Phil Gramm Is Conservatism

Phil Gramm thinks that the economy is wonderful and those that feel otherwise are mistaken. This is does not make Gramm uniquely callous. It just makes him a conservative.

For several years, conservatives have been mightily trying to insist the economy tastes great, so shut up and eat it.

At the end of 2004, the National Review's economic editor Larry Kudlow proclaimed, "The U.S. economy is hitting on all cylinders as 2004 passes into 2005 ... Most in the mainstream media steadfastly refuse to give the economy a break." He railed that "amidst all this economic good news," a "declinist rant" was being perpetrated by "big-media."

15 months later, Kudlow regurgitated:

It's always amazing to listen to conventional demand-side economic pundits and mainstream reporters who try as hard as they can to minimize the excellent performance of the American economy ever since lower marginal tax-rate incentives were put into place almost two-and-a-half years ago. ... Of course, you can't please the worrywarts.

In December 2005, Fox News' Fred Barnes also pointed a finger at "the media" for marring the pretty picture:

...gas prices have fallen, I think new home sales, maybe it was old home sales, anyway, one of them set a record last month. And, and this 4 percent growth has been going on month after month after month after month. It's really an extraordinary economy. And yet, when you look at the polls you're so fond of, they show that the American people think they're fine, but that the rest of the people in the country are doing poorly economically. Why is that? ... Because, obviously people know how they're doing, but they have to rely on the media to tell them how the rest of the economy is outside their neighborhood. And the media has been entirely negative.

A year later, just before the 2006 congressional elections, Barnes lamented in the Weekly Standard: "The economy, strong as it is, hasn't produced a feeling of prosperity."

In June 2007, Washington Post columnist George Will concluded that Democrats had a "Prosperity Problem," based on Will's world of cherry-picked stats:

In the 102 quarters since Ronald Reagan's tax cuts went into effect more than 25 years ago, there have been 96 quarters of growth. Since the Bush tax cuts and the current expansion began, the economy's growth has averaged 3 percent per quarter, and more than 8 million jobs have been created. The deficit as a percentage of gross domestic product is below the post-World War II average. Democrats, economic hypochondriacs all, see economic sickness.

And in January of this year, the National Review's David Gitlitz could only explain the looming recession on something other than economic reality:

If the U.S. is capable of talking itself into an economic downturn, we may be on the cusp of the first recession in history caused by a bad mood ... it's not difficult to understand why the economic mood of the country is so bad. It's nearly impossible to avoid the media's constant deluge of economic negativism...

This is conservatism. The dismissal of economic burdens from others making less money than you. The belief that an ideal economy can thrive with a small boat of winners and a giant sinking ship of losers. The insistence that your economic dissatisfaction is illegitimate, and can only be explained by a brainwashing from the media or politicians.

Gramm's only unique remark was expanding the blame beyond "big media" and "the Democrats" to ... everybody. Calling America "a nation of whiners" only made glaring the fundamental elitism of conservatism.

But make no mistake. Gramm is conservatism.

It is precisely his attitude that has shaped conservative economic policies throughout the Bush Era. Massive tax giveaways to those earning more than $250,000. No investment to make education, clean energy and health insurance affordable to all citizens and businesses. No effective oversight of irresponsible corporations plundering the middle-class.

With the Bush Era ending, the choice is ours whether we want to continue being condescended to by conservatism in the coming years, or decide it is time for a progressive vision that puts our government and economy back in our own hands.

Cross-posted at the Campaign for America's Future blog.

Follow Bill Scher on Twitter: www.twitter.com/billscher

Comments

[THEVOICEOFMODERATION]

Outsourced jobs, loss of investment value in the stock market, rapid increases in gasoline and food prices, loss of equity in homes, foreclosures, inflation, steep decline in the value of the Dollar. Dramatic increase in national debt.
· Stock market bubble in 2000 burst (irrational exuberance!)
· Real estate bubble, led by sub-prime mortgages, burst
· Oil price bubble
· Food commodity price bubble
· A bubble is a result of unregulated speculation and possible manipulation in financial markets.
Why not regulate bubble speculation? We did … since 1934 until 1999, when a Republican Congress’ (led by Phil Gramm) repeal of the Glass Steagall Act (that regulated financial markets and kept banks, insurance companies, brokerage firms, and investment bank separate from each other) allowed financial services to merge and removed regulations on speculation.

From the days of Reaganomics, free market advocates “lobbied” Congress to deregulate markets. So now it should come as no surprise to you that what has been described as deregulation is actually re-regulation…. changing the regulations by those who were supposed to be regulated to be favorable to them. Believe it or doncha, they actually wrote the legislation and paid (they call it contributions and such) senators and House representatives to vote it into law. Like making it more difficult .(impossible) for people to file for bankruptcy or making it lawful to charge interest rates on credit cards that would embarrass the Mafia And now you know the rrrrest of the story.

