Skip to main content
Part of complete coverage on
 

Why Mitt Romney is losing

By Reihan Salam, CNN Contributor
updated 11:22 AM EDT, Fri August 10, 2012
Mitt Romney visits a cornfield in Des Moines, Iowa, on Wednesday as his campaign struggles to gain momentum..
Mitt Romney visits a cornfield in Des Moines, Iowa, on Wednesday as his campaign struggles to gain momentum..
STORY HIGHLIGHTS
  • Reihan Salam: The scars of the GOP primaries are dragging Mitt Romney's candidacy down
  • He says Romney moved to the right to win over conservatives, now lacks centrist appeal
  • A variety of innovative ideas could have broadened his appeal, Salam writes
  • Salam: Taking on big banks and cutting energy subsidies would be smart policies for Romney

Editor's note: Reihan Salam, a CNN contributor, is a columnist for The Daily; a writer for the National Review's "The Agenda" blog; a policy advisor for e21, a nonpartisan economic research group; and co-author of "Grand New Party: How Conservatives Can Win the Working Class and Save the American Dream."

New York (CNN) -- Mitt Romney spent weeks battling Rick Santorum and Newt Gingrich for the Republican presidential nomination, and he faced blistering attacks from Rick Perry and other GOP rivals along the way. And now he is paying the price.

CNN Poll: Obama holds 7-point lead over Romney

Romney's failure to surpass Barack Obama this summer stems in no small part from his reluctance to make any bold moves on policy, and this reluctance is a direct product of the beating he's taken from conservative critics for much of the last year.

The basic rap on Romney -- who represented, let us not forget, the conservative alternative to John McCain during the 2008 race for the Republican presidential nomination -- was that he wasn't sufficiently conservative. To reassure conservative primary voters, Romney embraced positions on a wide range of issues, from immigration to taxes, that are more popular among reliable Republicans than among swing voters.

Opinion: Reid's Romney smears an insult to voters

Reihan Salam
Reihan Salam

As the political analyst Sean Trende, author of "The Lost Majority," has argued, the central dilemma facing the Romney campaign is that it has essentially secured all of the low-to-medium hanging fruit for a Republican presidential candidate by condemning Obama's economic record. Yet this hasn't been enough to give Romney a lead over the incumbent president.

Indeed, there is at least some reason to believe that the Romney campaign is losing ground. This strongly suggests that the GOP needs a more positive message with crossover appeal. The trouble, of course, is that Romney's efforts to inoculate himself against charges of squishiness have made it very difficult for him to pivot to the center.

What might a more daring Romney campaign have looked like?

Truth about Romney campaign welfare ad
Romney accused of tax shelter role
Gingrich challenged on Romney ad
Bill Burton responds to ad controversy

A more populist Romney campaign would spend time and money bashing the big banks. While Romney has called for repealing the Dodd-Frank Act, the centerpiece of Obama's fitful efforts to reform Wall Street, he hasn't provided much in the way of detail regarding how he'd address the too-big-to-fail problem. Given that anger against taxpayer-funded bank bailouts helped fuel the rise of the tea party movement, and in turn the Republican congressional victories of 2010, this constitutes a serious strategic mistake.

Recently, the right-leaning Government Accountability Institute, led by Peter Schweizer, author of the muckraking manifesto "Throw Them All Out," issued an incendiary report that accuses the Obama administration of neglecting financial fraud prosecutions because of the deep ties between senior Justice Department officials and the uppermost echelons of the financial sector. This is the kind of argument that might resonate among voters reconsidering their 2008 vote for Barack Obama.

Yet this argument would need to be connected to a clear policy narrative about what a Republican president would do to take on the power of the big banks. A number of conservative and libertarian thinkers -- including James Pethokoukis of the American Enterprise Institute; Thomas Hoenig, former Fed governor and FDIC director; and Luigi Zingales of the University of Chicago Booth School of Business -- have called for breaking them up by implementing a modernized version of the Glass-Steagall Act, the Depression-era law that created a strict wall of separation between commercial and investment banking.

