Showing posts with label U.S. Chamber of Commerce. Show all posts
Showing posts with label U.S. Chamber of Commerce. Show all posts

Friday, July 22, 2011

Three Things About the Debt Ceiling You Probably Haven't Read

1. Bring back shame
Am I really hopelessly old-fashioned? I find the conversation about the debt ceiling very odd. There has been a lot of discussion about whether failing to raise it would really be catastrophic. (Almost certainly it would, but if you live in a fact-free zone like Michele Bachmann you can just ignore that.) But is no one interested in discussing the moral issue?

Suppose someone told  you, "I've been spending too much money, and I can't afford it, so I've decided to stop paying my bills. That includes the kid who just mowed my lawn. Oh, and it also includes that money I borrowed from you last week." What would your opinion be of someone like that? Not very high, I imagine.

That's what we'd be saying if we announce we're not raising the debt ceiling: not that we're going to reduce spending, just that we're going to stop paying our bills. The Tea Party was incensed about proposals to help people who were delinquent on their mortgages. Now Bachmann is suggesting that we become a nation of deadbeats.

This is a matter of, to use an old-fashioned term, our national honor. It is unfortunate for modern Democrats that they have never been comfortable using the language of morality and national honor, because it strikes me as a rhetorical approach that would leave the Republicans flummoxed.

And not only with regard to the debt ceiling. What about the national dishonor of the biggest economy in the world being a place where hundreds of thousands of people go bankrupt because of medical bills, that ranks worse than thirtieth among nations of the world in both life expectancy and infant survival, and 27th in students' proficiency in math? Politicians may be shameless, but are the rest of us?

2. Is this how Frankenstein felt?
The U.S. Chamber of Commerce has sent a letter to Congress urging it to raise the debt ceiling "as expeditiously as possible." No mention in the letter of the fact that the Chamber is probably more responsible than any other single actor for the crisis. The Chamber spent unknown millions of dollars getting Republicans elected to Congress in 2010. Now it's trying to rein them in.

Not that it's showing much evidence of a sudden conversion. "The Chamber believes it is imperative that any path to deficit reduction focus on...cutting spending, especially mandatory spending, rather than shortsighted tax increases." Still, saying "focus on" rather than "only consist of" is moderation of a sort. Unfortunately, I don't see any sign that the new members of Congress understand who put them there.

3. Abandonment issues
Democrats in Congress have been loudly and vociferously opposed to making major cuts in Medicare and other entitlement programs. According to the newspapers, that's because doing so will deprive them of a good electoral issue: the House Republicans' quixotic attempt to turn Medicare into a voucher program that doesn't keep up with health-care cost inflation.

I believe this story as far as it goes, but I think it misses the real point. Which Republicans will be hurt by this issue, if it is an issue? Not so much new candidates running against Democratic incumbents in 2012. They didn't vote for the plan. But the Republicans currently in the House did.

In other words, House Democrats want to be in the majority again. And they perceive Obama as being willing to give up on the idea of a Democratic majority in order to position himself as a centrist for the Presidential election.

They may be right, and if so, it strikes me as foolish. Being President is a lot less fun when you have a highly unified, uncompromising opposition party in control of the House. See, for example, above.

Sunday, September 26, 2010

Democrats and Dunkin' Donuts

As you have surely noticed, many businesses are organized as franchises. Fast-food restaurants, some auto-repair shops, and car dealers are examples. The point I want to make here is how these businesses advertise: centrally. GM does not take its advertising budget and hand it out to its dealerships to buy ads, nor does Perdue hand over its advertising dollars to its chicken farmers. Nearly all advertising in national franchises is done nationally. And I doubt the franchisees would wish it otherwise; it's hard to believe that Ernie Boch Toyota could do a better job of advertising the Camry than Toyota could.

Yet no one ever does this in politics. The job of the House and Senate campaign committees, and of the national committees, is to raise money for individual candidates to use on making their own commercials. Why does national advertising make sense for Dunkin' Donuts, but not for Democrats?

"All politics is local!" someone will say, meaning that voters really only care about local issues. Well (sorry, ghost of Tip O'Neill), that's not true. Democrats are having a tough time this year all over the country. This is not some bizarre coincidence; the fortunes of politicians of a particular party tend to rise and fall together. After all, some of the determinants of burger sales are local, too, but that doesn't mean a Hardee's franchise is worth as much as a McDonald's franchise. Even supposing that a Hardee's burger is better suited to local tastes, I'd rather own a McDonald's franchise, because it's a  brand name supported by a lot of advertising.

Clearly, Democrats have a brand-name problem. But before they decide that people don't like their product, they need to make sure people know what it is. And when misinformation is being spread nationally, why rely on locals to deal with it? In New Hampshire, the U.S. Chamber of Commerce is running an ad accusing Paul Hodes, the Democratic candidate for Senate, of having voted for a "government takeover" of health care. Why should individual candidates be the ones to deal with this nonsense? (Especially since some of them don't seem to have the spine for it. Instead of hitting back, Hodes is running an ad which doesn't mention that he's a Democrat--the equivalent of running a burger ad and hoping people won't notice that you're a Hardee's. Coincidentally, the ad uses a hot-dog eating contest as a metaphor for those awful people in Congress.)

If we really are moving toward an increasingly polarized politics (which I think is, given the American constitutional system, not a good thing), let's have the parties duke it out one-on-one, with advertising and slogans and idiotic sound bites and the whole thing.  At least then people would know what they're voting for. More or less.