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Thursday, August 28, 2008
Steve Chapman :: Townhall.com Columnist
Obama and Big Government
by Steve Chapman
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There are no disciples of small government in the Democratic Party, and Barack Obama fits right in. His economic program is based on the assumption that the economy is to the president what a marionette is to a puppeteer, requiring his direction and responding to his every wish.

Anyone partial to free markets, restrained government, fiscal discipline and light taxation approaches a Democratic nominee's economic platform with trepidation, expecting one fright after another. Obama does not disappoint.

He offers a long list of things the federal government should be doing to rearrange the nation's productive sector -- paying U.S. automakers to build fuel-efficient vehicles, confiscating allegedly excessive oil profits, and spending hundreds of billions to create jobs in environmental and infrastructure industries. Democrats have not given up their basic faith that the market, while useful, is always in need of Washington's whip hand.

In his windfall profits tax plan, Obama puts aside the troublesome fact that the last time we tried it, at the behest of President Carter, the tax yielded far less revenue than projected while reducing domestic energy production. And if Detroit didn't bother to invest in fuel-efficient cars when Honda and Toyota did, why should it get a $4 billion reward for its failure?

But saying a Democrat believes in big government is like saying that Chicago winters are cold -- true, but inadequate. Some winters are more bone-chilling than others, and some Democrats are worse than others. There are grounds for gloom with Obama, as there would be with anyone nominated by the party of FDR and LBJ. But there are some reasons to hope he will be less bad than most:

--He's liberal, but not that liberal. Contrary to the famous National Journal ranking that put him most leftward in the entire Senate, another study found he is really the 11th-most liberal. In the primaries, when Democratic candidates are under the most pressure to veer left, he insisted on hewing closer to the economic center than Hillary Clinton or John Edwards -- even when it exposed him to charges that he didn't support the holy grail of universal health care.

Obama did pander to the left's phobia about globalization by villainizing the North American Free Trade Agreement. But as soon as he had the nomination locked up, he confessed to Fortune magazine that his NAFTA rhetoric had been "overheated and amplified."

Organized labor howled about "corporate influence" when Obama hired Jason Furman as his chief economic adviser. Among Furman's sins is his longtime association with Clinton Treasury Secretary Robert Rubin, who pushed President Clinton to emphasize deficit reduction rather than big new spending programs.

--He's open to evidence. The New York Times recently reported that Obama "likes experts, and his choice of advisers stems in part from his interest in empirical research." Nobel laureate economist James Heckman of the University of Chicago, who was asked for input on education policy by Obama's advisers, told the Times, "I've never worked with a campaign that was more interested in what the research shows."

That would be a change not only from more doctrinaire liberals but also from the Bush administration, which has never been exactly obsessed with real-world data. If Obama were a true believer, he wouldn't care so much about evidence.

Boston College political scientist Alan Wolfe says, "Ideologues don't need that information, or want it, because they know what they want to do." Ask yourself: Is there any conceivable evidence that would cause George W. Bush to question the wisdom of tax cuts?

--He's not enchanted with the big-government model. On health care, Obama opposed Clinton's proposal to require every American to buy health insurance, preferring to offer subsidies and then let individuals decide. He balked when she said all adjustable mortgage rates should be frozen for five years -- with Obama's campaign quoting an expert who said, accurately, that it would be "disastrous."

He's far less suspicious of the operations of markets than most people in his party. And when was the last time a Democratic nominee openly worried about corporate tax burdens? Furman has said that if some loopholes can be closed, Obama "would like to cut the corporate tax rate."

Those who favor a less expensive and less expansive federal government will find plenty to complain about should Obama become president.

For consolation, they can try chanting this mantra: It could be worse.

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About The Author
Steve Chapman is a columnist and editorial writer for the Chicago Tribune.
 
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Let's turn the question around
Steve – is there any conceivable evidence that would cause YOU to question the wisdom of tax cuts?

