$4.2 Trillion in new taxes to support Warren’s spending spree:
Elizabeth Warren has a plan for everything. Some of those plans are expensive. With Warren emerging as a front-runner in the Democratic presidential contest, Yahoo Finance tallied the cost of her plans.
Altogether, the Massachusetts senator’s agenda would require $4.2 trillion per year in new federal spending, and a like amount in new taxes, if she paid for everything without issuing new debt. The federal government currently spends about $4.4 trillion per year, so Warren’s plans would nearly double federal spending.
The Treasury takes in about $3.4 trillion in tax revenue each year, so if Warren levied new taxes to pay for everything, federal taxation would rise by 124%. She could pay for some of her plans by issuing new debt instead of raising taxes, but with annual deficits close to $1 trillion already, that might be unwise.
The biggest chunk of new spending in Warren’s agenda, by far, would be Medicare for all, the single-payer health plan she would impose to replace all private insurance. Warren explains how she would pay for all of her plans—except this one. With fellow Democratic candidates pressing her for details, Warren says she’ll provide financing options for Medicare for all soon.
A single-payer plan covering every American would cost about $3.4 trillion per year, according to the Urban Institute and other analysts. Again: that’s equal to all federal tax revenue in 2019.
Why aren’t more Democrats endorsing Warren?
So a big part of the story here may be less about Warren and more about the large Democratic field and the lack of a clear front-runner, just as it was with Republicans in 2016. The big field, in particular, creates incentives for elected officials to remain neutral for as long as possible.
“For the faction of elected Democrats who want the party to move to the left, the fact that both Warren and Sanders are in the race and polling in the double digits makes it tough — and somewhat politically risky — to publicly choose between them at this point in the process,” David Hopkins, a political scientist at Boston College and co-author of “Asymmetric Politics,” said.
Or take members of the Congressional Black Caucus and Congressional Hispanic Caucus. “At this stage,” Hopkins said, “with Harris, Booker, and [Julián] Castro in the race and many of their constituents backing Biden, these members have other considerations besides candidate ideology — both in terms of their own personal objectives and their political incentives. Again, a wait-and-see strategy seems much safer.”
Democrats may also be gun-shy after the outcome of the 2016 election. Hans Noel, a scholar at Georgetown University and co-author of “The Party Decides,” said of party elites: “They controlled the process, and they lost.”
Also:
Warren has two obvious problems with party elites. First, there is the perception among some of them that her left-wing stands, such as Medicare for All, are too risky for the general election and decrease the party’s chances of defeating President Trump. For example, House Speaker Nancy Pelosi has not outright endorsed Biden or specifically declared that she does not support Warren, but Pelosi has argued that the party needs to have a big, sweeping electoral victory in 2020, and that such a win requires more moderate policies, likefocusing on improving Obamacare instead of pursuing Medicare for All. Those are sentiments decidedly on the side of Biden and Mayor of South Bend, Indiana, Pete Buttigieg and against Warren and Sanders.
Secondly, electoral considerations aside, there is a center-left wing of the Democratic Party that fundamentally disagrees with Warren’s more leftward positions. It’s hard to imagine some of these figures endorsing Warren before she has effectively already won the nomination. (That fits with Shor’s findings — Warren’s endorsers at the state legislative level are more liberal than the endorsers of any of the other candidates.)
These problems are not unique to Warren. Sanders was perceived as too far to the left by many Democratic elites in 2016; he got very few endorsements back then and is not getting many this cycle, either. (Sen. Amy Klobuchar actually leads Sanders in endorsement points.)
Warren also has a third challenge with party elites that is less obvious. The Massachusetts senator clashed with senior aides to President Obama for much of his tenure in the White House. She, like Sanders, isn’t quite in line with the party’s establishment. A Warren administration would probably be less likely to hire former Clinton (Bill and Hillary) and Obama aides in key posts than, say, a Biden, Booker or Harris one. So people connected with the party establishment (like many DNC members) may be fine with Warren but prefer other candidates for more self-interested reasons.
