PARADIGMATIC FOR THE PEOPLE:

The War on the War on Poverty: Bush's theory of domestic policy is more profound than "compassionate conservatism." (MYRON MAGNET, February 25, 2005, Wall Street Journal)

Implicit in compassionate conservatism was the epochal paradigm shift that is now all but explicit. Taken together, compassionate conservatism's elements added up to a sweeping rejection of liberal orthodoxy about how to help the poor, which a half century's worth of experience had discredited. If you want to help the poor, compassionate conservatives argued, liberate them from dependency through welfare reform; free their communities from criminal anarchy through activist policing; give them the education they need to succeed in a modern economy by holding their schools accountable; and let them enjoy the rewards of work by taxing their modest wages lightly--or not at all.

For the worst-off--those hampered by addiction or alcohol or faulty socialization--let the government pay private organizations, especially religious ones, to help. [...]

[T]he second Bush term is bringing the War on Poverty--demonstrably a cataclysmic mistake--to an end. A glance at the administration's recent budget shows the ongoing dismantling of antipoverty programs: a sharp reduction in the Community Development Block Grant, the main conduit for funneling federal money to cities; the reduction in HUD money for Section 8 subsidized housing vouchers, which abets the formation of dysfunctional single-parent families and destabilizes respectable working-class neighborhoods; and the shrinkage of ever-expanding Medicaid. Welfare is now temporary assistance in adversity, not a permanent way of life; and we can expect welfare reform's conditions to become even stricter when the 1996 Act finally gets reauthorized.

Supporters of the old paradigm are naturally apoplectic over such a transformation; and their outrage reveals just how sweeping a welfare state they really champion. As Georgetown law professor Peter Edelman, who resigned from the Clinton administration to protest the president's signing of the 1996 welfare reform, told columnist William Raspberry: "For virtually all of my adulthood, America has had a bipartisan agreement that we ought to provide some basic framework of programs and policies that provide a safety net, not just for the poor but for a large portion of the American people who need help to manage." How large a portion? Well, figures Mr. Raspberry, "the lower third of the economy." Think about that: nearly 100 million Americans as clients of the federal government. This is not temporary assistance but a European-style "social-democratic" (that is, socialist) welfare state. It is the political culture of America's old cities, with their hordes of government-supported clients, employees, and retirees--a culture that has produced slow or negative job and population growth. And this is exactly what the Bush administration does not want.

The failure of the European model, explicitly based on the belief that free-market capitalism is dangerous and needs to be tied down with a thousand trammels, like Gulliver, is one of the signal facts of our era, along with the failure of communism. In Europe, the idea that capitalism creates a permanently jobless class has become a self-fulfilling prophecy, as strict regulation and the high taxes needed to pay lavish welfare and unemployment benefits have resulted in half the U.S. rate of job creation, twice the rate of unemployment, and thus little opportunity.

Meanwhile retirees, often young and vigorous, go off for government-funded visits to health spas at taxpayer expense. Even if this were morally sustainable, it is not economically so, as even Gerhard Schroeder has learned. But with so many voters on the dole, or employed by the government to administer the vast welfare-state apparatus, who knows whether reform or collapse will occur first?

It's in this context that we should understand President Bush's campaign for Social Security reform. It is part of the large and coherent world view that has evolved out of compassionate conservatism.

While the Democratic version of same--the Third Way--has become extinct.

Posted by Orrin Judd at February 25, 2005 1:20 AM