MSNBC's Scarborough, Known For His UnAmerican Conservative Bias, Ignores The Facts In Front Of Him To Attack Government Spending

MSNBC's Scarborough, Known For His UnAmerican Conservative Bias, Ignores The Facts In Front Of Him To Attack Government Spending

MSNBC host Joe Scarborough blamed "a Keynesian spending spree" for the contraction in GDP at the end of 2012, while holding evidence that the opposite is true in his hands. Scarborough's claims fit into his ongoing effort to deny and marginalize demand-side economic policies which continue to enjoy broad support from trained economists.

During a discussion of the 2012 fourth quarter GDP report on MSNBC's Morning Joe, Scarborough implied that the 0.1 percent drop in output was due to government spending since the recession. From Morning Joe:

Scarborough's claim is contradicted by the Wall Street Journal article he held up during the segment, which states that "government spending, which has been a drag on growth for more than two years, declined for the ninth time in 10 quarters." The article's subhead - "GDP Shrinks 0.1% on Government Cuts, but Consumer, Business Spending Offer Hope" - also splashed across the screen moments before Scarborough made his argument.

The Wall Street Journal's reporting is in line with the latest Bureau of Economic Analysis report. The BEA calculates the component parts of the GDP figure for each quarter. This most recent report is notable not because the government spending component of GDP continues to be negative due to shrinking direct spending into the economy, but because, for the first time in the recovery, the government component of GDP was so negative that it overwhelmed the positivity in other components.

Poor Joe Scarborough lives in the lala-land of conservative myths. The report showed two inconvenient truths, Obama has not gone on a wild spending spree and, gosh darn-it, government spending can stimulate the economy.