The Flim-Flam Party

David Leonhardt had an interesting column on fiscal responsibility recently in the  New York Times.

“Fiscal responsibility” is one of those terms the applicability of which depends upon its definition. (I define “fiscally responsible’ as paying as you go, so putting a new government program or a war on the national credit card in order to keep current tax rates low wouldn’t qualify.) Conventional wisdom is that Republican administrations have been more fiscally-responsible than Democratic ones. Leonhardt questions–and debunks–that belief.

By now, nobody should be surprised when the Republican Party violates its claims of fiscal rectitude. Increasing the deficit — through big tax cuts, mostly for the rich — has been the defining feature of the party’s economic policy for decades. When Paul Ryan and other Republicans call themselves fiscal conservatives, they’re basically doing a version of the old Marx Brothers bit: “Who ya gonna believe, me or your own eyes?”

Ever so slowly, conventional wisdom has started to recognize this reality. After Ryan’s retirement announcement last week, only a few headlines called him a deficit hawk. People are catching on to the con.

But there is still a major way that the conventional wisdom is wrong: It doesn’t give the Democratic Party enough credit for its actual fiscal conservatism.

Aided by charts illustrating his thesis, Leonhardt points out that, at least for the last several decades, Democratic administrations have reduced the deficit, while Republican administrations have grown them. Democrats have done that by raising taxes, by cutting military spending and by reducing corporate welfare.

Some of them have even tried to hold down the cost of cherished social programs. Obamacare, for example, included enough cost controls and tax increases that it’s cut the deficit on net….Get this: Since 1977, the three presidential administrations that have overseen the deficit increases are the three Republican ones. President Trump’s tax cut is virtually assured to make him the fourth of four. And the three administrations that have overseen deficit reductions are the three Democratic ones, including a small decline under Barack Obama. If you want to know whether a post-1976 president increased or reduced the deficit, the only thing you need to know is his party.

So why is it that the “conventional wisdom” does not reflect this reality? Leonhardt faults  journalists’ devotion to the idea of “balance,” and their ingrained belief in (false) equivalence. There is a hard-to-dislodge conviction that–whatever the misbehavior–both parties must be equally guilty.

I’ve spent 25 years as a journalist and have repeatedly seen the discomfort that journalists feel about proclaiming one political party to be more successful than the other on virtually any substantive issue. We journalists are much more comfortable holding up the imperfections of each and casting ourselves as the sophisticated skeptic.

As he concludes,

The caveat, of course, is that presidents must work with Congress. Some of the most important deficit-reduction packages have been bipartisan. The elder George Bush, in particular, deserves credit for his courage to raise taxes. Some of the biggest deficit-ballooning laws, like George W. Bush’s Medicare expansion, have also been bipartisan. In fact, the Democrats’ biggest recent deficit sins have come when they are in the minority, and have enough power only to make an already expensive Republican bill more so. The budget Trump signed last month is the latest example.

So it would certainly be false to claim that Democrats are perfect fiscal stewards and that Republicans are all profligates. Yet it’s just as false to claim that the parties aren’t fundamentally different. One party has now spent almost 40 years cutting taxes and expanding government programs without paying for them. The other party has raised taxes and usually been careful to pay for its new programs.

It’s a fascinating story — all the more so because it does not fit preconceptions. I understand why the story makes many people uncomfortable. It makes me a little uncomfortable. But it’s the truth.

Truth, of course, hasn’t been faring so well in our post-fact, “fake news” world….

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Dayenu

Dayenu is a song sung during the Passover Seder–the Jewish celebration of the ancient exodus from Egypt. The lyrics acknowledge the miracles God is said to have performed on behalf of those escaping servitude, and each miracle is followed by “Dayenu”–meaning, it would have been enough.

So “If He had brought us out from Egypt, and had not carried out judgments against them— Dayenu, it would have been enough!

“If He had carried out judgments against them, and not against their idols”— Dayenu, it would have been enough!

The song goes on in that fashion for numerous stanzas. What brought it to mind was an especially annoying element of the current infighting among Democrats. (Bear with me.)

