DailyBeast: How Republicans Screwed the Pooch

Former Labor Secretary Robert Reich said he could explain the problems with the economy in less than 2 minutes, 15 seconds
—and he did it (with illustrations to boot).

Republicans say they want to save the country from Obama’s reckless spending. But as Paul Begala argues in the editorial below, it’s the GOP’s policies that have driven the nation into the ground.

But too few Democrats—and almost no media commentators—have countered the mendacious right-wing storyline.

Politico published a piece outlining the vast disparity in the ad war over the debt ceiling. Republican-aligned groups have run over $21.2 mil lion in attack ads highlighting Democrats as irresponsible drivers of the national debt, and elevating the debt ceiling as a top priority. Meanwhile, groups on the left have spent only about $30,000 on ads calling out Republican responsibility for the debt.

In this case Republicans broke the budget, but they are making Democrats own it - as usual.

"How Republicans Screwed the Pooch,"
By Paul Begala Published: July 30, 2011 Newsweek/Daily Beast

There it sits, lonely and forlorn on my shelf. A leather-bound copy of the 1999 Budget of the United States of America. A gift from President Clinton to the folks on his team, it was the first balanced budget in decades.

But it wasn't supposed to be the last. Indeed, experts projected surpluses as far as the eye could see. $5.7 trillion in surpluses, to be exact. The surpluses were so strong that deep into the future—in 2009—the entire national debt was going to be zero. For the first time since Andy Jackson was president, the United States of America would not owe a dime.

It didn't quite work out that way, did it?

Debt Ceiling Crisis: America Held Hostage by Republican Party Extremists

By PAUL KRUGMAN Published: July 28, 2011 NYTimes

The facts of the crisis over the debt ceiling aren’t complicated. Republicans have, in effect, taken America hostage, threatening to undermine the economy and disrupt the essential business of government unless they get policy concessions they would never have been able to enact through legislation. And Democrats — who would have been justified in rejecting this extortion altogether — have, in fact, gone a long way toward meeting those Republican demands.

Annual Gov. Ann Richards Dinner Next Saturday Aug. 6

The annual dinner honoring Governor Ann Richards, sponsored by the Democratic Party of Collin County, is set for next Saturday August 6, 2011. Click to the DPCC website for details - reservation deadline is Mon. Aug 1, 2011.

Governor Richards is admired as a person who stood up for everyday citizens in Texas throughout her life. A video at the bottom of this article presents Richards speaking at the 1988 Democratic National Convention where, in the first 16 minutes of the speech, she explains why it is important that our elected representatives in government stand up for everyday citizens.

According to Shawn Stevens, Chair of the Democratic Party of Collin County, 'that is why the 2011 Richards Dinner planning committee selected, "Standing Up for Everyday Citizens," as the theme for this year's fund raising dinner.'

In keeping with that theme several people widely regarded for taking a principled stand for everyday citizens have been invited to address Richards Dinner guests this year, according Mr. Stevens. Stevens today announced that several ranking members of the Texas Democratic Party are confirmed to join Wisconsin Democratic State Senator Jon Erpenbach, better known as one of the "Wisconsin 14," next Saturday to speak at the annual fundraising dinner.

Joining Wisc. Sen. Erpenbach at the speaker's podium will be Texas State HD-103 Representative Rafael Anchia, Texas State HD-116 Representative Trey Martinez Fischer and Texas Democratic Party state Chairman Boyd Richie.

Data Shows Deeper Recession, Sharper Slowdown

Reuters - The "Great Recession" was even greater than previously thought, and the U.S. economy has skated uncomfortably close to a new one this year.

New data on Friday showed the 2007-2009 U.S. recession was much more severe than prior measures had found, with economic output declining a cumulative of 5.1 percent instead of 4.1 percent.

The report also showed the current slowdown began earlier and has been deeper than previously thought, with growth in the first quarter advancing at only a 0.4 percent annual pace.

Read the full story @ Reuters

In the weeks after Obama won election in 2008 Senate Minority Leader Mitch McConnell said he intended to delay Obama's proposed $1 trillion economic stimulus legislation and use his 40 Republican Senator cloture vote filibuster power to block all Democratic legislation.

Within two months of taking the oath of office, Republicans had convinced Pres. Obama to compromise and ask for half the amount of stimulus that his advisers thought necessary and substitute additional massive tax cuts for corporations and the rich in the place of infrastructure spending as part of the 2009 American Recovery and Reinvestment Act (ARRA).

Most economists now say the 2009 stimulus plan was slow to kick in, did little to promote American job growth and unnecessarily added to the deficit because the ARRA indeed provided half the amount of infrastructure stimulus spending needed and the added tax cuts did not enticed corporations to reinvest their massive profit gains in U.S. based business growth and job creation.

Republicans continue to claim only more tax cuts for billionaires and mega-corporations will fix the flagging economy. But, will yet more corporate tax cuts really promote job growth in America? As a share of GDP, the U.S. has the second lowest tax rate, behind only Iceland. This statistic flips on its head the often-repeated Republican charge that America has the second highest corporate tax rate in the world (which is only true on paper). In 2009, U.S. corporate taxes had fallen to only 1.3 percent of GDP, from 4 percent in 1965.