European Stars and Stripes (Newspaper) - February 03, 1992, Darmstadt, Hesse                                Monday february 3, 1992 the stars and stripes a Page 13 commentary Haynes Johnso America knows state of the Union is dismal in this season of discontent people ask what a wrong with America. They need look Only at the state of american politics and the presidential election process. It is dismal and All America knows it. This past week was filled with prime and dismaying examples about both democrats and republicans a and again the Media. For democrats recent events could hardly be More dispiriting. After losing five of the last six presidential elections and last winning the White House 16 years ago by a scant 2.1 percentage Points their prospects were the brightest since 1976. Virtually All of the issues were breaking their Way the longest recession since world War ii grips the nation. Public Confidence in the future erodes. Cries for bold Domestic action Are heard everywhere. The sitting Republican president Falls dramatically in the polls while the 11-year record of the Reagan Bush years provides powerful political ammunition. Voters demand change and appear ready to re examine the idea that government must play a vital role in rekindling economic growth. Ana in a major shift polls indicate that voters believe that democrats Are More capable of handling the nations economic affairs than republicans. If democrats can to capitalize on these conditions they done to deserve their status As the nations largest oldest political party which has forged a proud record in dealing with Domestic crises but just when one of their promising new Young candidates is establishing himself As their Leader just when voters Are beginning to think positively about Awilliam f. Buckley or. Democrat in the White House again along comes a Marla Maples look alike followed closely by the baying Media horde to divert attention from such mundane things As recession and the nations economic future. In the Days preceding the state of the Union address the Media spotlight fell most glaringly on Arkansas gov. Bill Clinton and the sordid and unproven talc of sex Cash and audio tapes not on president Bush and his problems. Result another apparent democratic front Runne totters. This immediately stirs behind the scenes stratagems about better known democrats entering the race if Clinton a wounds prove politically fatal. Such names As Mario m. Cuomo Richard a. Gephardt Lloyd Bentsen and Albert Gore or. Are floated. These of course along with Bill Bradley John d. Quot Jay Rockefeller in Sam Nunn and oter democrats of solid National reputation Are the very people who chose not to run for president. That happened while Bush still Rode High on a Rush of postwar Goodwill before the Economy brought his popularity rating to new lows in recent months. Failure of the democratic party a stalwarts to offer National leadership paved the Way for a Field of candidates largely unknown and untested in the minds of voters. Republicans internal wrangling also has been self destructive. Before his nationally televised address tuesday night Bush was taking heavier blows from within his party than from democrats. He also was contributing immeasurably to his problems by his unsure Campaign behaviour in the weeks before the speech. Those were the same weeks in which he repeatedly raised Public expectations about his address. Politically the state of the Union speech served Bush Well but probably Only temporarily. He looked far More assured and in command he delivered it Well especially compared with his stumbling Campaign appearances in new Hampshire last month. There were pleasing notes and politically appealing ones notably the tax Breaks for first time homeowners and students battling heavy loan Bills. But the speech also demonstrated Why people Are so turned off by Washington a political performances and rhetoric. Perhaps Only a Roosevelt Ian summons to arms could have fulfilled the highly exaggerated Advance claims for this speech As the seminal defining signal for the remainder of the Bush presidency. It was not the Sermon on the mount. U was not bold. It did not break new ground. It was Replete with the familiar laundry list of National goals and objectives that Are Standard fare for such presidential addresses. Most important it did not Rise to the moment. It failed to convey the sense of urgency that the economic morass requires. It failed to contain the kind of specific proposals that fearful and troubled voters hunger to near from their president. Once again americans Are left to Ponder the Prospect of a democratic party that cannot seem to avoid self immolation and a Republican president who cannot summon concerted action in a time of crisis. C the Washington Poat boat builders can teach a valuable lesson Quot reap his ups Hong wipes the probability is High that one week after president Bush a speech on the state of the Union not one voter in so will remember the salient parts if it can be said that there were salient parts. It will All dissolve in partisan Bifurcations the democrats talking about fairness the republicans about the need to set moving. Bush has said that if by March 20 his Agenda is not enacted he will declare War on Congress presumably without congressional approval. If he pursues his threat this time without the Aid of 550,000 troops headed by Gen. Norman Schwarzkopf there Are those who would be grateful if he undertook to make certain clarifications. On the whole matter of fairness surely republicans and democrats ought to insinuate into the Public discussion the primary postulate of free economics which is that what you earn is supposed to be yours and that therefore what the government takes from you is an exaction. It is increasingly difficult to hang on to capital in America and it pays to remind ourselves that 25 percent of those who Are classified As Rich fall from affluence every year. It is As simple As this the Dollar earned if it is a dividend is first taxed to the corporation reducing it to about 60 cents. Then it is taxed to the individual reducing it to about 42 cents. It then reduces in value every year by the amount of that years inflation on average about 5 percent reducing it to 39 cents. Then when you die state and Federal taxes will move in to the extent of about 65 percent reducing it to 25 cents less the cumulative inflation. Lord Percy of Newcastle in his famous essay declared that it is the purpose of socialist policy to Render property forever insecure. He might As Well have been talking about democratic congresses. Now on the matter of fairness we have a wonderful illustration before us of the duplicity of democratic thought. It is everywhere conceded that the luxury tax on boats is going to be repealed. What repeal the tax on the item most clearly associated with conspicuous consumption luxury boats Why that luxury tax is a Mere 10 percent of the sum Over $100,000, so that for instance the luxury boat that costs $300,000 under the new Law is taxed a Mere $20,000. Big Deal. A but it transpires that the boat buying Public has dug in its heels. Buyers have cancelled boat orders citing the Burden of the tax. Others have closed the door on the visiting broker or Salesman. And who is up in arms in Maine Why boat builders. They Are More numerous. There per capita than in any other state. And they most of them unemployed want that tax repealed and done to want any arguments on the subject. And guess who is going along on the repeal of that tax no other than or. Fairness himself George Mitchell. He is even willing to interrupt his filibuster against a reduction in the capital gains tax for just Long enough to come out in favor of a repeal of the luxury tax. But of course the reasoning of Bush and of most economists and of the Legislatures of Japan Germany France Canada Sweden reflects exactly what the boat builders of Maine have concluded in the Case of capital gains that extra inducements Are needed in order to persuade americans to risk their savings on entrepreneurial activity. In 1986, 600,000 companies were capitalized by americans willing to take risks. During the �?T80s, 20 million new jobs were created. Are we talking about fairness Bush and his supporters should emphasize the two Points the first that governments should begin by being apologetic about the Money they take from those who have earned that Money and that it is an affront on the principle of equal treatment under the Law to penalize Mary More heavily than John just because she earns More Money. And secondly the republicans should stress that experience tells us every Day the same thing the boat builders of Maine have teamed a learning that has reached even the theretofore impenetrable mind of their Junior senator a that marginal impositions act As drags on economic Speed As surely As accretions on the Hull of a racing boat guarantee to slow it Down. C Universal press Syndicate