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Democrats Stop Playing the Politics of Fiscal Restraint – Bloomberg

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President-elect Joe Biden rolled out his first big legislative priority in a Thursday night speech: A $1.9 trillion virus-fighting and economic bailout package.

The first thing to say is that Biden’s speech drove the final nail into the coffin of mainstream liberal attempts to make Democrats the party of fiscal restraint, efforts that began in earnest after Republicans adopted big-deficit policies at the beginning of Ronald Reagan’s presidency in 1981. For almost 40 years, Democrats tried and failed to convince journalists and pundits that they were the party that cared about federal budget deficits. Over the same period, Democrats occasionally sought credit from voters for lowering (and even, when Bill Clinton was president in the 1990s, erasing) deficits.

To be sure, Democrats were still Keynesians, favoring expanded deficits during hard times. But they also came to believe in paying for new spending even when that meant supporting higher taxes when they thought increased revenues were needed. As recently as Barack Obama’s presidency, they tried to rein in deficits when they got high.

That seems over. Congressional Democrats in 2020 spent freely (and tried to spend even more) to fight the coronavirus pandemic and rescue the economy. New rules in the House of Representatives de-emphasize the costs of new programs. Biden not only asked for a large bill only a few weeks after Congress passed a $900 billion round of virus-relief spending, but took on the argument head-on, saying that economists supported larger deficits right now. I don’t think that Democrats will flip all the way to simply ignoring deficits, and some moderate Democrats may split with mainstream liberals over fiscal policy as time goes on, but it really does sound like the center of the party has moved.

The other thing to say about Biden’s rollout was just how professional it was. The speech wasn’t particularly memorable or well-delivered in my view, but it was solidly constructed and won’t give the fact-checkers much to do. Nor was it undermined by nonsensical ad-libs. Oh, and Biden does know how to use a teleprompter. His staff also knows how to build (and demonstrate) support, as NBC News correspondent Garrett Haake noted in this tweet Thursday night: “My inbox and Twitter timeline are flooded with statements from Democrats (and even the Chamber of Commerce) in support of the Biden COVID rescue plan. I had almost forgotten what a coordinated policy rollout looks like.”

That doesn’t guarantee it will wind up passing. The Biden team is apparently hoping to treat the relief legislation as a regular bill, which means that it will need to get through the narrow Democratic majority in the House and then find 60 votes to defeat a Senate filibuster in a chamber where each party will have 50 members. And while there are some items that will appeal to many Republican senators, and others they will be reluctant to vote against, a deal requiring at least 10 Republicans to sign on seems unlikely.

Unless that’s wrong, Democrats will either have to eliminate the legislative filibuster, or accept only what they could get under the current rules governing the “reconciliation” procedure that can avoid a filibuster — or loosen those reconciliation rules. It’s possible that moderate Democrats might be willing to support Senate rules changes to pass funding for vaccination and other emergency health-care needs, and for some economic relief. But they almost certainly would demand that some liberal priorities in Biden’s plan be dropped.

Biden and his team — and for that matter, both House and Senate Democratic leaders — are experienced deal-makers. For the most part, the coronavirus package is built for negotiations; it’s relatively easy to bargain over financing levels as long as both sides want eventual passage. But whether a sufficient number of senators will really want a deal? That’s hard to know at this point.

1. Davin L. Phoenix at the Monkey Cage on anger and race.

2. Reid Wilson talks to Biden’s Chief of Staff Ron Klain about how the administration intends to get to work. A must-read. Key fact: Klain says that Biden will have more people in the agencies (political appointees who don’t need Senate confirmation) from Day 1 than Obama had after 100 days. Obama was bad about filling vacancies. President Donald Trump was terrible. Biden, it seems, might be be good at it. We’ll see.

3. Jonathan Cohn on the vaccine rollout.

4. Katlyn Marie Carter at Made By History revisits the Sedition Act of 1798.

5. Bloomberg’s Joshua Green on Liz Cheney’s vote for impeachment.

6. My Bloomberg Opinion colleague Elisa Martinuzzi on Deutsche Bank AG and Trump.

7. And Peter Jamison, Carol D. Leonnig and Paul Schwartzman have the epic story about why the Secret Service has been renting toilets in Kalorama.

Get Early Returns every morning in your inbox. Click here to subscribe. Also subscribe to Bloomberg All Access and get much, much more. You’ll receive our unmatched global news coverage and two in-depth daily newsletters, the Bloomberg Open and the Bloomberg Close.

    This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.

    To contact the author of this story:
    Jonathan Bernstein at jbernstein62@bloomberg.net

    To contact the editor responsible for this story:
    Jonathan Landman at jlandman4@bloomberg.net

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    Youri Chassin quits CAQ to sit as Independent, second member to leave this month

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    Quebec legislature member Youri Chassin has announced he’s leaving the Coalition Avenir Québec government to sit as an Independent.

