Return of the real Obama

assets.nydailyne...

Made popular 139 days ago in Politics

washingtonpost.com — By Charles Krauthammer, Friday, January 4, 2:25 AM

The rout was complete, the retreat disorderly. President Obama got his tax hikes — naked of spending cuts — passed by the ostensibly Republican House of Representatives. After which, you might expect him to pivot to his self-proclaimed “principle” of fiscal “balance” by taking the lead on reducing spending. “Why,” asked The Post on the eve of the final fiscal-cliff agreement, “is the nation’s leader not embracing and then explaining the balanced reforms the nation needs?”

Because he has no interest in them. He’s a visionary, not an accountant. Sure, he’ll pretend to care about deficits, especially while running for reelection. But now that he’s past the post, he’s free to be himself — a committed big-government social democrat.

As he showed in his two speeches this week. After perfunctory nods to debt and spending reduction, he waxed enthusiastic about continued “investments” — i.e., spending — on education, research, roads and bridges, green energy, etc.

Having promised more government, he then promised more taxes — on “millionaires” and “companies with a lot of lobbyists,” of course. It was a bold affirmation of pre-Clintonian tax-and-spend liberalism.

Why not? He had just won Round 1: raising rates. Round 2 is to raise yet more tax revenue by eliminating deductions. After all, didn’t John Boehner offer him $800 billion of such loophole-closing revenuejust a few weeks ago?

To paraphrase Churchill on the British Empire, Barack Obama did not become president of the United States to preside over the liquidation of the welfare state. On the contrary, he is dedicated to its expansion. He’s already created the largest new entitlement in half a century (Obamacare). And he has increased federal spending to an astronomical 24.4 percent of GDP (the postwar norm is about 20 percent), a level not seen since World War II.

But this level of spending requires a significantly higher level of taxation. Hence his hardball fiscal-cliff strategy of issuing an ultimatum to Republicans to raise tax rates — or be blamed for a massive across-the-board tax increase and a subsequent recession.

I’ll get you the money by eliminating deductions, offered Boehner. No, sir, replied the president. Rates it must be.

Why the insistence?

(1) Partisan Advantage

As I wrote last month, the ultimatum was designed to exploit and exacerbate internal Republican divisions. It worked perfectly. Boehner’s attempted finesse (Plan B), which would have raised rates but only for those making more than $1 million, collapsed amid an open rebellion from a good quarter of the Republican caucus.

At which point, power passed from the House to the Senate, where a deal was brokered. By the time the Senate bill reached the House, there was no time or room for maneuver. Checkmate. Obama neutralized the one body that had stymied him during the past two years.

(2) Ideological Breakthrough

Obama’s ultimate ambition is to break the nation’s 30-year thrall of low taxes — so powerful that those who defied the Reaganite norm paid heavily for it. Walter Mondale’s acceptance speech at the 1984 Democratic convention, promising to raise taxes, ended his campaign before it began. President George H.W. Bush’s no-new-taxes reversal cost him a second term.

On this, too, Obama is succeeding. He not only got his tax increase passed. He did it with public opinion behind him. [...]

Report This Post

Posted by bish66

Add To Favorites

8 Votes

Similar Issues

3 Comments

Is Obama the winner of the financial deal?

Yes, the deal has higher taxes for rich people and no spending cuts

62%

No, Republicans will let him bleed in round 2 in February

38%

This is not a scientific survey, click here to learn more. Results may not total 100% due to rounding and voting descrepencies.

User Comments

lightdude

Posted 139 days ago

0 up votes, 0 down votes

This poll is more of a rant than a poll. Go somewhere else.

bish66

Posted 136 days ago

0 up votes, 0 down votes

@lightdude
enlighten me, where is the rant? You have two genuine choices.

curmudgeon

Posted 138 days ago

0 up votes, 0 down votes

The Republican's have an over load of estrogen and no longer have their balls! Might as well be united with the metrosexual members of the liberal democrat party as both have been hijacked by feminine organizations. Feminazis are the ones who have control over the liberal wing of Washington and political correctness has become the law of the land!

You will have 2 minutes to edit your comment.

Add your comments

Related Posts