Reagan Spending vs. #TeaParty Austerity

Would Tea Party Republicans have voted to give Reagan his 50% spending increases and 700,000 more government jobs?

In an article from the Washington Post on “Tea Party” Congressman Mick Mulvaney of South Carolina, these paragraphs caught my attention:

Mulvaney mostly meets with voters through weekly town hall meetings. Sometimes he brings with him a 30-minute PowerPoint presentation, full of bar graphs and fever charts depicting the growing federal deficit and the surging cost of health care. In January, Mulvaney added a chart on the automatic spending cuts, known as sequestration, which next year will total about $100 billion.

To him the numbers make sense. “In the greater scheme of things, they are not that big,” Mulvaney said.

But, every once in a while, a personal anecdote punctures his certainty. Earlier this month, a friend and former campaign volunteer stood up at one of the town hall meetings to tell Mulvaney that the defense cuts had cost him his job of five years with a large defense contractor. “I just want you to know that these cuts are real and they hurt me,” said Jeffrey Betsch, a single father of three daughters, who was on the verge of being evicted from his home.

After the Rotary Club speech, Mulvaney was thinking about his friend as he drove down a narrow two-lane ribbon of worn blacktop, past strawberry farms and pine forests. He felt terrible, he said, but he also believed that the country faced problems that were bigger than the struggles of a single constituent.

“I don’t see how you wipe out 40 cents of spending on every dollar and not have someone get hurt,” Mulvaney said.

The punchline of the article, which is titled “As budget cuts hit S.C., a congressman is surprised at constituents’ reactions” is that his constituents are actually not angry with him, despite his stubborn refusal to shower the district with federal dollars, as his predecessor Rep.  John Spratt did. It was anger toward Spratt and his loose spending ways that propelled Mulvaney into office in 2010. That same anger may be the wind at his back if he runs for higher office in his state.

Yet principled though they may be, Mulvaney’s actions have had real consequences for his constituents. In addition to his former campaign volunteer, the Congressman faced the irritation of an Air Force general in his district who claimed the effects of the sequester had made the AF less ready for warfare than at any time in memory. To which charges, Mulvaney responded,  “If the cuts force us to look for better ways of saving money in the future, they will be a success. We can’t go backwards.”

How can a progressive argue with such principle? The chief pain caused in Mulvaney’s district is to the military and “independent” defense contractors–or should we say, to the people who work for either sector. Do progressives want to see that money continue to flow to those pockets, or can we use this opportunity of Tea Party intransigence to rethink our spending priorities? Continue reading

Reagan’s Recovery vs Obama’s Recovery (UPDATE)

Here’s an interesting comparison by Michael at EconoPolitics.com from April of this year. In sum, Michael shows, “Had total government spending and employment followed the same trend in this recovery as the 80s recovery, spending would be $895B higher and there would be 1,250,000 more government employees.”

EconoPolitics

Last June, I compared the early 80s recovery under Ronald Reagan to the current recovery. I presented two graphs which compared total government spending and total government employment during the two recoveries. It turned out that government spending and employment both grew more during the Reagan recovery.

It’s been nine months since then. How have things changed?

The current recession began 62 months ago. Reagan’s recession officially began in July 1981 – so 62 months later would be September 1986.

At this point in Reagan’s Recovery (compared to start of recession):

  • Total government spending was up 51%.
  • Government employment was up 750,000.

Today (compared to start of recession):

  • Total government spending is up 22%.
  • Government employment is down 500,000.

Had total government spending and employment followed the same trend in this recovery as the 80s recovery, spending would be $895B higher and there would be 1,250,000 more government employees. Also…

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Peggy Noonan: Iraq “Half-Killed” the GOP

freepersrally

I never thought I’d be quoting Peggy Noonan to the extent I do in this post, but her latest column is an enjoyably slashing critique of the effect of the Iraq war catastrophe on the Republican Party.  It also coincides nicely with my series of “anniversary cards” to the Iraq invasion. From my perspective, she’s not right on the money on everything she says–as usual, e.g. she gives the mediocrity that was President Ronald Reagan way too much personal credit for “vision” and “stewardship” during his administration–but in general, her points should be well-taken by the bloodied remains of her party. The rest of us can just enjoy the spectacle of the good ol’ party beating up on itself.

