Barney Frank Decimates Wingnut Economics (click for video)

In an interview with CNBC’s Maria Bartiromo, Rep. Frank made mincemeat not just of the deficit hawks now pouring on the debt to give more to the rich.   While he was at it, he also made a bit of hash of interviewer Bartiromo.

While pointing out that any attack on social security is an attack on the most successful system the government operates.  He went on to point out that the cuts on taxes Bush passed were scheduled to end now, ten years after introduced, because it would have been reported otherwise by CBO that they were unaffordable.

Bartiromo asked about job creation, and Frank points out that the wingers were ceding unemployment which would actually be stimulative.  He would have added getting out of Iraq in order to afford more, but should commit to replacing moneys lost to social security by payroll tax cuts.  . . .

Frank stated that a tax cut for the rich will not increase spending, to which Bartiromo jumped in with her usual mantra, that the rich would pull in if they thought their taxes would rise (4:58) and Frank went on to point out that that hadn’t happened previously when it was predicted in 1993 for the tax rise he had passed, and that those making $2 million don’t spend more because they get a few thousand.

Bartiromo argues ‘why punish someone for working hard, doing well, achieving success’  (6:07) and Frank countered that he doesn’t see taxation as a punishment.  Watch this round, as (6:26) Bartiromo says “I didn’t say taxation was a punishment” although she just had.  when Frank points out that she just did, Bartiromo says “Not all taxes, but higher taxes.”  As they had just been talking about estate taxes, Rep. Frank goes on to establish that there is no issue of hard work there, as the heirs were simply inheriting, and estate taxes are being cut not to the workers, but to the non-performing heirs to wealth.

Rep. Frank on CNBC

As Barney goes on to insist that the hard work justification for escaping taxes hardly applies to being merely related to “or very friendly with” someone wealthy, and Bartiromo murmurs “Fair enough, fair enough” (6:49).  Frank then states that no increase in spending occurs when someone making half a million gets an additional $7500 and Bartiromo argues that “You don’t know that” to which Frank responds “Neither do you.”   Bartiromo says “You’re right, you’re right” (7:20).  Frank repeats then that he does know that it’s going to add to the deficit.

The video ends with Frank making points against the credit card fees charged to merchants’ being cut off, but admits that in order to get the bill passed that had to be given up.   Bartiromo “as always” thanks him for being on, with a strained smile.

Watching weak and continuous arguments against the policies that brought us prosperity by ‘financial analysts’ that never saw the debacle coming, and evidently want more debacles, is everyday fodder on the business reports.   How nice it would be to have qualified economists without chamber of commerce agendas giving actual news, and actual facts.

Ruth Calvo

Ruth Calvo

I've blogged at The Seminal for about two years, was at cabdrollery for around three. I live in N.TX., worked for Sen.Yarborough of TX after graduation from Wellesley, went on to receive award in playwriting, served on MD Arts Council after award, then managed a few campaigns in MD and served as assistant to a member of the MD House for several years, have worked in legal offices and written for magazines, now am retired but addicted to politics, and join gladly in promoting liberals and liberal policies.