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La Vie en Denial

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Posted on Nov 17, 2010
White House

By Ruth Marcus

It was, or so I thought, a dandy column idea: an imaginary, missing chapter of George W. Bush’s “Decision Points,” in which the former president would admit to having made the wrong call on taxes.

The imaginary but completely delusional: My inner Bush would not regret pushing for the tax cuts. But he would acknowledge—how hard could this be?—that Alan Greenspan was right when he suggested a trigger mechanism to cancel the cuts if the promised surplus failed to materialize.

If only ...

Of course, that surplus was a mirage. Rather than presiding over erasure of the publicly held national debt, Bush watched it grow from $5.6 trillion to nearly $10 trillion.

Like the surplus, my quasi-apologetic chapter evaporated in the face of reality. I read “Decision Points” and it turns out that Bush is the Edith Piaf of fiscal policy: He regrets nothing.

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“For years, I listened to politicians from both sides of the aisle allege that I had squandered the massive surplus I inherited. That never made sense,” Bush writes. “Much of the surplus was an illusion, based on the mistaken assumption that the 1990s boom would continue. Once the recession and 9/11 hit, there was little surplus left.”

Now he tells us? This illusory surplus was the cornerstone on which Bush built his economic policy. “You see, the growing surplus exists because taxes are too high and government is charging more than it needs,” Bush said in February 2001.

Far from sounding cautionary notes, the administration asserted its surplus estimates were, if anything, conservative. “If there’s going to be a mistake, the likelihood is a mistake will be made on the other side of the scale, that more revenue will come in,” press secretary Ari Fleischer said in March 2001. You know how that worked out.

“I took my responsibility to be a good fiscal steward seriously,” Bush writes.

How’s that? Bush chose to go to war, but, unlike any other wartime president, opted to pay the cost entirely with borrowed funds while pressing for additional tax cuts. He laments that he left behind “a serious long-term fiscal problem” of runaway entitlement spending but blames resistance from both parties in Congress—without acknowledging that he added an expensive and unpaid-for new entitlement, the Medicare prescription drug plan.

And those tax cuts. “It was true that tax cuts increase the deficit in the short term,” Bush acknowledges. “But I believed the tax cuts, especially those on capital gains and dividends, would stimulate economic growth. The tax revenues from that growth, combined with spending restraint, would help lower the deficit.”

This is cleverer than the usual supply-side formulation but still suffers from the tax-cuts-pay-for-themselves fallacy. Bush’s own chief economic adviser, Gregory Mankiw, has estimated that over the long run, cuts on investment taxes generate enough economic growth to make up only half of lost revenue.

Bush offers up a handy chart showing that he spent less (as a percentage of the economy) and ran lower deficits than his two Republican predecessors, and compared reasonably well to Bill Clinton.

Except Bush’s averages are misleading. For one thing, he cherry-picks his fiscal years. He gives himself credit for the 2001 surplus, 1.3 percent of GDP, even though that course was largely set when he took office. At the other end, Bush takes no responsibility for his piece of the ghastly 2009 deficit, 9.9 percent. Subtracting bailouts and stimulus spending, on the theory that much of the former will be repaid and the latter happened on President Obama’s watch, the 2009 deficit would have totaled 6.8 percent of gross domestic product, the largest since World War II.

More important, the trajectory tells a story that is less kind to Bush. He took office after three years in which Clinton had overseen surpluses. After 2001, Bush presided over seven straight years of deficits.

In short, Bush inherited a budget in healthy shape. He left it in tatters. The faltering economy played a supporting role, but the chief factors were of Bush’s making: his tax cuts, his wars, his prescription drug bill. Without these, the country would have been running surpluses during his tenure. The wars will wind down, but the price of the tax cuts and prescription drug bill will climb even higher over the next decade.

Some stewardship.

Ruth Marcus’ e-mail address is marcusr(at symbol)washpost.com.

© 2010, Washington Post Writers Group


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By OldManCA, November 23, 2010 at 12:03 am Link to this comment

Been a while since I looked at the comments here on truthdig. Now I see why.

