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Political Hay
Go Ahead, Make Their Day
Republicans should know why Democrats are bluffing on the budget.
(Page 2 of 2)
This risks making Boehner look like a RINO, something he certainly doesn’t want and is not and would not be even if he went down that path. Furthermore, as we know that Nancy Pelosi has frequently been able to make individual Democrat congressmen make votes that they did not want to make, it’s possible that Pelosi will arm-twist wavering Democrats into not supporting a spending bill that cuts spending substantially but not as much as the Tea Party and conservative freshmen want. Pelosi’s motivation would be to make Boehner and the GOP look bad, look unable to govern even with a substantial majority, and to sow dissent within the ranks of the Republican Party. The more you think about it, the more it seems likely such a thing could happen.
If Boehner will not be able to pass a “compromise,” then he should not even try. The downside from failing is large. Indeed it’s the Democrats who have the 2:1 or 3:1 payoff from refusing to compromise in this scenario.
So, considering these factors:
• The real risk that a compromise bill may not pass the House,
• That a government shutdown, if plausibly caused by Democrats refusing to cut federal spending, would likely benefit not just the GOP but the nation itself, and
• That “compromise” on current levels of government spending is immoral and destructive,
I believe that House and Senate Republicans should not support only $33 billion in cuts in the remainder of this fiscal year. I could live with a so-called compromise if it weren’t a meeting-you-halfway compromise. In other words, if the original GOP proposal were $61 billion in cuts, and with the understanding that many House freshmen (and a few Senators) would prefer much larger cuts than that, I could nevertheless live with a “compromise” of $50 billion. $50 billion would be big enough that the GOP can claim massive cuts and can show that their being in the majority has made a difference. And it would be big enough that it would be hard for the Democrats to claim a political victory of any importance. Unfortunately, this very fact makes such a compromise that much less likely.
There is no easy political way out of this financial mess. But Republicans need to realize that the Democrats’ tactics are based entirely on political optics, not on any actual desire to cut spending or reach a compromise. With that in mind, a compromise of about 50% of the originally demanded cuts is a political loser for the GOP and a baby step toward fiscal sanity at a time when the nation is, for perhaps the first time in history, ready for a giant step.
About the Author
Ross Kaminsky is a self-employed trader and investor and is a senior fellow of the Heartland Institute. He is the host of The Ross Kaminsky Show on Denver’s NewsRadio 850 KOA at 11 AM on most Sundays. You can reach Ross by e-mail at rossputin(at)rossputin(dot)com.
Letter to the Editor View all comments (47) | Leave a comment
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Bill Hussein O'Stalin| 4.1.11 @ 6:20AM
The 100 billion in cuts was nothing to begin with.
Now we observe the process of whittling away at nothing.
The Republicans should let the government shut down and April 15th should be a day the government shuts down every year in honor of the lowly taxpayer who pays for all this nonsense.
Mitch Angoop| 4.1.11 @ 5:35PM
Shut down the government. The GOP must make a clear statement that they will NOT compromise with the dems who are showing every day that they view elections and the American people with the same distain. This is the final battle for our Country. If the GOP gives up one tiny bit, it will be over and we are dead as a nation. The democratic party and the evil criminals composing it must be destroyed if our nation is to survive. It is as simple as that. This is political war; and, if the dems want to push it, the Second American Revolution might as well start now.
Frisbee| 4.4.11 @ 9:56PM
Definitely shut it down, and start calculating the savings.
John Daniel| 4.1.11 @ 6:54AM
Boehner & Cantor have been inside the beltway too long. The issue is not about compromise, but leadership.
martin j smith| 4.1.11 @ 7:46AM
Here is a True False question for both Rzz and Dzzzzz
True or False : Our economy is in dire straights and if we do not take immediate action to make serious spending cuts we will go down.
Yes, the correct answer is True. But how many of them will get it right ?
Here is another true False question: Rzzz can make reasonable and rational agreements with Dzzzzzzz which reflect the fact that our economy is on the brink.
The correct answer is : false.
RINOS,The Socialists in D labels actually either do not care or actively want our country to go down. There is a strong" Hate America strain in both groups more openly stated among the Dzzzzzz.
Enough said.