RightMakesMight
you asked if there is ANY evidence that would make us consider the wisdom of tax cuts?

hmmmm, let's see...

George Bush made enormous taxcuts (benefitting Hollywood millionaires Clooney and Pitt and lib billionaires like Soros far more than the average Joe) against opposition from the democrats

and in the 8 years since, our economy has grown by leaps and bounds...record low housing foreclosures, record job growth, record low inflation, record low gas prices, a huge government surplus instead of a large deficit...etc etc

oh no, wait...the exact opposite happened

yeah, gee I wonder why anyone would think tax cuts are just a scam to get more money into the pockets of rich libs

Steve
I am not impressed with the sources you cite in your article. It doe not do much for the credibility of your thesis. Obama has been across the political spectrum on virtualy every issue since the campaign started, pandering to every group he is in front of at the time. Those who are convinced what Obama will actually do--are obviously deluded. This lack of substance on the issues facing America are exactly why there is so much focus on his character. Unfortunately, he seems to be somewhat lacking in that department as well.

Blond Ambition
You are right about some of the maladies facing the US economy. But it's evident that you do not have enough of an understanding of economics based on your ridiculous cause and effect conclusions that you have stated here. Try not to comment on things you don't understand - it just makes for useless and confusing conversation.

I always love...
how after 8 years of runaway deficit spending and huge growth in government, the Republicans have the gall to criticize the Democratic party for something they themselves created and say it with a straight face! No shame, no shame at all.

Blood
Please take an economics course. By your logic, if we raise taxes, gas prices would go down, jobs would be created, less homes would be foreclosed. Ignorance of economics in America is astounding. It is better to remain silent and thought a fool than to open ones mouth and remove all doubt

BA
Fresh statistics:

2Q 2008: 3.3% growth in GDP
1Q 2001: 1.2% growth in GDP

Looks like the economy continues to soar under the Bush tax cuts. D@mned facts!

hey repubs
I never said all the things that are going wrong with the economy is a direct cause of the tax cuts...but when he made the cuts, didn't repubs claim they would produce unrivaled economic growth?

Tell me one good thing the tax cuts has done for the economy...other than George Soros getting a fat 100 million dollar rebate check to fund Moveon.org

Blond Ambition
The tax cuts that Bush put in place did revive our struggling economy, that is until Pelosi and Reid squandered away everything good that the tax cuts were doing for the people in this country.

And one good thing they did for MY economy, they enabled me to spend a little more at the grocery store and on my children.

What have the Majority Party done for the American public lately? Cut our throats, that's what.

His Economic Policies Don't Frighten Me
His woeful ignorance on foreign policy and history are what frighten me. If BO is so great, why is it the majority of Americans would feel safer from terror attacks with McCain as POTUS? We can fix the economy all day long, but a fat lot of good it will do us if our communications systems are taken out, our ports blown up, or thousands killed by other means. If psychologically we aren't living in fear (and it took until last year for the country to halfway heal from 9/11)then we can concentrate on fixing the economy. And regarding our deficit: Iraq cost us billions, which was a costly error on our account, but we made the mess, we have to see it through to the end now.

Re: Bland Ambition
I'm curious, what do you think would have happened without those tax cuts when on 9/11/2001 1.5 million jobs vanished in fire and collapse? Remember that the economy was already in a recession and a hit like that would have pushed the economy into depression. The fact is that we've recovered those jobs and added millions more and actually increased the revenue coming into the Federal government. And our economy has grown significantly and we've had record low inflation. As for gas prices and the deficit isn't good but it's unavoidable. In fact, war time is one of the few times the US Constitution specifically enumerates for borrowing money (aka deficit spending). And for your information there never was going to be huge surplus. One of the biggest fallacies that liberals like to spew is that there was a surplus when Clinton left office. Sorry, not true his last budget borrow more that 300 billion dollars. And his budget didn't show a surplus until 2012 if the dot com boom were to continue (which was already bust when the budget was drafted). So, raising taxes is going to pull money out of the economy which shrinks the economy not grow it. People will be put out of work because the people who buy the goods and services they provide won't be able to afford them. Basically, the 1.3 trillion in new taxes proposed by Obama are going to be a Marxist wet dream and a rational human being's nightmare.

