The Cost of No Deal
Two reports last night of what the GOP's "No, no, no" policy has wrought:
1) Instead of a healthcare reform to slow cost increases, Democrats in the Senate seem to be converging upon an expansion of Medicare to include age 55-64 year-olds and an expansion in Medicaid up to some higher multiple of the poverty limit. You might wonder why they didn't do this before: expanding existing programs is always easier than creating new ones. So now instead of a new system that attempts to control costs, we're just going to have a bigger and more expensive version of the old system, with a few tinkers around the edges. Republicans could have been architects of improvement, instead we made ourselves impotent spectators as things get radically worse. Plus - the bad new Democratic proposal will likely be less unpopular with voters than their more promising earlier proposal. Nice work everybody.
2) House and Senate conferees last night rejected a proposal to deny EPA funds to enforce its new powers over greenhouse gasses. So instead of an economically rational approach to carbon abatement - a carbon tax or even a cap-and-trade system stripped of the abuses and boondoggles attached to it by House Democrats - we're going to have the least rational approach: bureaucratic enforcement.
The furious rejectionist frenzy of the past 12 months is exacting a terrible price upon Republicans. We're getting worse and less conservative results out of Washington than we could have negotiated, if we had negotiated.
As is, we're betting heavily that a bad economy will collapse Democratic support without us having to lift a finger. Maybe that will happen. But existing party strategy has to be reckoned a terrible failure. Most Republicans will shrug off that news. If polls are right, rank-and-file Republicans feel little regard for the Washington party, and don't expect much from it. But it's the rank-and-file who are the problem here! Republican leaders do not dare try deals for fear of being branded sell-outs by a party base that wants war to the knife. So we got war. And we're losing. Even if we gain seats in 2010, the actions of this congressional session will not be reversed. Shrink Medicare after it has expanded? Hey- we said we'd never do that.
I hear a lot of talk about the importance of "principle." But what's the principle that obliges us to be stupid?