all found plum administration jobs.
And those were Trump’s first choices. With Kudlow now replacing Gary Cohn, the impeccably qualified former Goldman Sachs executive, the second-stringers could make their predecessors look like Camelot.
Even a stopped clock is right twice a day, they say. But Kud-low’s misfires just keep coming, as Chait documented.
1993: Kudlow proclaims in a speech: “There is no question that President Clinton’s across-the-board tax increases on labor, capital and energy will throw a wet blanket over the recovery and depress the economy’s long-run potential.” The economy goes into an eight-year expansion and adds 21 million jobs.
2001: Kudlow writes in National Review about the George W. Bush tax cuts: “Faster economic growth and more profitable productivity returns will generate higher tax revenues at the new lower tax-rate levels. Future budget surpluses will rise, not fall.” Tax revenue falls, and the budget goes from surplus into deep deficits.
2009: Kudlow says in an interview: “President Obama is waging war on investors. He’s waging war against businesses.” In a piece in the Washington Times he warns that inflation could “ratchet higher.” The stock market and corporate profits climb to records, while inflation remains historically low. Now, history is repeating itself. Writing in National Review in December, Kudlow embraced the Trump tax cuts, dismissed “dreary mainstream” forecasts and predicted annual growth as high as 5 percent. Echoing almost word for word his failed 2001 prediction, he forecast that “faster economic growth will generate much higher tax revenues.”
What could possibly go wrong?
Dana Mllbank Is a syndicated columnist. You can follow him on Twitter. ©Mllbank.