Benny Havens| 4.1.11 @ 8:11AM
With the country in debt for $14+ trillion, a budget of $3.5 trillion and an additional $1.5 trillion in deficit spending, $30 billion in cuts is a joke. Last November the American people said, stop the spending! The Republicans need to remember that.
Mitch Angoop| 4.1.11 @ 5:38PM
Watch what the demoncraps did in Wisconsin. The show their hatred for every patriotic American with every criminal act they pursue. the democrats are no longer a political party. They are a foreign, subversive criminal element taking over our nation from within using foreign money from george soros and his fellow scum. Whether we want to admit it or not, we ARE at war; we just haven't started fighting yet. How long will we wait?
All American American| 4.1.11 @ 8:12AM
Wow, $33,000,000,000. And this year's deficit is what again? $1,600,000,000,000? So remove all the zeroes and you have $33 worth of cuts out of a $1,600 deficit (and haven't even added that to the existing $13,000 debt). Tell me, if you had a credit card with $1,600 on it how long would it take you to pay it down by paying $33 a year???
Not only that, if they "cut" $33B, how long before we rack up another $33B in interest alone?
The time to "cut" has passed---we need to SLASH AND STOP spending and start paying this debt down. $33B ain't gonna do it. $330B would be a good start.
Louis Jenkins| 4.1.11 @ 8:25AM
Haven't heard the usual mumbo-jumbo from the Democrats. The poor homeless will be hurt, the sun won't shine, pregnant women won't get their abortions, the poor children will starve to death, dogs and cats won't sleep together in perfect harmony, and so on. The liberals and their ilk know that this country is toast. Reid is putting on the best face possible, if it were possible. Just remember folks, this country's demise will be at their hands, both Democrat and Republican. While Rome burned they will be saddled with the fiddle. $33 billion is a spit in the bucket.
PaulyD| 4.1.11 @ 8:28AM
Hey, nobody said real leadership was easy.
Take the hard road. Its almost always best.
Brian Mc| 4.1.11 @ 8:31AM
Agencies and Departments need to fall. It is the only way to right this ship that is listing at an alarming rate. Squirting a little ballast over the side ain't gonna do it. Whole chunks of cargo have got to go.
It is good to know that there is a technical issue involved with the removal of the "reply" buttons. I was afraid it was a change in thinking...huge relief.
TennesseeVolunteer| 4.1.11 @ 8:36AM
Ross, you are in an information bubble.
You think because the stock market is up that everyone else's financial prospects are slowly improving. You are wrong, my friend!
Small business in the Hinterland is dying. The wheels are coming off of our economy and it is because of the uncertainty of what our leaders will do. Small banks are squeezing everyone. It is impossible to get a loan to build a home because appraisals of existing homes have tanked so badly that the banks can't reconcile the cost of the new home with the ever declining appraisals of existing homes.
There is no confidence!
Either we take strong action to cut government spending so money can quit being lent to the Federal government to sate their never ending appetite by the banks or the wheels finally come to a stop.
Ross, the Federal government is siphoning up all of the money and for what?
Their tax revenues are tanking so they are taking all of the money from the banks through the banks buying buying Treasury bonds. The banks think these Treasury bonds are safe and easy so they are putting their money in them instead of lending it out to people. The economic wheels of America are slowly coming to a stop. Small businesses are dying, cutting employees, trying to hang on for another month, a year. but there is no money, people are spending less! I talked to a Regional Manager for a major building products supplier yeswterday, he said their commercial sales have plummeted starting in February and they are really worried! One of the two biggest suppliers of building products in the world is worried!
13% of America's houses are empty. How many homeowners have opted to not pay their mortgages? Probably 13% or more. How long will it take Ross?
Shut it down now!
Maxwell| 4.1.11 @ 8:41AM
'Agencies and Departments need to fall'.
Brian Mc, I can only wish. I can only wish.
Ryan| 4.1.11 @ 8:49AM
We need to look at the $30mm, or $60mm, or $100mm NOT as an endgame, but as a start.
This issue is NOT about numbers, and it is NOT about the next few weeks.
It's about the long-term cuts that need to be made, and we need to stop quibbling over the numbers and start pointing fingers at programs and entitlements and issues instead of numbers.
Walking Horse| 4.1.11 @ 8:51AM
It is striking that the discussions on budget reductions focus upon the political calculi as though this were the only relevant consideration.
