Tuesday, December 7, 2010

OBAMA - FROM " YES WE CAN" TO "YES WE CAVE"

FROM YES WE CAN TO YES WE CAVE

As each day passes President Obama's stocks precipitously drop. For someone, who two years ago was not only America's last hope, but the world's, the Nobel Peace Laureate's fall is mind boggling. This critique may appear harsh as, after all, he has made historic legislative breakthroughs in health care and financial reform. But was that his work or that of Nancy Pelosi and Harry Reid and the Congressional Democrats who had the courage of his convictions?

Throughout his term he has shown a disinclination for getting involved in the "nitty gritty" mix of political horse trading. It was as if he really believed the hype that was being written about him that he was the statesman that could bridge the gap between all groups on all stages. On the American stage he seemed desperate to "cooperate" with the Republicans. His campaign slogan that, "There are no Red States, there are no Blue states just the United States" seems to have become his overriding priority rather than all the other domestic issues he ran on.

The discontent against his modus operandi has been simmering for some time. James Carville, the arch Democratic lobyist, not so long ago, bluntly said that if Obama had one of Hilary Clinton's balls he would then have two! Not only has not won over the Republicans but he is loosing the Democratic base that elected him. He already has lost the Independents and youth that took him over the hill to beat Hillary Clinton in the primaries and John McCain in the Presidential election.

THE FINAL NAIL AND REALITY

The "compromise", that has finally let all hell break loose, is Obama's support for the continued income tax break for those earning more than $250,000 a year in return for continuing tax breaks for those earning less, (not really a compromise as it would take the most cynical to argue that tax breaks should only be for the high earners). In addition the Republicans would agree to a 13 month extension of unemployment benefits for the 2 year unemployed.

These issues have really no traction with the electorate. Well over 50%, notwithstanding Obama's low poll numbers, do not support these policies. It is fair to say that the democratic media and base are unsympathetic to his argument that this was the best compromise possible and he was saving the embattled middle class by compromising with the "hostage takers". They wanted him to fight tooth and nail. The prevailing mantra is, "Let the Republicans be seen to be taking tax breaks away from lower income Americans and not funding the unemployed". Stare them out - don't cave.

The lame duck Democratic House Majority once again passed a motion restricting tax cuts only to those earning less than $250,000 signaling exactly what they felt and what the Democratic position should be. The cry of the Democrats is that the Republicans have procedurally stalled every bit of legislation by the Democratic majority and there is no reason to cave into them just because they won the House of Representatives. Obama ignored this not so subtle hint as to the way he should go.

To add insult to injury this compromise was preceded by Obama unilaterally declaring a pay freeze to all Federal employees. This to the joy of the Republicans and the anger of the Unions for he received nothing in return from the Republicans.

THE COMPROMISE ISSUE

The tax issue and compromise is symbolic of the philosophical differences between the two parties and the way they caricature each other.

To the Democrats it epitomizes the fat cat uncaring Republicans and their focus on the wealthy. The Dems believe that this is all based on the myth of "trickle down" economics. To the Republicans, the Democrats are exhibiting their "tax and spend" philosophy. Furthermore, the Republicans believe that the Democrats are creating a welfare society with more an more entitlement programs.

However it is the Democrats that are up in arms about this compromise. The Republicans are hailing it is true bipartisanship. These "Bush" tax cuts are a highly sensitive issue and were only voted in as a result of Dick Cheney, using his prerogative as Vice President, to break a tie vote in the senate. The Democrats have maintained that this 2% of the American citizenry will increase the deficit by 7 trillion dollars. They also maintain that the Republican argument that it is these tax payers who will produce the jobs for the economic recovery is not supported by the facts as they, to date, have not.

WHITHER OBAMA

What has produced this disconnect between the expectations of Obama and his performance? The growing swell of "draft Hillary and I told you so supporters" believe they have the answers. Obama has had no experience in the hurly burly of political infighting. He has a need to be loved and accepted by all. Most of all he has a need to show that he is a true blue American that can unite this country. He does not understand the way it all works or alternatively he really believes that he can change it all by remaining above the fray and be the great conciliator.  It is apparent that he has not made the transition from an articulate campaigning activist to a player in power politics.

The irony is the Republicans continually bate Obama by saying he is no Bill Clinton who "really understood bipartisanship". This is the same Bill Clinton whom Newt Gingridge, the Republican Speaker of the House, ruefully maintained that Clinton was persuasive, persistent and very difficult to refuse. The same Bill Clinton whom, in spite of his "bipartisanship" the Republicans tried to impeach when he had a 70% approval rating.

The message the Democrats want to send to Obama is to let history look after itself and to stand on the  principles he ran on. There is little doubt that he is facing a Democratic revolt over this deal. The only question is it's extent.

Obama is making it harder and harder to get reelected. George Bush, the elder, never got past his decision to raise taxes. He reneged on his campaign promise "Read my lips - no new taxes" and had to face ad after ad where his volte - face was replayed.

The Republican Senate leader, Mitch McConnell, has unashamedly maintained that the top Republican priority is to limit Obama to one term. They want him to carry on just as he is. He can have their love every time he caves in and they will even say, once he is gone, that he was better than Jimmy Carter.



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