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  • No Defense for Obamanomics

    Laura Tyson’s “In Defense of Obamanomics” in the Wall Street Journal Monday well portrayed the view of history and government from the classical American socialist perspective – more government is inherently better (except when it involves national defense), higher taxes are inherently better, especially when falling on the most productive, and citizens really can’t get along adequately without giving up more freedoms to the nanny state.

    Nowhere is this perplexingly twisted view of reality made more clear than in her statement that “the strong expansion of the 1990s proves that the tax rates on income, capital gains, and dividends in the Obama budget will support {italics added} rapid economic growth and substantial income gains at the top.” Conservatives have often been accused (sometimes fairly) of arguing that tax cuts pay for themselves. Ms. Tyson is now arguing a converse point: Less after-tax income at the top means more after-tax income at the top. Alice, you’ve escaped from Wonderland.

    In fact, as I pointed out in detail in a paper last year, the Clinton tax hikes (which Obama would reinstate and build on) reduced the economy to anemia through the first Clinton term. The “strong expansion” didn’t occur until congressional Republicans forced the President to restrain spending and cut taxes.

    Some of Ms. Tyson’s assertions are simply a matter of opinion on which even unreasonable people may disagree. For example, she calls “fair and reasonable” the now largely dead proposal to cap the deduction for charitable contributions. I would label this unfair and absurd, and since the proposal was almost DOA, it appears the country may agree with me more than with Ms. Tyson.

    Other assertions would fail the laugh test even if published in the Gray Lady including her statement that the Obama budget will not “explode the size of government as some critics warn”. Let’s see: massive increases in education spending; even more massive increases in health care spending as the President marches audaciously down the road toward nationalized health care; and a complex and wildly expensive new system of government levers called “cap and trade” to manipulate the economy according to new government dictates.

    Ms. Tyson lauds the president’s leadership skills. I hope she is right, because he is going to need all those skills in digging out of the hole he created with his first budget.

    Posted in Ongoing Priorities [slideshow_deploy]

    11 Responses to No Defense for Obamanomics

    1. Franklin's Lock says:

      It amazes me when Liberals express their policies with revisionist history. Without revising what actually happened, none of the policies, programs, or ideals look good historically. Without the truth and facts, Liberalism sounds great. When it is applied and the results are viewed, it is appalling. So, Ms. Tyson must revise what actually happened during Clinton’s administration and must completely misrepresent Obama’s economic policy and history, so it seems like he is doing a great job and this will work.


    2. Terri McCormick (for says:

      It would appear that the stimulus is like manure, where it is spread – things will grow.

      The benchmark question is this; "What are we growing?" and "How are we measuring these things?"

      What is needed is a jobs report on each and every earmark and quasi stimuli that costs money. If we can not count the jobs rising and growing with the "stimulus manure" … the fertilizer of cash – we went down the wrong path…

      Let us count the jobs – so that we can fix what happens …

    3. ra,ohio says:

      The present administration is preying on the ignorant.

      We informed individuals are incensed at what is going on right before our very eyes, and we can't do anything about it for two years.

      I hope we remember what is happening to us, and this country, when the next election rolls around.

      There are people out there that can't name the vice president.

      Ignorance is a formidable enemy.

    4. Jerome Zacny says:

      Obama's inexperience and lack of expertise with the economy cannot have beeen more clearly demonstrated. Every time he opens his mouth, the market drops another 300 points.

      In his blind obsession to to pursue his socialistic goals he, with the approbation of a veto-proof Congress, is "leading" us into a terrible economic depression. Even his hand picked economic maven, Warren Buffet, hasn't been able to convince him to shelve his national health care and education initiatives and focus on restoring, at least to some degree, our rumbling national economy. This man's inexperience and stubborness are ruining us.

