On capitulation.

Okay, so the president has a bit to apologize for. He's not alone in that respect - plenty of blame to go around here. Fact is, the administration is certainly wrong to criticize the liberal-left for denouncing the deal he cut with Republicans this week. If the president was painted into a corner, it was not by the left. The Congress members who were dead set against raising the tax issue before this past election were "Blue Dog" conservatives, worried about offending their constituencies - the same voters that would soon send more than half of them packing.

It is now these conservative Democrats that Obama is relying upon during the lame duck session to shepherd this deal through the House. It seems likely that most Republicans will support it, so he hardly needs the entire Democratic caucus. In any case, the capitulation happened a long time ago. At this point, the main thing is making certain that unemployed workers get the help they need. I don't care how we get there, particularly, so long as they don't give away the store... and reserve the right to start fighting again fresh on January 1.

There will be a lot to fight about, particularly when you consider how the Republicans have been behaving in the wake of their electoral victory. To wit,

  • Jim DeMint has talked about the possibility of making unemployment insurance more like "a loan" to give unemployed people incentive to go to work. No, really... he's serious.

  • The main talking point on these upper income marginal tax cuts is that they are "NOT tax cuts", that to not implement them is, in fact, a tax increase. I heard Jon Kyl plying this one yesterday. A little wordplay here - perhaps they don't remember that when they invented these tax cuts nine years ago, they put an end point on them. The tax cut has a time limit; when that passes, it's over. Extend it, that's a new cut because it involves additional billions. Got that, Jon?

  • Tax cuts for the rich don't add to the deficit. Unemployment benefits do.


You get the picture. One last point... it was mentioned in passing on NPR business news today that American corporations are sitting on $2 trillion in cash. Sitting on it.

Again... do these people really need a tax cut?

luv u,

jp

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