Tag Archives: Republicans

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OK. No one cares about the sequester

No one cares about the sequester.  Or maybe, no one knows about it.  Or maybe everyone is just tired of Congress.

Here is Mike Luckovich today with a history of our recent financial crises.

Gee. I don't know why you think all this is my fault.

Gee. I don’t know why you think all this is my fault.

No wonder the general public doesn’t care right now.  And they probably won’t care until cuts start to hurt them.  Let’s face it:  both sides are using those old techniques of  putting forward the arguments that make the best case for their point of view.  The Republicans are right in that it won’t hurt for a little while – maybe a month or so.  And the Democrats are right that this whole exercise is unnecessary and, in the long run not helpful to recovery.

Thomas Mann and Norman Ornstein who wrote the excellent book, “It’s Even Worse Than It Looks”, have an excellent piece in today’s Washington Post titled “Five myths about the sequester”.

1. Blame Obama — the sequester was his White House’s idea.

Identifying the origins of the sequester has become a major Washington fight. Bob Woodward weighed in recently with a Washington Post op-ed making the case that the idea began in the White House. He’s right in a narrow sense, mainly because he focuses on the middle of the 2011 negotiations between Obama and Republican lawmakers. If you look before and after, a different picture emerges.

In our view, what happened is quite straightforward: In 2011, House Republican leaders used their new majority to force their priorities on the Democratically controlled Senate and the president by holding the debt limit hostage to demands for deep and immediate spending cuts. After negotiations between Obama and House Speaker John A. Boehner failed (Eric Cantor recently took credit for scuttling a deal), the parties at the eleventh hour settled on a two-part solution: immediate discretionary spending caps that would result in cuts of almost $1 trillion over 10 years; and the creation of a “supercommittee” tasked with reducing the 2012-2021 deficit by another $1.2 trillion to $1.5 trillion. If the supercommittee didn’t broker a deal, automatic spending cuts of $1.2 trillion over the next decade — the sequester — would go into effect. The sequester was designed to be so potentially destructive that the supercommittee would surely reach a deal to avert it.

The sequester’s origins can’t be blamed on one person — or one party. Republicans insisted on a trigger for automatic cuts; Jack Lew, then the White House budget director, suggested the specifics, modeled after a sequester-like mechanism Congress used in the 1980s, but with automatic tax increases added. Republicans rejected the latter but, at the time, took credit for the rest. Obama took the deal to get a debt-ceiling increase. But the president never accepted the prospect that the sequester would occur, nor did he ever agree to take tax increases off the table.

And of course no deal has been reached yet.

2. At least the automatic cuts will reduce runaway spending and begin to control the deficit.

What runaway spending? The $787 billion stimulus was a one-time expenditure that has come and gone. Under current law not including the sequester, non-defense discretionary spending as a share of the economy will shrink to a level not seen in 50 years. Defense spending grew substantially over the past decade, but that pattern has slowed and will soon end. Additional reductions must be achieved intelligently, tied to legitimate national security needs.

…

The annual budget deficit is projected to fall by almost 50 percent in 2013 compared with the height of the recession. Reducing the deficit over the long term requires going where the money is — boosting economic growth, controlling health-care costs and increasing revenue to handle the expense of an aging population. Deeper discretionary-spending cuts are counterproductive; immediate cuts, as Europe has made recently, could lead to a recession and bigger deficits.

I guess the Republicans want us to be like Greece after all.

And finally, one for the Democrats.

4. The cuts are so large, they will be catastrophic.

The administration has released state-by-state estimates of the sequester and highlighted the cutbacks most likely to harm or inconvenience the public. The reality is not so immediate or dramatic. The damage will accumulate in less visible ways, as irrational reductions in public spending impede economic growth and job creation; reduce investments in education, infrastructure and scientific research; and further disrupt the routines of a modern democracy. The longer the sequester remains in place, the more harm is inflicted.

So it may take a while to feel the cuts.  Maybe long enough for the Obama Administration to submit a sensible budget that everyone can agree on.  And no, I’m not smoking anything.  Just counting on mayors and governors to continue to put the pressure on Congress.

