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Article first published as GOP vs. Dems; No Compromise Equals No Solutions on Technorati.

Politics can be very complicated, or at the very least confusing. Case in point: what is it about the Republican pronouncement of “NO COMPROMISE” that President Obama and the congressional Democrats don’t understand?

Did they miss it when John Boehner, the presumptive Speaker of the new Republican controlled House, announced that, “This is not a time for compromise?”  Perhaps they misunderstood high-ranking Republican House member, Mike Pense of Indiana, when he said, “Look, the time to go along and get along is over,” even though he reemphasized, stating, “If I haven’t been clear enough yet, let me say again: No compromise.”

Is it possible that the President took Senate Minority Leader Mitch McConnell’s statement that, “The single most important thing we want to achieve is for President Obama to be a one-term president” as some sort of conservative jest?

It’s hard to tell what the President hears when congressional Republicans throw down the gauntlet and demand that he move in their direction. But, in response to the wave of emboldened Republicans taking intransigent positions against any sort of compromise, President Obama told the nation, “I believe there’s room for us to compromise and get it done together.”

The saying goes, “Fool me once, shame on you; fool me twice, shame on me.” Fool me over and over again, and maybe the people who believe I’m actually being fooled are the ones being hoodwinked. Is President Obama really so foolish as to believe that the Republicans will engage in open, good-faith negotiations, or is he merely a performer in a stage show written and produced to convince the American people that somebody in Washington wants the status quo to change?

When the President spoke in Cleveland in September, he came out swinging. He artfully painted the Republicans as the champions of the very wealthy and articulated a plan for the extension of the Bush tax cuts that drew a line in the sand, defining $250,000 of taxable income as the divide between the middle-class and upper-crust. It was the perfect issue for the closing weeks of campaign 2010, but cowardly Democrats backed away in fear that the Republicans would paint them as tax-and-spend liberals.

Well, not only did the Democratic retreat fail to impress any independents, but it also ensured that there would be no resurgence of enthusiasm within progressive ranks. In fact, the real story of Election 2010 wasn’t the great turnout of Republican supporters, but rather that blacks and young voters stayed home. If even half of those who poured out to the polls in 2008 had been moved to vote, the election results would have been much different.

But whatever the case, the 2010 election is over, the Democrats got their collective butts kicked, and the Republicans have already started Campaign 2012. Republican leaders now insist that the election was a refutation of President Obama’s policies and promise a Republican led Congress that will focus on jobs and the deficit.

Americans rightfully rejoice that the promised focus is exactly where it should be, but in what has become the united chorus of one-trick-pony conservatives, the legislative remedy being offered is the extension of the Bush tax cuts for the wealthy. In fact, fed by their new found sense of power, Republicans have become more intractable regarding any compromise on the wealthfare benefits and now insist that the extensions for the rich be made permanent.

Prior to the election, Republicans seemed amenable to a potential decoupling of the cuts along the lines suggested by President Obama. The notion was that cuts for the top 2% might be extended for a limited time period while those for the bottom 98% were made permanent. But according to House Minority Whip Eric Cantor, there will be no such compromise. In a recent interview, Cantor told Greta Van Susteren of Fox News that the election gave the GOP a mandate to hold fast and accept only an extension of all cuts.

Just how the Republican leadership can reconcile their position on the tax cuts with their promise to focus on either jobs or the deficit is the subject of some serious snake oil peddling.

According to Cantor, it’s all about clearing up that “uncertainty“ the Republicans keep talking about: “We’ve got to put certainty back into the game and get these tax rates to stay the same.” But of course this is complete nonsense, since whichever way the cuts are decided, once the decision is made, the uncertainty is removed.

To the man, each of the Republican leaders has also associated the cuts for the top 2% with small business, claiming that 50% of small business revenue will be affected. Sadly, the small businesses they’re referring to are large hedge funds, law offices, and billion dollar companies like Bechtel and Koch Industries. These are the clients of the Republican Party, not the 98% of all small businesses that make less than $250K.

