Romney's plan only works if you assume he has a different plan or use a magic growth asterisk
Paul Ryan finally had enough time to go through the math of the Romney tax plan during the vice-presidential debate. He didn't use it. Ryan filibustered instead. About the most specific he got was citing "six studies" he said vindicate the plan's mathematical plausibility.
Except they don't.
Romney's tax plan is a three-legged stool that doesn't stand. Here's how it works -- or doesn't. Romney wants to 1) cut tax rates across the board by 20 percent, 2) cut tax expenditures to pay for these tax cuts, and 3) maintain progressivity. The problem, as the Tax Policy Center pointed out, is there aren't enough tax expenditures for the rich to pay for all the tax cuts for the rich. Romney's plan only works if he cuts out the tax cuts for the rich, raises taxes on the middle class, or explodes the deficit. In other words, Romney can pick two, and only two, of his tax goals -- what Matt Yglesias of Slate calls the "Romney Trilemma".
That sound you hear is the three-legged stool falling down.
All this hasn't stopped a fight against the tyranny of arithmetic. The defenses of the Romney tax plan generally fall into three broad categories. The first assumes the plan will set off magic growth of the monster variety; the second assumes Romney defines "middle-class" differently than he does; and the third assumes Romney would eliminate tax expenditures he has indicated he would not eliminate. Let's briefly consider the six such "studies" that Ryan cited -- most are actually blog posts -- in turn.
1. Harvey Rosen paper. Rosen, a professor at Princeton, assumed Romney's lower tax rates would kickstart enough growth to pay for the revenue hole those lower tax rates would create. This seems dubious. Alan Viard and Alex Brill of the conservative American Enterprise Institute (AEI) have argued that it seems unlikely revenue neutral tax reform would have big growth effects -- incentives don't change much if taxes don't even if tax rates do. And besides, the Tax Policy Center used aggressive growth estimates from Romney adviser Greg Mankiw's work to test Romney's plan. It still didn't add up.
2. Marty Feldstein Wall Street Journal op-ed. Former Reagan adviser and current Harvard professor Feldstein argued Romney's plan works if you assume growth would be much stronger and if you define middle class as households making less than $100,000 rather than households making less than $200,000. This latter figure is the one Romney has used when he has said his plan would not raise taxes on the middle class.
3. Marty Feldstein blog post. Feldstein was less aggressive with his growth estimates this time, but he stuck with his definition of middle class as households making less than $100,000. He also assumed Romney might cut tax preferences for employer health-insurance, make municipal bond interest taxable, and eliminate the child tax credit for households making more than $100,000.
4. Matt Jensen blog post at AEI. He argued Romney might cut tax preferences for municipal bonds and life insurance buildups. But this might go against Romney's promise not to cut tax preferences for savings and investment -- and would only pay for half of Romney's revenue hole, according to the Tax Policy Center.
5. Curtis Dubay blog post at Heritage. He argued Romney might cut tax preferences for municipal bonds and life insurance buildups -- yes, again -- and that Romney might tax inheritances on a "carryover basis" after eliminating the estate tax. In plain English, heirs would have to pay capital gains for the price an asset was bought for, rather than the price it was inherited at. But as Suzy Khimm of the Washington Post notes, Dubay overestimates how much revenue this change -- which, remember, is just a guess about what Romney would do -- would generate.
In other words, Romney's plan only works if you assume he has a different plan or use a magic growth asterisk. And that means we have no idea what he would do if he wins. Does he care more about his tax rate cuts, about not hiking taxes on the middle class, or not increasing the deficit? His adviser Kevin Hassett suggested they would back off the high-end tax rate cuts if it would increase the deficit, but Romney quickly denied that. He's also denied reality, by relying on studies that only prove his critics' point.
The Russian leader tries to claim the role of senior partner in relationship with the U.S.
You have to feel bad for the Moldovan president. The newly elected Igor Dodon had traveled to Moscow to meet Russian president Vladimir Putin for the first Russian-Moldovan bilateral meeting in nine years. Yet here he was, standing side by side with Putin, his hero and model for emulation, at a regal-looking press conference and some reporter has to go and ask about the prostitutes.
