A reader responded
to my recent column about how the US president was becoming a Caesar with a
question: "Wouldn't a Caesar be preferable to a democracy in which the people
are too ignorant, disinterested, and stupid to engage in
self-government?"
Before I became a
widely read columnist with many reader responses, I would have disagreed with
the reader's characterization of the American people. Today, I cannot answer the
reader's question with a "no" as confidently as I would
like.
I receive
appreciative words from many readers who are well aware of what is going on.
I also hear from many who are so partisan and have such
strong emotional responses that they are unable to follow an argument. I don't
know what percentage these groups comprise in the population, but there seem to
be a number of Americans, both on the left and the right, who are prepared to
censor and even to kill in order to defend their illusions and
delusions.
I remain a suspect
bogyman for some on the left, because of my association with the Kemp-Roth bill
and Reaganomics. As I, and others, have explained so many times, Supply-Side
economics reversed the monetary/fiscal policy mix in order to cure
stagflation. But some leftists persist in their insistence that it was all a
trick to cut taxes for the rich -- the rich being those with more money than
they. A stressed-out $100,000 a year guy with a family in a high-cost city is
thrown into the rich class with the hedge fund manager who paid himself one
billion dollars.
To give the leftists
their due, at least they know that I was a member of the Reagan
administration. However, the right-wing zealots think that I am a
pinko-liberal-commie.
Recently I wrote an
article pointing out that the Republicans had picked a bad time, when the world
was already concerned about US financial credibility, to make an issue over the
routine increase of the debt ceiling, thus creating an impasse that threatens
default. The Republicans see in the debt ceiling issue an opportunity to cut
social spending as the price of allowing an increase in the national debt.
One can't blame the Republicans
for trying to do something about the growth of the public debt. However, there
is a risk in the Republican's intransigency, and that risk
is that, thanks to presidential directives put on the books
by President Bush, President Obama has the authority to declare the prospect of
default a national emergency. Obama can simply set aside the debt ceiling limit
and seize the power of the purse from Congress. The transformation of the
president into Caesar would take another large step
forward.
I wrote that I
regarded this risk to be greater than the risk of additional public
debt.
Several Republicans
never reached the point of the article. I had taken for granted that everyone
knew, especially Republicans, of the Republicans' concern with entitlements and
unfunded liabilities. I assumed that Republicans were aware of their party's
long history of reacting against the debts that are being piled upon our
grandchildren, that they knew of the Grace Commission during the Reagan years,
that they knew of Republican Pete Peterson's many dramatic warnings and
proposals, that they knew of David Walker's accounting of the unfunded
liabilities and the Republican Party's determination to do something about the
heavily-hyped cost of Social Security and Medicare.
I assumed that
Republicans knew that during the Reagan years David Stockman and Alan Greenspan
had accelerated the payroll tax increases that President Carter had put in place
to ensure the long-term viability of Social Security and had spent the money for
current operating expenses, leaving unfunded IOUs in the Social Security "trust
fund." I Assumed that Republicans knew that Republican Chairman of the Council
of Economic Advisors, Michael Boskin, and his Boskin Commission had reconfigured
the Consumer Price Index in order to understate inflation and, thereby, reduce
the cost-of-living-adjustments in Social Security
checks.
I assumed that
Republicans somewhere along the way had read at least one paper by a Republican
policy analyst or think-tank member about the Social Security "Ponzi scheme" and
the unaffordability of Medicare.
But, no, the
Republican partisans who denounced me as an anti-Republican liberal propagandist
for saying what is widely reported in the media -- that the Republicans want
large cuts in Social Security, Medicare, and Medicaid as the price of their
agreement to an increase in the debt limit -- know nothing whatsoever of their
party's position on social spending. Apparently, they don't even watch Fox
News.
These same partisans
apparently have not noticed that the $1.2 trillion military/security
expenditures are "off the table" when it comes to controlling spending. The
Republicans and also the Democrats regard war as more important than old age
pensions and medical care for the poor and the elderly. My Republican critics
have also failed to notice that House Republican Majority Leader Eric Cantor has
made certain that tax increases on mega-high incomes are also "off the table."
According to mega-billionaire Warren Buffet, in America today we have the
situation in which Buffet's secretary pays a larger share of her income in taxes
than does Buffet.
When I wrote that
the Republicans' fixation with slashing the social safety net -- a throw-away
line that is in every news report on the debt ceiling imbroglio -- could turn
out to be a threat to the separation of powers, several Republican partisans
took extraordinary offense. Only a no-good liberal propagandist would claim that
Republicans wanted to slash the safety net. My statement of an obvious fact
reflected in the Republicans' own proposals was all that it took for my critics
to conclude that a notorious Reaganite was a Republican-hating
liberal.
It is annoying that
people who have no idea what they are talking about are so ready to pop off. But
it is discouraging to a writer that people are so emotional that they cannot
follow an argument. Discouraged, in part by block-headed readers and from
censorship of my writings by various Internet sites, I quit my column a while
back and signed off.
I was beset by
thousands of emails pleading and demanding that I continue to write.
I relented, and the emails from thoughtful readers keep
me going.
It is rewarding to
hear from intelligent and open-minded people. But as the weeks and months go by,
I find it ever more tiresome to tolerate closed minds spewing hate and
ignorance. I have become convinced that there are enough frustrated and ignorant
people out there to constitute a movement for a
Fuhrer.
Washington, which
has produced a long list of disastrous policy decisions since the collapse of
the Soviet Empire two decades ago, will no doubt continue making incredible
mistakes about everything, and we will end up with a Caesar or a
Fuhrer.
Dr. Roberts was Assistant Secretary of the US Treasury for Economic Policy in the Reagan Administration. He was associate editor and columnist with the Wall Street Journal, columnist for Business Week and the Scripps Howard News Service. He is a contributing editor to Gerald Celente's Trends Journal. He has had numerous university appointments. His books, The Failure of Laissez Faire Capitalism and Economic Dissolution of the West is available (more...)