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Spending Freezes Have Been Big Fat Failures

January 26, 2010, 11:01 pm

Reeling from the Senate loss in Massachusetts, and fearing greater political losses in the midterm elections, the Obama Administration has proposed a spending freeze on domestic discretionary spending, coupled with a few small-bore ideas to help the “middle class.” He is doing this to signal that he’s serious about deficit reduction. Whoopee. (Bloggers are having a good deal of fun with Obama’s repeated rejections of John McCain’s proposed spending freeze during the Presidential campaign. Here is the painful stuff on YouTube.)

Why is a spending freeze a supremely bad idea? First, the math doesn’t work. Obama’s freeze will exempt military, veterans, and homeland-security related spending, and it can’t touch mandatory spending, so it only applies to about 12 percent of the total federal budget. This means Obama’s freeze would cover less than 3 percent of the predicted deficit increase over the next decade.

Second, although it is designed to build political support, it could hurt him politically. The deficit is a convenient stand-in for people thinking that the government is out of control and provides no real benefits. But Obama’s freeze will reduce services in places where people really like government and will really feel the cuts: education, infrastructure, social services, even (according to Ken Burns) America’s “best idea” — national parks. Yes, Chronicle readers, higher education will take a hit as well. And liberal interest groups, Obama’s core coalition, will start fighting with each other over who will take the cuts.

Finally, and worst of all, a freeze will cut government spending and job creation at a time when we need more stimulus, not less. We have the highest unemployment rate and the longest duration of unemployment since the Great Depression. And economic forecasts for 2010 predict an unemployment rate over ten percent for the first half of the year, with only slight improvement by year end. Government spending is the only thing propping up economic growth, and we will soon exhaust the inadequate first round of stimulus. We need more domestic discretionary spending not less, especially because state and local governments are cutting spending and reducing overall demand.

There are credible long-term deficit-reduction ideas that don’t torpedo the fragile economic recovery and still adhere to Obama’s stated values. (Brad DeLong lays them out well here )

But they would require serious action on health-care costs (public and private) and some Republican support for long-term revenue and tax increases as part of a total package. Neither of those seems to be forthcoming.

It is very worrisome. Obama is on track to be a well-meaning, moral, but failed one-term President — Jimmy Obama?

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23 Responses to Spending Freezes Have Been Big Fat Failures

macheath - January 27, 2010 at 10:30 am

The YouTube link in the blog isn’t working. Here’s one that should. Ouch.http://www.youtube.com/watch?v=Pyr2noZ57Ww

batemat - January 27, 2010 at 11:13 am

Obama has been a reactionary and indecisive “leader” since day one. In a time of crisis we need strong leadership. The type Obama promised and never delivered. He has flipped and flopped his way to lame duck status earlier than any president since Carter.

livefreeordie2 - January 27, 2010 at 4:30 pm

Last things first… From your lips to God’s ears… Although I agree with almost nothing you say, I certainly hope you’re right in your last sentence. Of course, I’ve been saying it for a year…As for the “freeze,” it’s a joke. As you’ve said yourself, it affects so little of the budget as to be meaningless. Even so, there have been huge increases in discretionary spending this year, so to “freeze” them at this level is like a store raising the prices by 300% before trying to sell everything “half off.” This whole thing is yet another attempt to appear to be a populist rather than a hard left statist. Just smoke and mirrors – the Barry response to the can of whoopa** the voters opened on him and the Dems in MassachusettEs.Yeah … sorry. Nobody is going to buy Skinny as a populist. And the Botox babe just vowed to try to revive the health care bill! They are deep in a hole and digging frantically! Oh my God I do love it so!!

goxewu - January 27, 2010 at 9:49 pm

The last paragraph of #3 says it all about livefreeordie2. “Skinny,” “the Botox babe” are playground wit, if wit at all. And the orgasmic “Oh my God I do love it so!!” is so far beneath contempt even dittohead political discourse that it reaches the pitiable. The man needs help.

stinkcat - January 28, 2010 at 12:15 am

Could you imagine how ugly Pelosi would be without botox?

