Business Background Not Needed to Fix National Problems

June 9, 2010 RSS Feed Print
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By Scott Galupo, Thomas Jefferson Street blog

Last night’s primary elections yielded few surprises. I’ll focus on the apparent allure of ex-CEOs in California--gubernatorial candidate Meg Whitman and Carly Fiorina, who is challenging for the Senate seat Barbara Boxer currently occupies. Let’s throw probable GOP presidential contender Mitt Romney into our analysis, too.

The appeal of such candidates tends toward a lot of clichés about tough-mindedness and commonsense: They make trains run on time. They’ve managed a payroll. They’ve answered to shareholders and have been held accountable by the private marketplace. And so on.

Republican voters aren’t alone in their admiration for successful businessmen and -women. Sen. Mark Warner, Democrat of Virginia, boasted similar marketplace cred, as did, for a time, Jon Corzine, the recently-ousted New Jersey governor and U.S. senator. Ross Perot’s 1992 presidential campaign, too, was undergirded by Perot’s promise to run the federal government more rationally and efficiently--like a business.

[See who supports Warner.]

Now, I’m all for encouraging nonlawyers to run for public office, and I hold no brief for career politicians. But a lack of practical real-world experience is not what ails our political system or the federal bureaucracy. It’s not why Washington politicians continually fail to balance budgets. Our fiscal problems are, in fact, bleedingly obvious. Their solutions do not require an MBA; they require suicidal political courage.

During the campaign, President Obama liked to say he was going to go “line by line through” the federal budget, keeping what works and ditching what doesn’t. The president could save himself a lot of time, and just focus on four lines--Social Security, Medicare, Medicaid, and the Pentagon.

An oddly sane Pat Buchanan observed some months ago:

Needed is a combination of big budget cuts and tax hikes. But the only place one can get budget cuts of the magnitude required is from the big entitlement programs, Social Security and Medicaid. And the only place to get revenue of that magnitude is by raising taxes on the American middle class.

You could fill Congress with 535 ex-CEOs--and they still would face the same intractable, entitlement-addicted customers.

Tags:
Mark Warner,
Pat Buchanan,
Carly Fiorina,
Meg Whitman,
Barbara Boxer,
2010 Congressional elections,
social security,
California,
Congress,
federal budget,
Medicaid,
Pentagon,
Barack Obama,
Medicare,
Mitt Romney

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Good post and generally good comments. Definitive proof that CEO types aren't necessarily fit for service in the executive or legislative branches was given us by Ross Perot. His fall from grace was the result of impatience. Used to having his orders followed without question, he became irritable when the questions started homing in on how he'd respond to "herding cats" and his responses exposed the impatience. Very unpresidential.

Galupo's point about how the president could dave time by focusing on just four lines in the federal budget is well taken, too, but demand a bit of followup.

First, it's important to remember that Social Security, Medicare and Medicaid would be history if people were paid for hard, hard work at all times. The resultant higher rewards would eliminate the need for social safety nets except for cases where clear inability to work is involved. Making good money, all working people could do their own retirement funding, their own health insurance coverage, maybe their own disability insuring. We aren't even close to that now and are gradually shifting risk to those too underpaid to handle it adequately. In his book The Great Risk Shift, Jacob Hacker makes a compelling argument that with 90% of the personal wealth in this country in the hands of fewer than 10% of the people, we're headed back in time and to well-documented failed policies, not to mention socially irresponsible ones.

Having said that, I agree that everything should be on the table when it comes to finding ways to cut government spending.

Galupo mentions the Pentagon as a fourth possibility. He stopped too soon, and in indicating just the Pentagon when there's so much more to our national security "umbrella," he overlooks a major fact of federal spending. The U.S. spends more on the combination of national defense, homeland security, nation building, foreign aid designed to gain the cooperation of other countries, and veterans affairs than ALMOST the rest of the world combined. (It spends, for instance, more than the next 45 countries in the world combined on military alone.)

Whatever assumptions lie behind those figures need thorough, open-to-all-eyes investigation whenever cutting federal spending is the issue. The world's largest debtor nation AND by far biggest spender on the five combined? A good look at revamping our foreign policy is in order, I'd say, if only to see really why it is we're always at war and always a target of terrorists.

Ron W. Smith of UT 1:22PM June 10, 2010

I agree with your observation almost completely. I'd point out that you can herd cats, if you have an electric cattle prod. Loading frogs into a wheelbarrow is another matter.

Jack of CO 12:22PM June 10, 2010

Good article. I especially liked Bob of TX analogy "herd of cats." Very apropos.

I also found your conclusion very refreshing, "You could fill Congress with 535 ex-CEOs--and they still would face the same intractable, entitlement-addicted customers."

Perhaps the media is leading us all on a witch hunt, turning over rocks (politicians) and indoctrinating us to see politians as the problem and, ironically, the only solution to the problem.

Perhaps, the problem is "We the people" and the politicians we elect and their irresponsibility are simply just a consequence of the people we've become; "entitlement--addicted customers."

Why should we be surprised at current events when an apathetic electorate fails to vote and elections are won based on the majority votes taken from the minority who vote? Essentially, William E Simon had it right when he stated, "Bad officials are elected by good citizens who do not vote."

david of ID 6:02PM June 09, 2010

Scott Galupo

Scott Galupo

Scott Galupo is a Washington-based freelance writer. He formerly worked for House Republican Leader John Boehner, and was a staff writer for The Washington Times.

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