Obama, Neutered
Brace yourselves: Obama is proposing entitlement cuts.
According to the latest intel from the debt ceiling negotiations. From the Daily Caller:
The Obama administration, in seeking $4 trillion in spending cuts in a debt limit deal, has put major changes to Social Security and Medicare on the table if Republicans agree to increased tax revenues.
The offer caters to both sides in the debt limit negotiations and according to the Washington Post, President Obama will urge congressional leaders on Thursday to seize the opportunity to act. The compromise, however, still puts both Republicans and Democrats in tough spots.
Democrats have vowed to protect Medicare and Social Security, while Republicans still argue that tax increases are not realistic legislative proposals. If leadership from both parties agree to the Obama’s compromise, the next move will be to sell the plan to their respective bases and to members of Congress.
And here's a tantalizing tidbit:
The president has reportedly already privately discussed his plan with Speaker of the House John Boehner. Michael Steel, spokesperson for Boehner, told the Washington Post “there are no tax increases on the table.”
But House Majority Leader Eric Cantor, however, signaled Wednesday that he may be flexible on ending certain loopholes in the tax code.
So, now, a series of ifs. If these really are tax loopholes, special tax considerations, and boondoggle-style tax giveaways that apply only to a special class, and not to all citizens, then I say, end them. If the cuts are real, measurable, and reform the way government entitlements work, then I say, nice work, Republicans. And if the spending cuts come before the revenue increases, then I say, prove it, but nice work, Republicans.
But no matter what happens, we have to acknowledge: Obama caved. He's been neutered by a resurgent Republican leadership in the House. His February budget was a monstrosity, a tornado of debt and spending. He's been dragged, kicking, screaming, whining, and blame-shifting, all the way to the right. We're now talking about entitlement spending cuts.
- Comment (14)
- · Quote
- · UnfollowFollow (2)
Comments :
Jun '10
Re: Obama, Neutered
To say there are no tax increases on the table is a little disingenuous. Any elimination of a "loophole" is a tax increase. I guess whether this is positive or not depends on the details. But looks like they're going to try raise taxes, then claim they really didn't.
Dec '10
Re: Obama, Neutered
And if Lucy holds that football, I'm going to run up there and kick it right through the goal posts!!Eleventy!
Seriously, when have Democrats ever bargained in good faith over spending reductions?
No "loophole closures" without comprehensive tax reform and no debt ceiling increase (at all!), or if so, only with real spending cuts, not merely reductions in baseline growth projections. It's a shell game and we'll be left holding the empty shell.
Nov '10
Re: Obama, Neutered
I've been so steamed at the Republicans for so long that it's hard to say this, but I've been pretty impressed with those guys lately. Not perfect, and still plenty of them who should hit the bricks come the next election, but I've been pleasantly surprised recently by the way the "Party of No" has been sticking to their message. Which is "no".
But I also approach this kind of good news with a lot of 'ifs'. Lucy's pulled that football away too many times for us to kick at it again without some good-faith up front.
Aug '10
Re: Obama, Neutered
I don't buy it, Rob. Obama's the original serpent, and doesn't even know what truth and integrity are. The GOP has only a few chances left. They had better not blow this one.
Sep '10
Re: Obama, Neutered
There is nothing original about Obama at all. Old wine, new bottle.
Mar '11
Re: Obama, Neutered
If this is true, it makes me wonder if Obama isn't getting nervous about a potential Candidate Ryan.
But as recent experience with Boehner teaches us, all bets about real entitlement cuts should be off until the actual details are announced.
Dec '10
Re: Obama, Neutered
Rob, I appreciated the defense you, Peter, and James gave to the "Tea Party crowd" after Mike Murphy painted them into an troublesome corner on the podcast. I believe that, if not the Tea Party movement itself, certainly the ideals and values embodied and most prominently expressed by the Tea Party movement, is precisely what has spear-headed this move toward fiscal sanity. Obama has caved here, and he has caved because he can read the writing on the wall. Certainly it will require more and more Americans to buy into this "constrained vision" of how we tax and spend, but I agree with you that it's worth nothing the president's reversal on stuff like this.
Great post as always!
Aug '10
Re: Obama, Neutered
Bruce in Marin
There is nothing original about Obama at all. Old wine, new bottle. · Jul 7 at 3:41pm
The original serpent was in the Garden of Eden. Oldest serpent of all.
Jul '10
Re: Obama, Neutered
Not buying it. Not even a little bit. Talk to me again when Obamacare is totally and fully repealed. When I see a breakdown of any deal with endorsement from the WSJ or National Review, maybe. Nothing personal, Rob. Squishies sometimes still consider the Washington Post a reliable source.
Sep '10
Re: Obama, Neutered
Until Congressmen(women) and Senators are more scared of being recalled and tossed by their constituents than being rebuffed by their fellow Hill spendocrats, then nothing will change. When Mike Murphy reports that his clients are *terrified* of being tossed I'll be convinced that things are changing. Until then, I remain chesire, as always.
Jun '11
Re: Obama, Neutered
To my knowledge Congress has a perfect record when it comes to living up to the spending cut portion of this kind of deal. By perfect I mean of course 100% failure. Insanity is doing the same thing and expecting different results.
May '10
Re: Obama, Neutered
Ryan's opposition to ending loopholes and write-offs now is that then their elimination wouldn't be available in the future to make his plan's tax cuts "revenue neutral," a likely precondition for getting them passed.
So this element of the deal could be a sneaky win for Dems.
May '10
Re: Obama, Neutered
Remember...he's had some visits lately with Clinton. Clinton did the same thing...and now champions the improved budgets of the 90's as if they were HIS doing, not the Republican controlled congress...
Jan '11
Re: Obama, Neutered
Smoke and mirrors, friends. Bush 41, redux.
When a business is operating at a loss it cuts costs, it doesn't raise its prices.
Name the cabinet department(s) or agencies that will be eliminated. Name the personnel that will be terminated.
Are the cuts being calculated from the "baseline" that includes Obama's stimulus spending and government growth? Some baseline!
Medicare and Social Security cuts that squeeze providers will be reinstalled by separate, popular votes, just as the "doctor's cuts" are offset in Medicare every year. (We don't want a doctor or hospital crisis, do we?) No services are being cut; we'll be told that we're simply going to pay less for them. Big joke!
Democrats propose cutting spending by 4 trillion dollars over 12 years and ask for Republicans to go along with immediately effective revenue increases. Republicans should reverse the proposal: ask the Democrats to enact spending cuts to the budget right now equal to 4 trillion dollars and the Republicans will promise to raise taxes in 12 years.
“We’ll never see the revenue increases,” Democrats will cry. “Just like Republicans never see the spending cuts,” we will answer.