Lawrence B. Lindsey

Lawrence B. "Larry" Lindsey (born July 18, 1954) is an American economist. He was director of the National Economic Council (2001–2002), and the assistant to the president on economic policy for the U.S. President George W. Bush. He played a leading role in formulating President Bush's $1.35 trillion tax cut plan, convincing candidate Bush that he needed an "insurance policy" against an economic turndown. He left the White House in December 2002 and was replaced by Stephen Friedman after a dispute over the projected cost of the Iraq War. Lindsey estimated the cost of the Iraq War could reach $200 billion, while Defense Secretary Donald Rumsfeld estimated that it would cost less than $50 billion.[1]

Lawrence B. Lindsey
Governor Lawrence B Lindsey 140501
4th Director of the National Economic Council
In office
January 20, 2001 – December 12, 2002
PresidentGeorge W. Bush
Preceded byGene Sperling
Succeeded bySteve Friedman
Personal details
BornJuly 18, 1954 (age 64)
Peekskill, New York, U.S.
Political partyRepublican
Spouse(s)Susan Lindsey (Divorced 2013)
Children3
ResidenceClifton, Virginia
EducationBowdoin College (BA)
Harvard University (MA, PhD)

Biography and achievements

Lindsey was born on July 18, 1954 in Peekskill, New York. He graduated from Lakeland Senior High School in Shrub Oak, New York in 1972. An alumnus of Alpha Rho Upsilon fraternity at Bowdoin College, he received his A.B. magna cum laude and Phi Beta Kappa from Bowdoin and his A.M. and Ph.D. in economics from Harvard University.

He is the author of The Growth Experiment: How the New Tax Policy is Transforming the U.S. Economy (Basic Books, New York, 1990, ISBN 978-0465050703), Economic Puppetmasters: Lessons from the Halls of Power (AEI Press, Washington, D.C., 1999, ISBN 978-0844740812), What A President Should Know ...but most learn too late: An Insiders View On How To Succeed In The Oval Office (Rowman & Littlefield Publishers, Inc., Maryland, 2008, ISBN 978-0742562226), and Conspiracies of the Ruling Class: How to Break Their Grip Forever (Simon & Schuster, 2016, ISBN 978-1501144233). Also he has contributed numerous articles to professional publications. His honors and awards include the Distinguished Public Service Award of the Boston Bar Association, 1994; an honorary degree from Bowdoin College, 1993; selection as a Citicorp/Wriston Fellow for Economic Research, 1988; and the Outstanding Doctoral Dissertation Award from the National Tax Association, 1985.

During the Reagan Administration, he served three years on the staff of the Council of Economic Advisers as Senior Staff Economist for Tax Policy. He then served as Special Assistant to the President for Policy Development during the first Bush administration

Lindsey served as a Member of the Board of Governors of the Federal Reserve System for five years from November 1991 to February 1997. Additionally, Lindsey was Chairman of the Board of the Neighborhood Reinvestment Corporation, a national public/private community redevelopment organization, from 1993 until his departure from the Federal Reserve.

From 1997 to January 2001, Lindsey was a Resident Scholar and holder of the Arthur F. Burns Chair in Economics at the American Enterprise Institute in Washington, D.C. He was also Managing Director of Economic Strategies, an economic advisory service based in New York City. During 1999 and throughout 2000 he served as then-Governor George W. Bush's chief economic advisor for his presidential campaign. He is a former associate professor of Economics at Harvard University.

Lindsey is Chief Executive Officer of the Lindsey Group,[2] which he runs with a former colleague from the National Economic Council and writes for The Wall Street Journal, Weekly Standard and other publications. He was a visiting scholar at the American Enterprise Institute.

Controversies

Lindsey is famous for spotting the emergence of the late 1990s U.S. stock market bubble back in 1996 while a Governor of the Federal Reserve. According to the meeting transcripts for September of that year, Lindsey challenged the expectation that corporate earnings would grow 11½ percent a year continually. He said, "Readers of this transcript five years from now can check this fearless prediction: profits will fall short of this expectation." According to the Bureau of Economic Analysis, corporate profits as a share of national income eroded from 1997 until 2001. Stock prices eventually collapsed, starting their decline in March 2000, though the S&P500 remained above its 1996 level, casting doubt on the assertion that there was a stock market bubble in 1996.