      I don't care if he inherited this mess, he needs to fix it, now. Where are his "shovel ready" projects that were going to put people to work immediately? Where are the announcements that the government has cleared the way to begin immediate construction of 20 or 30 new nuclear power plants around the country? Where are the government mandates that by Jan.1, 2012, all automobiles in the U.S. be switched to burning natural gas instead of gasoline and that all gas stations be required to supply natural gas? I seem to remember T. Boone Pickens saying something about a switch from gasoline to natural gas because it was 40% cheaper and that the U.S. had more of it than anyone else. And I also remember Mr. Obama saying the same thing during the campaign. These are projects that would creat tens of thousands of jobs. So where are they?

      Instead of putting government money behind these projects, Mr. Obama wants to nationalize health care, and the banks and the educational system. If he is as successful with these projects as he has been in fixing the economy, the country will be hopelessly in debt for generations and nothing will have been accomplished.

    5. mike baker Dallas C says:

      WSJ? Are you sure they didn't lift it from the Onion?

    6. Lynn B. DeSpain says:

      If it weren't so sad, this Obama era would make a wonderful comedy!

      If it looks like a Duck, walks like a Duck, Quacks like a Duck,

      Its a Duck.

      If it looks, walks and talks like a Socialist, then it is!

      If it looks, walks and talks like a Fascist, then it is

      And if it looks, walks, talks like a Racist, it is.

      So what do we have as a President? A duck walking, socialist, Fascist, Racist, who somehow believes that he is the Second Coming, and that his personal I.Q. is four digits!

      Makes me worry, do we really have that many two digit I.Q. voters in this Country?


    7. Dennis A. Social Cir says:

      Well said Lynn B.He is what he is and it stinks like the pig poop he wants to study in Iowa.

    8. Tom,Scottsdale says:

      No one goes to micro economics to see where were heading. I'm in the group that is going to pay for the recovery. I no longer tip (except in my regular spot) my charitable contribution is down 60% and going down. I must save for the medical procedure that will be denied and given to a younger illegal(gov run healthcare). Also one of my three small business is shut (people out of work). One of my others is shut down and waiting for intelligence in government.

    9. Tim AZ says:

      Ms. Tyson is crazy. A crazy fruitloop from the leftward land of sillyness.

    10. Mike Sheahen, Hickor says:

      "Ms. Tyson lauds the President's (Obama's) leadership skills. I hope she's right because he's going to need all those skills in digging out of the hole he created with his first budget".

      Hello! Is anybody home?

      Hey! Obama and his Comrades are the ones "digging" the "hole", so how is it that he's supposed to "need all those (leadership) skills in digging out of the hole he created with his first budget"?

      Of course, according to Obama and his Comrades in government, academia, the media, and elsewhere, any such "hole" and "mess" is "inherited" from the venemously hated "Bush" and is therefore all his fault, don't ya know, even while they are the ones digging the "hole" and making a "mess" of things with their Socialism which they continue to simultaneously deny yet perpetrate.

      Indeed the Socialist Left (including Obama, Reid, Pelosi, and their Comrades) will endlessly, irresponsibly, and recklessly continue blaming both Bush and anybody else except themselves for the destructiveness of their Socialism, even while they are in fact the ones digging the deepest and biggest "hole" and "mess" with their definitively Socialist government elitist power and money-grabbing, multi-generational freedom and prosperity-robbing policies, taxing, spending, and debt.

      If this is "a little strong", well, there is not, in fact, any defedning Socialist government elitist "Obamanomics", and, since such Socialism as "Obamanomics" is a consequence of the '08 elections, not only is there therefore also no defending "middle-of-the-road" (roadkill) "punch pulling" collaborating and fraternizing in this war of ideas, and collaborating and fraternizing RIPO (Republican In Party Only) candidates, but neither our individual freedoms and resources nor those of our nation, can afford them any longer.

    11. dave NJ says:

      I see how obamas already started to reform eduacation.Now 1800 inner city kids have to go back to the failing dc public schools where they'll learn less for twice the money.

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