Wednesday, June 15, 2011

Did President Obama Make The Economy Worse

Did President Obama Make The Economy Worse. Of course Fox News and all its "fair and balanced" "reporters" and "experts" feel very deeply that President Obama did makes things worse. As usual the facts are not on their side.

Right-wing media have seized on a line from a Peggy Noonan column -- "he made it worse" -- and have begun repeating the false message that President Obama's policies have worsened the economy. In reality, there is broad agreement among economists that the stimulus boosted growth and employment, and most of the deficit is attributable to Bush policies and the recession.

[   ]...National Review: Noonan "Finds The Campaign Theme"

National Review's Ponnuru Titles Blog Post "Peggy Noonan Finds The Campaign Theme." The day Noonan's column was published, National Review senior editor Ramesh Ponnuru posted an entry to the National Review Online blog The Corner that excerpted from the column and declared that she had found the campaign theme. [National Review Online, The Corner, 6/3/11]
Fox Figures Hammer Home False Message That Obama "Made It Worse"

Doocy Touts Noonan's Claim In "Great Editorial": "It Comes Down To Four Words: 'He Made It Worse.' " From the June 6 edition of Fox News' Fox & Friends

[   ]... Charles Krauthammer: "I Think You Can Argue Strongly That The Obama Administration Made It Worse." From the June 7 edition of Fox News' Special Report with Bret Baier

[   ]...Analyses Agree: Stimulus Curbed Unemployment And Boosted Growth, And Most Debt Is Attributable to Bush Policies And Economic Downturn

Independent And Private Analysts: Stimulus Significantly Raised Employment. As Media Matters has previously documented, many analysts confirmed that the stimulus significantly raised employment. The nonpartisan Congressional Budget Office (CBO) estimated that the stimulus increased the number of people employed, as of the second quarter of FY2010, by "between 1.4 million and 3.3 million." Moody's estimated it would have created 1.9 million jobs by 2010. [Media Matters, 9/26/10]

Economists: "The Effects Of The Fiscal Stimulus" On Economy "Appear Very Substantial." Economists also agreed that the stimulus was effective. A March 2010 study in The Wall Street Journal found that 70 percent of economists surveyed said the stimulus "boosted growth and mitigated job losses." ABC News reported on February 18, 2010, that most of the economists on its panel thought the economy "would be worse today without the big aid package." And a February 2010 survey of 203 members of the National Association for Business Economics (NABE) found that "[e]ighty-three percent believe that GDP is currently higher than it would have been without the 2009 stimulus package (ARRA)." [Media Matters, 9/26/10]

Wash. Post Graphic Shows Bush Tax Cuts And Iraq Wars Contributed Most To Current Deficit. From a June 4 post on The Washington Post blog PostPolitics:

    In the debate over the nation's rising debt, rhetoric trumps reality. In January 2001, the U.S. budget was balanced for the first time in decades and the Congressional Budget Office was forecasting surpluses totaling $5.6 trillion by 2011. A decade later, the national debt is larger, as a percentage of the economy, than at any time in U.S. history except for the period shortly after World War II.


    In fact, 75 percent of the members currently serving in Congress voted for at least one -- and in most cases more than one -- of three policies that contributed to fully one-third of the $12.7 trillion swing from projected surpluses to real debt: President George W. Bush's 2001 and 2003 tax cuts, funding for the wars in Afghanistan and Iraq and President Obama's 2009 stimulus bill.

The post also included the following graphic illustrating the CBO's estimates on how much Bush's tax cuts, the wars in Iraq and Afghanistan, and the 2009 stimulus contributed to the current debt:


[The Washington Post, 6/4/11]

CBPP: "[V]irtually The Entire Deficit Over The Next Ten Years" Due To Bush Policies, Economic Downturn." The Center on Budget and Policy Priorities (CBPP) published an analysis of federal deficits in December 2009, which was updated on June 28, 2010, titled, "Critics Still Wrong on What's Driving Deficits in Coming Years: Economic Downturn, Financial Rescues, and Bush-Era Policies Drive the Numbers." The report noted:

    Some critics continue to assert that President George W. Bush's policies bear little responsibility for the deficits the nation faces over the coming decade -- that, instead, the new policies of President Barack Obama and the 111th Congress are to blame.  Most recently, a Heritage Foundation paper downplayed the role of Bush-era policies (for more on that paper, see p. 4).  Nevertheless, the fact remains: Together with the economic downturn, the Bush tax cuts and the wars in Afghanistan and Iraq explain virtually the entire deficit over the next ten years. see chart above.
Conservatives and their policies are responsible for the greatest economic down turn in American history after the Great Depression. No wonder they are desperately trying to double up on the propaganda to deflect blame.