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Maybe we should increase the minimum wage

Massachusetts has a minimum wage of $8/hour.  This is fifth highest among states, sixth if you count the District of Columbia.  According to the Boston Globe

Five years have elapsed since the minimum wage in Massachusetts increased in January 2008 to $8 an hour, still one of the highest wage floors in the country.

The Legislature has not voted on a minimum wage increase since 2006, when it phased in the increase over two years and overrode a veto by Governor Mitt Romney to do so.

Since then, four states, includ­ing Connecticut and ­Vermont and the District of ­Columbia have surpassed Massa­chusetts. Nevada requires employers to pay workers $8.25 an hour if they do not receive health benefits, but if health insurance is provided the minimum wage rate falls to $7.25.

California continues to pay workers a minimum of $8 an hour, and Washington has the highest minimum wage in the country at $9.19. Businesses in Connecticut must pay at least $8.25 an hour, and Vermont workers earn at least $8.60 an hour.

If Congress increases the minimum wage to $9, Massachusetts will automatically go to $9.10.  Better, but not a livable wage if you live in Boston, where rents are high.

Even with an increase we will still need the Minimum Wage Awards.

Thank you Brian McFadden.

PS.  Did you happen to notice who vetoed the Massachusetts Minimum Wage increase?

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Still more on sequestration

This morning The Fix by Chris Cillizza included this interesting post by Aaron Blake.  Blake posted four great graphics explaining the impact of the sequester.  I am going to copy 2 of them here, but you should look at the entire post.

Blake explains

First up is Pew’s illustration of the year-by-year spending cuts that are included in the sequester. As you can see, the cuts start out relatively small — less than $75 billion in 2013 — but they grow to more than twice that size by 2021, for a total of more than $1 trillion.

The biggest growth in cuts over that time occurs in the interest payments, but everything except for mandatory spending cuts grow steadily over time.

And then there is this depressing news.  Sequester will not have that big of a positive impact.

There has to be a better way.  Maybe spend some money to put people back to work and let them pay taxes thus increasing revenue?  And we do have to fix the tax code so Facebook executives actually pay taxes.  And maybe we can cut programs and defense more selectively.  This won’t be as dramatic, and it might be slower, but it will hurt fewer people.

Meanwhile, members of Congress of both parties are doing their best to keep funding for their own districts.  Politico quotes Senator Lindsey Graham, an opponent of the sequester

I’m almost relishing the moment all these tough-talking guys say: ‘Can you  help me with my base?’” Sen. Lindsey Graham (R-S.C.), one of the most vocal  critics of the sequester, told POLITICO.

“When it’s somebody else’s base and district, it’s good government. When it’s  in your state or your backyard, it’s devastating,” he added.

Of course Graham’s solution is to do away with the Affordable Care Act or Obama care.  Is the momentum swinging toward a rational budget and solution?  Probably not.

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What’s up with sequestration? Or we should have issued war bonds.

When I looked up sequestration in Merriam Webster, the closest meaning I could find to what is going on with the federal budget is

2
a: a legal writ authorizing a sheriff or commissioner to take into custody the property of a defendant who is in contempt until the orders of a court are complied with
b: a deposit whereby a neutral depositary agrees to hold property in litigation and to restore it to the party to whom it is adjudged to belong
So our tax dollars are being put aside until we pay down the debt or is it cut the deficit?  Back in 2004, the Treasury Department explained the difference this way.

What is the difference between the public debt and the deficit?

The deficit is the difference between the money Government takes in, called receipts, and what the Government spends, called outlays, each year.  Receipts include the money the Government takes in from income, excise and social insurance taxes as well as fees and other income.  Outlays include all Federal spending including social security and Medicare benefits along with all other spending ranging from medical research to interest payments on the debt.  When there is a deficit, Treasury must borrow the money needed for the government to pay its bills.

We borrow the money by selling Treasury securities like T-bills, notes, Treasury Inflation-Protected securities and savings bonds to the public. Additionally, the Government Trust Funds are required by law to invest accumulated surpluses in Treasury securities. The Treasury securities issued to the public and to the Government Trust Funds (intragovernmental holdings) then become part of the total debt.

