“The Secret Weapon Is Us”: You Didn’t Build It, Mitt Romney, We All Did
The Republican National Convention opened by smacking President Obama with the theme “We Built it.”
To pound that message, Republicans turned to a Delaware businesswoman, Sher Valenzuela, who is also a candidate for lieutenant governor. Valenzuela and her husband built an upholstery business that now employs dozens of workers.
Valenzuela presumably was picked to speak so that she could thunder at Obama for disdaining capitalism.
Oops. It turns out that Valenzuela relied not only on her entrepreneurial skills but also on — yes, government help. Media Matters for America, a liberal watchdog group, documented $2 million in loans from the Small Business Administration for Valenzuela’s company, plus $15 million in government contracts (mostly noncompetitive ones).
In a presentation earlier this year, Valenzuela described government assistance as an entrepreneur’s “biggest ‘secret weapon.’ ”
Someone has set up a parody Web site, using the name of Valenzuela’s company, First State Manufacturing, to mock the Republican message. The site, FirstStateManufacturing.com, declares, “Thank God government was there for me.”
In short, the Republicans are inadvertently underscoring the point that President Obama was expressing in his “you didn’t build that” comment in July. Obama noted then that “if you’ve been successful, you didn’t get there on your own.” He pointed to public investments in roads and bridges that enable businesses to flourish, and then he inelegantly added, “If you’ve got a business, you didn’t build that.”
Fox News erupted in outrage, selectively editing the clip to confirm Republican prejudices that Obama doesn’t understand the private sector. This fits into the Republican narrative that business executives are heroic job creators when they aren’t held back by regulations and taxes imposed by quasi-socialist Muslims born in Kenya.
Democrats tried to highlight a flaw in that narrative when they released a new ad pointing to Mitt Romney’s outsourcing of jobs and telling him, “You didn’t build that — you destroyed it.”
Yet to me, that Democratic line of attack on Romney as a serial job destroyer feels unfair. Sometimes the way to save a company is to cut labor costs or outsource jobs, and almost nobody wants to ban trade or overseas production even though they can cost jobs.
What is fair is to observe that the Republicans’ claim that they are the great job creators is a fiction.
Prof. Robert S. McElvaine of Millsaps College examined employment data for the 64 years from the beginning of Harry Truman’s presidency to the end of George W. Bush’s. He found that an average of two million jobs were created per year when a Democrat was president, compared with one million annually when a Republican was president.
More pointedly, and unfortunately for Romney, business executives have only a mediocre record when transferring their skills to government. In the last great economic mess, this country was led by a Republican who had been stunningly successful in business: Herbert Hoover. Hmm. More recently, President George W. Bush staffed his cabinet with C.E.O.’s who had been stellar in the private sector — and that didn’t work out so well, either.
Obama’s point about our shared undertaking was made last year, more eloquently, by Elizabeth Warren, the Massachusetts Democrat running for Senate:
“There is nobody in this country who got rich on his own — nobody!” she said. “You built a factory out there? Good for you. But I want to be clear: You moved your goods to market on the roads the rest of us paid for; you hired workers the rest of us paid to educate; you all were safe in your factory because of police forces and fire forces that the rest of us paid for. …
“You built a factory, and it turned into something terrific or a great idea? God bless. Keep a big hunk of it. But part of the underlying social contract is, you take a hunk of that and pay forward for the next kid who comes along.”
In short, taxes don’t just smother. They can also fuel growth — when they’re invested in highways or the Internet, in colleges or early childhood education. They can create opportunities, as they did for Sher Valenzuela.
Or for Romney himself. He built his Bain empire partly because he was smart and hard-working, but also because of a great education and because of tax breaks for debt financing. Tax loopholes helped him build his fortune, and other loopholes gave him the low tax rates to retain it.
If the Republican convention wishes to highlight and explain Romney’s success, it should have a moment of silence to honor our infernal tax code.
Who built this country? Entrepreneurs, yes. But so did schoolteachers and railway construction workers. Doctors and truckers. Scientists and soldiers. You didn’t build it, Mitt Romney — we all built it.
By: Nicholas D. Kristoff, Op-Ed Columnist, The New York Times, August 28, 2012
“The Failure Of A Theme”: “We Built It” On The Taxpayers Dime
The Republican National Convention’s organizers probably thought they were being clever. They announced this week that on the second night of the gathering — with local, state, and federal officials standing by to help in the event of a hurricane — they’d host a “We Built It” day.
The idea, of course, is to mock President Obama’s belief that public institutions and government investments help create a society in which the private sector thrives. Republicans intend to host their “We Built It” day in an arena largely financed by taxpayers.
Wait, it gets worse.
On the day that the GOP convention will tout Fox-fueled myth “We Built It” as its primary theme, Delaware Lt. Gov. candidate and small business owner Sher Valenzuela is slated to deliver a speech about small business issues. But contrary to the evening’s theme, Valenzuela’s company, First State Manufacturing, has received millions of dollars in federal loans and contracts. Valenzuela has not only attributed her success in part to this outside assistance, but urged other small business owners to follow the same strategy of seeking government funds.
Media Matters found that Valenzuela even gave a presentation earlier this year on her small business success, crediting the use of “millions of dollars in secure government contracts.” She encouraged other entrepreneurs to take advantage of public institutions and government investments to help their businesses get ahead.
Making matters slightly worse, a featured guest at a Paul Ryan event yesterday boasted about getting government funding to help build his business, and in a new op-ed on his private-sector background, Mitt Romney boasted today about the success of many Bain businesses, several of which have benefited from government largesse.
As attacks go, this out-of-context smear has always been problematic. Romney was desperate to prove that American free enterprise thrives without the support of government, but when he pointed to examples, they all thrived thanks to the support of public institutions and tax dollars. This happened over and over and over and over again, ultimately proving that the entire line of attack is self-defeating.
And the problem will apparently continue, as if self-awareness no longer matters at all.
By: Steve Benen, The Maddow Blog, August 24, 2012
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