The Pant Suit vs. The Pant Load – Budget Edition

Now that both presidential conventions are history, the real discussion about the merits of the candidates and their programs begins. The first question to answer is: What are the costs of the promises made to America by Donald Trump and Hillary Clinton?

Both candidates have made political promises that, if implemented, have both costs and benefits to the nation. While the analysis of benefits may be difficult to assess, the costs are not.

The Committee for a Responsible Budget (CRB) has issued a report, “Promises and Price Tags: A Fiscal Guide to the 2016 Election” that estimates how our national debt would rise under the programs of both presidential aspirants. It shows that gross debt held by the public would rise from about $19 trillion today to $23.9 trillion by 2026 under Hillary Clinton’s plan and to $35.2 trillion under Donald Trump’s plan.

They based the estimates on the public positions taken by each campaign as of June 24, 2016. They also generated a low, central, and high cost estimate of the fiscal implications of Trump’s and Clinton’s proposals.

We need to stop and say that our gross debt will rise no matter who is elected, since under existing law, gross debt is projected to rise from about $19 trillion today to about $29.1 trillion by 2026, about a 50% increase. With that in mind, here is CRB’s summary of the impacts of both candidate’s plans on the national debt:

Debt Under Candidates Proposals

Donald Trump has expressed concern about the dangers of our current $19 trillion debt. Yet his plan would increase that number significantly. Under CRB’s central estimate of Trump’s plan, gross debt would more than double from $19 trillion today to $39.5 trillion by 2026.

The increase in gross debt under Clinton’s plan would be smaller but still significant. Under the central estimate of Clinton’s plan, gross debt would rise by more than 50%, from $19 trillion today to $29.6 trillion by 2026, in line with the current law. So, her promise to pay for new spending seems to be true.

Digging a little deeper, here is CRB’s breakdown of both candidates’ plans by revenue, costs and spending. Most of Hillary Clinton’s increased costs come from spending in non-health, non-retirement programs:

  • She would spend $350 billion more on college education, $300 billion more on infrastructure, another $300 billion on paid family leave, and nearly $500 billion on a variety of other initiatives.
  • Clinton would also make several health-related changes that would cost about $150 billion.
  • To offset these costs, Clinton proposes a variety of tax increases – mostly on higher earners and businesses – totaling $1.25 trillion.

The largest share of Trump’s deficit impact comes from his proposed individual and business tax reforms, which would reduce revenue by about $9.25 trillion:

  • His plan to reform the veteran’s affairs system and increase veterans’ access to private doctors would cost about $500 billion.
  • And his plans to repeal and replace the Affordable Care Act and reduce illegal immigration would cost about $50 billion each.

So, what happens to the total amount of our national debt?

Donald Trump wants to dramatically reduce taxes for most Americans while maintaining spending relatively near its current levels. As a result, under CRB’s central estimate, he would add $11.5 trillion to the debt through 2026.

Hillary Clinton wants to increase both spending and taxes, adding about $250 billion to the debt over 10 years under CRB’s central estimate. Under their low cost estimate, Clinton’s plan would reduce 10-year deficits by $150 billion.

Increases in debt are not always a bad thing, particularly in times of economic slack, if the debt accumulation is driven by stimulative fiscal policy. But a 40 percentage point of debt to GDP increase, from 87% of GDP to 127% of GDP, seems unlikely to give us a positive outcome.

But, if we elect The Pant Load, that’s what we will get. Trump said to the WaPo in May:

I am the king of debt. I do love debt. I love debt. I love playing with it.

This should worry you. Trump went on to say:

Look, I have borrowed, knowing that you can pay back with discounts. And I have done very well…I would borrow, knowing that if the economy crashed, you could make a deal, and if the economy was good, it was good, so, therefore, you can’t lose.

So, Trump would stiff the nation’s creditors. Haven’t we had enough of Republican mis-leadership on the nation’s finances?

Haven’t we had enough of Republican tax cuts for the most comfortable among us at a cost to the least comfortable among us?

Remember that it was the GOP-led Congress that threatened not to raise the debt ceiling in 2011. That led to the Standard & Poors rating agency’s lowering of the US credit rating.

Think carefully about what Trump’s glib plans imply for America.