One way to think about the debt is as accumulated deficits.

So back when Bill Clinton balanced the budget, we did not run a deficit and did not accumulate more debt.

While some on the right would argue that Clinton really didn’t reduce the deficit and he ruined the economy by raising taxes, I seem to remember that things were going pretty well for the average person during the Clinton years.

When George W. came into office he said he wanted to give us taxpayers back our surplus which probably would have been OK if he hadn’t then started 2 wars which we didn’t raise taxes of any kind to pay for.  No war bonds, no special tax assessment (used by state and local governments to pay for things), no general tax increase.  Thus the red ink on the chart above.  Then came what everyone is now calling the Great Recession.  Barack Obama really had no choice but to spend money to get the economy moving again.  We can argue about some of the spending – like saving some of the banks – but much of it work out pretty well, I think.

So now we have the sequester.  This was a deal made in 2011 to keep everything from coming to a halt.  I don’t think that anyone thought at the time that there wouldn’t be another budget deal to keep the cuts from going into effect, but so far no dice.  The New York Times ran an editorial on Sunday which is the best explanation of what the cuts would mean that I have seen.  For example:

NATIONAL SECURITY Two-week furloughs for most law-enforcement personnel will reduce Coast Guard operations, including drug interdictions and aid to navigation, by 25 percent. Cutbacks in Customs agents and airport security checkpoints will “substantially increase passenger wait times,” the Homeland Security Department said, creating delays of as much as an hour at busy airports. The Border Patrol will have to reduce work hours by the equivalent of 5,000 agents a year.

…

AIR TRAFFIC About 10 percent of the Federal Aviation Administration’s work force of 47,000 employees will be on furlough each day, including air traffic controllers, to meet a $600 million cut. The agency says it will be forced to reduce air traffic across the country, resulting in delays and disruptions, particularly at peak travel times.

CRIMINAL JUSTICE Every F.B.I. employee will be furloughed for nearly three weeks over the course of the year, the equivalent of 7,000 employees not working each day. The cut to the F.B.I. of $550 million will reduce the number of background checks on gun buyers that the bureau can perform, and reduce response times on cyberintrusion and counterterrorism investigations.

…

A three-week furlough of all food safety employees will produce a shortage of meat, poultry and eggs, pushing prices higher and harming restaurants and grocers. The Agriculture Department warns that public health could be affected by the inevitable black-market sales of uninspected food.

RECREATION National parks will have shorter hours, and some will have to close camping and hiking areas. Firefighting and law enforcement will be cut back.

DEFENSE PERSONNEL Enlisted personnel are exempt from sequester reductions this year, but furloughs lasting up to 22 days will be imposed for civilian employees, who do jobs like guarding military bases, handle budgets and teach the children of service members. More than 40 percent of those employees are veterans.

The military’s health insurance program, Tricare, could have a shortfall of up to $3 billion, which could lead to denial of elective medical care for retirees and dependents of active-duty service members.

And the list goes on.

The editorial concludes

Last week, Senate Democrats produced a much better plan to replace these cuts with a mix of new tax revenues and targeted reductions. About $55 billion would be raised by imposing a minimum tax on incomes of $1 million or more and ending some business deductions, while an equal amount of spending would be reduced from targeted cuts to defense and farm subsidies.

Republicans immediately rejected the idea; the Senate minority leader, Mitch McConnell, called it “a political stunt.” Their proposal is to eliminate the defense cuts and double the ones on the domestic side, heedless of the suffering that even the existing reductions will inflict. Their refusal to consider new revenues means that on March 1, Americans will begin learning how austerity really feels.

Remember the definition of sequestration I began with?  It is a temporary thing.  The money is supposed to come back to us.  If the sequestration cuts really happen, I can bet you they won’t be temporary.  We are reaping the cost of wars most of us didn’t want and any rational solution will be held up by the same folks who did want to go to war.  We should have had war bonds.

THE VICTORY FUND COMMITTEE CAN HELP YOUR MONEY...

