In an unprecedented defeat for the Federal Reserve, an amendment to audit the multi-trillion dollar institution was approved by the House Finance Committee with an overwhelming and bipartisan 43-26 vote on Thursday afternoon despite harried last-minute lobbying from top Fed officials and the surprise opposition of Chairman Barney Frank (D-Mass.), who had previously been a supporter.

The measure, cosponsored by Reps. Ron Paul (R-Texas) and Alan Grayson (D-Fla.), authorizes the Government Accountability Office to conduct a wide-ranging audit of the Fed’s opaque deals with foreign central banks and major U.S. financial institutions. The Fed has never had a real audit in its history and little is known of what it does with the trillions of dollars at its disposal.

You may think Huffington Post is a liberal-wing-nut-newspaper-destroyer-blog, but sometimes they do a good job deconstructing the facts.

Airport rules changed after Ron Paul aide detained – Washington Times — The TSA has defended this action, now seeing it will lose in court relents. The audio is below. It’s unfortunate that people like this have no regard for the real laws of the USA. This situation was essentially false imprisonment and the TSA officials should be indicted.

An angry aide to Rep. Ron Paul, an iPhone and $4,700 in cash have forced the Transportation Security Administration to quietly issue two new rules telling its airport screeners they can only conduct searches related to airplane safety.

In response, the American Civil Liberties Union is dropping its lawsuit on behalf of Steve Bierfeldt, the man who was detained in March and who recorded the confrontation on his iPhone as TSA and local police officers spent half an hour demanding answers as to why he was carrying the money through Lambert-St. Louis International Airport.

The new rules, issuedin September and October, tell officers “screening may not be conducted to detect evidence of crimes unrelated to transportation security” and that large amounts of cash don’t qualify as suspicious for purposes of safety.

“We had been hearing of so many reports of TSA screeners engaging in wide-ranging fishing expeditions for illegal activities,” said Ben Wizner, a staff lawyer for the ACLU, pointing to reports of officers scanning pill-bottle labels to see whether the passenger was the person who obtained the prescription as one example.

He said screeners get a narrow exception to the Fourth Amendment, which prohibits unreasonable searches, strictly to keep weapons and explosives off planes, not to help police enforce other laws.

This was a captured tease run by WNBC in NYC. In it they use the book cover Going Rouge — An American Nightmare. Apparently the staff switched the graphic at the end of the tease. Nobody in NY seemed to notice.

Caught by Ben Gottesman for Dvorak Uncensored.

An example of what happens when politicians meddle in things they have no business in.

Texans: Are you really married? Maybe not.

Barbara Ann Radnofsky, a Houston lawyer and Democratic candidate for attorney general, says that a 22-word clause in a 2005 constitutional amendment designed to ban gay marriages erroneously endangers the legal status of all marriages in the state.

The amendment, approved by the Texas Legislature and overwhelmingly ratified by Texas voters, declares that “marriage in this state shall consist only of the union of one man and one woman.” But the trouble-making phrase, as Radnofsky sees it, is Subsection B, which declares: “This state or a political subdivision of this state may not create or recognize any legal status identical or similar to marriage.”

Architects of the amendment included the clause to ban same-sex civil unions and domestic partnerships. But Radnofsky, who was a member of the powerhouse Vinson & Elkins law firm in Houston for 27 years until retiring in 2006, says the wording of Subsection B effectively “eliminates marriage in Texas,” including common-law marriages.

[...A]nother constitutional amendment may be necessary to reverse the problem.

Morning Bell: The Fake Jobs of Obama’s Failed Stimulus » The Foundry — Fake jobs, fake districts. The work of fake experts.

Forget everything bad you’ve ever heard about President Barack Obama’s $787 billion economic stimulus. Combing through the data on the $18 million Recovery.gov website, you’ll find tons of Obama stimulus success stories from across the country. In Minnesota’s 57th Congressional District, 35 jobs have been saved or created using $404,340 in stimulus funds. In New Mexico’s 22nd Congressional District, 25 jobs have been saved or created using $61,000 in stimulus cash. And in Arizona’s fighting 15th Congressional District, 30 jobs have been saved or created with just $761,420 in federal stimulus spending.

The it-would-be-funny-if-it-weren’t-our-tax-dollars-at-stake punch line here is that none of the above Congressional Districts actually exist. Yet those jobs “created or saved” claims still sit on the Obama administration’s official “transparency and accountability” website Recovery.gov. As the Washington Examiner’s David Freddoso points out, it would have been nearly costless for the Recovery.gov site designers to limit the input fields so that non-existent Congressional Districts never made it into the public domain, but for whatever reason the Obama administration chose otherwise. Defending the fake data on his website, Recovery.gov Communications Director Ed Pound told ABC News: “We report what the recipients submit to us.

