Battle of the Pauls: Why Krugman’s Attack on Rep. Ryan Falls Flat

April 11, 2012

According to Paul Krugman Republican politics is characterized by pathological dishonesty. That is to say, he feels that many Republicans in Congress, in their heart of hearts, understand certain things – that stimulus is good, that budget cuts are bad, and that deficits are neither good nor bad – it’s just that they are too afraid to admit it to voters.

Krugman summed it up thusly in a recent column, “Once you’ve decided to hide your beliefs and say whatever you think will get you the nomination, to pretend to agree with people you privately believe are fools, why worry at all about the truth?”

It is a deeply cynical way to look at the world.

For all his finger pointing it is quite easy to see that Mr. Krugman is exactly the type of “flimflam man” that he has accused Republicans of being.

Here’s how Krugman described Rep. Paul Ryan’s plan to reform Medicare:

“After 2020, the main alleged saving would come from sharp cuts in Medicare, achieved by dismantling Medicare as we know it, and instead giving seniors vouchers and telling them to buy their own insurance. . .The only way the Ryan plan could save money would be my making those vouchers too small to pay for adequate coverage.”

Nevermind, that the entire paragraph is completely untrue. Under Ryan’s plan Medicare isn’t dismantled; that is a claim that has thoroughly debunked.  It is a premium support system, which is altogether different than a voucher. And finally, savings would come as market pressure forcing the price of medical procedures down, not because of a lack of coverage.

The main problem is the complete change in tone and rhetoric when writing about the Obama Administration “plan” for Medicare.

 “The main thing, though, is the strengthened role of and target for the Independent Payment Advisory Board. This can sound like hocus-pocus – but it’s not.

As I understand it, it would force the board to come up with way to put Medicare on what amounts to a budget – growing not faster than GDP +.05 – and would force Congress to specifically overrule those proposed savings. That’s what cost-control look like!”

You wouldn’t know it given Krugman’s attack, but Ryan’s budget plan aims to hold Medicare spending growth per beneficiary to the exact same figure – GDP +0.5 percent. The main difference between the two is that Obama would use an unelected board of Washington-appointed bureaucrats to determine how to hold health care costs to that growth rate, whereas Ryan would keep costs down by empowering consumers to pick-and-choose their own care.

The goal is by and large the same and yet Krugman labels Ryan’s plan as “flimflam” and praises Obama’s plan for its “cost control.”

Krugman’s undisguised partisan hackery extends to comparisons of Ryan’s and Obama’s tax plans. In speaking of Ryan’s “Path to Prosperity” budget Krugman says:

“Mr. Ryan insists that despite these tax cuts his proposal is “revenue neutral,” that he would make up for the lost revenue by closing loopholes. But he has refused to specify a single loophole he would close.”

And yet the silence was deafening when President Obama released a corporate tax plan that not only promised more revenue by closing loopholes, but also had the audacity to add loopholes!

More specifically, the plan says that it will “eliminate dozens of tax loopholes and subsidies, broaden the base and cut the corporate tax rate to spur growth in America.” But as the Tax Foundation’s analysis of the plan makes clear, “The administration proposes to close a mere 6 loopholes, out of about 250 (according to the Joint Committee on Taxation). Worse, the administration proposes to add 11, for a net gain of 5 loopholes.”

Was Krugman outraged, or even just a little chafed, at Obama’s promise to increase revenue while expanding loopholes. Nope. Despite nearly every economist flocking to the blogosphere to weigh in on the proposal, Krugman stayed in the shadows, apparently unwilling to go after the President’s unwillingness to explain his mysterious new revenue.

I’ll finish this examination of Krugman’s flimflammery, to steal his word, by returning to his quote from earlier in this post: “Once you’ve decided to hide your beliefs and say whatever you think will get you the nomination, to pretend to agree with people you privately believe are fools, why worry at all about the truth?”

Ah the truth, something Krugman, is apparently willing to bend if it fits the political needs of his ideological brethren.

 

Comments

  • rosevie says:

    Sadly, both topics in this post retale to the fact that the more things change, the more they stay the same. Please, everybody, keep quiet about Ryan’s plan and let him sink his own party with the voters. The more he touts it and gets agreement from his peers, the worse they will look.As for the murdered child, doesn’t it make you wonder about why Zimmerman called 911 nearly 50 times in less than 3 months? Was there really that much going on in his community? Or was he a pest who should have been dealt with rather than being allowed to play policeman? The gated community should be pretty calm and have few uninvited guests. What could have prompted 47 calls to 911 in such a place? And in just 75 days? Some years ago, militias were a popular thing among NC Repbulicans. They saw themselves as providing backup for police, but I never saw anything but a bunch of fat old farts who would have had to call home for their wives to bring extra blood pressure meds if the need arose for any activity beyond porch rocking. So: a black kid in a hoodie, drinking tea and eating Skittles gets shot, while bankers steal with a pen and a lie and walk free, having destroyed hundreds of thousands of people’s financial lives. How long till it is Obama’s fault that the first one happened? The second one is already his fault, it seems, since no one seems to know who was president before Obama.

    • Ramya says:

      I would imagine you look down on anonye who’s in a bad way, since these people tend to need assistance. Of course you may have some preconceived notion in your mind of what a welfare case is (and you kind of showed your hand with that “bigoted racist (IYO)” comment), but of course welfare recipients represent a large and diverse portion of the population paritcularly in an economy like ours right now. Most of them don’t want to be on welfare and don’t want to resort to crime because they can’t make ends meet. But you never think about that. You don’t need to be an Oprah/Obama fan or whatever. That’s a smokescreen. You just need to know basic economics to understand that lowering taxes does not necessarily lead to prosperity and does not benefit everyone. If you’re making $20,000 a year, do you really care about a few hundred in tax dollars back if you no longer have access to daycare or healthcare? That few hundred dollars isn’t going to make a hell of a difference. BTDT, on the other hand, is likely making 6 figures, has no need for any government services and by virtue of his RCMP/Union existence has a fat pension. Of course he can support gutting government, can’t he? VA:F [1.9.13_1145]please wait…VA:F [1.9.13_1145](from 0 votes)

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