tocqueville saw this consequence clearly, even in the 19th century. In his book The Conservative Mind, Russell Kirk notes what Tocqueville saw as the, "probable consummation of modern egalitarianism"
What menaces democratic society in this age is not a simple collapse of order, nor yet usurpation by a single powerful individual, but a tyranny of mediocrity, a standardization of mind and spirit and condition enforced by the central government...
So even 150 years ago it was clear where attempts to enforce egalitarianism were headed. That insight is available still to any who care to listen. Today, however, this message is anathema to our equality obsessed society. If we continue on our present course, it is only a matter of time before we are all truly equal, and equally worse off.

The Reality of Scott Brown

Lance Burri, writing at Fox Politics.net, does his readers a service by attempting to temper (even slightly) some of the enthusiasm surrounding Scott Brown, the Republican candidate for the Massachusetts Senate seat formerly held by Ted Kennedy.

While a Republican in Kennedy's seat would no doubt be an enormous victory for the Republicans and may even be enough to stop the Obama healthcare reform, a closer look at Brown only leaves me wondering: at what cost?

Burri reports:
Still. Enthusiasm for Brown is off the charts. Conservatives, Republicans, Tea Partiers – everybody's in love with the guy. His rallies are overflowing. His campaign can't keep up with its volunteers. He raised a million dollars a day last week.

But guess what? He's not a core conservative.

He's pro-choice. He voted for a regional version of Cap-and-Trade. He voted for RomneyCare – an early version of what we now call ObamaCare.

Three big strikes, where conservatives are concerned.
In most other states, these three strikes would be enough to send you back to the dugout, but that doesn't seem to be the case for Brown. Strange it should happen in such a baseball-crazy place as MA.

The @TAC blog highlights this criticism of Brown:
Massachusetts anti-tax activist and former Libertarian Party candidate for state office Carla Howell points out:

Career politician Scott Brown is an 11-year Big Government Republican state legislator who regularly and repeatedly voted FOR bigger state government budgets, voted FOR expanded and new Big Government programs, voted FOR tax increases, and voted AGAINST tax cuts.

A friend in MA was agonizing over the possibility of voting for Brown because he is pro-choice. An issue that many of us find non-negotiable.

While I understand the existence of regional differences and the need to build a broad coalition of interests in order to advance a larger agenda, I can't help but be a little baffled by the relentlessly positive coverage of Brown from many on the right.

Monday, January 18, 2010

Why Does Wisconsin Lose Businesses- Two Views

One of the great things about the internet is how it can facilitate connections that would otherwise never be made. I ran across one of these instances tonight.

First there was Capper's blog in my reader noting another business is leaving Wisconsin. The reason, according to Capper, was (all together now) Scott Walker. Capper writes:
And this is just another one of the myriad of ways Walker has failed as county executive. If he cannot make Milwaukee County appealing to businesses, there is no reason to believe he could do better on the state level.
As soon as I had read this, I checked my facebook feed and found a blog post entitled Why Do Companies Leave Wisconsin and the USA written by Derek Ellerman and offering this analysis:

The reason companies leave Wisconsin, or the USA for that matter, is simple. The relatively larger companies leave because the federal tax rate is the second highest on planet earth....

Add any and all additional taxes that the wonderful state of Wisconsin adds to this egregious federal level, and you understand why companies leave our state. They pay fewer taxes somewhere else. Not only is this good for the company, it is good for all their consumers. Their consumers can now pay a lower price for their product. This puts to rest the ‘greedy capitalist’ argument. Not only is the company better off having left the Soviet Sector, but that company’s consumers also benefit.

For some reason, Ellerman never blames Scott Walker personally for destroying the business climate in Wisconsin the way that Capper does. The funny thing is that Ellerman's blog appears on the site of Walker's opponent for the Republican gubernatorial nomination, Mark Neumann.

Call me crazy, but I am deeply skeptical that a single politician can destroy the economic climate of a county or a state. This kind of damage stems from a pattern of mismanagement that takes place over years and often involves members of both major parties. It remains to be seen if any of the candidates for governor are up to the task of undoing this damage and restoring Wisconsin to fiscal health.

Saturday, January 16, 2010

Successful Blogs Have Links

Transcend the box -catchphrases to keep and those to kill.

The decade seen through war photography.

Best UN-read books of the decade.

The amazing story of Bill Barilko

And Barilko in song.........


RWC will be hiatus for much of January (a blog-cation you might say) but will be back soon with coverage of WI-8 and beyond. In the meantime, check out some of these great blogs:
Dad29, Fox Politics.net, Lakeshore Laments, Playground Politics, Marginal Revolution, The Other McCain.

Saturday, January 9, 2010

Successful Blogs Have Links

Was Stephen Foster, the prototype for the self-destructive American celebrity-artist?

Making the checkout process competitive at Target.

What would the Ewoks have been like if the guy who made Twin Peaks had directed Jedi?

We Didn't Start the Fire, in pictures.

'Til I get my way...............


RWC will be hiatus for much of January (a blog-cation you might say) but will be back soon with coverage of WI-8 and beyond. In the meantime, check out some of these great blogs:
Dad29, Fox Politics.net, Lakeshore Laments, Playground Politics, Marginal Revolution, The Other McCain.

Wednesday, January 6, 2010

State deficits may hurt efforts to attract jobs

The state of Arizona is facing a projected $4.7 billion but like states all around the country, elected leaders are still seeking a way to attract businesses, and the jobs they represent, to their state.

An article on this effort in the Arizona Republic caught my attention with this warning:

Jack Boyd, a Princeton, N.J., consultant, said he and other consultants are telling clients looking for new sites to be careful about locating in states with high deficits.

"What concerns me is who is going to put the fiscal houses in order for states like Arizona, California and New Jersey. Our concern is that it will be on the backs of the business community," he said.

So states may be judged not just on their reputation for taxes and regulation, but also on how they have managed their fiscal responsibilities. The states that have mismanaged their finances and may have to take drastic steps to correct past mistakes may not even be seriously considered by businesses looking to relocate, expand, or start up.

No Runny Eggs (H/T Fox Politics) takes a look at the scary state of Wisconsin's finances. If businesses are avoiding states like California, can Wisconsin be far behind? At a time when Wisconsin needs to attract new business, our inability to manage our finances may prove a burden too great to bear. Putting Wisconsin back on sound fiscal footing will absolutely be job number one for the governor and legislature elected in 2010.

It's often said that mid-term elections matter little and are primarily noticed only by those voters that are the most ideologically motivated. It remains to be seen if that is the case in Wisconsin this year. What is not in question is the fact that how the next government addresses our financial mess and the issue of jobs will directly impact all of the people of Wisconsin. This could make 2010 the most important mid-term in a long time.

Saturday, January 2, 2010

Successful Blogs Have Links

Go visit Fairly Conservative before it's too late!

Don't think Congress is broken? You will now.

The 2000's were not kind to stocks.

The Daily Beast's roundup of viral videos of the decade.



For Auld Lang Syne:


RWC will be hiatus for much of January (a blog-cation you might say) but will be back soon with coverage of WI-8 and beyond. In the meantime, check out some of these great blogs:
Dad29, Fox Politics.net, Lakeshore Laments, Playground Politics, Marginal Revolution, The Other McCain.