Former Alaska Governor lashed out at the Associated Press Sunday for doing a fact-check on her memoir, “Going Rogue.”

“Amazingly, but not surprisingly, the AP somehow nabbed a copy of the book before it was released,” she wrote on her Facebook page. “They’re now erroneously reporting on the book’s contents and are repeating many of the same things they spewed during the campaign and afterwards. We’ve heard 11 writers are engaged in this opposition research, er, “fact checking” research!”

The AP reported that Palin’s account often contradicted her record as well as current events. Her depiction of the McCain campaign is also frequently at odds with internal campaign emails.

Does anyone else remember the old days when journalists were expected to fact-check stories?

Last Saturday many concerned Americans watched in horror as the House passed the healthcare reform bill. If this bill makes it through the Senate, it would massively overhaul the way healthcare is delivered in this country. Today, obviously, we don’t have a perfect system, but this legislation takes all the mistakes we are making with healthcare and makes them worse. Most of what is wrong with healthcare stems from decades of government intervention and the resulting unintended consequences.

But the government’s prescription for the ills caused by intervention is always more intervention. We see this not only in healthcare policy, but also in foreign policy, in economic policy, and in monetary policy – basically, in all areas of public policy. It was even claimed that the House bill would increase competition in healthcare, and thereby improve the private sector’s business model for insurance.

It is fascinating that politicians would use the language of the free market in this way to justify more corporatism. This demonstrates a couple of things. One, that politicians truly do not understand the very basic tenets of a free market. By definition, a free market is free from government intervention. But once a little intervention is accepted as legitimate, politicians will blame the problems created by their intervention on the free market and present themselves as saviors that must intervene even more.

It also demonstrates that politicians know that Americans still believe the free market is a good thing. People know and understand that competition among businesses is better for the consumer than a monopoly. However, competition between a private business and a government or government-favored entity is not real competition.

In real competition, your competitor can go bankrupt if they do a bad job. Everyone knows a government program is forever, no matter how poorly it performs. In real competition, efficiency is necessary for survival. In government programs, waste is rewarded as budgets are often determined by how much money a department is able to consume in a year. In real competition, one business does not have regulatory or taxation authority over its competitors. In real competition, businesses get sued and punished for breaking contracts and defrauding people, and are kept accountable in this way. But just try to sue the government when you are unjustly harmed by it!

The reason real competition is a good thing is because good businesses get bad ones out of the consumer’s way. Can the government put someone out of business? Most certainly! But it will have the opposite effect: an otherwise good business will be replaced by a poorly performing government agency, or a government-favored monolithic business that behaves almost like a government agency.

If Washington really wanted to give consumers more choices they would remove legislative and regulatory barriers to competition across state lines for health insurers. They would remove barriers for new and innovative models of healthcare and tort reform. They wouldn’t have run so many church and charitable hospitals out of business. Washington is keenly interested in healthcare reform, but it is certainly not going to increase competition or to expand your options for healthcare.

Even as drug makers promise to support Washington’s health care overhaul by shaving $8 billion a year off the nation’s drug costs after the legislation takes effect, the industry has been raising its prices at the fastest rate in years.

In the last year, the industry has raised the wholesale prices of brand-name prescription drugs by about 9 percent, according to industry analysts. That will add more than $10 billion to the nation’s drug bill, which is on track to exceed $300 billion this year. By at least one analysis, it is the highest annual rate of inflation for drug prices since 1992.

The drug trend is distinctly at odds with the direction of the Consumer Price Index, which has fallen by 1.3 percent in the last year.

Drug makers say they have valid business reasons for the price increases. Critics say the industry is trying to establish a higher price base before Congress passes legislation that tries to curb drug spending in coming years.

Former Vice President Al Gore’s global-warming speech Saturday night at Mizner Park drew about a thousand attendees, as well as more than 200 loud protesters.

Stationed outside the Mizner Park Amphitheater, the protesters jeered at Gore as he took the podium and at those walking into the open-air venue to listen to the speech.

“This is the most dangerous crisis we’ve ever faced,” Gore said of climate change. He spoke over a chorus of boos from protesters, who were monitored by at least a dozen uniformed city police officers.

Many of the protesters were with the groups Collegians for a Constructive Tomorrow and South Florida Tea Party, the latter of which feels that Gore’s views will eventually lead to increased taxes and flawed business legislation.

The protesters carried drums, bullhorns and posters. One read “Practice what you preach,” accusing Gore of not living a green lifestyle. Another poster read “The masses follow the asses,” depicting the protesters’ opinion that Gore’s message is not backed by scientific evidence.