Last week I ran across a discarded advance “review” copy of an uncoming book by Jules Whitcover entitled Very Strange Bedfellows: The Short and Unhappy Marriage of Richard Nixon and Spiro Agnew. I couldn’t resist a stroll down a distant memory lane to a period of scandal, official mendacity, polarization and an unpopular war not entirely unlike our own. I was particularly entranced by Whitcover’s tick-tock account of Agnew’s forced resignation as vice president, likely drawn from the 1974 book he wrote with Richard Cohen (now out of print) about that particular incident.Unlike Nixon’s undoing by Watergate, which rolled out slowly over many months, Agnew’s resignation, at the time at least, seemed like a bolt from the blue. But its genesis was in a state contractor kickback scheme in Baltimore County, Maryland, which probably predated Agnew’s tenure as County Executive and certainly continued afterwards. Indeed, federal prosecutors were targeting Agnew’s Democratic successor as County Executive when one of their key witnesses alleged he had continued to pay off Agnew during his two-year governorship, and briefly, during his vice-presidency, with the final payment being ten large in cash stuffed into a brown paper bag, delivered personally to the Veep in his White House office. After repeated and futile efforts to get Nixon to quash the investigation, Agnew negotiated a deal in which he admitted to a single tax evasion charge and resigned his office, while obtaining assurances he would not go to the hoosegow. The deal enabled Agnew to spend the rest of his life claiming he did nothing wrong beyond accepting campaign contributions from the contractors. He was, he said often, the victim of a dual conspiracy between those who wanted to remove him from the presidential succession in order to make Nixon’s removal politically possible, and Nixon himself, who mistakenly thought throwing his Veep to the wolves might save his own hide. But as Whitcover (all too summarily) explains, the real smoking gun in the Agnew case was an IRS investigation of his finances that resulted in a State of Maryland demand for two hundred thousand bucks in back taxes on his illegal income–a demand Agnew satisfied via loans from his maximum buddy, Frank Sinatra. I don’t know why the Agnew saga hasn’t been the subject of a big movie. It certainly has all the drama you’d ever want: the unlikely rise of an obscure local Baltimore pol who gets elected county executive and then governor thanks to Democratic splits; his selection by Nixon as a compromise Veep choice mainly because of his combined “moderate” record and his late-career race-baiting; his startling emergence as a right-wing superstar, thanks in part to the skills of Nixon speechwriters Bill Safire and Pat Buchanan; Nixon’s constant, never-consummated efforts to replace him with Democratic apostate John Connally; his gradual development into a complete loose cannon isolated from Nixon but becoming his likely successor; his Vegas-based celebrity posse, including Sinatra; and then the whole disaster of his ouster, ultimately derived from his hunger for a degree of wealth he saw all around him but never enjoyed. There’s even a love interest, in the form of allegations (oddly echoed in Agnew’s own novel about a disgraced Veep, The Canfield Decision) that he was carrying on an expensive affair with someone in the administration. At some point, you’d expect that the parlor game of judging whether George W. Bush or Richard Nixon is the Worst President Ever would extend to a comparison of Dick Cheney and Spiro Agnew as contenders for the title of Worst Vice President Ever. Maybe then Spiggy will get his posthumous Hollywood tribute.
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Editor’s Corner
By Ed Kilgore
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April 25: Democrats Dodge Bullet As Trump Kills Higher Income Tax on the Wealthy
Sometimes dogs that don’t bark are very significant, and I noted one at New York:
Republicans have both an arithmetic and a messaging problem as they try to enact Donald Trump’s second-term agenda via a giant budget-reconciliation bill. The former involves finding a way to pay for the $4 trillion-plus tax cuts Trump has demanded, along with a half-trillion or so in border security and defense spending increases. And the latter flows from the necessity of hammering popular federal programs (especially Medicaid) to avoid boosting budget deficits that are already out of control from the perspective of conservatives. This sets up Democrats nicely to deplore the whole mess as a matter of “cutting Medicaid to pay for tax cuts for Trump’s billionaire friends,” a very effective message that has vulnerable House Republicans worried.
To interrupt this line of attack while making the overall agenda slightly more affordable, anonymous White House sources lofted a trial balloon earlier this month via a Fox News report:
“White House aides are quietly floating a proposal within the House GOP that would raise the tax rate for people making more than $1 million to 40%, two sources familiar with discussions told Fox News Digital, to offset the cost of eliminating taxes on overtime pay, tipped wages, and retirees’ Social Security.
“The sources stressed the discussions were only preliminary, and the plan is one of many being talked about as congressional Republicans work on advancing President Donald Trump’s agenda via the budget reconciliation process.
“Trump and his White House have not yet taken a position on the matter, but the idea is being looked at by his aides and staff on Capitol Hill.”
The idea wasn’t as shocking as it might seem. Trump’s 2017 tax cuts reduced the top income-tax rate from 39.6 percent to 37 percent, so just letting that provision expire would accomplish the near-40 percent rate without disturbing other goodies for rich people in the 2017 bill like corporate-tax cuts, estate-tax cuts, and a relaxed alternative minimum tax for both individuals and corporations. One House Republican, Pennsylvania’s Dan Meuser, suggested resetting the top individual tax rate at 38.6 percent, still a reduction from pre-2017 levels but a “tax increase on the rich” as compared to current policies.
Crafty as this approach might have been as a way of boosting claims that Trump had aligned the GOP with middle-class voters (the intended beneficiaries of his recent tax-cut proposals) rather than the very rich, the idea of backing any tax increase on the allegedly super-productive job creators at the top of the economic pyramid struck many Republicans as the worst imaginable heresy. You could plausibly argue that total opposition to higher taxes, or even to progressive taxes, was the holy grail for the party, more foundational than any other principle and one of the remaining links between pre-Trump and MAGA conservatism. At the very idea of fuzzing up the tax-cut gospel, old GOP warhorses like Newt Gingrich and Americans for Tax Reform’s Grover Norquist arose from their political rest homes to shout: unclean! Gingrich called it the worst potential betrayal of the Cause since George H.W. Bush cut a bipartisan deficit-reduction deal in 1990 that included a tax increase.
As it happens, it was all a mirage. In virtual unison, both Trump and House Speaker Mike Johnson have said a high-end tax cut won’t happen this year, as Politico reports:
“President Donald Trump and House Speaker Mike Johnson on Wednesday came out against a tax hike on the wealthiest Americans — likely putting the nail in the coffin of the idea.
“Trump told reporters in the Oval Office that he thought the idea would be ‘very disruptive’ because it would prompt wealthy people to leave the country. …
“Johnson separately knocked the idea earlier in the day, saying that he is ‘not in favor of raising the tax rates because our party is the group that stands against that traditionally.’”
Trump’s real fear may be that wealthy people would leave the GOP rather than the country. Many are already upset about Trump’s 19th-century protectionist tariff agenda and its effects on the investor class. Subordinating the tax-cut gospel to other MAGA goals might push some of them over the edge. As for Johnson, the Speaker is having to cope with the eternal grumbling of the House Freedom Caucus, where domestic budget cuts are considered a delightful thing in itself and the idea of boosting anyone’s taxes to succor the parasites receiving Medicaid benefits is horrifying.
If Trump’s “big, beautiful” reconciliation bill runs into trouble or if Democrats set the table for a big midterm comeback wielding the “cutting Medicaid to give billionaires a tax break” message, squashing the symbolic gesture of a small boost in federal income-tax rates for the wealthy may be viewed in retrospect as a lost opportunity for the GOP. For the time being, that party’s bond with America’s oligarchs and their would-be imitators stands intact.