[LewisWalsh]

A well research and explored subject by Bill Scher. But, I must say that it is just history repeating itself. Those small groupings of citizens who acquire the greatest part of a nations wealth will always insist that citizens owe loyalty to the community, however, for them, loyalty to the community does not include a fair sharing of the national bounty. It is always expected by the ruling class that the general population be required to share the burdens of citizenship, but not a fair share of the rewards. Sounds to me like "A country of whiners." is pretty much the same as "Let them eat cake." I hope that it does not become necessary in the future to handle matters as those citizens did who were told to eat cake.

[gevan]

So the rich get richer under Bushinomics. Are the plutocrats happier when they've take an ever expanding slice of the American economic pie? Early in the last century there was a worry that similar behavior could lead to revolution. Anarchist or Socialist or Communist; it all looked gloomy for the future of democracy. Steps were taken to head off that calamity. Unions were allowed to strengthen or even encouraged, the graduated Income Tax and the New Deal began a modest redistrubution of wealth. Maybe I've missed Gramm's point. Could be his friends are bellyaching over the multiplying cost of topping off the tanks on their private jets or yachts. Frikkin' winers.

[Marrigan]

This "whining" theme must be a recurring rant in the Gramm household. Gramm's wife, Sec'y of Labor Elaine Chao, recently commented on America's youth and their attitudes about work. She claims that they're lazy and greedy and that this is one of the reasons why the U.S. needs to increase the number of HB1 visas.
I recall a commencement speech that Hillary Clinton gave last year. She, too, chided the graduates to lower their expectations of 'instant success'. Paraphrasing here, she cautioned them to not "expect to step into a six-figure job". Of course, her OWN daughter stepped into a six-figure job at a hedge fund, which doesn't appear to coincide with her major of international relations. But, as John Edwards said, we live in the world of two Americas.

When it comes to whining about the economy, the LAST people I want to hear from are the coiffed and buffed talking heads and their faux outrage on our behalf. I don't want to hear from the Larry Kudlows on the right or the "lets just create more govt. jobs by taxing rich people to solve the problem" on the left. The middle class has enemies from both ends of the political spectrum and, quite frankly, I don't see any end in sight. Call me a whiner, but IMO, we're in dire straits.

[Annette]

Elaine Chao, secty of Labor is Mitch McConell's wife. Phil Gramm's wife is Wendy Gramm they both share the "get the rich richer darn the rest views."

[Budokan]

You listen to these Republicons long enough, give 'em enough rope as it were, and they''ll tell you exactly how they feel: They hate America and they hate Americans.

[gevan]

They would like to eviscerate the government by starving it of taxes/funds. [cut,cut,cut the evil taxes] With the destruction of the nation states they will be that much freer to operated on a global scale. Then the one percent at the top can collect fifty percent, sixty percent, or more of all the world's wealth leaving the rest of us to fight over the scraps.

[CalvinistHobbesian]

Gramm committed a classic "Kinsley Gaffe", accidentally telling the truth.

[egal]

Of course, since it's not the people whining but the economists, stockbrokers, and others who most understand financial fluctuations, he's wrong anyway.

If America consisted only of the top 1%, then yes, it would be a nation full of whiners--groundless whiners. With the rest of the populace, it's a nation full of people stuck in BOHICA mode but working their butts off to do better without anything to show for the effort,.

[CalvinistHobbesian]

Just in case my comment may have been subject to interpretation (OK, it was) I didn't mean by telling the truth that working people are really whining. Some are complaining that their government is at best not helping, at worst creating the situation. That's justified. And, you're right, when the non-working rich complain, that's whining. What I meant was that Gramm accidentally stated his true opinion of working people and their families.

[BethStuart]

There's an old saying that left to its own devices, capitalism will cut its own throat. It seems that McCain, Gramm and the Republican party are intent on proving that true.

[Fez]

Any day now I expect to read an article by a Republican that echos "A Modest Proposal," which was written by Jonathan Swift 300 years ago. Swift's savage satire on the "Let-them-eat-cake" English suggested that the starving Irish should cook and eat their own children to assuage their hunger. We can rest assured that every few months, the true beliefs of the Republicans will be expressed by someone like Barbara Bush (On the victims of Hurrican Katrina in Houston: "This is working out quite well for them") or Phil Gramm. The irony is that none of these Republicans has ever done an honest day's work in their lives. The clincher is that Gramm stands by his remarks and will not retract even one word "because it's true." Obama needs to make a series of commercials with every one of these callous Republican statements to remind people that Republicans are no friends of avarage Americans and in fact hold them in utter contempt.

[confuseddemocrat]

HERE HERE

Where are the DEMS 527?

