Krugman: 'We can only assume' Romney is 'hiding something seriously damaging'

[Newsjock]

http://www.nytimes.com/2012/07/09/opinion/krugman-mitts-gray-areas.html

Once upon a time a rich man named Romney ran for president. He could claim, with considerable justice, that his wealth was well-earned, that he had in fact done a lot to create good jobs for American workers. Nonetheless, the public understandably wanted to know both how he had grown so rich and what he had done with his wealth; he obliged by releasing extensive information about his financial history.

But that was 44 years ago. And the contrast between George Romney and his son Mitt — a contrast both in their business careers and in their willingness to come clean about their financial affairs — dramatically illustrates how America has changed.

... One more thing: To the extent that Mr. Romney has a coherent policy agenda, it involves cutting tax rates on the very rich — which are already, as I said, down by about half since his father’s time. Surely a man advocating such policies has a special obligation to level with voters about the extent to which he would personally benefit from the policies he advocates.

Yet obviously that’s something Mr. Romney doesn’t want to do. And unless he does reveal the truth about his investments, we can only assume that he’s hiding something seriously damaging.

[Spazito]

1. Yep...

"And unless he does reveal the truth about his investments, we can only assume that he’s hiding something seriously damaging."

Well said, Mr. Krugman, well said indeed.

[liberalmike27]

12. As If

Everything we're seeing about him isn't devastating enough!! Ha.

Anyone out there got a car elevator? Several mansions? Did you just tear down one of your mansions to rebuild another on its spot? Swiss account? Cayman account? How about a Jet-Ski for two? $250 million? Nope?

So, how is it anyone with a quarter a brain, thinks Mitt is going to do anything at all for you? He's been holding people like us down and cutting our hair all our lives. This will just give him the power to do worse.

[louis-t]

25. Your post inspired a bumber sticker idea:

"Mitt Romney: Holding us down and cutting our hair off since 1984".

[uponit7771]

32. + 1

[LiberalLovinLug]

34. But....he's living the American Dream....He should be aplauded for success!

(No matter how he came about it) That's what the GOP noise machine is and will be putting out there. And the thing is they have a lot of their sheeple bahhhhhhing the same meme. No matter how desperate a situation they are living in themselves due to unfair advantages the wealthy classes continue to pile up on them.

Not only that but IMO the corporate entertainment complex has been brainwashing the population over the decade, inundating us with programs that celebrate the very wealthy, and humanizing them, to bring them, at least on TV, down to relate to the "common folk" level. From "The Simple Life" with Paris Hilton as a fun-loving rich girl with a clumsy heart of gold, to "The Real Housewives of ......" where we are to get entwined in the personal lives of trophy wives to understand that they too have to deal with everyday problems, just not OUR type of problems like which nail salon to go to that day etc.. the Apprentice puts on a show perpetrating the idea that anyone can get a job with a high roller and glorifies back-stabbing and bad-mouthing to get ahead. Undercover Boss where the theme is a benevolent "job creator" that goes out of his/her way to understand the little people that work for him, further pushing the GOP theme that we don't need no stinkin social programs, we can rely on the warmheartedness of our wonderful capitalists.

These programs are just off the top of my head, but I don't recall a time when we had so many of these glorification of the elite classes programs on television. "who wants to marry a millionaire!" on and on.

Its appalling that its gotten to the point that its about which candidate can raise the most money. Mitt probably will remain ahead in that quest, and you can be sure that the GOP will crow about that......knowing that a % of the population is brainwashed into thinking that that means he's the most qualified.

[Skittles]

2. the 99% would find out

just how fucked-up and coddled these so called "self-made" millionaires really are

[tooeyeten]

43. self-indulgent

me me me, all about me.

[flamingdem]

3. Something illegal no doubt

and that he's a near billionaire, no doubt

[rhett o rick]

4. Is the Neighborhood Watch giving Mr. Krugman a break. Dont see them

in here badmouthing him yet.

[patrice]

6. Funny you should use that figure; I discovered a small cadre in my neighborhood this evening who ARE

badmouthing Romney.

