Sharing the pain to reduce the deficit

Richard Eskow at Campaign for America's Future has a good analysis of Vermont Senator Bernie Sanders "Shared Sacrifice" plan for addressing the federal debt and deficit. As Eskow points out:

The question is whether we reduce the deficit only through spending cuts, or also by raising taxes on the rich. This should be an easy issue for Democrats to stand on ... and run on. A recent New York Times/CBS News poll showed that 72% of of those surveyed agreed that federal taxes should be raised for households making more than $250,000 - including 55% of Republicans. Yet even with the GOP leadership far to the right of the country on this issue, Democrats haven’t taken an unequivocal position.

Who's speaking for this Republican majority (and most everybody else) in Washington? Only Sen. Bernie Sanders, Socialist from Vermont. Sanders has unequivocally said that he won't support a deal to raise the debt ceiling unless it includes higher taxes on on the rich. Where are the Democrats? Nancy Pelosi's been marginalized from the discussions, even though a deal won't be possible without the support of Democrats in Congress. The White House and Harry Reid have refused to take a firm stand.

Sanders has gained lots of positive attention from progressives for his speech on the Senate floor Monday, in which he called for each dollar of cuts in social programs to be matched by a dollar of tax increases on the wealthy and corporations in order to achieve deficit reduction, as well as "significant cuts to unnecessary and wasteful Pentagon spending."

As has been noted in this space, the federal deficit and debt are something of a long-term problem for the United States, but their impact has been greatly exaggerated by Republicans looking for an excuse to  help the wealthy at the expense of ordinary people. CAF has a useful Web page that examines this issue in light of the current controversy. A link on that page leads to a commentary by Dave Johnson that illustrates the dangers of crashing the economy if Democrats cave in to Republican demands in order to raise the debt limit.

Most progressives understand that the deficit is not a serious immediate economic concern in a country that is on the verge of a double-dip recession. Cutting government spending at this point is likely to make the problem worse. But the Republicans are not likely to concede any of this. What Senator Sanders has offered is a practical and principled compromise. If Republicans truly believe that reducing the deficit and debt is the most serious problem facing the country, they need to be willing for the wealthy and the powerful to share the sacrifice necessary to make that possible.

If you would like to add your support to this position, Senator Sanders has started a petition to President Obama to urge him to follow this approach. CAF has a page that allows you to contact your senators and congressperson about this issue. Maybe this time the Republicans have gone too far. Maybe ordinary people will be willing and able to take their country back.

Update: If even a Fox News commentator thinks that US corporations should pay more taxes, maybe there is real hope for this solution. (Hat tip to US Uncut for that link.)