washington, dc

The Democratic Strategist

Political Strategy for a Permanent Democratic Majority

Month: October 2007

Can Dems Win Business Support?

The American Prospect is featuring an article by Paul Waldman, “The Dems’ Big Business Opportunity,” making a persuasive case that Democrats are in position to win broad support from pro-business voters, particularly with a few smart moves.
Much of Waldman’s argument is based on the GOP’s “stunning record of incompetence.” It’s not just the current Administration’s disastrous Iraq and foreign policy, which could provide a case study in mismanagement for the Harvard Biz School. He also cites a nicely-done eriposte study showing that, on a range of economic indicators important to business, such as GDP growth, unemployment, deficits and inflation, the average performance under Democratic Administrations has been superior to that of Republican Administrations. Waldman concedes that the facts won’t matter much to ideologues, but for rational and “responsible” business men and women, making this case might help Dems.
Waldman urges Dems to “approach business with a new grand bargain” and “change how they think and talk about corporations” a tall order for the Party of the Big Tent. He also counsels a more practicable wedge strategy to separate rational business people from the right-wing ideologues, so Dems can peel off a healthy portion of the former.
In his blog at the ITT List (In These Times) Adam Doster argues that Waldman underestimates the importance of taxes as a core issue of Big Business and adds that the “responsible” busineess leaders are already supporting Democrats. Doster sees slim business pickings now that the low-hanging fruit is being hauled away on donkey carts. Doster says Dems would do better to put the energy into promoting “populist policies.” Doster also flags Christopher Hayes’ Washington Monthly article “Revolt of the CEO’s,” which included this paragraph echoing Waldman’s thought on the possibility of a social contract business leaders could support:

“The corporate guys are beginning to think this is going to happen,” said Bill Galston, a senior policy adviser in the Clinton White House and a current fellow at the Brookings Institution, referring to health care and climate change legislation. “They are willing to make their peace with the welfare and regulatory state as long as they can have some say. What they don’t want is for the train to leave the station and they’re not in the first-class car.” The Chamber of Commerce’s Josten summed up his members’ views this way: “You want a seat at the table, because if you’re not at the table you may be on the menu.”

Of course the hat trick for Dems is to win business support without selling out organized labor, whose ground troops loom large in the weeks leading up to election day — or, to put it in moral terms, to win the confidence of business while remaining faithful Democrats.
I’m a little more optimistic than both Waldman and Doster that it can be done. It’s getting to the point, where honest, level-headed business folks have nowhere else to go than to the Democratic Party. Jackie Calmes’ Wall St. Journal article, “GOP Is Losing Grip On Core Business Vote, ” cited by Waldman, notes that 37 percent of the “professionals and managers” occupational category now identify themselves as Republican/Leaning Republican, a significant decline from the 44 percent of just three years ago, according to a Wall Street Journal/NBC News poll conducted last month.
I anticipate Dems winning the largest percentage ever of small business men and women, few of whom could be much-impressed by what the GOP field and congressional candidates have offered in the way of health care reform thus far, or by their do-nothing prescriptions for the Iraq quagmire. All in all, ’08 is shaping up as a banner year for Democrats — and that’s good for business as well.


The Right’s Crazy Campaign Against the S-CHIP Kid

If you want to catch up on the red-hot controversy over the Frost family and the Right’s crazy and rapidly backfiring campaign to make them examples of the over-generosity of S-CHIP, you can review the whole story via a variety of ahead-of-the-curve posts by Ezra Klein, or read Jonathan Cohn’s summary at The New Republic. The facts are pretty unmistakable: S-CHIP exists to help struggling middle-class families like the Frosts, and every single talking point in the Right’s ignorant demonization of this family shows the dishonesty of conservative claims to care about people who don’t have access to affordable health coverage.


Iowa, Young-uns, and Obama

The staff post earlier today on the methodology and internals of the Des Moines Register‘s Iowa Poll led me to this rather startling discovery about the poll’s picture of the demographics of likely Democratic caucus-goers: Only 2 percent are under the age of 25, while 51 percent are over the age of 55.
Two percent under 25? Is that possible? Does the poll assume that Caucus Night will coincide with big episodes of Heroes or Grey’s Anatomy?
Given these numbers, the really amazing thing about the Iowa Poll results is that Barack Obama is still within striking distance of HRC. And to flip the issue around, even if the percentage of Caucus-goers under 25 turns out to be twice as high as the Iowa Poll suggests, all the media stories about Obama’s robust campus-based support in Iowa have been apparently been goosing a ghost. You don’t count if you don’t vote.


