The Republican tax bill is really quite breathtaking in its audacity

The Thinker by Rodin

Those of us of sufficient age will remember when W’s father, George H. W. Bush was running for president. The elder Bush’s famous words during the campaign were: “Read my lips: no new taxes.” It was infamous because after he won election in 1988 he made a deal with Democrats that modestly raised taxes.

Since that time it’s been anathema for any Republican to even think about raising taxes.

Next week the U.S. Senate is scheduled to vote on its version of a tax bill that will raise taxes, just like the House bill. To make this worse, they are dramatically cutting taxes on the wealthy and making the already stretched middle and lower classes generally pay more in taxes.

And it doesn’t seem to be bothering Republicans at all, which is perhaps the most amazing part. Since Ronald Reagan declared government and taxes evil, never raising taxes has been the nonstop diatribe from Republicans. Now although trying to paint their legislation as a tax cut, no one actually believes it is one. Virtually every analysis shows that it will increase the deficit by at least $1.5 trillion plus add taxes for most middle and lower income people. It’s also likely the resulting exploding deficit will give them reason to cut social services back even further.

The Republicans think that if they can get through this through Congress and into law, it’s one point for their side in an otherwise miserable legislative year when they have controlled all levers of power. They think their voters will be thrilled. Any objective person though looking at this turd of legislation will see it as an abdication of nearly forty years of Republican bedrock orthodoxy. Any Republican rank-and-file who actually believed this stuff should be dumfounded.

Just last year when Obama was still president Republicans were threatening to shut down the government if proposed spending bills were not revenue neutral. “We can’t leave our grandchildren with a mountain of debt”, we heard in many variations ad nauseum. Now, adding another $1.5T to the debt? No problemo.

It’s not news to Democrats that Republicans were not sincere about debt reduction, at least not when they were in charge. It exploded under Reagan, and again under Bush II. When Bush II’s Medicare Part D bill was voted into law, it was done at 3 AM in the House chambers so it would be less obvious how hypocritical Republicans were being. Maybe they felt a little ashamed. They might try the same strategy this time but I don’t think it will work and I doubt feeling ashamed about what they plan to do has even entered their minds.

Still, it takes amazing audacity to give huge tax cuts and inheritance windfalls to the very richest while bleeding the working class even more. This is explainable: all Republicans really care about is the moneyed class and making them even more so. They got control of the Executive and Congress. Now is the time to squeeze the system for themselves and their special moneyed interests. It’s the culmination of decades of strategy to convince Americans to act against their own self-interest. That $1.5T deficit? The only reason that’s there is because they have to get this bill through the Senate using budget reconciliation rules, i.e. Republicans-only so it could only add so much to the deficit, at least officially. Without the rule maybe there would have been no lower and middle class tax increases. To give the rich this tax windfall though and keep the deficit spending to $1.5T, they had to squeeze someone. Couldn’t be them of course, so lower and middle classes it has to be.

And Trump? The guy who ran as an outsider and promised to help the working class? To make America great again? The candidate who during one of the first debates openly admitted he traded money for favor from politicians? The charlatan that Americans elected who ran promising he’d do exactly the opposite? Why he’s all in on this tax bill, of course! His family will reap at least $1B in estate tax relief alone from its passage in its current form. What’s not to like about that? It’s pretty clear what Trump is all about. He’s about bleeding the government dry mainly to enrich himself and his empire. He goes golfing pretty much every weekend at one of his resorts to make sure the Secret Service has to pay usury rates to rent his golf carts and stay in his hotels. Much of the rest of his administration is looking out for either themselves and/or their sponsors. Education Secretary DeVos is trying to move tax dollars toward charter schools. Interior Secretary Ryan Zinke is downsizing national monuments so private interests can mine and frack gas on nearby lands including possibly the Grand Canyon. Treasury Secretary Mnuchin when not posing holding sheets of dollar bills with his wife is trying to loosen regulations on Wall Street, the same regulations that caused the Great Recession.

In short Trump’s voters — but really the vast majority of Americans — are being played for suckers. It’s time for Republicans to give America that high colonic of their dreams. With the oligarchy in charge, it’s time to fleece the sheep just as winter approaches instead of afterward.

Or so they think. I think a wave is building and come November 2018 Republicans are going to discover the wrath of the American voter. It’s quite similar to the late 19th century when homeless urchins roamed the streets while the Carnegies and Rockefellers lived the life of Gatsby. Back then the voters spoke and a true progressive called Teddy Roosevelt won office, along with a massive wave of Republicans (who were the modern day Democrats of their time). Too big to fail corporations were broken up. National Parks multiplied. Government represented the people again.

Granted the challenge will be harder in 2018. In the late 19th century the art of gerrymandering had not yet been perfected. Blacks and women were disenfranchised but that was the status quo; however there were enough regular folk out there with voting rights to sweep the oligarchy out of power. I’m anticipating that’s what we’ll see in 2018. It’s not really Republican vs. Democrat anymore, it’s big business against the rest of us. It will be mostly Republicans but also a lot of corporate Democrats that will pay the price this time.

