Things are Moving Our Way... Lets Not Blow It... Okay?

by: Les Carpenter
Rational Nation USA
Birthplace of Independent Conservatism
Liberty -vs- Tyranny

Defaulting on our national obligations would not be good. In fact, it would be the ultimate example of irresponsibility. Should our representatives determine to allow this to happen there is no doubt that, if it were possible, the founding fathers would turn over in their graves.

The republicans have down a good job of forcing the democrats to come to "their table" so to speak. Obama, who really wants to focus the next year and a half on getting re-elected, has shown his willingness to address many of the items on the reform agenda of the republicans. As well the democratic leadership is showing signs of willingness to make significant compromises to the republican action list of reducing spending, addressing entitlement reform, cuts in medicaid, and more.


That aside, what is most important is the democrats apparent willingness to agree to: 1} a 3-to-1 rate of spending cuts to revenue increases, and 2) a debt reduction measure of $3 trillion or even $4 trillion. If  I'm a member of any negotiating team I'm certainly happy being in such a strong position. Sometimes, after you have got the other side moving in your direction ya just gotta use a bit of honey so to speak. In this case, honey of course is being willing to agree to reasonable compromise that gives the other side something to. In this case raising revenue, or taxes.

I have been, and continue to be a staunch advocate for limited government and maximum liberty. I also know when it is time to engage in sincere and meaningful negotiations. Sometimes, in ones desire to win the battle they end up losing the war. Now could well be such a time unless conservatives are willing to bend a bit.

Patience can often be the best ally of right. In this instance negotiating the deal that favors the conservative agenda now with the democrats, thus avoiding default, will allow time to bear out the advantages of the cuts and reforming of entitlements {call it fiscal responsibility}that conservatives advocate.

David Brooks' opinion piece in yesterday's New York Times is certainly worth the read.

The Republicans have changed American politics since they took control of the House of Representatives. They have put spending restraint and debt reduction at the top of the national agenda. They have sparked a discussion on entitlement reform. They have turned a bill to raise the debt limit into an opportunity to put the U.S. on a stable fiscal course.

Republican leaders have also proved to be effective negotiators. They have been tough and inflexible and forced the Democrats to come to them. The Democrats have agreed to tie budget cuts to the debt ceiling bill. They have agreed not to raise tax rates. They have agreed to a roughly 3-to-1 rate of spending cuts to revenue increases, an astonishing concession.

Moreover, many important Democrats are open to a truly large budget deal. President Obama has a strong incentive to reach a deal so he can campaign in 2012 as a moderate. The Senate majority leader, Harry Reid, has talked about supporting a debt reduction measure of $3 trillion or even $4 trillion if the Republicans meet him part way. There are Democrats in the White House and elsewhere who would be willing to accept Medicare cuts if the Republicans would be willing to increase revenues.

If the Republican Party were a normal party, it would take advantage of this amazing moment. It is being offered the deal of the century: trillions of dollars in spending cuts in exchange for a few hundred million dollars of revenue increases.

A normal Republican Party would seize the opportunity to put a long-term limit on the growth of government. It would seize the opportunity to put the country on a sound fiscal footing. It would seize the opportunity to do these things without putting any real crimp in economic growth.

The party is not being asked to raise marginal tax rates in a way that might pervert incentives. On the contrary, Republicans are merely being asked to close loopholes and eliminate tax expenditures that are themselves distortionary. {Continue Reading}

Indeed, as Mr. Brooks points out, conservatives may just have the opportunity of the century being given to them. So, lets not win the battle and lose the war. Conservatives have an opportunity to act responsibly and secure the best for our country. Lets take advantage of the opportunity. Ronald Reagan did.

Via: Memeorandum