We have two flaming each other - “Go Right Young Man” and “Inherit the Wind”
all I can say is get a room and leave the comments clear of your carping at each
other.

Then we have the leftist conspiracy rant of “johnnyfarout” - who thinks the Twin
Towers were brought down by the right “when it is sooo obvious that the 3
buildings were blown up by munitions” somehow he cannot accept the fact that
a crashing jet full of fuel could cause the damage it did. Sorry Johnny, but hey,
maybe you can join the second-shooter crowd, after all today is Nov. 22.

Finally the rant of “patriot101010101010” who, well I cannot begin to figure out
what point, if any, he / she was making.

Guess I’ll go back to leaving comments elsewhere as the escapees have taken
over the asylum here.  Shame. I really like Robert’s commentary on Left, Right,
& Center.

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By SteveL, November 21, 2010 at 1:14 am Link to this comment

He did actually admit to making a mistake by not getting Social Security Insurance thrown into the stock market just before the stock market crashed.

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Go Right Young Man's avatar

By Go Right Young Man, November 20, 2010 at 6:46 pm Link to this comment

ITW, - “You talked about MYRIAD issues claiming lefties aren’t against Obama on it, including Guantanamo.”

-

As I have said.  You have an incredible knack for not listening.

I did not write that there are no lefties against Obama on the various protocols.  I wrote that those protocols have been expanded by a Leftist president and congress - less the same outrage we saw directed toward his predecessor.  I doubt I could have been more clear.

The fact is, for all the talk of Neo-Con era “torture”, it is now acceptable for the more liberal minded (president and congress) to slow the rate of capturing, interrogating, and putting suspects on trial, and replace those protocols with summary executions. - There is no widespread serial outrage from the Left on these issues.  The national democratic/liberal establishment has simply, largely, remained silent.

Now, once again, if you can point me toward this national outrage, the likes of which we all witnessed during the reign of the evil Neo-Cons, feel free to bring that to my attention.

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By Inherit The Wind, November 20, 2010 at 3:07 pm Link to this comment

GRYM:
You are impossible.  You cannot micro-manage any and every thread just to achieve your particular extreme right-wing agenda, and yet you insist on the right to do precisely that.

You talked about MYRIAD issues claiming lefties aren’t against Obama on it, including Guantanamo. Gee, haven’t you been listening? Most of the things you listed have PRECISELY been listed by other posters as what they are grossly unhappy about.

But why pay attention to facts when you can make up your own? Fact: Lefties ARE complaining about Obama’s Terrorism policies in all their variations and have been for most of the last 2 years.  All you have to do is re-read the threads under “REPORTS” for the last 6 months.

And stop trying to micro-manage the agenda to suit your own parochial positions.

Where were you?

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By Go Right Young Man, November 20, 2010 at 12:34 pm Link to this comment

ITW,

That’s quite the rant.  Unfortunately it has nothing to do with anything I’ve written.

Now if you’d like to point me to the prominent liberal or progressive who’s outraged by the “constitutional crisis” or the “unjust summary executions” during the Obama administration?  You know, the subject I actually wrote of, Mo Mo?....LOL

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By Inherit The Wind, November 20, 2010 at 12:07 pm Link to this comment

Where is the serial outrage from the open-minded, peace-loving, morally superior Left?
***************

Haven’t you been reading the posts here?  The extreme Left and “Progressives” hates Obama even more than you. The Left and true “Progressives” are dismayed by him.  Only the DINOs are happy with him.

And, of course, the Re-thugs call him a “socialist”—as the head of Fox Noise did recently, just before he called all the admins at NPR nazis.

But I don’t expect you to read anything that challenges your world view, which currently includes that fallacy that the entire Left loves, adores, and sees no wrong in Obama or his policies.  Of course that’s the Fox Noise “Official Analysis”—just ask Roger Ailes who calls all the shots.

There’s very little “Left” left in Congress, and Nancy Pelosi and Harry Reid have shut down most of it.  The rest, like Feingold and Grayson, just got voted out of office.