The sad truth is that no respectable economist believes that cutting taxes for the rich will do anything to create jobs. That horse just doesn’t run anymore — not since the results of 8 years of the Bush presidency where such cuts were a mainstay were tabulated and found to be severely lacking. The worst job creation record since the 1940s and the first decline of median household income of any cycle since 1967 are not sound arguments for repeating the policy.

And where the tax-cuts-create-jobs argument is no more than a con-job, even that bar is too high when discussing the impact on the deficit. Virtually all reputable economists agree that tax cuts are the worst form of economic stimulus, and cuts for the rich the worst of all. The Republicans are essentially without even a distorted con to explain away the $700 billion cost of the tax cuts for the top 2% over the next 10 years.

The cuts the Republicans are fighting for won’t create jobs but will add significantly to the deficit. These “fiscal conservatives” espouse fiscal responsibility and feign help for small business and middle-class America but willingly sacrifice both for the wellbeing of their corporate overlords. And the Democrats respond by offering compromise.

Just what part of slam dunk, hanging curve, lob-ball pitch do the Democrats not understand?

The Democrats need to go back on November 15 and work to pass the extension of the Bush tax cuts for those making under $250K during the lame duck session. It’ll be interesting to watch the Republicans argue why the very rich need the cuts and explain to the American people why increasing the deficit for those who don’t need the money makes sense. Their argument promises to be a mind-numbing spectacle of double-talk and diversion.

This is a win-win for the Democrats — any compromise is just once again playing into Republican hands and allowing them to set the agenda and color the conversation. The Democrats need to accept the fact that the Republicans who would not negotiate in good faith while in the minority are certainly not going to do so now. They need to figure out that the Republican campaign for 2012 has already begun and launch their counteroffensive. If they’re not willing to do so, they might as well just start packing their bags now.


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Dorothy meets the Cowardly Lion, from The Wond...
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Article first published as Thirty-one Cowardly Democrats on Technorati.

President Obama took the initiative earlier this month to use his bully pulpit and give the Democratic base a reason to get out and vote in November. He started the final weeks before the election out stumping and defining the differences between the parties. Democratic voters could feel the momentum start to build. But one week later, the cowardly lions on the left began their customary collapse, and with their tails between their legs decided to join ranks with the Republicans.

To his credit, the President first took the podium in Milwaukee on Labor Day and revealed his $50 billion infrastructure plan. Two days later he came out swinging in Cleveland and attacked the Republicans on everything from their obstructionism to their factitious support of small business. He focused much of his message on the $250,000 line drawn in the sand over the expiration of the Bush Tax Cuts and set the stage for an 8-week fight over who really represents the middle class.

But obviously not up for the fight, on Wednesday, 31 Democrats broke ranks and signed a letter to Speaker Pelosi advocating for the extension of all of the Bush tax cuts, including those for the top 2%. The letter starts with “In recent weeks, we have heard from a diverse spectrum of economists, small business owners, and families who have voiced concerns that raising any taxes right now could negatively impact economic growth.” In other words — we don’t have the courage of our convictions and believe that we may lose votes if seen as supporting tax increases.

The single page letter goes on to attempt to justify the cowardice, stating that the upper tax brackets include only 2%-3% of tax payers, but that “they are responsible for 25% of national consumer spending.” It states further that 70% of our economy is driven by consumer spending, therefore “this is not the time to jeopardize further growth.” Of course ALL of these statements are true, but the conclusion is a non sequitur fallacy.

People in the group in question would be reporting $250,000 or more in taxable income. By definition they would already have the money to continue their 25% of consumer spending. They are obviously not the people being adversely affected by the economic collapse or they wouldn’t be reporting such high income. Contrary to what the letter implies, most economists agree that the money saved by this group would largely be set away in savings and have no impact on stimulating the economy. Besides, as the President has articulated, the rich would still be receiving the very same tax relief on the first $250,000 as everyone else.

