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April 9, 2014

Jonathan Tobin: Why Did Kerry Lie About Israeli Blame?

Samuel G. Freedman: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Jessica Ivins: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Kim Giles: Asking for help is not weakness

Kathy Kristof and Barbara Hoch Marcus: 7 Great Growth Israeli Stocks

Matthew Mientka: How Beans, Peas, And Chickpeas Cleanse Bad Cholesterol and Lowers Risk of Heart Disease

Sabrina Bachai: 5 At-Home Treatments For Headaches

The Kosher Gourmet by Daniel Neman Have yourself a matzo ball: The secrets bubby never told you and recipes she could have never imagined

April 8, 2014

Lori Nawyn: At Your Wit's End and Back: Finding Peace

Susan B. Garland and Rachel L. Sheedy: Strategies Married Couples Can Use to Boost Benefits

David Muhlbaum: Smart Tax Deductions Non-Itemizers Can Claim

Jill Weisenberger, M.S., R.D.N., C.D.E : Before You Lose Your Mental Edge

Dana Dovey: Coffee Drinkers Rejoice! Your Cup Of Joe Can Prevent Death From Liver Disease

Chris Weller: Electric 'Thinking Cap' Puts Your Brain Power Into High Gear

The Kosher Gourmet by Marlene Parrish A gift of hazelnuts keeps giving --- for a variety of nutty recipes: Entree, side, soup, dessert

April 4, 2014

Rabbi David Gutterman: The Word for Nothing Means Everything

Charles Krauthammer: Kerry's folly, Chapter 3

Amy Peterson: A life of love: How to build lasting relationships with your children

John Ericson: Older Women: Save Your Heart, Prevent Stroke Don't Drink Diet

John Ericson: Why 50 million Americans will still have spring allergies after taking meds

Cameron Huddleston: Best and Worst Buys of April 2014

Stacy Rapacon: Great Mutual Funds for Young Investors

Sarah Boesveld: Teacher keeps promise to mail thousands of former students letters written by their past selves

The Kosher Gourmet by Sharon Thompson Anyone can make a salad, you say. But can they make a great salad? (SECRETS, TESTED TECHNIQUES + 4 RECIPES, INCLUDING DRESSINGS)

April 2, 2014

Paul Greenberg: Death and joy in the spring

Dan Barry: Should South Carolina Jews be forced to maintain this chimney built by Germans serving the Nazis?

Mayra Bitsko: Save me! An alien took over my child's personality

Frank Clayton: Get happy: 20 scientifically proven happiness activities

Susan Scutti: It's Genetic! Obesity and the 'Carb Breakdown' Gene

Lecia Bushak: Why Hand Sanitizer May Actually Harm Your Health

Stacy Rapacon: Great Funds You Can Own for $500 or Less

Cameron Huddleston: 7 Ways to Save on Home Decor

The Kosher Gourmet by Steve Petusevsky Exploring ingredients as edible-stuffed containers (TWO RECIPES + TIPS & TECHINQUES)

Jewish World Review Nov. 12, 2010 / 5 Kislev, 5771

Blue-state budget crises spell even more trouble for Dems

By Michael Gerson



http://www.JewishWorldReview.com | Following the midterm elections, attention understandably focused on those parts of the South and Midwest where the Obama coalition collapsed. But a second wave of trouble is coming for the president and his party, precisely in those states where the first wave barely reached. Having experienced the revolt of red America, Democrats must now deal with the fiscal crisis of blue America.

While massive state budget shortfalls are not limited to predominantly Democratic states, they are concentrated in them. "In California and New York," says John Hood of the John Locke Foundation, "the fiscal crisis flirts with bankruptcy." Explanations include rising Medicaid costs, increased spending on higher education and the long-term challenge of funding public pensions. At the same time, says Hood, "All the major sources of revenue have cratered." The states doing worst are the ones, such as California and New York, that had irresponsible budgets going into the recession. States that were fiscally responsible during good economic times, such as Indiana, have had a softer landing.

The political crisis in many states has been delayed by President Obama's 2009 stimulus package, which temporarily plugged gaps in state budgets, and by a variety of budget gimmicks. Illinois, for example, has simply delayed payouts to doctors providing Medicaid, leaving about $6 billion in unpaid bills that will be eventually covered by the issuing of debt.

