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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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    ‘Disgraceful:’ N.S. Tory leader slams school’s request that military remove uniform

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    HALIFAX – Nova Scotia Premier Tim Houston says it’s “disgraceful and demeaning” that a Halifax-area school would request that service members not wear military uniforms to its Remembrance Day ceremony.

    Houston’s comments were part of a chorus of criticism levelled at the school — Sackville Heights Elementary — whose administration decided to back away from the plan after the outcry.

    A November newsletter from the school in Middle Sackville, N.S., invited Armed Forces members to attend its ceremony but asked that all attendees arrive in civilian attire to “maintain a welcoming environment for all.”

    Houston, who is currently running for re-election, accused the school’s leaders of “disgracing themselves while demeaning the people who protect our country” in a post on the social media platform X Thursday night.

    “If the people behind this decision had a shred of the courage that our veterans have, this cowardly and insulting idea would have been rejected immediately,” Houston’s post read. There were also several calls for resignations within the school’s administration attached to Houston’s post.

    In an email to families Thursday night, the school’s principal, Rachael Webster, apologized and welcomed military family members to attend “in the attire that makes them most comfortable.”

    “I recognize this request has caused harm and I am deeply sorry,” Webster’s email read, adding later that the school has the “utmost respect for what the uniform represents.”

    Webster said the initial request was out of concern for some students who come from countries experiencing conflict and who she said expressed discomfort with images of war, including military uniforms.

    Her email said any students who have concerns about seeing Armed Forces members in uniform can be accommodated in a way that makes them feel safe, but she provided no further details in the message.

    Webster did not immediately respond to a request for comment.

    At a news conference Friday, Houston said he’s glad the initial request was reversed but said he is still concerned.

    “I can’t actually fathom how a decision like that was made,” Houston told reporters Friday, adding that he grew up moving between military bases around the country while his father was in the Armed Forces.

    “My story of growing up in a military family is not unique in our province. The tradition of service is something so many of us share,” he said.

    “Saying ‘lest we forget’ is a solemn promise to the fallen. It’s our commitment to those that continue to serve and our commitment that we will pass on our respects to the next generation.”

    Liberal Leader Zach Churchill also said he’s happy with the school’s decision to allow uniformed Armed Forces members to attend the ceremony, but he said he didn’t think it was fair to question the intentions of those behind the original decision.

    “We need to have them (uniforms) on display at Remembrance Day,” he said. “Not only are we celebrating (veterans) … we’re also commemorating our dead who gave the greatest sacrifice for our country and for the freedoms we have.”

    NDP Leader Claudia Chender said that while Remembrance Day is an important occasion to honour veterans and current service members’ sacrifices, she said she hopes Houston wasn’t taking advantage of the decision to “play politics with this solemn occasion for his own political gain.”

    “I hope Tim Houston reached out to the principal of the school before making a public statement,” she said in a statement.

    This report by The Canadian Press was first published Nov. 8, 2024.

    The Canadian Press. All rights reserved.

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    Saskatchewan NDP’s Beck holds first caucus meeting after election, outlines plans

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    REGINA – Saskatchewan Opposition NDP Leader Carla Beck says she wants to prove to residents her party is the government in waiting as she heads into the incoming legislative session.

    Beck held her first caucus meeting with 27 members, nearly double than what she had before the Oct. 28 election but short of the 31 required to form a majority in the 61-seat legislature.

    She says her priorities will be health care and cost-of-living issues.

    Beck says people need affordability help right now and will press Premier Scott Moe’s Saskatchewan Party government to cut the gas tax and the provincial sales tax on children’s clothing and some grocery items.

    Beck’s NDP is Saskatchewan’s largest Opposition in nearly two decades after sweeping Regina and winning all but one seat in Saskatoon.

    The Saskatchewan Party won 34 seats, retaining its hold on all of the rural ridings and smaller cities.

    This report by The Canadian Press was first published Nov. 8, 2024.

    The Canadian Press. All rights reserved.

