Defense Spending

The GOP's Plan To Avoid Defense Cuts Without Raising Taxes

Brian Beutler | February 2, 2012, 12:00PM

Senate Minority Whip Jon Kyl (R-AZ) walks from his office to a policy lunch with fellow GOP members on Capitol Hill in Washington, D.C. on September 7, 2011.

Senate Republicans unveiled a proposal Thursday to avoid or delay looming, automatic cuts to defense and security programs by reducing the federal work force by five percent and freezing federal pay for two and a half years.

In a bid to recruit Democratic support for their legislation, the authors of the plan say it saves enough money to forestall automatic cuts to domestic programs, also set to kick in on January 2013. But they continue to oppose using any new tax revenues to offset any of these costs -- and in so doing they exposed a contradiction at the heart of their fiscal policy. They oppose tax increases, they say, because of their impact on economic growth -- yet their plan to avoid tax increases involves deliberately shrinking demand for jobs.

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