Democrats Can’t Ignore the Economy. But Can They Survive It?

In the final stretch before the 2022 midterm elections, some Democrats are pushing for a new message that acknowledges the pain of rising prices.

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Democrats Can’t Ignore the Economy. But Can They Survive It? | INFBusiness.com

Shoppers at Hunter’s Salvage Grocery in Trenton, Ga. The cost of groceries has increased significantly since last year.

Democratic candidates, facing what increasingly looks like a reckoning in two weeks, are struggling to find a closing message on the economy that acknowledges the deep uncertainty troubling the electorate while making the case that they, not the Republicans, hold the solutions.

For some time, the party’s candidates and strategists have debated whether to hit inflation head on or to heed warnings that any shift toward an economic message would be ending the campaign on the strongest possible Republican ground. Since midsummer, when the Supreme Court repealed Roe v. Wade, Democrats had hoped that preserving the 50-year-old constitutional right to an abortion and castigating Republican extremism could get them past the worst inflation in 40 years.

That is looking increasingly like wishful thinking.

On Monday, Democrats unveiled new messages that appeared to switch tacks, incorporating achievements of the past two years with expressions of sympathy on the economy and dire warnings for what Republicans might bring.

Former Representative Steve Israel, who headed the House Democrats’ campaign arm in a strong cycle of 2012 and weak one in 2014, said the dispute over how to address voters’ economic distress was essentially being resolved in favor of trying to accomplish a political feat that he said would be the trickiest he has ever seen: Democrats would continue to hammer Republicans on abortion and their ties to former President Donald J. Trump to boost turnout among their core supporters, while simultaneously trying to win over undecided voters whose biggest concerns are inflation and crime.

“There was a narrative at one point that this was a Roe v. Wade election,” said Representative Tom Malinowski of New Jersey, whose district, newly drawn to lean Republican, has made him one of the most endangered Democratic incumbents in the House. “I never thought it was going to be that simple.”

On Friday, four veteran Democratic strategists published a piece in The American Prospect, the liberal magazine, that pleaded with Democrats to find a new message that acknowledges the pain of rising prices and answers voter concerns. To do that, they argued, candidates need to convey their legislative successes while setting up culprits other than themselves: Republicans who voted against popular measures like capping the price of insulin, and wealthy corporations that are jacking up prices and reaping more profits.

Voters “want to know you understand what is going on in their lives,” the strategists wrote. “They want to know you are helping with their No. 1 problem and have a plan. They want to know the difference between Democrats and Republicans when they cast their votes.” The piece was written by Patrick Gaspard, president of the liberal Center for American Politics; Stanley Greenberg and Celinda Lake, veteran Democratic pollsters; and Mike Lux, a senior White House aide under President Bill Clinton.

Ms. Lake, in an interview on Saturday, said Democratic strategists were “extremely concerned” that the wave of support the party saw over the summer was evaporating at the worst possible time. But she insisted there was time, with barely two weeks to go, to correct course.

“A lot of candidates aren’t really clear about what the economic message is,” she said. “What we need to do is set up a more vivid contrast. People are getting more pessimistic about the economy.”

To some Democrats, liberals and moderates alike, the reluctance of frontline candidates to talk up the party’s achievements has been maddening. Faiz Shakir, a longtime political adviser to Senator Bernie Sanders, the progressive mainstay from Vermont, called a campaign built around abortion and former President Donald J. Trump “political malpractice.”

ImageRepresentative Nancy Pelosi during a news conference on the Inflation Reduction Act.Credit…Shuran Huang for The New York Times

In two years, the party has passed a trillion-dollar infrastructure bill, a generous tax credit for parents that brought child poverty to historic lows, legislation that made good on the popular, longstanding promise to allow Medicare to negotiate lower drug prices, and the biggest investment in clean energy in history — all achievements that could be framed as helping people cope with rising prices.

An ad launched on Monday by a Democratic super PAC in the Minnesota district of moderate Representative Angie Craig makes that point. And Mr. Sanders pressed it on Sunday, on CNN’s “State of the Union,” saying Republicans have said little about what they would do, and what they have said — like forcing cuts to entitlements like Medicare and Social Security and extending Mr. Trump’s 2017 tax cuts — would be unpopular, make the problem worse, or both.

Both parties are making their final pitches ahead of the Nov. 8 election.

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“They want to cut Social Security, Medicare and Medicaid at a time when millions of seniors are struggling to pay their bills,” Mr. Sanders said. “Do you think that’s what we should be doing? Democrats should take that to them.”

But for the party in control of the White House and both chambers of Congress, finding an effective message will be difficult, if not impossible. Republicans are evincing no fears of any Democratic shifts.

“Democrats are out of time and out of solutions when it comes to fixing the rising costs they handed voters — now they’re going to pay the price at the ballot box,” said Michael McAdams, a spokesman for the National Republican Congressional Committee, the campaign arm of House Republicans.