THE VICTORY FUND COMMITTEE CAN HELP YOUR MONEY WIN THIS WAR THROUGH INVESTMENT IN U.S. TREASURY SECURITIES SUITED TO… – NARA – 515674 (Photo credit: Wikipedia)

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Marco and Barack and the State of the Union

The President did not awkwardly reach for a bottle of water during his speech.  In fact, I don’t remember him drinking at all.  John Boehner, however, seemed to be sipping from his glass often.  When he wasn’t looking dour, that is.  I’ll write more about substance later, but this post is about impressions.

The best description of the Speaker is from Joan Walsh in Salon

But Boehner’s disdain was unrivaled. He also managed not to rise even for a shout-out to “wounded warriors,” or 102-year-old Deseline Victor, who waited seven hours to vote in Miami on Election Day. It was sometimes hilarious to watch him next to Vice President Joe Biden, who looked like a happy Easter Bunny with his white hair, lavender tie, pink-tinted glasses and green Newtown ribbon. Biden seemed to occasionally enjoy standing up, clapping while looking down at Boehner sulking in his chair.

This is what she means.

When John Boehner just sat there

And then we can move on to Maureen Dowd on Marco Rubio.

The ubiquitous 41-year-old — who’s on the cover of Time as “The Republican Savior” — looked as if he needed some saving himself Tuesday night as he delivered the party’s response to the State of the Union address in English (and Spanish). He seemed parched, shaky and sweaty, rubbing his face and at one point lunging off-camera to grab a bottle of water.

Oh, that water lunge.  How it will haunt poor Marco!

John Cassidy writing for the New Yorker, calls him “Water Boy”.

To be fair to Rubio, with a combination of eye contact and vigorous hand  gestures, he was doing a decent job with the tough task of delivering a lengthy  speech to a camera in an empty room. But then, for some reason—and it must have  seemed like an urgent one to him—he decided to reach for a small plastic bottle  on a nearby table and take a swig, thereby almost ducking out of the camera shot  and sending the Twitterverse into hysterics. “Uh-oh. Water gulp—really bad TV  optics,” Larry Sabato, a political science professor at the University of  Virginia, tweeted. “SNL, Colbert, Stewart…here they come.” After that  diversion, Rubio appeared to realize his error, and he looked a bit shaken. For  some reason, the camera closed in on his face, which didn’t improve things. As  the Democratic pundit Paul Begala cruelly noted on Twitter, the Senator was sporting a sheen  of sweat that inspired memories of Richard Nixon.

Meanwhile, the President looked confident and sometimes very passionate as when he mentioned the need for Congress to vote on gun safety legislation.

The Republicans looked more like their leader.

That is Paul Ryan in the center.

For right now, the President has the upper hand.  Neither Marco Rubio nor Rand Paul advanced any ideas beyond those from the last election – which they lost.  Plus they presented a bad image all around.  Maybe the Republicans are right in saying the President offered nothing new, nothing really that he didn’t talk about during the campaign, but there is a big difference:  Barack Obama won based in large measure on those ideas.  No wonder they look like four year olds being told they can’t have desert.  And poor Marco.  Only time will tell if he can overcome his reach for water.

Photographs AP/Charles Dharapak, Bill O’Leary/Post, Melina Mara/Post

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Responses to the State of the Union Address: being picked isn’t always a good thing

Quick.  Name the four responders to President Obama’s State of the Union/Joint addresses to Congress.  (The first one is not considered to be formal State of the Union.)  Give up?  I could only remember Bobby Jindal and Bob McDonnell so I had to look them up.

2009 – Bobby Jindal in an address remembered for his Kenneth the Page imitation.  If he ever decides to run for President, this will haunt him.

English: Governor Bobby Jindal at the Republic...

English: Governor Bobby Jindal at the Republican Leadership Conference in New Orleans, Louisiana. (Photo credit: Wikipedia)

2010 – Bob McDonnell the governor of Virginia who tried to rectify Jindal’s mistakes by giving his speech in the Virginia State House before a live hand-picked audience.  And then he became known as Governor Ultrasound and his Presidential chances disappeared.

