The Good Old Days...

POINTS OF VIEW VIA GENERATION: short overview of politics and economics from the 30’s to the present

When I was golfing in Florida and I was the kid on the block at age 68 it occurred to me that age really changes our viewpoints on things. Those were small, but those between my grandchildren and I are pretty large. As a result when we talk about politics and economics, which this article is about, there are real experiential differences. I will try to bring out some of those differences in what follows in the hope that greater accord and understanding may take place.

My worldview goes from about World II to the present.  So when I think of politics and politicians  I, in essence begin with Franklin D. Roosevelt and go to Barack Obama. And in my reflections I see distinct differences, especially in the Republican party from the pre-Reagan era to the post-Reagan era. Now to some history.

For instance, most all of us have experienced recessions but very few have ever experienced a real depression. Following WWI (1914-1918) a good deal of folk made significant war profits and when soldiers returned there was a lot of excess workers. Thus in 1929, when the stock market collapsed the upper part of 1% of the country owned and or controlled over have the wealth of the nation. And 25-50% of the workforce were out of work with no sources of support. Franklin Roosevelt was president (1939-1945) during this terrible time and he initiated a program called The New Deal. The government hired lots and lots of folk to work on programs to benefit the nation. This program was supported by Franklin’s party, the Democrats, as well as many of the Republicans. A lot of laws were enacted at that time to help people well being, child labor laws, how low folk could work and agriculture was protected. The programs were continued and expanded by his successor Harry Truman.

The time of my youth, the 40’s and 50s, especially the 50’s were an affluent time in our country.  We were a  very united country; fighting wars do that. The Cold War continued that esprit de corps. Dwight David Eisenhower (republican) became the president following Truman (1953-1961). It was a quiet time yet civil rights were becoming known as a social issue in the country as other injustices came to light. But folk had money to buy cars, houses, TV and learned how to buy on credit (credit cards into use at this time.) When you here older folk talk about the “good old days” this is generally the time they are talking about and through the 70’s. Folk moved to the suburbs, gas was cheap and Eisenhower wanting to develop the nation’s infrastructure, and created the interstate system, which was supposed to be followed by enhanced rail, water and air systems. The labor forced changed from primary blue collar workers to white collar workers. Unions became strong, women worked outside the home etc.

Some wanted Eisenhower of dismantle the New Deal but he saw the wisdom of continuing these programs the improved the overall wellbeing of the nation and its citizens. There were three recessions during his administration but the government used their power appropriately stimulating the country to get the nation back on track each time. I believe this was a fiscally responsible and pragmatic time. However, they were 35 million American living in poverty (defined as an income under $3,000 then) and immigration issues developed. It was a time of the birth of Rock and Roll and “Father Knew Best” at least in a TV show.

On  personal note, when I think of the values of the Republican party these are the years I think about. Republican and Democrats were civil with each other even when the disagreed and debate was used to find the best truths that would benefit the country and it citizens. This I believe continued up to the Reagan era.

John F. Kennedy became president (1961-1963) following Eisenhower.[e.d. He defeated Eisenhower’s VP, Richard Nixon whose VP candidate was Henry Cabot Lodge. Lodge I believe was one of the greatest statesmen this country ever produced.] It was a close victory but the country was optimistic under this new a vital president. His administration was called The New Frontier. The Vietnam war began with limited USA involvement, civil rights movements gained strength, minimum wage was raised to $1.25/hr, and the Peace Corp was begun; all of this with a congress dominated by southern democrats and republicans (read conservatives for both.) The Nuclear Test Ban Treaty was signed and we when to the brink of war with the Cuban Missile crisis. Kennedy in my opinion, was a great statesman with a vision very helpful for the country; It was also known as the Camelot years, all cut short by his assassination, yet it was an incredible 1000 days.

Lyndon Baines Johnson took office after Kennedy’s assignation. He was a very effective president able to work with both parties promoted what he called the Great Society. He worked for new social programs, declaring a war on poverty, and established the Economic Opportunity Act, Job Corps, Head Start and VISTA (an at home peace corp.) He ran for another term and was elected defeating Barry Goldwater (ed. whom I voted for; go figure.) Despite an overwhelming victory and pushing through a good deal of legislation (Civil Rights at of ’64, ending segregation with the 24^th amendment and ended poll taxes. All of this however, was overshadowed by the unpopular war in Vietnam. In light of this Johnson did not run for president again.

Richard M. Nixon (1969-1974) became the next president. His presidency was noteworthy in terms of foreign policy established formal relations with China after 20 years. He also developed closer ties with the Soviet Union. He called domestic policy the New Federalism seeking to limit the federal government. Nixon withdrew our troops from Vietnam. The Watergate Scandal forced his resignation in 1974 when he was succeeded by Gerald Ford who pardoned him from all possible crimes. The economy then became the main issue; energy crisis and long gas lines.

Democrat Jimmy Carter (1977-1981) was the next president. Not regarded as a strong president he has had a great deal of influence in peace keeping efforts following his presidency.

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Now comes, what I believe, is a major shift in political economic structure of society with the election of Republican Ronald Reagan (1981-1989). At the end of the 20^th century the cold war escalated ending with the demise of the USSR. The so called Moral Majority and the Christian Coalition became major political influences.