The letter also offers up the same tired Republican distortion regarding the overlap of the top 2% and small business. Reciting statistics stating that “up to one-third of high-income taxpayers are small business owners,” these Republicrats assert that expiring the cuts for the rich will cost jobs and harm the recovery. Of course they know better than that. They know that only 2%-3% of real small businesses fall in to this category. They know that the “small businesses” in this group are actually the largest law firms, hedge funds, and other elitists that employ very few people. This is pure “I’m not a tax raiser” politicking.

Liberals need to seriously consider whether or not there’s anything on the planet more cowardly than a congressional Democrat. This entire maneuver is because they’re worried that the mean old Republicans might spin their support of tax cuts for only the middle class into perceived support for raising taxes, even if on the rich . . . poor Democrats. So, instead of saying, “Hell yes! We support relief for the middle class,” the Democrats are willing to bow down again. Football fans will recognize their strategy in the many NFL teams who go into a “prevent” defense in the fourth quarter to protect a lead, and ALWAYS wind up losing. Democrats play not to lose while the Republicans play to win.

Democrats need to learn that public opinion follows spin, so instead of letting the Republicans do the spinning, the damn Democrats need to get out there and tell the story. The only reason the Republicans get away with adhering to a strict loyalty to the upper 2% and still get elected is because the Democrats allow them to get away with a constant barrage of fact-free propaganda. Republicans by necessity use distortion, hyperbole and outright lies to obfuscate their true agenda, but the Democrats are too afraid to expose them, fearing that public opinion may not roll their way.

Now, even on an issue where the Democrats are obviously acting on behalf of 98% of the population (whether the people know it or not), these cowardly 31 are still too timid to push the agenda. What exactly do these mice stand for?

Fortunately, at this point, Speaker Pelosi is holding strong, and still has the support of the majority of Democrats in the house. At least Madam Speaker has some conviction and fortitude. It’s high time that the rest of the Democrats get behind the President and help define why people should vote for them. After all, if the people want to elect a Republican, why would they vote for one who’s a Democrat?


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Article first published as Obama Comes Out Swinging in Cleveland on Technorati.

Yesterday in Cleveland, President Obama came out of his corner swinging. Pundits have been counting the President out of late, but if he was beaten and bruised when he entered the ring today, he shook it off like Rocky Balboa.

Speaking at the Cuyahoga Community College West Campus in Parma, Ohio, he had barely finished his opening remarks when he lit into the GOP. Immediately on offense, Obama tore into the opposition by blasting their 8-year reign with a political philosophy that clearly was and still is — government for the elite few.

According to Obama, he ran for president in order to correct what the Republican philosophy has wrought. The President started with a four punch combination: first were their tax cuts — “especially for millionaires and billionaires,” which he immediately followed with their deregulation — “for special interests.” Then a body blow on their trade deals — “even if they didn’t benefit our workers,” and another punch to the gut on cutting back investment — “in our people and in our future – in education and clean energy, in research and technology.” He followed the combo with an overhand smash, that demanded acknowledgement from anyone listening, “The idea was that if we just had blind faith in the market, if we let corporations play by their own rules, if we left everyone else to fend for themselves that America would grow and America would prosper.” And thus the tempo of the fight was set, and the contrast in philosophy defined.

What did America get with all those “sound” Republican policies? As the President termed it, the people got “the illusion of prosperity.” Obama briefly commiserated with the Buckeye audience who has been hurt so badly through job loss, stating that job growth during the Bush years was slower than in any economic expansion since WW2 — and he added — “slower than it’s been over the last year.” The President finished the picture by recalling how income for the middle class stagnated while costs climbed, especially for tuition and healthcare. He also linked this dynamic of lower wages and higher costs to the reactive increase in personal debt that paid for the “illusion.” And with the Republicans on the ropes, the President added that their failure to pay for two wars and two tax cuts for the wealthy had turned a record budget surplus into a record deficit.

