海角大神

Showdown in Wisconsin, shutdown in Washington

In Wisconsin, the governor won't budge on his bill to eliminate collective bargaining rights, and in Washington, House Republicans won't budge on the $61 billion in cuts they proposed.

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Jeffrey Phelps / AP
Protesters bang drums and chant inside the state Capitol, Tuesday, Feb. 22, 2011, in Madison, Wis. Opponents to Gov. Scott Walker's bill to eliminate collective bargaining rights for many state workers took part in the eighth day of protesting on Tuesday.

Wisconsin is in a showdown. Washington is headed for a government shutdown.

Wisconsin Governor Scott Walker won鈥檛 budge. He insists on delivering a knockout blow to public unions in his state (except for those, like the police, who supported his election).

In DC, House Republicans won鈥檛 budge on the $61 billion cut they pushed through last week, saying they鈥檒l okay a temporary resolution to keep things running in Washington beyond March 4 only if it includes many of their steep cuts 鈥 among which are several that the middle class and poor depend on.

Republicans say 鈥渨e鈥檝e鈥 been spending too much, and they鈥檙e determined to end the spending with a scorched-earth policies in the states (Republican governors in Ohio, Indiana, and New Jersey are reading similar plans to decimate public unions) and shutdowns in Washington.

There鈥檚 no doubt that government budgets are in trouble. The big lie is that the reason is excessive spending.

Public budgets are in trouble because revenues plummeted over the last two years of the Great Recession.

They鈥檙e also in trouble because of tax giveaways to the rich.

Before Wisconsin鈥檚 budget went bust, Governor Walker signed $117 million in corporate tax breaks. Wisconsin鈥檚 immediate budge shortfall is $137 million. That鈥檚 his pretext for socking it to Wisconsin鈥檚 public unions.

Nationally, you remember, Republicans demanded and received an extension of the Bush tax cuts for the rich. They鈥檝e made it clear they鈥檙e intent on extending them for the next ten years, at a cost of $900 billion. They鈥檝e also led the way on cutting the estate tax, and on protecting Wall Street private equity and hedge-fund managers whose earnings are taxed at the capital gains rate of 15 percent. And the last thing they鈥檇 tolerate is an increase in the top marginal tax rate on the super-rich.

Meanwhile, of course, more and more of the nation鈥檚 income and wealth has been concentrating at the top. In the late 1970s, the top 1 percent got 9 percent of total income. Now it gets more than 20 percent.

So the problem isn鈥檛 that 鈥渨e鈥檝e鈥 been spending too much. It鈥檚 that most Americans have been getting a steadily smaller share of the nation鈥檚 total income.

At the same time, the super-rich have been contributing a steadily-declining share of their own incomes in taxes to support what the nation needs 鈥 both at the federal and at the state levels.

The coming showdowns and shutdowns must not mask what鈥檚 going on. Democrats should make sure the public understands what鈥檚 really at stake.

Yes, of course, wasteful and unnecessary spending should be cut. That means much of the defense budget, along with agricultural subsidies and other forms of corporate welfare.

But America is the richest nation in the world, and 鈥渨e鈥檝e鈥 never been richer. There鈥檚 no reason for us to turn on our teachers, our unionized workers, our poor and needy, and our elderly. The notion that 鈥渨e鈥 can no longer afford it is claptrap.

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