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Home :  Federal Budget & Tax : 
Federal Budget & Tax:      News     Blog     Background    



Friday, October 05, 2007

EJ Dionne's Column and A Rant About Fiscal Responsibility

Not much to disagree with in E.J. Dionne's column on the war tax today. I wanted to highlight this passage, though:

Would conservatives and Republicans support the war in Iraq if they had to pay for it?

That is the immensely useful question that Rep. David Obey (D-Wis.), chairman of the House Appropriations Committee, put on the table this week by calling for a temporary war tax to cover President Bush's request for $145 billion in supplemental spending for Iraq.

The proposal is a magnificent way to test the seriousness of those who claim that the Iraq war is an essential part of the "global war on terror." If the war's backers believe in it so much, it should be easy for them to ask taxpayers to put up the money for such an important endeavor.

This is fiscal responsibility at a pretty basic level. If we want something, we ought to pay for it.

Now, things get much more complicated when you turn that principle into policy. For instance I think PAYGO is useful but in practice it sometimes doesn't make any sense. I mean, when the Bush tax cuts lapse, should we seriously not consider it a tax increase? PAYGO says we shouldn't.

But acting according to this basic principle shows that we have the courage of our fiscal convictions. If we really believe in increasing government's role in the economy, we shouldn't be afraid to pay for it. Sure, conservatives have made the political environment inhospitable to tax increases. We can recognize that, but we shouldn't whine about it. They need to be challenged, debated and faced down. Otherwise, we'll always be afraid, and I find it hard to imagine any major changes ever happening.



Posted by Matt Lewis



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