Thus began the final 8-week countdown to Election 2010. President Obama was in fighting trim, or campaign form as the case may be. He started by drawing the contrast between left and right and then punctuated his entire speech with references to the America he believes in, “An America that took pride in the goods that we made, not just the things we consumed. An America where a rising tide really did lift all boats, from the company CEO to the guy on the assembly line.” That America demands patriotism, but the President left no doubt that the America that had lost 4 million jobs in the 6 months prior to his taking office no longer upheld those values, and he didn’t pull any punches in assigning responsibility.

Not only did the President attack Republican policies for creating the recession, an assertion that conservatives may be tired of hearing but one that is undeniable nonetheless, but he also drove the point home that they have deliberately delayed the recovery. He cited the success of the Stimulus in that it has created “roughly 3 million” jobs, but also spoke of how the Republicans had fought its passing and chose instead to ride the “fear and anger all the way to Election Day.” And once again, Obama called upon the name of John Boehner, the new face of the Republican Party, and the plan that he recently shared for America — “the same philosophy that we had already tried during the decade that they were in power — the same philosophy that led to this mess in the first place: Cut more taxes for millionaires and cut more rules for corporations.”

President Obama made crystal clear that the distinction between Democrats and Republicans is really about the strengthening or demise of the middle class, and he hammered the case over and again throughout his speech: the Republicans fight for insurance companies to be able to refuse coverage for preexisting conditions, for corporations to be able to move jobs overseas, for banks to be able to raise interest rates at will, and for tax cuts for the richest 2% of Americans. They fight for higher corporate profits and the lower wages that help create them, and they believe in the market over democracy.

In the President’s eyes, Democrats essentially take the opposing position on each of these issues and believe instead in “a vibrant free market, but one that works for everybody.” They contend that government should support the middle class so that, in Obama words, “if they work hard and meet their responsibilities, they can afford to raise their children, and send them to college, see a doctor when they get sick, retire with dignity and respect.” Obama called upon the words of the first Republican President, Abraham Lincoln, to summarize the Democrat’s position, “I also believe that government should do for the people what they cannot do better for themselves.” Democrats don’t want “big government” — they want effective government.

This is exactly the message the Democrats need to carry to America for the next two months. The lines are now clearly drawn. The Republicans say they’re for small business but fight against legislation that sends them aid in the form of tax cuts and improved access to financing. They say that the main issue for America is jobs, yet they fight spending to create them in order to protect loopholes that send them overseas. They contend that they support the middle class, yet in the President’s words, they “hold middle-class tax cuts hostage” in order to protect cuts for the top 2%. They feign concern for the deficit while refusing to cut defense and simultaneously adding the $700 billion cost for their “wealth-fare” tax cuts.

The President did take time to plug his 6-year infrastructure investment plan and to introduce a proposal to extend tax credits to businesses for 100% of their 2011 capital investments. Also on the table is an expansion of the research and development tax credit from 14% to 17%. All of these proposals would typically be acceptable to Republicans, but as the President suggested in reference to their opposition to the small business tax cuts supported by the Chamber of Commerce, “the only reason they’re holding this up is politics, pure and simple.” Should Americans really place their trust in a party that would deliberately sacrifice the wellbeing of the country for their own personal gain?

The choice couldn’t be more clear, once the thick overburden of misinformation is pulled back and the facts revealed. But the Democrats now find themselves in an uphill climb to set the record straight. They will be well served to follow the President’s lead and draw upon the distinct differences between party philosophies. They can do no better than to frame the conversation as did President Obama — what we now need is to return to “the time-honored values that built this country: hard work and self-reliance; responsibility for ourselves, but also responsibility for one another. It’s about moving from an attitude that said ‘What’s in it for me?’ to one that asks, What’s best for America? What’s best for all our workers? What’s best for all of our businesses? What’s best for all of our children?”

The text of the speech is available at the New York Times. You can also watch the entire speech at C-SPAN.org.


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