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“Hey GOP: Stop Being So Mean”

Trump thinks the GOP is trying to keep him from scoring The Deal of the Decade, or as the rest of us know it, the GOP nomination. Here is the predictable reaction in TrumpWorld from today’s New Yorker:

COW So Mean (2)

Wrongo got to spend time with the owner of his local PC repair company today. During the work on the PC, the talk turned to politics. The owner said quite a few things that everyone in America seems to feel, that politicians can’t be trusted, that they do nothing to solve America’s problems, and are just there to line their pockets.

He is a two-time voter for Obama, but is leaning this year towards Donald Trump. Two issues are fueling his thinking: First, that illegal immigration is a real issue, and that our economy, and to some extent our society, are being harmed by a large flow of immigrants. We live in Connecticut. Our county has the lowest population density of any county in Connecticut and is geographically, the state’s largest county. We are the whitest county: The 2010 census shows our county to be 94% white, and 1.3% black or African American. People of Hispanic or Latino origin made up 4.5% of the population. So, we enjoy little diversity, although many of our lawn and construction workers are Hispanic.

My computer guy points to a neighboring city in another county which has had large increases in black and Hispanic populations since 2000, now with 25% of its population Hispanic, and 8% black, both up dramatically.

Second, he thinks that Obamacare hurts his business. Never mind that his healthcare comes through his wife’s job, and that he has less than 5 employees, so his business isn’t paying for health insurance.

He also gives Obama no credit for America’s recovery from the Great Recession, saying that it took a really long time to recover, and the economy probably would have recovered on its own.

He is concerned that Trump would be an inappropriate president, a guy who can’t speak civilly to foreign leaders. He isn’t sold on Trump’s foreign policy either.

It is a sample of one. A two-time Obama voter who doesn’t think he has anywhere to go in November. He doesn’t think Hillary is the one; he thinks Sanders is a fringe player, right along with Trump.

He’s looking for a leader, and wonders why nobody who is truly great wants the job.

But that’s easy to understand. Too many people pin their hopes on getting “the right person” in the presidency, not realizing that it takes much more than just the leader to get the wheels of change moving.

Without courage and support from both houses of Congress, government won’t move an inch. Trump or Sanders could win, and be completely unable to steer the ship of state anywhere but where the oligarchs choose for to go.

Connecticut will be a reliable state for the Democrats in the fall, but they need to think again if they plan to use the same old interest group song and dance that worked to elect Obama in 2008 and 2012.

My PC guy isn’t gonna buy it.

It’s doubtful that he’s alone.

 

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Super Tuesday Part Trois

A little music to get you to (or through) today’s primary election, particularly if you are in Florida, Illinois, Missouri, Ohio or North Carolina.

We’ll see if it is still a race in both parties @11:00pm.

Here is “Won’t Get Fooled Again” by the Who. It was released as a 3+ minute single in June 1971, reaching the top 10 in the UK. But the full 8 1/2 minute version appeared as the final track on the band’s 1971 album Who’s Next, released that August.

In 2011, the song was ranked number 134 on Rolling Stone’s The 500 Greatest Songs of All Time.

When will we not be fooled? When we learn the facts. Knowledge is the first step to resisting the BS. When you know the facts, politicians can’t fool you.

Here is “Won’t Get Fooled Again”:

Here are the lyrics:
We’ll be fighting in the streets with our children at our feet
And the morals that they worship will be gone
And the men who spurred us on sit in judgment of all wrong
They decide and the shotgun sings the song
I’ll tip my hat to the new constitution
Take a bow for the new revolution
Smile and grin at the change all around
Pick up my guitar and play, just like yesterday
Then I’ll get on my knees and pray
We don’t get fooled again

The change, it had to come, we knew it all along
We were liberated from the fold, that’s all
And the world looks just the same and history ain’t changed
‘Cause the banners, they are flown in the last war

I’ll tip my hat to the new constitution
Take a bow for the new revolution
Smile and grin at the change all around
Pick up my guitar and play, just like yesterday
Then I’ll get on my knees and pray
We don’t get fooled again, no no

I’ll move myself and my family aside
If we happen to be left half alive
I’ll get all my papers and smile at the sky
Though I know that the hypnotized never lie
Do ya?

There’s nothing in the streets, looks any different to me
And the slogans are replaced, by-the-bye
And the parting on the left is now parting on the right
And the beards have all grown longer overnight

I’ll tip my hat to the new constitution
Take a bow for the new revolution
Smile and grin at the change all around
Pick up my guitar and play, just like yesterday
Then I’ll get on my knees and pray
We don’t get fooled again
Don’t get fooled again, no no

Yeah
Meet the new boss
Same as the old boss

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Has The Progressive Moment Returned?

