Wednesday, February 18, 2004

"Dammit Jim, I'm President -- I'm Not Responsible"

There once was a time when George Bush extolled the virtues of "personal responsibility" and "accountability."

During the more than half century of my life, we have seen an unprecedented decay in our American culture, a decay that has eroded the foundations of our collective values and moral standards of conduct. Our sense of personal responsibility has declined dramatically, just as the role and responsibility of the federal government have increased.

The changing culture blurred the sharp contrast between right and wrong and created a new standard of conduct: "If it feels good, do it." and "If you've got a problem, blame somebody else. Individuals are not responsible for their actions," the new culture has said. "We are all victims of forces beyond our control.” We have gone from a culture of sacrifice and saving to a culture obsessed with grabbing all the gusto. We went from accepting responsibility to assigning blame. As government did more and more, individuals were required to do less and less. The new culture said: “if people were poor, the government should feed them. If someone had no house, the government should provide one. If criminals are not responsible for their acts, then the answers are not prisons, but social programs.”

A Charge to Keep
George W. Bush's campaign book

Then, for a time, he seemed particularly keen on the idea that people who run large organizations should exhibit some kind of responsibility for their organization's actions, forecasts, and statements.

America is ushering in a responsibility era; a culture regaining a sense of personal responsibility, where each of us understands we're responsible for the decisions we make in life. (Applause.) And this new culture must include a renewed sense of corporate responsibility. If you lead a corporation, you have a responsibility to serve your shareholders, to be honest with your employees. You have a responsibility to obey the law and to tell the truth. (Applause.)

Remarks by the President at Malcolm Baldrige National Quality Award Ceremony
The White House
March 7, 2002

My accountability plan also requires CEOs to personally vouch for their firms' annual financial statements. Currently, a CEO signs a nominal certificate, and does so merely on behalf of the company. In the future, the signature of the CEO should also be his or her personal certification of the veracity and fairness of the financial disclosures. When you sign a statement, you're pledging your word, and you should stand behind it.

(snip)

Everyone in a company should live up to high standards. But the burden of leadership rightly belongs to the chief executive officer. CEOs set the ethical direction for their companies. They set a moral tone by the decisions they make, the respect they show their employees, and their willingness to be held accountable for their actions. They set a moral tone by showing their disapproval of other executives who bring discredit to the business world.

Remarks by the President on Corporate Responsibility
The White House
July 9, 2002

Perhaps the White House message of the day changed. Or maybe Scott McClellan just didn't get the memo that the boss fancies himself as someone with a "sense of personal responsibility." Today's press briefing offers a case study in how "pledging your word" with your signature and "accepting responsibility" don't apply when you're President.

Q Scott, does the White House stand behind its report issued just nine days ago, the Economic Report, there will be 2.6 million new jobs created this year?

MR. McCLELLAN: I think we went through a little bit of this earlier today. I think that people can debate the numbers all they want; the President is focused on acting on policies to create as robust an environment for job creation as possible so that we can help those who are hurting because they are looking for work and cannot find a job.

The President is encouraged by the direction the economy is moving. It is growing strong -- or growing stronger, I should say -- it is strong and growing stronger. There have been more than 366,000 new jobs created in the last five months. The unemployment rate continues to decline. It is now the lowest point -- at the lowest point it has been in two years, and it is below the average of the '70s, '80s, and '90s. Certainly, productivity continues to be high, and people's disposable incomes are up. There are a lot of good indications about the direction the economy is moving.

But there is more to do. And the President is focused on acting to create as robust an environment as possible. That means acting on his six-point plan for strengthening our economy even more. We live in a changing economy right now, John, and the President has put forward a plan that will help create as robust an environment for job creation as possible. It will help retrain workers who have lost their jobs to meet the jobs of the 21st century -- these jobs that are high-paid, high-skill jobs. And so that's where the President's focus is on.

Q Well, you say this is a changing economy, and you also said earlier that this report was based on economic data that is now three months old. So would it be wrong for the Democrats, later this year -- if you don't meet this 2.6 million forecast of jobs -- would it be wrong for them to beat you on the head about it?

MR. McCLELLAN: It would be wrong for people to raise taxes at this point in our economy. And there are some -- (laughter) -- well, there are some that are advocating letting the tax cuts that the President worked to pass expire. And what that would be doing is raising taxes on small businesses. Small businesses are the economic engine for our economy and they're at the foundation of creating a strong and growing economy. It would raise taxes, if they let these tax cuts expire, on moms and dads who are trying to raise a family. It would raise taxes on married couples by restoring the marriage penalty.

Q When you dismissed the premise of John's question by saying, people can debate the numbers, let's be realistic here, the debate is going on between your Council of Economic Advisors and Treasury Secretary John Snow. Are there people here in this White House who never believed that forecast?

