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The Obama Watch

Jack Kemp Warned Obama: Don’t Raise Taxes

A last open letter predicted policies would fail; Lincoln, arson attack on rich.

(Page 2 of 4)

This while Vermont Socialist Senator Bernie Sanders attempts a filibuster, railing against the rich and wealth creators.

Kemp was a big believer in civility in politics, seeing the public arena as a clash of ideas. He was a vehement opponent of the politics of personal destruction. Perhaps the greatest tribute to his belief in civility would come the day of his funeral service in the Washington National Cathedral — a standing-room-only affair brimming with men and women from across the political spectrum.

But civility to Kemp was not a ruse to escape confronting directly what he saw as an opponent’s bad logic. Meeting an aide to then Congressman Bernie Sanders while HUD Secretary, Kemp smiled and cheerfully said: “The difference I have with Bernie is that Bernie is a bread slicer and I’m a bread baker.” It was a succinct summation of both men. Indeed, now-Senator Sanders has spent his filibustering-time on the tax deal these last few days, tossing out one bread-slicing line after another. The rich, said Sanders on the Senate floor, are “making out like bandits.” “When is enough enough?” he thundered of those who have the gall to believe they have a right to keep what they earn.

Obviously, Sanders simply doesn’t care that, as the Heritage Foundation has noted with perhaps unfortunate accuracy: “The top 1 percent of income earners paid 40 percent of all federal income taxes in 2007, while the bottom 50 percent paid only 3 percent. More than one-third of U.S. earners paid no federal income tax at all.” This gives Sanders remarks a different meaning altogether. If 1 percent of income earners already pay 40 percent of all federal income taxes, the Sanders question recurs: “When is enough enough?” If the bottom 50 percent of all income earners paid a paltry 3 percent of taxes, and more than one third of all earners paid zero taxes — zero taxes — then indeed it is Sanders and his ideological allies who can accurately be said to be “making out like bandits.”

All of this — Obama’s repeated castigations, the liberal hysteria in the House, the Sanders filibuster filled with the wildest of factual distortions or omissions about who is really benefitting from paying, or not paying – was exactly the starkly negative world-view that Kemp disdained as zero-sum, poverty-inducing and not a little mean spirited, pitting race against race, rural against urban, and so on throughout society.

Thus Kemp was boldly unhesitating in challenging Obama directly that day in the Wall Street Journal. Your policies will not work, he was saying, and they will cost Americans dearly.

There were others than Kemp involved in the remarkable modern supply-side story, to be sure. Economists Arthur Laffer and Robert Mundell, the latter an eventual winner of the Nobel Prize in Economics, formed the core group along with the Wall Street Journal editorial writer the late Jude Wanniski and its editorial chief Robert Bartley. But Kemp was the elected official amongst them, a young, energetic Congressman from the unlikely precincts of Buffalo, New York.

It was Kemp who sold his friend and former boss Ronald Reagan (Kemp had worked as an intern for the freshman California governor in the football off-season of 1967) on the significance of Laffer’s legendary curve. (The Laffer Curve, as described here by Mr. Laffer himself, depicts “the trade-off between tax rates and tax revenues.”) The curve, as Laffer (and Ronald Reagan — who studied it while majoring in economics at Eureka College) knew, had a long history. At least as far back as the 14th century when Ibn Khaldun, a Muslim philosopher, noted in his writing of The Muqaddimah: “It should be known that at the beginning of the dynasty, taxation yields a large revenue from small assessments. At the end of the dynasty, taxation yields a small revenue from large assessments.” It was also Kemp who sold the Republican National Committee on adopting supply-side as official GOP doctrine halfway through Jimmy Carter’s economically disastrous White House term, a term begun with the so-called “stimulus” of a fifty-dollar rebate. And it was Kemp who was the driving force on Capitol Hill selling what became the Reagan tax cuts to a Democrat-run House of Representatives — and selling it successfully.

In point of fact, Kemp was famous for selling supply-side economics, dubbed “Reaganomics” after 1981, anywhere and everywhere to any and all who would listen.

Thus in April of 2008 Kemp was out there in his familiar haunt of the Wall Street Journal op-ed page pitching candidate Obama in a piece titled — what else? – “Obama and Economic Opportunity.”

