Well, as everybody who has functioning senses probably knows by now, the Congress has given President Obama a good measure of everything he desired without extracting even a single sacrifice from the White House. Alright, so they pared the salary up from $200,000.00 for singles and $250,000.00 for couples and families all the way to $400,000.00 for singles and $450,000.00 for couples and families to be punished for their success with higher taxes. The good news about this is now it will be only those making closing in on half a billion dollars who will now move the vast percentage of their investments overseas where they will be safe from the increased penalties from increasing taxes instead of those making around a quarter of a billion dollars. Even so, with estate taxes being raised significantly and capital gains taxes also being raised measurably, these will force the investor class to place their monies in safe havens and pass them on to their descendants in measured ways which work around the estate taxes. By increasing the capital gains and estate taxes the government will likely cause the opposite of what they have been peddling to the public and the government will actually receive less in revenues from these taxes than had they left them at the lower rate where it was not cost effective to play the avoidance games. They extended unemployment insurance for an additional year without bothering to figure out how to pay for it leaving it to be simply added to the deficit. It will not be that much money so it will hardly be noticed. But all of this is the least of the disappointments.
The depression many fiscal conservatives are feeling today has to do with the lack of spending cuts, not exactly lack as complete dearth of spending cuts or even reductions of increases. The vote to pass this legislation, which has laughably been referred to as a compromise, had one defining item, the kicking of budget cuts down the road, even the presumed ones that were to take effect as part of the fiscal cliff, making for another crisis now scheduled for around March 1, 2013. This is more serious than it will be reported as it will lead to another round of panic, screaming and insanity which will allow President Obama and his Democrat allies in Congress along with a compliant media to again assail the Republicans with charges of obstructionism. In the end there will be yet another compromise which will give mere lip service to spending cuts while gaining concessions from the Republicans which will bring them that much closer to their goals of tax increases back to the Clinton administration levels for those earning $200,000.00 to $250,000.00 annual incomes. The likelihood that even come March the compromise will once again kick the spending cuts can down the road is far too high. One has to realize that we are expecting a Congress in which the Senate is still under the direction of Harry Reid who has refused to even allow a budget to reach committee, let alone come to the floor for a vote, in over three years. Does anyone honestly believe that anything will change during the second term of President Obama? The President and his facilitators in the Congress have realized that by not passing a budget and instead voting for continuing resolutions to keep the government running they are able to increase spending in whatever department they feel favorably towards simply by giving it an increase every few months when it comes up for its turn for a continuing resolution. By this method they can actually increase spending beyond inflation and have done so already with the largest increases coming in the first eighteen months of President Obama’s first term when the Democrats had unopposable majorities in both Houses of Congress. This fiscal cliff so-called compromise is simply another of those continuing resolutions under a different name and the next few will all be called fiscal cliff compromises but a continuing resolution by any other name is just as damning to those Republicans who allow such to pass in the House of Representatives. This little fact leads me to what I find the most distressing of the maneuverings and sleight of hand going on in the Halls of Power.
There exists one thing which those who are still voting for responsible governance and honestly wish to gain control over spending and actually address deficit spending and the national debt can still do that will make those willing to go along rather than take a principled stand have to pay a price. Every time when the House of Representatives reach the critical vote on one of these boondoggles, we need to insist that the news sources publish lists in order to tie every Representative to their vote so when they stand for reelection in the next elections they have to explain their vote. This may not have much of an effect on the final vote taken now, but it has the potential to give the voters in the home district know if their Representative was voting as they had hoped they would. This opens up the possibility for candidates to be proffered to their constituents who is willing to take the hard principled stand and better represent the desires of the people. Making each member of the House of Representatives answer to their name with a Yes or Nay vote which can be recorded and played during the next campaign may be the best medicine to wake up some of the wayward Representatives and bring them back to walking the line. And if such does not convince some to vote to uphold their election promises, then so be it and may we find a brave and solid candidate to replace them. That is the way to make progress, make every member vote on the record and note where each stands when the chips are down and their backs are against the wall.
Beyond the Cusp