Perhaps
the Bush administration is more clever than we
know. Maybe it figures that if it sends up an
outlandishly deceptive budget, Americans will
be distracted enough to stop asking questions
about what happened to those weapons of mass destruction
in Iraq.
This
is an administration that says whatever is necessary
to get what it wants. When its claims turn out
not to add up, the White House assumes people
will just forget what it said earlier and move
on. But voters are neither stupid nor indifferent
to facts. That is why President Bush has been
dropping in the polls. Are Americans who once
believed him wondering if they have been played
for fools?
The
president's new budget, with its $521 billion
deficit, is an astonishing example of how, for
these guys, everything is political. It is a budget
designed to mislead, deny, deflect and hide.
It
misleadingly claims that the government is on
a path to cut the deficit in half in five years.
It denies that the president's tax program is
a big part of the fiscal mess we're in. It deflects
election-year criticism by shoving the most difficult
budget cuts until after Nov. 2. It hides the lengths
to which the administration will go to protect
its tax cuts for the wealthy.
The
bland language of the budget conceals the flimflam.
The president's answer to the medical crisis is
a health care tax credit to help the uninsured
buy insurance. It's a dubious solution. But if
Bush thought this was a serious idea, wouldn't
he account for its effect on the deficit?
On
Page 43 of the budget comes the claim that the
president's plan "includes contingent offsets
that would cover the estimated increases in mandatory
spending that would result from this proposal."
From
those words, you would think that Bush has specific
cuts in mind to pay for the new benefit. But no,
the budget simply promises that "the administration
will work with the Congress to offset this additional
spending." No specifics. No nothing.
Now
turn to Page 374. You discover this health care
proposal would cost $65 billion between 2005 and
2014. Three lines down, there is a minus $65 billion
for a "contingent offset for refundable portion
of the health care tax credit." Whoosh! Throw
in that minus sign and the cost disappears, without
a single hard choice having been made. Either
Bush wants to cut stuff he doesn't want to own
up to, or he doesn't care about his promise to
cut the deficit, or he doesn't care about this
proposal.
Bush
is eager to tell people how much they'd save if
his tax program were made permanent. But there
is the little problem of the alternative minimum
tax (AMT). Designed to prevent rich people from
using loopholes to pay no taxes, its provisions
will increasingly have the effect of raising taxes
on significant numbers in the middle class.
If
the AMT stays as it is, more than 30 million people
will have at least part of their Bush tax cut
canceled by 2009. The administration says it wants
to fix the AMT, but its budget figures assume
it won't. So the administration's claims about
falling deficits assume revenue it promises to
eliminate later. And these guys pride themselves
on honesty?
Another
amazing little proposal: The administration says
it wants to restore pay-as-you-go rules to bring
down the deficit. The old rules said that if Congress
increased spending on an entitlement program such
as Medicare, it had to cut another entitlement
or raise taxes by the same amount. Similarly,
new tax cuts had to be offset by entitlement cuts
or tax increases elsewhere.
Bush's
rule would exempt tax cuts from the pay-as-you-go
principle, meaning no limits on more tax cuts
for the rich or loopholes for big companies. But
if Congress wanted to increase a benefit for Medicare
recipients or disabled veterans, it would have
to pay for it with cuts in other entitlements.
It couldn't cover the cost by eliminating some
egregious tax shelter. "This is class warfare
enshrined in law," says Robert Greenstein, the
executive director of the Center on Budget and
Policy Priorities.
Imagine
you are the Special Interest Corp. of America
and wanted a government subsidy. If you hired
a lobbyist to get the money through a tax break,
the Bush rule would not stop you -- even if your
handout increased the debt burden on the next
generation.
Democratic
presidential candidate John Edwards says we have
two governments, one for the privileged and one
for the rest of us. You wonder if Bush realizes
how much he is helping Edwards make his case.
Topplebush.com
Posted: February 9, 2004
|