Meanwhile…Washington’s Budget Folly
The Senate on Wednesday voted down the House budget bill, with its string of $61 billion in mostly political cuts through Sept. 30. That formally puts an end to the House’s grandstand play. But the Senate also rejected its Democratic leaders’ own plan to cut $6.5 billion. The government’s financing is due to run out in eight days. To prevent a shutdown, the two chambers will probably have to agree to yet another short-term financing bill.
That would be politically and fiscally irresponsible. But the House Republicans will be happy to agree, as long as Democrats agree to a vigorish of $2 billion a week in cuts to vital government programs.
Unless the White House and Democratic lawmakers start pushing back a lot harder — and do a better job of explaining the disastrous effects on the economy and everyday life — the Republicans will win the argument. If it keeps going on this way, they will get the $61 billion they demanded.
The White House again threatened on Wednesday to veto the House bill, and said it supported the Democratic bill that did not even draw a simple majority. It has been hosting what appear to be unproductive talks among legislative leaders; Vice President Joseph Biden Jr., who is nominally in charge of the talks, is now visiting Eastern Europe and tried to mediate by telephone.
President Obama has yet to take a firm public stand and make clear his bargaining limits and priorities. Understandably, he does not want the government to shut down and is hoping that quiet negotiations will produce better results than loud declarations of principle. But there is no sign that the House freshmen have an interest in compromise, or that Representative John Boehner, the House speaker, has any control of his caucus.
A brief shutdown, painful as it would be, would be far less damaging than a sudden withdrawal of tens of billions in government spending from the economy, which would lead to widespread layoffs.
Mr. Obama could well follow the example of Senator Charles Schumer of New York, the third-ranking Democrat in the Senate, who on Wednesday called for a “re-set” of the negotiating process. The only way to have a meaningful discussion of the budget, he said in a speech, is to consider all of its parts at once over the long term, not for a few weeks or months at a time. That includes all the issues the Republicans wouldn’t deal with in their bill: cuts to the entitlement programs and to the Pentagon budget and ways to raise revenues at the same time.
The Republicans, as Mr. Schumer noted, aren’t really interested in lowering the deficit. If they were, they would never have insisted on $800 billion in tax cuts for the wealthy without paying for them, or on repealing the health care law, which saves $230 billion over a decade.
They are only interested in slashing government, no matter the cost to the country. It is time for the president — and responsible Congressional leaders of both parties — to reject their tactics and their goal.
By: Editorial, The New York Times, March 9, 2011
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
Speaking Of The Federal Government, “Why Wouldn’t The Tea Party Shut It Down?”
No one remembers anything in America, especially in Washington, so the history of the Great Government Shutdown of 1995 is being rewritten with impunity by Republicans flirting with a Great Government Shutdown of 2011. The bottom line of the revisionist spin is this: that 2011 is no 1995. Should the unthinkable occur on some coming budget D-Day — or perhaps when the deadline to raise the federal debt ceiling arrives this spring — the G.O.P. is cocksure that it can pin the debacle on the Democrats.
In the right’s echo chamber, voters are seen as so fed up with deficits that they’ll put principle over temporary inconveniences — like, say, a halt in processing new Social Security applicants or veterans’ benefit checks. Who needs coddled government workers to deal with those minutiae anyway? As Mike Huckabee has cheerfully pointed out, many more federal services are automated now than in the olden days of the late 20th century. Phone trees don’t demand pensions.
Remarkably (or not) much of the Beltway press has bought the line that comparisons between then and now are superficial. Sure, Bill Clinton, like Barack Obama, was bruised by his first midterms, with his party losing the House to right-wing revolutionaries hawking the Contract With America, a Tea Party ur-text demanding balanced budgets. But after that, we’re instructed, the narratives diverge. John Boehner is no bomb-throwing diva like Newt Gingrich, whose petulant behavior inspired the famous headline “Cry Baby” in The Daily News. A crier — well, yes — but Boehner’s too conventional a conservative to foment a reckless shutdown. Obama, prone to hanging back from Congressional donnybrooks, bears scant resemblance to the hands-on Clinton, who clamored to get into the ring with Newt.
Those propagating the 2011-is-not-1995 line also assume that somehow Boehner will prevent the new G.O.P. insurgents from bringing down the government they want to bring down. But if Gingrich couldn’t control his hard-line freshman class of 73 members in 1995 — he jokingly referred to them then as “a third party” — it’s hard to imagine how the kinder, gentler Boehner will control his 87 freshmen, many of them lacking government or legislative experience, let alone the gene for compromise. In the new Congress’s short history, the new speaker has already had trouble controlling his caucus. On Friday Gingrich made Boehner’s task harder by writing a Washington Post op-ed plea that the G.O.P. stick to its guns.
