DC feeding frenzy
The weeks since
Election Day have provided nauseating confirmation of Mark Twain's
observation: "There is no distinctly native American criminal class
except Congress."
Exhibit A is the "omnibus" spending bill Harry
Reid is trying to push through the Senate. This monstrosity contains
about 6,500 earmarks -- special provisions inserted on behalf of
lobbyists to benefit special interests. The lobbyists get big fees, the
interest groups get handouts and the politicians get rewarded with
contributions from both.
It's a win-win-win for everyone -- except the taxpayers who finance this carousel of corruption.
Don't bother me, I'm placating special interests: Senate Majority Leader Harry Reid is making a lot of lobbyists very happy. -
AP
Don't bother me, I'm placating special interests: Senate Majority Leader Harry Reid is making a lot of lobbyists very happy.
Defenders
of earmarks and other forms of pork-barrel spending argue that this
behavior can't possibly be corrupt because it's legal.
But not everything that's immoral is illegal and not everything that's illegal is immoral -- and earmarks definitely belong in the first category.
Normal people would call it bribery, but it's business as usual on Capitol Hill.
Equally
troubling, earmarks and pork-barrel spending are the gateway drug that
turns good legislators into big spenders. The new members may not take
office until next month, but most are in Washington, and they're seeing
how this process works. One hopes that they are shocked by this unseemly
behavior -- but how long will it take before they get jaded and decide
to play the game?
The bill's backers call it "fiscally
responsible" because it increases spending by "only" 2 percent compared
to last year -- but that's no sign of austerity when spending for these
programs jumped by 20 percent in the last two years, as the national
debt soared by about $3 trillion in the same period.
If
politicians were serious about fiscal responsibility, they'd impose
across-the-board cuts to bring spending back down to 2008 levels -- and
then cut more from that new baseline.
And Reid's bill is just the
spending for the parts of the budget that are funded by
"appropriations." Entitlement spending, which is the lion's share of the
federal budget, continues on auto-pilot -- and the auto-pilot's on
course to turn the United States into Greece.
Exhibit B is the
tax deal. This Congress has been in session for almost two years, with
every single member fully aware that a failure to act would result in a
huge tax increase next month. Yet the politicians apparently didn't care
that a lengthy delay would create uncertainty and discourage
much-needed investment and entrepreneurship.
The delay did make
it harder for the Democrats to raise tax rates on investors,
entrepreneurs, small business owners and other so-called rich taxpayers.
But that doesn't mean the wait-until-the-last-moment tax bill isn't
ugly. Regardless of what you think of its core elements, it's also
packed with provisions -- known as "extenders" -- that reek of
corruption and special-interest deal making.
Extenders are the
tax version of pork-barrel spending: special tax breaks put in the law
by powerful politicians in exchange for campaign cash and other support.
The
biggest extender is the ethanol credit, a boondoggle that distorts
agriculture markets and causes considerable economic and environmental
damage, but is popular with politicians because big agribusinesses
recycle some of their undeserved profits back to Washington in the form
of contributions.
The dozens of other extenders include special
loopholes for solar and wind power, education spending, bonds for
Louisiana and NASCAR racing.
There are strong policy arguments
against these kinds of special tax breaks, especially since we could use
the revenue to finance lower tax rates -- but most people are even more
upset by the dead-of-night process used to put these goodies into the
tax bill.
The behavior on Capitol Hill reminds me of the movie
classic, "Animal House": After their fraternity has been placed on
"double-secret probation," John Belushi and the rest of guys at the
Delta House decide to go out in a blaze of glory with a toga party.
Likewise,
the politicians on Capitol Hill just got placed on the equivalent of
probation by a Tea Party uprising. Yet rather than mend their crooked
ways, they're throwing a massive party with our money.
Daniel J. Mitchell is a Cato In stitute senior fellow.
Read more:
http://www.nypost.com/p/news/opinion/opedcolumnists/dc_feeding_frenzy_OmaWYPKGV2YtrTaFqHowYM#ixzz18IfvCTxfRead more:
http://www.nypost.com/p/news/opinion/opedcolumnists/dc_feeding_frenzy_OmaWYPKGV2YtrTaFqHowYM#ixzz18IeuCbpq
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