Host Lewis Black, whose biting satire is a highlight of TV's The Daily Show, took pride in the recognition the United States received at the awards, saying: "we are the gold standard."
Black said the awards "celebrate the pros" and "perfection in idiocy" because real stupidity is hard work.
"It's easy to fall down a manhole, it's easy to put the candles too close to the drapes, it's easy to launch a military invasion of another country based on a few blurry satellite photos," he observed.
"This year my people, we scaled the Everest of stupidity and we stand upon its peak."
Bush took the Stupidest Man of the Year Award and for the second time in the history of the two-year-old awards won the Stupidity Award for Reckless Endangerment of the Planet.
That award was presented by Justin Trudeau, son of former prime minister Pierre Trudeau. He got the biggest reaction of the night from females in the packed house, who hooted, whistled and yelled "yum" at him while he was on stage.
Bush didn't take the category alone, however, and tied with British Prime Minister Tony Blair.
The controversial Texan president shared in two other awards as the United States was noted for having the Stupidest Government of the Year.
"What was interesting about that is that the decision was made overwhelmingly by Americans who voted," said Albert Nerenberg, of the Main Organization Revealing Obvious Numbskulls which runs the awards.
Nominations and voting took place at the organization's online site, except for the lifetime achievement award which is settled by the judges.
The nominations were judged by experts in their fields -- "a bunch of idiots" and overseen by the Academy for Recognizing Stupidity Everywhere.
Stupidest Statement of the Year was Bush's pronouncement that "combat operations have ended in Iraq," where fighting still rages more than a year after the U.S.-led invasion to topple Iraqi dictator Saddam Hussein.
Bush beat out pop princess Britney Spears, nominated for saying, "I do," at her brief Las Vegas wedding, and singer Jessica Simpson, who wondered aloud on TV: "Why does Chicken By the Sea taste like tuna? Is it chicken or tuna?"
Though he is facing war crimes charges after being captured by U.S. forces, Saddam can take solace in the Lifetime Achievement Award for Stupidity, which was bestowed on him with a musical tribute and a montage of film clips and photos, including one of him getting a fashion makeover from the cast of Queer Eye For the Straight Guy.
Iraq and the conservative right in the United States figured heavily in the awards, which declared Fox's The O'Reilly Factor the Stupidest TV Show and gave Fox News the nod for Media Outlet Which Has Made the Greatest Contribution to Furthering Ignorance Worldwide.
Also, Stupidest Woman of the Year was U.S. soldier Pte. Lynndie England, who became notorious after pictures were published of her allegedly abusing Arab prisoners in a Baghdad military prison. She is facing charges.
Presenter Maggie Cassella said England beat out convicted homemaking guru Martha Stewart, dysfunctional rocker Courtney Love, Anna Nicole Smith and Michael Jackson who "finally had enough surgery to place himself in this category."
Cast members from Survivor: All Stars -- Rob Cesternino, Kathy O'Brien and Shii Ann Huang -- gave the award for stupidest trend, which was trucker hats.
Stupidest Act of the Year went to Crocodile Hunter Steve Irwin, who cradled his baby while feeding a crocodile, an act which sparked a storm of protest.
"What is it with celebrities dangling their babies?" asked presenter Scott Thompson of Kids in the Hall fame. "Next year, they'll be eating them. Good thing cocaine is an appetite suppressant."
Gigli, considered one of the worst movies of the year and an albatross for stars Ben Affleck and Jennifer Lopez, tied with Mel Gibson's The Passion of the Christ as Stupidest Movie. The tie was to be broken by audience members at the Friday night event but the audience couldn't decide which was worse so the tie stayed.
Although Canada was shut out, Nerenberg said it was a banner year for stupidity.
"It was a stupendous year for stupidity," he said.
The show ended with a raucous musical number by mini Kiss, a group of singing dwarfs who perform made up like the '70s glam rock group.
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