We do not have the luxury of time. The damage this profligacy is doing to us is accelerating, for we have passed the knee of the curve. We have urinated away all our margin, and it only takes a few more "black swans" to put us in a very bad place.
Of course, our descendants are the ones who take the full body blow resulting from these proceedings. And in this instance, the phrase "for the children" rings a tad hollow.
R Martin| 4.1.11 @ 8:57AM
Isn't is odd that when Democrats swept into power in 2009 there was no talk of compromise with the Republicans. The Democrats simply muscled through some of the most obscene and expensive legislation ever seen in DC, and Obama told the rest of us to take a back seat. Now the Republicans have some power and the talk is all about compromise. What a load of rubbish.
Furthermore, how do the Democrats continually get away with huge increases in (fill in the blank--entitlements, spending, taxes, etc.) that become a new fixed base and therefore a starting point for future negotiations.
I'm ready to take the big bet no matter what the odds. It's almost like the choice of being shot in the head with a fully loaded gun or playing Russian Roulette with one bullet in the chamber. Easy choice.
Pecos Pete| 4.1.11 @ 9:21AM
I'll take the big bet. Shut the govmint down until there are REAL spending reductions, like maybe $1 trillion.
With gasoline at $4, food costs about to rapidly increase, inflation bearing down on us like a B1 bomber, and these guys are talking about $33 billion? What's the matter with this picture?
I wouldn't compromise with a bear about to eat me and I sure wouldn't compromise about the morality of an out of control federal guvmint.
bob alou| 4.1.11 @ 9:25AM
It should be $300 billion in cuts, at a minimum. We are piling up debt faster than cuts. Drastic action needs to be taken, now. Shut it down,
SilentNoMore| 4.1.11 @ 9:35AM
Negotiations 101: Always bid significantly lower (or higher, in the case of budget cuts) than you are willing to pay so a "compromise" leaves you in an superior position.
Do the Repubs not know this, or did they seek this particular path? I know, you gotta start somewhere, but either way 33 B or 60 B is a ridiculous drop in the bucket, and in all reality will not amount to a hill of beans. Now the R's are, once again, on the defensive when they should be unquestionably on the OFFENSIVE, attacking every superfluous, flagrant, bloated and "non-essential" aspect of the budget. They are allowing the Dems to frame what is essentially an existential fiscal argument through the lens of liberal "compassion" and "compromise." When will they realize that this is not simply about minor cuts to keep the "non essential" aspects of the government functioning, it's about the survival of our country and our way of life?
Clint| 4.1.11 @ 9:54AM
Tax Day Cometh On April 18th This Year Because Of Emancipation Day Holiday In Washington,D.C.
Ha,Ha,Ha,Ha !
We Tax Slaves Are Commanded To Pay Our Taxes On The 18th.
The Joke Is, It Ain't No Joke.
Who Knows?| 4.1.11 @ 9:59AM
Generals always fight the last war.
If you don’t use the power you have, you don’t have power.
Republicans are like someone in a motorboat, spending time and energy keeping the motor in pristine condition, and hardly ever using it. Most of the time they only DIP the OARS into the water, and these days are seriously considering using them.
Whoopee!
Years ago, Limbaugh made the point that top politicians were not to be made fun of, since by dint of having climbed their way atop the political pyramid, they were de facto professionals.
And, what is their expertise?
NEGOTIATE!
Mark Steyn epitomizes the kind of person who desperately needs to be heeded---
The only word one NEEDS to keep in mind is----EXTREME.
You know, the whole thrust toward transparency has a life of its own. Despite the best efforts of the plethora of liars like Obama and Schumer, et al, cheap technological devices are rendering everyone NAKED in the public sphere---YIPPEE!
There is also always the BIG verses the little picture, and Steyn nails it in his interview with Hewitt---
The REAL extremists are the social democrats like Schumer, as witness by their top line dollar figures----federal government spending of $4 trillion with $2 trillion BORROWED, per year!
Talk about an eternal April Fool!
Well, what else can an awake one say, except that with the election of Obama and his partners in crime, along with the burgeoning bureaucracy, more than enough American voters, alive and dead, were---EXTREME FOOLS!
The court jesters are in control.
Ken in Tyler| 4.1.11 @ 10:03AM
We've already lost the debate and it's not a coin toss or roll of the dice to determine the outcome of this situation. History shows clearly that every nation which has adopted fiat currency has self-destructed. The difference this time is that the whole world economy is based on debt and false promises.
If there were a way out for us, the conservative leadership would be shouting from the rooftops about principled government and a return of individual responsibility. That isn't happening and won't happen because both parties are equally invested in the continual growth of governmental power to the detriment of Liberty.
Any person of sense and character would realize that quibbling over 50billion is nonsense when the deficit is measured in Trillions and even that incomprehensible number is hugely understated! The current discussion is 50 or more years too late and is now evidence that the outcome of the coin toss which probably happened back in 1913 or so has long been known.
It is our duty to continue the struggle but prudence demands each of us prepare for the inevitable as best we can. Perhaps there will be enough left upon which to rebuild.
danny @ Holly Lake Ranch| 4.2.11 @ 8:12AM
Ken in Tyler, I agree 100%. Prepare for the worst, and hope for the best.
Dale R.| 4.1.11 @ 10:14AM
We are standing on the edge of a cliff. The Democrats want us to take three steps; however, they are willing to compromise and have us take only one step. Same fall either way.
A. C. Santore| 4.1.11 @ 11:01AM
My message to Speaker Boehner and the Republican leadership:
Don't Blink!
uncle curmudgeon| 4.1.11 @ 11:01AM
Polititian: I find no guilt in this just Man.
Crowd (whipped into frenzy by a well-off elite): Give us Barabas!
Politician: I will have him scourged.
The just Man ends up getting tortured to death. The crowd grows bored and drifts off. The polititian washes his hands. The more things change...
Peter McGrath| 4.1.11 @ 11:26AM
This is maddening.
This current fiscal year - alone - the United States Federal Government will spend $1.4 TRILLION more than it collects in revenue.
In order to close this gap, our national government will need to borrow (or even worse, print) the equivalent of the entire annual gross domestic product of Russia, or India - THIS YEAR ALONE.
This situation is neither rational nor sustainable, not even in the short term. Our national leadership has utterly failed us and Kaminsky is "OK" w/ cutting $50 billion (or 1/28) of this deficit?
The house is burning down, for God's sake, and we're squirting a toy water pistol at the flames.
A day of grim reckoning is nigh and no one, absolutely no one, has the stones to do a damn thing about it. I despair for our once great nation.
Oldefarte| 4.1.11 @ 12:51PM
Everyone should bear in mind that this is [as Alabama coach Saban would proclaim] A PROCESS. It's less important as to what percentage of spending reduction is achieved for this abbreviated budget term-period, so much as whether or not same is thereafter followed up with continual spending reductions in subsequent budgets. In other words, the Republicans have to continue their ROME WASN'T BUILT IN A DAY political philosophy with larger, more extensive spending cuts for not only next year's budget, but for all others as well [until such time as the economy and fiscal sanity for this nation's government is finally achieved]. We taxpayer-voters can thereby assist these Republicans now in congress by going to the voting polls in November of 2012 and send to them re-inforcement-Republicans so as to increase their numbers and thus enable them to eliminate WELFARECARE and its humongous costs to taxpayers, and other wasteful spending programs/expendatures that misspend the taxpayers' hard earned [and forcibly extracted] incomes!!!!!!!!!!!!!
cicero| 4.1.11 @ 12:56PM
Remember, folks, this is what we voted for. All of that money is going somewhere. It is called "redistribution"! The Dems are more than willing to spend even when there is no money, because where the money is spent proves to be with their constituents. In 1960, there slightly more than 8 million government workers. Now there are well over 22 million government workers. These are the guys that are making more than the people they are supposed to be working for, and demonstrating in and about the government campusses claiming to trash everything if they don't get more. How sad.
Timely Renewed | 4.1.11 @ 1:24PM
Spending cuts are good and more would be better, but that is a retail solution to a wholesale problem. The House needs to address a deeper issue. Republican Congresses since the end of World War II have all failed in one significant respect, a failure which has allowed the continued growth of federal government overreach. This is that they have failed to reverse the New Deal Supreme Court's elimination of the Constitution's restraints on federal power. The original constitutional meanings have been so misconstrued and abused by over 70 years of progressive control of the Supreme Court and other branches of the federal government that simple legislative action is not enough. We need to promote amendments to the Constitution to restore its original meaning and structure and lock in this moment of constitutionalist resurgence regardless of the vagaries of political parties.
The first step is to put through an amendment to the amendment process itself which will eliminate the unnecessary convention now required by Article V and permit States to directly initiate amendment proposals. This will break the current de facto federal congressional and judicial monopoly on interpreting the Constitution, and permit grassroots patriots on the state level to restore the Constitution’s original meaning by amendment. This will permanently constrain future federal overreach of the sort rejected by the people last November. See http://www.timelyrenewed.com
Anthony| 4.1.11 @ 1:48PM
I don't know who is responsible for perpetuating one of the greatest lies in modern American history, that is, the people want Rs and Ds to cooperate and get a budget done, but, it most certainly rises to the level of other great lies, i.e. the check is in the mail.
The Ds failed to pass a budget in the last Congressional session, on purpose. Boehner, the gumby that he is, should be telling Reid, Schumer and others to shut the hell up, you failed in your basic responsibilities to the people, so now we will do the right thing for America. AMERICA IS BROKE.
But Boehner is a weak sister and a creature of Washington. He can't communicate his way out of a paper bag. He has failed to lead an American population dying for LEADERSHIP. 54% of the people want drastic cuts to the budget, damn the shut down cries of the Ds.
A highschool kid could make the case against the phony government shutdown carnard by the Ds, but Boehner is not up to highschool snuff.
We will get screwed by Boehner, count on it. The Ds will laugh with glee, the gigantic government will continue to grow like the Blob.
It would truly be an April Fool's joke to read "Boehner stands strong".
Virginian| 4.1.11 @ 1:48PM
The Republicans lost their primary leverage when they first agreed to extend the CR but with some cuts. If they were going to make a stand with the risk of a Government closure they should have done it then. It is now too late and as you point out the risk now is not worth it. They need to invest their political capital in the 2012 budget battle and the debate coming soon on raising the debt limit. Unfortunately if they are viewed as having caved on this 2011 budget their position has been weakened for the next budget battles. You are suggesting $50 billion as a compromise but they may have to accept less than that but more than the half way offer by the Senate Democrats. Declare victory and move on.
Anthony| 4.1.11 @ 2:36PM
The only hope we have here, is when after Obozo screws Boehner, (and we Americans) that they will both enjoy a post coital cigarette, and Boehner will be able to whisper and moan for a few more budget concessions.
It's the best plan we got folks, given what we have to work with. It just might work, afterall, Obozo is said to really like dark-skinned effeminate boys who smoke.
John Boehner takes one for America, or, John Boehner; the Monica Lewinsky of the Obozo administration.
Are we screwed or what????
Dennis Lukas| 4.1.11 @ 4:20PM
The republicans are afraid that by fighting they will not get re elected. Well if it was not for the Tea Party fighting they would still be the minority. They fail to see if they don't fight they will loose, 2012. Why would you vote for cowards?
Richard Baker| 4.1.11 @ 4:59PM
Keep your powder dry and your hatchet scoured, my friends. I've said for years that if we don't get a handle on this out of control government that we're going to have to follow the path of the Founders. Nothing has changed my mind on this. The time is approaching quickly.
burt| 4.1.11 @ 9:59PM
Why does AS let out of touch DC village idiots like Rossie K peddling the Soro-DNC media talking points here .
When the farrrrrrr radical left took over in 2006 where was old Rossie peddling compromise and phony stats about what so called independents want ???
The Dem ram thru for 4 years a sea of radical out of control spending and now this poorly disguised Soro troll lectures the GOP to compromise and pulls out the usual lefty lies about how independents want compromise ???
How many times have I heard that one only when the GOP has some slice of power.
Really Rossie , the most largest election tidal wave in 80 years and your peddling the usual -DC-DNC media BS.
The AS needs to allow conservatives on their website and not the usual DC Tokyo Roses like Comrade Rossie !
John Carnal| 4.1.11 @ 11:57PM
All the GOP needs is a Speaker of the House that is aggressive. Quit worrying about what the MSM and the other side will say. Take our case to the American people again and again and again. By any standard $60 billion is chicken feed. If Boughner didn't get the message last fall replace him with someone who did. This insane spending has got to STOP. It has to STOP so still it doesn't even move.