I happened to chat, over the fence, with one of my neighbors in back and she volunteered to me how messed up all of this is and complained about all of the churches worshiping money to boot! Said there were a couple or three other households on her street that feel the same way!!!!

I know these people, when we see each other out, walking the dog or whatever, but had not discussed any of this sort of stuff with any of them.

We talked for a while. They're really tuning into the financial issues.

A VERY pleasant surprise, here in Cupcake Land!

[wakemewhenitsover]

5. Fantastic article.

The contrast between Mitt and George is striking and disturbing.

[coalition_unwilling]

15. George got punished for telling the truth (that he'd been

brainwashed about Vietnam) and not being a Nixonian asshole but Mitt gets rewarded for lying and being a full-tilt asshole. Something about this deeply offends my Buddhist sensibilities.

[joycejnr]

27. As are the...

...similarities.

[pa28]

7. I suspect he paid little or nothing in federal tax and I think he probably did it legally.

In my world things like 401k and 529 contributions are capped and the reasons make sense to those of us who play by the rules. Your accountant also cautions you about testing the limits on your deductions because you'll probably attract attention on your return.

In Romney's world things are a little different apparently. Somehow Mitt wound up with a 100 million dollar 401k.

I think there's more here. Let's peel the onion.

[arely staircase]

35. my take too. i doubt he did anything illegal but

I betcha there is a year or more in which he paid no taxes at all. Perfectly legal and politically deadly._

[DCKit]

8. And the hits just keep coming.

I think this is the most damaging think Krugman has ever said about Rmoney, so I'm thinking they're going to hit back hard.

[ailsagirl]

9. I think you're right

No one can genuinely dismiss the words of the top economist in the country. Krugman is the last word on anything having to do with the economy and intelligent people listen.

[CTyankee]

21. You said it! Krugman is pissed! I think he's on his last nerve with

Romney and he's really letting him have it.

Let's face it, the only way we can win is by destroying Mitt Romney politically. Swift boat him every chance we get. Beat that drum...

[mulsh]

31. no need to "swift boat" when all we have to do is repeat the truth.

n/t

[hay rick]

10. K&R

[Curtland1015]

11. If Obama HAD to show his birth cerfiticate, certainly Rmoney can show his tax returns...

...seems only fair.

[joycejnr]

28. A lovely rejoinder to the birthers!

Thanks, Curtland1015!

[ProgressiveEconomist]

13. 'I create nothing. I OWN.' That's the difference between Mitt and

his father, as voiced by Gordon Gekko in Oliver Stone's best film, IMO.

If the Obama campaign can get this message across in the swing states, IMO that will be the end of Mitt romney's political career.

[Jim Lane]

14. Romney might be just a control freak.

My guess is that he's the type who'd resist releasing tax returns and the like even if there were nothing harmful in the documents. He's simply uncomfortable with having the peons scrutinizing his private affairs.

Nevertheless, even though I think the inference Krugman draws is weak, I agree with his conclusion, for a different reason. Given Romney's wealth and his close ties to vulture capitalism, the odds are high that somewhere in his past transactions is some stuff that the media would jump on. Analyzing the details of his fiscal proposals would take a lot of work. Seizing on something as the scandal du jour would be much easier, and would be the sort of thing the media would actually pursue.

[joycejnr]

29. I respectively disagree...

...while the absence of evidence is no evidence, Romney hasn't really said why he won't release his 1040s. I can't help suspect that he'd not only get caught with having commited a couple of no-no's, he'll probably be caught in another bunch of whoppers - contradictions to previous statements, e.g., of his involvement with Bain. At any rate, unless he posts some "adjusted" returns, he may be in deep trouble...I hope.

[Scuba]

16. Could be this....

http://www.democraticunderground.com/1002912295

[ProgressiveEconomist]

17. He only released his federal tax return for 2010, not

the state return, which likely showed he filed in NH, not where he voted for Scott Brown?

Not only is he a member of the 1%, but also he' s a member of the 0.0000001 percent who've voted illegally?

Thanks for posting that link.

[yellowcanine]

24. That could be it. Voting in MA but claiming NH as primary residence for tax purposes.

It could be an honest mistake but hard to see how.

