ABSTRACT

At an obvious level, large Medicare savings would be needed to balance the budget, especially with Social Security and defense off the table. The House Republican leadership, especially Newt Gingrich, also thought that Medicare and Medicaid merited independent consideration, needed more time for preparation, and might derail the contract. Midway through January, Speaker Gingrich called upon House Republicans to set up task forces to study possible reforms in Medicare and Medicaid along with budget reductions. Among Democrats, though, there were memories of 1993 when not a single Republican had voted for the Democratic deficit reduction effort. Despite advantages, the defensive strategy was inadequate by itself, in large measure because the counterpunching lacked much punch: Republicans were not listening. About the time, congressional Republicans were also going on the offensive with their public relations themes of save the Trust Fund and preserve, protect, and strengthen Medicare.