What a difference a year makes at the New York Times.
THE centerpiece of the Bush administration’s economic policy has been large federal income tax cuts aimed mainly at top earners. These tax cuts account for much of the $2 trillion increase in the national debt projected to occur during the Bush presidency. They prompted a large group of Nobel laureates in economics to issue a statement last year condemning the administration’s “reckless and extreme course that endangers the long-term economic health of our nation.”
An unexpectedly steep rise in tax revenues from corporations and the wealthy is driving down the projected budget deficit this year, even though spending has climbed sharply because of the war in Iraq and the cost of hurricane relief.
Tax revenues are climbing twice as fast as the administration predicted in February, so fast that the budget deficit could actually decline this year.
Welcome to supply-side economics. Just what Bush touted when he pushed for the tax cuts in the first place. This is just another shining example of how the MSM creates a parallel universe devoid of facts, then claims to be surprised when reality doesn’t shape up as they had predicted.
For what it’s worth, the 2005 article also said:
Economists from both sides of the political aisle argued from the beginning that tax cuts for the wealthy made no sense as a policy for stimulating new jobs. And experience has proved them right. Total private employment was actually lower in January 2005 than in January 2001, the first time since the Great Depression that employment has fallen during a president’s term of office.
As of July, 2006, total private employment is almost 2.8 million jobs higher than when Bush took office… and that’s after an unprecedented terrorist attack on our soil, two wars and an economic downturn enhanced by exposure of unchecked corporate corruption from the 1990s.
I’m sure this comes as a surprise to them as well.