The "fiscal cliff" compromise

There are a lot of posts I see, from various liberal commentators, complaining that President Obama gave up too much. And there are a lot of posts I see on the other side, saying that the Republicans gave up too much. The fact that we see both of these means it's probably a good sign. There is still a necessary vote in the House of Representatives, of course, so it's not a done deal. But it's quite obvious that neither side can get all it wants. And I think that when both sides start off as far apart as they were, it can only be a good sign that both sides are unhappy.

There were a lot of issues, of course, that were not settled — kicking the can down the road a while. But with less of a time crunch, perhaps some compromise can be attained on these too — but even if not, the worst of the “fiscal cliff” crisis has been averted.

The only way a better solution could have been reached was if Mitt Romney had been elected to the Presidency. So under the circumstances, this was the best that could have been hoped for. And thanks to Vice-President Joseph Biden and Senate Minority Leader Mitch McConnell for negotiating it.

More on the "fiscal cliff" controversy

I recently had an exchange of e-mails with my brother, who is politically somewhat more conservative than myself, though we are closer to each other in our views than either of us is to those our parents held. Some interesting points were made, which I will make public here. First, after I referred him to my post:

Actually, I read similar ideas to yours recently, soak the really, really rich, but leave the really rich alone. Well said on neither side being willing to compromise, when you wrote it, but there is breaking news. Joe Biden, the Clown Prince of Buffoonery, was quoted yesterday as saying that it doesn't have to be exactly 37 percent for the top bracket, it could be less, it's just the principle that the rich have to pay more.

To which my response was:

I suspect that some compromise like this will be attained in the end. What we really don't know is what is going on behind closed doors in secret negotiations, where Boehner's lieutenants and Obama's can make deals that neither can endorse in public because of the socialistic elements in the Administration and the TEA Party contingent within the House GOP.

He continued:

The Republicans were willing to compromise by expanding revenue, 800 billion worth, but that wasn't enough for the Dems, and is too much for the TEA Party.

What we have here are two opposed sides ON PRINCIPLE. (Old Yiddish saying: "Corrupt officials can be bribed into doing the right thing, but men of principle are much more expensive.")

To the Socialists, the high-earners are anathema. They contradict the very foundation of Marxism: From each according to his ability, to each according to his need. They get paid more than (the Marxists think that) they need.

To the Republicans, high-earners provide the life-blood and impetus of life's flows, without their spark of energy, the society would fail and wither. Everyone else (and that includes you and me) are hangers on, who should just shut up and follow, unless we want to become entrepreneurs and get some skin in the game. This is best represented by the works of Ayn Rand.

I had to agree with his comment that “[w]hat we have here are two opposed sides ON PRINCIPLE.” But my main point is that:

All that you say is true. BUT, sometimes it is necessary to make some concessions even from one's principles. The socialistic Democrats control the White House and (except for the filibuster rule) the Senate. The Republicans control the House. Nothing can be done at all unless all three can find agreement — the Madisonian principle enshrined in the Constitution. If neither one gives an inch, a result occurs that neither side wants to happen — it's like Prisoner's Dilemma: you have to make what seems to be the worse choice, or the net result is the worst possible alternative.

I'm willing to say as much publicly, and so this post.

The blame is shared

Most of the time, I have been siding with the Republicans in their opposition to President Barack Obama's ideas. And in fact I still think that the President must be faulted in these “fiscal cliff” negotiations for his absolute refusal to make the slightest move toward a compromise. But the Republicans are not doing so well in this exchange either. I don't see much willingness to compromise on their part, and I have to give credit to at least one Democrat, Sen. Chuck Schumer of New York, for actually putting forth an idea: Accept that some of the highest-income taxpayers will have to see a tax rate increase — that's what any compromise must be between Obama's “raise the rates on all over $250,000” plan and the GOP's “raise no rates on anybody” plan. But set the barrier higher. Sen. Schumer proposed $1,000,000, and perhaps a GOP counterproposal would move towards that point; but setting it still higher, say $2,500,000. But I don't see anyone on the GOP side making proposals like this.

If nobody on either side is willing to move toward the other, we will surely go over the cliff. And except for Sen. Schumer, I see nobody moving an inch.

And he still won't give an inch

It looks as though President Barack Obama is still unable to compromise on the issues involved in the “fiscal cliff” — he has just made a proposal to Congress that says, in effect, “Take it or leave it: my way or the highway.” Of course, the plan won't get out of committee in the House. But he'll try to blame the Republicans — and a lot of the American people will fall for his charges, I'm afraid.

If only John McCain were in the White House.