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By Leefeller, November 20, 2010 at 10:38 am Link to this comment

Yeah! I waited in long lines to buy Bush’s book just like I did for Palins, and now the new Harry Potter Movie midnight showing,  it is well worth the long wait, to get those autographed copies signed by the main character?

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By Go Right Young Man, November 20, 2010 at 10:17 am Link to this comment

For all the past talk of hitting the reset button, Obama has quietly accepted almost the entire Bush anti-terrorism policy. There is no more bragging about closing Guantanamo, ending renditions and tribunals, ending domestic electronic surveillance, ending “enhanced interrogations or trying KSM in a civilian court; idiotic parlance like “overseas contingency operations” and “man-caused disasters” hasn’t been heard for months. We are now witnessing the surreal world of Hillary Clinton (“suspension of disbelief”) defending America’s use of force in Afghanistan against international criticism and explaining why a Petraean surge is working this time, when she is in charge of U.S. foreign policy.

When Obama urges the American people to have patience with his war plans, as he ups the number of Predator drone assassination attacks and special-forces hit missions, then we are living in quite an alternative universe to wanting all troops out of Iraq by March 2009 and declaring the Bush surge a failure.

For all the talk of Neo-Con era “torture” it is now acceptable for the more liberal minded to slow the rate of capturing, interrogating, putting suspects on trial and replacing that protocol with summary executions around the globe. - Where is the serial outrage from the open-minded, peace-loving, morally superior Left?

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By Potent_Placebo, November 19, 2010 at 11:25 pm Link to this comment
(Unregistered commenter)

Excellent toilet reading publication…. especially if
you run short of sheets.

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By James M. Martin, November 19, 2010 at 6:26 pm Link to this comment

I really must take exception to any analogy of GWB to Piaf!  But that doesn’t mean I dislike the portrait you paint of the Worst President in U.S. History.  He still is, he always will be, and that’s that.  Remember, he lied all through his run for office and eight years of disastrous policies.  So, what should we expect him to do now?  Tell the truth?  He is incapable of telling the truth.

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By tedmurphy41, November 19, 2010 at 10:19 am Link to this comment

To regret any prior action is to understand why and how it happened. It is utterly lacking with George W. Bush, given his limited intelligence and awareness of what was going on around him.

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By Face It, November 19, 2010 at 10:08 am Link to this comment
(Unregistered commenter)

Why does Bush get away with it?  Why do Republicans always get away with nonsense in a way that Democrats can only dream about?  Why do Democrats seem not to get the message out.  Even when they do something good, no one seems to hear about it.

It matters not that reporters tend to be Democrats, or at least used to be Democrats.  Republicans still control the media.  Why do they control the media?  Because, by and large, they own it.  This ownership was not an accident.  It was by conscious design, slowly buying up newspapers along with radio and television stations and then networks.

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By CATHYF48, November 19, 2010 at 9:49 am Link to this comment
(Unregistered commenter)

Johnnyfarout:

Absolutely accurate and eloquently stated

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By CATHY, November 19, 2010 at 9:36 am Link to this comment
(Unregistered commenter)

JOHNNYFAROUT:
Totally accurate and eloquently stated.

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By SteveL, November 19, 2010 at 1:25 am Link to this comment

This is just a continuation of the garbage he shoveled out during his
administration.  It is only aimed at the 20% to 30% that will believe any thing he
says.  Bush already knows that the reality based world thinks he is full of it.

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By Sam Addington, November 18, 2010 at 10:59 pm Link to this comment
(Unregistered commenter)

The best explanation I’ve ever seen for Bush’s behavior is that he is now a dry alcoholic after years of being a wet alcoholic. The alcoholic’s evasion and denial are the essence of his personality.

I’m still waiting to hear someone report on who the ghost writer was on Bush’s book—there is no way he could have concentrated to do it himself.