MR. McCLELLAN: Look, John, I think that the Council of Economic Advisors puts out an annual report on the economy; it's the President's Economic Report. And they do that every year. They've been doing it for some 20 years now. That's based on economic modeling and the data that is available at that point in time. The President is interested in the actual number of jobs being created, and the President is interested in making sure that everybody who is looking for a job can find one. That's where the President's focus is.

That's why I say people can debate the numbers all they want, but the President is going to be looking at the actual numbers of jobs being created. And the number of jobs being created is growing. The number is up. New jobs are being created. The economy is certainly moving in the right direction. And my point to John was that the last thing we need to do right now is raise taxes. And we need to focus on the policy decisions that are being made here in Washington, D.C. to create as robust an environment for job creation as possible. And that's where the debate ought to be focused.

Q But it would appear, though, that people very high up in this administration didn't have a whole lot of faith in the forecast of the report that went up to Congress just a week ago in terms of the job creation numbers.

MR. McCLELLAN: Again, it's an annual economic report that is put out by the administration based on the economic modeling and the data that's available at that point in time.

Q Can you answer the specific question, though? Was this report -- was the prediction of this many jobs, 2.6 million jobs, vetted prior to publication by the entire economic team?

MR. McCLELLAN: It's an annual report, David. It goes through the usual -- it goes through the usual --

Q That's not the question. Was it or was it not vetted by the entire economic team?

MR. McCLELLAN: It's an annual report. It goes through the usual --

Q So you don't know, or it was, or it wasn't?

MR. McCLELLAN: Can I get -- can I finish that sentence?

Q When you answer the question. Let's hear it. What's the answer?

MR. McCLELLAN: The answer was, it is an annual economic report and it goes through the normal vetting process. And if you would let me get to that, I would answer your question.

Q -- the full economic team vetted the prediction --

MR. McCLELLAN: It's an annual economic report. It's the President's Economic Report. But again, the President --

Q Just say yes or no --

MR. McCLELLAN: -- it goes through the normal -- it goes through the normal vetting process.

Q So the answer is, yes. I'm not done yet, I've got another one.

MR. McCLELLAN: Okay.

Q Why -- if you're suggesting that people will debate the numbers, that's kind of a backhanded way to say, oh, who cares about the numbers. Well, apparently, the President's top economic advisors do, because that's why they wrote a very large report and sent it to Congress. So why was the prediction made in the first place, if the President and you and his Treasury Secretary were going to just back away from it?

MR. McCLELLAN: Well, one, I disagree with the premise of the way you stated that. This is the annual Economic Report of the President and the economic modeling is done this way every year. It's been done this way for 20-some years.

Q So why not -- why aren't you standing behind it?

MR. McCLELLAN: I think what the President stands behind is the policies that he is implementing, the policies that he is advocating. That's what's important.

Q That's not in dispute. The number is the question.

MR. McCLELLAN: I know, but the President's concern is on the number of jobs being created --

Q My question is, why was the prediction made --

MR. McCLELLAN: -- and the President's focus is on making sure that people who are hurting because they cannot find work have a job. That's where the President's focus is.

Q Then why predict a number? Why was the number predicted? Why was the number predicted? You can't get away with not -- just answer the question. Why was that number predicted?

MR. McCLELLAN: I've been asked this, and I've asked -- I've been asked, and I've answered.

Q No, you have not answered. And everybody watching knows you haven't answered.

MR. McCLELLAN: I disagree.

Go ahead.

(snip)

Q Can I go back to the jobs issue for a moment?

MR. McCLELLAN: Sure.

Q We've been talking about whether or not the CEA forecast of adding 2.6 million jobs is correct. But actually what CEA forecast was that the average number of jobs in 2004 would be 2.6 million higher than in 2003, which for reasons I won't bore everyone with implies a rate of growth in jobs well beyond the, roughly, 200,000 a month that would be implied by a 2.6 million rise in jobs. The bottom line here is that the CEA is forecasting, at a minimum, about 300,000 jobs a month will be created. Do you stand by that?

MR. McCLELLAN: Economists do economic modeling. That's the Economic Report of the President. Let me be very clear here, though. This President is focused on what we are doing to create as robust an environment as possible for job creation -- not in crunching numbers. He's looking at the actual numbers that are coming in, the actual numbers that are being created, and looking to make sure we're doing everything we can to keep our economy moving in the right direction and create more jobs.

I mean, this is an important debate going on in this nation, and there's a clear choice. Some people -- some people want to turn back and take actions that would raise taxes on people, at a time when our economy is really starting to grow strong.