Sebastian Mallaby of the Council of Foreign Relations, a market-friendly centrist perhaps best known for his exhaustive history of the hedge fund industry, "More Money Than God," has even argued that investors might welcome a bank break-up.

Opinion: Will Obamacare raise the price of your pizza?

Leaving aside the substantive merits of this and other proposals designed to curb the too-big-to-fail phenomenon, this is an accessible idea that would help Romney play against type. So it has come as a disappointment to many on the right that the Romney campaign has been dismissive of the idea.

This could reflect a conviction on the part of the candidate that Wall Street is not in need of a radical overhaul. Or, more cynically, the Romney campaign might be reluctant to alienate influential Republican donors in the financial services industry. Yet the decision to tread lightly on financial malfeasance might cost Romney the election.

Romney's evolution on tax policy is also telling.

During the 1996 New Hampshire GOP primary, Romney, a private citizen at the time, paid for an advertisement criticizing Steve Forbes' signature flat tax on the grounds that it was a giveaway to the ultra-rich. And his original 2012 tax proposal was a fairly modest one, which called for extending the Bush-era tax cuts while also eliminating taxes on capital gains, dividends and interest for married couples earning less than $200,000.

The idea was that this would be a prelude to a larger tax code overhaul. But when Romney feared that Rick Santorum might defeat him in Michigan's crucial Republican primary, he released a far more ambitious, and far more expensive, tax cut proposal that is being criticized as pie-in-the-sky.

Rather than campaign on a deep tax cut that would benefit high-earners, the Romney campaign might have instead championed a revenue-neutral tax reform that cut taxes dramatically on families with children while effectively raising them on childless high-earners.

In effect, this would recognize that parents are making a significant investment in America's economic future and that this investment should be treated favorably. This idea has been championed by conservative policy entrepreneurs such as Ramesh Ponnuru of National Review and Robert Stein, a veteran of George W. Bush's Treasury Department, yet it has met with fierce resistance from The Wall Street Journal editorial board, which sees it as an unjustifiable tax giveaway that is an unhelpful distraction from the need to cut marginal tax rates.

In choosing to embrace the Journal's view, Romney may have sacrificed an opportunity to connect with cash-strapped middle class parents, including many independents and Democrats.

Recently, Eli Lehrer of the pro-market R Street Institute made another suggestion: Instead of simply attacking federal loan guarantees for clean-tech firms such as Solyndra, the federal government should get out of the business of subsidizing the energy sector entirely. Clean-tech subsidies would go, but so would subsidies in the tax code that benefit the oil and gas industries. It is an idea that could in theory appeal to environmentalists, and it would demonstrate that Romney's criticisms of Solyndra aren't just political posturing.

Right now, the Romney campaign seems to believe that it can defeat Obama by running a conventional and cautious campaign. But as the weeks go by and the president's lead remains frozen in place, this is starting to look like a bad bet.

Follow @CNNOpinion on Twitter

Join us at Facebook/CNNOpinion

The opinions expressed in this commentary are solely those of Reihan Salam.

