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Mid mid-term delusions

Posted: December 27, 2009 9:49 p.m.
Updated: December 28, 2009 4:55 a.m.
 
Kevin Buck ("Mid mid-term political musings," The Signal, Dec. 15) emblematized liberals' gossamer grasp of facts and economics.

To facts: Mr. Buck advises us that "To retake the majority in 2010, the GOP must win 82 seats in the House and 21 seats in the Senate."

Fuzzy math aside, the Republicans have 178 seats in the House; if they win 40, they will have a majority of 218. In the Senate, the Republicans have 40 seats; picking up 11 will give them a majority of 51.

To economics: Mr. Buck pipe dreams "...Democrats using Keynesian deficit spending to (successfully) halt the recession. ..." An unemployment rate of 10 percent (really 17 percent) and a one-year deficit of $1.5 trillion is a success? What must a failure be?

A brief history: in 1932, FDR instituted Keynesian deficit spending during the Great Depression. The result? In 1939, his Treasury Secretary, Henry Morgenthau, admitted in a speech that it had been a total failure, as did his chief economic advisor, Rexford Tugwell, in his 1972 memoirs.

Deficit spending in the 1970s brought us four recessions, each worse than the previous, culminating in Carter's claim to fame: double digit inflation, interest rates and unemployment.

This was all swept away when Reagan instituted supply-side economics, resulting in a decades-long boom. In the late ‘80s, Japan instituted deficit spending; the result was the worst of both worlds, a debt amounting to 200 percent of GDP and no growth.

Since then, both Greece and Dubai have followed the same path with the same results.

In contrast, supply-side economics were successful for Presidents Coolidge, Kennedy, Reagan, and Bush - a success rate of 100 percent vs. a 100 percent failure rate.

To quote P.J. O'Rourke: "Giving money and power to government is like giving whiskey and car keys to teenage boys."

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