This & That!

-The “New York Times” is running a fascinating investigative piece on the burgeoning role government subsidies play in the world of business.  NYT reporter Louise Story details how cash strapped state and local governments are paying billions in incentives and subsidies to lure businesses to their communities with nothing to show in return.  Local communities find themselves cutting public services in order to afford these huge incentives.  For example, the amount of money New York City spent last year in tax credits to lure filmmakers to the city equals the cost of hiring 5,000 public school teachers.

The three part piece: “Unites States of Subsidies” runs Sunday-Tuesday.

-There are exactly four weeks left until the country plunges off the proverbial fiscal cliff.  Lawmakers return to the Hill today to resume their political dance.   Republicans are still flabbergasted by  Democrats having the nerve to offer a left leaning proposal that includes $1.6 trillion in new taxes, $50 billion in new stimulus and a provision that gives the president unlimited power to raise the debt ceiling.  After all Democrats usually start these types of negotiations by giving Republicans 70% of what they want and then in short order caving in on the remaining 30%.  But elections have consequences and 51% of the people told the president to raise taxes on the rich.

We don’t expect much to get done on this until next week.  That is when the lawmakers’ spouses will start pressuring them to get off their ass and cut a deal so they can be home for the holidays.  One thing lawmakers don’t want to do is return to Washington the week between Christmas and New Year’s.  It is always interesting to watch how deals of this magnitude suddenly come together when the procurement of available airline tickets becomes an issue.

-The Republican Caucus finally appointed a woman to a chairmanship position.  Still red faced over the optics of 19 pasty faced white guys serving as new committee chairmen for the newly “inclusive” Republican Party, the caucus appointed Rep. Candice Miller (R-MI) to head…wait for it…the House Administration Committee. 

“I’m not sure which is worse...” said one Democratic official…”refusing to have any women chair a legislative committee or only appointing a woman to chair the Congressional Housekeeping Committee.”