It’s all about the Benjamins. (Hat tip: Ann Althouse.) Kevin Williamson says that Warren wants to shear the rich:
Jeremy Corbyn has a kindred spirit in the United States currently running for the Democratic presidential nomination — two of them, in fact: Senator Bernie Sanders, an antediluvian Brooklyn red who literally honeymooned in the old Soviet Union as dissidents were being shipped off to the gulags, and Senator Elizabeth Warren, the counterfeit Cherokee princess who holds forth on “accountability” from her comfortable sinecure at Harvard Law, which once put her forward as the first “woman of color” on its faculty. The wretched old socialist from Vermont is making a good scrappy show of it — and I sincerely wish Senator Sanders the very best of health after his recent cardiac episodes — and, the times being what they are, apparently anybody can be elected president of these wobbly United States. But Warren — in spite of being a plastic banana of titanic phoniness, an ass of exceptional asininity, an intellectual mediocrity, and a terrible campaigner on top of it all — seems the more likely threat. Sanders, who cannot resist that old Soviet liquidate-the-kulaks-as-a-class rhetoric, insists that “billionaires should not exist.” Warren has a ghastly imbecilic plan for that.
Snip.
The most extreme of those is renouncing U.S. citizenship in favor of securing legal domicile in some more wealth-friendly jurisdiction. There was a boomlet of that during the Obama years, reaching a record in 2016. But it is a very small number: 5,411 in 2016, down to the numerically ironic 1,099 in 2018. Some of those former U.S. citizens renounce for reasons that have at least something to do with tax, but these decisions usually are complex and involve many factors. Tina Turner, who has been a resident of Switzerland for decades, “relinquished” her U.S. citizenship (which under U.S. law is slightly different from “renouncing” it) a few years after becoming a Swiss national. Facebook cofounder Eduardo Saverin renounced his U.S. citizenship in favor of Singapore just before the firm went public. Filmmaker John Huston died an Irishman. A common pattern is that of actor Jet Li and businessman Ted Arison, each having been born abroad (China and Israel, respectively), become a naturalized U.S. citizen, and then renounced that citizenship later in life (Li is a citizen of Singapore, while Arison returned to Israel). Uncle Stupid imposes an “exit tax” on those who are leaving, in essence collecting whatever capital-gains tax would be due on the renouncer’s assets if they had been sold the day before renouncing. There is also a fee of $2,350, because somebody has to pay the parasites to audit your portfolio, and it’s going to be you.
But this is not good enough for Elizabeth Warren, who proposes to build a financial Berlin Wall to keep the rich guys in. That’s a little bit funny: Billionaires are awful, evil, wicked, and should not exist — but God help them if they try to grant Bernie Sanders his dearest wish and skedaddle. Singapore doesn’t think billionaires should not exist. Neither does Sweden. Neither does Switzerland. Neither does Italy. Why not let those horrible pinstriped social diseases just go where they are wanted?
Because this is not about revenue. This is about revenge.
Warren’s proposal would see the federal government expropriating 40 percent of the wealth of any American who decided to emigrate, provided that American has enough money to make it worth worrying about. And that number is not as high as you might expect: The current law ensnares those whose average income in the five-year period before renunciation was $162,000 or more, meaning that there are a lot of high-school principals who would need Washington’s permission to split.
It is difficult to accept the proposition that in a free society the freedoms enjoyed do not include the freedom to leave. The right of exit is the great discipliner of social, romantic, and business relationships, and it is essential to the relationship between citizen and state, too: Ask all our of new neighbors lately arrived from Venezuela. They did not come to Houston for the weather.
Walls have ideological purposes. The infamous one in Berlin was, officially, the Antifaschistischer Schutzwall, the “anti-fascist protection wall.” Senator Warren’s wall is, in theory, about “inequality.” But that is really hardly plausible as a rationale. “Inequality” simply refers to the financial distance between x and y, and reducing that inequality would be as effectively achieved by improving incomes and savings at the lower end as by reducing incomes and diminishing savings elsewhere. But that’s a rather trickier proposition than sticking a gun in somebody’s face and saying, “Hand it over.” Which is, of course, what Elizabeth Warren proposes to do.
For what? Some trivial sum in federal tax revenue? No — for the joy of it. For the pleasure of exercising power. For vindictiveness. Elizabeth Warren’s Berlin Wall will not make one poor person in the United States any better off. It might make Elizabeth Warren better off, but she’s far from poor.
Snip.
