Monopoly utilities abusing their rate base

Local utility Alliant Energy announced that they have taken full control of an $82M Mexican resort development, Laguna Del Mar. Thomas Content and Judy Newman follow the story. Content notes that Alliant also lost money invested in Brazil several years ago. Clearly, these regulated entities have no business spending money in this way. How about a rate cut (MG & E also spreads the money around in odd ways. Background here and here.

The Culture of Spending

Alex Tabarrok:

The political scientist James Payne argued that there is a culture of spending in Congress.  Even people elected on a platform of cutting government become enured to higher spending as week after week they hear witnesses saying how much more money is needed and how many more problems could be solved if only you, the great Congressperson, would use your power to spend.

Posner: Abolish Medicare

Richard Posner:

As a matter of economic principle (and I think social justice as well), Medicare should be abolished. Then the principal government medical-payment program would be Medicaid, a means-based system of social insurance that is part of the safety net for the indigent. Were Medicare abolished, the nonpoor would finance health care in their old age by buying health insurance when they were young.

Wisconsin Voter Fraud – DePere Man Charged

Kira Sparks:

Marc P. Lacher, a St. Norbert’s alumnus, was charged Jan. 14 with voting illegally in the state of Wisconsin. Lacher used an old address to vote in Green Bay, although he currently resides in Illinois. Lacher said he believed he could vote using the previous address he resided at when attending college, according to the Milwaukee Journal-Sentinel.