"The new House Majority has made tremendous strides, altering the debate on Capitol Hill from whether or not we should cut spending to how much we should cut. It's amazing how much can change in just a few short months!"As disheartening as I found that proclamation, seeing as I am generally on the opposite side of the political spectrum, I couldn't deny that it is entirely true. At this point, there are two sides to the budget debate in Washington: those who believe government spending should be slashed as much as possible, and those who are too scared to argue. So, effectively, there is one side.
Throughout the week, we saw Republicans take the budget deal hostage, and we saw Democrats in Congress and the White House give in. So evident was this surrender that, as Paul Krugman points out, Obama didn't seem to notice he was defeated. In fact, he was celebrating the avoidance of a government shutdown when he and his party had given in to the largest spending cuts in US history.
So where is the other side? Where is the president who approved the largest stimulus package in US history as an appropriate fiscal response to the financial crisis? Where are the representatives who approved this package along with monumental financial and health care reforms?
I don't know, but they're certainly not in Washington.
Last Friday, as the looming threat of a shutdown came to the forefront of political discourse, Krugman wrote a scathing column entitled "The Mellon Doctrine". He criticized the Republican policy that spending should be slashed, taxes should be cut, and the budget imbalance should be immediately addressed in the midst of a still-painful recession. And while this isn't particularly shocking, for the Republicans have always ignored the 80 years of economic theory that clearly calls for an increase in government expenditures to make up for the loss in private expenditure and investment inherent in a recession, it is depressing nonetheless. At this point, their fiscal policy resembles uncannily that of Herbert Hoover's Secretary of the Treasury, Andrew Mellon. And we all know how successful that was (see Great Depression).
Yet Krugman's more depressing point still was that Democrats have no response. Despite the (albeit limited) success of the stimulus package in preventing even worse unemployment, and despite clear historical evidence showing the devastating effects of trying to balance the budget in the midst of a recession (see Japan's "lost decade" and, again, the Great Depression). And despite the clear failings of current austerity measures in places from England to Portugal and beyond, the Democrats can do nothing but hold out for $33 billion in cuts instead of $38 billion.
A democracy cannot function without two reasonable parties. For more evidence of this, see Nick Kristof's recent column. At this point, with the Republicans proposing a budget for 2012 that cuts taxes for the rich while cutting programs for the poor and elderly, and contains absolutely no concrete evidence that it can indeed decrease the deficit, it's fair to say that, at least on this question of the budget, one side is unreasonable. And, with the other side resigning to the role of a less extreme version of the first, they are both unreasonable. That 0 for 2, incase you were counting.
It's hard to be optimistic in these times. As my friends from around the world who will be attending Harvard with me next year ask me why my country, the "greatest democracy in the world," was so close to a government shutdown, I could give no real answer. The behavior of our leaders is ineffective, inexcusable, and undeniably damaging to the future of our nation.
Great post Daniel! There are a lot of people on the left that are echoing the same frustration due to the President's abandonment of clean-energy and global climate change. Democrats have largely abandoned any real attempt to address climate change, and have instead simply told the EPA to regulate it, without putting down a framework. It's frustrating now isn't it?
ReplyDeleteThoughtful post Daniel. I do not have much to add, you pretty much covered I think what a lot of democrats and people throughout the US are feeling. However, I would like to say that over the course of this blog your writing and voice have improved and the result is both witty and serious - great job!
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