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.
When something goes wrong, I start with blunder, confusion, and miscalculation as the likely explanations. Planned-out wrongdoing is harder to pull off, more likely to backfire, and thus less probable.
But it is getting more difficult to dismiss the apparent Russian role in the DNC hack as blunder and confusion rather than plan.
“Real-world” authorities, from the former U.S. Ambassador to Russia to FBI sources to international security experts, say that the forensic evidence indicates the Russians. No independent authority strongly suggests otherwise. (Update the veteran reporters Shane Harris and Nancy Youssef cite evidence that the original hacker was “an agent of the Russian government.”)
The timing and precision of the leaks, on the day before the Democratic convention and on a topic intended to maximize divisions at that convention, is unlikely to be pure coincidence. If it were coincidence, why exactly now, with evidence drawn from hacks over previous months? Why mail only from the DNC, among all the organizations that have doubtless been hacked?
The foreign country most enthusiastic about Trump’s rise appears to be Russia, which would also be the foreign country most benefited by his policy changes, from his sowing doubts about NATO and the EU to his weakening of the RNC platform language about Ukraine.
In his convention speech, he suggested that Muslims need to earn the rights that all other Americans enjoy.
I love Bill Clinton. But I didn’t love his speech Tuesday night in Philadelphia. Given the job of humanizing his wife, he came across as genuinely smitten. But he failed to do what he’s done in every convention speech he’s delivered since 1992: tell a story about where America is today and what can be done to move it forward. He called his wife a great “change maker” but didn’t define the change America needs right now.
But the worst moment of the speech came near its end, when Clinton began to riff about the different kinds of people who should join Hillary’s effort. “If you love this country, you’re working hard, you’re paying taxes, you’re obeying the law and you’d like to become a citizen, you should choose immigration reform over someone that wants to send you back,” he said. Fair enough. Under any conceivable immigration overhaul, only those undocumented immigrants who have obeyed the law once in the United States—which includes paying taxes—will qualify for citizenship. Two sentences later, Clinton said that, “If you’re a young African American disillusioned and afraid … help us build a future where no one’s afraid to walk outside, including the people that wear blue to protect our future.” No problem there. Of course African Americans should be safe from abusive police, and of course, police should be safe from the murderers who threaten them.
Since tough questioning has failed to hold the candidate accountable, broadcast outlets need to apply pressure where it counts—to Trump’s ego.
The media is nothing if it can’t hold a presidential candidates accountable—if newsrooms and editorialists can’t force a White House aspirant to keep a promise, uphold precedent, and address suspicions that he’s a tool of Moscow.
Journalism is a joke if we let Donald Trump slide.
And so I have an idea for CNN, MSNBC, FOX News and the three broadcast networks:
Stop interviewing Trump, and stop paying his surrogates, until he releases his tax records.
I don’t make this proposal lightly. I understand as well as anybody that interviewing presidential candidates is an important way to inform the public, especially when the questioning is objective, tough, and revealing of the candidate’s character and policies.
The most ardent Bernie Sanders supporters must confront the fact that there is more in their way than corruption and stupidity.
PHILADELPHIA––Tara Kurek describes herself as an orphan. By the time she was a teenager, her parents had descended from prescription drug abuse to heroin addiction. “They didn’t raise me,” she said. “I’ve been emancipated since I was 16 years old.”
His convention speech re-introducing his wife to the country was an uneven, but ultimately effective, performance.
Just before Bill Clinton strode onstage to be his wife’s character witness, his wife’s convention planners played a video tribute to him. “When he said stuff, you believed it,” a man dressed in union gear said of Bill Clinton, “because you lived it.”
This was no accident: An overwhelming number of voters don’t trust Hillary Clinton. That credibility and character gap is the one thing that might stop Americans from electing a second President Clinton. And so the master of persuasion bragged on and on about his wife: career highlights, familiar anecdotes, and enough warm and cheesy sentiments to launch a thousand wedding toasts.
“If you were sitting where I am sitting and you heard what I heard at every dinner conversation and … on every long walk, you would say this woman has never been satisfied with the status quo about anything,” Bill Clinton said. Having been the candidate of change in 1992, Bill Clinton knows his wife faces headwinds against Donald Trump’s promise of radical, unruly change. “She always wants to move the ball forward,” Bill Clinton said. “That just who she is.”
Physicists can’t agree on whether the flow of future to past is real or a mental construct.
