Whoa! Never Thought We’d See This!

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Posted by Tina

Can you believe this Newsweek cover?

I never in my wildest dreams…ever…thought I would see such a thing!

Niall Ferguson, author of the featured Newsweek article, asks and answers the question of the moment in The Daily Beast:

Why does Paul Ryan scare the president so much? Because Obama has broken his promises, and it’s clear that the GOP ticket’s path to prosperity is our only hope.

His reasoning:

In his inaugural address, Obama promised “not only to create new jobs, but to lay a new foundation for growth.” He promised to “build the roads and bridges, the electric grids, and digital lines that feed our commerce and bind us together.” He promised to “restore science to its rightful place and wield technology’s wonders to raise health care’s quality and lower its cost.” And he promised to “transform our schools and colleges and universities to meet the demands of a new age.” Unfortunately the president’s scorecard on every single one of those bold pledges is pitiful. (continues)

This comprehensive article creates the reality of the last three and a half years…the promises broken…the expectations unmet…the hopes dashed…the change…all too painful.

I hope you will read it.

So what do you think? Does the President deserve this cover story…is it time for him to go?

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23 Responses to Whoa! Never Thought We’d See This!

  1. Toby says:

    This News Week story while accurate is at the same time total bullshit. They want to sell magazines and they will actually tell the truth from time to time to do it. I do not need News Week to tell me what I have known from day one. Obama is a worthless pile of crap and epic failure on multiple levels. News Week and the rest of the MSM got in bed with the Liberal Left and now they find themselves truly screwed.
    We are to believe the liberal hacks at News Week have woken up and seen what a huge mistake Obama is? ROFLMAO sure.

  2. Pie Guevara says:

    Recommended reading and/or DVD viewing:

    The Ascent of Money: A Financial History of the World

    by Niall Ferguson

    also

    The Commanding Heights: The Battle for the World Economy

    by Daniel Yergin and Joseph Stanislaw

  3. Chris says:

    Matthew O’Brien of The Atlantic has fact-checked Ferguson’s article, and finds it coming up pretty short:

    http://www.theatlantic.com/business/archive/2012/08/a-full-factcheck-of-niall-fergusons-very-bad-argument-against-obama/261306/

    For instance, Ferguson implies that Obama was wrong when he said that the PPACA would not add to the deficit:

    “The president pledged that health-care reform would not add a cent to the deficit. But the CBO and the Joint Committee on Taxation now estimate that the insurance-coverage provisions of the ACA will have a net cost of close to $1.2 trillion over the 2012-22 period.”

    But O’Brien points out that according to the very same CBO estimates Ferguson cites, the ACA still reduces the deficit, since the increases in revenue far exceed the costs:

    “Maybe Ferguson doesn’t understand the meaning of the word “deficit”? The only other explanation is that he is deliberately misleading his readers. The CBO is quite clear about Obamacare’s budgetary implications. It reduces the deficit. Here’s what the CBO said exactly:

    ‘[T]he effects of the two laws on direct spending and revenues related to health care will reduce federal deficits by $210 billion over the 2012-2021 period.’

    In other words, the law is more than paid for. As Paul Krugman pointed out, it does spend $1.042 trillion covering people, but it pays for this coverage by finding savings in Medicare and levying a surtax on investment income for high-earners. That Ferguson looked up the CBO’s estimate of the bill’s cost and didn’t notice that those costs are paid for is peculiar indeed. Even more peculiar is that he is apparently doubling down on this falsehood. And yes, it is a very deliberate falsehood.”

  4. Libby says:

    Mr. Ferguson spends his life responding to critics. I was skimming over this total bitch-fight he had with the London Book Review early in the year. It was too deep to get into at work. He was, as near as I could tell, being slammed for letting his angst as a dispossessed imperialist (aka thwarted white boy) (he’s a Brit, you know) color his interpretation of recent history.

    It would seem to be more of that “dim and dimmer” I was telling you about but, as a matter of actual knowledge, credentials and experience, Mr. Ferguson sits several rungs above the Brothers Wiedemen and Ms. Spitzer on the media trapeze.

  5. Peggy says:

    Niall Ferguson Defends Newsweek Cover: Correct This, Bloggers
    Aug 21, 2012

    First, duck the argument. Second, nitpick. Third, vilify. Thats what Niall Ferguson says liberal bloggers did after reading his Newsweek story on Obamas record. Here, he offers a point-by-point defense of his argument.

    The other day, a British friend asked me if there was anything about the United States I disliked. I was happily on vacation and couldnt think of anything. But now I remember. I really cant stand Americas liberal bloggers.

    http://www.thedailybeast.com/articles/2012/08/21/niall-ferguson-defends-newsweek-cover-correct-this-bloggers.html?utm_medium=email&utm_source=newsletter&utm_campaign=cheatsheet_afternoon&cid=newsletter%3Bemail%3Bcheatsheet_afternoon&utm_term=Cheat%20Sheet

  6. Post Scripts says:

    Liberal tactic: “First, duck the argument. Second, nitpick. Third, vilify.” Thanks for making that abundantly clear Peggy.. right on. This is why liberals are so predictable.

  7. Tina says:

    Notice the attacks on the “credentials” of the reporter.

    Notice the “high tone” in the so-called refutation of Mr. Ferguson’s article.

    Notice the utter lack of rebuttal on the content of the article.

    Yep…PREDICTABLE!

    marksgot and

  8. Libby says:

    I know this isn’t really your thing … but so much of it is soooo good! See, this Salon commentator is commenting on a National Rewiew commentator’s somewhat ill-timed and unfortunately themed “ra-ra-Romney” piece. I cryed.

