Romney Messes Up, Tells the Truth About Austerity

By William K. Black

Mitt Romney has periodic breakdowns when asked questions about the economy because he sometimes forgets the need to lie.

He forgets that he is supposed to treat austerity as the epitome of economic wisdom. When he responds quickly to questions about austerity he slips into default mode and speaks the truth--adopting austerity during the recovery from a Great Recession would (as in Europe) throw the nation back into recession or depression.

The latest example is Black’s interview with Mark Halperin in Time Magazine, (May 23, 2012).

Halperin: Why not in the first year, if you're elected--why not in 2013, go all the way and propose the kind of budget with spending restraints, that you'd like to see after four years in office? Why not do it more quickly?

Romney: Well because, if you take a trillion dollars for instance, out of the first year of the federal budget, that would shrink GDP over 5%.

That is by definition throwing us into recession or depression. So I'm not going to do that, of course.

Editor: Of course.

Romney explains that austerity, during the recovery from a Great Recession, would cause catastrophic damage to our nation.

The problem, of course, is that the Republican congressional leadership is committed to imposing austerity on the nation and Speaker Boehner has just threatened that Republicans will block the renewal of the debt ceiling in order to extort Democrats to agree to austerity–-including  severe cuts to social programs.

Editor: Listen, you fux, you transferred every last nickel to the wealthiest 1%. Did you think we didn’t notice? 

Romney knows this could "throw us into recession or depression" and says he would never follow such a policy.

Editor: Hardly ever.

Romney, however, has not opposed Boehner's threat to use extortion to force austerity on the nation.

Romney has the nomination sown up, but I predict that he will stand by and let Boehner try to throw us into a Great Depression rather than upset the Tea Party-wing of the Republican Party.

Indeed, Romney will attack Democrats who have the political courage to defend our nation against his Party's demands for austerity that would throw us into recession or depression.

What does one call a politician who, solely to advance his personal political ambition, supports his Party's efforts to coerce austerity even though he knows that the austerity would cause a national economic catastrophe and states that he, "of course," would never adopt such self-destructive austerity if he were president?

Romney is failing the tests of courage, integrity, and loyalty to our nation and people.

Editor: Did you notice that, too?

Later in the interview, Romney claims that federal budgetary deficits are "immoral." But he has just explained that using austerity for the purported purpose of ending a deficit would cause a recession or depression.

Editor: We mustn't forget the billions upon billions of dollars funneled to already wealthy individuals and corporations as fast as possible as Republicans completed the transfer of wealth without causing alarm.

A recession or depression would make the deficit far larger. That means that Romney should be denouncing austerity as "immoral" (as well as suicidal) because it will not simply increase the deficit (which he claims to find "immoral" because of its impact on children) but also dramatically increase unemployment, poverty, child poverty and hunger, and harm their education by causing more teachers to lose their jobs and more school programs to be cut.

Fewer children will be able to get college degrees. Austerity is the great enemy of children--it is the epitome of a self-destructive, immoral economic policy.

Listen for the sounds of silence from Romney in coming months. I predict that he will not act to protect our children or our economy from the suicidal and "immoral" austerity his Republican allies are trying to coerce the Democrats to inflict on our economy and our children.

This post originally appeared at 
New Economic Perspectives.

 Private Banks

"If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered...I believe that banking institutions are more dangerous to our liberties than standing armies... The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."

Thomas Jefferson -- 1809