ADVERTISEMENT
Part of complete coverage on
updated 4:47 PM EDT, Wed July 9, 2014
World War I ushered in an era of chemical weapons use that inflicted agonizing injury and death. Its lethal legacy lingers into conflicts today, Paul Schulte says
updated 5:53 PM EDT, Wed July 9, 2014
Mel Robbins says many people think there's "something suspicious" about Leanna Harris. But there are other interpretations of her behavior
updated 4:06 PM EDT, Wed July 9, 2014
Newt Gingrich warns that President Obama's border plan spends too much and doesn't do what is needed
updated 1:53 PM EDT, Wed July 9, 2014
Amy Bass says Germany's rout of Brazil on its home turf was brutal, but in defeat the Brazilian fans' respect for the victors showed why soccer is called 'the beautiful game'
updated 1:54 PM EDT, Tue July 8, 2014
Errol Lewis says if it really wants to woo black voters away from the Democrats, the GOP better get behind its black candidates
updated 5:07 PM EDT, Wed July 9, 2014
Aaron Carroll explains how vaccines can prevent illnesses like measles, which are on the rise
updated 8:08 PM EDT, Tue July 8, 2014
Aaron Miller says if you think the ongoing escalation between Israel and Hamas over Gaza will force a moment of truth, better think again
updated 6:41 PM EDT, Tue July 8, 2014
Martin Luther King Jr. fought and died so blacks would no longer be viewed as inferior but rather enjoy the same inherent rights given to whites in America.
updated 7:47 AM EDT, Wed July 9, 2014
Alex Castellanos says recent low approval ratings spell further trouble for the President
updated 11:49 PM EDT, Tue July 8, 2014
Paul Begala says Boehner's plan to sue Obama may be a stunt for the tea party, or he may be hoping the Supreme Court's right wing will advance the GOP agenda that he could not
updated 12:59 PM EDT, Sun July 6, 2014
The rapture is a bizarre teaching in fundamentalist circles, made up by a 19th-century theologian, says Jay Parini. It may have no biblical validity, but is a really entertaining plot device in new HBO series
updated 1:49 PM EDT, Mon July 7, 2014
Ruben Navarrette: President Obama needs to send U.S. marshals to protect relocating immigrant kids.
updated 3:03 PM EDT, Tue July 8, 2014
Norman Matloff says a secret wage theft pact between Google, Apple and others highlights ethics problems in Silicon Valley.
updated 6:37 PM EDT, Tue July 8, 2014
The mother of murdered Palestinian teenager Mohammed Abu Khder cries as she meets Palestinian president Mahmoud Abbas in Ramallah, West Bank on July 7, 2014.
Naseem Tuffaha says the killing of Israeli teenagers has rightly brought the world's condemnation, but Palestinian victims like his cousin's slain son have been largely reduced to faceless, nameless statistics.
updated 4:28 PM EDT, Wed July 9, 2014
Danny Cevallos says charging the dad in the hot car death case with felony murder, predicated on child neglect, was a smart strategic move.
updated 9:26 AM EDT, Tue July 8, 2014
Van Jones says our nation is sitting on a goldmine of untapped talent. The tech companies need jobs, young Latinos and blacks need jobs -- so how about a training pipeline?
updated 9:09 AM EDT, Mon July 7, 2014
A drug that holds hope in the battle against hepatitis C costs $1,000 per pill. We can't solve a public health crisis when drug makers charge such exorbitant prices, Karen Ignagni says.
updated 7:33 AM EDT, Mon July 7, 2014
Julian Zelizer says our political environment is filled with investigations or accusations of another scandal; all have their roots in the scandal that brought down Richard Nixon
updated 2:14 PM EDT, Sun July 6, 2014
Sally Kohn says Boehner's lawsuit threat is nonsense that wastes taxpayer money, distracts from GOP's failure to pass laws to help Americans
updated 11:26 AM EDT, Mon July 7, 2014
Speaker John Boehner says President Obama has circumvented Congress with his executive actions and plans on filing suit against the President this month
updated 9:31 AM EDT, Mon July 7, 2014
Hands down, it's 'Hard Day's Night,' says Gene Seymour-- the exhilarating, anarchic and really fun big screen debut for the Beatles. It's 50 years old this weekend
updated 6:01 PM EDT, Wed July 2, 2014
Belinda Davis says World War I plunged millions of women across the globe into "men's jobs," even as they kept home and hearth. The legacy continues into today.
updated 2:24 PM EDT, Thu July 3, 2014
Pablo Alvarado says all the children trying to cross the U.S. border shows immigration is a humanitarian crisis that can't be solved with soldiers and handcuffs.
updated 7:51 AM EDT, Thu July 3, 2014
Elizabeth Mitchell says Frédéric Auguste Bartholdi dreamt up the symbolic colossus not for money, but to embody a concept--an artwork to amaze for its own sake. Would anyone do that today?
updated 12:01 PM EDT, Wed July 2, 2014
Wendy Townsend says Jamaica sold two protected islands to China for a huge seaport, which could kill off a rare iguana and hurt ecotourism.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT