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Loose Canons

Lew’s Lewd Letter

Obama’s OMB director will pretend to attack the deficit in order to re-elect his boss.

“Obama Takes Charge at Hurricane Command Center” blared the AFP headline on Saturday. But it was just another disappointment for Obama. By the time the over-hyped hurricane Irene blew into town, there wasn’t anything for Obama to take charge of.

It could have been a big psychological moment for Obama’s campaign but it was just another let down for the man. The stock markets seemed to respond better to the East Coast earthquake last week than to Barry’s recent speeches.

But Barry O’bama really has the luck of the Irish. With every sentient American worried about our still-sinking economy, we’ve been diverted from thinking about it all summer.

Gaddafi’s fall, Irene’s sweep of the not-so-earthquake-shattered East Coast, and now Dick Cheney’s memoir have taken turns dominating the news. Maureen Dowd’s review of Cheney’s book seemed to say that last week’s earthquake and the Irene minicane were the result of Voldemort-Cheney casting another evil spell on Washington, D.C.

Meanwhile Obama vacationed at Martha’s Vineyard, contemplating how he would announce his new plan to revive the economy and restore confidence in the financial markets. The liberal media has been bewailing the fact that Obama has no announced theme for his 2012 campaign. One sluggo even moaned that the campaign website had not a single slogan on it. But there soon will be slogans aplenty because the post-vacation Big Speech has been hyped almost as much as Irene. Obama has a lot riding on it.

The problem he faces is that neither he nor anyone on his team can bring themselves to consider that reducing the size and scope of government is the only way to restore confidence in our economy among the financial markets, investors, and voters.

From a bunch of press leaks and trial balloons, we mostly know what’s coming. More “stimulus” spending, an “infrastructure bank” funded with same, and some pretextual tax cuts will likely be the major themes of the great speech to be delivered by our redistributionist president after Labor Day. And now, thanks to OMB Director Jacob Lew’s August 17 letter to all executive department heads, we know a lot more.

Our economy isn’t officially in recession because economic growth was all of 0.3% in the first quarter of 2011 and about 1% in the second quarter. It’s got to be zero or lower to officially classify as a recession, but 0.65% in six months is close enough for government work. And the fact that unemployment still hovers around 9% — for more than thirty months, the longest such period since the Great Depression — is directly linked. Without economic growth, there cannot be more jobs.

A few months ago, Nancy Pelosi wondered aloud why the “Great Depression” bore that name because it wasn’t so great. Maybe now even she understands it was about the magnitude of the depression.

But neither Pelosi nor Obama can understand that growth can only result from freeing the economy from governmental suppression-by-suffocation. The first line of Lew’s letter says it all: “The President has defined our challenge as demonstrating that we can live within our means so that we can invest in job creation and economic growth now and in the long term.”

Note well the cognitive dissonance. We have to live within our means — the federal budget spending trillions — in order to increase spending on job creation and economic growth. There will be no spending cuts if Obama has his way, just a rearrangement of who gets which part of the economic spoils.

And this will be Obama’s campaign theme announced in the post-Labor Day speech. Obama’s re-election plan is to take money from some federal programs to make it appear that the deficit is being attacked. Instead, under his “new” plan, spending will be increased overall to “create” jobs for which people will be hired between now and November 2012, even if those people are laid off the day after the election. No tax hikes will be proposed until after Election Day.

Lew’s letter says that it reflects conversations in cabinet meetings. It instructs all federal agency heads to submit budget proposals for 2013 that are 5 percent below their actual enacted discretionary spending for 2011 and to identify other spending cuts that would bring the 2013 budget 10 percent below the 2011 actuals. Every agency that hasn’t been given explicit exemption, Lew writes, has to do this.

Lew is not done there. He explains that the cuts should not be across-the-board or reductions in mandatory spending or creation of new “user fees” — i.e., taxes without the offending three-letter label — but that the latter can be proposed as alternatives to cuts.

The most important part of Lew’s lewd letter is this one, where he directs federal agencies to spend more to create jobs:

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About the Author

Jed Babbin served as a Deputy Undersecretary of Defense under George H.W. Bush. He is the author of several bestselling books including Inside the Asylum and In the Words of Our Enemies. You can follow him on Twitter @jedbabbin.

