WASHINGTON BULLETIN
January 7, 2000 6:10PM
DEBTORS' PRISON
Yesterday, House Republicans announced their priorities for the year: marriage-penalty relief; education savings accounts; the Talent-Watts "community renewal" legislation; paying down debt, with an eye toward retiring it entirely. Several of these are good ideas. But overall the agenda has a nice-but-nowhere quality to it. It is certainly not a serious attempt to address the most important issues before the nation. There's nothing here about rebuilding our defenses. Marriage-penalty relief is essentially a gimmick, unless it's actually the case that the penalty has actually caused a devastating epidemic of cohabitation. And that's the optimistic view: Reducing the marriage penalty can be a foolish social policy if it takes the form of letting two-earner families pay less in taxes than similarly situated one-earner families (the form it has taken in George W. Bush's tax plan).

Eliminating the debt suffers the same flaws on a much larger scale. It's too abstract an issue to motivate many voters, however well it may poll. It also doesn't do much good for the country. True, retiring debt is a better use for tax revenues than most new spending programs (although not as good as defense spending). But by reducing the interest costs to the federal government, debt reduction frees up money for new spending. (Or, theoretically, for tax cuts. But refusing to cut taxes today in order to cut taxes in some hypothetical tomorrow is not only politically risky, it's economically foolish. It deprives the country of the extra wealth that improved incentives would bring in the interim.) Actually eliminating the national debt, meanwhile, would be a disaster, destabilizing the bond market and tanking the dollar. Have the Republicans even thought about this?

The high point of Republican (and, more important, conservative) fortunes in this decade came before the party embarked on its budget-balancing adventure in 1995. It's been mostly downhill from there. A commitment to eliminate the debt would handicap the party for decades. Which candidate are voters going to prefer? The one who offers them free prescription drugs and other goodies? Or the one who says no, we have to use that money to improve the federal balance sheet — and then can't explain why that's important? George W. Bush understands that the pressure to spend the money would be irresistible. That's why he argued in the debate Thursday night that Washington shouldn't get its hands on the money in the first place. Congressional Republicans could have decided to introduce Bush's tax plan, with some modifications, as their own. Oddly, they're following John McCain's debt-reduction approach instead.

It's only fair to acknowledge the extreme difficulty of devising a workable agenda given that Republicans have a mere five-seat majority. On the other hand, it's possible that the leadership's fixation on keeping control of the floor and not losing votes has become self-defeating. It is reminiscent, indeed, of President Bush's obsession with not letting any of his vetoes be overridden. That meant that Bush had to sign a lot of legislation he should have vetoed. He would have been better off letting the Democratic Congress pass bad laws over his objections and then campaigning against them in 1992. Instead, Bush took responsibility for everything Washington did. Worse, the strategy collapsed in the waning days of the 1992 campaign when the Congress finally did override a Bush veto (of a cable-regulation bill).

Like Bush, congressional Republicans are letting institutional considerations take priority over the framing of issues. The alternative would be to stand for a more ambitious, popular agenda, accepting some short-term policy defeats in the interest of long-term political success. That might mean, for instance, letting the Democrats pass some crazy health-care regulations rather than trying to pass some slightly less crazy Republican version of the same bill. It's a risky strategy. But no less so is the current one, which looks unlikely to excite conservative voters and - remembering, again, the example of Bush -- will probably not save the Republicans from losing control of the floor anyway.

PROMISES, PROMISES
Having gone on a little longer than we'd planned in that last item, we'll have to put off David Brock for another day. We'll get around to him Monday, ok?

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Updated By:
Ramesh Ponnuru - Senior Editor
John J. Miller - National Political Reporter
Kate Dwyer - Editorial Associate

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