Trapping Themselves On S-CHIP

As the Republican presidential candidates’ debate in Michigan yesterday illustrated, GOPers (with the partial exception of a confused-sounding Mike Huckabee) dutifully lined up in support of Bush’s veto of S-CHIP expansion legislation, defying both public opinion and the sensibilities of Sen. Charles Grassley, who happens to be from the first state in the nominating contest.
At the Washington Post, Ruth Marcus has a good write-up of where the candidates are, why they are there, and the price they may ultimately pay for treating a successful and highly popular health care program as “socialized medicine.”


Seniors Rule — Especially in Iowa

Just an observation, following-up on our staff post below on the Des Moines Register poll. Check out Patrick Healy’s article “New Program for Saving Is Proposed by Clinton” in today’s New York Times. An interesting coincidence that candidate Clinton, whose campaign is increasingly being described as a “juggernaut,” (see here, for example) comes out with an innovative federal “401K-style” program on the heels of of the Register poll showing 51 percent of the likely caucus-goers are over age 55. The hunch here is that Clinton’s exceptionally-alert strategists figured this out a long time ago, in addition to the fact that seniors always rule when it comes to turn-out percentage. Heck, the picture with Healy’s article alone almost tells the story. Don’t be surprised by a rash of “me too” proposals suddenly emerging from the rest of the Dem field.


Poll Profiles Iowa Caucus Voters

In his Pollster.com post, Mark Blumenthal analyses and distills the latest data of the well-regarded Des Moines Register poll. Blumenthal’s post doesn’t provide much in the way of horse-race statistics, but he picks demographic nuggets that provide an informative profile of Iowa Caucus voters.


Anachronisms

Much of the content, on economic policies at least, of the Republican candidates’ debate in Dearborn (not Detroit, as I misrepresented it earlier today) this afternoon would have sounded perfectly normal twenty years ago. Lowering taxes, reducing regulations, and cutting public spending (in the abstract) are the eternal, divinely-established rules for growing the economy. Entitlement programs are out of control. Relentless optimism is America’s greatest economic asset. If you substitute “China” for “Japan,” even the hand-wringing of Hunter and Tancredo about trade sounded perfectly familiar. And Ron Paul’s lectures about monetary policy sounded a lot like those of Jack Kemp back in the day.
The one candidate who might have taken the debate in a different direction was Mike Huckabee, who likes to talk about economic inequality (not that he proposes to do anything about it other than a highly regressive national sales tax). But he was virtually ignored by the questioners for much of the debate, and then he strangely delivered his rap on pay disparities in the form of a warning to Republicans that people might resort to joining unions! (He also flubbed a chance to distinguish himself from the field on S-CHIP by refusing to say whether he would have vetoed the bill in Congress).
But beyond economic policy, the most alarming segment of the debate was the candidates’ answers to the question about whether a president should seek congressional authorization for military action against Iraq. With the obvious exception of Ron Paul, and the partial exception of Fred Thompson (who at least, by mentioning the War Powers Act, seemed to recognize there are some legal restrictions of executive military powers), the candidates all treated congressional authorization of military action as purely a matter of political expediency. Mitt Romney appeared to dismiss the constitutional issues by saying he’d “refer it to the lawyers.”
They are giving us all fair warning, folks.


Flat Earth Economics

The Republican candidates for president are gathering this afternoon in Detroit for a debate on economic issues sponsored by The Wall Street Journal and MSNBC (telecast live at 4:00 EDT on CNBC, and rebroadcast at 9:00 EDT on MSNBC). It ought to be an edifying show, in the sense of displaying that the conservative conquest of the Republican Party extends beyond national security adventurism and social-issues extremism.
Jonathan Chait has an op-ed in today’s New York Times reminding us that Republican fealty to the completely discredited supply-side theory of economics is at an all-time high. He singles out John McCain’s surrender to the supply-siders as exemplifying their iron control of the GOP:

Last year, Senator John McCain earned widespread ridicule for publicly embracing Jerry Falwell, whom he had once described as “evil.” But an equally breathtaking turnabout occurred earlier in the year, when Mr. McCain embraced the Bush tax cuts he had once denounced as an unaffordable giveaway to the rich. In an interview with National Review, Mr. McCain justified his reversal by saying, “Tax cuts, starting with Kennedy, as we all know, increase revenues.” It was the political equivalent of Galileo conceding that the Sun does indeed revolve around the Earth

