Republicans Show Less Fiscal Responsibility than FDR and Truman

Posted on Monday 12 September 2005

You know there must be a problem when even the conservative editorials, like the Wall Street Journal, are wishing for the fiscal responsibility of FDR and Truman over that of a Republican president and Republican Congress.

All this leaves Mr. Coburn and other budget hawks wondering what has happened to what might be called “the Republican wing of the Republican Party.” “The president could exercise leadership by insisting that we set priorities and offset the cost of Katrina relief by making changes elsewhere,” says Mr. Coburn. “Sadly, we don’t have that leadership.”

Neither the White House nor Congress appears to be in any mood, for example, to revisit the highway bill’s 6,373 “earmarks,” or individual projects for members, worth $24.2 billion. Alaska’s Rep. Don Young, chairman of the House Transportation Committee, has bragged that the bill is “stuffed like a turkey” with goodies for his state. It includes $721 million for Alaska, including a $2.2 million “bridge to nowhere” connecting the town of Ketchikan (population 8,900) to an airport on Gravina Island (population 50). Another bridge, in Anchorage, has a $200 million price tag and is considered such a marginal project that even the Anchorage Chamber of Commerce opposes it.

Less well known is FDR’s decision to slash nondefense spending by over 20% between 1942 and 1944.

Harry S. Truman acted with equal decisiveness after the Korean War began in 1950. In just one year, Truman and a Democratic Congress cut nonmilitary spending by 28%.

This is part of the problem that I have with the current instantiation of our political system: it doesn’t force people to think in terms of trade-offs. The simple truth is that there’s a finite amount of resources that must be divided up and you have to make tough decisions. Sometimes you have to decide between having tax cuts and increasing military spending. Sometimes you have to decide between increasing education spending versus continuing to promise infeasible Social Security outlays.

Just how far has the Republican party diverged from their calls for fiscal responsibility? It’s not pretty:

The July issue of Harper’s Magazine reported how Congress has streamlined the process by which members of Congress insert spending items into appropriation bills. The article obliterated the fiction that Republicans are only as corrupt as Democrats who ran Congress until 1995. In 1980, for example, Congress inserted just 62 defense department “earmarks” Last year, it was 2,671. The number of earmarks tripled from $10.6 billion in 1998 to $32.7 in 2004. Harper’s calls it “The Great American Pork Barrel — Washington streamlines the means of corruption,” and it’s not happening with on the Democrats’ watch.

Still don’t believe big-government conservatism exists? Compare spending patterns of the Clinton and Bush years. Under Clinton, federal spending went up 13.3 percent over eight years. Bush needed just four years to jack up spending by 19.7 percent. The difference isn’t defense spending. Clinton raised non-defense discretionary spending by 15.1 percent in eight years. Under four years of Bush, it’s up 25.3 percent.

If you’re really interested in the numbers, see the Cato Institute’s report about how the Bush administration is spending in amounts that would make even Lyndon B. Johnson and his Great Society Congress blush.

Guess this is one reason why a recent Zogby poll shows that people would have voted for every president since Ford over George W. Bush (yep, even Jimmy Carter is preferred at this point). Of course, the Democrats shouldn’t bust out the bubbly yet. Despite, the strong displeasure with Bush, the same poll shows that he would still beat John Kerry. Doesn’t say a lot for our current state of political affairs or the choices the parties are giving the electorate now, does it?


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4 Comments for 'Republicans Show Less Fiscal Responsibility than FDR and Truman'

  1.  
    September 13, 2005 | 12:00 pm
     

    I really think the poor polling for Bush is more related to high gas prices than anything right now. If the price at the pump goes down his numbers will increase even if he starts kicking old ladies and laughing on a regular basis. Katrina is about to turn out to be not quite the disaster to human life that was previously thought, and that will help him as well to some extent.

    He has spent ridiculously no doubt. The prescription drug benefit of his first term was an outrage. I don’t diagree with his tax cuts though. They helped reduce the length of the recession, creating more jobs and in the end more taxable income. Tax cuts sometimes work counterintuitively as Reagan proved in the 80s. Speaking of which, this nation could use Ronnie right now. A president who can communicate, comfort, and be looked to for strength. Bush seems incapable of those things.

  2.  
    September 13, 2005 | 9:22 pm
     

    I think the dissatisfaction runs deeper than just gas prices. If you look at this chart, the gas prices are at about the same spot they were when Reagan was re-elected in one of the biggest landslides in history. Also, if approval rating and gas prices were directly related, then Clinton should have had the highest ever in the late 90′s. I think it’s a combination of a lot of things and people just aren’t real confident in his leadership right now.

    Tax cuts are by no means inherently bad, but they need to be accompanied by corresponding spending cuts or else the situation will just get exacerbated. Tax cuts have to be responsible. You can easily illustrate this by asking, “If cutting the tax rate for bracket X to 25% is so great, then why not just cut it to 0%?”. Of course, if there were no taxes, we wouldn’t have roads or a military. Bush seems to lack discretion correlating tax cutting and spending.

  3.  
    September 14, 2005 | 1:04 pm
     

    Its true that oil prices were the same (adjusted for inflation) at that point, but you also have to consider where on the curve that election occurred. Gas prices had dropped like a rock in 1984 from where they had been during the Carter administration, so just comparing dollar amounts today and on that day in 1984 doesn’t tell the whole story.

    You’re right though, Bush has not inspired confidence in the American public lately. The public is fickle though, and saving them money at the pump will put them back into their fat and happy state and raise his numbers whether warranted or not.

  4.  
    September 14, 2005 | 1:35 pm
     

    You still have to explain why Clinton didn’t get the highest approval rating ever with the ultra-low gas prices, though :)

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