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With Democrats proposing to set the top two income tax rates at 36% and 39.6% respectively, Republican leaders waged a ferocious battle on behalf of the wealthiest American taxpayers. Former House Majority Leader and current Tea Party moneyman Dick Armey warned, "This program will not give you deficit reduction." Ohio's John Kasich cautioned, "It's our bet that this is a job killer." And for his part, 2012 White House hopeful Newt Gingrich promised, "This is the Democrat machine's recession, and each one of them will be held personally accountable."

As it turns out, the year was 1993, not 2010. At issue was President Bill Clinton's $496 billion program of stimulus and upper income tax increases. And what Republicans then decried as disaster ushered in the longest economic expansion in modern American history, a period which produced 23 million new jobs and a balanced budget.

But that hasn't stopped the GOP brain trust from resurrecting their 1993 predictions of gloom and doom, forecasts which were spectacularly wrong.

Launching his campaign for House Speaker, Minority Leader John Boehner on Tuesday decried President Obama's "job-killing tax hikes" and called the expiration of the Bush tax cuts for the rich "a recipe for disaster - both for our economy and for the deficit." His Senate counterpart Mitch McConnell told Fox News, "It would be a disaster." On Meet the Press last week, Dick Armey rejected the notion of returning the tax rates for the top 2% of earners back to their Clinton-era levels, mocking Obama's "new cockamamy ideas" and insisting the President "not raise taxes and take away the return on an investment" And as Newt Gingrich predicted in July:

"This economy will sink deeper into recession. There will be higher unemployment. The recovery will be longer."

If this all sounds familiar, it should. After all, as ThinkProgress, Congress Matters and Andrew Tobias all documented, pretty much the same people said pretty much the same thing back in 1993.

If Barack Obama's experience with Republican obstructionism has been painful, Bill Clinton's was unprecedented. When Clinton's 1993 economic program scraped by without capturing the support of even one GOP lawmaker, the New York Times remarked:

Historians believe that no other important legislation, at least since World War II, has been enacted without at least one vote in either house from each major party.

Inheriting massive budget deficits and unemployment topping 7% from Bush the Elder, Clinton's $496 billion program was nonetheless opposed by every single member of the GOP, as well as defectors from his own party. As the Times recounted, it took a tie-breaking vote from Vice President Al Gore to earn victory:

An identical version of the $496 billion deficit-cutting measure was approved Thursday night by the House, 218 to 216. The Senate was divided 50 to 50 before Mr. Gore voted. Since tie votes in the House mean defeat, the bill would have failed if even one representative or one senator who voted with the President had switched sides.

(It's worth noting that while Bill Clinton met with total opposition from Republicans over his economic program, neither Ronald Reagan before him nor George W. Bush after was similarly subjected to scorched-earth politics from Democrats.)

Throughout 1993, President Clinton faced venomous - if completely baseless - charges from his Republican opponents. Newt Gingrich announced that February, "I believe that that will in fact kill the current recovery and put us back in a recession," while also warning the day before the budget vote, "This is the Democrat machine's recession, and each one of them will be held personally accountable." Bob Dole, Clinton's future reelection opponent, complained, "People out there in the real world just don't understand how record-setting tax increases and a taxpayer-financed spending spree by Congress will solve the deficit or put Americans back to work." While John Kasich (R-OH) told Clinton and the Democrats, "your economic program is a job killer," Dick Armey looked into his crystal ball to claim:

"Clearly this is a job killer in the short run. The revenues forecast for this budget will not materialize; the costs of this budget will be greater than what is forecast. The deficit will be worse, and it is not a good omen for the American economy."

Most dramatic of all was Texas Senator Phil Gramm. The same man who led the 1990's crusade to gut regulation of Wall Street and the IRS and later called America a "nation of whiners," boldly - and wrongly - predicted:

"I believe hundreds of thousands of people are going to lose their jobs...I believe Bill Clinton will be one of those people."

The Republican naysayers were, of course, wrong on every count. Bill Clinton kept his job and presided over a rapidly growing economy, expanding incomes, new stock market highs and a balanced budget. Clinton, who authored one of the best eight-year economic performances of the modern presidents, bequeathed a CBO-estimated $5.6 trillion surplus to his successor, the man with the worst economic record. Alas, with his tax cut windfall for the wealthy, George W. Bush squandered it and derailed the American economy.

Of course, Barack Obama is not Bill Clinton. And to be sure, the current Bush recession and red ink are far more severe than that produced by his father. But for Republicans protesting a return to the same upper class income tax rates in place during the years of the Clinton boom, the gloomy rhetoric and its mouthpieces are almost unchanged. Put another way, the copy-and-paste GOP approach to the tax proposals of Barack Obama is just the same s**t, different day.

(This piece also appears at Perrspectives.)

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22 Comments
Serolf Divad's picture

Allowing the middle class tax cuts to exipre right would have a negative effect on the economy, since working people will basically spend the money and stimulate the economy. But top earners will simply stuff the money in conservative financial instruments (stuffing it in their mattressess, basically) helping no one, in the process.

Sadly the GOP is holding the middle class hostage to tax cuts for teh wealthy. The only question is whether the Dems will fold up in cowardly fashion as they have all too often.

hackenbush's picture

Bob Dole:

"record-setting tax increases and a taxpayer-financed spending spree"

That's some shifty wording, there, Bob. Spending didn't increase by much (and definitely *nothing* compared to Reagan's spending and/or Bush the Younger's budget blitzkreig with two wars), and "record setting tax increases" tries to play down the memory of our top tax rate of 91% for individuals under FDR. The rich ain't never had it so good...

ysbaddaden's picture
)O(

When did republicans become pro-recycling?