I frequently see angry posts from liberals, decrying what they see as a lack of a compelling  Democratic Party message going into the midterm elections. Comments posted to this blog and elsewhere are harshly critical of both major political parties; there are frequent assertions that there is little difference between them or between the oligarchs that control both. Some of the criticism is misplaced, but some of it is fair.

Here in Indiana,  where Democratic Senator Joe Donnelly is up for re-election, his less-than-liberal positions also come in for considerable criticism, and–at least from my perspective– much of that criticism is deserved.

Here’s the problem: These negative analyses of Donnelly and the Democrats are frequently accompanied by pledges to refrain from voting for either. The authors of these pledges are simply too pure to cast their votes for flawed, imperfect candidates of a flawed, imperfect political party. They  argue that “it isn’t enough just to be against Trump and his GOP enablers.”

They’re wrong.

Dayenu.  Right now, it is enough.

As Robert Reich recently reminded us,

Not so fast. Remember what happened in 2016, when Libertarian Gary Johnson got 3.2 percent of the popular vote and Green Party candidate Jill Stein got 1.06 percent. Enough votes that, had they gone to Hillary Clinton, she’d have won the Electoral College, and Donald Trump wouldn’t be in the White House.

 Oh, and anyone remember what happened in 2000, when the votes that went to Ralph Nader all but sealed the fate of Al Gore, and gave us George W. Bush.

You see the problem? In a winner-take-all system like ours, votes for third party candidates siphon away votes from the major party candidate whose views are closest to that third-party candidate. So by not voting for the lesser of two evils, if that’s what you want to call them, you end up with the worse of two evils.

Voters who are unhappy with their choices do have options: we can work through our chosen parties to effect change; we can support better candidates in the primaries. We can work for better campaign finance laws, an end to gerrymandering, and other systemic changes that will make it harder for special interests to buy/bribe lawmakers.

Of course, doing those things requires considerable time and effort. It also requires working within a system that is far from perfect or even admirable.( Politics is, after all, the art of the possible.) Purists prefer making the perfect the enemy of the good.

I will vote a straight Democratic ticket in November. That includes voting for Joe Donnelly. Is he my ideal Senator? No. Is he a far better choice that any of the Republicans running in the May primary for the right to oppose him? Absolutely. Is his re-election essential to a Democratic takeover of the Senate? Yes. Is a Democratic takeover of the Senate necessary to stop the refashioning of the federal judiciary and the steady confirmation of extremist, rightwing judges? Yes.

Will a “blue wave” in November bring us a perfect government? Hell no. But it will give us some desperately-needed breathing room–the time we need to fight for a better, fairer, more inclusive America. A wave will allow us to overturn the most egregious and harmful measures imposed by the Trump Kakistocracy. It will allow us to begin what will be a long and arduous process of restoring American civility, sanity and the rule of law.

DAYENU–that will be enough.

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The Call Of Moral Duty

I empathize with Michael Gerson, George W. Bush’s former speechwriter who is now a columnist for the Washington Post. Closer to home, I’m sympathetic to conservative blogger Paul Ogden. Despite significant policy disagreements with them, I respect these longtime conservatives, because they are two of the few–very few–who have remained intellectually honest during the Trumpification of the GOP.

People like these remind us that there is an intellectually respectable conservative philosophy, and that its basic tenets haven’t changed even if the party that used to espouse them has.

In a recent column for the Post, Gerson confronts the conflict between political philosophy and a desire to exercise power.

Is it time for anti-Trump conservatives to recognize that they have lost the political and policy battle within the GOP and to accommodate themselves as best they can to an uncomfortable reality?

This is the argument of the Ethics and Public Policy Center’s Henry Olsen, one of the most thoughtful political analysts on the right. On issues such as trade, immigration and the Muslim travel ban, he argues, Republican critics of President Trump are dramatically “out of step with conservative[s].”

As Gerson sees it, this is a call to put aside differences on some policies in order to work together on the implementation of other goals upon which there is broad agreement within the conservative movement. In the abstract, that’s normal political realism; even within a particular faction of the same party, policy differences will exist and need to be negotiated.

As Gerson recognizes, however, these aren’t normal times.