(This is the second and final column on the Progressive Movement)

Few issues in the history of 20th and 21st century America have inspired more disagreement than the value of the Progressive movement to our society. Our high school texts taught that it was a movement by the people to curb the power of the special interests in our government:

COW Bosses

The Bosses of the Senate by Joseph Keppler, 1889

The 1890s Progressive Movement was a response to dislocations in American life. There had been rapid industrialization of the economy, but there had been no corresponding changes in social and political institutions. Economic power had moved to ever larger private businesses, while social and political life remained centered primarily in local communities, even within rapidly growing cities, with great variability in quality of life.

But early Progressives believed that the problems society faced (poverty, violence, greed, racism, class warfare) could best be addressed by providing good education, better working conditions and an efficient workplace. The desire to regulate big business was mostly focused on creating a fair(er) deal for small businesses and workers. Others encouraged Americans to register to vote, fight political corruption, and let the voting public decide how issues should best be addressed (via direct election of senators, the initiative, and the referendum).

Essentially the struggle was a clash between the “public interest” and “corporate privilege.”

Daniel Rodgers’s Atlantic Crossings (1998), shows how European reforms at the time influenced American progressives, suggesting that the movement was not just an American phenomenon, but had roots in a European process of change. He describes the international roots of social reforms such as city planning, workplace regulation, rural cooperatives, municipal transportation, and public housing that traveled across the ocean to our shores.

This is something we see today. Populist movements from the left and the right are roiling Europe, just as they are in America.

In the mid-1930s, the New Deal allowed the country to return to a pent-up agenda of its Progressive past. Once again, we had an economic crisis, once again, the power of business was outsized versus the power of the worker.

Another Roosevelt reformer stepped into the role of Progressive-in-Chief. But where Teddy was a Republican, FDR was a Democrat. Regardless, change again ensued.

We hear Progressivism referred to as synonymous with the American welfare state. But, the original Progressives did not believe that a ‘welfare state’ was an end goal. In fact, the term ‘welfare state’ did not come into currency until the end of the 1940s, as a new label in the Republican Party’s attack on Social Security and other programs of the New Deal.

As we wrote in the review of One Nation Under God (2015) by Kevin Kruse, James Fifield, a minister who worked to bring Corporate America and Christians together said in 1935:

Every Christian should oppose the totalitarian trends of the New Deal


Overall, Kruse’s book is an excellent analysis of how Christian fundamentalism and capitalism were conflated in the 1950s to erode the divide between church and state, re-casting Progressive political philosophy as both “un-American”, and “anti-Christian” at the same time.

Progressives were called Reds or socialists. It was a charge that would follow Progressives throughout the 20th Century, whenever Progressives returned to the cause of economic equality.

In American Dreamers: How the Left Changed a Nation (2012), Michael Kazin shows that the US is unique among Western nations in that we never developed a viable, left-wing political movement. Unlike Europe, a progressive party has never succeeded in establishing more than a temporary foothold in American politics, despite the hysterical rhetoric of conservatives. We have had a Congressional Progressive Caucus only since 1991. It is comprised of one Senator and 75 Congress people, all Democrats.

Yet, Progressives still have had great success in shaping American society. During presidencies from LBJ to GW Bush, there was far more radical dissent in the US than at any time in the 1950s. Millions of Americans, perhaps a majority, came to reject racial and sexual discrimination, to question the need for and morality of military intervention abroad, and to worry that industrial growth might be destroying the climate.

Since Teddy Roosevelt and the Bull Moose Party in 1912, Progressives have had little historic influence on electoral politics. In the earliest days of Bernie Sanders’s presidential campaign, it was thought that his role was not to win the election, but to slip a few liberal planks into Hillary Clinton’s candidacy. But on the campaign trail, Sanders started drawing crowds of thousands, his ratings surged, and his became a Progressive moment in electoral politics.

Today, Progressivism is a cause in search of a candidate.

Many have called our time a new Gilded Age.

If so, the question then becomes whether Progressivism can once again move back into the halls of government, and be a positive force for change.

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Hillary’s Under-reported Uphill Slough

Wrongo didn’t watch the Democratic debate because it was up against the series finale of “Downton Abbey”. Some think that the effort to bury the Dem debates in popular TV time slots is a conscious decision by DNC Chair, Debbie Wasserman Schultz, designed to make Bernie Sanders less competitive with Hillary Clinton.

Conscious or not, few people are watching these debates.

