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[Ed Note: This is the first post to run at BigGovernment. It was published two-years ago today. It still seems relevant.]

In 1995, President Bill Clinton stood before the nation and proclaimed, “The era of big government is over.” The following year, the federal budget deficit stood at 1.4% of GDP. Thirteen years later, in 2008, the deficit had doubled, to just over 3% of GDP. This year, the Congressional Budget Office estimates that the federal budget deficit will equal 11.4% of GDP.

As George Will would say, “Well.”

This is the real source of our “summer of discontent.” Yes, millions of Americans spent the month of August holding Tea Parties, attending town halls, organizing, marching and protesting against ObamaCare, i.e. Congressional and Administration proposals to reconstruct the entire health care sector. But to suggest that health care alone is at the root of this backlash is to miss the forest for the trees. To paraphrase Democrat strategist James Carville, “It’s the big government, stupid.”

Since last September when the financial markets stumbled, we’ve seen a Wall Street bailout, government takeovers of AIG, Citigroup, Fannie Mae, Freddie Mac, GM, Chrysler, and numerous banks. The Federal Reserve has opened its discount window to almost all-comers and has taken the unprecedented step of aggressively buying up the federal government’s own debt. Congress rushed through a “stimulus to nowhere,” moved closer to a “cap-and-trade” remake of the energy sector and openly talked about higher taxes and more regulation. (more…)

The all-consuming debate over health care has effectively sucked all of the oxygen out of the policy world leaving little room for discussion, let alone action on other major elements of the progressive agenda—or so it would seem.

The mammoth bills winding their way through Congress will certainly upend our health care sector, if they are enacted. Little known, however, are several provisions that will provide an enormous pay-off to one of the Democrat parties most loyal constituency—Big Labor.

The Obama campaign spent much of 2008 writing checks to various left-leaning interest groups who saw the opportunity to cash in on long-standing priorities that would finally be achievable with a Democratic Congress and a liberal president.  Now, these groups are finding that no one is available to cash these checks as long as the administration is laser focused on reconfiguring one sixth of the American economy.

But organized labor has sought to turn this situation into a new opportunity. By throwing themselves into the health care debate and mobilizing their resources behind passage of the Democrat proposal, labor has been rewarded with the ability to shape the content of the health care legislation and to begin to collect on its political debt. (more…)