EXECUTIVE SUMMARY

1996 National Public Policy Education Conference

Changing Federalism

When President Clinton boldly announced the era of big
government is over, he was acknowledging a reality demonstrated in
citizens’ recent anti-government, anti-,s/e//wʌ quo voting patterns.

Thirty years ago, nearly 80 percent of voters were confident
government would do the right thing most of the time. Now, fewer than
20 percent have that trust.

Causes for this decline in support include:

■ Hyperpluralism...interest group politics. Too many groups
think of government only in terms of the benefits they can secure.
Individually, these interests may be meritorious. Together, they break
the bank.

By limiting the life’s blood going to any program, these groups
cripple government through overextension. New priorities go unmet.

■ Congress’ promising too much...essentially and eventually
discrediting government.

Deficits have dominated public policy considerations for more
than a decade.

The public now is demanding programs be honestly financed and
it’s recoiling from the creation of new bureaucracies. But existing
programs aren’t subject to the same budgetary discipline.

With entitlement spending, for example, Democrats mostly have
done cost shifting that’s accomplished little. Republicans have bravely
attempted to stem growth, but foolishly tied it to huge tax breaks.

Medicare funding has been maintained by cutting spending on
such domestic programs as housing, human services and urban
development. Still, Medicare will be insolvent by the year 2001.

■ State and local governments’ surprising readiness for the
devolution of federal government. In many ways, they are ahead of the
federal level, experimenting with new approaches to putting a safety net
under the needs of low income and senior citizens.

Odds favor the Republicans’ retaining control of Congress for
awhile. But voters may need a new generation or political party for
leadership as state and local governments absorb more challenges.

The emphasis will not be whether there will be cuts, but rather by
how much. Change is here to stay.

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