One thing that is overstated in the Democratic primary process is Bernie’s uphill slough with African Americans. The accepted pundit logic is that he does so badly with AA’s that he has no chance to win.

What is overlooked in that analysis is that the 20 primaries held so far have split 12-8 in favor of Clinton (based on who won the majority of committed state delegates). Clinton does have a big lead in delegates, 1130 to Sanders’s 499.

So, consider what Bernie has been able to accomplish. In winning 8 states, he’s exposed a Clinton weakness: She doesn’t do well among the most committed white Democrats – the kind of folks who turn out for caucuses in states like Iowa, Minnesota, and Colorado.

And then there is the under-reported uphill slough by Hillary Clinton: That the Sanders campaign is out raising Clinton’s funds. He’s raising his money from ordinary citizens (five million individual donations at this point). And, unlike Clinton, WaPo reports that he does it easily:

Sanders outraised Clinton again in February for the second month in a row, bringing in $42.7 million to her $30 million. On the last day of the month alone, he brought in $6 million online as the campaign used social media to egg on his backers to give, give and give again.

The WaPo also reported that Clinton has had to take two days off the campaign trail to raise money in California for use against Sanders in the primaries. And in a one-week stretch later this month, she is scheduled to make seven fundraising stops in six states — Georgia, Tennessee, Connecticut, Virginia, Washington and California.

Bernie’s funds-raising power has triggered concern among some Clinton allies that it will weaken her — not only because she must spend so much money competing against him, but also because he is criticizing her in ways that could dampen enthusiasm for her in the fall. She may risk donor fatigue when the general election gets under way.

Perhaps one reason why Clinton may risk donor fatigue in the late stages of the election is that she has already tapped many large potential investors. From 2013-15, she earned $21.4 million in speaking fees from 91 organizations. Those funds did not go into her campaign, or into one of her Super PACs. The funds went into her own accounts, making her a member of the 1%.

You can see the listing of the organizations that paid her an average of $235k per speech here.

As Scott Lemieux of LGM said, paying people six figures (plus luxury perks) to deliver rote speeches is one of the more egregious mechanisms by which America’s overcompensated elites reward each other.

More from Scott:

The speaking fees do not constitute quid pro quo bribes, and they will not turn Hillary Clinton into a right-winger. But they’re nonetheless one of the many ways in which the wealthy exert disproportionate influence on the political process.

So, Clinton’s uphill sloughs come first, from needing money to blunt the Sanders insurgency. She needs to take days out of campaigning to pin down more funding by the wealthy to match the funding of everyday people for Sanders. Second, she needs to explain her awesome ability to get paid by US corporations.

This hurts in a few ways: When she talks about inequality and opportunity, she often starts with canned stories of her middle class upbringing – stories which she says prove that she has more in common with the cashier than the CEO. That can’t seem genuine to many low income people.

And when Clinton’s speaking fees come up, she knows that it also rubs lots of people the wrong way. She should say something along the lines of:

This is exactly why I think people like me should pay much higher taxes in this economy, so middle-class people could pay less.

Her tax plans seem to say she believes that, but she has not used her own plan as a direct response to the speaking fees question.

Hill has two different uphill sloughs, both occurring at the same time.

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Monday Wake Up Call – March 7, 2016

Today’s wake-up call is for the Republican Party.

Beginning with Barry Goldwater in 1964, the Republican Party began its deal with the Devil by starting their catering to those on the farthest Right edge of the political spectrum, inviting people who traffic in anger, hatred, religious zealotry, and fearmongering of those not like them, inside the GOP tent.

The election of Ronald Reagan helped bring these zealots some legitimacy, not because he was one of them, but because he had courted them in his first run for the White House.

We forget that in 1976, an evangelical Christian who taught Sunday school, and who endeavored to follow Christ in his daily life ran for President and won. But, despite Jimmy Carter’s strong Christian beliefs, Evangelicals went heavily for Ronald Reagan in 1980. Because they admired his Christian faith? No, his faith seemed situational. But he projected what they perceived as strength and leadership.

Evangelicals ignored one of their own in favor of a secular Republican who talked tough and affected an air of someone who could talk tough when events called for toughness. Turns out that for Evangelicals, like many groups, are primarily concerned with political power; their need for a theologically-sound candidate takes a back seat whenever it has to.

That’s the reality today, as it was back then. Trump is barely Christian, and Cruz is solidly Christian, but the politics of the Christian Right demands fealty to a political agenda that tolerates hatred, exclusion, and intolerance. Therefore, Trump and Cruz quality.

