Thursday, December 21, 2017

Tax Cut and Jobs Act

Congress passed and the President will sign the "Tax Cut and Jobs Act." The "Tax Cut" is assured. The "Jobs" are an act of faith. All Republican senators voted in favor of the bill. All Democratic senators voted against it. What does this tell us about the state of American politics?

It tells us that Republicans are in favor of small government. Their governing philosophy is that by cutting taxes, they'll starve government of revenue and benefit cuts (Social Security, Medicare, Medicaid, and the Affordable Care Act in particular) will inevitably follow.

It tells us that Democrats are in favor of government benefits. Their governing philosophy is to pay for those benefits through taxes. Those taxes are needed to pay government benefits (again, Social Security, Medicare, Medicaid, and the Affordable Care Act).

The tension lies in the fact that the voters have a foot in both camps. Voters like both the benefits and the tax cuts. That way might lie ruin, but there we are.

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