In contrast to Chairman Greenspan, Lindsey argued that the Federal Reserve had an obligation to prevent the stock market bubble from growing out of control. He argued that "the long term costs of a bubble to the economy and society are potentially great.... As in the United States in the late 1920s and Japan in the late 1980s, the case for a central bank ultimately to burst that bubble becomes overwhelming. I think it is far better that we do so while the bubble still resembles surface froth and before the bubble carries the economy to stratospheric heights." During the 2000 Presidential campaign, Governor Bush was criticized for picking an economic advisor who had sold all of his stock in 1998.

According to the Washington Post,[3] Lindsey was on an advisory board to Enron along with Paul Krugman before joining the White House. Lindsey and his colleagues warned Enron that the economic environment was riskier than they perceived.

Cost of the Iraq War

On September 15, 2002, in an interview with the Wall Street Journal, Lindsey estimated the high limit on the cost of the Bush administration's plan in 2002 of invasion and regime change in Iraq to be 1–2% of GNP, or about $100–$200 billion.[4][5] Mitch Daniels, Director of the Office of Management and Budget, discounted this estimate as "very, very high" and Defense Secretary Donald Rumsfeld stated that the costs would be under $50 billion.[1] Rumsfeld called Lindsey's estimate "baloney".[6]

As of 2007 the cost of the invasion and occupation of Iraq exceeded $400 billion, and the Congressional Budget Office in August 2007 estimated that appropriations would eventually reach $1 trillion or more.[7]

In October 2007, the Congressional Budget Office estimated that by 2017, the total costs of the wars in Iraq and Afghanistan could reach $2.4 trillion. In response, Democratic Representative Allen Boyd criticized the administration for firing Lindsey, saying "They found him a job outside the administration."[8]

Presidential campaign leadership

Lindsey has been a senior advisor to several Republican campaigns. He led the economic team for then Governor George W. Bush's successful presidential campaign in 2000, earning the trust of the future President who said at the time "I am very fond of Larry Lindsey and I value his advice".[9] During the 2008 Presidential election, Lindsey served as Fred Thompson's Senior Economic Advisor.[10] In 2012, Lindsey predicted on election day that Republican Mitt Romney would defeat President Obama.[11] In April 2016, Lindsey supported Ted Cruz over his only remaining opponent, current President Trump, explaining that Cruz was the best candidate because he had an economic program deserving of the "top grade".[12]

References

  1. ^ a b Wolk, Martin (2006-05-17). "Cost of Iraq war could surpass $1 trillion". MSNBC. Retrieved 2008-03-10. Back in 2002, the White House was quick to distance itself from Lindsey's view. Mitch Daniels, director of the White House budget office, quickly called the estimate "very, very high." Lindsey himself was dismissed in a shake-up of the White House economic team later that year, and in January 2003, Defense Secretary Donald Rumsfeld said the budget office had come up with "a number that's something under $50 billion." He and other officials expressed optimism that Iraq itself would help shoulder the cost once the world market was reopened to its rich supply of oil.
  2. ^ http://www.thelindseygroup.com/bios/
  3. ^ Once a Friend and Ally, Now a Distant Memory. Washington Post
  4. ^ Davis, Bob (September 16, 2002). "Bush Economic Aide Says the Cost Of Iraq War May Top $100 Billion". The Wall Street Journal. Reprinted in Congressional Record, vol. 148, issue 117, 107th Congress, pp. S8643–S8644.
  5. ^ Engel, Matthew (September 17, 2002). "Cost of war put at $200bn, but that's nothing, says US adviser". The Guardian. Retrieved July 23, 2011.
  6. ^ Bryne, John (2008-03-18). "Price of Iraq war now outpaces Vietnam". The Raw Story. Archived from the original on 2008-03-21. Retrieved 2008-03-18.
  7. ^ Bender, Bryan (2007-08-01). "Analysis says war could cost $1 trillion". The Boston Globe. Retrieved 2008-03-10.
  8. ^ "Congress told of war costs up to $2.4 trillion by 2017". The Register-Guard. October 25, 2007. Retrieved 2007-10-25.
  9. ^ Gosselin, Peter "Bush's Economic Advisor Lindsey Is Man of Contradictions", LA Times, 02 January 2000.
  10. ^ "Larry Lindsey Named as Fred Thompson's Senior Economic Advisor", 17 September 2007.
  11. ^ "Larry Lindsey Changes Election Prediction",CNBC, 6 November 2012.
  12. ^ "Grading the candidates: Larry Lindsey",CNBC, 18 April 2016.

