What exactly are “the policies that got us here in the first place”?

by Ryan Streeter on October 12, 2012. Follow Ryan on Twitter.

I’ve been struck by how the media have basically given Obama and Biden a pass on the statement they keep repeating, which Biden repeated last night and which I’ve just heard twice by his defenders on the morning shows: Romney and Ryan are proposing the policies that got us here in the first place.

What, exactly, are those policies? Did the Bush tax cuts on top earners cause the financial crisis? Was our capital gains rate really responsible for leading us into the crisis? How is it that lowering taxes by 20% with matching eliminations in the tax code (forget for a moment whether Romney can pull that off) is going back to the policies that led us into the Great Recession? And how are the entitlement reforms they are proposing to Medicare and Social Security in any way related to what led to the crisis?

On the other side of the ledger, how is it that raising the top marginal rate will avoid another crisis? How will the current non-reforms to Fannie Mae and Freddie Mac avoid another crisis? Does anyone think Dodd-Frank is up to the task in its current form?

This Obama-Biden line gets repeated every day without anyone seriously challenging it. More than any claim they’re making, it makes the least amount of sense and receives the least amount of scrutiny.

  • Fitnessmc

    Not only that, one of the most disastrous policies that brought us here was the C.R.E. signed into law by none other than Bill Clinton. Look it up- The Community Reinvestment Act. Disaster.

    • Bpenman

      Absolutely! I was just scrolling down to type that and you had it done for us all. LIKE LIKE LIKE

      Let’s not forget that all bubbles burst, and the dotcom bubble was as big as they come. Bush had that AND 9/11 to deal with. I can’t agree with Bush’s spending on all counts, but HE was the one that started with a fiscal nightmare.

      • halesbells

        Bush had all of this and the largest natural disaster in Katrina to contend with. He stayed classy all the way. Obama received a bad hand as did Bush from Clinton and Reagan did from Carter.

        These things happen. Obama/Biden has only made it much worse.

        Recession will end with the right moves from government and then getting out of the way and allowing capitalism to work.

    • JorgeAlberto

      I would like to hear Romney challenge this by asking Obama. Do you even have any idea why we had a recession? Since you clearly have no clue, how can you be trusted to solve the crisis?

  • http://www.facebook.com/profile.php?id=24500085 Scott Chesrown

    Well said.

  • PJ Blogger

    most of the media are Marxist , like Obama and are looking to destroy our freedoms

  • http://mikespoliticalmusings.blogspot.com/ Cynical Mike

    One of many falsehoods & fallacies that get repeated over and over; it’s almost like Romney/Ryan supporters feel like there isn’t enough time to refute them all. Maybe they should come up with a “top 10 Fallacies” list and do a speech refuting each of them as succinctly as possible.

    I noticed once last night that Biden claimed we’ll save $800 billion over the next 10 years by ending the wars in Iraq & Afghanistan. By the same logic, couldn’t I then claim we’ll therefore save $1.6 trillion over the next 20, and a whopping $2.4 trillion over the next 30?

    Last night probably wouldn’t have changed anyone’s mind except for the inevitable backlash over Biden’s demeanor (or lack thereof). By the weekend, the Dems will be glad that there’s another debate on Tuesday.

    • http://twitter.com/tcaward Theresa A Ward

      How do we save 800 bil over ten years, if the war in afgan is over in 2014? isn’t that savings for just 2 years?

      • http://mikespoliticalmusings.blogspot.com/ Cynical Mike

        Well, the savings over two years would be $160 billion, but the point is that once the wars are “over”, you can no longer take credit for saving money on them. That would be like saying we’ve reduced spending $x gazillion dollars since 1945 by ending the wars in Europe and the pacific.

      • Vondras

        That’s a great point!

  • jeighcee

    Perhaps they (Obama and Beiden) do not believe anyone remembers the last four years? :-)

  • http://www.facebook.com/diane.hurst.10 Diane Hurst

    The dems under clinton passed the fairtrade act which really began the flurry of companies bailing to other countries that had lower pay.
    Clinton and the dems passed the fair housing act that forced the banks to loan to those who could not afford them.
    The dems clearly avoided any law that would prevent solialism to flurish.
    It is what it is and obama is the worst. He is out to destroy our country. Please watch and be very vocal during these next 25 days. Who knows what wool obama is going to pull over our eyes through presidential fiat.

  • Wayne Hilde02

    These serious questions should be in the hands of Governor Romney and Rep Ryan before the next debate. Please try to put them there.

  • Jcoons8

    THANK YOU! You’ve articulated what has been a major oversight by the GOP leadership and pundits. Romney/Ryan and their supporters will gain major traction with undecided and some Obama voters if they dismantle this empty talking point from the left

  • http://www.facebook.com/marcus.clenney Marcus Clenney

    The policies that got us here in the first place? What about the loss of Glass-Steagall — I think that was in the Clinton administration? And we balanced the budget back then, but the lack of available government bonds led to Fannie Mae & Freddie Mac issuing mortgage-backed securities — wasn’t that during the Clinton administration that started? What about promoting homes for low-income or poorly qualified buyers — didn’t that start in the Clinton administration? I’m not blaming Clinton, just saying there are lots of unforseen consequences all over the place that played a part in all of this. More government manipulation causes more problems, not less.

    • NotPropagandized

      Thanks for Glass-Steagall comment, that was a disastrous move. I believe Community Reinvestment Act started with Carter and went viral under Clinton. FACT is that our economic disasters are largely the result of government mal-regulation, not to mention Damocra’st relentless social engineering.

      It is soooo bothersome that Repugnicans are sooo afraid to tell the truth for fear of what the media will do. We are entering very dark times. It’s such a shame.

  • http://www.facebook.com/marcus.clenney Marcus Clenney

    I think Romney should start counting all the money we save by not fighting World War II any more.

  • http://twitter.com/tcaward Theresa A Ward

    Been wondering about this myself!!

  • Joeschmoe

    I have asked that question many times, because if it was the bush tax cuts, why did BHO extend them 2x?

  • Okolehao

    Obama has already made it worse with Obamacare. Any thinking person would ask why did Obama have to provide 100s of exemptions for large companies to Obamacare? Because the cost would force them to drop healthcare. So, big companies.get a pass but smaller companies get hosed. Very unAmerican. Where’s that level playing field Obama keeps talking about?

  • MamieL

    In the first debate, Obama gave 3 different reasons for financial crisis:
    1st – Bush tax cuts which caused deficits
    2nd – Two wars, tax cuts, and programs that weren’t paid for
    3rd – Reckless behavior by Wall Street, mortgage loan officers, & bank products that bankers themselves didn’t understand
    The 3rd one is the real reason for the financial crisis, and Obama knows it. But he continues to blame it on the Bush tax cuts.