Government Shutdowns Are as Risky as Nuclear Shutdowns

It’s poetic justice that Democrats, who are almost uniformly opposed to payday lenders, find themselves caught a bit short in Washington, DC. For those unfamiliar with the term, payday lenders are willing to loan short–term money so borrowers can get over a financial rough spot between now and the next payday.

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Democrats hate the industry because the money isn’t free — like tax dollars! — and payday lenders demand solid collateral for the loan. The Democrat’s situation in DC results from their failure to pass a budget last year when they were still riding high. With a Republican House, where revenue bills must originate, Democrats are reduced to asking for short–term legislation so the good times can continue to roll. Technically it’s not actually a payday loan, since there’s no money. What Democrats want is the authority to continue spending Chinese borrowed money. The problem is when it comes to negotiating House GOP leadership isn’t as tough as your average payday lender. Republicans ran on a pledge to cut $100 billion from Obama spending as a down payment on reducing the deficit. $100 billion is a nice, round number easy for voters to remember. It’s so easy to remember that when the GOP fails to cut the $100 billion voters notice and start complaining. Conservatives hoped Republicans would drive a hard bargain before agreeing to stopgap spending bills. And since each bill is short term, gimlet–eyed Republicans should be able to demand new spending cuts for each additional bill. It hasn’t worked out that way. After almost three months in power the House has managed to cut a grand total of $10 billion from the budget. The current spending permission slip expires Friday, April 8, and without another the federal government grinds to a halt. Negotiations broke down over the conservative pressure for an additional $51 billion spending cut. Senate Democrats describe these new cuts as “extreme” and are refusing to consider the bill, preferring to risk a government shutdown and blame the GOP. But let’s put these numbers in context. If the GOP successfully cut the promised $100 billion from this session’s spending, it would represent a measly 6 percent of the $1.65 trillion dollar projected deficit. Democrat’s last–ditch resistance to $61 billion in cuts proves their utter disinterest in solving the deficit crisis. Republican leadership dreads the prospect of a government shutdown because they fear a repeat of 1995 where the GOP caved in and took a PR pounding. But unless I’m mistaken, Nancy Pelosi gave us pedal–to–the–metal government with the tachometer way over the redline, yet she’s out of a job and John Boehner is Speaker. Instead House strategy appears to consist of nibbling a billion here and a million there and waiting for 2012 when Republicans can capture the Senate and the Presidency. Senate Republican strategy is to push for a vote on a balanced budget amendment, which is trading the spending cut cow for constitutional magic beans. Why delay an inevitable confrontation? It’s like the Japanese deciding to wait for the next tsunami to cool their damaged reactors and dilute the radioactive water sloshing around in the plants. In two years we will be trillions deeper in debt. Plus GOP Senate control is not guaranteed and beating Obama is an uphill struggle. In 2012 Republicans could be in the same political situation and the nation deeper in debt. Shut government down now and force the Democrats to make significant cuts in spending. Sure mainstream media will blame Republicans, just like they did in 1995, but the media landscape has changed. People get information from the Internet and FOX News. There are more conservative broadcasters who act as a counterweight to the liberal media. And this time government deficit spending is a bigger issue than it was in ’95. Conservatives may lose the confrontation. In a country where many Social Security recipients appear to believe a cost of living increase means you get a raise every year even when you’re retired, a majority may want cradle–to–grave government welfare spending now and confiscatory taxes for their grandchildren. If that’s the case, lets find out now, rather than wait expectantly until 2012 only have our hopes dashed then. In Japan damaged nuclear plants are leaking radiation into the water and the air. In Washington a damaged political system is spewing toxic debt into our nation’s future. Delay is not a sound strategy. The sooner courageous leaders take the resolute steps necessary to shut both down, the better off Japanese and Americans will be.