If Trump were merely proposing a border wall and the more aggressive employment of tariffs, we would be engaged in a debate, not facing a schism. Both President Ronald Reagan and President George W. Bush played the tariff chess game. As a Republican presidential candidate, Mitt Romney endorsed the massive “self-deportation” of undocumented workers without the rise of a #NeverRomney movement.

But it is blind, even obtuse, to place Trumpism in the same category. Trump’s policy proposals — the details of which Trump himself seems unconcerned and uninformed about — are symbolic expressions of a certain approach to politics. The stated purpose of Trump’s border wall is to keep out a contagion of Mexican rapists and murderers. His argument is not taken from Heritage Foundation policy papers. He makes it by quoting the racist poem “The Snake,” which compares migrants to dangerous vermin. Trump proposes to ban migration from some Muslim-majority countries because Muslim refugees, as he sees it, are a Trojan-horse threat of terrorism. Trump’s policy ideas are incidental to his message of dehumanization.

So how do we split the political difference on this one? Shall we talk about Mexican migrants as rapists on every other day? Shall we provide rhetorical cover for alt-right bigots only on special occasions, such as after a racist rally and murder?

Gerson continues his analysis: Republicans criticize media bias, but Trump is trying to delegitimize criticism as “fake news” and mainstream journalists as “enemies of the people.”  Politicians being investigated can be expected to push back, but Trump is trying to discredit all federal law enforcement and he deliberately cultivates citizen distrust of a mythical“deep state.”

We have seen similar damage in the realm of values and norms. In the cultivation of anger and tribalism. In the use of language to inflame and demean. In the destruction of a common factual basis for politics, making policy compromise of the kind Olsen favors impossible.

As Gerson says, these choices are not a dialectic requiring synthesis. They’re alternatives demanding a choice. Instead of capitulating to the party’s white nationalists in hopes of policy victories and partisan dominance, Gerson counsels elected leaders to “remind Americans who they are and affirm our common bonds,” and to work for an

agenda of working-class uplift, not an agenda of white resentment — which will consign Republicans to moral squalor and (eventually) to electoral irrelevance. For principled conservatives to hear the call of moral duty and stand up for their beliefs until this madness passes. As it will.

People join political parties for all sorts of reasons. Both parties are mixtures of policy wonks, rigid ideologues and political theorists along with rank and file folks influenced by their parents, co-workers or friends.

Trumpism confronts the dwindling number of intellectually-honest Republicans with a difficult choice: whether to swallow hard and continue to be obedient soldiers in a debased, white nationalist GOP, or remain true to the conservative philosophy that led them to join the party in the first place, even at the cost of antagonizing old friends.

The call of moral duty is clear.

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Random Thoughts About The Ryan Announcement

I was on the treadmill (ugh!) watching the news, when it was announced that Paul Ryan would not seek re-election.

Virtually all the talking heads, including former Indiana Senator Evan Bayh, prefaced their reactions by noting that Ryan was a “policy wonk” who understood the economy.

Bullfeathers.

As Paul Krugman (whose Nobel Prize was in economics) has repeatedly pointed out, Ryan is an ideologue. A genuine policy wonk would adjust his economic prescriptions in the face of evidence they didn’t work; Ryan’s tax “reform” was a bigger version of the policies that have proved so disastrous in Kansas and Oklahoma. Rather than learn from those lessons, he doubled down. (It reminded me of the old communist sympathizers who explained that a communist system really would work–that Stalin just hadn’t done it right.)

It’s possible, of course, that Ryan isn’t a “true believer”–that his his tax “reform” was a return on his donors’ investment, and he’s not sticking around to suffer what he realizes will be the political consequences.

A couple of commentators reported that–despite all indications that his spine had simply been removed–behind the scenes, Ryan was critical of Trump and had been a restraining influence on our dangerous President. Color me skeptical; however, the remainder of Ryan’s term will offer an ideal test of that thesis. Since Ryan won’t be running again, he’s free to add his voice to those of the other GOP Trump critics (none of whom are running again).

If I were a betting woman, I wouldn’t risk my money on the likelihood of a Ryan eruption of moral outrage or defense of the rule of law.