[joycejnr]

30. Other pols have escaped the same problem...

...so I suspect it's something worse.

[HopeHoops]

18. I think that muight just fall into the "WELL FUCKING DUH!" department.

[The Wizard]

19. compared to Rmoney

Willie Sutton was an honest man.

[malaise]

20. Well he send the tax returns to the McCain campaign

and they decided that batshit crazy Palin was a better option.
No doubt Willard's tax details are toxic.

[CTyankee]

22. I just saw that somewhere! I LOVE that line.

I hope the Dems rub that in a LOT in the coming months leading up to the election!

[DallasNE]

23. Of Course There Is Something Seriously Damaging

Even with his 2011 return he has yet to file. Yes, he released a preliminary estimate for 2011 but when he later filed for an extension that form showed that he expected to get a $200,000 refund. Since Romney's effective tax rate is expected to be about 15% it means his preliminary return has a combined error of $1.333 million for under reporting expenses/over reporting income. That is a sizable adjustment, even at Romney's income level, so what is he hiding. One assumes that Romney will file for a 2nd extension in August to continue to hide his 2011 tax return until after the election, further enhancing the thought that he is hiding something serious.

[IanDayre]

36. Tax Extensions

Just for the record, there is no longer a 2nd extension for individual Federal Income Tax returns. It was changed several years ago. One extension is good from April 15 to October 15.

[riderinthestorm]

37. Thanks for that tax tip and welcome to DU IanDayre! nt

[DallasNE]

44. Thanks

The last time I filed for an extension it was good through August -- no longer remember if it was the 15th or 31st. Seems like it was about 8-9 years ago.

[AlbertCat]

26. MUST be hiding something!

In the normal everyday world, I don't like the "You won't show us, you MUST be hiding something bad" meme. It makes unfounded assumptions.


But since when has a presidential campaign been the normal everyday world? It's an extended, public job interview for a really really important job....so....

Cough it up Mittens! It's not that you have tons of money.... but HOW you got there that matters, or seems to... which is refreshing! Since Reagan the "how" of wealth has been deemed unimportant (to conservatives anyway) It's about time the "how" came back!

[kitt6]

33. Rmoney just might

disappear. Oh wait: didn't Bill Mayer say that Mitt should pick Zimmerman for V.P.?

[alcibiades_mystery]

38. "Ball so hard muhfuckers wanna fine me...but first they gotta find me

What's 50 grand to a muhfucker like Mitt,
Can ya please remind me?"

Mittens in Paris

[bvar22]

39. DURec.

Krugman nails it.

[Gothmog]

40. Romney has known for ten or more years that he is going to run

He should have shut down the foreign accounts and been less aggressive in his filing positions in anticipation of these returns being released. The only reason to hide these returns is because there is stuff in these returns that Romney does not want us to see. The UBIT issue is fairly obscured but makes a large difference in Romney's effective tax rate. Offshore blocker corps. are used by hedge funds all of the time but this technique is still considered to be aggressive.

[riderinthestorm]

41. Agreed. I'm a tiny corporation and even my tax attorney/preparer makes long term plans with us

I've been audited 3 times so my taxes are done by a local tax attorney. She sits down with us each year and goes over our future plans and how to best organize our tax return to maximize the deductions (and damage). Everything from depreciation on equipment and buildings to future budgeting of big expenditures to ensure we aren't shooting ourselves in the foot. This is all included in our tax preparation bill (hefty but worth it). She's not a financial planner, she just goes over the tax ramifications of what we're doing/hope to do.

And we're SMALL potatoes. Nothing like Mitt Romney's level of tax advice.

Either rMoney has such huge hubris he never thought his finances would become an issue (stupid) or he simply plans to never disclose. I presume he didn't anticipate this financial climate where being close to a billionaire might be a liability since in his view, all Presidential candidates are wealthy. Or (more likely) he simply believes most Americans handle their investments like he does and he never thought what he was doing was a problem.

[Peaceful Protester]

42. Romney explains offshore shell corporations

Last edited Fri Jul 13, 2012, 05:57 PM - Edit history (1)