Liberal Forum

Flashback to 2002:TIM RUSSERT, FORMER MODERATOR, MEET THE PRESS: We are confronting a situation we hadnt in a few years, and that is the debt limit, where the government cant borrow any money. Its frozen at $5.95 trillion. What are we going to do about that?MITCH DANIELS, THEN-BUSH BUDGET DIRECTOR: Were going to raise it, as a reasonable government must. This is really housekeeping, Tim. This has nothing to say or do with future spending. This simply reflects decisions made in the past, and it ought to be treated as the housekeeping matter it is.RACHEL MADDOW: The housekeeping matter it is. That was then George W. Bush budget director, Mitch Daniels, who now is both Indianas governor and a hot vice presidential prospect for the Republicans heading into 2012. Mitch Daniels arguing that raising the debt ceiling ought to be treated as the housekeeping matter that it is. No news here, just do it, dont even talk about it.During the George W. Bush administration, they did just treat the debt ceiling as a housekeeping matter. The debt ceiling was raised seven separate times during the George W. Bush presidency with lots of Republican support every time they did it. In fact, todays Republican leadership in Congress, which has taken such a strong stand against it this time around, they voted to raise the debt ceiling 19 times during the Bush years. But now, its all different. Now, not only have Republicans balked at raising the debt ceiling, they have also made a big show of turning their backs on any effort to negotiate with Democrats a reduction in the deficit, a reduction in debt.Some history......Since John F. Kennedy was president in 1962, Congress has voted to raise the debt ceiling 74 times. Seven times during the Johnson presidency, seven times during the Nixon presidency, six times under Gerald Ford, six times under Jimmy Carter, on and on, over the last five decades, raising the debt ceiling has happened roughly once a year.In recent times, the only time we havent had to raise the debt ceiling was in the late 1990s, toward the end of the Bill Clinton presidency.Why did we not have to do it at the end of the Bill Clinton presidency? Because President Clinton by the time he left office was presiding over budget surpluses, not budget deficits. So, the debt ceiling didnt have to go up.George W. Bush did away with that little problem very quickly. After years of not having to raise the debt ceiling under Bill Clinton, under George W. Bush, we started incurring massive deficits again, and so, we had to start raising the debt ceiling again routinely.VIDEO-4 minutes in