    ***

    What theyre saying: Let Mitt be Mitt – National Review thinks women will fall for Romney’s inner plutocrat

    By Alex Halperin

    Even National Reviews editors, who politely asked Rep. Todd Akin to bow out of his race, probably wish they picked a different week for a cover story channeling the Republican Partys misogynistic id. Kevin D. Williamson makes the point that Mitt Romney should act more like a rich guy since Americans like rich guys and, get this, a number of Americans are women:

    From an evolutionary point of view, Mitt Romney should get 100 percent of the female vote. All of it. He should get Michelle Obamas vote. You can insert your own Mormon polygamy joke here, but the ladies do tend to flock to successful executives and entrepreneurs.

    The paragraph continues, no ellipses necessary:

    Saleh al-Rajhi, billionaire banker, left behind 61 children when he cashed out last year. We dont do harems here, of course, but Romney is exactly the kind of guy who in another time and place would have the option of maintaining one. Hes a boss.

    Forget that Romney belongs to a party that takes every opportunity to assert autonomy over womens bodies. (And even Ann Coulter says Republicans oppose the issues many women care about.) Williamson thinks women will melt like popsicles if they focus on just how alpha a male Romney is. Whats the evidence? He had boys.

    Five sons, zero daughters. Romney has 18 grandchildren, and they exceed a 2:1 ratio of grandsons to granddaughters (13:5). When they go to church at their summer-vacation home, the Romney clan makes up a third of the congregation. He is basically a tribal chieftain.

    Real men save Ronald Reagan, the GOPs exception to every rule beget more men. Williamson continues:

    Professor Obama? Two daughters. May as well give the guy a cardigan. And fallopian tubes.

    After that Williamson retreats from the daring gambit of playground humor and insulting womens intelligence into the more familiar GOP territory of idolizing the wealthy:

    [Romney] should not be ashamed of being loaded; instead, he should have some fun with it. He will discover something that the Obama campaign has not quite figured out yet: Americans do not hate rich people. Americans love rich people. Americans will sit on their couches and watch billionaire Donald Trump fire people on television for fun.

    The Republican Party does have policy objectives, but its case to the electorate isnt about better governance or any concern of ordinary people. Instead it is an appeal to the visceral and not inconsiderable thrill of being a jerk toward anyone less privileged than you are. Republican policies arent going to help you become more privileged yourself but there will always be richer, better looking jerks to vicariously cheer for.

    Williamson says something similar in his piece:

    Elections are not about public policy. They arent even about the economy. Elections are tribal, and tribes are Occupy types, cover your delicate ears ruthlessly hierarchical. Somebody has to be the top dog.

    Should Romney let his jerk flag fly? Democrats certainly hope he does.

    ***

    And then, when I got to the “cardigan & fallopian tubes”, I swear, I nearly peed.

  9. Chris says:

    Tina: “Notice the utter lack of rebuttal on the content of the article.”

    What this makes me notice is that you probably haven’t even read the rebuttals. Did you read the article from the Atlantic I posted? That went through Ferguson’s claims, point by point, and showed how they were counterfactual, dishonest, and inconsistent. Many others have done this. You can disagree with their arguments, but don’t pretend they haven’t made any.

    As for the “high tone” and questioning of Ferguson’s credentials, you’re just whining. There is nothing wrong with questioning someone’s credentials, nor is there anything wrong with taking a “high tone” with someone who is being intentionally dishonest. And yes, I think Ferguson was being intentionally dishonest, and the quote I highlighted from him is a good example of how. He doesn’t come right out and say that the CBO concluded Obamacare would increase the deficit; that would be a blatant lie. But that paragraph is certainly designed to give an uninformed and casual reader the impression that the CBO says it will raise the deficit, even though the CBO says the opposite. Ferguson knows that, and he must know he is being misleading.

    I think the most stunning part of all of this is Newsweek’s casual admission that they have no fact-checkers. No wonder journalism is in such a sorry state.

    Libby: “Mr. Ferguson spends his life responding to critics.”

    Yes, that seems to be a habit of the chronically wrong. They take a lot of joy in being “unconventional” in their interpretations of a subject, as they attempt to show why most mainstream experts are Actually Totally Wrong and Liberally Biased, but then when their own work is criticized, they act as if their free speech rights have been violated.

    See: Barton, David, whose recent book “The Jefferson Lies” has just been recalled by the publisher because of all of its blatant distortions of history. I’d like to think this will make conservatives begin to question why they’ve elevated David Barton to be the unofficial historian of the Republican Party, but I suspect they will merely take this as more evidence of the Liberal Conspiracy. That persecution complex ain’t gonna feed itself!

    Also, Libby, that National Review article sounds hilarious, as does the Salon article critiquing it, but I wish you had provided a link.

  10. Peggy says:

    We need a president that knows how to be a leader not a community organizer, understands how to help our economy to creat jobs and is not being laughed at in other countries.

    You have to see this video produced in another country. Try not to cry like I did.

    http://www.youtube.com/v/erYpXzE9Pxs%26

  11. Post Scripts says:

    Obama was not ready to president. This video was on PS a few months ago, sad to see its still making us look bad..thanks ONLY to BO the amature!!!

  12. Chris says:

    I’ve heard a lot of conservatives claim that other countries are “laughing at” Obama, but I’ve never seen them present any actual evidence of this. In fact, the polls I have seen seem to show the opposite is true: Obama is quite popular in most foreign countries, and America’s approval rating has gone up during his presidency:

    http://www.pewglobal.org/2010/06/17/obama-more-popular-abroad-than-at-home/

  13. Libby says:

    Sorry, Chris … google Kevin, google Halperin, you’ll get ’em.

