NOM BLOG

Category Archives: Economics

Video: NOM's Peters on CNN: Supreme Court Must Respect Votes of 7 Million Californians to Protect Marriage

NOM's Communications Director Thomas Peters engaged in a spirited debate on a wide range of issues surrounding marriage, corporate fairness, and the Supreme Court on CNN this weekend:

CNN has posted a transcript -- including this part about the so-called economic argument for redefining marriage:

[CNN HOST] KEILAR: But the point that I'm getting at is that when we talk about this as a business imperative, let's take a look at what this filing says. It says, recognizing the rights of same-sex couples to marry is more than a constitutional issue. It is a business imperative. So what do you think about that? Do you agree with that? Do you disagree with that? Is it about more than that? Is that not enough?

PETERS: I strongly disagree with it, because, first of all, the top 10 states for growth right now in this country, nine of them have marriage protection amendments. And so, you know, where this argument comes from is the left wing, UCLA Williams Institute, which has been peddling this argument for years, that gay marriage is an economic stimulus. The very states that are currently trying to [...] legalize gay marriage, like New York and California, are not exactly in an economic picture of well-being. So, look, strong states like Indiana are moving towards marriage protection amendments. North Carolina recently passed its marriage protection amendment by 61 percent. The fact of the matter is that protecting marriage protects children and it helps businesses.

KEILAR: But, Thomas, let me ask you this. Because you have businesses now that are saying, it's costing us money. They say and this obviously gets a little complicated, but they say, same-sex couples are required to pay a Federal income tax on health benefits provided to a spouse through an employer-sponsored health insurance plan. Some employers reimburse employees for the extra tax paid. That requires extra time and money. They say it's costing them money. Do you disagree with that?

PETERS: Well, let's look at -- you used the adjective complicated and you're right, it is complicated. But here's one complicating factor that I think is being ignored in this broader debate. You know, the president is arguing in the Supreme Court that gays and lesbians are politically powerless class. And now you've been telling me time and time again that all these corporations support redefining marriage.

So I would actually ask Brian [of the Human Rights Campaign], which is it? Are gays and lesbians actually a politically powerless class or do all these corporations, the vast majority of people support redefining marriage because you can't have it both ways -- I believe the majority of Americans believe in protecting marriage and I believe that gays and lesbians are an incredibly powerful political class that are trying to redefine marriage for all of us.

Heritage's Walker: Marriage Makes Fiscal Sense

Andrew Walker of the Heritage Foundation wrote last week in conjunction with National Marriage Week:

"...Americans deserve to know the facts about marriage as an antidote to child poverty. That’s especially true of at-risk youth. How many times does a young person hear that she should stay in school, wear her seatbelt, and not smoke? Will she ever hear that marriage is important to her and her children’s welfare? Do taxpayers realize the significance of marriage for alleviating child poverty—or do they only hear messages about how much more we need to spend on welfare programs? That’s what National Marriage Week aims to change.

Policy can send important messages about the importance of marriage, but it doesn’t play the most important role.

Parents should personally communicate to their children the social and personal costs of unwed parenting—from economic hardships that can occur to the difficulty of raising a child alone.

The path to prosperity requires a robust marriage culture—it matters for both individuals and for America.

"Here's a Secret -- Marriage is America’s Most Effective Anti-Poverty Program"

Sheila Weber is the executive director of National Marriage Week USA and writes in FoxNews:

In spite of other disagreements, there is one aspect about marriage that both the left and the right can find to agree on.  Marriage is a valuable anti-poverty program.

The Brookings Institution says that if we had the marriage rate today that we had in 1970, there would be a 25 percent drop in poverty.  The Heritage Foundation says that marriage drops the probability of a child living in poverty by 82 percent.

This week we focus on Valentine’s Day; and while a celebration of romance is great, we should also celebrate marriage as a valuable culmination of romance, because it’s not just about love, but ultimately about providing a better life for the children of America.

... Let’s start a movement where more and more Americans seek out relationship education and marriage enrichment classes as often as we seek out other forms of self improvement such as home renovation, book clubs, grooming, fashion, décor, or cooking.

If we can change the public’s thinking and habits on recycling, smoking, exercise and healthy eating, how much more does America need a campaign to improve the public’s thinking and actions about the benefits to our country of encouraging healthy marriage?