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    Nova Scotia election: Liberals say province’s immigration levels are too high

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    HALIFAX – Nova Scotia‘s growing population was the subject of debate on Day 12 of the provincial election campaign, with Liberal Leader Zach Churchill arguing immigration levels must be reduced until the province can provide enough housing and health-care services.

    Churchill said Thursday a plan by the incumbent Progressive Conservatives to double the province’s population to two million people by the year 2060 is unrealistic and unsustainable.

    “That’s a big leap and it’s making life harder for people who live here, (including ) young people looking for a place to live and seniors looking to downsize,” he told a news conference at his campaign headquarters in Halifax.

    Anticipating that his call for less immigration might provoke protests from the immigrant community, Churchill was careful to note that he is among the third generation of a family that moved to Nova Scotia from Lebanon.

    “I know the value of immigration, the importance of it to our province. We have been built on the backs of an immigrant population. But we just need to do it in a responsible way.”

    The Liberal leader said Tim Houston’s Tories, who are seeking a second term in office, have made a mistake by exceeding immigration targets set by the province’s Department of Labour and Immigration. Churchill said a Liberal government would abide by the department’s targets.

    In the most recent fiscal year, the government welcomed almost 12,000 immigrants through its nominee program, exceeding the department’s limit by more than 4,000, he said. The numbers aren’t huge, but the increase won’t help ease the province’s shortages in housing and doctors, and the increased strain on its infrastructure, including roads, schools and cellphone networks, Churchill said.

    “(The Immigration Department) has done the hard work on this,” he said. “They know where the labour gaps are, and they know what growth is sustainable.”

    In response, Houston said his commitment to double the population was a “stretch goal.” And he said the province had long struggled with a declining population before that trend was recently reversed.

    “The only immigration that can come into this province at this time is if they are a skilled trade worker or a health-care worker,” Houston said. “The population has grown by two per cent a year, actually quite similar growth to what we experienced under the Liberal government before us.”

    Still, Houston said he’s heard Nova Scotians’ concerns about population growth, and he then pivoted to criticize Prime Minister Justin Trudeau for trying to send 6,000 asylum seekers to Nova Scotia, an assertion the federal government has denied.

    Churchill said Houston’s claim about asylum seekers was shameful.

    “It’s smoke and mirrors,” the Liberal leader said. “He is overshooting his own department’s numbers for sustainable population growth and yet he is trying to blame this on asylum seekers … who aren’t even here.”

    In September, federal Immigration Minister Marc Miller said there is no plan to send any asylum seekers to the province without compensation or the consent of the premier. He said the 6,000 number was an “aspirational” figure based on models that reflect each province’s population.

    In Halifax, NDP Leader Claudia Chender said it’s clear Nova Scotia needs more doctors, nurses and skilled trades people.

    “Immigration has been and always will be a part of the Nova Scotia story, but we need to build as we grow,” Chender said. “This is why we have been pushing the Houston government to build more affordable housing.”

    Chender was in a Halifax cafe on Thursday when she promised her party would remove the province’s portion of the harmonized sales tax from all grocery, cellphone and internet bills if elected to govern on Nov. 26. The tax would also be removed from the sale and installation of heat pumps.

    “Our focus is on helping people to afford their lives,” Chender told reporters. “We know there are certain things that you can’t live without: food, internet and a phone …. So we know this will have the single biggest impact.”

    The party estimates the measure would save the average Nova Scotia family about $1,300 a year.

    “That’s a lot more than a one or two per cent HST cut,” Chender said, referring to the Progressive Conservative pledge to reduce the tax by one percentage point and the Liberal promise to trim it by two percentage points.

    Elsewhere on the campaign trail, Houston announced that a Progressive Conservative government would make parking free at all Nova Scotia hospitals and health-care centres. The promise was also made by the Liberals in their election platform released Monday.

    “Free parking may not seem like a big deal to some, but … the parking, especially for people working at the facilities, can add up to hundreds of dollars,” the premier told a news conference at his campaign headquarters in Halifax.

    This report by The Canadian Press was first published Nov. 7, 2024.

    — With files from Keith Doucette in Halifax

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