The contrast between the Democratic and Republican parties couldn’t be more sharply defined.

Since the late 1800s, when businesses were undertaking tremendous consolidation, leading to the formation of trusts, Republicans supported business, despite the fact that business was beginning to prey on people and overshadow the government.

After the brief Republican Progressive period from 1890-1917, in which Republicans were the force behind “trust-busting”, they have advanced an increasingly exclusionary and discriminatory agenda, denying a collective responsibility to care for our fellow human beings in favor of elevating corporate interests along with their view of individual liberties above all else. Government is an instrument designed to show strength, project American power, and enforce a neo-liberal, dog-eat-dog economic worldview, one that will take the social contract back to where it was in the early 1900’s.

Democrats understood that government needs to be more than a police and fire department. One of the most important roles assumed by government was ensuring that we create a level playing field for all citizens, that corporations were not first among equals in America. They also believed that we must look after those who are down on their luck by providing a social safety net.

Government was not to be primarily an instrument for projecting power and protecting the influential, but rather one of ensuring the American social contract, while protecting our citizens from the abuses of big business.

After years of courting the Radical Right, thinking that they could be kept under control, Establishment Republicans now understand that, not only do they no longer have control, the inmates are now running the asylum – poorly. Faced with the reality that the bill for their deal with the Devil has come due, Republicans trotted out Mitt Romney to make the case against The Donald, who responded with crude personal insults and inappropriate sexual innuendo:

COW Trump Miracle Worker

Congratulations, Republicans, you have only yourselves to blame. Now, you desperately need a Wrongo Wake up Call. To help you wake up, let’s return to the “small hands” innuendo of the last GOP debate.

Here are the Talking Heads doing “Born Under Punches” live in Rome in 1980, from their great album, “Remain in Light”. This 8-minute live version is worth your time, since it includes spectacular guest guitar work by Adrian Belew, who played with Frank Zappa and King Crimson.

Some think the guitar that Belew is playing was originally jimmy Hendrix’s (the one he burned at the Monterey Pop festival). Frank Zappa repaired it, and loaned it to Adrian Belew, whose main influence was Hendrix.

The bassist in the white dress is Tina Weymouth who is (still) married to Chris Franz, the Talking Heads guitarist. Here are some sample lyrics:

Take a look at these hands
Take a look at these hands
The hand speaks, the hand of a government man
Well I’m a tumbler born under punches, I’m so thin

Hmmm. Is Trump a government man?

Those who view the Wrongologist in email can view the video here.

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Are Trump and Sanders a Ripple of Populism, or a Wave?

Since sophomoric jokes have failed to derail Donald Trump’s presidential campaign (e.g., running silly pictures of Trump, mocking his soundbites while ignoring his policies and his authoritarian condemnations), let’s try understanding what’s happening.

So, is Trump a problem, or just a symptom of the problem? And folks, what is the problem? The Donald captured the essence of “the problem” in his Super Tuesday victory speech: (Brackets and emphasis by the Wrongologist)

People in the middle-income groups are making less money than they were 12 years ago. And in her speech, [Hillary Clinton] said, ‘they’re making less money.’ Well, she’s been there with Obama for a long period of time. Why hasn’t she done anything about it?

Trump for the win! He asks a question that neither Hillary Clinton, or the Establishments of both parties, have a satisfying way to answer (so far), something like what we said about John Kerry being “for the war before he was against it.”

The nation’s real problems are those articulated by Bernie Sanders, but he is not a messenger who can win in the fall. But his popularity, and that of Donald Trump show that we are looking at the swelling of a populist wave in America. Maybe it is still far from the beach; maybe it is just a ripple. We will know in November, but early signs are that the wave could be big when it hits us.

Consider Trump’s victory in the Massachusetts primary – 310,847 voted for Donald Trump. That gave him 49.3% of the vote in a five-candidate race. A pretty overwhelming endorsement, even considering that independents can vote in either primary, and many use that option to vote against a candidate.

The next day, Massachusetts’ Republican Governor Charlie Baker refused to endorse him. He said that he did not vote for Trump on Tuesday and:

I’m not going to vote for him in November.

Charlie Baker is immensely popular with pretty much every segment of the state’s voting population; his job approval numbers are about 70%. He’s perceived as highly competent at running the government, he’s socially liberal, and people just plain like him. So, Baker doesn’t need the Trump wing of the GOP.

