Republicans Blowing Smoke on Economy According to Newsweek

In an article in Newsweek’s The Gaggle on Press, Politics and Absurdity, Arthur Romano details how the Republican agenda for the economy doesn’t hold up when examined. The article is entitled “Estimates Say Fewer Jobs, Larger Deficits if Republicans Were in Charge”. Romano examines and calculates the figures based on stated Republican positions and actions they have proposed.

The article notes:

As House Minority Leader John Boehner put it in a “major economic address” on Tuesday, President Obama is “doing everything possible to prevent jobs from being created” while refusing to do anything at all “about bringing down the deficits that threaten our economy.” Elect Republicans in November, Boehner assured his audience, and we will put an end to this insanity.

There’s only one problem with Boehner’s message: so far, the things that Republicans have said they want to do won’t actually boost employment or reduce deficits. In fact, much the opposite. By combing through a variety of studies and projections from nonpartisan economic sources, we here at Gaggle headquarters have found that if Republicans were in charge from January 2009 onward—and if they were now given carte blanche to enact the proposals they want to—the projected 2010–2020 deficits would be larger than they are under Obama, and fewer people would probably be employed.

It is good to finally see some response from the media to questioning the absurd pronouncements and posturing by Republicans beyond merely quoting their phony claims. Anyone can repeat the nonsense that many Republicans and Tea Party fanatics have been spouting. It’s something else to actually look beyond the heated rhetoric and rantings of the right wing and analyze what putting these folks and their friends back in power would actually mean.

As just one example of why people should read the Newsweek article to understand just how ridiculous the Republican claims are, let’s look at the claim that extending the Bush Tax cuts for the very wealthy will help small business create more jobs.

As Newsweek notes:

“…it’s unlikely that extending the cuts for the richest Americans would have much of an effect on small-business hiring, which is a claim that Republicans make with some regularity. Why? Because of the taxpayers that report running small businesses on their taxes, only 2 percent fall into the top two income brackets.* The other 98 percent of small-business owners make less than $250,000 a year and wouldn’t pay higher taxes under Obama’s plan.

History isn’t on the GOP’s side, either. If keeping the top marginal tax rate at 35 percent—the rate under Bush, and the rate that Republicans are fighting to preserve—spurs so much hiring, why didn’t America experience any job growth at all during Bush’s time in office? And if a top marginal tax rate of 39.6 percent—the rate under Bill Clinton, and the rate that Democrats are fighting to restore—is such a job killer, why did payrolls grow by 20 percent during the 1990s?”

I urge you to read the article to get more details and understand better why the Republican economic
rantings are just a lot of smoke obscuring the reality that things would be worse off, not better if Republicans gain control of either House of Congress.  If you thought we had gridlock and weren’t getting enough done now, expect nothing to get done if Republicans get back control of either house.