Ronal Reagan, I believe, will be best known for his advocacy of supply side economics (popularly known as trickle down or voodoo economics.) Reagan believed and promised the public he could cut inflation, increase government spending (particularly in the military (100 billion during his first term, mainly to fight what he believed was a evil USSR; he also instituted what was popularly known as Star Wars/.Strategic Defense Initiative [which violated the Salt I provision] ), cut taxes and balance the budget all at the same time. Apparently he was believed. [Demand Side Economics or Keynesian Economics was the dominant theory of my youth. I believe I have written about it in another blog. It essentially means the government needs to exercise reasonable control of a free enterprise society or it will run amuck.]

The Economic Recovery Act was passed in 1981 which cut personal taxes 25% and reduced the maximum tax rate from 70 to 50% and lowered the capital gains tax. He also cut $30 billion from social programs and began deregulating businesses throughout the country (i.e. airlines, savings and loan companies, communications, etc.) Also the government reduced enforcement of regulations in many places. He also loosened air control requirements, restriction of the use of public land and motor vehicle safety regulations.

During Reagan’s second term political scandals and problems with Wall Street were revealed. The US sold weapons to Iran which enabled them to also fund arms for the Contras of Nicaragua, all of which was illegal. The stock market which had risen so greatly dropped more than 500 points in one day. These problems would be passed on to Reagan’s successors.

Following Reagan was George H.W. Bush (republican) 1989 – 1993. Bush was more comfortable with foreign than domestic issues. These economic issues plagued his administration. He essentially continued in Reagan’s supply side economics. He had to deal with the savings and loan crisis which had been deregulated and had been involved in high risk investments. Hundreds of these failed which cost the USA taxpayers between $300 to $500 billion. Bush continued the mantra of “Read my lips: ‘no new taxes.’” But he had to raise taxes and cut defense and social spending.  This brought about a serious recession. Unemployment increased to 7%, companies downsized, those in poverty increased by 2 million.  Bush plan was to give a middle class tax cut, help families buy their 1^st house, and lower capital gains taxes. Social ills also plagued the country. Too many to go into here.

Bill Clinton (democrat) became president from 1993 to 2001. Despite a colorful background Clinton new the major issues facing the country were economic. Congress balked at his $30 billion stimulus policy but passed it. His worst setback was an inability to pass health care reform.  Clinton established a free trade agreement with the USA, Canada, and Mexico (NAFTA), which displeased the unions. He also got passed the General Agreement on Tariffs and Trade lowering trade barriers around the world.

The economy rebounded while the republicans gained control congress.  The new leader of the House, Newt Gingrich, labeled their legislative program Contract with America which included a balanced budget. Clinton is credited for doing more of the improvement of the economy due his more moderate positions of several key issues. Which led to his second term. Unemployment dropped to 4% (in essence full employment), and from a budget deficit turned into surplus of about 80 billion.

The Clinton presidency, while effective both domestically and of the foreign level with a congress of the other party will always be marred by his personal peccadilloes.

From 2001 to 2009 George W. Bush (republican) was president. After a very close election Bush continued with the Reagan economic policies. I won’t go into much detail here because all of you should have a pretty good idea of his president.

Again we have an accent of reducing taxes with three rounds of tax cuts between 2001 and 2003. The highest tax bracket now is 35% (the lowest in my lifetime.) On the positive side we have support for Medicare Part D helping with an out of control health care system. And on the economic side we have the second most expensive war in history based upon bad intelligence.

Finally we have our current president Barack Obama. In my opinion President Obama is the best educated and prepared president we have had since John Kennedy. I believe he has the qualities of statesmanship of the like of Thomas Jefferson, Abraham Lincoln, Benjamin Franklin,  Eisenhower, Henry Lodge Cabot and John Kennedy, to name of a few. I believe he is a man who indeed looks towards the common good for all Americans. I also believe that he has had the most difficult presidency any American presidency has ever had.

Since Ronald Reagan took office and began his supply side economics the middle and lower classes have suffered greatly. Our quality of life has diminished rather than increased in this incredibly wealthy nation. Our profit based health care is a total disgrace. The amount of Americans in poverty is a total shameful. And the subsidation of the ultra rich at the expense of the poor (socialism) is a scandal.

Our campaigns make our national look like spoiled stupid children reduced to name calling and just plain cheating. Since the Reagan days the Republican Party has become more and more extreme and the government has just plain be bought by the ultra rich. Once again in history we find ourselves where the upper 1% of the upper 1%; 11,600 people own and over half the wealth the nation. That is scandalous. We have seen supply side economics in action for over three decades and it just plain doesn’t work. Or, it doesn’t work for the vast majority of the people of our country.

It was not always like this, and is certainly not what the founding fathers of our democracy intended.

I further believe that until we have national reform on the election process our nation will continue to downwardly spiral and democracy will be a relative short term experiment that failed.

Until that happens we will be unable to return to the good old days (the 50’s-70's) when republicans and democrats can and did have reasonable debates about how to best care for our country, ensure the common good, and prosper economically, social, and spiritually.

There are serious politicians and I believe also statesmen of both parties out there to lead our country. But they are hard to locate and even hear in the din of today’s media and the multitude of extreme name calling political debutantes.

Republicans do you really want to be known as the people who follow and was to be led by Newt Gingrich, Sarah Palin, Rush Limbaugh,  Donald Trump and the Tea Party puddinheads? I want Barack Obama to remain president because I believe in most of his policies. But I want him to run again responsible opponents such as Mit Romney, Mike Huckabee, David Petraeus, or Colin Powell. And then have a congress that can work together as statesmen acting like what they are elected to be public servants.