ARRA News Service
ARRA News Service facebook page  
News for social, fiscal & national security conservatives who believe in God, family & the USA. Upholding the rights granted by God & guaranteed by the U.S. Constitution, traditional family values, "republican" principles / ideals, transparent & limited "smaller" government, free markets, lower taxes, due process of law, liberty & individual freedom. All content approval rests with the ARRA News Service Editor. Opinions are those of the authors. While varied positions are reported, beliefs & principles remain fixed. No revenue is generated for or by this site - no paid ads accepted - no payments for articles. Fair Use doctrine is posted & used.
Editor/Founder: Bill Smith, Ph.D. [aka: OzarkGuru & 2010 AFP National Blogger of the Year]
Contact: editor@arranewsservice.com (Pub. Since July, 2006)
    Home Page

One of the penalties for refusing to participate in politics is that you end up being governed by your inferiors. -- Plato (429-347 BC)

Wednesday, November 23, 2016

Book Review: What 'JFK And The Reagan Revolution' Reveals About Trump

Ralph Benko
by Ralph Benko, Contributing Author:  Remember prosperity? Want it back? Here’s the secret formula, which has always worked and would work again: Cut marginal tax rates and restore integrity to the dollar.

Donald Trump campaigned on meaningful marginal tax rate cuts and implying, with his offstage praise of the gold standard, a solid instinct for monetary integrity and how to produce it. One hopes so as it requires both together.

Here’s the brief. Lawrence Kudlow and Brian Domitrovic have just published what deserves to be the most important book of the 2016 presidential election cycle: JFK and the Reagan Revolution: A Secret History of American Prosperity. It provides a solid understanding of the key issue of the 2016 race — the economy.

Reagan made “Supply-Side” famous by campaigning on and then enacted most of the Kemp-Roth 30% across-the-board tax rate cut. But John F. Kennedy was the original Supply-Sider. The book’s Big Reveal: Jack Kemp designed this tax cut as a direct copy of Kennedy’s own.

American memories are short. Most have forgotten the truly lousy economic growth of the 91%-top-tax-rate Eisenhower era (a rate for which Candidate Sanders expressed nostalgia). Most have forgotten Kennedy’s campaign promise to “get America moving again.” Most have forgotten his initial embrace of the Neo-Keynesian formula of high taxes, “easy” money from the Fed, and big spending infrastructure projects. And the failure of all that.

We forget JFK’s decisive pivot toward big marginal tax rate cuts while defending the dollar as defined by a fixed weight of gold. We only dimly remember the rip-roaring job creation that promptly followed the enactment of Kennedy’s tax rate cut after his assassination.

Sixteen years of economic stagnation have stupefied us as to how the economy inherited by Reagan, in 1981, was worse. Few remember that after the enactment of Reagan’s across-the-board marginal tax rate cuts (lowering the top rate from 70% to 50% and then, with overwhelming bipartisan support, to 28%), another prolonged period of massive job creation and economic growth ensued.

Reagan’s policies were subverted by his successor, President George H.W. Bush. This subversion is also vanished into the mists of history. During their primary campaign Bush had attacked Reagan’s tax-rate-cut promises as “Voodoo Economics.” Somehow the ensuing massive job creation never converted Bush.

Bush’s repudiation of his predecessor’s policies precipitated a recession and he lost his re-election bid. Bush hasn’t changed his mind. Politico reports that “Kathleen Hartington Kennedy Townsend, the former Maryland lieutenant governor and daughter of the late Robert F. Kennedy… posted a picture on her Facebook page shaking hands next to the former president and this caption: ‘The President told me he’s voting for Hillary!!’” Bush’s spokesman did not deny this claim.

Most also have forgotten how President Bill Clinton, after the Republicans took a Congressional majority, pivoted from his own misery-inducing Neo-Keynesian preferred policies to a supply-side policy mix. Regrettably, following Bush’s lead, Clinton also raised the top marginal tax rate.

That said, Clinton also cut the capital gains tax rate, embraced free trade, and mended a morally hazardous welfare system. He was rewarded by rip-roaring job creation and general prosperity. From those millions of new jobs came a federal budget surplus in place of deficits. This resulted in immense popularity.

Many have forgotten, although perhaps not forgiven, President George W. Bush’s abandonment of supply-side economics. That abdication caused a near decade of joblessness and economic misery.

