Back to Taxes

Now over a week removed from the tragedy in Connecticut, it appears as though the debate over gun control will have to wait until January at which point President Obama has said he will address it again. I hope this is the case as just yesterday another three innocent people were shot dead in a rampage in Pennsylvania. Of course in between now and then who knows how many individuals have been murdered or committed suicide using guns. The tragedies keep piling up.

But since the gun debate is going to be on hold for the time being and because I am not confident that America is willing to take action steps to address the issue, let us now return to the immediacy of the fiscal cliff, the cuts and tax hikes slated to begin going into effect  on January 1, 2013. Even as business leaders and executives were dropping their opposition to tax increases for the wealthy, presumably because they understand the damaging effects of spending cuts, House Republicans were steadfast in their refusal to support higher taxes for anyone, even the people who support higher taxes for themselves. Never was this more evident than on Thursday night when House Republicans refused to support their own leader's plan to raise taxes for only those making over a million dollars annually as a stopgap measure. The bill - a joke anyhow - would have at least put the political pressure on Democrats to do something, but alas the Republican Party is in such disarray that it can't even agree to put pressure on Democrats. It is a truly laughable and embarrassing situation.

The Republicans failure to show any kind of leadership or present any kind of real ideas on taxes and spending opens the door for Democrats to win the day politically and introduce policy that will actually benefit the country. If Democrats can come together quickly and put together a package that passes through the Senate with bipartisan support it could go to the House and presumably pass there with bipartisan support as well. Of course, it is a leap of faith to assume that there are enough Republicans willing to take positive action steps for this to be reality, but at the very least party leaders have to realize that the party is sunk if they can't do anything about the fiscal cliff. Last month's electoral drubbing and the poll data showing that overwhelming numbers of Americans would blame Republicans for falling over the fiscal cliff - and rightfully so - has to terrify party leaders.

As much as I feel gleeful thinking about the far right wing of the Republican Party working themselves out of jobs, I prefer a healthy economy, which means we need sound policy soon. The American people are on board and America's business leaders are on board. In fact everyone is on board except a handful of Republicans in the House of Representatives, the place were America's future goes to die. Democrats in the Senate should work with the President and those Republican Senators who are willing to compromise on taxes and spending to craft legislation that will increase revenue by raising taxes on the wealthiest individuals, but also find meaningful spending cuts, especially from the military and entitlement programs. This sounds daunting, but it's not. Many of the tax increases and spending cuts have already been identified in the multiple "negotiations" between President Obama and Speaker Boehner. All that needs to be done is crafting the legislation and counting the votes. Can a bill get enough support - 60 votes - to overcome a filibuster and pass the Senate? I think it can. There are sensible Republican Senators, more than can be said for their House colleagues. A bipartisan bill that still reflects Democratic priorities could pass the Senate and perhaps the House. A best case scenario is that this results in actual policy that negates the fiscal cliff and places us on sound fiscal footing so that the economy can prosper. A worst case scenario is that House Republicans reject any bipartisan Senate bill further proving that they live in a fantasy world devoid of intellect and ideas, thus hampering their ability to rebound politically in the future.

America needs action and President Obama and the Democrats have been handed an opportunity to forge needed legislation. The onus is now on them to take the initiative and move forward with a bill that will help put us soundly and irrevocably on the path towards economic recovery. Republican intransigence and disarray has reached a nadir that has presented an opening, Democrats must seize it.