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Does renaming of Michigan State Capitol Christmas tree show Republican-Democrat difference?

The lighted tree on the front lawn of the Michigan State Capitol has been officially renamed a Christmas tree.  It had been a Holiday tree.

This story from Lansing's WILX TV says this changed happened at the initiative of Republican lawmakers.  Why just Republicans?  Does this show a difference between them and the Democrats?

If the Democrats are so afraid of not being politically-correct, why don't they move to eliminate the celebration of the "Holidays" completely?  If they are going to call it a Holiday tree, what holidays are they talking about?

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