There are a lot of problems with the House Republicans'
alternative budget, though considering its doubling of the
national debt I don't think representing a vision of the "ideal
small-government society" is one of them. Ross Douthat
disagrees, decrying the Republican alternative as naively
ideological:
It's as if the Democratic Party, in the aftermath of it's 2002
and 2004 defeats, had proposed an alternative to George W.
Bush's wartime budgets that slashed defense spending
dramatically, raised income taxes across the board, and
invested all of the resulting revenue in a revivified AFDC, a
massive cash grant to the UN, and a big new federal jobs
program for "green-collar" workers, community organizers, and
Planned Parenthood clinicians.
One could cheekily reply, "Good thing the Democrats waited until
they were in power to start trying to do all that." But here's
the larger problem: there is going to be inordinate upward
pressure on taxes and spending even if we do nothing. That
pressure will increase if the economy continues to sag,
stimulating demand for government services, or if it revives,
pushing people into higher tax brackets as their income rises.
The baby boomers are retiring. Payroll tax surpluses are
declining. Bills long delayed are coming due.
On top of that, the Obama administration is reacting to these
circumstances by dramatically increasing the size and cost of the
federal government -- not just for the duration of the economic
crisis, but permanently. There is no basis for believing the
administration will be able to achieve its long-term cost
reductions through health care reform to offset all this. If
there was ever a time when it was necessary for somebody,
anybody, to be pushing hard in the opposite direction, it's right
now.
It is of course politically risky for Republicans to try to
control spending and reform entitlements. But it's a risk they
have no
choice but to take. The alternative is to give up on a
platform of keeping this a relatively low-tax economy and replace
it with either a program of slowly, painfully managing the
bankruptcy of our entitlement programs or coming up with clever
new taxes to pay for them. Realistically, this probably means
usually being out of power and being every bit as irrelevant to
national policy-making as conservatives were in the wake of the
Goldwater debacle anyway.
We've tried the approach of taking an axe to tax rates and
regulatory red tape while just nibbling cautiously at government
spending. That approach (combined with tight money) worked
masterfully against stagflation when all the wise establishment
hands, Republican and Democratic, said it would fail. But the
failure to seriously confront spending -- as the baby boomers
were entering their peak earning years rather than retirement --
eroded those gains almost immediately and pushed the country
deeply in debt. We started taking some of the tax cuts back as
early as 1982. And it isn't the Reagan years anymore:
conservatives get more bang for their buck cutting a 70 percent
tax rate than slashing a 35 percent or 39.6 percent tax rate.
We've also tried the approach of shelving free-market health care
reform the second the campaign is over, bringing up entitlements
and then running away at the first peep of protest, and passing a
slew of our own government programs to address voter anxieties
and steal issues from the Democrats: SCHIP, No Child Left Behind,
Medicare Part D, TARP. This tactic has failed even more
spectacularly, digging the hole in which we currently find
ourselves.
Maybe there's some Grand New Party-style compromise that
can get us out of this predicament. More likely, there isn't. But
for all their numerous flaws, Paul Ryan and the House Republicans
are at least trying to deal with this fiscal climate on
Republican terms.
Antle, you are on the mark here (including any inferences I might
make). If you actually go over the budget as I've done, it is
clear that two items account for the vast majority of our
problems: entitlements and health care. The problem with the
Republican budget is the lazy approach of using a spending
"freeze" (and I've said this before). Freezing budgets is just
dumb as it sets no priorities and can be used to tell people that
freezing the budget will reduce border guards, reduce teachers,
reduce policemen, not fight forest fires, etc.
The Republicans should concentrate on three things: putting
together a bipartisan commission on entitlement reform,
recommending a health care approach using experimentalism/test
markets rather than an all or none proposition (i.e., let the
best plan win), and being specific on reducing the size of
government with unneeded regulation/departments/military
equipment/etc. This will take care of over 90% of the problem and
should appeal to the public.
However, I'm not sure the party leaders, if there are any, are
smart enough to figure this out.
Bob| 4.2.09 @ 2:41PM
Antle, you are on the mark here (including any inferences I might make). If you actually go over the budget as I've done, it is clear that two items account for the vast majority of our problems: entitlements and health care. The problem with the Republican budget is the lazy approach of using a spending "freeze" (and I've said this before). Freezing budgets is just dumb as it sets no priorities and can be used to tell people that freezing the budget will reduce border guards, reduce teachers, reduce policemen, not fight forest fires, etc.
The Republicans should concentrate on three things: putting together a bipartisan commission on entitlement reform, recommending a health care approach using experimentalism/test markets rather than an all or none proposition (i.e., let the best plan win), and being specific on reducing the size of government with unneeded regulation/departments/military equipment/etc. This will take care of over 90% of the problem and should appeal to the public.
However, I'm not sure the party leaders, if there are any, are smart enough to figure this out.