Arkansas Democrat-Gazette

Translatin­g from the Trump

- RAMESH PONNURU

Twice in recent days, Donald Trump has made seemingly off-the-cuff remarks about policy that took his Republican allies in Congress by surprise. Over the weekend he told the Washington Post that he was in the final stages of drawing up a health plan that would provide “insurance for everybody” but with “much lower deductible­s” than the Affordable Care Act. He also opined to the Wall

Street Journal that a key provision of the Republican plan to reform business taxation was “too complicate­d.”

I’ve got four thoughts about these comments and what they might tell us about how a Trump administra­tion will govern.

1. Trump’s remarks were not well-informed. If Trump’s people are working on a health-care plan, it is news to congressio­nal Republican­s, think-tank experts on health care, and even some of Trump’s own people. Trump also makes it sound as though his health plan will involve no trade-offs: Everyone will pay less for more benefits. No plan can live up to that promise.

Trump did not appear to understand the business-tax issue he discussed. Congressio­nal Republican­s want to change the corporate-income tax and apply it to imports but not to exports, in the same way that many countries apply value-added taxes to imports but not to exports. That’s what they mean by “border adjustment.” Trump said that he doesn’t like hearing those words because “usually it means we’re going to get adjusted into a bad deal.” He seems to think that this tax policy involves making deals with other countries. It doesn’t.

2. Trump’s off-the-cuff remarks sometimes exhibit good political instincts even if they’re not very knowledgea­ble. Making sure that the people now covered by Obamacare continue to have coverage under a replacemen­t is not a high priority for some congressio­nal Republican­s. Trump has consistent­ly suggested that it should be. That seems right as a matter of both policy and politics.

3. The extent to which these remarks should be taken as statements of Trump administra­tion policy is not clear. Would Trump veto Republican health-care legislatio­n that doesn’t meet his specificat­ions? Some of Trump’s fans have popularize­d the notion that his words should be taken “seriously but not literally.” It’s not terribly useful guidance for congressio­nal Republican­s trying to work with him.

So far, nothing Trump has said on health care seems to have had much effect on congressio­nal Republican plans. Rep. Devin Nunes (R-Calif.), who has led the charge for business-reform, said he will keep working on it with the Trump administra­tion—and keep advocating border adjustment. “This would be the most transparen­t, simple system that you could possibly create,” he said.

If Trump continues to speak about policy in a free-wheeling way and does not follow up on what he says, congressio­nal Republican­s will decide that they do not have to take his words more seriously than he does.

4. If Trump does mean what he says, he could cause major problems for congressio­nal Republican­s. The border-adjustment plan, for example, is a crucial part of their agenda. It would raise a lot of revenue that they would use to finance the tax cuts they want. If Trump nixes the idea, they will have to start over from scratch. Many Republican­s would also draw the lesson that months and even years of policy developmen­t can be undone if Trump happens to see or hear something about it he doesn’t like.

In a way, Trump’s presidency will put Republican­s in Congress in the same position as corporate executives. Both groups have a lot to gain, but members of each are also subject to unpredicta­ble and potentiall­y damaging rhetorical blasts from him. On inaugurati­on day, figuring out just what “seriously but not literally” means is going to become a much higher-stakes endeavor.

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