DaPicayune| 4.2.11 @ 3:05AM
Cicero, you B right: as I've been saying -
Give Schumer his prize, call their bluff and let the “Extremist” Democratic Socialist Party shut it down.
Don't believe their bogey-man scare tactics. Essential services will continue and only the Govt workers get hurt temporarily - so send'em home, until we get the cuts needed to balance spending/revenues, like all of us taxpayers do in our homes!
For proof of their "scary tactic" lies see it here:http://truthandcons.blogspot.com/
at the second headline: "Looming government shutdown anarchy?"
Defeat the Socialists - expose them for who/what they are and vote'em out in 2012. Don't let them "fundamentally change (ruin)" OUR country, as BOgus said he would! Shut it down, send'em home & vote'em out! The MSM will do their dirty work, none the less, anyway!
Glein| 4.2.11 @ 12:44PM
House Speaker John Boehner and all the Republicans in the House and Senate are clueless. They have all lived, along with the Democrats, the good life off the people's sweat and hard work. In their world only they know what is best for us since in their eyes we are all children.
The Republicans do not have the courage or political will to do what needs to be done to save this country from economic ruin. Who pays for their gas, food, travel, salaries? The American taxpayer. We are the serfs and they and the President are our lords throwing a crumb now and then. Cut $66 billion from a $14 trillion deficit shows just how un-serious they are.
What we will get is another four years of Obama and then after him "the deluge."
Wake up Boehner and see the truth. At least Pelosi, Reid, and Obama don't hide their intentions. They stick it to the country with all means necessary and laugh at the mealy mouth Republicans and their vacuous platitude. Keep talking Boehner while Rome burns.
Bill Hussein O'Stalin| 4.3.11 @ 7:29AM
Perfect!
martin j smith| 4.2.11 @ 2:23PM
What "needs" to be done and what can be done may be two different things. If there is a government shut down it will be the job of Boehner and fellow Repubs to in an ongoing way blame the Socialists. But even more to the point--educate people ( voters ) just how dire our economy is. There are many very stupid people who do not know out there in voter land. And I mean very stupid. Repubs have not yet but must constantly tell voters in essence that the Socialists are irresponsible and point out a) this was the Socialist"s budget which they failed to pass and b) Using that now famous Schumer tape --demonstrate that the Socialists want the government shut down. Over and over and over and over and over and over and over and over and over--until it seeps thru the brains of the stupid.
Michael L. Hauschild| 4.3.11 @ 12:24PM
Generals always fight the last war. The democrats believing they will pull a Clinton/Gingrich will hold firm. It is Boehner who will capitulate with the explanation that we are going to do a budget tomorrow, next week, or soon.
Same lies, same cast, same old BS.
Occam's Tool| 4.3.11 @ 1:49PM
Michael, you are correct. The proper thing to do would be to do the shutdown, repeating, like a parrot, "Folks, we are broke." A very simple message that could get across.
People forget that Reagan was always being ridiculed (like Lincoln, the other great President from Illinois) for simplicity. Well, leaders can only do simple things at a large level.
I think it would be remembered in '12 that the Republicans did not play politics if they would show the type of backbone they showed with ObamaCare. I seem to recall that being resistant to ObamaCare did not do the Republicans any harm in the '10 election. I would not be going to EJ Dionne for my Republican electoral advice.
Rush Youngberg| 4.3.11 @ 5:02PM
The author sounds like a liberal or a RINO. Why compromise? I had a guy come in way low on the sale price on my house. He thought that we should just start matching our price changes until we got to the middle price. So I guess you would be satisfied with 1/2 a baby?
Tony in Central PA| 4.3.11 @ 5:58PM
I'm glad I'm not the only one who sees the blatant absurdity in all of this. A President who increased annual federal spending a trillion dollars, all of it deficit, and there's screaming and kicking about a 66 billion dollar cut ?
In 2008, I predicted this President would be living a comfortable exile outside the US in 20 years. So far, I see no reason to change that predicition.
Christian Louboutin | 6.23.11 @ 6:15AM
After weeks of arguing, Republicans and Democrats on Capitol Hill began negotiations Wednesday on a possible budget agreement that would slash federal spending by as much as $33 billion and avert a government shutdown.
Creative Recreation | 8.10.11 @ 11:00PM
is good