The Economy: Can We Talk About the Real Issues?
The Mitt and his fellow travelers have repeatedly characterized the American Recovery and Reinvestment Act as a “failure.” The University of Chicago’s Booth School of Business conducted a poll of 44 leading economists. 80% of these professionals agreed that the ARRA lowered the U.S. unemployment rate.
So according to a moderately large group of professionals, The Mitt is lying. Again.
Then there is The Mitt’s claim that a tax cut will stimulate the economy, to such an extent that any revenue loss from the tax cut will be more than offset by increased revenue from the stimulated economy. It turns out none of the economists polled believe it.
You probably didn’t need a doctorate in economics to recognize this. It might have been true when the maximum tax rate was over 90%, but not at current marginal rates.
The Mitt hasn’t disclosed much about his economic plans, and even less that makes sense. His idea that we can increase defense spending and further cut taxes, and make up the deficit by closing loopholes is laughable. But his claim that a tax cut will increase revenue, the premise of economist Art Laffer, has been disproven many times. Most recently by former President George Bush.
The economy is stagnant and unemployment remains high for two reasons. First, the housing market is still in the tank. Second, the failure to spend enough money to reboot the economy, a result of Republican obstruction, especially in the U.S. House. And the second cause, carrying with it lower and stagnant income, has aggravated the first problem, since there is reduced demand for housing.
But The Mitt won’t talk about those real issues. Instead, he is trying to focus the election on ideas that are rejected by the majority of economists. WC suspects he knows it. But we already know The Mitt and the truth are sometimes strangers.