June 24, 2005
Borrow
And Spend Republicans
by Kevin Morford, insurgent49
Conventional
wisdom, at least as reported in the corporate media, is that
Republicans are thrifty with public money, and want a smaller
government, while
Democrats are tax and spend wastrels who pour public money into a
bottomless
pit of welfare spending, and favor a bigger government. This
conventional
wisdom is wrong, of course. It exists because of concerted campaigns of
misinformation conducted by both parties. To
get to the truth, it is necessary to compare the campaign rhetoric with
what
the parties have actually done when they were in power.
We are all familiar with the campaign
rhetoric. Republicans tend to talk about
“cutting the fat out of government” and to complain about
“tax and spend
Democrats.” Democrats talk about the importance of the
“social safety net” and
the need to maintain governmental services at an adequate level. In
both cases,
they are pandering to their core constituencies with this rhetoric. If
you want to know what policies they really
favor, you need to look at their track records.
(click on image
to enlarge)

In the first place,
both parties have passed budgets and implemented policies
that have substantially and consistently increased the size and power
of the
federal government over time. In every fiscal year since 1962, with
only one
minor exception (1965), the size of the federal budget has increased.
During
that same period of time, the federal government has given itself more
power to
control more aspects of our lives than it previously had. These trends
are
consistent, regardless of which party occupies the White House, or
which party
controls the House and Senate. Democrats tend to favor giving the
federal
government more power to tax and regulate, while Republicans tend to
give it
more military and law enforcement power. Based upon their actual
behavior, both
parties want a larger and more powerful federal government, and they
have been
getting what they want.
Second, in terms of living within the tax
revenues which were available to
them, the largest budget deficits have been created under Republican
Presidents. A budget deficit is the difference between tax revenues
collected
and the money spent by the federal government in a single fiscal year.
According to the non-partisan Congressional Budget Office, the largest
budget
deficits have been run up by our current President, Republican George
W. Bush
(see the chart accompanying this article). His administration has not
yet
ended, but he has taken us from a budget surplus of $233 billion during
his first
year in office to a budget deficit of $412 billion at the end of fiscal
year
2004, a difference of $645 billion. Second place goes to his father,
Republican George H. W. Bush,
who went from a budget deficit of $155 billion during his first year in
office
to a budget deficit of $290 billion during his last year in office, a
difference of $135.1 billion. Third place goes to Republican Ronald
Reagan, who
went from a budget deficit of $74 billion in his first year in office
to a
budget deficit of $155 billion during his last year in office, a
difference of
$ 81 billion. By comparison, the Democratic President who has run up
the
largest deficit is Lyndon Johnson, who increased the budget deficit by
“only”
$18 billion during his term in office. The record holder for a budget
surplus is Democrat Bill
Clinton, who went from a budget deficit of $290 in his first year in
office, to
a budget surplus of $236 billion in his last year in office, a
difference of
$526 billion.
Republicans typically try to spin these facts
by saying that Congress controls
the budget, and that, for most of these years, Congress was controlled
by the
Democrats. It is a weak argument, however, because Presidents propose
budgets
to Congress and, in almost every case, they give the President pretty
much what
he has asked for. Congress will make some minor adjustments at the
margins, but
the overall size of the budget is consistently in line with what the
President
has proposed. It is a rather obvious act of smoke and mirrors for the
Republicans
to try to blame the Democratic Congress because it gave Republican
Presidents
the budgets they asked for.
The other smoke and mirrors strategy relied
upon by the Republicans is to pass
tax cuts, and claim that they are giving the money back to the people.
Tax cuts
today just result in even larger tax burdens in the future. This is
because the
money has been spent. Where there is a budget deficit, some of the
money spent
has been borrowed, and will need to be repaid with interest. To
minimize the tax burden on the public,
politicians should pay for current government operations out of current
tax
revenues, thereby avoiding burdening the public with future interest
payments.
Republicans wield the phrase “tax and spend” like a weapon,
but it is a far
more responsible practice than the alternative of “borrow and
spend,” which is what the Republicans have been doing to us for
years. The tax cuts that they like to boast about just defer the day of
reckoning, increase the overall debt, and increase the overall interest
payments and tax burdens over time.
Neither party has shown itself to be very
adept in cutting the fat out of
government. Both parties are able and willing to cut or eliminate
particular
programs that they do not like. But they generally do not even try to
cut fat
out of the programs they favor. Consider the bloated Department of
Defense
budget, for example. Consistently, for many years now, the Department
of
Defense has been unable to pass an independent audit of its budget,
because its
financial record keeping is so poor. In 2002 and 2003, mainstream media
reported that the Department of Defense was unable to account for over
a
trillion dollars in financial transactions. More recently, billions of
dollars
destined for Iraq have been reported missing or unaccounted for.
Neither the
Democrats nor the Republicans have taken effective steps to cut the fat
out of
the Department of Defense, or even to require it to account for its
hundreds of
billions of dollars of missing public money.
The sad truth is that both parties favor a
bigger and more powerful federal
government, and neither party wants to cut the fat out of some of the
most
wasteful government programs, like the military. Both parties do want
to scale
back or eliminate certain types of programs. The Republicans want to
scale back
or eliminate Democratic sponsored programs like the social safety net,
environmental protections, some health and safety regulations, and
public
broadcasting. The Democrats want to scale back or eliminate Republican
sponsored
programs like the Strategic Defense Initiative (star wars), federal
spending on
faith based programs, and some forms of corporate welfare. The
conventional
wisdom about spendthrift Republicans and wastrel Democrats is simply
wrong. The
truth is that both parties spend a lot, but Democratic presidents do a
better
job of keeping their spending commensurate with the amount of their
revenues.
Kevin Morford is a political
activist and an attorney in private practice in the Anchorage
area. He can be reached at kmorford@insurgent49.com.
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