    Ain’t it glorious? They ought to be industriously digging their own graves, but after the re-election of Reagan, and the re-election of the Shrub … I can only bring myself to revel in the moment.

  14. Tina says:

    Chris: “As for the “high tone” and questioning of Ferguson’s credentials…”

    Actually I was responding after reading Libby’s comment. I haven’t had time to read long articles today.

    CBO scoring is noteworthy for giving lawmakers a idea of the workability of proposals that will affect the budget. They are not written in stone and they are not accurate indicators of what will actually happen in the future as the predictions for Medicare in 1965 tell us:

    http://blog.heritage.org/2009/08/04/health-care-reform-cost-estimates-what-is-the-track-record/

    what is the federal governments track record when it comes to accurately measuring the future costs of health care programs? Well, the Senate Joint Economic Committee has released a report studying exactly that issue, and they found that health care plan costs are always dramatically underestimated. From the report:

    Medicare (hospital insurance). In 1965, as Congress considered legislation to establish a national Medicare program, the House Ways and Means Committee estimated that the hospital insurance portion of the program, Part A, would cost about $9 billion annually by 1990.v Actual Part A spending in 1990 was $67 billion. The actuary who provided the original cost estimates acknowledged in 1994 that, even after conservatively discounting for the unexpectedly high inflation rates of the early 70s and other factors, the actual [Part A] experience was 165% higher than the estimate.

    Medicare (entire program). In 1967, the House Ways and Means Committee predicted that the new Medicare program, launched the previous year, would cost about $12 billion in 1990. Actual Medicare spending in 1990 was $110 billionoff by nearly a factor of 10.

    Medicaid DSH program. In 1987, Congress estimated that Medicaids disproportionate share hospital (DSH) paymentswhich states use to provide relief to hospitals that serve especially large numbers of Medicaid and uninsured patientswould cost less than $1 billion in 1992. The actual cost that year was a staggering $17 billion. Among other things, federal lawmakers had failed to detect loopholes in the legislation that enabled states to draw significantly more money from the federal treasury than they would otherwise have been entitled to claim under the programs traditional 50-50 funding scheme. (continues)

    Notice that in most left media, and on this blog, if you mention Obama’s record they run as fast as they can away from it! The attack the messenger…they change the subject.

    Media silence on his terrible economic record will continue to be the loudest sound in the debate. Given the way they bashed Bush into the ground on an economy that featured fast recovery from recession and 911, low unemployment, good debt to GDP ratios, and low taxes for all this is astounding. GWB’s record was good despite inheriting a recession, the economic shock of 911, a costly (not by WWII standards) war, and a number of very devastating natural disasters because his policies were focused on the overall economy.

    Obama’s presidency is a complete failure (And still they wave flags of praise). His healthcare legislation is very unpopular. Doctors are particularly disappointed and worried about their futures and the future of medicine. We have record numbers on food stamps and living in poverty. Spending on targeted projects did nothing to spur on job growth and the economy overall and much of it has been a complete waste due to outsourced (green) work and a terrible record at GM and failing companies like Solyndra. It’s ugly…our media should be screaming and instead they nitpick a guy that dares to put the long list of failures into print.

    Shall we talk CBO? How about the report they put out today:

    http://www.washingtonpost.com/blogs/right-turn/post/do-facts-matter/2012/08/22/9778e48e-ec66-11e1-a80b-9f898562d010_blog.html

    While the president and his minions play smear games against the GOP, the economy is figuratively burning down. The Post reports:

    The nation would be plunged into a deep recession during the first half of next year if Congress fails to avert nearly $500 billion in tax hikes and spending cuts set to hit in January, congressional budget analysts said Wednesday.

    The massive round of New Years belt-tightening variously known as the fiscal cliff or Taxmageddon would disrupt recent economic progress, push the unemployment rate back up to 9.1 percent by the end of 2013 and cause economic conditions that will probably be considered a recession, the nonpartisan Congressional Budget Office said.

    “Hit the road Barack” is right on the money! It describes in detail why we need a different president.

  15. Harold Ey says:

    Nial Ferguson’s article was in part a balance piece for the one Newsweek ran on Romney awhile back, where their cover proclaimed Romney a ‘Wimp’. However that is not my point on the current Newsweek Article about Obama ‘who needs to go’, and frankly you will not get a argument from me on that point. I will read the Newsweek article as I have time, but I need no reassurance the cover title is correct. What Ferguson might have said instead of ALL the modus operandi of Obama, was simply that Obama is inept and divisive. That sums of his lack of leadership, plain and simple!

  16. Chris says:

    “CBO scoring is noteworthy for giving lawmakers a idea of the workability of proposals that will affect the budget. They are not written in stone and they are not accurate indicators of what will actually happen in the future…”

    That’s your argument, Tina, but note that it is entirely different from the argument made by Ferguson. He didn’t criticize the reliability of the CBO; he actually cited the CBO to make his point, and did so in a way that was totally dishonest, by implying that they concluded the opposite of what they actually found. If he had accurately represented the CBO and then criticized the organization’s reliability, he may have had a valid argument. But instead he decided to completely mislead his readers. Don’t you wonder what else he tried to mislead you about?

    Even you cite the CBO in the very same comment, so I’m not sure what your point is. The CBO isn’t perfect, but it’s the best source we have at the moment. I’ll take their word over the word of a biased think tank like Heritage which, in my experience, deals almost entirely in a form of intellectualized spin designed to give a veneer of respectability to even the most banal of right-wing talking points.

