The Obama Administration

What Raising the Medicare Eligibility Age Means

President Johnson signing Medicare into law in 1965.

After a campaign in which Republicans attempted to pillory Barack Obama for finding $716 billion in savings from Medicare (via cuts in payments to insurance companies and providers but not cuts to benefits), those same Republicans now seem to be demanding that Obama agree to cuts in Medicare benefits as the price of saving the country from the Austerity Trap, aka fiscal cliff. Oh, the irony! You'd almost think that they weren't really the stalwart defenders of Medicare they pretended to be.

And there are some hints that the Obama administration is seriously considering agreeing to raise the Medicare eligibility age from 65 to 67 as part of this deal. It's a dreadful idea, and as we discuss this possibility, there's one really important thing to keep in mind: Medicare is the least expensive way to insure these people. Or anybody, for that matter. In all this talk of the bloated entitlement system, you'd be forgiven for thinking Medicare was some kind of inefficient, overpriced big government program. But the opposite is true, and that's why raising the eligibility age is such a dreadful idea.

Be Afraid, Be Very Afraid: SCOTUS Takes on Same-Sex Marriage

Flickr/Jamison Weiser

Tonight, you’ll hear on the news that the Supreme Court has agreed to hear the "gay marriage cases.” Much of the mainstream (i.e., straight) media will be treating the two cases they’ve taken—a challenge to California's ban on same-sex marriage, Proposition 8, and a challenge to DOMA, the federal law that prohibits the government from recognizing same-sex marriages performed in the states—as essentially the same. Don’t be fooled. The cases are very different. The fact that SCOTUS has taken both has a lot of us very worried.

What's Next for Immigration Reform?

Flickr/Anuska Sampedro

President Obama has called it the “biggest failure of [his] first term.” Now, having once again been elected with a sizable majority of the Latino vote and with key Republicans seemingly on board, the administration has begun pressuring Congress to take up immigration reform. The president has said he plans to introduce an immigration-reform proposal shortly after his inauguration, and Senators Lindsay Graham and Chuck Schumer, who led the failed effort for immigration reform in 2009, have “resumed talks.”

In previous legislative battles over immigration going back to George W. Bush’s second term, the key sticking point has been what to do with the estimated 11 million undocumented workers currently in the country. Another point of contention is whether to pass a “comprehensive” bill—one that addresses a broad range of problems with the immigration system including enforcement, the visa system for high-skilled workers, family-unification policies, the status of children brought to the U.S. illegally, and the administration of future migration—or whether it is better to reform the immigration system piecemeal.

Forget the Fiscal Cliff—We've Got Other Problems

Flickr/DonkeyHotey

The “fiscal cliff” is a metaphor for a government that no longer responds to the biggest challenges we face because it’s paralyzed by intransigent Republicans, obsessed by the federal budget deficit, and overwhelmed by big money from corporations, Wall Street, and billionaires.

If we had a functional government America would address three “cliffs” posing far larger dangers to us than the fiscal one:

The child poverty cliff.

Folks Like Me

When President Obama calls for raising taxes on the top 2 percent, he has a habit of declaring that, “Folks like me” should pay higher taxes. He used the phrase dozens of time during the campaign, and just this week again in an interview on Bloomberg.

Either someone on the president’s speechwriting staff has a tin ear, or Obama himself does.

For starters, the comment puts unnecessary distance between the president and the citizenry. It signals: I am not like most of you. I am far wealthier.

It's Time to Kill the Debt Ceiling

(AP Photo/CBS News, Chris Usher)

There are a number of strange aspects to the negotiation/maneuvering/posturing now taking place between the White House and congressional Republicans about the Austerity Trap (a.k.a. fiscal cliff), but one that hasn't gotten much attention is the disagreement over the debt ceiling. As part of their initial offer, the White House included something I and other people have been advocating for some time: Just get rid of the debt ceiling altogether. The Republicans, particularly in the House, don't seem to be interested. But we should take a good look at how crazy their position on this issue is.

In an ordinary negotiation, each side has things it wants, while it dislikes some or all of the things the other side wants. A union wants higher wages for its workers, while the company doesn't want to pay the higher wages. You'd rather have your partner do the laundry while you do the dishes, but your partner doesn't like doing the laundry either. The White House wants to increase taxes on the wealthy, which Republicans don't like, while Republicans want cuts to social programs, which the White House doesn't like.

But the debt ceiling is something entirely different. In this case, what Republicans want is the ability to plunge the country into a financial catastrophe, making life miserable for who knows how many Americans. That's what they want. Seriously.

A New, Tougher Obama?

(AP Photo)

In response to pushback from Congress and progressive activists following a report in Thursday’s Wall Street Journal that Obama had offered to be “flexible” on tax-rate hikes for the very richest, the White House formally unveiled a tough bargaining stance: $1.6 billion in tax increases over a decade, all on the top two brackets, and no tax hikes for the bottom 98 percent.

Snatching Defeat out of the Jaws of Victory

(AP Photo/Susan Walsh)

President Barack Obama, to his great credit, has drawn a bright line. Taxes have to revert to the rates that were in effect before the Bush tax cuts for the richest 2 percent.