The 2011 rebels are to the right of their 1995 antecedents in any case. That’s why this battle, ostensibly over the deficit, is so much larger than the sum of its line-item parts. The highest priority of America’s current political radicals is not to balance government budgets but to wage ideological warfare in Washington and state capitals alike. The relatively few dollars that would be saved by the proposed slashing of federal spending on Planned Parenthood and Head Start don’t dent the deficit; the cuts merely savage programs the right abhors. In Wisconsin, where state workers capitulated to Gov. Scott Walker’s demands for financial concessions, the radical Republicans’ only remaining task is to destroy labor’s right to collective bargaining.
That’s not to say there is no fiscal mission in the right’s agenda, both nationally and locally — only that the mission has nothing to do with deficit reduction. The real goal is to reward the G.O.P.’s wealthiest patrons by crippling what remains of organized labor, by wrecking the government agencies charged with regulating and policing corporations, and, as always, by rewarding the wealthiest with more tax breaks. The bankrupt moral equation codified in the Bush era — that tax cuts tilted to the highest bracket were a higher priority even than paying for two wars — is now a given. The once-bedrock American values of shared sacrifice and equal economic opportunity have been overrun.
In this bigger picture, the Wisconsin governor’s fawning 20-minute phone conversation with a prankster impersonating the oil billionaire David Koch last week, while entertaining, is merely a footnote. The Koch Industries political action committee did contribute to Walker’s campaign (some $43,000) and did help underwrite Tea Party ads and demonstrations in Madison. But this governor is merely a petty-cash item on the Koch ledger — as befits the limited favors he can offer Koch’s mammoth, sprawling, Kansas-based industrial interests.
Look to Washington for the bigger story. As The Los Angeles Times recently reported, Koch Industries and its employees form the largest bloc of oil and gas industry donors to members of the new House Energy and Commerce Committee, topping even Exxon Mobil. And what do they get for that largess? As a down payment, the House budget bill not only reduces financing for the Environmental Protection Agency but also prohibits its regulation of greenhouse gases.
Here again, the dollars that will be saved are minute in terms of the federal deficit, but the payoff to Koch interests from a weakened E.P.A. is priceless. The same dynamic is at play in the House’s reduced spending for the Securities and Exchange Commission, the Internal Revenue Service. and the Commodities Futures Trading Commission (charged with regulation of the esoteric Wall Street derivatives that greased the financial crisis). The reduction in the deficit will be minimal, but the bottom lines for the Kochs and their peers, especially on Wall Street, will swell.
These special interests will stay in the closet next week when the Tea Partiers in the House argue (as the Gingrich cohort once did) that their only agenda is old-fashioned fiscal prudence. The G.O.P. is also banking on the presumption that Obama will bide his time too long, as he did in the protracted health care and tax-cut melees, and allow the Fox News megaphone, not yet in place in ’95, to frame the debate. Listening to the right’s incessant propaganda, you’d never know that the latest Pew survey found that Americans want to increase, not decrease, most areas of federal spending — and by large margins in the cases of health care and education.
The G.O.P. leadership faced those same headwinds from voters in ’95. As Boehner, then on the Gingrich team, told The Times in a January 1996 post-mortem, the G.O.P. had tested the notion of talking about “balancing the budget and Medicare in the same sentence” and discovered it would bring “big trouble.” Gingrich’s solution, he told The Times then, was simple: “We learned that if you talked about ‘preserving’ and ‘protecting’ Medicare, it worked.” Which it did until it didn’t — at which point the Gingrich revolution imploded.
Rather hilariously, the Republicans’ political gurus still believe that Gingrich’s ruse can work. In a manifesto titled “How the G.O.P. Can Win the Budget Battle” published in The Wall Street Journal last week, Fred Barnes of Fox News put it this way: “Bragging about painful but necessary cuts to Medicare scares people. Stressing the goal of saving Medicare won’t.” But the G.O.P. is trotting out one new political strategy this time. Current House leaders, mindful that their ’95 counterparts’ bravado backfired, constantly reiterate that they are “not looking for a government shutdown,” as Paul Ryan puts it. They seem to believe that if they repeat this locution often enough it will inoculate them from blame should a shutdown happen anyway — when, presumably, they are not looking.
Maybe, but no less an authority than Dick Armey, these days a leading Tea Party operative, thinks otherwise. Back in ’95, as a Gingrich deputy, he had been more bellicose than most in threatening a shutdown, as Bill Clinton recounts in his memoirs. But in 2006, Armey told a different story when reminiscing to an interviewer, Ryan Sager: “Newt’s position was, presidents get blamed for shutdowns, and he cited Ronald Reagan. My position was, Republicans get blamed for shutdowns. I argued that it is counterintuitive to the average American to think that the Democrat wants to shut down the government. They’re the advocates of the government. It is perfectly logical to them that Republicans would shut it down, because we’re seen as antithetical to government.”