Q Okay, well, on that point, the President's advisors have, at various times, made very specific predictions about the number of jobs that would be created by the very policies that you are continuing to advocate right now, specifically the tax cuts. Those projections have not come to pass.

MR. McCLELLAN: Well, you're talking about some original proposals that were proposed, and then you have to look at what was actually passed.

Q They were changed only minimally from what was originally proposed. Why should we believe that these projections are any better, or reflecting better the impact of these policies, than your previous projections?

MR. McCLELLAN: I think when you say what should you believe, I think you should focus on what policy decisions the President is making to create more jobs in this country. It's important that we continue to act to create as many jobs as possible in this country, and that means creating a robust environment for job creation. That's where the President's focus is on. Like I said, we can debate the numbers all you want here, or we can look at the number crunchers. Economists do economic modeling, them make forecasts. There are blue-chips out there, there are a number of different economists out there with different interpretations. And it's based on assumptions --

Q The question is, why --

MR. McCLELLAN: -- it's based on assumptions at that point in time.

Q -- how can you sell these policies as creating jobs when, in fact, they haven't?

MR. McCLELLAN: I disagree --

Q Or at least not to the degree that you previously projected.

MR. McCLELLAN: Oh, no, disagree. Well, one, let's have a discussion about that, because you have to look at the fact that we are in a changing economy right now. I talked about that when John rose this issue. You have productivity growth at very high levels these days. And that's a good thing, because it means increased living standards; it means more -- it means higher pay for workers, so they have more money at their disposal.

And in this changing economy, we have an economy that is strong and growing stronger. But because productivity growth is so high, you're not seeing the same kind of job numbers that you would expect at this level of GDP. And so that's why --

Q But that's not what --

MR. McCLELLAN: No, that's why the President put forward a six-point plan to create an even more robust environment for job creation. That's why he's called on Congress to pass comprehensive energy legislation. That's why he's called on Congress to address the rising cost of health care. That's why he's called on Congress to pass medical liability reform. That's why he's called on Congress to continue to act to promote free trade with a level playing field.

Q And do you think that will create more jobs this year?

MR. McCLELLAN: It will create an even more robust environment for job creation when Congress acts on those measures. Absolutely. But let me dispute -- you said jobs weren't being created. Jobs are being created. There's 366,000 new jobs over the last five months that have been created.

Q What I said was that jobs aren't being created at the level that you were projecting when you were advocating the passage of these policies.

MR. McCLELLAN: Well, again, what was originally proposed versus what actually passed.

Q Scott, just a quick follow-up on that. As Dick mentioned, it does project basically at least 300,000 jobs a month. You, yourself, just mentioned that there are a lot of economists out there who have projections; the blue-chip forecasters is one that is often cited. They're averaging 166,000 a month. The top ten of the blue-chip forecasters are averaging 225,000 a month. What does the White House know to project over 300,000 -- a minimum of 300,000 --

MR. McCLELLAN: We had a briefing on the Economic Report when that was put out, with our economists there to answer your questions --

Q Why are you so much more optimistic?

MR. McCLELLAN: -- and I think they answered the questions at that time.

Q Why are you so much more optimistic, Scott?

MR. McCLELLAN: I've already addressed this question.

Go ahead.

Q Just to go back to this number. This is a report that not only was put out by the President's economists, but it was signed by the President of the United States, this report. So, obviously, he supported the concept of projecting 2.6 million jobs over the next year. You're not -- you still have not said that the President stands by that.

MR. McCLELLAN: I said it was the Economic Report of the President, and that the modeling that is done in those reports is done by our economists over in the Council of Economic Advisors. They do this every year. They've done it for some 20 years, in every administration before us over those 20 years.

Q So, looking back -- let's say we get to October and November on this past year, 2004, and if that projection is not fulfilled, how would that not be a failure of this administration?

MR. McCLELLAN: What we are going to do is continue to focus on the policy decisions that are being made here in Washington, D.C. and the policies the President is putting forward. This President has acted decisively to get our economy out of a recession, that he inherited, and get it growing strong. And it's growing stronger at this point. It is moving in the right direction. This is where the debate needs to be, is on the policy decisions that are being made here in Washington, D.C., and do we continue to act to strengthen this growth even more, so that we can see more new jobs being created, or do we turn back and see our economy slow down.

There are some that would advocate letting those tax cuts expire, which means taxes would be raised on working moms and dads trying to raise a family, that taxes would be raised on small business. That's where the debate should be.

Q Given the environment that we're in, the political environment, given the importance of this jobs issue this election year, was it a mistake to make that prediction?

