Politicians Spend Government’s Money to their Benefit

In the Philippines these are called Pork Barrel. In the US, these are known as earmarks.

From an investigative report by the Washington Post

A U.S. senator from Alabama directed more than $100 million in federal earmarks to renovate downtown Tuscaloosa near his own commercial office building. A congressman from Georgia secured $6.3 million in taxpayer funds to replenish the beach about 900 feet from his island vacation cottage. A representative from Michigan earmarked $486,000 to add a bike lane to a bridge within walking distance of her home.

Thirty-three members of Congress have directed more than $300 million in earmarks and other spending provisions to dozens of public projects that are next to or within about two miles of the lawmakers’ own property, according to a Washington Post investigation.

Under the ethics rules Congress has written for itself, this is both legal and undisclosed.

The Post analyzed public records on the holdings of all 535 members and compared them with earmarks members had sought for pet projects, most of them since 2008. The process uncovered appropriations for work in close proximity to commercial and residential real estate owned by the lawmakers or their family members. The review also found 16 lawmakers who sent tax dollars to companies, colleges or community programs where their spouses, children or parents work as salaried employees or serve on boards.

In recent weeks, lawmakers have acknowledged the public’s growing concern that they appeared to be using their positions to enrich themselves. In response, the Senate last week passed legislation that would require lawmakers to disclose mortgages for their residences. The bill, known as the Stop Trading on Congressional Knowledge (Stock) Act, would also require lawmakers and executive branch officials to disclose securities trades of more than $1,000 every 30 days. At the same time, the Senate defeated an amendment, 59-40, that would have permanently outlawed earmarks.

The House is scheduled to vote on the Stock Act on Thursday.

Read the rest here (hat tip Russ Roberts)

Whether in the Philippines or in the US or elsewhere we get the same behavioral dynamics by politicians within the political spectrum.

Most if not all of the decisions made by politicians and bureaucrats have (concealed or indirect) self-serving interest within the ambit of circumstances adjudicated.

The above represents legal but subtle (immoral) ways of using political means to wangle for personal economic benefit. In short, use laws for personal benefits or discreet corruption.

Lofty ideals where governments are seen as supposedly selfless and moral or virtuous represent a popular myth meant to promote the welfare state. People hardly realize that governments are populated by humans who are perpetually vulnerable to mortal influences.

I am reminded by this stirring quote by the great libertarian H. L. Mencken in Notes on Democracy

His business is never what it pretends to be. Ostensibly he is an altruist devoted whole-heartedly to the service of his fellow-men, and so abjectly public-spirited that his private interest is nothing to him. Actually he is a sturdy rogue whose principal, and often sole aim in life is to butter his parsnips. His technical equipment consists simply of an armamentarium of deceits. It is his business to get and hold his job at all costs. If he can hold it by lying he will hold it by lying; if lying peters out he will try to hold it by embracing new truths.