Obama Versus Bush on Spending

Obama Versus Bush on Spending
Very little is safe for Democrats this fall.

By KARL ROVE

'If Massachusetts puts Brown in, it's a message of 'that's enough.' Let's stop the giveaways and let's get jobs going."

Marlene Connolly is a 73-year-old Massachusetts Democrat who cast her first vote for a Republican in supporting Scott Brown. Her quote and story comes to us via the New York Times, but she stands out for this reason: She shows us that those who actually cast ballots in the Bay State did so because they are frustrated with the administration's unrestrained federal spending and failed economic recovery policies.

And here's what Washington needs to keep in mind as it debates the meaning of Massachusetts. Ramming health care through now won't insulate Democrats from voter ire in November. It will feed a fire over spending that is already blistering them.

But don't take my word for it. Consider that the administration is now busy scrambling to find a way to dodge responsibility for its own reckless fiscal record. That much was on display recently when David Axelrod, a political strategist for the president, penned an opinion piece in the Washington Post that took aim directly at me.

Mr. Axelrod wrote that no one is entitled to his own facts, even as he argued that George W. Bush is responsible for Barack Obama's deficits. He argued that Mr. Bush forced the hand of this administration by leaving office in the midst of a sharp recession.

That argument won't fly for two reasons. First, at some point this administration has to take responsibility for itself. It's also not even close to accurate. Consider that from Jan. 20, 2001, to Jan. 20, 2009, the debt held by the public grew $3 trillion under Mr. Bush—to $6.3 trillion from $3.3 trillion at a time when the national economy grew as well.
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By comparison, from the day Mr. Obama took office last year to the end of the current fiscal year, according to the Office of Management and Budget, the debt held by the public will grow by $3.3 trillion. In 20 months, Mr. Obama will add as much debt as Mr. Bush ran up in eight years.

Mr. Obama's spending plan approved by Congress last February calls for doubling the national debt in five years and nearly tripling it in 10.

Mr. Bush's deficits ran an average of 3.2% of GDP, slightly above the post World War II average of 2.7%. Mr. Obama's plan calls for deficits that will average 4.2% over the next decade.

Team Obama has been on history's biggest spending spree, which has included a $787 billion stimulus, a $30 billion expansion of a child health-care program, and a $410 billion federal spending bill that increased nondefense discretionary spending 10% for the last half of fiscal year 2009. Mr. Obama also hiked nondefense discretionary spending another 12% for fiscal year 2010.
About Karl Rove

Karl Rove served as Senior Advisor to President George W. Bush from 2000–2007 and Deputy Chief of Staff from 2004–2007. At the White House he oversaw the Offices of Strategic Initiatives, Political Affairs, Public Liaison, and Intergovernmental Affairs and was Deputy Chief of Staff for Policy, coordinating the White House policy-making process.

Before Karl became known as "The Architect" of President Bush's 2000 and 2004 campaigns, he was president of Karl Rove + Company, an Austin-based public affairs firm that worked for Republican candidates, nonpartisan causes, and nonprofit groups. His clients included over 75 Republican U.S. Senate, Congressional and gubernatorial candidates in 24 states, as well as the Moderate Party of Sweden.

Karl writes a weekly op-ed for the Wall Street Journal, is a Newsweek columnist and is the author of the forthcoming book "Courage and Consequence" (Threshold Editions).

Email the author at Karl@Rove.com or visit him on the web at Rove.com. Or, you can send a Tweet to @karlrove.

Mr. Bush did move to give voters more control over their tax dollars. Both his Social Security reform ideas and the drug program he created offered templates for driving federal spending curves in the right direction, counter to what Democrats wanted to do.

Democrats, for example, proposed creating a prescription drug program as an alternative to the one Mr. Bush proposed that would have cost a projected $800 billion over 10 years. The Bush drug benefit was originally expected to cost half that amount and today costs a third less than what it was initially expected to cost because it uses market forces to drive prices down.

Mr. Axelrod claims the pork-laden stimulus package has been a success. But Mr. Obama told Americans that if it were passed, unemployment wouldn't rise above 8%. It is now 10%. The president also said it would create 3.7 million jobs, 90% of which would be in the private sector. By Mr. Obama's standards, the stimulus failed miserably.

Mr. Bush did sign the Troubled Asset Relief Program (TARP) into law and loaned $240 billion to banks. But those loans are being returned at a profit to the Treasury. Rather than using those funds to pay down the deficit, Mr. Obama wants to use them for new spending. What's more, he has lavished some $320 billion from TARP on car companies, union allies, and pet causes that will never be fully returned.

Mr. Axelrod boasts Mr. Obama's proposed health reforms will "not add to the federal deficit." But if that turns out to be true, it will only be because Massachusetts voters just elected a senator who promises to vote against those reforms.

In going after Mr. Bush's fiscal record, Mr. Axelrod unwittingly revealed why Democrats are losing. Mr. Obama and congressional Democrats have made a mess of the nation's finances and are desperate to pin the blame on someone else. It's not likely to work.

Even in deep blue Massachusetts, voters aren't standing idly by while the administration puts the nation on a dangerous trajectory. When Democrats lose a state they carried by 26 points a little more than a year ago, very little is safe for Mr. Obama's party this fall.

Mr. Rove, the former senior adviser and deputy chief of staff to President George W. Bush, is the author of the forthcoming book "Courage and Consequence" (Threshold Editions).