Budget

Government-Shutdown Crisis Proceeding on Schedule

Eric Cantor, liberal stooge. (Flickr/Gage Skidmore)

What with all the attention being paid to Syria, most people have forgotten that we're just three weeks away from a government shutdown unless Congress passes a continuing resolution (CR), which is the (relatively) quick-and-easy way of keeping the government operating at current funding levels without writing a whole new budget. As you may remember, Tea Party Republicans in the House would like to use the threat of a government shutdown to force a defunding of the Affordable Care Act, or Obamacare, while the Republican leadership, conservatives to a person, realizes that this is spectacularly stupid. If they actually hold up the CR with a defunding demand, Barack Obama will say no, the government will shut down, Republicans will get every ounce of the blame, and it'll be a complete disaster for the GOP. Eventually they'll give in and pass a CR, but only after having caused a crisis and eroding their brand even further, and by the way not actually defunding Obamacare.

So House Majority Leader Eric Cantor came up with something resembling a solution. The way it would work is that the House would pass two versions of the CR, one that defunds Obamacare and one that doesn't. They would then send them to the Senate, which would presumably pass only the one that doesn't defund Obamacare, which Obama would then sign. As Politico describes it, "The arrangement allows all sides to express themselves, but it surrenders the shutdown leverage that some conservatives hunger for." And not surprisingly, Tea Partiers both inside and outside Congress don't like it.

The Return of One of the GOP's Dumbest Ideas

Flickr/KAZ Vorpal

Lord help us, is the balanced budget amendment—one of the dumbest policy ideas the right ever cooked up (and that's saying something)—actually back? Only time will tell, but today on the New York Times op-ed page today, two prominent conservative economists, Glenn Hubbard and Tim Kane, try to revive it with an argument so unconvincing that I worry it's going to be embraced by every Republican in sight. If you think the sequester was a terrific idea and worked out great for everyone, have they got a deal for you.

Rand Paul Doesn't Know What He's Talking About (In Charts)

Look inside for the big version. You know you want it.

Blazing Republican supernova Rand Paul is emerging as the most media coverage-getting-est potential 2016 candidate, and while there's a good chance he'll end up being that year's Michele Bachmann, there is one thing he keeps repeating that requires a little clarification. It's become one of those things that folks just "know" about the world, even though it's utterly untrue. And since the best way to counter any piece of misinformation is with an attractive and enlightening chart or two, I thought that's what the situation needed.

The Long Road to a Decent Economy

AP Images/Carolyn Kaster

To underscore a weeklong initiative by President Obama on behalf of rebuilding the middle class, the latest figures on GDP growth, released Thursday, and on job growth, made public Friday, show just how far from a healthy middle class economy we are.

How to Keep Bad Cops on the Beat

A few states forego a key tool protecting the public from rogue police officers.

AP Photo/Harold Valentine

David Silva died during an arrest in Bakersfield, California on the night of May 8. The Kern County sheriff’s department contends that the 33-year-old was drunk and uncooperative and fought back during the arrest. The sheriff’s deputies on the scene also fought back during the arrest—using unreasonable and excessive force, as the civil-rights lawsuit Silva's family filed charges—allegedly beating Silva with batons while he lay on the ground.

One of the accused deputies has the same name as one charged in the 2010 beating of a man that resulted in a $4.5-million court judgment against Kern County. County sheriff Donny Youngblood declined to tell The Los Angeles Times whether he is the same officer.

Republicans' Immigration Spending Spree

Courtesy of U.S. Customs and Border Protection

When the nonpartisan Congressional Budget Office (CBO) released its analysis of the Gang of Eight's immigration bill Tuesday—which showed the legislation would cut the deficit by $197 billion over the next 10 years and by $700 billion over the next 20 thanks to tax revenue from increased economic activity—its opponents pounced. “If there’s one thing Washington knows how to do, it’s to come up with bogus cost estimates,” Texas senator Ted Cruz told right-wing radio host Rush Limbaugh. Senator Jeff Sessions of Alabama, who like Cruz sits on the Senate Judiciary Committee and has been a staunch opponent of the bill, assailed the agency for failing to account for spending past the first 10 years (the agency typically does not conduct detailed cost projections past 10 years given the difficulty of doing so accurately).

The End of the Austerity Crusade?