livefreeordie2 - January 28, 2010 at 7:44 am

Gox gets her undies in a knot – I used to need help. . .no longer. I have you for a foil and last night, Barry vowed, essentially, to stay the course. ‘We’re gonna have a freeze! But it won’t start until next year.’ What a hoot! My real fear was that he would figure it out – clearly that fear was baseless. After 411 speeches, 52 news conferences, 158 interviews, and 23 town hall meetings, he is convinced that people oppose his policies because he hasn’t gotten the message out. What a maroon! I say, “Go for it, Skinny!” Continue to blame Bush for everything and drift even farther to the left! And don’t forget to get out there and campaign for all your Dem buddies all summer long! I promise that this coming November, I’ll personally nominate you for MVP of the Republican party!And by the way, Gox. I spent 8 years listening to Dems and libs saying all kinds of vile crap about Bush. Everything up to an including a movie about assassinating the president. I don’t know if you said vicious things about him or not, but frankly, my dear, I don’t give a damn. Obama is a politically tone deaf buffoon and deserves every vicious little barb that heads his way.

goxewu - January 28, 2010 at 10:53 am

The point is not livefreeordie2′s staunch opposition to Obama, or his strong words (e.g., “vile crap”), or his thinking that Obama is a socialist “politically tone deaf buffoon.” It’s “Skinny,” “Botox babe” and, earlier on another thread, “ALL liberals lie.”The problem with the latter group (of which there are other, probably searchable examples) is that they’re puerile (insulting a woman for her appearance), irrelevant (what Obama’s physique has to do with anything political is beyond me), and patently false (“ALL liberals,” obviously, do not lie) in a way that livefreeordie2 likely knows when he writes it. Other quite conservative commenters on “Brainstorm” are just as opposed to Obama, the Democrats, and their policies as livefreeordie2, and their language is at times extremely blunt, sarcastic and angry. But they don’t descend to “Skinny” or “Botox babe,” probably because they’re smart enough to know that it doesn’t really do their cause any good. (There’s a difference between getting a rise out of your opponents, and making them throw up their hands and say to themselves, “Oh jeez, I’m dealing with a real head case with issues outside of politics.”)There are, to be sure, commenters on the left on “Brainstorm” whose ferocity approaches that of the most adamant on the right. But nobody–left, right, or center–is in the same playground name-calling league as livefreeordie2. (And nobody is as poignantly insecure: when I told him that calling Obama “Barry” all the time was jejeune, he switched to “Skinny.” Sigh.)Here again, for readers reading only the most recent comment, is that final paragraph in livefreeordie2′s #3:”Yeah … sorry. Nobody is going to buy Skinny as a populist. And the Botox babe just vowed to try to revive the health care bill! They are deep in a hole and digging frantically! Oh my God I do love it so!!” Sadly, livefreeordie2 seems to have dragged stinkcat (“Could you imagine how ugly Pelosi would be without botox?”) into the depths with him.livefreeordie2 is right about one thing, though: I’ve acted as a convenient foil for him. No more. (stinkcat’s scampering along behind livefreeordie 2, like a wannabe bully on the playground saying “Yeah!” when the really bully hurls an insult, is, at this point, a one-off. We’ll see.) If such commenters as suomynona wish to continue to try to have acrimonious-but-genuinely-political debates with livefreeordie2, I commend their patience and perserverance. But for me, life is too short, so after I click “Submit” on this one, it’s permanent adieu to livefreeordie2.He can, and probably will, make this out to be surrender. If that’s the price of exit, it’s well worth it. I’m not angry, just sad. The man does need help–not for his political opinions, which he’s entitled to–but for his irresistible need to hurl irrelevant insults. I hope he gets some.

livefreeordie2 - January 28, 2010 at 11:25 am

Gee Gox. . .sure will miss you. But I don’t think of it as surrender, just another example of how liberals lie even to themselves. Calling Pelosi a “botox babe” is extraordinarily tame compared to what you on the left did to Kathrine Harris