    Heritage is hardly a more accurate source of information. They’ve often flat-out lied, such as when they claimed that the PPACA had a negative impact on private sector job growth, when in fact job growth has actually been going up since health reform was passed:

    http://www.youtube.com/watch?v=CqpLpq9IL3w

    Heritage also recently spread the lie that Obama “gut welfare reform,” when in reality he responded to the requests of many governors, including Republicans, to give states more flexibility in how they implement their welfare-to-work programs. Yes, conservatives are actually complaining about Obama giving the states more power. Astonishing.

    More: http://politicalcorrection.org/blog/201112190010

    I do not know if Heritage is correct in their analysis of the disparity between CBO’s Medicare projections and the real costs. I would have to do more research on that subject, since I don’t trust Heritage to accurately report the truth.

    “Notice that in most left media, and on this blog, if you mention Obama’s record they run as fast as they can away from it!”

    On the contrary, I am happy to talk about Obama’s record, especially in comparison to his predecessor. We’ve had 22 consecutive months of job growth. Even this Republican blogger concedes that “President Obama has surpassed President Bush on private sector job creation:”

    http://reflectionsofarationalrepublican.com/2012/06/01/bush-vs-obama-unemployment-may-2012-jobs-data/

    The recession began under Bush. Obama inherited a much worse recession than Bush did by every conceivable measure, and he is turning things around, slowly but surely.

  17. Tina says:

    Chris: The CBO isn’t perfect, but it’s the best source we have at the moment.

    No it is not! There are plenty of economists and financial and accounting experts that can clearly describe the errors and omission in CBO reporting and in the spin that Obamas cheerleaders offer the American people:

    Peter Whener,Commentary, April 10, 2012 (Prior to SC Ruling)

    http://www.commentarymagazine.com/2012/04/10/new-medicare-study-and-obamacare/#more-790693

    A new study by Chuck Blahous, public trustee for Medicare and Social Security, blows to smithereens the claim that the Affordable Care Act (aka ObamaCare) will cut the deficit. According to Blahous, President Obamas health care law unambiguously worsens the nations already unsustainable fiscal path. Among its key findings are these:

    Even under an optimistic scenario, the health care law will add more than $1.15 trillion to federal spending over the next decade.

    The law will add more than $340 billion and as much as $530 billion to federal deficits over the same period, and increasing amounts thereafter.

    To ensure the health care law doesnt worsen the nations fiscal outlook, two-thirds of the subsidies must be repealed or other fiscal offsets found before benefits begin in 2014.

    The Obama administration is employing intellectually shallow arguments to counter the findings of the study. Opponents of reform are using new math while they attempt to refight the political battles of the past, an anonymous White House budget official told the Washington Post. The fact of the matter is, the Congressional Budget Office and independent experts concluded that the health-reform law will reduce the deficit. That was true the day the bill was signed into law, and its true today.

    That is because the Obama administration relies on whats known as double counting, something even the CBO admits. The Post story, as well as this analysis by Yuval Levin, explains the matter in detail. So does Richard Foster, chief actuary of Medicare, who in 2010 wrote, In practice, the improved [Medicare trust fund] financing cannot be simultaneously used to finance other Federal outlays (such as the coverage expansions) and to extend the trust fund, despite the appearance of this result from the respective accounting conventions.

    What Foster was telegraphing is that while he was bound by accounting rules to double count, he knows it provides a terribly misleading picture of the fiscal effects of the Affordable Care Act. That is quite an admission by a man who works for the president.

    The conclusion by Blahous is, from the Obama administrations perspective, brutally straightforward:

    Taken as a whole, the enactment of the ACA has substantially worsened a dire federal fiscal outlook. The ACA both increases a federal commitment to health care spending that was already unsustainable under prior law and would exacerbate projected federal deficits relative to prior law. This is an unambiguous conclusion, as it would result regardless of the degree of future success attained in upholding various cost-saving provisions now embedded in the law.

    Once again, reality is blowing apart the imaginary world created by Obama. More and more, it seems, the various claims made by the president should begin with these four words: Once upon a time.

    See also in Commentary from Alana Goodman:

    http://www.commentarymagazine.com/2012/03/14/obamacare-gross-cost-doubles/#more-787182

    Democrats employed many accounting tricks when they were pushing through the national health care legislation, the most egregious of which was to delay full implementation of the law until 2014, so it would appear cheaper under the CBOs standard ten-year budget window and, at least on paper, meet Obamas pledge that the legislation would cost around $900 billion over 10 years. When the final CBO score came out before passage, critics noted that the true 10-year cost would be far higher than advertised once projections accounted for full implementation.

    Today, the CBO released new projections from 2013 extending through 2022, and the results are as critics expected: the ten-year cost of the laws core provisions to expand health insurance coverage has now ballooned to $1.76 trillion.

    June 16, 2012 Peter Ferrara, Forbes

    President Obama bludgeoned Obamacare through Congress on the claim, backed by the Congressional Budget Office, that it would not add to the deficit, even though it adopts or wildly expands three entitlement programs.

    As I discuss in my new book available this week from HarperCollins, Americas Ticking Bankruptcy Bomb, close analysis of the CBO score and other new numbers indicates that, quite to the contrary, Obamacare will likely add $4 to $6 trillion to the deficit over the next 20 years, and possibly more.

    There were three enormous conceptual errors in the CBO score, in addition to the budget trickery indentified by now House Budget Committee Chairman Paul Ryan. The first relates to the new middle class entitlement health insurance program adopted by Obamacare. It added a whole new federal entitlement program providing government subsidies for the purchase of health insurance for families earning up to four times the poverty level, or $88,000 for a family of four. The eligibility thresholds, moreover, are indexed to grow over time. By 2014, this new program will be providing $3,000 in taxpayer funds to families making $95,000 per year. By 2018, almost $5,000 will be going to families making $102,000.