Liberalism has been America's opponent
Writers should not be too cute. There is enough evidence over the last 50 years that liberalism has been the real opponent of American exceptionalism and the Messiah is just one more Kerry-McGovern-Carter-Bernie Sanders. He and the MSM will not put forward specific agendas and themes until after Nov. 4. He dare not. His socialist pacifism is a danger for our national security and that for me is the real horror BO can perpetrate. Domestically, there is SCOTUS, the destruction of health care, school choice, border control, and of course, huge tax hikes onto the end of my grandson's life! BO and the MSM have been good at hiding these things from the voter. He may succeed. If he does, Pray for the Second Coming of the real Messiah!!!

Obama on Infanticide

The 'Born Alive' baby who has known the closest contact with another human any human can experience - the baby has been inside another human for months.

The baby has kicked, stretched and some even suck their thumbs. Every need has been met by its human host - shelter, nourishment and safety.

Suddenly one day the baby is attacked with chemicals and poisons.

The baby enters a world bent on death and destruction towards its life.

The baby has never seen a butterfly, puppy, pretty colors or things all babies enjoy or had any human say I love you.

The baby enters the world in excruciating pain and the best trained Medical experts in the world refuse the baby any aid - in a hospital - where all facilities are available and the Doctors have sworn to protect all human life - except his.

The baby is thrown on a cold table and left to die in some hidden place.

The baby struggles to breathe because a human is born with the human will to survive. The baby cries and sobs for help - that never comes.

The innocent baby tries to live with every breath and dies alone, abandoned like a used kleenex, never having experienced anything but pain, rejection and hatred.

When the baby finally dies a death of torture and the ultimate rejection any human can receive, it is such a worthless human it doesn't even have a 'Death Certificate' issued that it ever existed.

For a few minutes, hours or days, that baby WAS an American Citizen, that should have received all of the 'Rights and Protections' under law, that any other American Citizen should have.

Michelle and Barack Obama and most Democrats, have done everything humanly possible, to make sure this baby does NOT even receive any pain medication.

Blood Ambition
Please explain how higher taxes would prevent foreclosures, promote job growth, and low gas prices.

A case could be made that you could keep inflation low by limiting the money supply, but the government would then have to not spend the money.

Though deficit spending is up, which the republicans are partially at fault, so are tax revenues. But then the problem is not a revenue problem it is a spending problem. So your solution is to raise taxes which decreases revenue (it is a fact) and propose more government spending.

Wisdom of Tax Cuts
That is a no brainer and I wonder about you Steve. Are you getting in touch with your liberal side perhaps?

Take a look at the Armey Curve
http://www.house.gov/jec/growth/govtsize/govtsize.htm for instance. Taxes go up; growth goes down. Hight taxes steal from future generations just as surely as the debt, deficit spending, and pay as you go entitlements.

Steve, did you ever complain about those things? If so, you position on Obama and taxes is lame. Stay after class and write on the board 1,000 times: tax cuts are good.

RetiredGeek, Amen
But for a comment on helping the least of them, enough is said. Obama is a hypocrite and a liar.

Lets face it.
BO is slightly to the left of Karl Marx.

But he moved from state senator to US senator with the full backing of the Chicago machine. You get that by voting the way you are told in the legislature and by reliably bringing in the votes in every election, by whatever means necessary.

He is a corrupt leftist ideologue who will do and say anything at all to gain power.

Look at some of the things he has done just in the past month to stifle criticism.

Hmmmmm....
"His economic program is based on the assumption that the economy is to the president what a marionette is to a puppeteer, requiring his direction and responding to his every wish."

Sounds like Bush's economic model.
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