Trump isn’t going to carry Massachusetts in November, Clinton and Sanders totaled 1,190,500 votes between them. But the current populist resurgence will not end with Bernie’s failure to win the Democratic nomination, or with a Trump general election loss in November, because the underlying anger isn’t going away. Remember that Trump and Sanders totaled 897,500 votes in MA, to Hillary’s 603,800. From Fabius Maximus:

Populism’s resurgence has, as always, terrified our ruling elites and their servants. Since most journalists don’t understand it, Campaign 2016 is a series of surprises to them.

Maximus goes on to say that from the start of Trump’s campaign, the similarities between Trump and Andrew Jackson were obvious: Trump’s isolationist foreign policy (but bellicose towards threats), his hostility to minorities and Wall Street bankers, his concern for the poor, his appeal to national greatness — these same views also astonished the elites in 1830 when Andrew Jackson rode the wave to the White House. The 1830 elites despised Jackson like today’s elites despise Trump today.

Jacksonians were the first populists in America to gain power. Even today, their strain of suspicion of federal power, skepticism about both domestic and foreign do-gooding (welfare at home, foreign aid abroad), opposition to federal taxes, but obstinately fond of federal programs seen as primarily helping the middle class (Social Security and Medicare, mortgage interest subsidies) continues.

These “Crabgrass Jacksonians” constitute a large political bloc in America. Crabgrass Jacksonianism sees the contemporary homeowner working on his/her modest suburban lawn, as a hero of the American story.

The Establishments of both parties may have fun demonizing their populists, but they ignore the similarities between the strategies of Trump and Sanders, and the appeal both have to significant numbers in both parties. Separately, progressives and populists are weak. If they can be combined as they were at the time of the New Deal, they can be a huge force for change.

US News reports that historical patterns and political data all show that the real presidential election battle takes place in just seven states: Florida, Ohio, Virginia, Colorado, Nevada, Iowa and New Hampshire. Based on recent Clinton vs. Trump head-to-head polls in these seven states, Trump is within striking distance of winning the general election against Clinton.

For those who believe a Trump presidency is not really possible in today’s America, you may want to re-think that proposition.

That populist wave may be closer to the beach than you think.

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Preparing for Trump

Yesterday was Super Tuesday. The results will tell us lots about the state of the Democratic Party, but despite the outcome on Tuesday, Democrats have a variety of issues worth thinking about heading into the general election this November. In this primary cycle, Democratic primary voters just aren’t showing up. Democrats in 2016 primaries are only voting at two-thirds of the rate that they did eight years ago. All told, about 1.18 million Democrats across those first four states went to the polls in 2008. Just under 870,000 showed up this time. That’s 26% fewer voters engaged.

But, you’d think that Sanders, who’s message is a political revolution, could energize the disaffected in great numbers, but it just hasn’t happened. Perhaps it is the right message, but the wrong messenger. And no evidence of a “political revolution.”

Yet Trump is doing just that. GOP turnout in primaries is up 24% over 2008. It is a safe bet that if The Donald is the GOP nominee, there will be a big Republican turnout in November.

There are other concerns: With the Sanders vs. Clinton contest, the Democratic Party is also at risk of imploding, right along with the GOP in its tussle with Trump.

Sanders is seen as unusually honest for someone who’s been a politician for much of his life, and he advocates a refreshingly anti-establishment view on core issues that matter to an increasing number of Americans. These include American militarism, Wall Street bailouts, a two-tiered justice system, the prohibitive cost of college education, healthcare insecurity and a “rigged economy.”

OTOH, Hillary is committed to a third Obama term and incremental change. She has been forced by Sanders to move left, and is paying lip service to some of his issues. Once the general election season begins, it is likely that Hillary will be the candidate for America’s political status quo, vs. the radical alternative of Donald Trump.

Bernie’s supporters understand this, and may or may not go compliantly into the voting booth to elect Hillary, despite the terrifying prospects of a Trump presidency.

Tea Party Republicans understand that the GOP Establishment offers them little. And more and more rank and file Republicans have come to the same conclusion, which is precisely why the GOP nomination is now Trump’s to lose.

Democrats are teetering on the same precipice. The Dem Establishment, this time represented by Hillary, offers weak tea. The Sanders wing could easily sit this one out, and by late summer, when polls show that Hillary is in a death struggle with a political novice, political pundits will be tripping over each other to write about the death of the Democratic Party.

Democrats are in a bind. They want progressive politics, but offered by an Establishment leader.