Pat Fagan: The Wealth of Nations Depends on the Health of Families

Patrick Fagan is Senior Fellow and Director of the Marriage and Religion Research Institute at the Family Research Council. He writes in  Public Discourse that "Family, church, and school are the three basic people-forming institutions, and it is no wonder that they produce the best results—including economic and political ones—when they cooperate.":

Even if all the market reforms of the Washington think tanks, the Wall Street Journal, and Forbes Magazine were enacted, we’d still need to kiss the Great American Economy goodbye. Below the level of economic policy lies a society that is producing fewer people capable of hard work, especially married men with children. As the retreat from marriage continues apace, there are fewer and fewer of these men, resulting in a slowly, permanently decelerating economy.

When men get married, their sense of responsibility and drive to provide gives them the incentive to work much harder. This translates into an average 27-percent increase in their productivity and income. With the retreat from marriage, instead of this “marriage premium,” we get more single men (who work the least), more cohabiting men (who work less than married men), and more divorced men (who fall between the singles and cohabiters).

All this is visible in the changing work patterns of our country, resulting in real macro-economic consequences.

IRS: Cheapest Obamacare Plan Will Be $20,000 Per Family

A burden on middle class and young families:

In a final regulation issued Wednesday, the Internal Revenue Service (IRS) assumed that under Obamacare the cheapest health insurance plan available in 2016 for a family will cost $20,000 for the year.

Under Obamacare, Americans will be required to buy health insurance or pay a penalty to the IRS.

The IRS's assumption that the cheapest plan for a family will cost $20,000 per year is found in examples the IRS gives to help people understand how to calculate the penalty they will need to pay the government if they do not buy a mandated health plan.

The examples point to families of four and families of five, both of which the IRS expects in its assumptions to pay a minimum of $20,000 per year for a bronze plan.

“The annual national average bronze plan premium for a family of 5 (2 adults, 3 children) is $20,000,” the regulation says.

Bronze will be the lowest tier health-insurance plan available under Obamacare--after Silver, Gold, and Platinum. Under the law, the penalty for not buying health insurance is supposed to be capped at either the annual average Bronze premium, 2.5 percent of taxable income, or $2,085.00 per family in 2016.

In the new final rules published Wednesday, IRS set in law the rules for implementing the penalty Americans must pay if they fail to obey Obamacare's mandate to buy insurance. (CNSNews)

Tax Expert Says U.S. Tax Code Sending a Message: Don't Be Married

The fiscal cliff deal signed by President Obama earlier this month comes down especially hard on married individuals, many of whom were already penalized by the Affordable Care Act:

It pays to be single -- that is, when it comes to high earners' tax bills.

U.S. taxpayers with income of more than $200,000 a year will see federal tax rates rise this year on wages and investments. Tax increases will pinch married couples faster than individuals, especially if both spouses work and have capital gains and dividend income, said Joseph Perry, partner- in-charge of tax and business services at the accounting firm Marcum LLP.

In the law passed by Congress Jan. 1, multiple thresholds for higher rates kick in for married couples only $50,000 above where they hit for singles. Married taxpayers with income of at least $300,000 also face limits on the value of deductions and personal exemptions that were reinstated for 2013.

"If they're sending a message, it's not to be married," Perry said of U.S. tax policy. "People who are married, working, earning two good salaries, are being penalized."

The budget deal struck by Congress and new taxes stemming from the 2010 health-care law are exacerbating the long- established marriage penalty for high earners. The added bite will affect taxes they pay for 2013, and not the current filing season that starts this month. (Bloomberg)

"Iconic" Annapolis, Maryland Trolley Forced to Shut Down Because of SSM

The Baltimore Sun:

An Annapolis company whose old-fashioned trolleys are iconic in the city's wedding scene has abandoned the nuptial industry rather than serve same-sex couples.

The owner of Discover Annapolis Tours said he decided to walk away from $50,000 in annual revenue instead of compromising his Christian convictions when same-sex marriages become legal in Maryland in less than a week. And he has urged prospective clients to lobby state lawmakers for a religious exemption for wedding vendors.

... Wedding vendors elsewhere who refused to accommodate same-sex couples have faced discrimination lawsuits — and lost. Legal experts said Discover Annapolis Tours sidesteps legal trouble by avoiding all weddings.

... The trolley company's decision, publicized by a straight groom offended by what he called "repressive bigotry," offers a snapshot of a local business navigating a new landscape in Maryland's wedding industry, and leaving it behind for a competitor to swoop in.