Now do you remember? If not, Kudlow and Domitrovic to the rescue by showing how Supply-Side economics is not, by nature, a partisan thing. Democrats as well as Republicans love job creation. It’s great politics. The only thing that stands between us and greatness isn’t partisanship. It’s dogma.

Amazon rated Kudlow and Domitrovic’s JFK and the Reagan Revolution as the #1 new release in the category of economic history. Santayana taught us that “Those who cannot remember the past are condemned to repeat it.” Skipping this book is to connive at one’s own doom.

Dislike doom? Read this book before election day. Bonus: it spills a lot of secrets or at least forgotten lore. Some of its revelations are game changers.

#NeverTrumpers will be incredulous at the proposition that Trump could be akin to JFK, Reagan, and Bill Clinton. Trump is by disposition very, very different from all three. But it doesn’t much matter.

Peter Drucker, the man who transformed management from craft to art, wrote in The Effective Executive:Among the effective executives I have known and worked with, there are extroverts and aloof, retiring men, some even morbidly shy. Some are eccentrics, others painfully correct conformists. Some are fat and some are lean. Some are worriers, some are relaxed. Some drink quite heavily, others are total abstainers. Some are men of great charm and warmth, some have no more personality than a frozen mackerel. There are a few men among them who would answer to the popular conception of a “leader.” But equally there are colorless men who could attract no attention in a crowd.Moreover, among the five elements of effectiveness Drucker inventories we find this:Effective executives concentrate on the few major areas where superior performance will produce outstanding results. They force themselves to set priorities and stay with their priority decisions. They know that they have no choice but to do first things first—and second things not at all. The alternative is to get nothing done.Many harbor doubts about Trump, including some elite Republicans. That said, the right policy mix, not the personality, delivers the goods.

This book is also important, in part, because Kudlow has become one of Trump’s most trusted economic policy advisors. This is not an academic work. It’s written right from the center of the political cyclone.

If you buy the policy mix but doubt the man, take into account that Trump has surrounded himself with authentic supply-siders, like Kudlow, and likely will staff his top economic policy shops with these loyalists. Elizabeth Warren recently observed, “personnel is policy.”

This book will help you assess Trump’s personnel as well.

Kudlow writes with first-hand authority. He is a distinguished front lines veteran of the Reagan “Supply-Side” wars as Reagan’s Associate Director for Economics and Planning in the Office of Management and Budget. Domitrovic, a historian, professor, and author of the authoritative history of supply-side economics, Econoclasts, also writes with authority.  He is also a regular contributor to Forbes.com.

The bottom line?  Government, though airbrushed by the media, is a very sloppy, confusing business. As Herman Wouk perceptively wrote in the first chapter of his novel Inside, Outside, “[T]he longer I’m in Washington the more I realize that most people in this town tend to act with the calm forethought of a beheaded chicken.”

I’ve been in Washington far longer than Wouk’s protagonist and the “calm forethought of a beheaded chicken” observation remains true to this day. While acknowledging the full catastrophe that is politics, let’s keep firmly in mind that underneath all the sound and fury resides the real deal: the policy mix. Yet therein lies the key to prosperity.

I found the most fascinating parts of this book to be those that reveal how prestige economists and elite government officials perennially embrace historically discredited Big Government policies. And the stories of the recurring fights by a vastly outnumbered and Death Starred Supply-Side Rebel Alliance who, against all odds, vanquish the Emperor.

The Rebel Alliance has won, in part, because it was coached and guided by Jedi Grandmasters. The Yoda of this movie, to whom Kudlow and Domitrovic pay tribute, was the Nobel Prize-winning maverick economist Robert Mundell. Mundell, to whom I have attributed the increase in the world GDP from $11T/year to, as of last year, ~$73T/year. While not adjusted for inflation or population growth, that’s a stunning increase.

Prof. Mundell, who I consider worthy of the Nobel Peace Prize, now has been sidelined by health issues. Yet his legacy prescription of low marginal tax rates and high integrity money lives on in the veterans of the Supply-Side wars such as Kudlow and Mundell’s Obi Wan, Arthur Laffer.

The right policy mix, as Kudlow and Domitrovic show, takes us up the stairway to economic Heaven. The wrong mix leads us into economic Hell.

Economists call embracing faith-based thinking “strong priors.” That’s a fancy phrase for dogmatism, and dogma besets the policy elites. The electorate – on the receiving end of policy – typically displays more common sense than does our most distinguished experts.

