- Home
- News Grid
- Local News
- Green Hawk
- Business
- Politics
- School Zone
- Nonprofits
- Missing Pets
- Multimedia
- Arts
- Movies
- Outdoors
- Sports
- News Releases
- Columnists
- Blogs
- Opinions
- Classifieds
- Advertise
- Donate
- Partners
Larry Kudlow: Romney’s Attack on Crony Capitalism
Let me build on Charles Krauthammer’s great Friday column, “The GOP’s Suicide March.” Krauthammer argues that just as President Barack Obama’s class-warfare, soak-the-rich mantra started lagging in the polls, some Republicans on the campaign trail started making the case that Mitt Romney’s Bain Capital was involved in nothing more than vulture capitalism, looting companies and destroying jobs. Keeping class envy alive.
I’m not going to name names, because everybody knows who these Republicans are. Instead, I want to go positive and commend Romney himself. Romney did his best in the second South Carolina debate to fight for free-market capitalism and Adam Smith, and against the spread of Obama-style crony capitalism and class envy.
During the Thursday night debate, Romney launched this:
“You’ve got to stop the spread of crony capitalism. (Obama) gives General Motors to the UAW. He takes $500 million and sticks it into Solyndra. He stacks the labor stooges on the NLRB so they can say no to Boeing and take care of their friends in the labor movement. ... He has to bow to the most extreme members of the environmental movement. He turns down the Keystone pipeline, which would bring energy and jobs to America.
“My view is capitalism works. Free enterprise works. ... There’s nothing wrong with profit, by the way. That profit went to pension funds, to charities. It went to a wide array of institutions. ... And by the way, as enterprises become more profitable, they can hire more people. I’m someone who believes in free enterprise. I think Adam Smith was right. And I’m gonna stand and defend capitalism across this country, throughout this campaign. I know we’re going to get hit hard from President Obama, but we’re gonna stuff it down his throat and point out that it is capitalism and freedom that makes America strong.”
Whoa. Tough stuff. The right stuff.
I watched this on DVR late at night. So just to be sure, I read the transcript the next morning. Still there. And let me say, this is exactly what the Republicans must say.
The issue of crony capitalism should be front and center in this campaign. President Obama defends his cronies instead of the so-called 99 percent. That’s his contradiction. Big Labor, Big Business and Big Green Energy are collections of cronies with big jobs, big salaries and big privileges. Nothing to do with the 99 percent.
But Romney can go even further to slam crony capitalism. This is where tax reform and deep spending cuts come in. A flattening of tax rates should be accompanied by the elimination of cronied tax deductions, exemptions and carve-outs. Even more, we should get rid of crony corporate welfare wherever it exists, including crony government subsidies to energy, exports and agriculture. Wherever it exists.
Let’s say you went to two tax brackets at 10 and 25 percent, as per Paul Ryan’s plan, or even the next step of a single-rate flat tax. Here, all the crony tax advantages should be wiped out. They won’t be necessary at lower rates, and their removal would end crony favoritism.
Finally, Romney can punctuate his crony-capitalism attack by telling folks he will overturn and upend the prevailing Washington, D.C., establishment.
Sadly, with the exception of Rick Santorum making the case for lower tax rates, Thursday night’s debate had virtually no discussion of tax reform. Newt Gingrich never even once mentioned his 15 percent flat-tax plan. Unfortunately, Gingrich still leaves most deductions and carve-outs in place, and that needs to be fixed.
That aside, Romney capped his strong performance with a Reaganesque summation. As he has in the past, he criticized Obama for trying to “transform” America from a merit society — an opportunity society where people are free to choose — to a European-style entitlement society. Romney said, “We need to restore the values that made America the hope of the Earth. ... (President Obama) has made it almost impossible for our private sector to reboot. ... I will defeat Barack Obama and keep America as it’s always been, the shining (city) on a hill.”
Strong stuff. Good stuff.
Is anyone listening?
— Larry Kudlow National Review Online’s economics editor, is host of CNBC’s The Kudlow Report and author of the daily web blog Kudlow’s Money Politic$. Click here for more information, or click here to contact him.
Comments
Noozhawk's comments are moderated, but by posting here you accept your responsibility to follow our rules as part of Noozhawk's shared online community. Please keep your comments civil and helpful. Don't attack other readers personally, and do not use vulgar, abusive or discriminatory language. Use the "Report Abuse" link if a comment violates these standards or our Terms of Use.
» on 01.21.12 @ 09:35 AM
“...but we’re gonna stuff it down his throat ...”
Wow. I bet that line went over big with the right. Just the image of a black man having something stuffed down his throat gives so many of them a thrill.