MR. McCLELLAN: Again, that's something that's done every year in the annual Economic Report. I mean, you're trying to get in here to get me to answer questions that are trying to trap me into certain things. That's not the way --

Q I'm just asking a question --

MR. McCLELLAN: No, I think there are some that are looking for headlines here --

Q No, we're looking for answers, not headlines.

MR. McCLELLAN: -- the President is focused on what is happening -- go ahead.

Q Scott, there is a simple question, very important question that will face voters this fall. The President repeatedly speaks to the fact that when he says something you can take it to the bank. If the President signs a report making a prediction, shouldn't voters hold him responsible and accountable for that prediction?

MR. McCLELLAN: Again, those are forecasts made by our economists at a specific point in time, based on the data at that point. Productivity growth can affect those assumptions that are put into those economic forecasts. So different economists have different forecasts on the productivity growth. Some think it's going to be lower; some think it's going to be higher. But productivity growth --

Q Okay, but shouldn't he be held responsible --

MR. McCLELLAN: -- it's important -- it's important for -- it's a good thing that productivity growth is high. But we also need to continue to strengthen the economy even more.

Q My question was about his prediction and whether he should be held responsible --

MR. McCLELLAN: I think we've been through this issue.

Q Scott, when you talk about the unemployment -- or the jobs being created, is that based on the payroll survey, or the household survey? Because there's -- because of the tax cuts, there's been a tremendous increase in the number of entrepreneurs that have started their own businesses, and those numbers aren't reflected in the payroll survey.

MR. McCLELLAN: That's correct, yes. The household survey is different from the payroll survey. And the household survey showed that some -- an increase of 496,000 jobs in January alone. So there are different numbers that you're talking about there. And we can look at both. But, again, you're getting into -- you're getting into the numbers here. The numbers that the President is interested in is the actual numbers of jobs being created and the policies that we are taking to create an even more robust environment for job creation.

(snip)

Q This President has had a number of issues come up over the last couple of weeks in which his credibility has been questioned -- Medicare costs, the budget, Iraq -- even from within your own party. So now you've put out a number that says you -- that your tax plan, your policies will erase all job losses, 2.6 -- it will create 2.6 million jobs. You erase all the losses from his first term by November. And now you say, well, maybe it will, maybe it won't. What are we --

MR. McCLELLAN: I don't think -- I don't think that's what I said, Bob. You're putting words in my mouth. I don't think that's what I said. I said that this is our annual Economic Report that is based on the economic modeling done by our economists. And it's based on that snapshot at that point in time, based on the data that is available at that point.

Q But your point is that you don't stand behind that number, that number --

MR. McCLELLAN: Some people are putting those words in my mouth. I said that this was -- this was the President's Economic Report that is put out every year. So I made that very clear. But let's talk about -- you brought up an important issue. Let me remind you that this President does exactly what he says he is going to do. This President said he was going to take steps to strengthen our economy and get it out of a recession. And he advocated the passage of tax cuts, and those tax cuts are working. He is doing exactly what he said he would do. And now he's calling on Congress to take even more steps to create an even more robust environment for job creation. And that's where the focus ought to be. And that's where his focus is.
It seems to me that his focus is on how to back away from a jobs prediction he doesn't believe will come to pass. Last week, the President signed (in bold, manly strokes at the bottom of page 4) an economic report forecasting somewhere between 2.6 and 3.8 million new jobs before the next inauguration. And though the ink on his signature is not even dry "Treasury Secretary John W. Snow and Commerce Secretary Don Evans declined to endorse the jobs prediction." Bush himself seems to be backing away from the endorsement he gave just last week to the jobs projections produced by his economists. And then there is Mr. McClellan doing his best not to answer any questions. Is all this coming from the same administration that told us "When you sign a statement, you're pledging your word, and you should stand behind it?"

Too bad for Bush that he signed the report in pen.

Then again, I'm not surprised he's unwilling to stand behind his signature. Afterall, he's got his history to consider:

The White House has had its own troubles in forecasting job growth in recent years. In February 2003, the CEA published a chart in connection with its argument in favor of the Bush tax plan, which seemed to predict about 300,000 new jobs a month for that year.

But the White House says that chart is inaccurate. And the White House source said Tuesday that the administration actually expected 200,000 to 250,000 news jobs a month last year -- a prediction that was repeated by Treasury Secretary John Snow late in the year.

Few economists were predicting such job growth in 2003, however, and it did not materialize.
"It did not materialize?" Indeed. How about, "last year's Economic Report of the President predicted that 1.7 million jobs would be created in 2003. Instead, the nation lost 53,000 jobs. In Bush's three years in office, 2.2 million jobs have disappeared."

Let's hope the American people believe all of Bush's rhetoric about personal responsibility and accountability. Even if George doesn't believe it himself.