McCain-enomics is exposed as a lie that will continue to drive America into the dirt. And the one who exposes it is one of its primary advocates.
Probably the most important political/policy moment in this election occurred on none other than the Bill Maher show, during the interview with Steve Moore.
Moore is such a buffoon, it is easy to dismiss him as a buffoon. He is not: He is one of the intellectual (?) fathers of the modern economic theories of the Republican party. He is a partner and co-author with Arthur Laffer, the Republican's favorite "economist."
During the Maher interview, Moore admitted, blithely as could be, that the underpinnings of Republican economic theory over the last 28 years are FALSE. The critical statement from Moore: "Tax cuts don't pay for themselves'''
Couldn't this imbecile have admitted this ten trillion dollars ago?
Here is why this is important: When Reagan launched the supply side "revolution" 28 years ago, the consistent argument by the Republicans was that tax cuts pay for themselves. This was based on the ridiculous theories of Laffer (again, a running buddy/coauthor with Steve Moore) who constructed the Laffer Curve, or as I like to call it, "the graph that destroyed America." Laffer argued that the relationship between taxes and revenues was a curve, so at some point on the curve, if you cut taxes, government revenues go up, until you get to the top of the curve, then tax cuts below that cost the government revenues. What was absurd about the Laffer curve was that IT HAD NO NUMBERS on either part of the graph. In other words, even if it was true, we didn't know if we were above the point where tax cuts brought in more revenues or below the point. It was all guesswork.
But, based on this imbecilic graph, Republicans since Reagan have argued that tax cuts increase revenues, and so they pay for themselves. Reagan said it, Bush 1 said it, Bush 2 said it, and McCain intimates it. Even though this has NEVER happened. In fact, when Clinton increased taxes on wealthy in 1993, the Repubs in congress starting ranting that this would cut revenues and the coming recession was on Clinton. (Oops..led to the greatest economic boom in history. And the repubs STILL won't admit they're wrong)
So now Moore gets on and says, "Oh, never mind. It was all a lie."
The significance of this is MASSIVE. One of the fathers of this stupid theory now admits that it is false. That is an admission that, all along, the Republicans intended to BORROW trillions so they could pay off their rich friends. (Moore signaled this last night when he moaned to Mahrer, "Do you want to pay more taxes?" He said this after Mahrer said only the rich would be taxed more under the Obama plan)
The only other option was cutting spending -- but the borrowings have been so huge, that the interest on the debt far exceeds the TOTAL among of non-discretionary spending. In other words, the Republicans INCREASED spending because of this stupid theory. Plus, the Repubs have NEVER come up with enough spending cuts to offset their tax cuts. They want to blame congress -- but no republican president has EVER submitted a balanced budget since 1980. Clinton did. Oops.
These lying bastards destroyed America. We can NEVER let them get away with this "tax cut" argument again! The crown prince of this lie has just admitted that the emperor (LAffer) has no clothes!!
As for McCain: He blathers on and on about extending Bush's tax cut. You know, the one that helped double the national debt in eight years. His feet have to be held to the fire: What $300 billion do you plan to cut from the budget? Or, how do you justify borrowing another $300 billion a year? And when he argues that tax cuts pay for themselves, just get Mahrer to replay Steve Moore, over and over and over again.