2011 - Paul Ryan.  Representative Ryan did run for higher office tied to Mitt and, as we know, they lost.  He is young and maybe can run again someday if the Tea Party ever gains firm control over the Republican Party.

2012 - Mich Daniels, governor of Indiana.  This was supposed to be a stepping stone to the Presidential nomination.  Didn’t happen.

So this year we have Marco Rubio giving the response in English and in Spanish (so we are told).  He is trying to position himself as the young, fresh face for a 2016 run for the Presidency.  I have alread heard some Republican consultants saying  he’s young and Joe Biden and Hillary Clinton are old and that is good for the Republicans.  But State of the Union responders don’t have a very good track record, so we shall see.

English: Official portrait of US Senator Marco...

English: Official portrait of US Senator Marco Rubio of Florida. (Photo credit: Wikipedia)

Go to this link to see a short video of memorable moments.

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What does Chuck Hagel have to do with Benghazi?

I wish someone would explain to me what someone who was not even a government official at the time has to do with Benghazi?  Is Chuck Hagel just leverage?  Believe me, the Obama Administration could show live action footage of the event as it unfolded and the Republicans still wouldn’t be happy.

According to Politico

One Armed Services Committee member, South Carolina Republican Sen. Lindsey  Graham, has made clear that he considers Benghazi and Hagel to be one issue —“no confirmation without information,” he said Sunday, threatening to block both  Hagel and CIA nominee John Brennan. Graham is demanding more details from the  administration about its response to the Benghazi attacks, particularly the  direct involvement of President Barack Obama.

And then you have James Inhofe.  Again from Politico

A spokeswoman for Sen. Jim Inhofe (R-Okla.) confirmed to POLITICO that he wanted  to drag out the confirmation process for the former Republican senator from  Nebraska.

Inhofe’s threat continued GOP brinksmanship that got under way on Sunday when  Republican aides first said that some senators might walk out of a meeting that  included a vote on Hagel. Inhofe and another top Republican on the committee,  Sen. John McCain of Arizona, both said Monday they would not walk out, but  Inhofe repeated his vow to press the battle against Hagel.

It appears very much as if the Republicans have forgotten that they are a minority in the Senate.  If Chair Senator Carl Levin calls for a committee vote, it will be along party lines which he didn’t want.  But I don’t think there will be any bipartisan agreement there.  According to the New York Times, Levin

…called Monday for a committee vote on Tuesday afternoon on the nomination of former Senator Chuck Hagel to be the next secretary of defense.

The committee action has been postponed for the past week over evolving demands from Republicans for new documentation on Mr. Hagel’s past statements, personal financial records and even a sexual harassment allegation involving two former staff members, but not Mr. Hagel himself. As action has drawn closer, Republican opponents to a former Senate Republican colleague have threatened filibusters and even a walkout from the committee.

Once Hagel’s nomination reaches the floor, vote counters believe that there will be 60 votes to break any attempt at a filibuster.  Maybe Majority Leader Reid need to reconsider his agreement with Senator McConnell since I don’t think it is going to work.

But Mr. Levin’s decision to call for a public discussion and vote, starting at 2:30 p.m. Tuesday ahead of President Obama‘s State of the Union address, indicated that the chairman still believes that Mr. Hagel has enough support to be confirmed. Committee aides say they have no indication that any Democrats or Senate independents will oppose him, putting him at 55 votes to start. Two Republican senators, Thad Cochran of Mississippi and Mike Johanns from Mr. Hagel’s home state, Nebraska, have pledged their support, and at least four Republicans have said they will oppose a filibuster.

And I still want to know what Chuck Hagel has to do with Benghazi, Senator Graham.  I think we all know that this really has to do with the fact that Hagel is not a war hawk and will figure out a way to cut the defense budget.