Which raises the question as this economic debate over tax cuts proceeds. Raises it precisely because Obama refused to take Kemp’s advice the first time:

Isn’t it time to ask: what would Jack Kemp do?

It is, obviously, impossible to know. The real tragedy of an early death is that a unique voice is stilled. Yet Kemp’s insistence on relentlessly challenging the liberal status quo for its bread-slicing economics is well on record — and inspiring today. There is much to remember and learn, as is true from any well-lived life.

In particular what’s worth remembering about Kemp is his legendary persistence in making supply-side policy the law of the land in 1981.

Jack Kemp simply was incapable of sitting still when defeated. As an athlete he was small for his sport, suffering constant rejection as he sought to play professional football. Not to mention being battered with repeated, serious injuries. He would later joke, “Now that I’ve had 11 concussions, I’m ready to run for Congress.” That didn’t count the broken ankles, shoulder separations, torn knee ligaments and broken finger. The last appeared to end his football career completely — a quarterback who can’t throw a football has no career. Instead, Kemp had the finger set — permanently — to fit a football. The next year he was the AFL and Associated Press “Player of the Year.”

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About the Author

Jeffrey Lord is a former Reagan White House political director and author. He writes from Pennsylvania at jlpa1@aol.com.

Letter to the Editor View all comments (26) |

ggoblue| 12.14.10 @ 6:55AM

what a spectacle we have seen! after 2 yrs of blaming everything on the policies of Bush, obama blinks and embraces the Bush tax rates....

and then bill clinton steps in to help save the country from reverting to....THE CLINTON TAX RATES!

the democrats have ceased to exist as a party. they just don't know it yet.

Eric Cartman| 12.14.10 @ 9:16AM

You're right, ggoblue. While it's no 100% guarantee, we can safely assume the house that was burnt down belonged to a Democrat. So when they are interviewed on the Sob Story Media (if they ever are) ya just have to laugh when it gets to the point when Mrs Democrat will blubber and say something like "We voted for Obama. We're not those evil republicans" They don't understand that their party has been Frankensteined by the left and is now stumbling about the town wrecking the place. Glad it's happening in the Northeast - couldn't happen to a nicer bunch of Dems.

PsychoDad| 12.16.10 @ 9:12PM

I've got no idea where this or the other houses were, although I used to live on the Cape and still spend a lot of time down there. I can tell you this, though: a lot of the Cape is more conservative than the rest of Mass. -- in relative terms anyway! To the point that the owners of this house were as likely R as D. Not that it matters -- the local fishwraps -Boston Glob, Cape Cod Times, etc. - will STILL manage to blame it on the violent, lackwit, Teabaggers .

Waldo| 12.14.10 @ 8:01AM

A foolish consistancy is the Hobgoblin of little minds. I contradict my self/I contradict myself I contain multitudes!

Pelligrino| 12.14.10 @ 8:05AM

Even as a much younger man, I thought that President Reagan should have teamed with Rep. Jack Kemp as the Vice President for the 1984 election.

Thus placing Mr. Kemp firmly on the national stage (and giving him easy access to more international exposure, the thing that everyone seems to think is sooooo significant when we are considering a potentail presidential candidate).

The Jack Kemp of 1988 would have won the presidency. And I think he'd have been far more resolute than George H.W. Bush. Thus, we would never have had the immoral idiot Bubba Clinton.

But that is not what occured. What did occur was a very respectable Congressman who always forced listeners and readers to really think. He was a strong voice.

He was the much better half of the Dole-Kemp team.

He was very important for economics; he was important for a lot of other things as well.

We miss you, Mr. Kemp.

Mel Torme| 12.14.10 @ 10:36AM

Indeed, there are a lot of what-ifs we could think about in history. I think it would have definitely kept the Reagan way going, if Mr. Kemp had been the VP. The whole Bush thing was a damn disaster, both of them.

Kemp was a good man, even as a "potentail" (as in "running down the bunny trail"?) candidate. ;-)

WMurphy| 12.14.10 @ 8:06AM

One peril Mr. Kemp never seemed to recognize in my limited experience with him was the debt bomb in Social Security and other entitlement programs. In 1996 I had an opportunity to speak with him and my question was what will we do when the IOUs in the "trust fund" come due and must be paid out of general revenues.

