Watch for a major flipflop on deficit spending.

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  • #57458
    Avatar photoBilly_T
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    Trump, at least if he follows through on this one promise, is going to spend a lot of money on infrastructure, which is a great thing. It’s badly needed. And it appears McConnell and Ryan will go along. That, coupled with massive tax cuts and massive increases in defense spending will result in massive additions to the debt.

    But the GOP will spin all of that, as they did when Reagan, Bush Sr. and Dubya all spent their way out of recessions and set records for deficits and new debt.

    The pattern has been this: GOP gains White House, faces recession, goes to the national credit card with reckless abandon to get out of it. They also include mass hiring in the public sector. Reagan, Bush Sr. and Dubya all hired in excess of a million new public sector employees, respectively.

    OTOH, Democrats gain White House, and suddenly the GOP cares mightily about the deficit and the debt. Shuts down, if they can, any new spending, blocks infrastructure aid, blocks stimulus of any kind, screams bloody murder about the debt skyrocketing.

    Obama and the Dems acquiesced to this all too easily, and that’s on them. But because they’re so spineless, they would have spent more if the GOP had come even close to operating as they do when they sit in the White House. The Dems, at least from Reagan on, tend to ask the GOP how far they can go, prenegotiate from there, and then offer a “deal” somewhere between the GOP’s first and second choices, never the Dem’s own.

    The absence of major spending initiatives after the woefully small initial stimulus is one of the biggest reasons why the economy never really rebounded like it could have. The GOP sabotaged it, to help themselves politically, and the Dems let them. Obama oversaw the first recession with net negative hiring in the public sector. He oversaw the first recession with a much publicized obsession with “cutting spending and deficits.” That, along with decades of accelerated inequality, is why the recovery has been relatively weak, though job growth has been steady and some records have been set for longest strings of jobless claims, etc.

    #57462
    Avatar photoBilly_T
    Participant

    In short, the GOP had it within their power to make the recession of 2007/8 move into recovery a great deal faster than it did. They had it within their power to make that recovery far less concentrated at the top. The Dems did as well, but just for Obama’s first two years, and that would have required GOP acceptance, which it never granted. That would have required an absence of GOP filibusters and holds, etc.

    So, now we get Trump/2017, and I’m betting the GOP shifts gears to follow that pattern. “Deficits don’t matter,” as Cheney said, will again be the new mantra. Or they’ll just hide them from the public some way. But this is a bit like some black hat bringing the grid to its knees, and then swooping in later to “save” it. The GOP never should have tried to sabotage the economy to begin with. If they hadn’t, there wouldn’t have been a tea party faux-uprising or much of any room for Trump this year.

    Time for both parties to go. They have both been thoroughly discredited beyond repair or redemption.

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