    These health insurance subsidies go only to those who buy insurance on their own individually through state based health insurance exchanges set up by the legislation. Those who receive employer provided coverage are not eligible for them. CBO assumed that only 30 million workers will obtain their health insurance through the exchanges, with the rest of a work force estimated at 162 million in 2014 still receiving employer provided coverage. Of those 30 million, CBO estimated that only 19 million would receive the subsidies at a cost of $450 billion over the first 10 years, or actually the first 6 years of implementation under the Act.

    But with the mandated insurance likely to cost $15,000 or more by 2016, employers will have powerful incentives to dump their employee coverage and pay the $2,000 per worker fine that applies to such termination of coverage. Employers are all the more likely to do this and pay their workers higher wages in place of the health coverage precisely because the workers would then be able to get the huge subsidies for purchasing their insurance through the exchanges, effectively a net income increase. As former CBO Director Douglas Holtz-Eakin reported in a paper for the American Action Forum,
    For example, a family earning about $59,000 a year in 2014 would receive a premium subsidy of about $7,200. A family making $71,000 would receive about $5,200; and even a family earning about $95,000 would receive a subsidy of almost $3,000. By 2018,a family earning about $64,000 would receive a subsidy of over $10,000, a family earning $77,000 would receive a subsidy of $7,800 and families earning $102,000 would receive a subsidy of almost $5,000.

    In fact, in the exchanges, low and moderate income workers can even get subsidies covering their out-of-pocket expenses.

    Holtz-Eakin calculated that employers could gain the enormous savings from dropping the coverage and just paying the $2,000 penalty, while giving their employees a net pay raise because of these enormous subsidies, for all workers making roughly $60,000 per year or less. That means it would make sense for employers to drop their coverage for 43 million additional workers who would then receive the subsidies at taxpayer expense for obtaining their insurance through the exchanges. That alone would triple the $450 billion in estimated costs for the health insurance subsidies of Obamacare under the first 6 full years, adding nearly a trillion dollars to the costs and deficits of Obamacare during that time alone.

    But a new study released by McKinsey & Company earlier this month concluded that Obamacare will result in a radical restructuring of employer-sponsored heath benefits. It found that 30% of employers will definitely or probably stop offering employer health coverage after Obamacare is implemented, and among employers with a high awareness of reform, this proportion increases to more than 50%.

    In the June 8 Wall Street Journal, Grace-Marie Turner, President of the Galen Institute, estimated based on the numbers in the McKinsey report that as many as 78 million Americans would lose their employer provided coverage. If those workers ended up receiving the new Obamacare exchange subsidies, the estimated costs for those subsidies in the first 6 years alone would soar by 5 times, adding $2 trillion to the costs and deficits of Obamacare during that time.

    The second conceptual fallacy in the CBO score was revealed in full by the 2010 Financial Report of the United States Government, released last December by the Treasury Department. It documents the total present value of the future cuts to Medicare under Obamacare at $15 trillion, primarily in payments to doctors and hospitals for health care provided to seniors.

    Such draconian cuts in Medicare payments would create havoc and chaos in health care for seniors. Doctors, hospitals, surgeons and specialists providing critical care to the elderly such as surgery for hip and knee replacements, sophisticated diagnostics through MRIs and CT scans, and even treatment for cancer and heart disease would shut down and disappear in much of the country, and others would stop serving Medicare patients. If the government is not going to pay, then seniors are not going to get the health services, treatment and care they expect.

    Indeed, Medicares Chief Actuary reports that even before these cuts already two-thirds of hospitals were losing money on Medicare patients. Health providers will either have to withdraw from serving Medicare patients, or eventually go into bankruptcy. The unworkable, draconian effect of these Medicare cuts is why the U.S. Government Accountability Office issued a disclaimer of opinion on the Statement of Social Insurance component of the federal governments 2010 Financial Statement, saying, Unless providers could reduce their cost per service correspondingly, through productivity improvements, or other steps, they would eventually become unwilling or unable to treat Medicare beneficiaries.

    Now heres the dirty little secret in Washington as to why you havent heard about this before. No one expects these cuts to actually be implemented. Congress has routinely extended the implementation of such cuts in the past. If they lag in doing so again, first the doctors and hospitals, and then the seniors and their Washington lobby fronts, will start screaming until no one else can be heard on anything. So we got passage of the massive new Obamacare entitlement on the basis of a deficit score including trillions in future cuts that no one expects to be implemented. This would not be the first time that Washington has done this. Of course, reversing those cuts would add $15 trillion to the future deficits caused by Obamacare.

    A third major factor dramatically increasing the resulting deficits under Obamacare is that the tax increases wont raise nearly the revenues that CBO projects. Considering as well President Obamas general tax increases now scheduled for 2013, the capital gains tax rate would increase by close to 60% that year, with the expiration of the Bush tax cuts and the Medicare payroll tax soon applying to capital gains as well. But over the last 40 years, every time the capital gains tax rate has been increased, revenues have declined.

    Similarly, the tax rate on dividends would nearly triple in 2013, due again to the expiration of the Bush tax cuts and the application of the Medicare payroll tax to dividends as well. The last time dividend taxes were that high, corporate dividend payments were greatly reduced. Corporations just kept the money internally for corporate investment. Corporate earnings are already subject to the 35% corporate income tax rate. So revenues from the tax on dividends will decline sharply as well, exactly the opposite of what happened when President Bush cut the tax rate on dividends in 2003. CBO, of course, has a horrid record of wildly failing to estimate the revenue effects of tax changes relating to capital gains and corporate dividends in particular.