Einstein once described his friend Michele Besso as “the best sounding board in Europe” for scientific ideas. They attended university together in Zurich; later they were colleagues at the patent office in Bern. When Besso died in the spring of 1955, Einstein—knowing that his own time was also running out—wrote a now-famous letter to Besso’s family. “Now he has departed this strange world a little ahead of me,” Einstein wrote of his friend’s passing. “That signifies nothing. For us believing physicists, the distinction between past, present, and future is only a stubbornly persistent illusion.”
Einstein’s statement was not merely an attempt at consolation. Many physicists argue that Einstein’s position is implied by the two pillars of modern physics: Einstein’s masterpiece, the general theory of relativity, and the Standard Model of particle physics. The laws that underlie these theories are time-symmetric—that is, the physics they describe is the same, regardless of whether the variable called “time” increases or decreases. Moreover, they say nothing at all about the point we call “now”—a special moment (or so it appears) for us, but seemingly undefined when we talk about the universe at large. The resulting timeless cosmos is sometimes called a “block universe”—a static block of space-time in which any flow of time, or passage through it, must presumably be a mental construct or other illusion.
The pressures of national academic standards have pushed character education out of the classroom.
A few months ago, I presented the following scenario to my junior English students: Your boyfriend or girlfriend has committed a felony, during which other people were badly harmed. Should you or should you not turn him or her into the police?
The class immediately erupted with commentary. It was obvious, they said, that loyalty was paramount—not a single student said they’d “snitch.” They were unequivocally unconcerned about who was harmed in this hypothetical scenario. This troubled me.
This discussion was part of an introduction to an essay assignment about whether Americans should pay more for ethically produced food. We continued discussing other dilemmas, and the kids were more engaged that they’d been in weeks, grappling with big questions about values, character, and right versus wrong as I attempted to expand their thinking about who and what is affected—and why it matters—by their caloric choices.
Washington, D.C., has embarked on an aggressive clean-energy plan, but a big challenge will be making sure it doesn't worsen existing inequalities.
WASHINGTON, D.C.—For homeowners and renters, drawing energy from solar panels on their roofs can be very cost-effective: Some estimates put monthly electric-bill savings between 10 and 30 percent, and on top of that, households that install solar systems can get 30 percent of the cost as a tax credit. But for many, installing solar panels is simply not within reach: Setting up such systems can cost tens of thousands of dollars, which means that their use—and subsequent savings—are predominantly enjoyed by wealthy households.
That's why, as Washington, D.C., moves forward with its clean-energy plan—which would have at least half the city's power coming from renewable sources by 2032—it is doing so with an eye on inequality. The city has mandated that a portion of the money set aside for solar initiatives—just under one-third—target low-income neighborhoods.
The Democratic Party’s emphasis on race and gender is compelling to many voters—but it may not accord with the experience of many who are struggling.
After an analysis of polls gauging support for Donald Trump and Hillary Clinton, the New York Times concluded earlier this week that the Democratic nominee struggles most with one demographic group: working-class white men without college degrees. “Mr. Trump has adopted a message all but perfectly devised to attract these voters,” the article states. “He has a populist message on trade and immigration. He has abandoned key elements of the Republican agenda that hurt the party among white working-class Democrats, like support for cutting the social safety net.”
Gender may be a factor, the article adds, before addressing a final possible explanation:
It is also possible that less-educated white men are reacting to rapid changes in cultural and economic status, completely independent of Mrs. Clinton’s gender. No liberal arts college class on “power, privilege and hierarchy” will tell you that white working-class men have become a disadvantaged group. But many white working-class men do not feel privileged — not in a society where power and status are often vested in well-educated elites along the coasts. From their standpoint, the Democratic Party might look like an identity politics patronage system — affirmative action, immigration, “political correctness,” gender or whatever else.
Many elite universities relegate the degree program to second-class status.
Only fools pay for their champagne at Oxford. As a women’s-studies graduate student at the British university, I could always count on my professors stocking a bottle or two of bubbly in their offices, happily pouring me a glass whenever I walked in. Students of other graduate programs at Oxford had reserved seats in the library, educational field trips, or allotted funding for research materials, but the 15 women of Oxford’s women’s-studies program during the 2013–14 academic year made do with drinking in medieval-era buildings we would’ve been banned from a century ago.
“I'd felt like I'd been let into this cultural club because so much of English culture, things like Brideshead Revisited and that sort of thing, is based around Oxford,” 27-year-old Isobel Laing, a classmate from Cheltenham, told me. Lisa Bernhardt, a 24-year-old Ph.D. candidate at Cambridge, shared similar sentiments about her university: “I was just really enchanted from the outside looking in—it was so grand.”