When President Bush II came into office in 2001 he quickly turned all that progress around. With the help of a Republican controlled Congress he immediately gave a massive tax cut based on a failed economic policy; perhaps an economic fantasy describes it better.
The last year Mr. Clinton was in office the nation borrowed 18 billion dollars. The first year Mr. Bush II was in office he had to borrow 133 billion. The first tax cut Bush pushed through a willing Republican Congress caused an upswing in government borrowing that was supposed to stimulate the economy, but two years later Bush had to push through yet another tax cut.
The second tax cut was needed because it was clear that the first one did not work. Economic history tells us the second did not work either. As a result of all his tax cutting with no cutting in spending, in 2003 President Bush set a record for the biggest single yearly dollar increase in debt in the nationís history.
He did it again in 2004, increasing the debt more than half a trillion dollars. Since 2003 total borrowing has exceeded $500,000,000,000 per year. Even Mr. Reagan never increased the debt that much in a single year; Mr. Reaganís biggest increase was only 282 billion, half of GWBís outrageous spending.
As a result of the fact that the debt was already pretty high when Bush II entered office, his annual rate of increase is only averaging 7% per year so far. In 2006 he was holding press conferences bragging that the debt was increasing at the rate of only 300 billion dollars a year, yet in reality it was twice that. Again the facts do not match Neo-Con rhetoric.
Of course 7% growth is a misleading figure as it does not make clear that by so drastically increasing the total debt, the amount of the annual US budget dedicated to service the debt has grown to over 20%.
Thanks to misguided Neo-Con ideological thinking, over a fifth of our budget does nothing to contribute to the growth or health of the nation.
It does not matter if you call it a war or an occupation, supporting Iraq is expensive. It just boggles the imagination of any fiscally responsible person that the Republican Congress and President have repeatedly cut taxes during this overly aggressive and very expensive era for our military.
The nation is borrowing money so that the we can spend more on our military than all the other nations on Earth combined, and still the Neo-Cons are calling for even more tax cuts and even more military spending.
Mr. Bush is constantly claiming that the economy is great! What he leaves out is that he is buying that simulated good economy with his borrowed dollars; it is a false economy that could very well crash the minute the borrowing stops, yet for the sake of our future it must stop