Mr. Kemp had obviously not considered even the possibility that this could be a problem. His reply was an uncomprehending look and the simple statement that all the IOUs were backed by the Full Faith and Credit of the US Government.

Now the Government is faithless to the people and its credit is that of the spendthrift who cannot avoid the bankruptcy whose approach it studiously ignores. As if that weren't enough, the "progressive" party whose power is waning a bit has poured on massive spending commitments while the supposedly "conservative" party can only muster the gumption to call for a roll-back to merely unsustainable profligacy.

I doubt very much the Republic can survive the bankruptcy men like Mr. Kemp were unable or unwilling to see.

Chef Schnauzer| 12.14.10 @ 9:06AM

This tactic of 'recreating' conversations with the dead man is an old, disgusting cheap shot. Paging Mr. Dummar, Mr. Melvin Dummar you have a letter to write. XXOO - Clifford Irving.

Shamus| 12.14.10 @ 8:12AM

I'm always amused by leftists trying to say that the economy really suffered under Reagan. Rewriting history is a favorite pastime for this bunch.

Chef Schnauzer| 12.14.10 @ 8:16AM

If the general public required evidence that the republican party is a joke it need look no further than this tax-compromise-BS. The tan sniveler from Ohio is a fraud - but so are the rest of them. He cries at the drop of a hat because he knows that he and the rest of the 'world most respected body' have sold America down a Yellow River. I know they did it for the children, China's kids! The best case scenario is that the First World passes America by... the worst case scenario is what the useless parasites called 'Official Washington' deserve most.

hardcard| 12.14.10 @ 8:23AM

Jack Kemp a great American, a great Quarterback.

Ken (Old Texican)| 12.14.10 @ 8:39AM

Mr. Lord,
Thanks for the reminder.
We seem to hava sort of "generation gap" among conservatives in governance don't we?
Right now, some of our best are a leetle green. (yes a leetle).

Louis Jenkins| 12.14.10 @ 9:03AM

They are, after all these years, what Kemp might call the static status quo.

It is doubtful, no,certain, that the Bush "tax cuts" will not be enough to pull this nation out of the nose dive. Kemp was a good man and an excellent choice for President.

R Martin| 12.14.10 @ 10:17AM

Mr. Lord has written a commendable tribute to Jack Kemp. However, the simple mention of Robert Mundell understates Mundell's important contribution to the evolution of supply side thinking. Kemp was an important player in the movement to push supply side economics on capital hill, but the intellectual force behind the movement was driven by Laffer, Mundell and Norman Ture.

Mel Torme| 12.14.10 @ 10:31AM

No argument on your economics here, Jeffrey and readers, but, let's get real here. Everyone and his brother can write an "open letter". Pretty much every pundit does write an "open letter" now and then - it's nothing but another article, saying "hey, if this guy would read it, that would fix everything."

You know what, Jeff, these open letters just preach to the choir. Do you think MaoBama read Jack Kemp's open letter? Heck, even I wouldn't admit to reading anyone's open letter to me - if I didn't sign for it at my front door, you can't say I've read it (that's what my lawyer told me to say). Even if I did sign for it, I probably threw it directly into the fireplace; yes, that's my story, and I'm stickin' to it.

I can't recall getting an open letter addressed to me lately, though. Anyone, anyone, Buehler, Tyrell? Maybe Bob Tyrell may want to write an open letter to Mel Torme apologizing for his anti-freedom stance on the TSA a month or so back. I did read his apology to the readers via American Spectator site, but I could use a direct apology.

Come on! An open letter to me from Bob Tyrell would make my day. Bring it!

Reagan Loyalist| 12.14.10 @ 11:44AM

"Which Members are going to pick up Kemp's economic growth football and run with it, get tackled with it, get up and get in the game again… and again… and again… until the political goal line of a restored and vigorous American economy is a reality?"

The historical evidence that growing the economy by lowering tax rates, which increases revenues, produces jobs and new wealth is abundant. Yet, I do not hear any of our conservative politicians preaching Kemp's core message. So the question remains, as Mr. Lord wrote - Who is going to take up the gauntlet today?

Perusha| 12.14.10 @ 2:15PM

I always loved what Kemp brought to the political table, especially his supply side legislation and his "ebullient" personality.

In 1996, it was thus a good sign that Dole picked him as his running mate.

