American Enterprise Institute Analyst Rips GOP as "Tax and Spend Party"

By: Lowell
Published On: 7/17/2006 7:07:20 PM

I always find it highly amusing when today's Republicans claim to be "fiscal conservatives."  To me, back in the days when I was a Teenage Republican in Connecticut, being "fiscally conservative" meant running a balanced budget, living within ones' means, all that good stuff. 

Sadly, today's Republican Party has strayed as far from its fiscal conservative roots as I have from the Teenage Republicans.  Luckily, true fiscal conservatives are willing to call them on it.  Check out the following, written by American Enterprise Institute research scholar V+â-¬ronique de Rugy in the "ReasonOnline" publication:

...Surging tax revenues, said Bush, had cut an expected $423 billion deficit down to $296 billion...

[...]

Unfortunately, this deficit reduction cannot be attributed to any spending cuts by the president...or even a modicum of spending restraint. Spending has increased by 45 percent since 2001, with homeland security and defense spending accounting for less than one third of the hike. Rather, the reduction is mainly the result of strong economic growth, which increased tax revenue...

Looking closely at these figures, we see one overriding characteristic of this deficit reduction: Americans are sending more money to Washington. Overall nominal tax revenues+óGé¼GÇ¥$2.4 billion+óGé¼GÇ¥are up 11.4 percent in 2006 from their 2005 level. And tax revenues in 2006 are projected at 18.3 percent of GDP+óGé¼GÇ¥instead of 17.5 percent. This is slightly above the 18.1 percent average for the last 50 years. And according to the Congressional Budget Office, in the first nine months of 2006 tax revenue have climbed by $206 billion and "that increase represents the second-highest rate of growth for that nine month period in the past 25 years." In other words, Americans are prospering but they are also paying more taxes.

So there you have it, according to a REAL fiscal conservative:  the Bush Administration is all about spend, spend, spend and tax, tax, tax.  Oh, and let's not forget deficit, deficit, deficit.  Which is fine, if you don't mind deficits.  But aren't "fiscal conservatives" supposed to hate those things?  And aren't "fiscal conservatives" supposed to cut taxes and spending, not increase both?  Yes, but Bush, Allen and Company are NOT fiscal conservatives.  Here's V+â-¬ronique de Rugy again:

If this administration were really serious about fiscal discipline, it would do two things: insist on cutting taxes until we reach the point where Americans are actually sending less money to Washington...and cut spending to stop that tax revenue from being squandered on pork and bureaucratic bloat. Until then, the GOP will remain the tax-and-spend party...

Remember, this is not a "tax and spend liberal" attacking George Bush, George Allen, and the rest of the Republicans in Washington DC.  No, this is the American Enterprise Institute and Reason Magazine, attacking the GeorgeBushAllen Republicans from the fiscally conservative right.  Perhpas this falls into the category of "you only hurt the ones you love?"  Or not.  Perhaps it just falls into the category of "the truth."  What a concept!

P.S.  Isn't it hilarious to hear GeorgeBushAllen bragging about how we ONLY have a $300 billion deficit?  Yippee, happy days are here again!  Don't all celebrate at once.

Lowell Feld is Netroots Coordinator for the Jim Webb for US Senate Campaign.  The ideas expressed here belong to Lowell Feld alone, and do not necessarily represent those of Jim Webb, his advisors, staff, or supporters.


Comments



The real troll (novamiddleman - 7/17/2006 8:26:45 PM)
In all seriousness what is the point of this post?


A Lesson in fiscal conservatism? (Bubby - 7/18/2006 12:00:38 AM)
And you have not done your homework Mr. Middleman. Dismissed.


Bush-Allen camps must be in denial about our debt...... (bladerunner - 7/17/2006 8:43:14 PM)
I would say the point of this post is to illustrate just how full of crap and hypocracy the Bush-Allen campaigns are. And just how low they have set the bar when it comes to our countries debt. And the fact that they tried to grab a few f'n headlines to say that,"see our system works". This post illustrates that it doesn't.


Bush-Allen camps must be in denial about our debt...... (bladerunner - 7/17/2006 8:43:40 PM)
I would say the point of this post is to illustrate just how full of crap and hypocracy the Bush-Allen campaigns are. And just how low they have set the bar when it comes to our countries debt. And the fact that they tried to grab a few f'n headlines to say that,"see our system works". This post illustrates that it doesn't.


Waste by the numbers. (Bubby - 7/18/2006 12:08:58 AM)
So tax revenues have increased by $206,000,000,000 in 2006. Taxes that could have been reduced, except that they are needed to pay for ....Iraqi Freedom!  Somebody call Baghdad and call off the Civil War.


Correction (LoganFerree - 7/18/2006 10:43:06 AM)
Reason Online is associated with Reason Magazine, not the Cato Institute.  They are not related except in ideology.


Correction made. (Lowell - 7/18/2006 10:55:24 AM)
I was confused by the CATO Institute banner at the top and also the fact that the Reason Foundation ("free minds and free markets" libertarian) is very similar to CATO.  Thanks.