But now comes the reckoning. Stimulus support of state budgets is running out. Gimmicks generally work only once. And much of the country has turned hard against tax increases that might help close the gaps. After the economic panic of 2008, a number of states hiked taxes as an emergency measure. But with Republicans in the midterms electing their highest total number of state legislators since 1928, even Democratic governors will think twice about proposing tax increases.

Governors are seeing their options dramatically narrowed, leading them toward severe spending reductions - cuts in popular programs and in aid to local governments. We are likely to see more municipal defaults, with state governments unwilling or unable to bail out failing cities. While it remains unlikely that states themselves will default on their debt, several governors have attempted to claw back past benefit promises to public employees - which Josh Barro of the Manhattan Institute calls "an implicit default."

What are the political effects of the blue-state budget crisis? In Washington, it will set up a conflict between desperate governors and the new Republican House. States will seek federal help and pressure their congressional delegations for support. But there is little chance that conservatives will add a new state bailout to all the bailouts that have come before. Any additional economic stimulus would probably be in the form of tax relief, perhaps a payroll tax holiday, not in cash payments to state governments.

For the president, entering his own reelection campaign, the teetering finances of blue America are a serious challenge. Obama, fairly or unfairly (but mainly fairly), has become a big-government brand name. West Virginia's governor and future senator, Joe Manchin, demonstrated that Democrats are willing to run in contrast to Obama when it serves their interests. Other Democratic governors - perhaps in Colorado and Illinois - might be tempted to distance themselves as well, establishing what Hood calls "alternative brands to Obama himself."

Most significantly, the blue-state financial misery continues and deepens the ideological crisis of American liberalism. Few politicians in traditionally liberal states now speak about the expanding promise of progressive government and the welfare state. New Jersey is already in conservative revolt. New York's Democratic governor-elect, Andrew Cuomo, campaigned on a promise of budget cuts without tax increases. The New York congressional delegation shifted significantly in a Republican direction. While California remains in denial - even after a budget crisis that has lasted for a decade - that could rapidly change as well. It may be Democratic governors who are forced by economic reality to limit the size and ambitions of government, delivering a body blow to liberalism itself. If progressive activism can't survive in these places, it will be difficult for it to survive anywhere.

All these calculations change, of course, with a dramatically growing economy, providing states with additional revenue and the president with political breathing room. But absent that desired development, Obama's political challenges, and the backlash against liberal government, are only beginning.


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Previously:



10/19/10 Obama the snob
10/12/10 Seeds of victory in Afghanistan
10/05/10 Believers' remorse
10/04/10 Pound-foolish on national security
09/28/10 Babylon on the Potomac
09/27/10 Our reluctant commander in chief
09/21/10 Blue strongholds are becoming Democratic graveyards
09/17/10 For the GOP, a bittersweet brew from the Tea Party
09/15/10: Insanity's great enablers
09/13/10: The lost communicator
09/08/10: Will 2010 midterms be 1994 all over again?
09/01/10: Obama's economic wandering
08/27/10: Miracles from abroad
08/25/10: Address these issues in order to strengthen the Tea Party
08/20/10: The lost promise of Barack Obama
07/23/10: Obama's greatest nightmare
02/04/09: The Reality of Innocence
01/07/09: The Risks in Obama's Ambitions
12/31/08: Support Obama Will Need
06/13/08: Prince Charles, Organic Conservatism Icon
06/11/08: No longer a bankrupt political joke but still overshadowed
04/23/08: McCain's anger management
04/10/08: A Country for Old Men
03/06/08: Does the America Need a Hug?
03/06/08: Obama's First 100 Days
02/29/08: Words Aren't Cheap
02/22/08: He Said, They Said
02/20/08: Dying silently in Zimbabwe
02/15/08: Hillary's Unappealing Path
02/13/08: NATO's Afghan Stumbles
02/08/08: Why McCain Endures
02/06/08: One surge that led to another
02/01/08: In North Korea, Process Over Progress
01/30/08: Compassionate to the end


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