
We are not even a month for the new term of term Donald Trump, and it seems that the cadre of Republican activists is ready to take away its popularity and derail the agenda of its administration with maximizing demand for a tax tax reduction. The Fresh Enterprise Group, the Group for the Free Enterprise, says that the maintenance of the large tax reduction that President Trump has signed in the law during his first term must be the “highest priority” of Congress because “provided record economic growth”.
That’s not true. Economic growth was less than a year after the law passed. The two-year section, which followed its passage, has seen a slower growth than any other two-year period of economic expansion in 90 and 2000. Years-no record that someone should boast of.
As a political matter, tax cuts are simply not the highest priority for US people, a working class that now forms the core of the Republican coalition, or the Republican Party itself. In mid -January overview According to Fox News, a total of 1 percent of voters said that tax reform should now be the highest priority of President Trump. AND overview Last year my organization, American Compass, found that most of the working class voters would like to see the Congress raise Corporation taxes and households with a receipt of about $ 250,000 prior to the reduction of expenditure. Even among the Republicans, three quarters of respondents believed that tax increases should be part of any budget solution.
Most of this huge tax reduction from Mr. Trump’s first period is scheduled for expiration this year. Given that the federal budget deficit much larger than it was eight years ago, true fiscal conservatives within the party are simply built by extending the cut for eight to 10 years. However, activists against taxation, however, insist that this is the only way forward.
In recent years, pressure campaigns have been associated with special interest with “groups”, as they are often called, activists who promoted a democratic party far from a typical voter on questions such as immigration, race, gender identity and climate transformation. However, the Republican Party has its own groups of special interests-the groups of progressive groups, as destructive both in its popularity and its prospects to happen.
Together with the Growth Club, such groups such as the Americans Grover Norquist for Tax Reform and Americans in the Koch network for prosperity, have made their mission to reduce taxes, regardless of what most voters can prefer or the federal budget can bear.
They preach the taxes with the same desperate zeal as climate activists who require almost complete removal of carbon emissions. There are increasing taxes, no matter how much a deficit is, with the same decision that open borders are against any effort to limit immigration. They insist that tax cuts have stimulated the economic boom at the end of the 90s, although Bill Clinton raised taxes; that George W. Bush’s tax cuts in 2001 and 2003 paid for themselves, although tax revenues dropped sharply; The fact that Mr. Trump’s tax in 2017 was driven by growth, although growth slowed. They blame anyone who suggests the need for greater tax revenues for betrayal of conservatism – does not mind that Ronald Reagan Increased taxes repeatedly.
There is no doubt that groups such as these are effective on both sides and exert pressure that limits what leaders choose to say that they can say and deform the programs they follow. However, the common denominator of their politics style, and what is so harmful is to rely on bullying rather than the argument for the enforcement of ideological Orthodoxy. The groups have no prospect or intend to win in merit, instead they decided to call the names and sic horde social media on anyone who would get off the line. They fulfill their demands in contradiction with reality and use eagerness to repeat them as a loyalty test. The result is politicians acting in an seemingly irrational way, at the expense of their own position with voters and against the interests of the country.
Seth Moulton, a democratic representative from the northern Massachusetts, said in November that he believed that Transgender’s athletes should not be allowed to play on the sports teams of his daughters, “but I have to be afraid to say it as a democrat.”punished ”and“ pilot“According to Rolling Stone, who said,“ It shows that the Democratic Party is more interested in police words and the abolition of people who disagree with the strict left -wing ideology on certain questions than they actually deal with most voters. ”
His colleague Jodey Arrington, a Texas Republican who led the budget committee, was similar to treatment a few months later. His offense? Mention higher income taxes as one of several possible ways to pay for tax reduction elsewhere. After “sent people on the hill Capitol insanity“According to Newsbowl News, he claimed that incorporation was random. As chairman of policy Freedom Caucus, Chip Roy from Texas, has lamentedNaming Americans, especially for tax reform: “We have a lot of people who throw on our side that you can’t even conversate about taxes.”
Commentator CNBC and Ronald Reagan devoted Joe Kernen said that even higher taxes, as the American Compass did, did “Bonkers, walking, quack progressivism Uniparty”, claim sent David McIntosh, president of the club for growth. Americans for prosperity are expenditure $ 20 million to “mobilize millions of people” to avoid a tax account to throw himself at higher. Even the proposal of some Trump advisors and congress leaders who postponed the tax struggle until the Congress did not progress forward on questions like energy and immigration, did not get under fire. Mr. Norquist warned In December, any delay would cause Republicans to lose their majority in the house. Vote as soon as possible to extend the current rates as soon as possible, he said, “or otherwise.”
President Joe Biden spent a early part of his term fought to advance in the agenda “building better”, which represented every progressive priority and did not attach any necessary enthusiasm from the rest of the country. The fiscal irresponsible plan of American rescue contributed to inflation that broke the popularity of Mr. Biden and overcame his other economic goals.
If the Republicans spend next year by fighting for a tax law, which is a low priority outside Beltway, will stop the more promising elements of Trump’s agenda and expose themselves to disconnect it from the interests of the working class that builds them in power. If the groups are eventually prevailing, they will be responsible for another huge round of government loans, as in a scale as the one required by Mr. Biden’s “rescue plan”, and is likely to create similar heads for the economy.
Over the years, Republicans have asked each other (with some combination of confusion and joy) why the Democrats not only ignore groups of special interests. Now they know. The question is whether they can do better work to tune pressure. Any party stipulates that the first will be on the way to building a sustainable majority.
Oren Cass is the chief economist of American Compass, a conservative economic tank and writes a newsletter of understanding America.
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