Elites persist in a faith-based adherence to Neo-Keynesian policies of big spending Big Government, high tax rates, and “easy” money. I’ve said before and it bears repeating: Keynes, who was certainly no Neo-Keynesian, wrote in his General Theory of Unemployment, Interest, and Money (chapter 24, part V):Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back.Read JFK and the Reagan Revolution: A Secret History of American Prosperity. Learn the Secret History of the Supply-Side Rebel Alliance and its never ending battle for economic opportunity and growth. Then, whether you vote Republican, Democrat, Libertarian or Green, demand that whoever gets elected adopt low tax rates and high integrity money policies.

Such policies are not partisan. They inevitably lead to massive job creation and upward income mobility for all.
-----------------
Ralph Benko is senior advisor, economics, to American Principles in Action's Gold Standard 2012 Initiative, and a contributor to the ARRA News Service. Founder of The Prosperity Caucus, he was a member of the Jack Kemp supply-side team, served in an unrelated area as a deputy general counsel in the Reagan White House. The article which first appeared in Forbes.

Tags: Ralph Benko, book review, JFK, The Reagan Revolution, reveals about, Donald Trump To share or post to your site, click on "Post Link". Please mention / link to the ARRA News Service. and "Like" Facebook Page - Thanks!
Posted by Bill Smith at 5:16 PM - Post Link

0 Comments:

Post a Comment

<< Home


National Debt
Don't miss anything!
Subscribe to the
ARRA News Service
It's FREE & No Ads!

You will receive a verification email
& must validate you subscribed!

You Then Receive One Email Each AM
With Prior Days Articles / Toons / More


Also, Join us at:
Facebook.com/ARRANewsService


Recent Posts:
Personal Tweets by the editor:
Dr. Bill - OzarkGuru - @arra
#Christian Conservative; Retired USAF & Grad Professor. Constitution NRA ProLife schoolchoice fairtax - Editor ARRA NEWS SERVICE. THANKS FOR FOLLOWING!

Action Links!
Arkansas State Senators
AR State Representatives
Arkansas Governor Office
Arkansas Attorney General
Bankrupting America
US House of Representatives
US Senators
Family Research Council
GrassFire
NumbersUSA
Ballotpedia
Judgepedia
Sunshine Review

Facebook Accts - Dr. Bill Smith
Pages:
ARRA News Service
Arkansans Against Big Government
Alley-White Am. Legion #52
Catholics & Protestants United Against Discrimination
End Taxpayer Funding of NPR
Overturn Roe V. Wade
Prolife Soldiers
Project Wildfire 4 Life
Republican Liberty Caucus of Arkansas
The Gold Standard
US Atty Gen Loretta Lynch, aka Eric Holder, Must Go
Veterans for Sarah Palin
Why Vote for Hillary (Satire)
FB Groups:
Arkansas For Sarah Palin
Arkansas Conservative Caucus
Arkansas County Tea Party
Arkansans' Discussion Group on National Issues
Blogs for Borders
Conservative Solutions
Conservative Voices
Defend Marriage -- Arkansas
FairTax
FairTax Nation
Arkansas for FairTax
Friends of the TEA Party in Arkansas
Freedom Roundtable
Let's Mine AR Lignite NOW!
Pro-Life Rocks - Arkansas
Republican Network
Republican Liberty Caucus of AR
Reject the U.N.

Patriots
Exchange
Links

Request Via
Article Comment

Links to ARRA News
A Patriotic Nurse
Agora Associates
a12iggymom's Blog
America, You Asked For It!
Americans for a Free Republic
America's Best Choice
America's Whatchtower
An Ol’ Broad’s Ramblings
ARRA Twitter
As A Matter of Fact
As The Crackerhead Crumbles
Baaad Media!
Black & Right
Blogs For Borders
Blogs for Palin
Blow the Trumpet Ministry
Boot Berryism
Cap'n Bob & the Damsel
Chicago Ray Report
Chuck Baldwin - links
Citizen Pamphleteer
Common Cents
Conservative Hideout
Conservative Observer AZ
Conservative Voices
Conway Real Deal
Defeat Obama's Agenda
Diana's Corner
eGOP News
Florida Pundit
Franklin Online Outreach
Freedom For US Now
Free Zone Media Center
For God and Liberty
Garland County Republicans
Greater Fitchburg For Life
Guns and Religion
Lasting Liberty Blog
Liberal Isn't Amy
Liberty's Lifeline
Maggie's Notebook
Marathon Pundit
Monkey in the Middle
NASA Satellites
No Runny Eggs
Okie Campaigns
Our Voices Arkansas
Patriot's Corner
ProLifeBlogs
Publius Forum
Randy's Roundtable
Real Debate Wisconsin
Religion and Morality
Right on Issues that Matter
Right Reason
Rocking on the Right Side
Saber Point
Saline Watchdog
Secure Arkansas
Sentry Journal
Sultan Knish
Teresamerica
Stop Obama Satire & Cartoons
The Arkansas Patriot
The Audacity of Logic
The Blue Eye View
The Bobo Files
The Born Again Americans
TEA Party Cartoons
The Conservative Citizen
The Foxhole | Unapologetic Patriot
The Liberty Republican
The Lid
The Looking Spoon
The Maritime Sentry
The O Word
The Path to Tyranny Blog
The Real Polichick
The War on Guns
TOTUS
Truth About Obamacare
Twitter @ARRA
Warning Signs
Women's Prayer & Action
WyBlog