Letter to the Editor View all comments (70) |

Bill Hussein O'Stalin| 8.29.11 @ 6:23AM

If the Obama strategy is to double down on stupidity so be it.

I'm sure most of America can't wait until next November so they can see Obama and his socialist tribe leave town.

Then and only then will some significant change occur.

The Democratic Party hates America, hates the troops and hates Joe Sixpack. By next November the feeling should be mutual.

crookedwren| 8.29.11 @ 11:30AM

Well said, Bill.

Jack in Wi.| 8.29.11 @ 2:20PM

There will be no change if anther Bush Cheney clone is imposed by the elites on us. The leadership at the top of this country has really been appalling for 24 years. This country cannot afford another dimwitted warmonger controlled by the banksters and the military industrial complex. There is no more wasteful spending. then on endless and stupid Wars. End the Fed, Bring home all the troops now. End all foreign aid. Slash the total federal budget by at least 50%. Old man Bush led to Clinton, Clinton led to young Bush. His incompetence led to Obama. Will this cycle never end?

Nick| 8.30.11 @ 1:07AM

Hey, Jack-boot, were you in Tel-Aviv today?
Stabbing Israeli police officers?

Jack in Wi.| 8.30.11 @ 6:04AM

Are you insane Nick? I guess the truth has finally destroyed your fragile mental condition. I suggest you seek help at the earliest opportunity. Your comments have become more and more deranged.

Nick| 8.31.11 @ 12:17AM

Does this mean that you condemn this Arab terrorist attack on Israeli police and civilians?

Or, do you yell, "Allahu Akbar," when you hear such news? To show solidarity with your Arab comrades?

TrueBlue| 8.30.11 @ 1:41PM

End all foreign aid to countries not considered allies, I can agree with that. But ending our aid of allied countries doesn't help anyone. It may help us financially in the short-term, but where Israel, Japan, and Korea are concerned, ending aid to them will only ensure our enemies in the region expand their territory and that is bad for the long-term.

I'm definitely for ending foreign aid to countries like Pakistan that constantly tell us how much they hate us though.

Purpleguy| 8.29.11 @ 3:43PM

And you think the Republican Party is coming to the rescue? Name one Republican leader in Congress that wasn't part of and voted for the GW Bush spending spree during his presidency? Who has burdened their children and grandchildren with a mountain of debt? Think over the last 30 years and you might want to rethink your position, if bigotry is not part of the equation.

Drunken Sailor| 8.29.11 @ 3:53PM

"Name one Republican leader in Congress that wasn't part of and voted for the GW Bush spending spree during his presidency?"
I love this line of thought, you guys spent way to much money and we screamed about it but you didn't listen. So it's OK for our guy to spend 4 times as much to fix it.

And in case you missed it, we are replacing the big spending Republicans as we go.

Michael Handley| 8.29.11 @ 4:13PM

Ok. Now set your time machine to 2012 and tell us who you think can fix this economic mess. We tire of playing the blame game..

Alan Brooks| 8.29.11 @ 9:11PM

Babbin worked for HW, and that is not encouraging.

Alan Brooks| 8.29.11 @ 9:17PM

"So it's OK for our guy to spend 4 times as much to fix it."

Yes, but, again, Babbin WORKED for one of your guys, he was in a position of influence if not power. It originated with guys such as Babbin; there was a tabula rasa after the Cold War-- but the Babbins and their Bushes didn't know where to start.

That was then, this is now. Are you going to screw it up next year? or in 2016? odds are, yes.

irish19| 8.29.11 @ 11:43PM

So, who would you pick, Alan? Name names, please.

Drunken Sailor| 8.30.11 @ 10:32AM

You will have to badger him as he only knows one tune. "Is the GOP going to screw up again". Doesn't matter who we run he is a Obama supporter, the statement is just is pitiful excuse to try and convince himself he did the right thing.

Clint Brooks| 8.29.11 @ 6:30AM

His resolve weakened the hurricane, he is a great leader, myself and my brother Alan both agree.

chuck| 8.29.11 @ 7:16AM

I believe he said he could lower the seas, and he did! Hallelujah to our Messiah, the One!

stephanie| 8.29.11 @ 9:34AM

When I see the ONE roll up his shirtsleeves, I know things are going to get done! He cares about ME and shows it by doing so!

Anita| 8.29.11 @ 10:28AM

stephanie:
Ya'll need help.

dw| 8.29.11 @ 6:36PM

That was satire, right?

dw| 8.29.11 @ 6:37PM

I mean by Steph...or is she a lost lefty?

Clint| 8.29.11 @ 8:41PM

That's One, Israel Firster Poster Punk Poseur

Alan Brooks| 8.29.11 @ 9:21PM

I had nothing to do with it, Clint. But the computer guy (or gal) at AS can look up "Clint Brooks"
address and cut him off at the ankles.
Whoever it is is an ID-criminal, and will burn in Hell for it.

POST American| 8.29.11 @ 7:43AM

-----And now about that 1.5 QUADRILION
in FAKE USURY derivatives debt.

Alan Brooks| 8.29.11 @ 9:13PM

And the fluoridated water! 1946, post American.
1946!

martin j smith| 8.29.11 @ 7:48AM

The point is this: As long as Obama wants to DESTROY the private sector and thus our economy
no tricks will change things. Using the word " investing" is now old and tired for me. I would be shocked,shocked I say if Obama actually did something that brought the private sector to life.
I do not believe he ever will But he will try to fool
voters.

Michael Handley| 8.29.11 @ 4:15PM

Well he appears to be galvanizing the electorate. Now if he could just get them to believe what he is telling them....

Pecos Pete| 8.29.11 @ 7:52AM

Jacob Lew's August 17 letter is incomprehensible.

Scary. Reminds me of King O's speeches.

King O's upcoming speech on JOBS will be another statement of obfuscation.

Strudwick Wickerwire| 8.29.11 @ 12:43PM

I was thinking the same thing, what a load of jive crypto-speak, brought to you by another Princeton economist, Paul Krugman being the other!!!

Demand Omugabe's immediate resignation!!!

JayDick| 8.29.11 @ 7:52AM

The author's comments that government spending on certain things, e.g. defense, space, can stimulate the economy are highly questionable. Such stimulus would only be short term except in those few instances where it helps the economy operate more efficiently. For example, certain highway projects can improve transportation and make the economy more efficient. But many highway projects are pure pork, make no real improvement in transportation, and provide only short-term stimulus. A short-term stimulus is like a sugar high; it is always followed by a crash.

c. j. acworth| 8.29.11 @ 1:49PM

Maybe so, but at least defense spending has the virtue of being Constitutional. We've burned through a lot of equipment in the last several years (for good or ill) and we need a serious refit. I wonder how much of even the most basic stuff like rifles are mostly worn out. I'm no expert, but I'd be very surprised if there isn't enough honest (meaning non-pork) work to keep plenty of folks busy for years.

Blegoo| 8.31.11 @ 11:01PM

Government spending example:
The Internet.

Tenn Slim| 8.29.11 @ 8:04AM

Meanwhile, EPA, DOE, USDA, Dept Of Education, continue to entangle, web thier regulatory systems around the neck of Private Enterprise. While the Economy is almost dead, it is not Zero. The GOAL is the demise of the GNP. Mud huts for all.
Semper Fi
We WILL Prevail
end

Pecos Pete| 8.29.11 @ 8:19AM

Slim: "Mud huts for all." Excellent. But, might I amend your comment?

Mud huts and caves for all.

Nancy in NC| 8.29.11 @ 8:43AM

Mud huts and caves for all EXCEPT for the ruling class.

hardcard| 8.29.11 @ 8:14AM

jake the snake wants us to take another bite NFW

JP| 8.29.11 @ 8:47AM

The President, like Clinton, will be able to talk outside both sides of his mouth. To his groupies he will talk up expensive projects like High Speed Rail, Green Enegy, Education, Infrastructure, etc.. But, to other crowds (Wall St Liberals) he will speak like Silent Cal. Fiscal discipline, cuts and balanced budgets will be highlighted.

And no one will believe him. I think even hardcore Leftists believe that the gig is up (although, they will never admit it in public). The game now is to save whatever one can. It's every Progressive for himself.

russel| 8.29.11 @ 9:08AM

" no one will believe him " is correct ; he's given so many platitude filled speeches , who listens anymore . Who cares , we want him gone , and no amount of more speechifying promises will change that now .

out of power and pissed| 8.29.11 @ 9:44AM

I hate to tell you Russ, but there are lots and lots of voters who still love this man and will vote for him again. They are convinced he could do a good job if the nasty Republicans and evil Tea Party would just leave him alone.
Don't you ever take a gander at MSNBC? Now, THERE are the true obama mouthpieces, the true obama bootlickers.