Dems are always looking for that. In 2008, they selected Obama because he represented change and empowerment for average people over Hillary, the Democratic Establishment candidate. People wanted something new and different. Obama’s presidency wasn’t a failure, unless Democrats accept nothing less than ideological purity from their presidents.

Or, look back at recent presidential elections. Oh the glee among Democrats in 2001 when GWB won the nomination. It was gonna be a cakewalk for Mr. Democratic Establishment Al Gore. Gore did win the popular vote, but lacked an influential brother in Florida. With Establishment candidate John Kerry in 2004, his vote for the Iraq war was his downfall. How do you run successfully against an incumbent when you agreed with the incumbent’s major disaster? Saying you were “for it before you were against it” was an epic fail. Kerry never figured that out, and lost.

The 2008 election was easy for not-quite Establishment Obama, since the GOP was badly wounded by the GWB administration and GOP Establishment McCain lacked the personal horsepower to defeat him.

If 2016 is an Establishment Clinton v. an anti-establishment Trump, some of the Establishment GOP may choose sit it out. There is a small possibility they could go full anti-McGovern, as Establishment Dems did in 1972. If anti-establishment Sanders is the nominee, the GOP Establishment will find a way to make a deal with Trump, and the Dem Establishment probably won’t do enough to prevent Sanders from losing.

If the US economy hits a rough patch before November (and there are several reasons to expect that), Clinton as the Establishment nominee could be dead meat. Sanders, OTOH, could end up a stronger candidate because of it. We also need to remember that Donald Trump is not an ideologue. He brings no core convictions to the table, other than ego, so he will continue to say whatever works with his fans.

Will a Trump win kill America? That depends on whether our country’s immune system, that body of informed citizens who are engaged, and who bother to vote, can effectively fight the infection.

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Is Bernie Electable?

Nobody knows. Maybe. The “a miracle can happen” argument was made by Bob Lefsetz, who all of you should bookmark and read:

…in 1964, Elvis was king. And then the Beatles wiped him off the map. We had a decade of rock and roll. It had been whittled down to a formula…And then…A band with roots who didn’t believe in convention, who’d honed their sound off the radar, delivered an honest wallop that was undeniable. And overnight the youth switched allegiance.

Could happen again. Probably will if Bernie Sanders is any indicator.

First, he has to get the nomination. Even after winning 60% of the NH vote, Bernie has barely dented Clinton’s lead, which thanks to super delegates, currently stands at 394-42. The super delegates are lining up for Clinton, and what happens if Sanders can’t beat a massively powerful political machine? It proves his fundamental point about establishment hegemony. And if Clinton can’t beat an old leftie from Vermont on his first national run? It disproves her arguments about electability, experience and competence.

But it takes 2,382 delegates to win the Democratic nomination for president. Check out Bernie’s difficult path in the upcoming primaries:

538 Primary Polling

It won’t be easy for Bernie to win the nomination. And he has built-in disadvantages: He angers the big donors. He has limited support in the Democratic Congress. There are no governors supporting him. Add that a lot of Democrats are skittish about Sanders’ embrace of “democratic socialism,” and add his Dovish positions on foreign policy, and you’re not likely to see a stampede of Democratic insiders rallying to his cause.

OTOH, Hillary had all the insider support imaginable and couldn’t win in NH. And if she can’t beat a grumpy old socialist Jew without super delegates putting their collective thumbs on the scale, how the hell is she going to beat the Republican Media Complex fighting uphill against the Benghazi and E-mail scandals?

But, Sanders has a long, long way to go to maybe get within striking distance of the nomination. Even then, he will continue to be reviled by forces on the right that will pull no punches in order to defeat him. The Conventional Wisdom will always say that Sanders isn’t viable, electable, (a “socialist” can never win), is too old, can’t raise enough money, won’t get the votes of women, African American’s, Latino’s, etc.

And if he smashes any one “barrier,” the remaining “barriers” will be elevated in importance.

And new “barrier” constructs will be created.

Returning to the Lefsetz meme, what narrative could resurrect Hillary’s appeal to the young? “Experience” reinforces her establishment brand. “Pragmatism” runs counter to every progressive aspiration of the Sanders campaign. “Fights for people like you” invites an examination of Bill Clinton’s deregulation of Wall Street, and his welfare reforms, or his legal reforms which imprisoned many minorities.