In the 2010 midterms, then-President Barack Obama barnstormed the country with a message that Republicans had driven the country’s economy into a ditch, and Democrats had pulled the car out. Then voters delivered what Mr. Obama himself called a “shellacking,” giving Republicans 63 total seats in the House and seven in the Senate, the largest shift since 1948.

David Axelrod, Mr. Obama’s chief political adviser, recalled telling the president-elect in 2008 that Democrats would face a reckoning in 2010 after two successive wave elections and the most dire financial crisis since the Depression. After Democrats passed a huge economic stimulus bill, other economic measures like legislation to help consumers trade in their “clunker” cars for more efficient models, and a landmark regulation of Wall Street, they could say they had made progress on the economy.

“But people didn’t feel the car was out of the ditch yet,” Mr. Axelrod said, “and they were looking to the guy who was in there now.”

The lesson of 2010 was not to avoid the subject but to acknowledge the pain and set up a choice. Two years later, with the economic shock of the financial crisis still lingering, the Obama campaign made fighting for the middle class the central message of a re-election bid against a Republican candidate, Mitt Romney, who was painted as the essence of the out-of-touch plutocrat.

“It was never going to work to not talk about the economy,” Mr. Axelrod said. “That’s sort of like, ‘How was the play otherwise, Mrs. Lincoln?’”

If voter anguish in 2022 is similar to 2010, the economic issues are different. Unemployment is at record lows in several states. The issue is more a shortage of workers than a shortage of jobs. Wage growth is robust. But inflation — which lends itself to an attendant fear of the future and pervasive sense of falling behind — is a particularly destabilizing force. It helped topple Liz Truss, the British prime minister, after only six chaotic weeks, and helped usher in an Italian government that descends from Mussolini’s fascism.

Ms. Truss’s support collapsed after her conservative economic plan of tax cuts skewed to the rich sent financial markets in a tailspin. The British pound also sank to near record lows against the dollar, and economists warned of still worse inflation. Representative Ro Khanna, a liberal Democrat from California, said Democrats needed to harness that experience to point out that Republican leaders have a similar economic plan if they take control of Congress.

“The Republicans are running on an explicit promise of extending Trump’s tax cuts,” he said. “We have to frame the election as a choice on the economy.”

Mr. Khanna was campaigning for Democrats in South Carolina on Saturday. He said the party’s candidates needed to answer the inflation question by hammering home the argument that Republican fiscal policies translate to tax cuts for the wealthy and sending jobs overseas.

“We’ve got to do a better job having a clear economic message,” Mr. Khanna said. “I don’t think we can say, ‘Woe is me. Gas prices are going up.’”

But Republicans, out of power, with no responsibility for much of the legislation of the Biden era, have a ready answer, which they have used with success: All those “achievements” created the inflation problem, by stoking consumer demand at a time when supply could not keep up. The U.S. economy was not prepared for a rapid shift from fossil fuels, their argument goes, so Democratic efforts to address climate change sent gas prices soaring. And Democratic promises for still more government assistance will only keep prices rising.

Senator Mike Lee, a Utah Republican in an unexpectedly competitive re-election fight, has taken to quoting the Nobel Prize-winning conservative economist Milton Friedman on inflation repeatedly: “Consumers don’t produce it. Producers don’t produce it. The trade unions don’t produce it. Foreign sheikhs don’t produce it. Oil imports don’t produce it. What produces it is too much government spending.”

That may be oversimplified in today’s strange economy. Some price increases were triggered by supply chains snarled by the pandemic that created pent-up consumer demand after periods of confinement and shuttered factories and shipping industries that were slow to return to peak production. Tight energy supplies and ensuing gas price increases are far more attributable to the war in Ukraine than any domestic energy legislation. Inflation is a global problem that is worse in Europe and Britain than in the United States.

ImageA gas station in Wilkes-Barre, Pa.Credit…Aimee Dilger/Reuters

But most economists do believe some Democratic bills — especially the $1.9 trillion American Rescue Plan — exacerbated the problem. The $1,400 checks that most American households received in 2021 have been forgotten. Their contribution to an overheated consumer economy has not.

The latest Republican attack ads hit inflation and economic uncertainty hard and lay the blame on Democratic malfeasance, not the complexities of international commerce and conflict.

“Democrats spent two years completely ignoring the country’s single-most pressing issue because they have nothing to say. They know their policies made inflation worse and they own this economic tsunami,” said Dan Conston, head of the Congressional Leadership Fund, a powerful super PAC aligned with the House Republican leadership.

Mr. Axelrod said the Democrats’ secret weapon could be their opponents. For all the campaign ads harping on economic issues, many Republican candidates are using extreme language to spotlight more contentious issues: national abortion legislation, denying the validity of the 2020 election, and impeaching President Biden. Given some of the loudest voices in the G.O.P. seem uninterested in economic struggles, voters may not see the opposition party as a credible alternative.

But, Ms. Lake said, the Democrats need to make that case.

“There’s time; there’s money,” she said. “We’re going to be spending tens of millions of dollars on advertising in the next two weeks, and there’s vulnerability on the Republican side, but only if we articulate the contrast.”

Source: nytimes.com

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