JayDick| 8.29.11 @ 9:55AM

True, but no one watches.

Tiddly| 8.29.11 @ 2:40PM

My mother watches. My wife's mother watches. A great many such women watch, and listen, and believe, and as a result they all think that if we just replace the evil Repubs and Tea Partiers with more reasonable people, The Messiah will thereby be unleashed to create Utopia he has promised.

With these women worshippers (that voice! That smile!) and Black voters and Acorn to resurrect dead voters, and illegals granted amnesty to vote, not to mention electronic voting machines subject to tampering and leave no paper trail (it isn't who is voted for that counts, but who counts the votes), and somebody like Ron Paul to siphon away Republican votes (Ross Perot voters gave us Cliinton) this Muslim Kenyan usurper will be reelected, and then America is truly finished.

Drunken Sailor| 8.29.11 @ 9:29AM

"no one will believe him."
Hell even Colin Powell is having second thoughts about his fellow Affirmitave Action comrade in arms.

Pat Carfagno | 8.29.11 @ 8:48AM

If it wasn't so tragic, it would be funny.

Great article, although none of us forgot about the economy over the summer, no matter what pap the media tried to distract us with.

Oh, look! Its a shiny thing! /s

irish19| 8.29.11 @ 11:47PM

Squirrel!! /channeling "Up"

Mike D.| 8.29.11 @ 9:02AM

If enough idiots in this country haven't figured this deceptive poser out by now, that whatever he says, does, thinks is pure BS, then by all means reelect the POS and get another 4 year stretch of having their noses rubbed in it. If thats the case then this great country is truly terminal. This man is NOTHING, an empty suit and a teleprompter reading Communist sock puppet bent on national destruction. Personally I don't bother trying to convince anybody in my circles anymore about anything. The sides are drawn, I chose mine, thats it!

Teaghan| 8.29.11 @ 9:48AM

You're so right Mike. The sides are drawn and that is, to me, an awful thing. To see our nation so divided is frightening and the way the media keeps it this way scares me even more. They keep things stirred up and people pitted against one another, just like the democrats and obama does. I hate them for that.

MikeBee| 8.29.11 @ 11:58AM

Mike,
I have an idea for an offer in compromise for Obummer. In 2012, let's put a Republican in the White House, and agree to send Barry and Michelle on a vacation for the next four years. In fact, let's offer to buy him a house on Martha's Vineyard, overlooking the ocean, in exchange for vacating the seat.

Mike D.| 8.29.11 @ 1:07PM

I'll tell you whats going to be heard next, when?, not sure but some leftist race pimp is going to actually suggest that Obama should be "given" his next term by default because it would be racist to have him removed by election as being "unfair". I will guarentee it, just fill in the blank with whoever you think is that stupid and racist, Jackson, Sharpton, Waters, Lee, Conyers.............but take it to the bank, its going to happen, you heard it here first!!!

Michael Handley| 8.29.11 @ 4:18PM

I do think he is in trouble. They are even bad mouthing him out here on the left coast....

POST American| 8.29.11 @ 9:21AM

"-They're powerless without 'their' FAKE
currency in circulation."
-ALAN WATT

Interesting to learn that Canada used to
print its own money, like the US before
the coup d-etat by private usurers in 1913.

IN FACT Canada was entirely DEBT FREE
through the entire Depression.

The money system has to be dismantled and
prosecuted --once and for all.

--------USURY really is ABOMINATION------

loulou| 8.29.11 @ 10:04AM

What's with the rug on Lew's head?

Oldefarte| 8.29.11 @ 10:25AM

Wait, IT'S ALL BUSH'S FAULT, right? I'm just amazed that Obama didn't simply PART THE SEAS of Irene and divert it toward Europe [so that his tee-times would'nt be inconvenienced]. Did anyone possibly read about the plastic/inflatable RAT that was brought to downtown Martha's Vinyard in protest [and their authorities had it removed naturally as a street hazard]? Ha! As to his cure for this economic malaise, possibly he'll issue governmental workfare checks to people to weed-out Michelle's victory garden, perhaps. Or maybe to construct road signs declaring that IT'S ALL BUSH'S FAULT. Gee wonder what their Air Force One's transportation to/from M'sV cost us taxpayers? Sure it was worth it, since he, Michelle-My-Belle, Sasha and Melique were able to obtain ice cream cones on the island and appear CUTE. Oh well, WTF, as they say!!!!!!!!