But, when Jack Kemp failed to attack Algore in the only veep debate, I was not only surprised and shocked, but disillusioned and mad at him.

It was almost as if he was satisfied to have been NOMINATED to be second fiddle, and who cared if he won.

Sort of like the McCain candidacy, eh?

My take is that almost all the highest level politicians who end up even running for president are at their core just regular guys and gals, which means they are born Narcissists.

Thus, the animating factor is, “What will History think of me?” They keep this question in mind as they make their choices---ergo, a McCain couldn’t bring himself to get down and dirty with our first black candidate for the presidency, and even educate voters about Obama’s sordid associations.

A very UN-patriotic omission.

See what it brought us---the NEEDED crisis!

Ah, so---maybe McCain was an unwitting patriot!

Yosemeti Sam| 12.14.10 @ 4:45PM

" ... But, when Jack Kemp failed to attack Algore in the only veep debate ...."

Indeed!

That telling shortcoming is my recollection as well - which did not redound to Kemp IMO.

Didn't lend a helping hand to Dole - at all!

Anthony| 12.14.10 @ 2:53PM

Yep, the next two years are bound to increase man made global warming, as the class warfare really heats up. We already see the lefty "deficits hawks" now at every turn.
Obozo will be screaming in 2012, when unemployment remains above 10%, that it was all the fault of the "tax cuts for the rich".
As the class warfare against supply side economics reaches a fevered pitch,. Obozo will scream that unemployment benefits for 5 years will create a robust economy, as all that spending will send business profits through the roof. By election day 2012, Obozo will have Americans at each others throats.
So, as 2012 turns into a true gunfight at the O.K. Corral, or a prelude to another 1776, either way, get ready, and I do mean get ready.

mames| 12.14.10 @ 4:54PM

Kemp, unfortunately was a RINO. 'Hate to see him go the way he did but we don't need his ideas around anymore. He was a stopped clock on occasion.

Alan Brooks| 12.15.10 @ 3:00AM

You will elect another RINO in '12 or '16.

Oldefarte| 12.15.10 @ 10:21AM

One of this article's points is that the political purpose should be the potential ability of everyone to become rich/wealthy. Liberals/Democrats' philosophy is that government is the ultimate religion [and as such has the powers to control our lives]. Accordingly, they desire/want to prevent people from becoming rich/wealthy [since the result of same would dilute their/governments' power over peoples' lives]. This is why they purposely prevent public education from being effective in educating children [in order to prevent same from succeeding in becoming financially independent of governments' control]. The solution to the economic/financial problem is not whether government confiscates more income and redistributes same to indigents, or whether governments' powers are diminished to allow greater freedom for the rich/wealthy; but rather that government should facilitate the potential obtaining of riches/wealth by everyone possible. This can/should be
accompolished through government's insuring public education superiority that results in truely educated graduates capable of obtaining personal wealth for themselves and their families. Instead of graduating an uneducated, moronic bunch of idiots yearly as is done today, why shouldn't governments be forced to insure a graduate's ultimate education by means of non-unionized dedicated [well-paid] teachers instructing yearly/twelve months each/every school child? If a child is not educated properly in order to successfully pass grade by grade achievement testing, then same should be regulately forced to re-attend the same grade until adequately educated. Once all school graduates are truly educated, then they are rightfully capable of going forth into the world and obtaining income by properly using their previously obtained education!!!!!!!!!!!!!!!!!!!!

Nobody special| 12.15.10 @ 12:06PM

Obama said "I do think at a certain point you’ve made enough money".

He forgot to finish his sentence. What he meant to say is "I do think at a certain point you’ve made enough money, and when you reach that point you should retire, relax, and enjoy the fruits of your labors."

Larry| 12.18.10 @ 11:55AM

The overwhelming majority of problems that the economy faces today are due to lack of demand, not lack of supply.

I still support the current tax package, but more to prevent a decrease in demand, rather than to help out the supply side. If there is a demand for the products and investments that we have to offer, the producers and investors will be more apt to take risks. It has much less to do with the current tax rates, which are LOWER than the rates of the Kemp-Roth bill.

Chris Jackman| 12.19.10 @ 8:32PM

Jack Kemp was first class. Not many like him around now. We could use 538 like him. March 2008 he put the little puke in his place on Fox. I think that was his last live appearance on Fox. Class act all his life. RIP

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