Photograph Brendan Hoffman for The New York Times

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Confirming Chuck Hagel

Republican Chuck Hagel, a former two-term senator from Nebraska and President Obama's choice to lead the Pentagon, testifies before the Senate Armed Services Committee during his confirmation hearing on Capitol Hill in Washington, Thursday, Jan. 31, 2013

Republican Chuck Hagel, a former two-term senator from Nebraska and President Obama’s choice to lead the Pentagon, testifies before the Senate Armed Services Committee during his confirmation hearing on Capitol Hill in Washington, Thursday, Jan. 31, 2013

Let’s just get this out of the way:  Former Senator Chuck Hagel is not perfect.  There are things that the Democrats don’t like (he may cut some of their pork, for one) and that the Republicans don’t like (he doesn’t seem to like war for example).  Hey, when both sides have some problems with you, maybe that does make you perfect!

I do think that Hagel will be confirmed at Secretary of Defense, but the vote will likely be close.  I like the nomination for exactly the examples I gave.  Hagel will have to cut the defense budget one way or another, he will have to deal with contractor abuses, and he will be very reluctant to get us into war.  And maybe he will begin a conversation within the administration about rules for drone strikes.  It seems to me that it will be useful to have to combat veterans, Kerry and Hagel, looking at issues of war and peace.

George Zornick has been followed the confirmation hearing for the Nation and has compiled his top ten ridiculous questions that were asked.  Here are some of the best.

He has divisions so first the “Please Admit You Hate America” Division

Senator James Inhofe, R-OK: The question I’d like to ask you, and you can answer for the record if you like, why do you think that the Iranian foreign ministry so strongly supports your nomination to be the secretary of defense?

“Please Pledge, Here and Now, To Start A War” Division

Senator John McCain, R-AZ: Do you think that Syrians should get the weapons they need and perhaps establish a no-fly zone? [A no-fly zone would, almost without question, quickly lead to a full-scale air war with Syria.]

It should be noted that almost everyone seemed to want to know if he would use force if necessary against Iran.

“Please Promise to Keep the Pork Flowing to my State” Division (the winners were all Democrats, two from New England, I picked Jeanne Shaheen for some gender balance.)

Senator Jeanne Shaheen, D-NH: Our four public shipyards are the backbone of our naval power. But according to the Navy there’s huge backlog of the modernization and restorations projects at our shipyards.… Will you commit to ensuring that this modernization plan is produced, and will you commit to pressing the Navy, within the fiscal constraints that I appreciate, to fully fund the improvements in the long term?

And finally we have questions that were ridiculous but “We Really Wish Hagel Would Have Answered ‘Yes’ To “Division

Senator Ted Cruz, R-TX: Senator Hagel, do you think it’s appropriate for the chief civilian leader for the US military forces to agree with the statement that both the ‘perception and the reality’ is that the United States is ‘the world’s bully’?”

All I can say is good luck Secretary Hagel.  We wish you well.

Photograph: AP Photo/J. Scott Applewhite

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Hopes for Obama 2.0

I thought this was a good summary of President Obama’s first term and what we hope can be avoided.

And they are still working on it.  Just look at Mike Luckovich

The more things change the more they stay the same.  John McCain is mischaracterizing Hillary Clinton’s testimony and it looks, right now like Harry Reid is going to cave on filibuster reform after all but it is an evolving situation.

And if you want another sign that nothing has changed, John Boehner is accusing Obama of destroying the Republican party.  I think they are doing a pretty good job without the President’s help.

Collage of pictures of John Boehner crying.

Boehner Collage – Jed Lewison

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Roe v. Wade at Forty

Posted this morning on Maddow blog this new chart which includes information from an NBC/Wall Street Journal poll.

Exactly 40 years ago today, the U.S. Supreme Court issued its Roe v. Wade ruling. In a 7-2 decision, the court majority decided that Americans have a constitutional right to privacy, which includes being able to terminate an unwanted pregnancy.

I think that the Republican efforts to curtail abortion, to close clinics and to subject women who want to terminate an unwanted pregnancy are having an opposite effect than the one they want.  Kinda like voter suppression which just made people angry enough to stand in line for hours.

The high level of support for Roe comes with some underlying issues that we need to work on.  Bryce Covert just posted some interesting charts at the Nation about the economics of having an abortion.  The charts come from the Guttmacher Institute.  Here are two.

Guttmacher poor women

GuttmacherProviders

The support for keeping Roe has been steadily increasing.  Now we have to figure out how to implement the decision so it means something.