Crony capitalism? Keeping jobs in the U.S.A and helping new industries get started is “Crony Capitalism?” Define Vulture Capitalism… no wait, let Romney define that. Solyndra defaulted on government guaranteed loans, but for every Solyndra there are multiple American companies that did not default, and now employ thousands. This cannot be said for the vultures.
Vulture Capitalism is destructive from every perspective except the wallets of the vulture capitalists. It stifles competition, promotes monopolies, destroys jobs, and ruins lives.
You don't have permission to flag this entry.
» on 01.21.12 @ 05:36 PM
Another guy who thinks that wearing glasses makes him look smart. I’m still trying to figure out his “Big Green Energy”. Does this mean Jolly-Green-Giant-Energy (maybe from fresh frozen peas) or just Big-[but-ignore-Bush-Cheney-crony]-Energy?
You don't have permission to flag this entry.
» on 01.21.12 @ 11:48 PM
Kudlow is a complete putz. Who listens to this idiot, and why does the Noozhawk stoop to pick up his syndication?
You don't have permission to flag this entry.
» on 01.22.12 @ 01:18 AM
Not surprisingly, I totally disagree with my ultra-liberal friends. Kudlow makes eminent sense; it is time we did away with all vestiges of crony capitalism, starting with the tax code first.
As for Noozhawk publishing his articles, I have seen a lot of vapid nonsense from some of our radical left-wing columnists and posters, which Noozhawk has not censored. I understand that you would feel more comfortable having like-minded people reinforcing your flawed thinking, but Noozhawk is not the spokespiece rag of the Democratic or Republican Parties. Thank goodness!
You don't have permission to flag this entry.
» on 01.22.12 @ 02:49 PM
Kudlow’s sincerity would be more evident if he had been just as opposed to crony capitalism when Bush was President. Remember how Cheney got together in a secret meeting with his (and Bush’s) oil cronies and let them decide US energy policy? What did Kudlow write about that at the time?
If Kudrow had nothing to say back then, then why say something now? We all know the answer: this article is just partisanship pure and simple. Whether or not he believes what he’s saying, he wouldn’t have written it if the other party was in power.
You don't have permission to flag this entry.
» on 01.22.12 @ 05:37 PM
So you guys are nonpartisan. People who live in glass houses…....
Cheney got into a meeting with energy executives and let them decide energy policy is a bunch of hogwash. Unless you have a transcript of that meeting, it is just Democratic (partisan) talking points you guys love to mindlessly repeat.
You don't have permission to flag this entry.
» on 01.24.12 @ 06:32 PM
I’m sorry but to have a Wall Street fat cat (Romney) who never made a damned thing in his life preach to me about the benefits of capitalism is about as credible as having Barack Obama preach to me about the benefits of capitalism.
I guess if you believe that capitalism means getting rich anyway you can even at the demise of the economy as a whole then you probably think Mitt is a good guy. He does have a great following in the halls of the Harvard business school. But all capitalism means is I get to control my own wealth and that the majority of influence comes from a free market. It has nothing to do with a bunch of bankers and investors sucking wealth off everyone else and then laughing about how wonderful being a parasite in a free market system is.
There is nothing wrong with how Mitt made his fortune, just like Warren Buffet. But if you don’t have a clue where the money they made came from then they will suck you and our economy dry eventually.
Wealth can be divided into two categories, personal and economic. Personal wealth is that which you collect and put in your personal portfolio. Economic is the wealth or value your economic activities add to the economy as a whole. How much wealth did Romney add to the economy while filling his pockets? Zip, zero and zilch. In fact his money managing activities are a net drain on overall economic wealth.
So why do I want this guy in office? Because he is good at transferring wealth from the many to the few? Hell we got one of those already, his name is Barack Obama and the only difference is Mitt collected his as a service and Obama got his at the point of a gun. Either way neither of these guys did anything to add wealth to the country and with our ballooning debt I don’t see that as progress in any sense of the word.
You don't have permission to flag this entry.
More Local News »
Lawrence Kudlow: Extend the Bush Tax Cuts Now
House Speaker John Boehner's goal of an early extension of the cuts is going to be an uphill climb
Larry Kudlow: Geithner Goes Over the Edge
Treasury secretary's blatant partisanship, politicking is as unseemly as it is short-sighted
Larry Kudlow: Obama’s Class-Warfare, Tax-the-Rich Budget
Raising taxes to raise spending would sabotage our nation's future economic growth
Larry Kudlow: Romney’s Attack on Crony Capitalism
The Republican presidential candidate is saying all the right stuff — is anyone listening?
Larry Kudlow: Stocks Get By with a Little Help From Our Fed
U.S. makes it cheaper for Europe to borrow dollars, but there are bigger problems yet to be solved
Weather: Fair 55.0º
Search Noozhawk »