livefreeordie2 - January 28, 2010 at 11:59 am

Sorry. . .hit the wrong key. I’ll continue. . .did to Katherine Harris for YEARS! Calling Obama by the name he used through college or by a descriptive nickname (if he was 6’8″ or so, it would be stretch) like skinny is nothing compared to the numerous iterations on the left tying Bush to Hitler, or that Cheney was his brain, and on, an on, and on. You can pretend to be ignorant and innocent, but we all know the truth, don’t we? Regarding minorities, regarding women, regarding politics, or what have you, the left feels perfectly comfortable making the most insulting comments imaginable. Recent comments by noted leftwing commentator Keith Olberman are a case in point:”In Scott Brown we have an irresponsible, homophobic, racist, reactionary, ex-nude model, teabagging supporter of violence against woman and against politicians with whom he disagrees.”These comments are not based on any rational facts, they are simply vicious. I have spent the better part of the last 20 years hearing vile crap like that from the left. Horrible comments about people – I remember all the terrible things said by folks on the left, from James Carville on down, about Ken Starr during the investigation into Clinton’s misconduct. Bush lied, people died, etc, etc. And for giving Obama, Pelosi, and other top liberals some light-hearted nicknames, you think that I need help. Well, hardly. . . During most of my adult life even until this very moment and beyond, the majority of verbal bullying and name calling has been on the left. And like typical bullies, when someone stand up and uses their own tactics against them, they go run and hide. That’s not something I’m accusing you of, Gox – you may be perfectly innocent and viciousness. Having seen some of your snottier posts, however, I doubt it. You are simply a bit more subtle than I. . .but otherwise no different. And one last thought – although it’s possible that I have called a fellow commenter a name, I don’t think so. Oh, yes, I do refer to behavior traits of liberals, but to the best of my knowledge, I don’t throw insults at others who make comments. To the author, yep. Insult public figures? Of course! But I try to avoid actually insulting others who comment by calling them something like. . . oh, I don’t know. . . “a dewy-eyed soul.” Or making comments about one’s need for (I assume, mental health) help. The condescending nature of your softer comments about others who post here are worse, in my opinion, that making fun of public figures. But that’s just my opinion and yours is clearly differnt.Anyway, your welcome to come back an play anytime you wish – I never hold a grudge. If not, that’s fine, too. Just a note, though. . . I still feel free to comment on your opinions whenever they merit a comment. Cya!

suomynona - January 28, 2010 at 1:21 pm

livefree,I won’t pretend that I’m anything but left-of-center politically (though I haven’t always been; I had a hell of a time with self-defeating multiculturalist movements, along with the kind of stuff that Prof. Bauerlein writes about at UM on another post, while I was in college); but I won’t dare pretend that there’s anything positive to be had from the kind of name-calling you engage in. Some of my fondest menories, really, are about telling the left how sorry it was being for drawing political cartoons of GW Bush as a monkey characature and going on about his stupidity and his ‘fascism’ and his ‘Naziism’ and so on. On the coattails of all of those shortsighted naifs Bush was most effective in ramming through horrible policy, maiming America’s already fragile reputation abroad, and successfully becoming one of the most destructive presidents in our history. It was the jesters and fools on the left who couldn’t bear to take his administration seriously that played such a significant role in his ‘success.’You really ought to know this. I denounced the kind of politics you play back then, and I denounce it today, from the opposite side of the aisle. Don’t think for a second that the ‘Barry/Skinny’ crowd is any different or any less harsh than the Bush-is-Hitler crowd from a couple years ago. And don’t pretend like a bunch of the same types weren’t out there, these dreamy, nostalgic-for-revolution types on the right, holding signs of Obama’s face with a Hitler moustache or characatured as the Saw killer. This is the crowd you associate with now when you use the type of rhetoric you do, consistently, and unrependantly. Like a child you assume that becaus someone did it to you, it’s OK to perpetuate that kind of behavior by dealing it back. Go on, then. It worked for Bush; it will work for Obama. I see it every day–”Keep your government hands off my Medicare, Skinny”; Obamacare [hammer and sickle]; “Obama = Satan”. Same old, same old.

suomynona - January 28, 2010 at 1:24 pm

Ugh, OK: ‘caricature’; ‘unrepentant.’ Maybe I’m too emotional.

livefreeordie2 - January 28, 2010 at 5:05 pm

suomynona – I’m not buyin’ it. First of all, if you think that calling Obama Barry or Skinny is equivalent to calling him a nazi, you are lacking perspective. Or you’re far too sensitive – not uncommon among those on the left when their principles or heros are attacked. And frankly, I disagree with most of the various associations you’ve made in your comment. You make them for the sake of your argument, not based on any fact. You take what is real and then blow it up into something false. I’ve said Obama is incompetent. He is. I’ve said he’s a socialist. He is. After watching him last night, I’d say he’s angry, petchulant, and boorish. He is. Also, his nickname has long been Barry and he is in fact, skinny. Your attempt to conflate Barry or Skinny with all the things you mentioned is, silly. I would have thought you could do better.

