Boston Globe writer Jeff Jacoby recently scribed an interesting column stating the case for the separation of employment and health care. While most of us have accepted this as an inevitable reality during our lifetimes, he says it simply stems from World War II wage controls that are no longer relevant:

With more than 90 percent of private healthcare plans in the United States obtained through employers, it might seem unnatural to get health insurance any other way. But what’s unnatural is the link between healthcare and employment. After all, we don’t rely on employers for auto, homeowners, or life insurance. Those policies we buy in an open market, where numerous insurers and agents compete for our business. Health insurance is different only because of an idiosyncrasy in the tax code dating back 60 years – a good example, to quote Milton Friedman, of how one bad government policy leads to another…

Unconstrained by consumer cost-consciousness, healthcare spending has soared, even as overall inflation has remained fairly low. Nevertheless, Americans know almost nothing about the costs of their medical care. (Quick quiz: What does your local hospital charge for an MRI scan? To deliver a baby? To set a broken arm?) When patients think someone else is paying most of their healthcare costs, they feel little pressure to learn what those costs actually are – and providers feel little pressure to compete on price. So prices keep rising, which makes insurance more expensive, which makes Americans ever-more worried about losing their insurance – and ever-more dependent on the benefits provided by their employer.We thus ended up with a healthcare system in which the vast majority of bills are covered by a third party. With someone else picking up the tab, Americans got used to consuming medical care without regard to price or value. After all, if it was covered by insurance, why not go to the emergency room for a simple sore throat? Why not get the name-brand drug instead of a generic?

In a recent web article from the Indiana Economic Development Corporation (IEDC), it seems many national news media and sources are looking at Indiana as a model for how to take care of business, so to speak:

National news broadcaster CNBC listed the Hoosier state as the “Most Improved State for Business” in its 2008 survey of states. Indiana ranked the best in the Midwest and third in the nation for Business Friendliness in the survey, the best in history for the state and far better than the rest of the industrial Midwest.

Forbes magazine also provided Indiana acclaim by rating the state’s business tax climate as the best in the Midwest and sixth lowest cost of doing business nationally in 2008.

Indiana’s low cost of doing business and tax-friendly environment scored accolades from a Chief Executive magazine survey of the nation’s top CEOs. The magazine’s fourth annual “Best & Worst States” survey polled 605 top executives in early 2008 who listed Indiana as the best place in the Midwest for business, scoring an eighth place national finish and edging out neighboring states by more than 15 places on the survey.

To view all of the rankings, read the piece on IEDC’s web site (PDF).

How are small business owners dealing with the latest financial crisis? How do they know if their bank is failing? What if they have a loan that is taken over by the FDIC or is acquired by a competitor? How could "Alf" speak English so well? You’re telling me the guy is from Melmac, eats cats and has the face of a bull terrier, yet he can pontificate like Oscar Wilde?

BusinessWeek responded to three of these pressing questions in a recent article focused on the impact the recent financial goings on have had on American small businesses. The article touches on the status and trends of banks, credit unions, loans and other information that could be useful to know:

While the financial crisis doesn’t necessarily affect the small business sector directly, economic pessimism and fears about winter fuel costs are likely to sap consumer confidence for some time. "Entrepreneurs should be mentally and financially prepared to hunker down in this economy for a couple of years," Thacker says. "The downturn that started a year ago could last another two Christmas seasons. I’m hoping its going to be less time than that, but people are worried."

Shameless plug: For those truly interested in helping their small business thrive, the Indiana Chamber offers Building a Business in Indiana. This publication, authored by attorneys at Bose McKinney & Evans LLP, walks new business owners through myriad trials and issues regarding a new business — things like protecting your company, taking advantage of the available tax credits and grants, legal obligations to employees, tax status and much more.

The Thomas B. Fordham Institute recently posted a very worthwhile editorial from Barbara Davidson,  president of StandardsWork, Inc.