Jack in Wi.| 8.29.11 @ 10:21PM

It is all Bush's fault. He was a total inccompetent who put Obama in the White House. Who may be even more incompetent then Bush. Incompetnce replaces incompetence. It has been going on for 24 years.

Nick| 8.30.11 @ 1:15AM

"Who may be even more incompetent then Bush. "

It's than, Jack-boot, the word is than, not then.
Go buy a 5th grade English textbook, would ya'? Sheesh!

It's bad enough that you're a nazi apologist, but do you also have to be illiterate?

It's also ironic, as you were berating George Bush and O'Bama for being incompetent! What a moron!

Who Knows?| 8.29.11 @ 11:08AM

The key word for both Jed Babbin and Jacob Lew, mouthpiece for Obama, is—WE.

"The President has defined our challenge as demonstrating that WE can live within our means so that WE can invest in job creation and economic growth now and in the long term."---so writes Lew

On reading that sentence, my instant cynical thought was that by WE he meant the people paying taxes, whereas ostensibly it was supposed to apply to government agencies.

Continually resting in seeing near things far and far things near is best. This is epitomized by Senator McConnell’s overriding point that WE won’t be able to do much as long as Obama remains as president.

After many years spending (wasting?) time following the American political scenery as it constantly shifts, the BIG WE to keep in constant vigilance refers to the set of politicians running the Democratic Party---you know, the WE word when used behind closed doors by Obama, Pelosi, Reid et al as THEY = WE talk about themselves as the WE.

“What should WE do?”---that’s the operative question, and it only pertains to the self interest of the very questioner!

It’s so nice, these days, that sharp observers are waking up to the fact that Obama is a Narcissist. However, ALL of his pals are also!

There---the WE is merely a group of ME’S: the Democratic Party is the Narcissism Party.

MikeBee| 8.29.11 @ 12:02PM

Sounds like Obama's getting all "Wee-Wee'd up."

Wayne | 8.29.11 @ 11:21AM

What do you expect from the Cash for Clunkers guy?

I have an idea for Obama campaign theme.
How about Change your Beliefs? or
I Stopped the Hurricane or
ME... ME... ME!!!!

MacDaddy| 8.29.11 @ 2:21PM

2012: We HOPE that regime CHANGE in the White House brings about conservative control of the Senate and House.

Oldefarte| 8.29.11 @ 3:02PM

BREAKING NEWS:

'.......Obama's Uncle -- An Illegal — Arrested for Drunk Driving Monday, August 29, 2011 02:41 PMBy: Martin Gould...The drunk driving arrest of President Barack Obama’s uncle has thrown the White House’s new immigration policies straight into the spotlight. Now GOP politicians and immigration policy groups are vowing to keep a close eye on the case of Onyango Obama, who is being held in custody as there is a warrant already out ordering his deportation to Kenya.
“We will be watching this case very carefully,” Ira Mehlman, spokesman for FAIR, the Federation for American Immigration Reform, told Newsmax. “He was already under a deportation order so it raises the question of why he was he still here?”And freshman Republican Rep. Joe Walsh said, “This is the height of irony. Just a couple of weeks after the president sends out an executive order his uncle, who shouldn’t be here in the first place, gets arrested. “The timing is just exquisite, the Illinois congressman told Newsmax.“They said 300,000 cases would be dealt with on a case-by-case basis. Is this guy on that list and who is going to be looking at his case? I trust it is not the president. There could be a massive conflict of interest here.” Onyango Obama was arrested on August 24 outside the Chicken Bone Saloon in Framingham, Mass. after nearly hitting a police patrol car as he went through a stop sign. Tests showed his blood alcohol level was nearly double the legal limit. He was held in detention when police learned about the deportation order.When told he could make one phone call, he said “I think I should call the White House.”The case has received little media attention in the United States although it was widely covered in both Britain and Australia.....'