Rex Features via AP Images

Is President Obama planning to reverse course on deficit reduction? You will recall that the president joined the deficit-hawk crowd in calling for more than $4 trillion of deficit reduction over the next decade; that he has offered to cut Social Security and Medicare as part of a grand bargain (that the Republicans mercifully rejected); that it was Obama who appointed the Bowles-Simpson Commission; and that his own budget for FY 2014 includes substantial spending cuts.

Regular Order, Meet Schadenfreude

AP Photo/Charles Dharapak

Regular order. For the past few months, it’s been a Republican byword, the potential cure to all that ails Washington. “The right process is the regular order,” Alabama Senator Jeff Sessions, the ranking Republican on the Budget Committee, said in a statement this past January. “A second term presents the opportunity to do things differently, and in the Senate that means a return to regular order,” Senate Minority Leader Mitch McConnell said on the Senate floor earlier this year. “I believe that it’s time to do regular order,” House Speaker John Boehner told ABC News in March.

The ceaseless parade of commissions, super committees, and gangs of six and eight could be traced back to the lack of a Democratic budget for these regular-order evangelicals. After all, Senate Democrats hadn't even managed to propose a budget since the first year of Barack Obama's presidency.

The Millennial Squeeze

It's not Social Security deficits that are destroying the life chances of the young but a prolonged slump confounded by bad policies. 

AP Images/Jacquelyn Martin

AP Images/Jacquelyn Martin

Bad Faith and Budget Politics

Obama has to do business with people who cannot be trusted to own up to their side of a deal.

AP Images/Jacquelyn Martin

Compromise is often an unhappily revealing art. “Ideals may tell us something important about what we would like to be. But compromises tell us who we are,” the philosopher Avishai Margalit writes. In finding compromises with Republicans on the federal budget, Democrats need to remember not only who they are but who the voters depend on them to be.

It’s All about the Primaries

AP Photo/Rainier Ehrhardt

He’s already given political culture one of the great euphemisms ever for having an affair. And now the Appalachian trail walker, Mark Sanford, has become a terrific example of one of the core ideas of political parties and democracy: It’s all about the primaries.

Sanford won back his old House seat in a special election on Tuesday. Smart liberal commentators noted that Republicans had little choice. Paul Krugman:

You've Got Sales Tax

flickr/Chris_Hancock

In 1984, CompuServe launched the first “Electronic Mall,” a Pleistocene-era Amazon with which owners of a TRS-80 personal computer could browse and buy goods over the Internet. Such modern retailers as “The Record Emporium” and “The Book Bazaar” were given prominent virtual storefronts. A full page ad in the May 1984 issue of Online Today boasted, “By the year 2000, the world may catch up with the way CompuServe’s new Electronic Mall lets you shop today.” The world took less time to catch up than that: By 1995, eBay and Amazon had been incorporated; in Amazon’s first two months as an online bookstore, it averaged $20,000 per week in sales. Americans would go on to spend around $700 million online in 1996, and by 1999 sales had grown to $20 billion. Figures released earlier this year by the Commerce Department revealed that Americans spent $225 billion online in 2012—a 400 percent increase in only a decade.

Bad Flight Plan

Flickr/vmarta, Kent Wein

The decision by Senate Democrats last week to restore funding to the Federal Aviation Administration (FAA)—which was cut when the “sequester” took effect in March and led to flight delays that angered a wide swath of Americans—was a clear loss for Democrats in the ongoing budget wars. Rather than cave and reverse the cuts, Democrats should have used the public discontent about budget cuts as leverage to pressure Republicans. They squandered this opportunity.

A Crossroads for Hillary

Titanic Belfast / Flickr

Hillary Clinton is making all the early moves of someone preparing to run for president, though she has given herself plenty of time to rest, rejuvenate, and review a final decision. How, however, President Obama’s ill-conceived plan to cut Social Security benefits via a “technical” change in the inflation index will force Clinton to make an awkward choice.

Most Democrats in both houses of Congress are not happy with this backdoor cut in Social Security. It is both fiscally unnecessary and spectacularly bad politics. Republican leaders are already bashing Obama for selling out retirees. After Obama released his budget, Republican Congressional Committee Chairman Greg Walden of Oregon went on CNN to accuse the president of “a shocking attack on seniors. Resolutely defeneding Social Security in the face of periodic Republican forays at cutting or privatizing America’s most popular program has always been one of the Democrats’ great appeals. Obama gave that away.

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