Elizabeth Warren, like Donald Trump, wants to build a wall. The idea behind Trump’s is keeping certain foreigners out, while the idea behind Warren’s is locking Americans in, penning them in order that they may be shorn and milked as though they were livestock, which is more or less how Warren thinks of them.
The Warren hype has gotten away from the facts on the ground.
The media love Elizabeth Warren. She’s everything they want in a candidate. Someone to whisper sweet nothings into their ears and make them feel really smart. She’s got plans, the right amount of shrill in her voice, and is just focus grouped enough to get them excited.
This love affair has led to an incredible amount of hype surrounding the Massachusetts Senator, who’s only accomplishment appears to be supporting an unconstitutional agency in the CFPB. It’s gotten to the point where she is routinely described as the presumptive front-runner. To be fair, I’ve bagged on Joe Biden to the benefit of Elizabeth Warren a bit in the past few months as well. I mean, he’s Joe Biden.
Following the most recent debate though, where Warren stumbled repeatedly when pressed about raising middle class taxes, we are seeing some problems emerge.
For starters, she’s still nowhere near the national front-runner.
CNN poll snipped.
Not only is Warren behind by double digits, Biden is enjoying his biggest lead since April, a time when it was all but assumed he’d be the nominee. There are other polls as well showing bad news for Warren. Emerson released their latest offering and she’s 6 points behind Biden. Worse, she’s 4 points behind Sanders, who just suffered a heart attack a month ago.
In fact, in the last seven polls published, six of them have Warren down by at least 6 points. The only poll which continues to show her close is YouGov, which has held an incredible house effect for Warren throughout the primaries. You can view all these results at RCP here.
But perhaps she’s leading in the early states? In New Hampshire, yes, but that’s to be expected. In Iowa, Nevada, South Carolina, and California, she’s behind Biden still. If Biden wins two of those four states, he’ll enter the southern primaries all but guaranteed to clean up, leaving Warren no real path.
George Soros gives Warren the thumbs-up seal of approval.
Author and spiritual advisor Marianne Williamson: In. Twitter. Facebook. Says she’s not dropping out, even after missing the debate:
Supported by its friends and sponsors in the corporate media, the Democratic National Committee has sought to narrow the field of presidential candidates at the very moment when it should be opening up. Placing a political straitjacket on our primary system, controlling the process via money and ridiculous rules, the party is risking disaster.
The establishment’s paternalistic insistence that, in essence, “it’s time to shut this thing down” — making sure only its preordained category of people, discussing its preordained category of topics, is placed before the American people for consideration as contenders for the nomination to run against President Trump — has created a false, inauthentic piece of high school theater posing as the Democratic debates.
Last night’s debate was a lot of things, but it was not exciting. It contained no magic. If anything, it reduced some very nice people to behavior their mothers probably raised them not to engage in. Which woman who claims feminist ideals can be the nastiest to another woman? Which young person can show the greatest arrogance toward those with decades of experience under their belts? Which intelligent person can best reduce a complicated topic to pabulum for the masses?
Oh, this is brilliant, guys. Apparently, the strategy is to engage the American people by showing them the worst of who we are.
Venture capitalist Andrew Yang: In. Twitter. Facebook. Yang Gang vs. Team Bearnie:
The outsider entrepreneur who refuses to wear a tie at the Democratic debates is attracting some of the same people as the outsider senator who spurns brushing his hair for rallies. Fifty-seven percent of Yang’s potential supporters are considering Sanders, according to a recent Ipsos/FiveThirtyEight poll. The mutual interest works in the other direction, too: 16 percent of Sanders’ potential voters are eyeing Yang.
Though Sanders and Yang differ in significant ways, they’re both running anti-establishment campaigns that speak to an electorate frustrated with the status quo, wary of Democratic insiders, and looking for economic help. For Sanders, their overlapping bases may give him a small boost if Yang drops out of the race down the road or if he works to woo the so-called #YangGang.
But it’s also a potential threat to Sanders even if Yang continues polling in the single digits. If Yang shaves off a few percentage points from Sanders’ voting bloc, particularly in early-primary states such as New Hampshire, that could turn a second- or third-place finish into something worse.
Yang wants molten salt Thorium reactors on the grid by 2027. But lots of technical and industrial challenges remain to be overcome
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