“You haven’t yet commented on the report that, allegedly, we or in Russia have been collecting kompromat on Donald Trump, including during his visit to Moscow, as if he were having fun with prostitutes in a Moscow hotel,” said the reporter with the pro-Kremlin LifeNews. “Is that true? Have you seen these files, these videos, these tapes?”
Some Democrats, most notably Representative John Lewis, have labeled Donald Trump with the same epithet applied to his two immediate predecessors.
When was the last time America had a “legitimate” president?
You’d have to go back a ways to find a unanimous choice. Certainly not Donald Trump. Representative John Lewis, the civil-rights icon, has sparked a fury by saying, “I don't see this president-elect as a legitimate president.” Had Hillary Clinton won, she would not have fit the bill, either: Trump said repeatedly during the campaign that she should not have been allowed to run. Certainly not Barack Obama. Many opponents—none of them more prominent than Trump, yet again—argued, falsely and preposterously, that he was not even eligible to stand for the presidency because he had not been born in the United States. And certainly not George W. Bush, whom many Democrats viewed as illegitimate for several reasons: his popular-vote loss; questions over the final count in Florida; the fact that the Supreme Court effectively decided the election on a party-line vote.
A mix of patriotic balladeers and apolitical acts will take the stage on Thursday and Friday.
It is not true, as a lot of commentary would have it, that Donald Trump’s inauguration will feature “no stars.” Some of the entertainers who have signed on to play have, in fact, built their success on entertaining millions of people. But it is true that what’s considered “the A-list” will be conspicuously absent, as will be acts from other lists: The B-Street Band, a Bruce Springsteen tribute group, backed out from an unofficial inaugural party after outcry; Broadway singer Jennifer Holliday reneged from the main concert event.
The mix of entertainers lined up for Thursday’s “Make America Great Again! Welcome Celebration” on the National Mall and Friday’s swearing-in ceremony represents a hodgepodge of ideology and expediency. In a savvy MTV essay about Trump’s national-anthem singer Jackie Evancho, Doreen St. Félix argued that booking the 16-year-old America’s Got Talent runner up was “a matter of scavenging, and then gilding over the spoils”—a description that could apply across the lineup given the many headlines about Trump’s team getting turned down by celebrities then saying that not having famous people is a good thing. But in its relative lack of glitz, and in its coalition of performers well familiar to state-fair stages, this week’s bill may inadvertently achieve the stated inaugural goal of projecting an image not of Trump but of the people who elected him.
Is there room in the movement for people who morally object to abortion?
Updated on Monday, January 16 at 4:05 p.m.
Pro-life women are headed to D.C. Yes, they’ll turn out for the annual March for Life, which is coming up on January 27. But one week earlier, as many as a few hundred pro-lifers are planning to attend the Women’s March on Washington, which has been billed as feminist counterprogramming to the inauguration.
With organizations like Planned Parenthood and NARAL Pro-Choice America co-sponsoring the event, pro-life marchers have found themselves in a somewhat awkward position. What’s their place at an event that claims to speak for all women, but has aligned itself with pro-choice groups? With roughly a week to go before the march, organizers also released a set of “unity principles,” and one of them is “open access to safe, legal, affordable abortion and birth control for all people.”
For generations, American presidents have vowed to use their power to spread freedom around the globe. But the president-elect is set to break with that precedent.
Inaugural addresses are, in part, catechisms. The new president signals that he’ll take the country in a new direction. But he casts that new direction as consistent with old and cherished national principles, from which the country has strayed, and to which it must return.
Since Woodrow Wilson, and certainly Franklin Roosevelt, part of the catechism has been America’s mission to defend freedom around the world. For close to a century, incoming presidents have called American power a blessing from God, which the United States must use to assist the cause of liberty in other lands.