Did the Iraq war hurt the GOP? Yes. The war, and the crash of ’08, half killed it. It’s still digging out, and whether it can succeed is an open question….:

It ruined the party’s hard-earned reputation for foreign-affairs probity. They started a war and didn’t win it. It was longer and costlier by every measure than the Bush administration said it would be. Before Iraq, the GOP’s primary calling card was that it was the party you could trust in foreign affairs. For half a century, throughout the Cold War, they were serious about the Soviet Union, its moves, feints and threats. Republicans were not ambivalent about the need for and uses of American power, as the Democrats were in the 1970s and 1980s, but neither were they wild. After Iraq it was the Republicans who seemed at best the party of historical romantics or, alternatively, the worst kind of cynic, which is an incompetent one. Iraq marked a departure in mood and tone from past conservatism.

It muddied up the meaning of conservatism and bloodied up its reputation. No Burkean prudence or respect for reality was evident. Ronald Reagan hated the Soviet occupation of the Warsaw Pact countries—really, hated the oppression and violence. He said it, named it, and forced the Soviets to defend it. He did not, however, invade Eastern Europe to liberate it. He used military power sparingly. He didn’t think the right or lucky thing would necessarily happen. His big dream was a nuclear-free world, which he pursued daringly but peacefully.

It ended the Republican political ascendance that had begun in 1980. This has had untold consequences, and not only in foreign affairs. And that ascendance was hard-earned. By 2006 Republicans had lost the House, by 2008 the presidency. Curry quotes National Review’s Ramesh Ponnuru at a recent debate at the American Enterprise Institute: “You could make the argument that the beginning of the end of Republican dominance in Washington was the Iraq War, at least a stage of the Iraq War, 2005-06.” In 2008 a solid majority of voters said they disapproved of the war. Three-quarters of them voted for Barack Obama.

It undermined respect for Republican economic stewardship. War is costly. No one quite knows or will probably ever know the exact financial cost of Iraq and Afghanistan, which is interesting in itself. Some estimates put it at $1 trillion, some $2 trillion. Mr. Curry cites a Congressional Budget Office report saying the Iraq operation had cost $767 billion as of January 2012. Whatever the number, it added to deficits and debt, and along with the Bush administration’s domestic spending helped erode the Republican Party’s reputation for sobriety in fiscal affairs.

It quashed debate within the Republican Party. Political parties are political; politics is about a fight. The fight takes place at the polls and in debate. But the high stakes and high drama of the wars—and the sense within the Bush White House that it was fighting for our very life after 9/11—stoked an atmosphere in which doubters and critics were dismissed as weak, unpatriotic, disloyal. The GOP—from top, the Washington establishment, to bottom, the base—was left festering, confused and, as the years passed, lashing out. A conservative movement that had prided itself, in the 1970s and 1980s, on its intellectualism—”Of a sudden, the Republican Party is the party of ideas,” marveled New York’s Democratic senator Pat Moynihan in 1979—seemed no longer capable of an honest argument. Free of internal criticism, national candidates looked daffy and reflexively aggressive—John McCain sang “Bomb, Bomb Iran”—and left the party looking that way, too.

It killed what remained of the Washington Republican establishment. This was not entirely a loss, to say the least. But establishments exist for a reason: They’re supposed to function as The Elders, and sometimes they’re actually wise. During Iraq they dummied up—criticizing might be bad for the lobbying firm. It removed what credibility the establishment had. And they know it.

Who’s the Status Quo Candidate?

Since David Corn and Mother Jones (with the help of James E. Carter IV and an an0nymous videographer) have exposed Mitt Romney as a major spoiled preppy ass, the Republican presidential nominee and his cheerleaders on the right are valiantly trying to make lemonade with the explanation that Romney’s rant against the 47% who pay no income tax was actually a eulogy for personal responsibility. He has even said that most Americans “would like to be paying taxes” (unlike himself?). On the other hand, Romney is also using this “teachable moment”  to criticize the notion of what he and his Republican parrots (or puppeteers?) disparagingly refer to as “redistribution,” which they claim Obama once professed to “believe in”   during a speech at Loyola University in 1998.  (“[T]he trick is figuring out how do we structure government systems that pool resources and hence facilitate some redistribution because I actually believe in redistribution, at least at a certain level to make sure everybody’s got a shot,”  they say Obama said.) Continue reading