macheath - January 28, 2010 at 5:40 pm

It is indeed overheated to say that livefree’s adolescent schoolyard mocking of Obama is the same as calling Obama a Nazi. But when ivefree says:”I’ve said Obama is incompetent. He is. I’ve said he’s a socialist. He is.”well, a reality check. You’re entitled to your definition of competence (in my book, it doesn’t include magically overcoming pigheaded opposition from 40, now 41 Senators), but ok. But Obama is a socialist? Now you are heading for tinfoil hat territory. Here’s a nice definition of “socialism”:socialism – a political theory advocating state ownership of industry and/or an economic system based on state ownership of capitalTo say that Obama believes either of those things is just ludicrous, and takes livefree into the realm of “nyah nyah nyah.” No, livefree didn’t say Obama is a Nazi. So that particular slander was avoided, but using the label “socialist” is just plain stupid, and in no way can be intended to further any type of discussion, just meant to irritate other people. Which it does. Congratulations.

suomynona - January 28, 2010 at 10:43 pm

I maintain that calling Obama ‘Barry’ or ‘Skinny’ is absolutely the equivalent of calling him a nazi. How is this so?Because in all of those cases there is no demonstrated attempt at any straighforward, substantive commentary about his policies or even his effectiveness. Those kinds of comments are childish, as goxewu has already said, and amount to 100% pure, unfiltered bullshit. And I’m using ‘bullshit’ not necessarily to mean ‘false,’ which it does not mean, but rather to mean without any regard for any kind of substantive truth or falsehood–any concept of the difference or degrees between the two–about the issues at hand. Obama is in fact skinny. So what? Is it less bullshit to refute Taft’s policies or politics by calling him ‘fatty’? Livefree knows this is bullshit and so does everyone else. Precisely the reason why there’s no substantive difference between mocking the president as ‘Barry’ or ‘Skinny’ and calling the president a nazi is because even the application of ‘nazi’ is never meant literally or substantively, as such a claim would be so off-the-charts outrageous in the case of any US president. People don’t call US presidents nazis because they actually think they’re nazis–not even the lunatics. They say such things because their heads are filled to the brim with bullshit, and they know that either childish name-calling or gross hyperbole is somehow an accepted part of American politics. The people who practice this kind of bullshittery, whether they carelessly invoke sensitive terms like ‘nazi’ or they invoke less-sensitive terms for the same reasons and toward the same ends, are poison to democracy. They either can’t hold up on the substance or don’t care enough as citizens to attempt to do so, so they bullshit. This is why ‘the people’ are angry; this acrid display of politics-as-usual. It happens on the left and the right, and we all slip into it from time to time; but it certainly will never be my m.o.For livfree, on the other hand, we can’t expect better. He says Obama is incompetent, socialist, boorish, etc., all fine. But he can’t do that without plopping a heap of bullshit on top. Then he retreats to lame excuses about how Obama is really, actually skinny (because he was only trying to state the facts, of course) and how some people used to call him ‘Barry’ (again, livefree is only concerned with the facts, just being accurate, is all). You might as well just go on and call him a nazi; the intent would be the same, as would the effects. It’s all the same mode of speech, all the same tactic.

livefreeordie2 - January 28, 2010 at 10:46 pm

macheath defines – socialism – a political theory advocating state ownership of industry and/or an economic system based on state ownership of capital.You’re kidding, right? I mean, are you seriously using that definition to demonstrate that I’m all wet about Obama? Does GM ring a bell? How about our “investments” in the banking system? The attempts, via the proposed public option, to take over the health care industry? I mean, technically, the actions of this administration more closely resembles fascism, than socialism, but THAT would be inflammatory, don’t you think? Also, if you listened to his speech, there was an awful lot of redistributionist rhetoric… you know…from each according to his ability, to each according to his need?As for incompetent. . .let’s see. Health care bill by August…er, I mean, Septe…uh Novembe…um Christmas Eve. Well, you get the point. It’s all on hold. And what about an energy policy? And Gitmo will be closed in one year! Or maybe not. And on, and on, and on… BTW, Regan got it done with the opposition party occupying the majority in the house and senate. It’s called leadership. A trait that Barry simply doesn’t possess. It’s an election year. Many Democrats will be doing their best to show they don’t support Obama. Why? The majority of the citizenry do not support him. One more thing…during last night’s speech, Barry blamed Bush 8 different times for his problems, even though he’s been in office a year. Aside from the fact that it’s just poor form, no competent leader engages in that kind of behavior. I’m sorry if you are irritated… After seeing Barry double-down last night on his hard left agenda, I’m happy as can be!! Seriously!! I’m looking forward to November with a glad heart and a smile!!