Those who say “Hillary can work within the system and get things done where Bernie can’t” have to realize that is a double edged sword. Millennials are the largest single voting bloc this time. They think unemployment and jobs are the biggest issues. They think the system has screwed them. They want the system to be rebuilt from the ground up.

And it’s not too hard to figure out why.

They are saddled with debt, their economic opportunities are far more limited than that of any recent generation. They are told they are being selfish by the Boomer generation − the generation that while achieving many great things, has left a huge economic and geopolitical mess to deal with.

When they look at Sanders, they see someone thinking outside the box. When they see Hillary, they see the establishment. And, you can’t say Hillary is not the establishment when she has the majority of the Super Delegates and all the endorsements from, well, establishment Democrats.

So, can Bernie win? Who knows?

A hard-fought primary battle served the Democratic presidential candidate well in 2008; it’s very likely that a similar primary battle will serve the winning candidate well again in 2016.

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What NH Should Teach Us

The popular vote in NH was about 521,000. Of that number, 278k went to Republican candidates, and 243k went to Democrats. Bernie led all candidates with 145,700 votes, with Trump second at 97,300 votes. Hillary was third at 92,530.

For the record, the 2008 turnout was: 287,342 for the Democrats and 238,979 for the Republicans.

The media is all over the demographics of the NH primary, and how Bernie won all segments except for people over 65 years old, and those who make more than $200k, both of which went to Hillary.

But one headline from NH ought to be that the Dems performed 15% worse than eight years ago, while the GOP performed 14% better than they did when a NH resident (Romney) was on the ballot!

In Hillary’s post-primary speech, she said that there isn’t a huge difference between the two Democratic candidates. Bernie talked about how the party had to come together down the road to prevent a White House take-over by the GOP.

But are these candidates that similar?

Let’s hear from Benjamin Studebaker, who says that Sanders and Clinton represent two very different ideologies, a neo-liberal view represented by Ms. Clinton and an FDR big government program viewpoint represented by Mr. Sanders:

Each of these ideologies wants control of the Democratic Party so that its resources can be used to advance a different conception of what a good society looks like…This is not a matter of taste and these are not flavors of popcorn.

Studebaker thinks that Hillary is ideologically similar to Barack Obama, describing that in 2008: (emphasis by the Wrongologist)

The most prominent difference between them was the vote on the Iraq War. On economic policy, there never was a substantive difference. The major economic legislation passed under Obama (Dodd-Frank and the Affordable Care Act) did not address the structural inequality problem that the Democratic Party of the 30’s, 40’s, 50’s, 60’s…existed to confront.

In fact, while inequality decreased under FDR, Truman, JFK, and LBJ, it has increased under 3 Democrats: Carter, Clinton, and Obama. It also increased under 3 Republicans: Reagan, Bush I, and Bush II.

Now comes the Hill & Bernie show. Sanders is not running to try to implement a set of idealistic policies that a Republican-controlled Congress will block; he is running to take the Democratic Party away from its current leadership that is unwilling to deal with the systemic economic problems that have led to wage stagnation and the shrinking of the middle class in America.

But can he be successful? David Brooks said in the NYT:

Bernie Sanders…has been so blinded by his values that the reality of the situation does not seem to penetrate his mind.

OK, that must mean that Sanders has no shot. The conventional wisdom is that the Democratic Party cannot be reclaimed by the FDR/LBJ types, or that if it is reclaimed, it will lose in 2016.

But, in the 1968 and 1976 Republican primaries, a guy named Ronald Reagan ran to take the Republican Party back from the Richard Nixon types who went along with the Democrats on welfare and regulation. He was bidding to return the Republicans to their 1920’s Conservative roots. Everyone in the 60’s and 70’s knew that Reagan couldn’t pull that off. But he did.

How? Yesterday, we spoke of Movement Conservatism, where Republicans built a conceptual base, a popular base, a business base, and an institutional infrastructure of think tanks, and by the 2000s, Conservatives again controlled the Republican Party.

So, one lesson from the NH primary is that the contest for the 2016 presidential nomination is not just a contest to see who will lead the Democrats, it’s a contest to see what kind of party the Democrats are going to be in the coming decades, what ideology and what interests, causes, and issues the Democratic Party will prioritize.

The Republican Party faces exactly the same problem in 2016.

And these facts make the 2016 primaries far more important than in any other recent election.

This is about whether the Democratic Party is going to care about inequality for the next decade. We are making a historical decision between two distinct ideological paradigms, not a choice between flavors of popcorn.

Choose carefully.

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