Discussing Liberalism (Part 2)
The liberal economist...
While I don't really classify myself as a liberal when economics are involved, compared to the Bush administration I might as well be Karl Marx. Didn't we debunk "voodoo" economics (a term coined by none other than Bush the First)in the 1980's ? Why are so-called conservative Republicans recycling this tripe? Anyway, I'm not here to talk about the conservatives right now. I am here to discuss liberal economics first (more on conservatives later).
The basic principle of liberal economics is not even an economic principle. Essentially, liberals believe that we must do whatever we can to insure equal opportunity regardless of a person's "caste" in life. They also believe that the federal government should fund all major infrastructure projects (highways, mass transit, education, health care, etc.). The liberal "economist" agrees with the notion that taxes should be a top-down system; that those who make the most should sacrifice the most for the good of the nation. They also believe that taxes should be based on overall expenditure requirements and that tax burden should be a secondary concern.
I know that this may be gibberish to some, but it is important to understand the basic principles of liberal economics in order to decide with which aspects you agree or disagree. One's ignorance of such ideas only leads to confusion when voting for a candidate for public office.
I consider myself a "radical moderate" when it comes to economics. I support the liberal notion of centralized federal funding of important infrastructure. I also support the idea of a top-down approach to taxes. But I am very concerned about the overall tax burden on the American people in all classes and its effect on the economy in general. When asked issue by issue, most Americans probably fall in this category, but consider themselves conservative simply because they want a lowered tax burden. I have no such delusion.
First of all, "conservatives" of the 21st century are not the same as the fiscal conservatives of the mid-20th century. Their commitment to decentralizing infrastructure and eliminating entitlement programs (Social Security, Medicare, etc.) is much the same, but Ronald Reagan's revolutionary tax policies took that commitment one step further. Reagan adopted the idea of job growth/economic prosperity through tax cuts during his tenure as California governor. The basic idea is that all tax cuts are good for the economy regardless of their immediate effects on the federal (or state) budgets. By passing some of the largest tax cuts in American history (although the tax burden was arguably high) the new conservatives hoped to bring about unprecedented prosperity, insuring their continuing control of the federal government. It did not work.
As most "moderate economists" realize, an economy is not the "bitch" of the fiscal policy of its respective government. Whether liberal or conservative or down-right libertarian, government fiscal policy is a way of dealing with budget realities, not economic cycles. Now, does that mean that no effect whatsoever can be felt from "bad" fiscal policy? NO. All it means is that fiscal policy is a very tiny portion of a largely uncontrollable machine that governs the direction of the economy. Economies depend more on consumer "mood," global weather patterns, and the "price of tea in China" (in case you ever wanted to have a response to that inquiry) than on how high taxes are and how much the government spends on infrastructure.
As the political tone of the country continues to "float" to the right of center, liberals are destined to sound more and more like moderates while conservatives are bound to become slaves to the Reagan-omics of the far right. As such I find myself in a position to welcome real economic liberals to the middle. Together we can fight for universal health care, education funding, solvent Social Security funds, AND a lower tax burden. There is a large pool of money available to give back to the American people, and it's called the national debt. If we can use sound fiscal policy to balance the federal budget and pay down the debt, the American people are bound to be the benefactors of politically expedient tax relief.
What Bush and Company have done is dig deeper into the future repositories of American wealth, requiring even greater sacrifices for the next generation. Taxes will be higher, programs will have to be cut, and the economy (as independent as it is) will suffer. Now is the time to stop the borrowing of our children's and grandchildren's future to pay for a little comfort now. Vote for people who will guarantee the fiscal responsibility which we used to count on conservatives to handle.
to be continued...