Why were conservatives so wrong about the Clinton economic plan?

When Clinton and the Democratic congress passed the Omnibus Budget Reconciliation Act of 1993 (which raised taxes for those making over 200K and increased social spending on education, job training, and police) Republicans were predicting doom and gloom.



Why were they so wrong?

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"The tax increase will kill jobs and lead to a recession, and the recession will force people off of work and onto unemployment and will actually increase the deficit."

- Newt Gingrish



"I believe this will lead to a recession next year... Stay tuned for the next 60 days... I think we're frankly now living on borrowed time."

- Newt Gingrish



"A recipe for economic disaster..."

- Phil Crane of Illinois



"It is going to lead to a Clintastrophy, an economic Clintastrophy..."

- Indiana's Dan Burton.



"April Fool, America. This Clinton budget plan will not create jobs, will not grow the economy, and will not reduce the deficit."

- Sen. Pete Domenici of New Mexico



"We are buying a one-way ticket to a recession... I want to predict here tonight, that if we adopt this bill the American economy is going to get weaker and not stronger, the deficit four years from today will be higher than it is today and not lower ... When all is said and done, people will pay more taxes, the economy will create fewer jobs, the government will spend more money, and the American people will be worse off."

- Gramm of Texas



"This plan will not work... If it was to work, then I'd have to become a Democrat and believe that more taxes and bigger government is the answer."

- Kasich of OhioWhy were conservatives so wrong about the Clinton economic plan?
The Clinton economic plan of riding the coattails of Reagan and the internet boom?
Conservatives don't like to admit they were wrong. Under Clinton we had a balanced budget...and the best economy in American history.



The Clinton plan worked, then Bush became President....then it went downhill from there.Why were conservatives so wrong about the Clinton economic plan?
Do you think it had anything to do with the Market Crash of 1990 which is ranked #10th ?



http://mutualfunds.about.com/cs/history/鈥?/a>

Are you old enough to remember?
It only took Clinton and the Dem's a few years to bring down Reaganomics. Clinton ended his term in a recession.Why were conservatives so wrong about the Clinton economic plan?
Because conservatives refuse to admit the world is changing. Global economics is the reality no matter how much they wish otherwise. It will never be 1956 again (economically nor socially), Clinton's economic plan was our first step forward to the new world economy.
The Act almost brought the ongoing economic expansion started by the Bush administration to a screeching halt. Luckily, the voters came to their senses and turned Congress over to Republican control, ensuring that such stupidity would cease.



It worked for a while, anyway.
What are you saying? If we have more taxes we'll have more economic growth?
Clinton wasn't an angel - while he brought our deficit down in the short run, he co-signed NAFTA which led to the decimation of manufacturing in America (and eventual trend towards outsourcing of IT too) in the long haul. The result is that our middle class has steadily decreased, while the gap between wealthy and poor increased. Bush also believed in Clinton's "Free Trade" economic policies (which benefit the super wealthy and corporations).



That said - Republicans may have said these things (please include sources for these quotes!!!) because they feared losing power and influence. They also knew that it would mean a slight reduction in accumulation of wealth for the super-rich.



This question is timely (again, if the quotes are true and accurate - please cite!) because we may once again see a jump in income taxes on the wealthy - sooner than later.
Hey Jake (answerer above) -



Clinton was elected in 1992. No, I don't think his policies had anything to do with the crash of 1990.



Learn some history yourself.
Because the plan didn't line their own pockets, so they had to try to convince us poor stupid people that it was bad.
It's called politics. You hear the same type rhetoric right now in D.C. from the Dems.
all you have is quotes, where is your statistics to prove otherwise? very sloppy
Almost every statement you just made came true. The clinton budget really did nothing but ruin the good economics that reagan and bush set up.
WHat you, like most people don't understand, such an act as the one you cited, doesn't have an immediate effect on the economy. It takes some years to go by before we see an effect.

Blaming a president two years into his first term for a bad economy, no matter what his politics are, is usually a mistake because there is no way he could have had an effect, bad or good, in that amount of time.
Because everything is Clinton's fault and will continue to be even after he dies.
The Fed came off the brakes early - that helped a lot. Overall the gloom and doom predictions were overblown though because the actual changes were pretty minimal. Keep in mind also that the predictions related to the initial legislative package - ultimately the two sides met each other halfway.



But I'll admit the gloom and doom prognosticators were wrong if you admit that the Libs were wrong about the Bush tax cuts, which have produced even LOWER unemployment and increased tax revenue even though this time the Fed overshot.