In the editorial, Davidson takes the collective American educational system to task for what she feels is an alarming disregard for history:

Every week, it seems, another study highlights how little knowledge our young people possess about history, civics and geography. Earlier this year, Common Core found that half of the 17 year olds polled didn’t know whom Senator McCarthy investigated or what the Renaissance was, while the Bradley Foundation told us that most eighth graders couldn’t explain the purpose of the Declaration of Independence. The list goes on. In 2006, National Geographic revealed that nearly two-thirds of 18-24 year olds could not identify Iraq on a map of Asia, and fully 88 percent could not find Afghanistan — apparently refuting Ambrose Bierce’s suggestion that "War is God’s way of teaching Americans geography." 

As someone approaching 30, I can honestly say that, despite the fact that I had some incredible teachers at my high school and occasionally in college (both public schools), my knowledge of history was painfully lacking. And I think it was more an indictment of the curriculum, rather than the actual educators. What’s more, after college, I soon realized what I thought I had learned in my political science classes in college had been presented with more than a little bias. Most of what I know of history has been read from books in the last eight years or so, and I’m still wanting for information — if my answers to "Jeopardy" questions are any indication. (Apparently, Noam Chomsky was NOT Cliff Clavin’s best friend on "Cheers.")

Anyway, it’s nice to see David McCullough was also referenced in this editorial:

During Congressional testimony in 2006, historian David McCullough described how human beings have a natural interest in history and find it to be a source of pleasure. He went on to say that "to deny our children that pleasure is to deny them a means of extending and enlarging the experience of being alive."

McCullough’s book, "John Adams," was recently made into a highly-acclaimed miniseries by HBO (which I thoroughly enjoyed).

So kudos to Davidson for her eye-opening piece on the lack of social studies in American schools.

And let us not forget the past, remembering the words of George Santayana: "A country without a memory is a country of madmen."

Brilliant words from the man who once graced us with such efforts as "Oye Como Va" and "Black Magic Woman."

The Economic Club of Indiana has a who’s who of community volunteers who take their role and the fortunes of the Club most seriously. We can be thankful that’s the case.

While the history of the Club is intriguing, this season’s lineup of speakers is a blockbuster. There were early signs that Eli Lilly chief John Lechleiter was going to use his opening address to tackle a large topic — the company’s future. He did. WFYI has the archived speech.

Coming up: political commentator William Kristol (agree or not with his philosophies, he is an equal-opportunity criticizer) on October 27 (that’s eight days before the election) and Federal Reserve Bank of Chicago President and CEO Charles Evans on November 21. Do you think he’ll have anything to talk about?

Sounds like a good way to spend 90 minutes at lunch time.

Indiana Business for Responsive Government (IBRG) continues to support Randy Truitt in the House District 26 open seat by producing and purchasing a TV spot. This is one of the most hotly contested races this election cycle and this contest has been high on our target list even before the retiring incumbent announced that he was not seeking re-election.

Having spent significant time with Randy over several different days this year and having spent time interviewing and campaigning for hundreds of candidates, I can tell you that Randy is one of the best candidates I have come across. He has a strong understanding of issues, a strong conviction on those issues and has the personality necessary to energize voters in Tippecanoe and Warren Counties. Simply put, the Indiana General Assembly needs people like Randy Truitt.

The contrast between the two candidates in HD26 is considerable. As an entrepreneur and small business owner who has strong community ties, Randy Truitt is clearly the only candidate who strongly supports the legislative agenda of the Indiana Chamber.

Here is the TV spot:

To view the complete list of IBRG-endorsed candidates, visit its web site.

The Indiana Chamber has been filling this business advocacy role for a long time — officially since 1922 and for a couple of decades before that. Dealing with political figures has always been a part of the mix, particularly at election time since 1986 with the creation of the Indiana Business for Responsive Government political action committee and its active status in General Assembly races.

So, a first-ever endorsement for governor is a big deal. Mitch Daniels earned that distinction today because of his "record of accomplishment, particularly in the areas of job creation, innovation and sound financial management."

Andre Lacy, Chamber chairman of the board of directors for 2008, offers that it’s all Hoosiers who will benefit from four more years: "A job allows employees to pay their mortgage, send their children to school and take care of their families. That’s why keeping a positive economic climate for business is so vital."

Read the full release here.

Note: Research shows we made an "unofficial" endorsement in 1972 when the Chamber wrote a letter to its members touting the excellent qualifications of both candidates — Democrat Matt Welsh and eventual winner Otis Bowen.