Bruce Bartlett, Ex-Reagan Economist: Idea That Deregulation Leads To Jobs 'Just Made Up'

[UrbScotty]

Key proposals from the Republican presidential candidates might make for good campaign fodder. But independent analyses raise serious questions about those plans and their ability to cure the nation's ills in two vital areas, the economy and housing.

Consider proposed cuts in taxes and regulation, which nearly every GOP candidate is pushing in the name of creating jobs. The initiatives seem to ignore surveys in which employers cite far bigger impediments to increased hiring, chiefly slack consumer demand.

"Republicans favor tax cuts for the wealthy and corporations, but these had no stimulative effect during the George W. Bush administration, and there is no reason to believe that more of them will have any today," writes Bruce Bartlett. He's an economist who worked for Republican congressmen and in the administrations of Presidents Ronald Reagan and George H.W. Bush.

As for the idea that cutting regulations will lead to significant job growth, Bartlett said in an interview, "It's just nonsense. It's just made up."

http://www.huffingtonpost.com/2011/10/31/gop-candidates-plans-on-economy-housing_n_1066949.html

[nadinbrzezinski]

1. I am glad you posted this

I saw it earlier but I promised not to participate in that OP's posts.

At a meta level this is not surprising... a lot of our economic policy is being made up as we go... and ignores actual practice.

[FiveGoodMen]

2. K&R

[spanone]

3. k&r...

[Old and In the Way]

4. How many people make up that 1%?

How many cars, TV's, refrigerators, houses, etc can they buy to keep the economy afloat? They've got all of that stuff...all they can do is move it to places where they can get invest it...and they are investing it in this country. It's not a supply side economy that makes this country prosper...it's demand. The demands of the 1% are nearly enough to create a vibrant economy. Someday, maybe Republicans will stop preaching their gospel/ideology and figure this out. Taxcuts for the 1% won't fix this economy...only jobs that allow the bottom 99% to create real demand will.

[Marazinia]

5. This should be the lead story on every network

The front page of every paper in the country.

And then maybe, just possibly Americans would stop believing this garbage.

But even then, I doubt it.

[avaistheone1]

7. I'll second that.

It amazing that so many of the Reagan circle have come forth recently to now state that their policies were seriously flawed and wrong.


k&r

[unblock]

6. deregulation, in fact, is almost always about eliminating jobs.

jobs that are necessary to avoid workplace accidents, workplace discrimination, pollution, monopolies, and so on.

yeah, doing so involves having people on staff to fill out forms and take additional work steps to avoid these bad things. it's "inefficient" if your goal is to maximize production and minimize expenses AND you don't care about such "unrelated" things.



the only scenarios in which deregulation leads to hiring is if businesses don't exist now solely because some regulation prevents it. but of course, that regulation existed for a reason, which at least was once considered a good reason. only if the regulation is outdated would it make sense to get rid of it, and THAT could lead to more hiring.

but mostly, the regulations still make sense, and getting rid of them might lead to more jobs and more production only at the expense of more pollution or other societal ills.

[alc]

8. not all regulations or businesses are the same

Some regs are good. Some are bad. Some are no problem for a big corporation but keep a small company from getting into the business, so they guarantee no new competition for the big company.

Big businesses are not going to be creating jobs anyhow. And they already have the staff set up to deal with regulations pretty efficiently as they are added and change (HR, tax, environment, etc). We need to put a focus on deregulating/simplifying small businesses. They will be creating jobs and regulations do slow down their growth and in some cases keep them from competing with a big business.

[tex-wyo-dem]

11. Although some of what you state re: regulation and small business...

May be true, the problem I have are blanket type statements basically demonizing government regulation in general, in effect inferring ALL regulation is bad (I'm not accusing you of doing this).

What many forget is that most government regulations came about through public pressure and demands and are designed to protect the society at large. Protecting worker rights, health and safety, protecting our environment and the rights of consumers I can guarantee you were not championed by big corporations or the wealthy 1%ers.

Blaming government regulations for our economic and jobs woes is just another straw man tactic used by the PTB in an effort to make more ill-gotten wealth.

[Kingofalldems]

9. They just make up shit as they go along

Today it was OWS is full of commies.

[FiveGoodMen]

10. Which is why substantive lying (where important decisions will be based on the lies) must be a crime

Lairs ALWAYS, ALWAYS, ALWAYS have the advantage in swaying the public.

They can float any trial balloon they want -- as often as they want -- and just ride the public ignorance to greater riches and power.

If one lie doesn't capture the public's imagination, say you misspoke and try another lie.

Honest people are stuck trying to sell the truth to a confused and distrustful populace. And if the great unwashed don't like what they hear, that's that. Because honest people only have one version of events to tell.

If we went after the liars and jailed the ones who could be successfully prosecuted, then the public might have a fighting chance again.

[tex-wyo-dem]

12. The whole supply-side economic theory is a sham and a farce...

A very convenient vehicle for the 1%ers to expand their wealth to obscene levels.

[ck4829]

13. K&R