The debate may showcase some ideas a lot nuttier than eternal life for Bush’s tax cuts. A Wall Street Journal article by Amy Schatz yesterday focused on Fred Thompson (who will be making his first candidate forum appearance in Detroit) and his views on tax policy. Maybe I’m reading it wrong, but Schatz appeared to suggest that Fred’s main economic goal is to cut Social Security and Medicare benefits in order to pay for a cut in corporate tax rates. Now that’s a vote-winner! (Fred also seems inclined to launch a trade war with the European Union–not usually thought of as the source of America’s biggest trade problems–by exempting exports from federal taxation).
So if you work at home or work for someone who doesn’t object to blowing two hours watching a bunch of old white men in suits speaking in the economic equivalent of The Unknown Tongue, you should check out today’s debate. It will provide a timely reminder that these guys live in a very different America than most of the rest of us.


Global Warming as a Sleeper Issue

For all of the media coverage and water-coooler buzz about global warming as an issue of concern, it checks in fairly low in priority rankings, when it is listed at all. Most recently, it ranked 7th in a New York Times/CBS News poll conducted 7/9-17.
But such rankings of the importance of issues may understate the depth of concern many people have about global warming. A national survey conducted by Yale University, Gallup and the ClearVision Institute 7-23-26 and released last week indicates that 40% of respondents now say that presidential candidates’ positions on the issue will “strongly influence” their vote in both the presidential primaries and general election.
The survey also found that 85 percent favored requiring automakers to increase the fuel efficiency of cars, trucks and SUVs to 35 mpg, “even if it meant a new car would cost up to $500 more.” In addition, 82 percent of respondents want to require that at least 20 percent of electricity comes from renewable sources, even if it costs an extra $100 annually. However, two-thirds of respondents opposed raising gasoline taxes and 71 percent were against raising electricity taxes to curb carbon emissions.
Democrats have a significant edge in addressing global warming. An NBC News/Wall Street Journal Poll conducted 7/27-30 found that 48 percent of adults said the Democratic Party would do a “better job” of addressing the issue, while only 9 percent favored the Republicans.
Democrats are expected to provide the needed leadership on the issue, a challenge that is proving increasingly difficult for a party well-short of a veto-proof majority. As Daniel W. Reilly explains in his post on the topic at The Politico, “Democrats have held more than 120 hearings on global warming and have delivered countless speeches in this Congress. Yet a climate change bill is still in the drafting stages in the Senate.”
With a president hostile to environmental reform in the white house, enactment of global warming reforms could be more than a year away. But clearly, the low regard the public has for the GOP’s commitment to curb global warming gives Dems an advantage. In light of the alarming greenhouse gas threshold announcement in today’s WaPo, highlighting the difference between the parties on the issue could make a pivotal difference in the ’08 presidential and congressional elections.


If He Had Some Bread

Lots of progressive activists are agonizing about John Edwards’ campaign fundraising woes. But the more dramatic money saga is on the Right, where third quarter fundraising numbers appear to confirm that Mike Huckabee, for all of his yeasty ideological and personal qualities, just can’t raise the dough.
After all, Huckabee is almost perfectly positioned to finish second or third in Iowa. Were he to beat Fred Thompson there, he’d not only become the Hot Item in the Republican race, but would probably become the overwhelming favorite of the Christian Right. Moreover, he’d roll into New Hampshire touting a national sales tax plan that makes both corporate and “populist” conservatives drool. He’s got the rock band; he’s got the humor; he’s got the weight loss; he’s got the Kevin Spacey looks. He’s got every political insider in the hep world expecting him to make a move and keep the contest interesting.
As the old saying goes: If he had some ham, he’d make a ham sandwich, if he had some bread (pun intended).
With every imaginable realistic-longshot advantage, Huckabee raised about a million in the third quarter. By contrast, Ron Paul, whose only real function in the campaign is to ensure that candidate debates don’t sound like a jingoistic echo chamber on Iraq, raised five times that much. Ol’ Fred raised nine times that much. And though we haven’t seen Sam Brownback’s numbers yet, I wouldn’t be surprised if the doomed Kansan outraised Huckabee.
Unless something changes real fast, Huckabee’s campaign will become a talking point in every professional fundraiser’s pitch to future political campaigns.