But this Friday, Trump may not say that. No president-elect in modern American history has talked less about America’s obligations to the rest of humanity. When it comes to foreign policy, Trump has two primary rhetorical modes. The first is transactional: America is being ripped off by other nations, and must cut better deals. The second is civilizational: America is part of the Judeo-Christian West, which is threatened by “radical Islam.” The former defines the world as a struggle between America and its trading partners. The latter defines the world as a struggle between civilizations. Neither mode suggests that promoting freedom for peoples of all nationalities, races, and religions serves America’s interest. Both are fundamentally zero-sum.
How the FSB's loyalty to Russia's president made it the country's most powerful intelligence agency
It’s tempting to look to the playbooks and historical traditions of the late Soviet Union to explain the audacity of today’s Russian intelligence activity, from its meddling in U.S. elections, to apparently killing Kremlin opponents abroad. But these activities are not just products of old ways or new geopolitics. They also stem from a shift in the activities of Russia’s political police force, the infamous Federal Security Service (FSB). Originally established to protect the Kremlin’s rule at home, it has increasingly moved into Russia’s foreign operations.A new cohort of secret policemen, ignorant of the traditions of spycraft and secure in Putin’s protection, has fundamentally altered the nature of Russian intelligence.
A history of the first African American White House—and of what came next
In the waning days of President Barack Obama’s administration, he and his wife, Michelle, hosted a farewell party, the full import of which no one could then grasp. It was late October, Friday the 21st, and the president had spent many of the previous weeks, as he would spend the two subsequent weeks, campaigning for the Democratic presidential nominee, Hillary Clinton. Things were looking up. Polls in the crucial states of Virginia and Pennsylvania showed Clinton with solid advantages. The formidable GOP strongholds of Georgia and Texas were said to be under threat. The moment seemed to buoy Obama. He had been light on his feet in these last few weeks, cracking jokes at the expense of Republican opponents and laughing off hecklers. At a rally in Orlando on October 28, he greeted a student who would be introducing him by dancing toward her and then noting that the song playing over the loudspeakers—the Gap Band’s “Outstanding”—was older than she was.
For one thing, she’s never attended or taught at a public school.
Betsy DeVos is likely to be confirmed as the next secretary of education. There’s nothing unusual about the Senate supporting a president-elect’s choice to lead the U.S. Department of Education. But DeVos is a more controversial choice than nominees in recent memory.
At his hearing, the outgoing education secretary, John King, faced friendly questioning from the senators on the education committee in charge of moving nominations forward, including from the Republican chairman, Lamar Alexander. King’s predecessor, Arne Duncan, was confirmed in the Senate by a voice vote. It’s not just Democrats who have had easy confirmations, either. Both of George W. Bush’s education secretaries—Rod Paige and Margaret Spellings—were also confirmed by voice vote and received praise during their hearings from Republicans and Democrats alike.
To become a citizen of the United States, naturalizing immigrants must take a test. Many native-born Americans would fail this test. Indeed, most of us have never really thought about what it means to be a citizen. One radical idea from the immigration debate is the repeal of birthright citizenship—guaranteed by the Fourteenth Amendment—to prevent so-called anchor babies. Odious and constitutionally dubious as this proposal may be, it does prompt a thought experiment: What if citizenship were not, in fact, guaranteed by birth? What if everyone had to earn it upon turning 18, and renew it every 10 years, by taking an exam? What might that exam look like?
How America’s best and brightest once again steered the country to failure
They were the best and the brightest. But, most of all, they believed they were right. Although the scale of disaster was considerably different, the same that was said of those who oversaw foreign policy under Presidents John F. Kennedy and Lyndon Johnson could be said of the Obama administration.
These were academics, intellectuals, and technocrats who were not only very smart; they took pride in being practical, grounded in reality, and wedded to facts. After the supposed anti-intellectualism and ideological rigidity of the George W. Bush administration, many of us welcomed the prospect of a president who was cerebral and professorial. Even those sympathetic to President Barack Obama’s foreign-policy instincts, however, will agree that it didn’t quite go as planned.