External links

Political offices
Preceded by
Gene Sperling
Director of the National Economic Council
2001–2002
Succeeded by
Steve Friedman
Barney Frank

Barnett Frank (born March 31, 1940) is a former American politician. He served as a member of the U.S. House of Representatives from Massachusetts from 1981 to 2013. A Democrat, Frank served as chairman of the House Financial Services Committee (2007–2011) and was a leading co-sponsor of the 2010 Dodd–Frank Act, a sweeping reform of the U.S. financial industry. Frank, a resident of Newton, Massachusetts, was considered the most prominent gay politician in the United States.Born and raised in Bayonne, New Jersey, Frank graduated from Harvard College and Harvard Law School. He worked as a political aide before winning election to the Massachusetts House of Representatives in 1972. He was elected to the U.S. House of Representatives in 1980 with 52 percent of the vote. He was re-elected every term thereafter by wide margins. In 1987, he publicly came out as gay, becoming the first member of Congress to do so voluntarily. From 2003 until his retirement, Frank was the leading Democrat on the House Financial Services Committee, and he served as committee chairman when his party held a House majority from 2007 to 2011. In July 2012, he married his long-time partner, James Ready, becoming the first member of Congress to marry someone of the same sex while in office. Frank did not seek re-election in 2012, and retired from Congress at the end of his term in January 2013. A biography of Frank was published in 2015.

Bowdoin College

Bowdoin College ( (listen) BOH-din) is a private liberal arts college in Brunswick, Maine. At the time Bowdoin was chartered, in 1794, Maine was still a part of the Commonwealth of Massachusetts. The college offers 34 majors and 36 minors, as well as several joint engineering programs with Columbia, Caltech, Dartmouth College, and The University of Maine.The college was a founding member of its athletic conference, the New England Small College Athletic Conference, and the Colby-Bates-Bowdoin Consortium, an athletic conference and inter-library exchange with Bates and Colby College. Bowdoin has over 30 varsity teams and the school mascot was selected as a polar bear in 1913 to honor Robert Peary, a Bowdoin alumnus who led the first successful expedition to the north pole. Between the years 1821 and 1921, Bowdoin operated a medical school called the Medical School of Maine.The main Bowdoin campus is located near Casco Bay and the Androscoggin River. In addition to its Brunswick campus, Bowdoin also owns a 118-acre coastal studies center on Orr's Island and a 200-acre scientific field station on Kent Island in the Bay of Fundy. In 2019, the college was ranked as the fifth-best liberal arts college in the country by U.S. News & World Report.

Clifton, Virginia

Clifton is an incorporated town located in southwestern Fairfax County, Virginia, United States, with a population of 282 at the time of the 2010 census, up from 185 at the 2000 census.

Incorporated by the General Assembly on March 9, 1902, Clifton is one of only three towns in the county, the other two being Vienna and Herndon. Clifton's history begins pre-colonially, when the area was used as hunting grounds by the local Dogue Native American tribe. A railroad siding was constructed here during the Civil War, and the area became titled as Devereux Station. A nearby neighborhood on the outskirts of the Clifton ZIP code has this name. Development of a village at the siding began in 1868 when a railroad depot, named "Clifton Station", was constructed.

Unlike most areas in Northern Virginia, the land around Clifton is far less built up than nearby areas, especially to its east and southwest. This was out of the worry that overdevelopment near Bull Run and the Occoquan River would be environmentally damaging to the Occoquan Reservoir. Consequently, as development edged near the area in the late 1970s and early 1980s, an ordinance was enacted stating that only one building could be placed on 5-acre (20,000 m2) parcels that have not already been divided. Today, the southern and eastern portions of the area are heavily forested, with single-family homes, while the northern area has become equestrian areas.

