Ed Gillespie does a fantastic job of setting the record straight on the Bush legacy. Lefties will of course disagree, but it doesn’t change the facts. For instance, the nonsense that the current finanical “crisis” is indicative of the entire Bush administration.

“Myth 1: The last eight years were awful for most Americans economically and President Bush’s deregulatory policies caused the current financial crisis.

Reality:

President Bush’s time in office is ending as it began, with our economy under stress. The recession President Bush inherited as he entered office ran through the attacks of September 11, 2001, but during the recovery that followed, and due in no small part to the tax relief President Bush worked with Congress to provide, this country experienced its longest run of uninterrupted job growth – 52 straight months, with 8.3 million jobs created.

This reflected six consecutive years of economic growth from the Fourth Quarter of 2001 until the Fourth Quarter of 2007. From 2000 to 2007, real GDP grew by more than 17 percent, a remarkable gain of nearly 2.1 trillion dollars. This growth was driven in part by increased labor productivity gains that have averaged 2.5 percent annually since 2001, a rate that exceeds the averages of the 1970s, ’80s, and ’90s. In the same period, real after-tax income per capita increased by more than 11 percent, and there was a 4.7 percent increase in the number of new businesses formed. The current economic challenges, which the President and his Administration have responded to aggressively, threaten to reverse some of these gains – but the gains cannot be denied.

As for the current crisis, the President and his economic team have taken unprecedented actions to stabilize the financial sector and avert a collapse. While there are a number of causes of the housing and credit crises that are at the root of our current economic troubles, deregulation by the Bush Administration is simply not one of them. In fact, one of the circumstances that contributed to the crisis was the failure of the government sponsored enterprises (GSEs) Fannie Mae and Freddie Mac, which President Bush long tried to subject to greater regulation. In April 2001, three months after taking office, the President warned in his first budget that the size of the two GSEs were a “potential problem” that “could cause strong repercussions in financial markets, affecting Federally insured entities and economic activity.” In 2003, the Administration began calling for a new GSE regulator, and over the next five years, the Administration continued to call for GSE reform only to be accused by Democrats in Congress of creating artificial fears and advocating for ill-advised proposals. By the time Congress finally acted in 2008 to provide the oversight the President requested, it was too late to prevent systemic consequences. Had the Administration’s initial reform proposals been adopted, some of today’s turmoil in our financial markets may have been averted.”

Which is absolutely true. Even though the Ny Times this weekend did a pitiful job of trying to rewrite the history, the fact is that much of the current mess is owed to the Democratically controlled congress since 2006. I’ve often mentioned how the Chairman of the Banking Commission – Sen. Chris Dodd’s only accomplishment during this period was to get a sweetheart deal from Countrywide Mortgage.

The fact is that for much of the Bush years the economy more that outperformed that of the Clinton or even Reagan administrations and this after the main hub of our financial center was literally incinerated on 9/11.

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