livefreeordie2 - January 28, 2010 at 11:17 pm

Suomynona – No,no no… YOU are angry that I call Barry skinny or skinny Barry, not the people. It’s not politics, it’s just fun. I enjoy it… and perhaps I enjoy just how uncomfortable it makes you because frankly, it’s really not insulting to the President. But it drives you out of your mind. Of course it’s BS! Of course! I’ve never once suggested that Obama is wrong on public policy because he’s skinny or because his nickname was Barry. He’s wrong because he’s a leftist.As for poisoning democracy, the worst example of poisoning democracy was Obama calling out and insulting the Supreme Court Justices, followed by the intimidating applause by the Dems in the chamber. He might not like their most recent decision, but the USSC doesn’t always make popular decisions. Brown v. Board wasn’t popular either, but President Eisenhower understood that the USSC is the final arbiter and he supported their decision with the use of troops. I have no idea what Ike thought of Brown v. Board, but he certainly set an example that Obama would do well to emulate, don’t you agree?

nordicexpat - January 29, 2010 at 5:30 am

Funny that you don’t mention Roe v Wade…

suomynona - January 29, 2010 at 7:19 am

Civics 101, which Obama understands, having mentioned ‘separation of powers’ in the same sentence in which he chastised the justices sitting there in front of him: the power to address Congress and the Supreme Court in that very manner is not only the right, but the responsibility of the president. Obama can’t reverse the decision or make the ruling, but he can use his executive access to the government and the nation to apply pressure on other branches of government. Checks and balances, my friend; that’s how it works.

macheath - January 29, 2010 at 8:56 am

I earlier said that livefree’s calling Obama a “socialist” “…is just plain stupid, and in no way can be intended to further any type of discussion, just meant to irritate other people.”We now see part of livefree’s response to that comment of mine:”I mean, technically, the actions of this administration more closely resembles fascism, than socialism…”Case closed. More ignorant, inflammatory trolling. (And no, mocking Obama as “Skinny” is NOT the same as calling him a Nazi. Although livefree has lost a lot of ground here by calling his administration “fascist.” I mean, really. That is so out of touch with reality.)

livefreeordie2 - January 29, 2010 at 9:17 am

Well, my friend, it may be how it works under obama, but it was unprecedented. Even FDR, who hated the USSC, never insulted them during a State of the Union address where the justices are the invited guests of the congress. It was classically arrogant liberal boorishness. And to top it off, he was wrong. None of the existing federal statutes that prohibit or control the use of foreign money in our campaigns has changed. He was flat out wrong in what he said. Either he didn’t know that what he was saying was completely wrong, which would be yet another example of his incompetence, or worse, he knew and was simply lying about it.No one would dispute your contention that the President and the Congress have the power to try to change things by passing new laws. Checks and balances, like you said. But 220 years worth of previous presidents took those actions without resorting to ill-mannered behavior at the State of the Union address.

livefreeordie2 - January 29, 2010 at 9:38 am

Gee whiz, macheath! I said it “more closely resembles.” I didn’t say it was. And on further consideration, let me retract the statement entirely. I was mistaken. First, with all of Obama’s apologizing for America’s sins, real or imagined, to any head of state that will give him 5 minutes, it would be hard to make the case that his administration is “belligerently nationalistic.” Second, “fascism does not demand state ownership of the means of production” so GM alone would make that invalid. And finally, fascism is not “committed to the achievement of economic equality,” and we know that Barry is a redistributionist from the word go. So really, the only portion of the definition of fascism that would apply is the part where it talks about identifying with a charismatic leader who acts in a high-handed manner.You see, macheath? I’m willing to admit when I’m wrong.

goxewu - January 29, 2010 at 11:37 am

for macheath and suomynona:http://www.theonion.com/content/opinion/i_dont_even_want_to_be_alive(Don't tell anyone else about it.)

johntoradze - February 1, 2010 at 12:46 pm

No kidding. This president, although much better than the idiot alternative, is a real disappointment. He doesn’t seem to grasp economic fundamentals, and with a majority in both house and senate, cannot get things done.