Federal Reserve Board of Governors

The Board of Governors of the Federal Reserve System, commonly known as the Federal Reserve Board, is the main governing body of the Federal Reserve System. It is charged with overseeing the Federal Reserve Banks and with helping implement the monetary policy of the United States. Governors are appointed by the President of the United States and confirmed by the Senate for staggered 14-year terms.

Lindsay (name)

Lindsay or Lindsey is an English surname, originally derived from the territory of Lindsey in Lincolnshire, from the Old English toponym Lindesege ("Lindum Isle"), i.e. "marshlands of Lincoln".

In the late 19th century, the surname gave rise to the given names Lindsay and Lindsey in the United States, at first as a masculine given name, and since the mid-20th century, increasingly as a feminine given name. As a first name, Lindsey was the 570th most popular name for girls born in the United States in 2014, while Lindsay ranked 653rd. Both spellings ranked among the top 100 names for girls from 1980 through 1993, with Lindsey peaking at #35 in 1983 and 1984 and Lindsay peaking at #36 in the same years.

List of American Enterprise Institute scholars and fellows

The following notable persons are or have in the past been scholars, fellows, or staff members affiliated with the American Enterprise Institute for Public Policy Research (AEI). If known, titles and dates of affiliation are included.

List of Harvard University people

The list of Harvard University people includes notable graduates, professors, and administrators affiliated with Harvard University. For a list of notable non-graduates of Harvard, see notable non-graduate alumni of Harvard. For a list of Harvard's presidents, see President of Harvard University.

Eight Presidents of the United States have graduated from Harvard University: John Adams, John Quincy Adams, Rutherford B. Hayes, John F. Kennedy, Franklin Delano Roosevelt, Theodore Roosevelt, George W. Bush, and Barack Obama. Bush graduated from Harvard Business School, Hayes and Obama from Harvard Law School, and the others from Harvard College.

Over 150 Nobel Prize winners have been associated with the University as alumni, researchers or faculty.

List of Phi Beta Kappa members by year of admission

This is a list of notable members of the Phi Beta Kappa Society who have Wikipedia biographies.

Mitch Daniels

Mitchell Elias Daniels Jr. (born April 7, 1949) is an American academic administrator, businessman, author, and retired politician who served as the 49th Governor of Indiana, from 2005 to 2013, and a Republican. Since 2013, Daniels has been president of Purdue University.

Born in Monongahela, Pennsylvania, Daniels is a graduate of Princeton University, and received his Juris Doctor from Georgetown University Law Center after studying briefly at the Indiana University Robert H. McKinney School of Law. Daniels began his career working as an assistant to Richard Lugar, working as his chief of staff in the Senate from 1977 to 1982, and was appointed executive director of the National Republican Senatorial Committee when Lugar was chairman from 1983 to 1984. He worked as a chief political adviser and as a liaison to President Ronald Reagan in 1985, before he was appointed president of the conservative think tank, the Hudson Institute. Daniels moved back to Indiana, joining Eli Lilly and Company, working as president of North American Pharmaceutical Operations from 1993 to 1997, and senior vice president of corporate strategy and policy from 1997 to 2001. In January 2001, Daniels was appointed by President George W. Bush as the director of the U.S. Office of Management and Budget, where he served until June 2003.

Daniels announced his intention to run in Indiana's 2004 gubernatorial election after leaving the Bush administration. He won the Republican primary with 67% of the vote, and defeated Democratic incumbent Governor Joe Kernan in the general election. Daniels was reelected to a second term, defeating former U.S. Representative and US Department of Agriculture undersecretary Jill Long Thompson, on November 4, 2008. During his tenure as governor, Daniels cut the state government workforce by 18%, cut and capped state property taxes, and balanced the state budget through budget austerity measures and increasing spending by less than the inflation rate. In his second term, Daniels saw protest by labor unions and Democrats in the state legislature over his policies regarding Indiana's school voucher program and the Indiana House of Representatives attempt to pass right to work legislation, leading to the 2011 Indiana legislative walkouts. During the legislature's last session under Daniels, he signed the right-to-work law; with Indiana becoming the 23rd state in the nation to do so.It was widely speculated that Daniels would be a candidate in the 2012 presidential election, but he chose not to run. He is the author of the best selling book Keeping the Republic: Saving America by Trusting Americans. Daniels was selected to be president of Purdue University after his term as governor ended on January 14, 2013.