The head of the Maryland Wedding Professionals Association said the trolley company is the second vendor to refuse business over the state's same-sex marriage law, which voters upheld in November. The Maryland clergyman who led opposition to same-sex marriage called the trolley company's choice to abandon profits on principle "gutsy" and predicted that more businesses would quietly follow suit.

... Frank Schubert, the political strategist who ran campaigns against same-sex marriage in Maryland and three other states this year, said opponents predicted collateral damage from legalizing same-sex unions.

"This is exactly what happens," Schubert said, adding that religious liberty is "right in the cross hairs of this debate. … The law doesn't protect people of faith. It simply doesn't."

Schubert pointed to a handful of other examples publicized in news reports across the country of wedding vendors sued for refusing to accommodate a same-sex ceremony: a pair of Vermont innkeepers, a New Jersey church group and a New Mexico wedding photographer.

Anderson Explains Why Government is in the Marriage Business

For the third part of his series for Ricochet, Ryan Anderson (co-author of What is Marriage?) explains why government has a rightful role in protecting and promoting marriage:

"...Getting government out of the civil marriage business would be a catastrophe for limited government. Abolishing civil marriage would weaken social support for its norms. Over time, the law shapes what people think marriage is—which in turn affects how current and future spouses act.  As countless studies show, absentee fathers and out-of-wedlock births bring a train of social pathologies, and greater demand for policing and social services. This was, after all, what inspired the original “marriage movement,” as my first post explained. 

A study by the Left-leaning Brookings Institution finds that $229 billion in welfare spending between 1970 and 1996 can be attributed to the breakdown of the marriage culture and the resulting exacerbation of social ills: teen pregnancy, poverty, crime, drug abuse and health problems. A 2008 study found that divorce and unwed childbearing cost taxpayers $112 billion each year. And Utah State University scholar David Schramm has estimated that divorce alone costs local, state and federal government $33 billion each year.

Civil marriage serves the ends of limited government more effectively, less intrusively, and at less cost than picking up the pieces from a shattered marriage culture.

Of course, it isn’t just the legal title of marriage that encourages adherence to marital norms. There is nothing magical about the word “marriage.” Instead, marriage laws work by embodying and promoting a true vision of what marriage is that makes sense of those norms as a coherent whole."

New Study by Prudential Insurance Shows the Wealth of LGBT People

Austin Ruse at the First Things First Thoughts blog:

"...Matthew Frank pointed out in these pages that recent Federal Court rulings scoff at the claim that LGBT persons are politically powerless.

... And now comes a new study from the financial services giant Prudential. The study looked at 1,401 LGBT persons aged 25-68 from “urban, suburban, and rural communities throughout the 50 states in August 2012.”

Rather than living in extreme poverty, or poverty of any kind, the study shows that gay individuals and couples are significantly better off than heterosexuals. They are more likely to be employed. They make significant more money. They have much higher levels of disposable income and have more in savings.

... A lawyer in Washington DC recently said the LGBT folks are the most powerful minority group our country has ever seen. They are lauded in the media and in the popular culture. They are better off by any financial measure. And their cause is championed by what Father Neuhaus called the “prestige media.” They are honored and promoted not just at Ivy League schools but in just about every college setting in the United States. And those who oppose them? They are vilified, driven from their jobs and from the public square.

Let us hope that the Supreme Court, which has taken up this issue, looks carefully at the real and privileged position of the homosexual community in the United States. We should all be so discriminated against."

Santorum: Stand Up for Marriage and Families this November

Rick Santorum writes that "wedded bliss helps prevent poverty" in the Washington Times:

Since the 2008 presidential campaign, when then-Sen. Barack Obama told the Rev. Rick Warren that he supported traditional marriage defined as the union of “one man and one woman,” the president’s position on this topic has “evolved,” and now, of course, has reversed.

Indeed, Mr. Obama not only has strayed quite a distance from his original position, he has done everything he can to undermine traditional marriage. What’s more, he has sat by idly while activist judges have decided how marriage should be defined. This is bad for marriage and bad for America.

The president’s refusal to defend marriage at the federal level has been an abdication of his constitutional responsibility to execute and enforce the law. He has signaled clearly that if re-elected in November, he will continue this abuse of power to redefine marriage.

The people of Maryland, Minnesota, Washington and Maine have the opportunity to affirm core traditional American values by voting to support traditional marriage on Election Day, Nov. 6. Voters in those states can join the 31 other states that have voted “yes” to preserving marriage through a state constitutional amendment, honoring marriage between a man and a woman now and for future generations.