This is crucial because the less the very rich pay, the more others have to pay either in the form of less tax relief for the bottom 98 percent or on program cuts like Social Security and Medicare.

Or has he drawn that line?

Will Tim Geithner Lead Us over or around the Fiscal Cliff?

I’m trying to remain optimistic that the president and congressional Democrats will hold their ground over the next month as we approach the so-called “fiscal cliff.”

But leading those negotiations for the White House is outgoing Secretary of Treasury Tim Geithner, whom Monday’s Wall Street Journal described as a “pragmatic deal maker” because of “his long relationship with former Treasury Secretary Robert Rubin, for whom balancing the budget was a priority over other Democratic touchstones.”

The Election Heard Round the Watercooler

(Flickr / striatic)

This year's election wasn't the most negative in history, or the most trivial. But it did see a few new developments, including one particularly troubling one: the spread of politics into some places it used to be unwelcome. And not just any politics, but a kind of ill-informed, antagonistic kind of politics, the kind that says that your party losing is literally a national catastrophe and that there is no such thing as an opponent, only an enemy. When we hear ridiculous stories like that of the gun store owner in Arizona who took out an ad in the local paper proclaiming, "If you voted for Barack Obama, your business is NOT WELCOME at Southwest Shooting Authority," we aren't surprised.

What Do Republicans Want?

(AP Photo/Jacquelyn Martin, File)

As we head into negotiations on the Austerity Trap (better known by the inaccurate moniker "fiscal cliff," which I refuse to use), there's a clear narrative emerging. This narrative has it that Democrats want to see taxes increase on rich people, which Republicans aren't happy about, while Republicans want to see entitlement "reform," which Democrats aren't happy about. So once everybody gives a little, and Republicans accept some tax increases for the rich while Democrats accept some "reform" of Social Security and Medicare, then we can have a happy ending.

The problem with this is that while the Democrats' position is quite clear—the Bush tax cuts should expire for income over $250,000—the Republicans' position is extremely vague, on both the tax side and the entitlement side. Let's take taxes first. A bunch of Republicans are being praised for their willingness to violate Grover Norquist's pledge to Never Raise Taxes In Any Way Ever Never Ever. Yet they're remaining steadfast that tax rates must stay the same, while allowing that maybe we can trim some deductions for the wealthy. As Steve Benen points out, some are acting like these Republicans are being generous for essentially taking the position that they support Mitt Romney's tax plan. Perhaps they're assuming that the wealthy will be able to cleverly evade any limitation on deductions, so it won't make a difference to their primary constituency. But in any case, we haven't heard them take a specific position. Are they proposing a hard cap on all deductions? Eliminating certain deductions while keeping others? We don't yet know.

Then we get to the price Republicans are going to want to exact for any agreement to stop the Austerity Trap, and this is where they're really vague. They want "reform" of entitlements. And what is "reform," you ask? Well, nobody ever says...

Deterrence Can't Replace Diplomacy

Israel's offensive shows the limits of military intervention.

(Rex Features via AP Images)

As I write, and pray for a ceasefire, rockets continue to swarm out of Gaza; Israeli planes continue flock to strike the Hamas-ruled enclave.

This has been an unequal battle in at least two ways. The rockets are indeed a form of terrorism, tired as that word is: The men firing them want to kill random people for a political purpose. Only the technological wizardry of the Iron Dome anti-missile system has kept Israeli casualties low. Israeli pilots, in contrast, aim smart bombs at military targets. But if a bomb is misaimed or the target is inside a crowded neighborhood, the blast is stupid; it kills children as easily as Hamas fighters. Thus the toll rises among people whose only offense is living in Gaza.

The Judicial Bush Doctrine

(AP Photo/J. Scott Applewhite)

President Obama needs to be more like George W. Bush.

Bush understood that a president’s longest-lasting legacy is often the judges who receive a lifetime appointment to the federal bench. He understood that another Republican will occupy the White House someday, and they will need a slate of potential nominees to the Supreme Court. And he understood that the judiciary can quietly implement an unpopular conservative agenda that would never survive contact with the elected branches of government.

Fiscal Cliff: The End Game

(AP Photo/Charles Dharapak)

President Barack Obama continued to display a new toughness about the debt negotiation at his first post-election press conference yesterday. He confirmed publicly what he has been telling progressive leaders privately. He will not give on the principle that taxes—rates as well as loophole closings—must be raised on people earning over $250,000 a year.

“We should not hold the middle class hostage while we debate tax cuts for the wealthy,” he declared. Obama has also told progressive leaders that he is looking for $600 billion more in other tax increases on the well-to-do, in order to reduce the pressure for spending cuts.

Note to Obama: Shoot First, Compromise Later

(AP Photo/Jae C. Hong, File)

I hope the president starts negotiations over a “grand bargain” for deficit reduction by aiming high. After all, he won the election. If the past four years have proved anything, it’s that the White House should not begin with a compromise.

Assuming the goal is $4 trillion of deficit reduction over the next decade—that’s the consensus of the Simpson-Bowles Commission, the Congressional Budget Office, and most independent analysts—here’s what the president should propose:

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