Editor's Managed Twitter Accounts
Twitter Dr. Bill Smith @arra
Twitter Arkansas @GOPNetwork
Twitter @BootBerryism
Twitter @SovereignAllies
Twitter @FairTaxNation

Editor's Recommended Orgs
Accuracy in Media (AIM)
American Committment
American Culture & Faith Institute
American Enterprise Institute
American Family Business Institute
Americans for Limited Government
Americans for Prosperity
Americans for Tax Reform
American Security Council Fdn
AR Faith & Ethics Council
Arkansas Policy Foundation
Ayn Rand Institute
Bill of Rights Institute
Campaign for Working Families
Center for Individual Freedom
Center for Immigration Studies
Center for Just Society
Center for Freedom & Prosperity
Citizens Against Gov't Waste
Citizens in Charge Foundstion
Coalition for the Future American Worker
Competitive Enterprise Institute
Concerned Veterans for America
Concerned Women for America
Declaration of Am. Renewal
Eagle Forum
FairTax
Family Research Council
Family Security Matters
Franklin Center for Gov't & Public Integrity
Freedom Works
Gingrich Productions
Global Incident Map
Great Americans
Gold Standard 2012 Project
Gun Owners of America (GOA)
Heritage Action for America
David Horowitz Freedom Center
Institute For Justice
Institute for Truth in Accounting
Intercollegiate Studies Institute
Judicial Watch
Less Government
Media Reseach Center
National Center for Policy Analysis
National Right To Work Foundation
National Rifle Association (NRA)
National Rifle Association (NRA-ILA)
News Busters
O'Bluejacket's Patriotic Flicks
OathKeepers
Open Secrets
Presidential Prayer Team
Religious Freedom Coalition
Renew America
Ron Paul Institute
State Policy Network
Tax Foundation
Tax Policy Center
The Club for Growth
The Federalist
The Gold Standard Now
The Heritage Foundation
The Leadership Institute
Union Facts



Blogs For Borders

Reject the United Nations

Adopt Our Troops in Prayer


Thousands of Deadly Islamic Terror Attacks Since 9/11

FairTax Nation on FaceBook
Friends of Israel - Stand with Israel
Blog Feeds
Syndicated - Get the ARRA News Service feed Syndicated!
ARRA Blog Feed

Add to Google Reader or Homepage

Add to The Free Dictionary

Powered by Blogger


  • How To Exchange Links!
  • Comments by contributing authors or other sources do not necessarily reflect the position the editor, other contributing authors, sources, readers, or commenters. No contributors, or editors are paid for articles, images, cartoons, etc. While having reported on and promoting the beliefs associated with the ARRA, this blog/site is not controlled by nor funded by the ARRA. This site/blog does not advertise for money or services nor does it solicit funding for its support.
  • Fair Use: This site/blog may contain copyrighted material the use of which has not been specifically authorized by the copyright owner. Such material is made available to advance understanding of political, human rights, economic, democracy, and social justice issues, etc. This constitutes a 'fair use' of such copyrighted material as provided for in section Title 17 U.S.C. Section 107 of the US Copyright Law. Per said section, the material on this site/blog is distributed without profit to readers to view for the expressed purpose of viewing the included information for research, educational, or satirical purposes. Any person/entity seeking to use copyrighted material shared on this site/blog for purposes that go beyond "fair use," must obtain permission from the copyright owner.
  • © 2006 - 2017 ARRA News Service
Creative Commons License
Creative Commons Attribution Noncommercial Share Alike 3.0 Unported License.