No time like the present holiday season for Republicans to play the part of the Grinch. In 2018 though Republicans and their ilk are likely to find their game is over.

It looks like the Republican Party looks might Bull Moose itself again

The Thinker by Rodin

And so it has begun. The conventional wisdom was that following Donald Trump’s defeat November 9 along with the likely loss of the Senate and possibly the House, the Republican Party would thrash and moan as they tried and likely failed to pick up the pieces and become an effective political party again. If you read me regularly you will have read this post where I tried to figure out whether this election would cause the Republican Party to just buckle or fall apart altogether.

What I did not expect when I wrote that post was that this would happen well before the actual election. Yes, the Republican Party is already disintegrating and of course you can thank Donald J. Trump for this. He spent most of the day lashing out at establishment Republicans like House Speaker Paul Ryan and Arizona Senator John McCain. Ryan won’t campaign with Trump anymore (while not rescinding his endorsement of him) but authorized any Republican member of the House to tack away from Trump where it makes sense. McCain is just one of the more prominent Republicans in Congress to say he won’t be voting for Trump. So perhaps it’s not surprising that the easily wounded and vainglorious Trump would lash out against these Republicans today. In his usual way-over-the-top tweets, he said these Republicans were actually worse than “Crooked Hillary”.

Ryan’s actions are entirely logical, at least for someone who is trying to maintain the Republican majority in the House. Ryan may be an ardent Republican but he knows how to add up the political math: Clinton will be the president elect, Democrats are likely to retake the Senate and if Clinton wins by seven percent or more the odds are Democrats will retake the House too. If Republicans lose the House, it means he won’t be speaker and given that the Tea Party will form the bulk of the diminished Republican minority he’ll be lucky to end up as minority leader. Being out of power really sucks so it makes complete sense for Republicans to cut their losses if it’s not too late.

Trump though does not operate logically. His feelings are hurt and he is in denial about his impending loss. People in denial go through predictable phases and he’s in the “lash out at anyone who dares to speak the truth” phase, which ironically will make not only his loss worse but aggravate it for all Republicans up for election.

It’s not too hard to predict what will happen the day after Election Day too. Trump is unlikely to concede but he is likely to call the election fraudulent. There may be civil unrest from Trump supporters, as I also blogged about. I do expect on Election Day that Trump “observers” will try to prevent voting or harass voters, at least in precincts with heavily minority communities. While Trump is unlikely to accept defeat, he can’t change the outcome. But what he can do instead is lash out at the Republican Party for not sufficiently falling in behind him. He will make establishment Republicans take the blame for his loss. Why is this not only likely but also almost certain? It’s because Trump never takes the blame for anything.

Clearly Trump commands a lot of loyal followers. They shout themselves hoarse at his rallies when they are not beating up on journalists and Trump protestors. He is the poster child for non-college educated whites. Since he lives for attention he’ll have every incentive in the world to become their champion. And since the Republican Party has failed him, he is likely to “fix” the Republican Party by taking his followers with him. In short, I think he’s likely to go full Bull Moose on Republicans after the election.

If so, this won’t be the first time the Republican Party has nearly cracked up. In 1912 former president Teddy Roosevelt (a Republican) joined the then relatively nascent Progressive Party. His endorsed Republican successor (and running mate) William Howard Taft proved insufficiently progressive after winning the presidency. The Progressive Party became the Bull Moose Party and Teddy became its nominee for president. The result 104 years ago was that Democrat Woodrow Wilson won instead, with Teddy a distant second and Republican Taft getting just eight electoral votes. Teddy got even with Taft, but lost the election in the process.

If this scenario plays out again after this election, Democrats will get yet another gift. It’s not hard to see Trump running again in 2020 but under his own party label, leaving whatever traditional Republicans are left to nominate their own candidate. If this happens Republicans will be in the trenches fighting other former Republicans instead of opposing Democrats, making Democrats hands on favorites in most races to win. The 2020 election might result in a Congress that would look familiar to Tip O’Neill when he was speaker in the 1980s; he commanded a huge majority of House Democrats. It also bodes well for Democrats in 2020 senate races too. This would be good for them because they will be defending more seats than Republicans that year.

The likely outcome of all this probably won’t fatally fracture the Republican Party. New parties face daunting odds and Republicans will still have an infrastructure in place for nominating, supporting and winning races, which is what the Bull Moose Party eventually figured out when they slowly came back to the Republican Party. This infrastructure is not easily duplicated. Given Trump’s poor management skills he would be uniquely ill suited to try to create a winning party under his own brand. While Republican chaos reigns, and particularly if Hillary Clinton and a Democratic Congress can institute real change, Democrats have the opportunity to profit handsomely from the chaos. Given the Democratic Party’s history, their odds are slim, but Democrats now lean far more to the left than they did eight years ago. It’s not out of the question.

I’m keeping my fingers crossed. The next few years could be glorious ones for Democrats, reset the rules of Washington and actually bring about the end to gridlock that Americans want. If so, it will be the Republican Party’s implosion that will make it possible.

Thanks in advance, Donald.