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RayLan's avatar

By RayLan, November 18, 2010 at 7:43 pm Link to this comment

Bushbull

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By MeHere, November 18, 2010 at 2:03 pm Link to this comment

Why should G.W. regret anything? He was raised in the universe of high-end
power, money, and militarism. The people kept him in power for two terms. And
all he got was a shoe thrown at him, which he missed, in a foreign land under invasion. It all fits well with the nation’s “vie in denial.”

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johnnyfarout's avatar

By johnnyfarout, November 18, 2010 at 12:30 pm Link to this comment

I’m going to wait to read this book once it comes out in paperback and I can buy it in a used book store, or as a remainder piled up in one of these warehouse stores around town. I have no doubt it is all lies and spin, so I can wait. I read Shivani’s review on Huffpost and it is probably the best we’ll get. I take one issue, though, that I hope all the interviewers and reviewers take up. What Bush went through and what he did on 9/11. I would focus on that, and ask what he thought went on in NYC when it is sooo obvious that the 3 buildings were blown up by munitions and how come he never thought how peculiar that was. It is my contention that a right wing coup happened on 9/11 and the violence of it has not ended. It flames across the world still today. After Bush’s deer in the headlights moment, his coterie took him aside and introduced him to his new masters, the same old masters, but now he knew his office was under their thumb, and he had nothing to offer but to do and say what they told him. He did not come up with any plans from his own head. It was fed to him and he garbled it a bit, because his borderline personality was in full retreat. He wanted to run away, but they told him God had chosen him like his Mom said. So, he went out and said unusual things in an unusual way and was probably given sedatives so he could perform just like all those Hollywood bingo bangos do on center stage. 9/11 catapulted the New American Century into action and all the key players were in place to carry the ball. Bush was shuffled along out on the field as the team made for the goalposts and it showed in all his stumbling speeches. My point is 9/11 was an astounding success. It is still a success as the republican party and all those midwestern hardware store congressional philosophers, who refuse to say what’s on their minds, to the left behinds, as the great Society smashes and grabs its way through these sort of scavenger histories, the likes of which Bush is giving us here. Mind deadening junk. We olde New Leftists had all the “cowboy and yankee” analyses long ago. We always knew the terrorists were in the Pentagon and in the CIA… and that heroin came from Afghablamastan and funded all the black ops that go on all the time, 24/7. The good ol’ boys are never gonna’ spill the beans. You have to put 2+2 together yourself and see that it equals 4 with a long shadow. Acknowledgements to Frank Zappa and Carl Oglesby … “play your harmonica son”!

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By G.Anderson, November 18, 2010 at 3:05 am Link to this comment

Just the other day, he admitted to authorizing torture….

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By diamond, November 18, 2010 at 2:33 am Link to this comment

A jackass is a jackass is a jackass is a jackass. With apologies to Gertrude Stein’s ghost.

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By Inherit The Wind, November 17, 2010 at 10:51 pm Link to this comment

The Huffpo analysis was brilliant and terrifying. The damage this evil bastard did to our nation will reverberated for decades, even worse than what Reagan did that showed the way.

If nothing else this book shows just what a sick little shit George W. Bush is, wooden, rigid, insecure, unable to defend his position in the face of challenges so he gets rid of the challenger.

I expect only Hitler, Stalin and Mao will be more ex post facto psycho-analyzed.

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By SoTexGuy, November 17, 2010 at 8:23 pm Link to this comment

Here’s the real issue.. courtesy of George Carlin..

http://www.youtube.com/watch?v=sJeFrqBJF6E

Look for and watch the whole commentary!

Adios!

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By berniem, November 17, 2010 at 5:59 pm Link to this comment

As long as this serial killer by proxy remains at large I will not again vote for Obama or any other of the pseudo-progressives that call themselves democrats.

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By squeaky jones, November 17, 2010 at 5:34 pm Link to this comment
(Unregistered commenter)

The Bush crime family is pimping, “Decision Points” on T.V. shows such as Leno, and Opray. That is horrid for Leno, and Opray to laugh, and giggle with a war criminal while countless people are killed, maimed, to include the death of other animals, and the environment is occuring while they have their laughs with George from the Bush crime family!

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