This is a simple commerical to make just loop Phil Gramm's remark with the Social security is a disgrace remark and then have the moderator ask in somber tone.... Are you experiencing a mental recession?

[StevieRae]

Letter to Barak Obama

Mr. Gramm has opened the door for you to remind voters about how McCain would deal with the economy. It's time to take off the gloves and point out through an aggressive ad campaign and everyday talks with voters who's been a major architect for McCain's economic policies. Americans need to appreciate the attitude, and economic philosophy Gramm has brought to designing McCain's solutions to our economy. Gramm quotes:

"We have sort of become a nation of whiners"

“You’ve heard of mental depression; this is a mental recession”

"We may have a recession; we haven't had one yet"

"Misery sells newspapers," Mr. Gramm said. "Thank God the economy is not as bad as you read in the newspaper every day."

Gramm: "We are in the process of putting together this week the most comprehensive economic program anybody has ever done,” and Gramm admits he wants to make the Bush tax cuts permanent.

When Gramm was in the Senate the issue of cutting back benefits for the elderly came up. “They are 80-year-olds,” howled Mr. Gramm. “Most people don’t have the luxury of living to be 80 years old, so it’s hard for me to feel sorry for them.”

“We’re the only nation in the world,” Mr. Gramm once said, “where all our poor people are fat.”

With the economy being Americans' number one concern, use Gramm to illustrate the contrasts between you and McCain.

[littleblackcat]

Good comments all! I doubt if this jackass has ever considered the fact that lots of poor people are fat because cheap food consists largely of bread, potatoes, peanut butter, macaroni, hot dogs and hamburger. Soda costs 75% LESS than milk! With fewer young people being taught how to cook properly and economically, yes, our poor people will be overweight.

[RobinSeattle]

I hope people now realize that conservatism is a leave 'em dead by the side of the road ideology that always infringes on civil liberties and tries to make regular people defenseless against large corporations.

[Eoin45]

That's it in a nutshell. Always has been.

[krocklin]

Last night on Bill Moyers, two conservatives espoused their beliefs. One was former congressman Mickey Edwards and the other is the editor of the Atlantic.
Both are articulate, principled and sensible. But neither is the kind of conservative who has been running the Republican party (and the country) for the last 25 years.
All I was thinking is: these guys, if they held office, would be total pariahs in the Republican party. Their issues aren't addressed by the conservatives we know. A Republican today CANNOT be sensible and principled. To apply these terms to Rove, Bush, Cheney and their ilk is absurd on the face of it.
Strange that the most direct and articulate explicators of what is wrong with these conservatives are Republicans: Scott McClellan and Ron Paul.
I defy any liberal to explain the Iraq War more succinctly and in a more principled accurate way than Ron Paul does. That is why the conservatives I know absolutely hate him - somewhat to my surprise.
And Scott McClellan's characterization of the White House's "permanent campaign mode" is brilliant in explaining their inability to govern.

[Soulsurfer]

Why be "surprised" at the repugs' dislike of Ron Paul. They're running a fixed game, their logic is flawed, and they know it......."but hey, we're making a sh*tload of money here, so shut up!" "Reasonable" is a word that has not applied to a republican since Ronald Reagan, who made bigotry, gluttony, and elitism seem down homey and acceptable.

[buckbuck11]

Government by the corporate interests is fascism, not conservatism. It just seems that the two go hand in hand. The Bu$h regime fancies itself in the model of a latter day Francisco Franco.

[harriscrl3]

I know this Phil's words are EXACTLY how he feels about the economic situation now and they are EXACTLY how McCain feels and anyone who thinks differently is drinking some kind of koolaid. McCain talks about psychological benefits if you are putting forth psychological benefits what else do you think but that the problems are in people's mind. WHen he talks about the economy at town hall meetings McCain looks uncomfortable. I actually think that McCain's comment about social security being a disgrace should have eclipsed the whining comment although quite frankly the whining comment didnt get the coverage it should have. Trust the MSM to dwell on the wrong thing.

Carol

[Dap]

Dear Bill,

Excellent, thanks for picking up the ball on this on,*Spot-On. Agape.

[JohnFromColorado]

Some statements reveal far more about the person whose says it than what the statement was about. Phil Gramm's statement was one of those. Bill Scher's wonderful column show where conservatism comes from.

The economy is great if the deserving wealthy are doing well in it. The underserving commoners are just not appreciating the gains of the deserving wealthy.

The deserving wealthy should not be taxed. If the government has to spend for the "commoner good" that's ok as long as you keep taxes on the deserving wealthy down. As Dick Cheney said, deficits are not important.

Conservatism and the "common(er) good" are not compatible. The nation Mr Gramm sees is the deserving wealthy part of the nation. The other 80% of undeserving commoners have to be tolerated, but not listened to.