In all fairness, Ryan didn’t want the job as Speaker, and for good reason. Thanks to the very successful national Republican gerrymander in 2011, the party won seats well in excess of its votes, but a significant number of those elected from districts that had been designed to be deep red were extremists determined to hew to a Tea Party/White Nationalist vision of America (and not so incidentally, intent upon forestalling primary challenges by candidates even farther to the right.) Estimates are that there are some 80+ members of the GOP’s “lunatic caucus” –and they feel no need to listen to the party’s leadership, which they scorn as the “establishment.” Herding cats would be simple by comparison.

Those of us who detest Trump and the feckless Republicans in Congress who have utterly failed to constrain him are tempted to cheer Ryan’s announcement. And I am certainly encouraged by its implications; without Ryan (not to mention the other 26+/- Republicans heading for the door) , it will be even more difficult for the GOP to hang on to its majority.

But there are six months between now and November, and Trump is increasingly unhinged. As Mueller’s investigation gets closer, as the legal and ethical lapses of his cabinet and cronies become public, and international events he clearly doesn’t understand pressure him to make decisions he is ill-equipped to make, he increasingly resembles a cornered animal.

A rational man would reach out to knowledgable people for advice, but Trump is not a rational man. He’s threatening to bomb Syria, to nullify the Iran accord, to start a trade war with China, and God knows what he’ll say or do when he meets with Kim Jong Un in North Korea.

As the rats desert his sinking ship, he’ll be perfectly willing to take us all down with him.

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‘Job Creators’ and the Tax Bill

According to the Republicans pushing for its passage, the recent, massive overhaul of the tax code was a “middle-class” tax cut. Yes, they admitted that it bestowed largesse on the wealthy, and yes, they recognized that the benefits to corporate taxpayers dwarfed the pennies that the poor and middle-class will realize, but that, they assured us, was because the GOP is all about job creation. Give corporations tax “relief” (not that most of them had been paying at the going rate) and they would use those dollars to create jobs.

Right.

Opponents of the tax bill publicly doubted that corporate savings would be used to create jobs, or to raise pay levels. They predicted that the money would be used instead to buy back stock and “reward” management with bonuses. And they pointed out that the meager tax relief granted to the middle class will phase out, while the corporate cuts are permanent.

Once the bill passed–and the Koch Brothers had donated $500,000 to Paul Ryan (a contribution I’m sure was merely coincidental, despite coming a mere two weeks after the measure was approved)–there was an initial flurry of publicity suggesting that ordinary workers at several large companies had been given bonuses. (It later turned out that those payments went to far fewer workers than the original publicity had suggested.)

Now, it turns out that the cynics were right all along. I know–you’re shocked.

After President Trump signed the Republican tax cut into law, companies put out cheery announcements that they were giving workers bonuses because of their expected windfalls from the tax reductions. The president and Republican lawmakers quickly held up these news releases as vindication for their argument that cutting the top federal corporate tax rate to 21 percent, from 35 percent, would boost workers’ incomes even as it added $1.5 trillion to the debt that future generations would have to pay off.

Now corporate announcements and analyst reports confirm what honest observers always said — this claim is pure fantasy. As executives tell investors what they intend to do with their tax savings and their spending plans are tabulated into neat charts and graphs, the reports jibe with what most experts said would happen: Companies are rewarding their stockholders.

Businesses are buying back shares, which creates demand for the stocks, boosts share prices and benefits investors. Some of the cash is going to increase dividends. And a chunk will go to acquiring other businesses, creating larger corporations that face less competition.

It isn’t just liberal pundits making these claims. Morgan Stanley analysts have estimated that 43 percent of the savings realized by corporations will be used for buybacks and dividends and another 19 percent will fund mergers and acquisitions. They calculate that  17 percent will go into capital investments, and a mere 13 percent will be used for bonuses and raises. CNBC reports that stock buy-backs are at a record pace.  Axios  has reported that nine pharmaceutical companies have announced $50 billion in buybacks since the tax law was passed.

The open question is whether voters whose paychecks are marginally fatter under the new withholding tables will believe they were the beneficiaries of this “reform,” and whether that belief will influence their votes in November.

As Lincoln said, you can fool some of the people some of the time….

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