Sounds kind of sprout munching, granola gnashing, arugula and tofu masticating to me..


Diabolus est Deus Inversus

Peter G's picture

I guess this is The GOP's idea of going green.


Hasa Diga Eebowai

docb's picture

Now the record proves they are lying out their collective arse....! Corporate shills..

This ill only sell if the voter is a republican --fake -- not real like 3 decades ago with Nunn, and those that really worked for the American people!

ron's picture

tryig to scare are the onesw that were between 1 and 10 yearss old in the 90s. It's the same ones that are convinced that there won't be any SS for them when they retire.

Captain Kangaroo's picture

This is EXACTLY what needs to be said by as many people as the Democrats can get on the tee vee. Get these people on CNN. More middle of the road people watch CNN than MSNBC. Get these people to parrot what is said in this post. It is what needs to be out there as often as can be said. Forget Fox. They will always get the bottom feeders. The 20%ers. The same idiots who think that Obama is a Muslim and then tell us the Jeremiah Wright has bent Obama.

We know this is "old hat" but there are many people out there that want Obama to fail at any cost to the country. So, is Obama going to fight back with as much vigor with the truth??? I had lunch with some old foggie tea baggers today, and they were talking about going to Beck's ralley in DC. But one admtted he was not going because the bus left at 5 am.


CarmanK

"Middle class societies don't emerge automatically as an economy matures, they have to be CREATED through political action." Paul Krugman.

Liberal AND Proud's picture

Dow closes below 10,000

The GOP seeing the bad side of their marriage to the teabillies.

Americans REALLY concerned about the economy.

Americans wholly against extending the Bush Tax Cuts.

Social Security appears to still remain the "third rail" of politics.

I guess Americans are finally feeling enough pain that they are beginning to react.

The sour economy may actually work to the Democrats advantage. Although they still suck at messaging, circumstances (and after pounding the of the same failed GOP message for 30 years) may be working to the left's advantage.

Hopefully the GOP will remain on THEIR message and constantly remind Americans that tax cuts don't mean most of them, that privatization reduces jobs and they are completely intolerant of folks that don't look or sound like the GOP ideal of an American.


"Anyone that makes less than $150K in this country, has no business voting Republican."

RayC's picture

We have gone through 40+ years of the stupidity of supply side economics and it never has made a lick of sense to me. Economy's are grown from the bottom up. Demand for goods and services creates jobs. We have been sold this crap about putting more money into the hands of the well to do because they create jobs and the more money they have the more money will trickle down. I hear the same crap every #$#@# day. Cut taxes because tax cuts increase revenue. CRAP! Cut regulation because regulation hurts job growth. CRAP! Believe it or not a business will hire the fewest number of employees at the smallest salary possible to produce the goods or service to meet the DEMAND! If their bottom line increases they will not hire a few more employees they don't need. The top tax rate should be closer to 65% than 35%.

Captain Kangaroo's picture

You mean to tell me that if people (middle class and lower and lower upper class) get more money and buy a bunch of stuff the owners of the companies (that make and sell the stuff) will not hire more people to make more stuff or hire more people to help them sell more stuff because they (the rich owners) did not get a tax cut?

/snark

paulfooter's picture

Progressive income tax increases can actually do more to create jobs than simple cuts by motivating business owners to invest income back into their business rather than taking it out as salary.

ikalbertus's picture

It seems the only real principle the GOP actually has is: above all else make sure the rich continue to get richer.

It's the job of their so-called leaders to convince average Americans that it is for their best interest to further enrich the richest 2%.

I hope and hope that this turns against them big time. It may take some more pain to get that accomplished but at some point there can be a major shift in opinion.

Kreskin's picture

Genuine Robin Hoods aren't they ? Take from the middle and lower classes , eliminate social security and give to the billionaires and multimillionaires , the top 2 % . I used to think the ultimate questions were how we did we humans get here and is their life of some kind after death , but the bigger question is why would any middle or lower class person vote for and support a Republican let alone the Republican party ? How ignorant , blind and stupid can people be ? It's a real mind blower .

Truth_Critic's picture

And Bill Clinton tainted his record when he signed the "Gramm–Leach–Bliley Act".


Study the symptoms not the virus...

Kreskin's picture

And don't forget to thank Mr. Happy Pants for NAFTA and the WTO , really sweet deals for the American worker and job creation !

derekthered's picture

it's how we tax as much as how much we tax. tax individual income from any source, not necessarily corporations. look at the german system.

real issue is production of value-added durable goods, and capitalists chasing low wages around the globe.

clinton did as much damage to this country as anybody, despite "balancing" the budget with inflated dollars and social security iou's.

sixandseveneights's picture
.

which one is dick?

Kreskin's picture

It doesn't matter what the Republicans / Reich wing say or do , their brainwashed cult members won't be phased in the least . I do believe that the dumbest people on planet earth are right here in the good old USA , I should start selling them the ocean front lots that I have out in South Dakota .

StupidMechanic's picture

What I find really funny is how Republicans all want public education eliminated. I beg to ask if everyone was in private school and received a better education, who would vote for Republicans?

thx11380's picture

Something I do not hear. Not even once. Never. Anywhere! This was Obama's campaign promise. He was then elected with the mandate. Why does nobody say that? Now if Obama backed down from repealing the tax cuts for the richest 2%.....everyone would suddenly get back their lost memory and be screaming how he is not keeping his promise.

But sigh......instead everyone get's sucked into the Repuke framing of the issue once again. America is doomed because it is just too stupid!

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