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What Wisconsin Democrats Can Teach Washington Democrats

Consider the contrast between two groups of Democrats, in Wisconsin and in the nation’s capital.

Washington Democrats, including President Obama, have allowed conservative Republicans to dominate the budget debate so far. As long as the argument is over who will cut more from federal spending, conservatives win. Voters may think the GOP is going too far, but when it comes to dollar amounts, they know Republicans will always cut more.

In Wisconsin, by contrast, 14 Democrats in the state Senate defined the political argument on their own terms – and they are winning it.

By leaving Madison rather than providing a quorum to pass Gov. Scott Walker’s assault on collective bargaining for public employees, the Wisconsin 14 took a big risk. Yet to the surprise of establishment politicians, voters have sided with the itinerant senators and the unions against a Republican governor who has been successfully portrayed as an inflexible ideologue. And in using questionable tactics to force the antiunion provision through the Senate on Wednesday, Republicans may win a procedural round but lose further ground in public opinion.

Here’s the key to the Wisconsin battle: For the first time in a long time, blue-collar Republicans – once known as Reagan Democrats – have been encouraged to remember what they think is wrong with conservative ideology. Working-class voters, including many Republicans, want no part of Walker’s war.

A nationwide Pew Research Center survey released last week, for example, showed Americans siding with the unions over Walker by a margin of 42 percent to 31 percent. Walker’s 31 percent was well below the GOP’s typical base vote because 17 percent of self-described Republicans picked the unions over their party’s governor.

At my request, Pew broke the numbers down by education and income and, sure enough, Walker won support from fewer than half of Republicans in two overlapping groups: those with incomes under $50,000 and those who did not attend college. Walker’s strongest support came from the wealthier and those with college educations, i.e., country club Republicans.

Republicans cannot afford to hemorrhage blue-collar voters. In a seminal article in the Weekly Standard six years ago, conservative writers Reihan Salam and Ross Douthat observed: “This is the Republican Party of today – an increasingly working-class party, dependent for its power on supermajorities of the white working-class vote, and a party whose constituents are surprisingly comfortable with bad-but-popular liberal ideas like raising the minimum wage, expanding clumsy environmental regulations, or hiking taxes on the wealthy to fund a health care entitlement.”

Put aside that I favor the policies Douthat and Salam criticize. Their electoral point is dead on. In 2010, working-class whites gave Republicans a 30-point lead over Democrats in House races. That’s why the Wisconsin fight is so dangerous to the conservative cause: Many working-class Republicans still have warm feelings toward unions, and Walker has contrived to remind them of this.

Which brings us to the Washington Democrats. Up to now, the only thing clear about the budget fight is that Democrats want to cut less from discretionary spending than Republicans do. Quietly, many Democrats acknowledge that they have been losing this argument.

Thus the importance of a speech on Wednesday by Sen. Charles E. Schumer, a New York Democrat, intended to “reset the debate.” As Schumer noted, the current battle, focused on “one tiny portion of the budget,” evades the real causes of long-term budget deficits.

Schumer dared to put new revenue on the table – including some tax increases that are popular among the sorts of blue-collar voters who are turning against Walker. Schumer, for example, spoke of Obama’s proposal to end subsidies for oil and gas companies and for higher taxes on “millionaires and billionaires.” Yes, closing the deficit will require more revenue over the long run. But right now, the debate with the House isn’t focusing on revenue at all.

Schumer, who spoke at the Center for American Progress, also suggested cuts to agriculture subsidies and in unnecessary defense programs. He proposed changes in Medicare and Medicaid incentives that would save money, including reform of how both programs pay for prescription drugs. The broad debate Schumer called for would be a big improvement on the current petty argument, which he rightly described as “quicksand.”

To this point, Washington Democrats have been too afraid and divided to engage compellingly on the fundamentals of what government is there to do and how the burdens of deficit reduction should be apportioned. Wisconsin Democrats have shown that the only way to win arguments is to take risks on behalf of what you believe. Are Washington Democrats prepared to learn this lesson?

By: E. J. Dionne, Op-Ed Colunist, The Washington Post, March 10, 2011

March 10, 2011 Posted by | Class Warfare, Congress, Deficits, Democrats, Federal Budget, GOP, Middle Class, Politics, Unions | , , , , , , , , , , , , | Leave a comment

The “Have-Nots” Sink While The “Haves” Smirk

The “race to the bottom” used to refer to the competition with low-cost foreign labor that threatened to undermine the wages of U.S. workers struggling in the same industries.

Now it refers to the competition between private- and public-sector workers to see who can become poorer faster.

In essence, that’s what the fight in Wisconsin is about. It’s also what last weekend’s Niagara Square rally with 250 union supporters was about.

But who’s going to foot the bill for the standard of living they want to protect? Middle-class taxpayers are tapped out. Wisconsin Gov. Scott Walker made that point, as did Gov. Andrew Cuomo when calling New York “functionally bankrupt.”

In other words, the money is gone.

But as private-sector workers turn on public employees, and non-union workers castigate their unionized brethren, the internecine warfare distracts from a more fundamental question: Where did the money go?

In a nutshell, it went up. Not in smoke, though it could have, as far as the middle class is concerned. Rather, it went to the top of the economic pyramid.

A Center on Budget and Policy Priorities review last year found that the gap between the top 1 percent and those in the middle and at the bottom “more than tripled between 1979 and 2007.” (If the wealthy lost any relative ground during the Great Recession, they’ve more than made up for it during the recovery.)

Similarly, the Economic Policy Institute — in its State of Working America report last month — found that average annual income growth from 2000 to 2007 went entirely to those in the top 10 percent, while “income for the bottom 90 percent actually declined.”

And what of those government workers lavishly compensated with our tax dollars?

A review by the center last week found that, when controlling for education, job tenure and other variables, “public workers are paid 4 to 11 percent less than private-sector workers.” A separate study by the institute found that state and local government workers make $2,001 less on average, even when benefits are included.

Yet the fight rages on among those in the middle of the pyramid.

Meanwhile, in its annual Executive Excess report, the Institute for Policy Studies calculated that CEOs of major firms made 263 times the average compensation of American workers in 2009.

SEIU Local 1199 Vice President Todd Hobler, who was at the Niagara Square rally, says such inequity gets accepted because the media suggest “that the goal of all people is to become rich, and that those who have fortunes deserve it and have earned it.”

But are corporate bosses 263 times smarter than you are? Do they work 263 times harder?

Yet despite the reams of data, the issue of inequity gets little traction in this country. Republicans philosophically don’t believe in greater income equality unless it occurs by accident, while Democrats have no beliefs at all that they’re willing to fight for.

The result is that anyone who mentions the income gap is accused of “class warfare,” which brings to mind a quote by billionaire Warren Buffett, whose Berkshire Hathaway owns The Buffalo News, that “my class is winning.”

But apparently working-class Americans are OK with that. We’ll dump teachers, close libraries and let parks go to seed because we can’t afford to pay more. Yet we’ll never ask, “Who can?” That’s not what we do.

Washington extended the Bush tax cuts for the top 2 percent; New York will let its surtax on millionaires expire. Both capitals are responding to working-class voters who apparently don’t want to “redistribute” wealth and are satisfied fighting one another for the scraps.

After all, we’re not Tunisians. We’re not Egyptians.

We’re Americans.

By:  Rod Watson, News Columnist-BuffaloNews.com, March 3, 2011

March 7, 2011 Posted by | Class Warfare, Income Gap, Middle Class | , , , , , , , , , | Leave a comment