PMW: Business Does Best Where Marriage Is Not Redefined

Preserve Marriage Washington, which is fighting to reject Referndum-74 (gay marriage):

Is there a business case for supporting same-sex marriage?  The numbers say no.  Some business leaders took out a full-page ad in Sunday’s Seattle Times endorsing Referendum 74’s same-sex marriage law, but Preserve Marriage Washington points out that protecting marriage is good for a state’s business climate.  Several surveys of state economic indicators show that the majority of top performing states are ones that have protected marriage as one man and one woman.

“The facts show that states where the people have voted to preserve traditional marriage are the top performing states economically,” said Joseph Backholm, Chairman of Preserve Marriage Washington.  “Rejecting Referendum 74 will not hurt Washington’s economy.  If anything, it will help the economy.  Research shows that states where voters rejected redefining marriage are the top performing states economically.”

For example, nine of the ten “best states for business” according to a survey of 650 business leaders by Chief Executive Magazine have voted to preserve traditional marriage.

According to Moody’s Analytics, nine of the top ten states for job growth have voted to protect traditional marriage.

Eight of the top ten performing states for “creating jobs, economic development and prosperity” do not have same-sex marriage, according to a study published by the National Chamber Foundation.

“Voting to reject Referendum 74 will not keep Washington from attracting new businesses.  The neighboring states competing for jobs – Oregon, Idaho, California, Nevada, and Montana – all have voted to protect marriage,” said Backholm.  “The states that are doing best are those that have preserved marriage as the union of one man and one woman.  Companies in these states are not having difficulty recruiting employees or thriving in a ‘global marketplace.’”

The Blue State Exodus (Towards Pro-Marriage States)

General Mills recently claimed it endorsed same-sex marriage for economic reasons. Conn Carroll, senior editorial writer at the Examiner notes that Americans are fleeing blue states for states that have recently passed pro-marriage amendments:

Over the past ten years, millions of Americans have fled Democratic-leaning Blue states for Republican-leaning Red states, according to a new report from the Manhattan Institute.

The Great California Exodus: A Closer Look, focuses mainly on where and why California residents are fleeing the state, but using data from Census and the Internal Revenue Service, the study clearly documents that Americans are fleeing Democratic governance everywhere.

According to the data, California (+11 Democrat) lost 1.9 million citizens over the past ten years, while New York (+19 Democrat) lost 1.6 million, Illinois (+13 Democrat) 880,000, Michigan (+11 Democrat) lost 708,000, and New Jersey (+16 Democrat) 492,000. Meanwhile, Florida (+20 conservative) gained 1.3 million, Texas (+37 conservative) gained 781,000, North Carolina (+21 conservative) gained 714,000, Arizona (+29 conservative) gained 423,000, and Georgia (+25 conservative) gained 393,074.

General Mills Shareholders Take Company to Task Over SSM Endorsement

Star Tribune:

General Mills' stand against a state constitutional amendment banning same-sex marriage got both criticism and accolades from shareholders at the company's annual meeting on Monday.

The Golden Valley-based packaged foods giant has been the most prominent Minnesota corporate voice opposing the November ballot amendment, which would recognize marriage only as a union between a man and a woman.

"I really had a heavy heart and it saddened me that General Mills took a political stance on the amendment," one shareholder said during the meeting's question-and-answer period. "Whether for or against, I don't think politically you should have taken a stand on that."

Another shareholder at the Minneapolis Children's Theater asked, "What was the reason for the company to get involved when perhaps over 50 percent of your customer base will be offended? I just don't understand the rationale."

Video: Do Marriage Amendments Hurt the Economy?

Kalley Yanta responds to a common argument used against protecting marriage - that it will harm the economy:

"A new business report proves that's not true. A new CNBC study of America's top states for doing business shows that all 10 of the top 10 business-friendly states in America prohibit gay marriage. Furthermore, 9 of the top 10 have marriage protection amendments in their state constitutions that are similar to the one proposed here in Minnesota."

Poll: Just 6% of Gay Voters Say Gay Marriage is Most Important Issue

The Washington Times:

"...A poll taken last week by Harris Interactive of more than 1,000 voters who identified themselves as lesbian, gay, bisexual or transgender found that nearly one-third dubbed the economy the nation’s most pressing issues with only 6 percent calling same-sex marriage most important."