    Moreover, as employers drop employee coverage under Obamacare, revenues from the new taxes on health insurance will fall short as well. Expect companies to cut back on high value, Cadillac, health insurance plans in particular, taxed heavily under Obamacare. To the extent that employers respond to the employer mandate by reducing hiring, or even laying off existing workers, that will cause a loss of income tax and payroll tax revenues, further adding to the deficit. Indeed, the employer mandate seems to have had such an effect even before it has become effective.

    These and still other reasons are why I estimate in my book that Obamacare will actually end up increasing the federal deficit by $4 billion to $6 billion over the first 20 years alone, which is further confirmed by subsequent events. As I sit here writing this, I am beginning to think even that will be a woeful underestimate.

    (Emphasis above mine)

    THIS BILL WAS WRITTEN TO DESTROY THE PRIVATE HEALTHCARE MARKET AND ULTIMATELY MAKE THE FEDERAL GOVERNMENT THE ONLY (SINGLE PAYER) OPTION LEFT STANDING.

    IT IS A SNEAKY, UNDERHANDED, DESTRUCTIVE MARXIST TAKEOVER OF ONE SIXTH OF THE ECONOMY.

    IT IS ALL ABOUT POWER AND CONTROL AT THE FEDERAL LEVEL

    “We’ve had 22 consecutive months of job growth.”

    You are soooooooo easy. NET job growth is down. We have lost way more than we have created. Fewer Americans are working today than in 2009 AND there are MORE people looking for work:

    http://www.forbes.com/sites/peterferrara/2012/06/07/the-ongoing-disgrace-that-is-obamanomics/2/

    Job growth under Obama has been the slowest of any recovery since the Great Depression. As a result, only 58% of the civilian working age population is working, the lowest since the late 1970s. Investors Business Daily reports that the rate of new business start-ups, historically the source of most new jobs, has plunged to an all time low of 7.87% of all businesses. These are the reasons why over half of recent college graduates under 25 are jobless or underemployed, and 3 in 10 young adults cant find jobs and live with their parents, the highest since the 1950s. Obamas campaign slogan is Forward, but under his misleadership America is hurtling backward to the past, like Argentina under Peron.

    Unemployment for African Americans under Obama has been well into depression level double digits for his entire term, remaining today still at 13.6%. Black teenagers continue to suffer depression unemployment at 37%. Hispanics too have suffered long term double digit unemployment under Obama, still stuck at 11% in May.

    But we know Obama loves the poor, because his policies are creating so many of them. Census reports that almost 1 in 6 Americans is poor, higher than when the War on Poverty started in 1965, with 49.1 million Americans suffering poverty, the highest in the 51 years that Census has been tracking poverty. The 45 million Americans on food stamps is also an all-time record. Hispanic poverty at 28.2% is higher than African-American poverty at 25.4% for the first time ever. Yet with this poverty and unemployment record, Obama tells Hispanics they should be voting for 4 more years of him.

    An all time record of 47% of Americans are now government dependents receiving some form of government benefits. Yet virtually half of all Americans (49.5%) pay no income tax. Census reports the national home ownership rate at 65.4% is the lowest in 15 years. African American home-ownership under Obama has fallen 30 percentage points below white home ownership, the biggest difference in 20 years, and one of the biggest on record.

    This sorry record is the disgrace of Obamanomics. But the greater disgrace is that Obama came into office pretending not to know anything about the spectacular success of the new supply side economics since Reagan adopted it in 1981. Instead he went all the way back to the failed Keynesian economics of the 1970s that Reagan and all other thinking people left for dead when it managed to create both double digit unemployment and double digit inflation at the same time.

    Keynesian economics is the doctrine invented in the 1930s, holding that what drives economic recovery and growth is increased government spending, deficits and debt. If you have been listening to Obama the past 3 years this will sound familiar. And if it sounds nuts, thats because it is. Borrowing a trillion dollars out of the economy, as Obama did with his stimulus, to spend a trillion dollars back into the economy, does nothing to advance the economy on net.

    This is why there has been no real recovery from the recession under Obama. He should have known that would be the result, since Keynesian economics is not only illogical, but has never worked, in the US during the depression and since, or anywhere else in the world. But Obamas foolish pursuit of Keynesian policies is why federal spending under his Administration has been the highest since World War II, as documented by CBO and Obamas own budgets. It is why, asInvestors Business Daily also reports, federal spending excluding defense and interest is the highest in American history at 17.6% of the economy. And it is why federal deficits and debt have hit all time records under Obama as well. These have been Obamas deliberate policies, a community organizers vision of how to create economic recovery, growth and prosperity.

    But what drives economic recovery and growth is not government spending, deficits and debt, but incentives for productive activities, like savings, investment, expanding businesses, starting new businesses, job creation and entrepreneurship. Those incentives come from reduced tax rates (not tax credits and deductions), reduced regulatory costs and barriers, and stable, sound money. These are the policies of the new supply side economics of Reaganomics, which achieved the supposed impossible in solving double digit inflation and double digit unemployment at the same time.

    Obama should have known that as well. But instead he has play acted the role of Rip Van Winkle, going back to the Keynesian economics of 1970s as if nothing has happened since. This is why he should not even be running for reelection, let alone drawing any support after this gross public policy malpractice.

