To the average person, Nancy Pelosi’s May 20 interview with George Stephanopoulos probably seemed like standard procedure for a Sunday morning talk show—another politician slipping and sliding around the questions. It was more than that.
Stephanopoulos noted that Pelosi had said—a few weeks earlier—that she would vote for the Simpson-Bowles deficit reduction plan, l which among other things proposes severe cuts in Social Security benefits, gradually raises the retirement age to 69, and calls for Medicare beneficiaries to pay more for their healthcare. Former Wisconsin Sen. Russ Feingold, a fellow Democrat, had then challenged her, in an e-mail to supporters, saying “any Democratic endorsement of benefit cuts capitulates on bedrock progressive values and makes it easier for corporate Democrats to join with corporate Republicans to destroy these programs.”
That was fair game for Stephanopoulos. Did Pelosi believe that? She did not answer yes or no, exactly. Instead, she said, “The framework of Simpson-Bowles was a very important one” because “it assumed the expiration of the high-end tax cuts. It took a harsh look at all of our spending, including our defense.” Stephanopoulos asked if that included Medicare and Social Security. She mumbled something about “our defense spending” and the need for a “proper balance between cuts and revenues that we have to have.”
“What I didn’t like” about Simpson-Bowles, she continued, “was what it said about Social Security. But I said that can be handled separately. Social Security—whatever we do on Social Security—should be returned to Social Security to extend its life.” What that meant to the ordinary viewer was hardly clear.
Pelosi never did directly answer what she thought Simpson-Bowles meant for Social Security and Medicare. She did engage in subtle beltway signaling, substituting buzzwords like “job creation,” “priorities,” and achieving a “balance,” all the while allowing her words to convey that the Dems who mattered were now on board to pass the Simpson-Bowles plan, a blueprint for deficit reduction crafted by a bipartisan commission appointed by the president in early 2010 to devise a plan for the deficit. The commission was headed by former Senator Alan Simpson and Erskine Bowles, Bill Clinton’s chief of staff. Their plan did not receive the fourteen votes from the eighteen-member commission that were necessary for Congress to consider it. But it has since moved to the national agenda anyway.
Back in late 2010, when the commission announced its plan, Pelosi called it “simply unacceptable.” She didn’t like the idea of raising the retirement age either. A few months earlier Pelosi had said that she opposed raising the retirement age and that scaling back Social Security should not be a means of reducing the deficit.
She seemed to have moved somewhat by this past March, when the House voted on a version of the Simpson-Bowles plan. Democrats, including Pelsoi, rejected it. Still, she claimed she and her colleagues were ready to vote for it “until we saw it in print.” “If it were actually Simpson-Bowles, I would have voted for it,” she said at the time.
The Stephanopoulos interview is one of many recent smoke signals that the plan lives again.
For example, last Thursday The NewsHour explored what the European economic crisis might mean for the US. “What are the real options for policy makers?” host Judy Woodruff asked Ken Rogoff, a Harvard economics professor. Rogoff replied, “Well, we could dream they would do something like the Simpson-Bowles proposal, where they’re going to get rid of a lot of tax expenditures and be able to keep rates low, make reforms to Social Security.”
Also on The NewsHour, at the end of that defining week in late March when Pelosi hinted that she might have changed her mind, David Brooks, notified the program’s upscale and politically astute viewers that a deal might be in the offing. Said Brooks:
“One of the saddest things that has happened this week is Jim Cooper, a Democrat from Tennessee, and others put together a Simpson-Bowles bill, sort of an outline, and had them vote on that. I think it got like 38 votes in the House. And so we’re going to end up there eventually. We’ll end up with something like Simpson-Bowles.”
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"And presumably they’ll eventually make their feelings about those cuts and hikes, one way or another, known at the voting machine"
Until democrats get primaried by OWS or some other movement, there is no way for the public to express themselves at the voting booth.
The DLC "third way" democrats support cuts and hikes to entitlements, the republicans support more cuts and no hikes.
As I tried to point to here the only thing saving social security from compromise is the republican insistence on avoiding it. The Democrats are precompromised because of the malignant advice they get money for following.
#1 Posted by Thimbles, CJR on Tue 29 May 2012 at 06:56 PM
What the press needs to do is to stop heightening the differences between conservative and conservative-lite,
Obama and Mitt Romney are different in that Mitt is scared of the Morlocks who make up his base and wants to do more to increase the fortunes of his Gekko-like buddies.
The differences between neoliberal and libertarian philosophy do not make up for their similar beliefs in finding ways to empower market actors to achieve policy goals.
Which means finding ways to reduce the tax burden on market actors by cutting their tax rates, making the country more investment and enterprise friendly by reducing their regulatory burdens, making their labor market more flexible (read desperate) by reducing government support for citizens and labor. There is a bipartisan consensus for appeasing the market gods.
What the press needs to do is talk about alternatives to conservative and conservative-lite
They exist:
http://schakowsky.house.gov/index.php?option=com_content&view=article&id=2777
http://cpc.grijalva.house.gov/index.cfm?sectionid=70§iontree=5,70
but if all the press is going to talk about are proposals in the range of Ryan and Bowles Simpson, then the electorate are not going to be aware that alternatives exist,
And god, We have got to have an alternative to BS because their tax cut ideas and their 21% of GDP cap on government revenue will be disastrous in times of crisis.
Fiscal responsibility involves more than finding ways to make old people suffer, not that you'd know it from the guy who spent $458 million of his private equity fortune feeding the line "We will no longer be able to afford a system that equates the last third or more of one's adult life with a publicly subsidized vacation." into our elites' ears, eh Petey Peterson?
#2 Posted by Thimbles, CJR on Tue 29 May 2012 at 07:32 PM
Trudy is absolutely right here. I want to see all news organizations ask ordinary Americans and their congressional representatives how they feel about the Simpson-Bowles proposals on Social Security and Medicare -- raising the eliibility age, cutting the cost of living adjustment, cutting Medicare spending increases to the rate of inflation, etc. Just on the SS eligibility age issue alone, what will ordinary people say when they realize that raising the age to 69 means that if they sign up for SS benefits at 62 or 65 because they can't work any more or can't find a job or whatever, their benefit will be sharply less than what it is now. And I want to hear what ordinary Americans say when asked if they would prefer that kind of cut or if they would prefer to see the payroll tax cap for SS raised, which would largely solve the SS long-term shortfall problem.
#3 Posted by Harris Meyer, CJR on Tue 29 May 2012 at 09:31 PM
And just think: all of the BS could have been avoided if the federal govt had simply obeyed the Constitution all these decades.
#4 Posted by Dan A., CJR on Wed 30 May 2012 at 02:16 AM
So Udall supports raising Medicare premiums, cutting Social Security benefits and raising gas taxes ...
If must be tough sitting around Aspen, Colorado mansions with his millionaire buddies making these "tough" decisions.
#5 Posted by Albert, CJR on Thu 31 May 2012 at 06:04 PM
Is there any legislator concerned with preserving Social Security and Medicare? Is there a trustworthy legislator? I do know wthat my Congressional Representative, Gary Ackerman, has fought to preserve these domestic programs, but he is leaving Congress-perhaps because he can't trust the House either.
#6 Posted by Naomi Feldheim, CJR on Sat 2 Jun 2012 at 03:32 PM