    He announced the decision shortly after writing an open letter criticizing Premier François Legault’s government for abandoning its principles of smaller government.

    In the letter published in Le Journal de Montréal and Le Journal de Québec, Chassin accused the party of falling back on what he called the old formula of throwing money at problems instead of looking to do things differently.

    Chassin says public services are more fragile than ever, despite rising spending that pushed the province to a record $11-billion deficit projected in the last budget.

    He is the second CAQ member to leave the party in a little more than one week, after economy and energy minister Pierre Fitzgibbon announced Sept. 4 he would leave because he lost motivation to do his job.

    Chassin says he has no intention of joining another party and will instead sit as an Independent until the end of his term.

    He has represented the Saint-Jérôme riding since the CAQ rose to power in 2018, but has not served in cabinet.

    This report by The Canadian Press was first published Sept. 12, 2024.

    The Canadian Press. All rights reserved.

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    ‘I’m not going to listen to you’: Singh responds to Poilievre’s vote challenge

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    MONTREAL – NDP Leader Jagmeet Singh says he will not be taking advice from Pierre Poilievre after the Conservative leader challenged him to bring down government.

    “I say directly to Pierre Poilievre: I’m not going to listen to you,” said Singh on Wednesday, accusing Poilievre of wanting to take away dental-care coverage from Canadians, among other things.

    “I’m not going to listen to your advice. You want to destroy people’s lives, I want to build up a brighter future.”

    Earlier in the day, Poilievre challenged Singh to commit to voting non-confidence in the government, saying his party will force a vote in the House of Commons “at the earliest possibly opportunity.”

    “I’m asking Jagmeet Singh and the NDP to commit unequivocally before Monday’s byelections: will they vote non-confidence to bring down the costly coalition and trigger a carbon tax election, or will Jagmeet Singh sell out Canadians again?” Poilievre said.

    “It’s put up or shut up time for the NDP.”

    While Singh rejected the idea he would ever listen to Poilievre, he did not say how the NDP would vote on a non-confidence motion.

    “I’ve said on any vote, we’re going to look at the vote and we’ll make our decision. I’m not going to say our decision ahead of time,” he said.

    Singh’s top adviser said on Tuesday the NDP leader is not particularly eager to trigger an election, even as the Conservatives challenge him to do just that.

    Anne McGrath, Singh’s principal secretary, says there will be more volatility in Parliament and the odds of an early election have risen.

    “I don’t think he is anxious to launch one, or chomping at the bit to have one, but it can happen,” she said in an interview.

    New Democrat MPs are in a second day of meetings in Montreal as they nail down a plan for how to navigate the minority Parliament this fall.

    The caucus retreat comes one week after Singh announced the party has left the supply-and-confidence agreement with the governing Liberals.

    It’s also taking place in the very city where New Democrats are hoping to pick up a seat on Monday, when voters go to the polls in Montreal’s LaSalle—Émard—Verdun. A second byelection is being held that day in the Winnipeg riding of Elmwood—Transcona, where the NDP is hoping to hold onto a seat the Conservatives are also vying for.

    While New Democrats are seeking to distance themselves from the Liberals, they don’t appear ready to trigger a general election.

    Singh signalled on Tuesday that he will have more to say Wednesday about the party’s strategy for the upcoming sitting.

    He is hoping to convince Canadians that his party can defeat the federal Conservatives, who have been riding high in the polls over the last year.

    Singh has attacked Poilievre as someone who would bring back Harper-style cuts to programs that Canadians rely on, including the national dental-care program that was part of the supply-and-confidence agreement.

    The Canadian Press has asked Poilievre’s office whether the Conservative leader intends to keep the program in place, if he forms government after the next election.

    With the return of Parliament just days away, the NDP is also keeping in mind how other parties will look to capitalize on the new makeup of the House of Commons.

    The Bloc Québécois has already indicated that it’s written up a list of demands for the Liberals in exchange for support on votes.

    The next federal election must take place by October 2025 at the latest.

    This report by The Canadian Press was first published Sept. 11, 2024.

    The Canadian Press. All rights reserved.

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    Social media comments blocked: Montreal mayor says she won’t accept vulgar slurs

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    Montreal Mayor Valérie Plante is defending her decision to turn off comments on her social media accounts — with an announcement on social media.

    She posted screenshots to X this morning of vulgar names she’s been called on the platform, and says comments on her posts for months have been dominated by insults, to the point that she decided to block them.

    Montreal’s Opposition leader and the Canadian Civil Liberties Association have criticized Plante for limiting freedom of expression by restricting comments on her X and Instagram accounts.

    They say elected officials who use social media should be willing to hear from constituents on those platforms.

    However, Plante says some people may believe there is a fundamental right to call someone offensive names and to normalize violence online, but she disagrees.

    Her statement on X is closed to comments.

    This report by The Canadian Press was first published Sept. 11, 2024.

    The Canadian Press. All rights reserved.

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