    But he is the beneficiary of the rise of the New Irrationalism vibrant in the New Left Democrat Party, as featured on MSNBC. That New Irrationalism empowers its followers to deny established facts, to accuse anyone who professes the facts of lying for money, and to denounce anyone who disagrees with them as immoral and corrupt.(continues)

    ” Even this Republican blogger concedes that “President Obama has surpassed President Bush on private sector job creation:”

    If that “Republican blogger” is really a Republican rather than an activist for Media Matters I would be surprised. As you well know statistics can be manipulated to reflect any position one would choose.

    GWB didn’t have the best economic record in the world but he also never had an unemployment number over 6% (2003) and averaged in the 4% range which is close to what is considered normal unemployment as people transition in and out of the jobs market. Under Bush enough jobs were created to keep up with demand…THIS ISN’T HAPPENING NOW UNDER OBAMA.

    Statistical and intentional spin isn’t any way to talk to the American people about the trouble we are in. The Democrat Party is in full spin mode. The contrast between the way they speak about Obama’s terrible record as opposed to the way they covered Bush mediocre record should be enough to convince you that you are being lied to but it doesn’t. I don’t know what that says about you, Chris, perhaps its just that you are loyal, young, inexperienced and naive. Perhaps you are growing to be a true believer in the Marxist model. For your sake I pray its the former. It is your future in the balance.

  18. Tina says:

    One more on JOB statistics and left media Obama operative spin. Obama’s deputy campaign manager, Stephanie Cutter claimed yesterday that Obama’s “recovery” had created 4.5 million private sector jobs. Breitbart puts that trash in perspective:

    http://www.breitbart.com/Big-Government/2012/08/23/cutter-im-just-going-to-make-st-up-k

    When Obama took office, there were 142 million people employed. Last month, there were 142.2 million people employed. A tad under 200,000 more people have jobs today than had them when Obama was sworn in. In January 2009, 11.6 million people were unemployed. Today, 12.7 million are unemployed.

    Those numbers are bad enough, but they are abysmal when you factor in population growth. We’ve added almost 10 million working age adults to the population since January 2009. The only thing keeping our unemployment rate from double-digits is that millions of people have simply given up. Since Obama took office, over 7 million people left the labor force. If the same number of adults today were in the workforce as in 2009, the unemployment rate would be 11%.

    Do the math…it should make you really, really angry!

  19. Chris says:

    Tina, I don’t have time to read all of the articles you posted here, but I do want to point out that I have responded to the Chuck Balhous study before, and in it he makes a number of false claims. For instance, there was no “double-counting” in Obamacare, and the Commentary writer is telling a falsehood when he says that “even the CBO admits” there was double-counting. There was no double-counting.

    http://www.factcheck.org/2011/01/a-budget-busting-law/

    http://www.politifact.com/truth-o-meter/statements/2011/jan/27/paul-ryan/rep-paul-ryan-claims-health-care-law-accelerating-/

    http://www.washingtonpost.com/blogs/fact-checker/post/sebelius-and-double-counting-of-medicare-savings/2011/03/11/ABeOaUR_blog.html

    “If that “Republican blogger” is really a Republican rather than an activist for Media Matters I would be surprised.”

    Good Lord. I don’t know how I expect to have a rational conversation with someone who thinks every piece of evidence against her arguments is just more evidence of the Liberal Conspiracy.

  20. Tina says:

    Chris I posted the video where Kathleen Sabelius admits double accounting in the medicare cuts. Was she lying to Congress… or telling the truth?

    That’s okay…there is no way to have a “rational” conversation with someone who suspects hidden, unacknowledged racism when he can’t get the metaphor.

    This one is short:

    Alana Goodman:

    http://www.commentarymagazine.com/2012/03/14/obamacare-gross-cost-doubles/#more-787182

    Democrats employed many accounting tricks when they were pushing through the national health care legislation, the most egregious of which was to delay full implementation of the law until 2014, so it would appear cheaper under the CBOs standard ten-year budget window and, at least on paper, meet Obamas pledge that the legislation would cost around $900 billion over 10 years. When the final CBO score came out before passage, critics noted that the true 10-year cost would be far higher than advertised once projections accounted for full implementation.

    Today, the CBO released new projections from 2013 extending through 2022, and the results are as critics expected: the ten-year cost of the laws core provisions to expand health insurance coverage has now ballooned to $1.76 trillion.

  21. Peggy says:

    It is encouraging to see another MSM reporter attempt to hold one of the top Obama mouth-pieces accountable for her misleading statements.

    =============
    CNNs Anderson Cooper takes on Debbie Wasserman Schultz
    By KATIE GLUECK | 8/24/12

    Debbie Wasserman Schultz and CNNs Anderson Cooper engaged in a heated exchange Thursday night when Cooper charged that the Florida congresswoman misquoted the Los Angeles Times in a letter that the anchor also said misrepresented Mitt Romneys stance on the Republican Partys abortion platform plank.

    The segment, which has gone viral in the conservative blogosphere, features Cooper, on his CNN show Anderson Cooper 360, pointing to a fundraising email Wasserman Schultz signed. He said that a quote she used from the Los Angeles Times in the appeal was taken completely out of context.

    The DNC chairwoman calls out Mitt Romney and Paul Ryan for saying they dont entirely agree with that plank, Cooper said. And heres how she backs it upBut guess what? The Los Angeles Times reported yesterday that the platform was, and I quote, written at the direction of Romneys campaign.

    But Cooper said the quote was ripped, in fact, out of a sentence, saying that the real piece read, Delegates for presumptive nominee Mitt Romney are voting down substantive changes to the platform language that was written at the direction of Romneys campaign.

    Do you at least acknowledge that the quote that you gave from The L.A. Times is completely incorrect? Cooper asked, after a back-and-forth over Romneys record on allowing for abortions in certain instances, like rape.

