Kudos to my good friend Rich Lowry, editor over at the National Review, who hit the nail on the head today in his column, “The Wonder of Voodoo Economics.”
“Who says you can’t cut taxes, increase spending, and reduce the federal budget deficit all at the same time? That’s what the Bush administration has managed to do. Two decades after then-presidential candidate George H.W. Bush characterized Ronald Reagan’s idea that tax cuts would spur revenue-generating economic growth as ‘voodoo economics,’ the witch doctor is again at work.
When President Bush pledged in 2004 to cut the deficit in half by 2009, critics guffawed. The Boston Globe headlined a story, ‘Bush’s plan to halve federal deficit seen as unlikely; higher spending, lower taxes don’t mix, analysts say.’ ‘Fanciful,’ ‘laughable’ and ‘all spin,’ said the critics.
Well, it turns out that 2009 might be coming early this year. The 2004 deficit had been projected to hit $521 billion, or 4.5 percent of gross domestic product. Bush’s goal was to cut it to 2.25 percent of GDP by 2009′”not exactly as stirring a national goal as putting a man on the moon, but one that was nonetheless pronounced unattainable. This year, the deficit could go as low as $300 billion, right around the 2009 goal of 2.5 percent of GDP….”