National Economic Council (United States)

The National Economic Council (NEC) of the United States is the principal forum used by the President of the United States for considering economic policy matters, separate from matters relating to domestic policy, which are the domain of the Domestic Policy Council. The council forms part of the Office of White House Policy which contains the National Economic Council and other offices. The Director of the NEC is titled the Assistant to the President for Economic Policy and Director of the National Economic Council. The NEC is distinct from the Council of Economic Advisers (CEA), which was established in 1946. The CEA provides much of the objective empirical research for the White House and prepares the annual Economic Report of the President.

Presidency of George W. Bush

The presidency of George W. Bush began at noon EST on January 21, 2001, when George W. Bush was inaugurated as the 43rd President of the United States, and ended on January 20, 2009. Bush, a Republican, took office following a very close victory over Democratic incumbent Vice President Al Gore in the 2000 presidential election. Four years later, in the 2004 election, he defeated Democrat John Kerry to win re-election. Bush, the 43rd President, is the eldest son of the 41st President, George H. W. Bush. He was succeeded by Democrat Barack Obama, who won the 2008 presidential election.

Upon taking office, Bush pushed through a $1.3 trillion tax cut program and the No Child Left Behind Act, a major education bill. He also pushed for socially conservative efforts, such as the Partial-Birth Abortion Ban Act and faith-based welfare initiatives. After the terrorist attacks on September 11, 2001, Bush declared a global war on terrorism and, in October 2001, ordered an invasion of Afghanistan to overthrow the Taliban, destroy the terrorist group al-Qaeda, and capture Osama bin Laden. That same month, he signed into law the controversial Patriot Act in order to authorize surveillance of suspected terrorists. In 2003, Bush ordered an invasion of Iraq, asserting that Iraq possessed stockpiles of weapons of mass destruction in violation of UN Security Council Resolution 1441. Later that year, he signed the Medicare Prescription Drug, Improvement, and Modernization Act, which created Medicare Part D.

During his second term, Bush reached multiple free trade agreements and successfully nominated John G. Roberts and Samuel Alito to the Supreme Court. He sought major changes to Social Security and immigration laws, but both efforts failed. The wars in Afghanistan and Iraq continued, and in 2007 he launched a surge of troops in Iraq. The Bush administration's response to Hurricane Katrina and the dismissal of U.S. attorneys controversy earned wide coverage, and his second term saw a drop in his approval ratings. A global meltdown in financial markets dominated his last days in office as policymakers looked to avert a major economic disaster, and he established the Troubled Asset Relief Program (TARP) to buy toxic assets from financial institutions. Scholars have generally ranked Bush as a below average president.

Reaganomics

Reaganomics (; a portmanteau of [Ronald] Reagan and economics attributed to Paul Harvey) refers to the economic policies promoted by U.S. President Ronald Reagan during the 1980s. These policies are commonly associated with supply-side economics, referred to as trickle-down economics or voodoo economics by political opponents, and free-market economics by political advocates.

The four pillars of Reagan's economic policy were to reduce the growth of government spending, reduce the federal income tax and capital gains tax, reduce government regulation, and tighten the money supply in order to reduce inflation.The results of Reaganomics are still debated. Supporters point to the end of stagflation, stronger GDP growth, and an entrepreneur revolution in the decades that followed. Critics point to the widening income gap, what they described as an atmosphere of greed, and the national debt tripling in eight years which ultimately reversed the post-World War II trend of a shrinking national debt as percentage of GDP.

Stanley Druckenmiller

Stanley Freeman Druckenmiller (born June 14, 1953) is an American investor, hedge fund manager and philanthropist. He is the former chairman and president of Duquesne Capital, which he founded in 1981. He closed the fund in August 2010 because he felt unable to deliver high returns to his clients. At the time of closing, Duquesne Capital had over $12 billion in assets.

From 1988 to 2000, he managed money for George Soros as the lead portfolio manager for Quantum Fund. He is reported to have made $260 million in 2008.

Timeline of the George W. Bush presidency (2002)

The following is a timeline of the Presidency of George W. Bush from January 1, 2002, to December 31, 2002.

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