    No, I dont acknowledge that. I know that is what youre saying, Wasserman Schultz shot back. When he started to read the quote, she interrupted, Anderson, what Im saying is, it doesnt matter.

    Read more: http://www.politico.com/news/stories/0812/80088.html#ixzz24U9czG45

  22. Chris says:

    Tina: “Chris I posted the video where Kathleen Sabelius admits double accounting in the medicare cuts. Was she lying to Congress… or telling the truth?”

    That’s not what she said, though it’s been repeated ad nauseum in the conservative blogosphere. When asked whether the $500 billion in cuts was for preserving Medicare or funding the health care law, Sebelius replied, “Both.” And according to numerous fact-checkers (including some I have already linked to), she’s right. From the Washington Post’s Fact Checker:

    “Aha! The double-counting of Medicare funds for the new health care has been admitted by the Obama administration. At least thats what Republicans claimed as the video clip above when viral on the Internet.

    On the face of it, Sebelius answer seems rather strange. As one web headline put it, Sebelius Cracks! Admits the Obamacare Books Were Cooked

    But on another level, Sebelius is telling the truth, though somewhat inartfully. There is really nothing quite as nefarious about the process as some critics suggest, though one could argue that the process is wrong. A lot of this has to do with the strange and complicated way that the U.S. federal budget is calculated, so lets take a trip through the numbers.

    The Facts

    When President Bill Clinton signed the Balanced Budget Act of 1997, then House Speaker Newt Gingrich (R-Ga.) was one of the speakers. On Medicare, we came together and we saved the system for at least a decade, he declared. How could he make this claim? Through the same double-counting that Republican now decry.

    The Fact Checker especially frowns on hypocrisy, and Republicans should acknowledge that they have gladly played this game before, including under President George W. Bush. Even a reformed gambling addict has to admit he once had a gambling problem.

    But, on the other hand, a strong case can be made that there is no double-counting going on at all. Its simply a case of looking at the same money at different ways. In other words, it is not double counting, but counting different things.

    You may have $1,000 on deposit at a bank. Those are certainly your assets, but the bank looks at that money differently: money to make more loans. Its the same $1,000 but it is counted differently on your books and the banks books.

    A similar thing is going on here. The health care law reduced predicted expenditures for Medicare by nearly $500 billion, resulting in budgetary savings that the law uses to help pay for the health care changes. Thats the money in the bank; it means the U.S. government will not need to set aside as many Treasury securities to fund Medicare.

    Meanwhile, because Medicare spending has been reduced, the solvency of Medicare has been extended. Thats the other side of the ledgerthe banks view, so to speak. The accounting for Medicare solvency is a different matter than the current spending in the budget, though it has implications for the long-term budget health…

    …Sebelius is correct when she says the same savings is doing two things at once. Whether this is double-counting is in the eye of the beholder, but under the accounting rules that both parties have used for decades, this is considered an acceptable practice. As the debate on entitlements heats up, and new savings in Medicare are identified, the real question should be how those savings are applied, not whether the accounting is bogus.
    Two Pinnochios to Republicans who keep flogging this issue without acknowledging their own past complicity.”

    http://www.washingtonpost.com/blogs/fact-checker/post/sebelius-and-double-counting-of-medicare-savings/2011/03/11/ABeOaUR_blog.html

    Economist Dean Baker makes pretty much the same point:

    “Steve Rattner put his ignorance on public display again in a column in the NYT. He told readers that counting the savings projected in Medicare as a result of the cost controls in President Obamas health care reform as lowering the budget deficit amounts to double-counting. There is a simple word for Rattners claim: wrong.

    The logic is simple. The Medicare program is counted as part of the overall budget. (If Rattner has other information on this point, he could do a great service by sharing it with NYT readers.) However, part of Medicare (Part A, which covers hospital insurance and most other medical bills of seniors) is also required to be funded by the designated Medicare tax. Any savings in this portion of the program will improve the finances of the Medicare trust fund and also reduce overall expenditures, thereby leading to lower budget deficits.

    This really is not rocket science. We finance some categories of transportation spending from the Highway Trust Fund, which relies on revenue from the gas tax. If we reduced this transportation spending it both frees up money in the trust fund and also reduces the budget deficit. There is no double-counting here, it is just counting pure and simple.

    It is bizarre that this accusation of double-counting keeps coming up. It is wrong and does not belong in a serious newspaper.”

    http://my.firedoglake.com/deanbaker/2012/04/14/counting-and-double-counting-in-medicare/

    “That’s okay…there is no way to have a “rational” conversation with someone who suspects hidden, unacknowledged racism when he can’t get the metaphor.”

    Tina, I get the metaphor you are trying to make when you call black welfare recipients “slaves of the Democratic plantation.” I just think it’s a terrible, offensive, and racist metaphor with no basis in reality. Welfare recipients are not comparable to slaves. You yourself claim that this is the “land of opportunity,” and that welfare recipients can choose to pull themselves up by their bootstraps, find good work and break the cycle of welfare. Slaves never had that option. It is not a “rational” metaphor, it is a purely emotional one, and I find it quite insensitive and mean-spirited.

    Peggy, I think it’s awesome that Cooper called Schultz out for taking words out of context. I hate when the other side does this, and I hate when my side does it too. Cooper is doing what too many journalists don’t do anymore. He did his research and held her accountable.

    Another good example of journalists doing their jobs comes from Wolf Blitzer, who held Romney campaign chairman John Sununu accountable for the “Obama guts work in welfare” lie:

    http://www.youtube.com/watch?v=t3qa3LCR8lw&feature=player_embedded

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