Armey’s logic is perfect indeed, but logic is not the rage among his ideological compatriots this year. Otherwise, the Tea Party radicals might have figured out the single biggest difference between 1995 and 2011 — the state of the economy. Last time around, America was more or less humming along with an unemployment rate of 5.6 percent. This time we are still digging out of the worst financial disaster since the Great Depression, with an unemployment rate of 9 percent and oil prices on the rise. To even toy with shutting down the government in this uncertain climate is to risk destabilizing the nascent recovery, with those in need of the government safety net (including 43 million Americans on food stamps) doing most of the suffering.
Not that the gravity of this moment will necessarily stop the right from using the same playbook as last time. Still heady with hubris from the midterms — and having persuaded themselves that Gingrich’s 1995 history can’t possibly repeat itself — radical Republicans are convinced that deficit-addled voters are on their side no matter what. The president, meanwhile, is playing his cards close to his vest. Let’s hope he knows that he, not the speaker, is the player holding a full house, and that he will tell the country in no uncertain terms that much more than money is on the table.
By: Frank Rich, Op-Ed Columnist-The New York Times, Originally Published 2/26/11
The Games People Play: How Boehner Is Playing The Democrats
Richard Nixon espoused what he called “the madman theory.” It’s a negotiating approach that induces the other side to believe you are capable of dangerously irrational actions and leads it to back down to avoid the wreckage your rage might let loose.
House Republicans are pursuing their own madman theory in budget negotiations, with a clever twist: Speaker John Boehner is casting himself as the reasonable man fully prepared to reach a deal to avoid a government shutdown. But he also has to satisfy a band of “wild-eyed bomb-throwing freshmen,” as he characterized new House members in a Wall Street Journal interview last week by way of comparing them fondly to his younger self.
Thus are negotiators for President Obama and Senate Democrats forced to deal not only with Republican leaders in the room but also with a menacing specter outside its confines. As “responsible” public officials, Democrats are asked to make additional concessions just to keep the bomb-throwers at bay.
This is the perverse genius of what the House Republicans are up to: Nobody really thinks that anything like their $57 billion in remaining proposed budget cuts can pass. It’s unlikely that all of their own members are confident about all of the cuts they have voted for. But by taking such a large collection of programs hostage, the GOP can be quite certain to win many more fights than it would if each reduction were considered separately.
Begin with the outrageous $1.1 billion, 15 percent cut from Head Start, a program that offers preschool education to roughly 965,000 poor children. According to the Center for Law and Social Policy, this would knock 218,000 kids out of Head Start and force 16,000 classrooms to close.
That is an excellent way to lose the future, as Obama ought to be saying. What could be a better use of public money than helping our poorest children early in life so they might achieve more in school, and later?
And for those who say that Head Start is not as good as it should be, the administration announced plans in September to require lower-performing Head Start programs to compete against other entities for continued funding. Isn’t this the sort of competition conservatives say they’re for?
Given what science has shown about the importance of a child’s first years, we need better and broader early childhood programs. Slashing them can only cause harm – to parents, to children and to the country.
Then there are the cuts at the other end of the education continuum. The House budget would reduce the maximum Pell Grant, which helps needy kids go to college, by $845, from $5,550 available now. According to Mark Kantrowitz, who publishes the FinAid Web site that gives financial-aid advice, 1.7 million low-income students would lose eligibility for Pell Grants, almost a fifth of current recipients. Is that what Americans voted for last November?
But here is where the Republicans’ strategy works so brilliantly. Let’s assume that neither the administration nor Senate Democrats – even the most timid among them – can allow the Head Start or Pell Grant cuts to go through. That still leaves a lot of other truly worthy programs to be defended. By heaping cut upon cut, Republicans get advocates of each particular cause fighting among themselves.
And with so many reductions on the table, voters who would actually oppose most of them if they knew the details don’t get to hear much about any individual item because the media concentrate almost entirely on the partisan drama of the shutdown fight, not the particulars.
You can also imagine the argument from those Democrats petrified of their own shadows. “Well,” say the scaredy-cats, “we have to save Pell Grants and Head Start, so why don’t we give House Republicans what they want on the National Endowment for the Arts – or their cuts in foreign aid, the Centers for Disease Control and Prevention, medical research, the Women Infants and Children program, meals-on-wheels or mine safety inspections? I mean, we have to give them something, or those crazies will shut down the government, and we might get blamed.”
Boehner can just sit back and smile benignly as Democrats battle over which concessions they should give him. When the negotiating gets tough, he can sadly warn that his freshmen need more because he can’t guarantee what they’ll do. The perpetually tanned one is a shrewd dude. Democrats who underestimate him will be playing into his hands.
By: E. J. Dionne, Op-Ed Columnist, The Washington Post, March 7, 2011
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