NJK| 8.29.11 @ 5:09PM

Does anyone even listen to this lying sociopath anymore?

Pat| 8.29.11 @ 5:10PM

Recently, when the Chinese host delegation grew weary of Joe Biden’s lectures on their civil rights abuses , they pushed their Peking duck and twice cooked pork to the center of the table and Finance Minister Wang proceeded to question Joe on America’s finances.

Minister Wang: Mr. Vice-President, the Chinese government is growing very alarmed at your country’s propensity for issuing ever increasing amounts of federal debt. Would you comment on your country’s problems in this area?

Biden: Don’t worry about it, Minister Wang, we’re good for it.

Minister Wang: But Mr. Vice-President, America currently has $15 trillion in outstanding debt, almost 100% of your country’s annual production. How can you carry such a debt load and how safe is the money we have loaned you?

Biden (heavy sigh): Minister Wang, look, if you’re not going to finish your Peking duck, do you mind if I eat it? Besides, $5 trillion of that $15 trillion in debt is money the Treasury owes the Social Security system, that shouldn’t count since we can control that debt. We’ll just raise the age limit on receiving social security and cut way back on consumer price index bumps to social security payments during the coming years, that would decrease debt in that area significantly. I told you we’re good for it and we are.

Minister Wang: So, Mr. Vice-President, you’re not concerned with what will happen to your old folks? We Chinese believe we have a duty to take care of our aging parents and wouldn’t consider trying to shortchange them.

Biden: Say, this pork is a little tough, maybe you should have cooked it a third time – thrice cooked pork, get it? (ha-ha)

Minister Wang: Sorry, the chef ran short of pork, that’s actually Hunan goat you’re eating. But getting back to your heavy debt load, do you have a plan to lower the ratio of your outstanding debt to annual GDP? And would you care to explain it?

Biden: Goat? How could you run out of pork, we never run out of pork in Washington. You’re starting to sound like the Republicans with this constant concern over our president’s borrow and spend plans to restore America to greatness and prosperity. Now, if there’s no more of that duck left, can I have my fortune cookie?

Minister Wang: What’s a fortune cookie?

MyGirlFriday| 8.29.11 @ 5:45PM

"Well, it all depends on if you like your skinning done from the top down or the bottom up." Can't remember which politician said this but I do believe this quote pretty much summarizes Obama's Jobs Plan. Jobs, is after all just another four letter word for this cut and dried ninny.

Nite| 8.29.11 @ 10:34PM

Do these clowns think the voters won't notice if the jobs situation becomes worse, and our taxes go up?

marshcope| 8.29.11 @ 11:29PM

Skinning from the top down or the bottom up was said by Huey Long. An Old South medicine show guy sold " High Papalorum" and "Low Papahighrum" made with healin' bark. One elixir was made from the tree bark skinned down and the other was made from bark skinned off the tree from the top up. The story was supposed to show what the difference was between what FDR and what he,Huey, were promoting to save the US. "FDR is a liar and a fake. We're just a coupla politicians, him and me" Huey said.

MyGirlFriday| 8.30.11 @ 12:04AM

Thank you Marshcope! I tried to google the saying but my words were not true to the original quotation. My memory is not what it used to be. But now that you have given me the original phrassssssing as they say, I will do further research. My best to you .

marshcope| 8.29.11 @ 11:32PM

"...skinned off the tree from the bottom up." line 4-5. Bad typing in the p.m.

marshcope| 8.30.11 @ 12:12AM

Huey's treebark speech can be found on Youtube, put online by miscellus2: "Huey P. Long on the difference between Democrats and Republicans." I thought it had been about him and FDR, but it was really about Ds and Rs. The clip is only about a minute long, but very interesting.

MyGirlFriday| 8.30.11 @ 12:19AM

Thank you again Marshope, I so much appreciate your reference to the video I will take a look. We are all in the same boat with these buggers (D's & R's). We must right this ship...America.

MyGirlFriday| 8.30.11 @ 12:50AM

Marshope, I do not wish to be misunderstood. I know that Huey Long was a Progressive. What I mean by D's & R's is that Conservatives must right this great American Ship.

casquette red bull | 8.30.11 @ 5:30AM

thanks!

play nice | 8.30.11 @ 7:30PM

Obama campaign slogan? " Let Them Eat Peas"!

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