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Politics

The GOP’s Brand Suicide

Dec. 4, 2012 12:44pm

Wayne Allyn Root is a Capitalist Evangelist, entrepreneur, and Libertarian-conservative Republican. He is a former Libertarian vice presidential nominee. […]

Wayne Allyn Root is a Capitalist Evangelist, entrepreneur, and Libertarian-conservative Republican. He is a former Libertarian vice presidential nominee. Wayne's latest book is out on April 15, 2013: "The Ultimate Obama Survival Guide: Secrets to Protecting Your Family, Your Finances, and Your Freedom."

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wayne@rootforamerica.com

Author's Website

Is the GOP in the midst of committing suicide? We’ve seen the headlines. Conservative Bill Kristol says, “It won’t kill the country if we raise taxes on millionaires.” House Speaker Boehner says he might agree to “higher revenues.” The GOP Governors Association ends their meeting by saying they “are open to higher taxes on the rich.

As a businessman, I understand that branding is everything. You either stand for something, or you stand for nothing. If you muddle or compromise your brand, consumers won’t understand or trust it. Your business is dead.

So, what exactly is the GOP brand? You can’t stand for lower taxes by agreeing to raise them. You can’t stand behind small business owners and job creators by agreeing to a compromise that raises taxes primarily on small business owners and job creators. You can’t claim that punishing “the rich” is bad economic policy, then compromise by punishing “the rich.” You can’t say that raising taxes will devastate the economy, then agree to raise taxes on people that make $250,000 to $500,000 per year- primarily small business owners who are not “rich” but who make up the biggest spenders, investors and job creators. If you do, you’ll certainly destroy your brand…and the economy.

Worst of all you can’t claim to be against tax increases, but then vote to “raise revenues.” If you eliminate our mortgage interest or charitable deduction, you automatically raise our taxes. You can disguise your words, but you can’t hide the truth. “Revenue increases” are actually worse than tax increases- because you are raising our taxes even if our income goes down. Where are small business owners (who are not billionaires) supposed to get the money to pay the extra taxes triggered by the elimination of legal deductions?

By agreeing to the “compromise” that Democrats and the national media are clamoring for, the GOP is killing their own brand and committing political suicide. By agreeing to raise taxes the GOP won’t win a single election, nor gain a single Democratic voter. However, many Republican Senators and Congressmen will lose their next election.

President Ronald Reagan, the greatest tax cutter in political history, agreed to raise a few taxes (in order to get spending cuts approved by Congress). The result: His reputation has been slandered by Democrats ever since, and his “compromise” has been used by Democrats to brand any Republican who opposes tax increases as “extreme.” Gee, that worked out well.

Lesson learned? Raising taxes isn’t compromise, it’s brand suicide.

Never forget that President George H.W. Bush violated his “no new taxes pledge” and compromised to raise taxes. Result: He lost his re-election to Bill Clinton. Gee, that worked out well.

It has happened countless times to Republican Governors and Senators. After they compromise, they lose the next election. Why does this happen? Because when a Republican raises taxes, he loses at least 10% to 15% of conservative voters who are angry and disillusioned at the decision; he kills the enthusiasm of his remaining supporters; he doesn’t gain a single Democrat voter (if a voter supports tax increases, they’ll always vote for the Democrat); and he hands ammo to his next opponent to destroy him. It’s brand suicide- a losing decision on all levels.

Then there’s the #1 rule of business- always take care of your best customers. Your top 20% of customers will account for 80% of your success. Small business owners are the GOP’s biggest contributors and most loyal supporters. By “compromising” to raise taxes and kill deductions for successful small business owners you’re kicking your biggest supporters and contributors in the teeth. This generally doesn’t lead to brand loyalty, or winning elections.

But there is a bigger issue than the political survival of the GOP. It’s the survival of the U.S. economy. Even the NY Times reports that the “Top 2%” are responsible for 33% of consumer spending and 30% of all charitable giving. They are also responsible for most business startups and job creation.

Only those totally ignorant about the economy, those who have never actually created a job, believe the fairy tale that taking money away from the top spenders, investors and job creators isn’t going to further damage the economy.

If higher taxes are good for the economy, why not raise them on everyone? If higher taxes solve a budget crisis, why is California perpetually broke? Why has California lost over a million net residents in the past decade? If higher taxes help an economy, why is the EU insolvent and on the verge of a Great Depression? Why aren’t Greece, Italy and Spain models of economic success?

Now the geniuses in Congress want to eliminate the mortgage deduction for upper income taxpayers, wiping out one third of the value of every high-end home in America. Entire upscale suburban neighborhoods will be decimated overnight. Foreclosures will skyrocket. Residential real estate will take a final dive, causing a new bank crisis. Wealthy consumers will slow their spending. We are looking at a total collapse of the U.S. economy- caused by ignorant politicians. Unfortunately some of those ignorant politicians are Republicans.

So the next time Obama suggests it’s “fair” to go back to Clinton era tax rates, the GOP should say it’s only “fair” to go back to Clinton era spending, regulations, and welfare reform. Let’s agree to roll back all spending, new government programs, and regulations enacted since Clinton. That’s how you heal our economy.

And the next time a Democrat wants to raise taxes, Republicans should point to President John F. Kennedy as the ultimate tax cutter and call Democrats “extreme” for ignoring JFK’s success.

The GOP’s job is not to assist Obama in crippling small business owners and job creators…in destroying even more jobs…in damaging the U.S. economy even further. If Obama wants to do that, let him commit economic suicide alone- and accept all the blame.

But to willingly kill your own brand and help Obama damage the economy- the GOP can’t really be that stupid, can they?

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Comments (41)

marineminer
Posted on December 8, 2012 at 4:32pm
Cowardice will lead to defeat every time , and the entire RHINO leadership cosists of cowards because they know what their constituents want but are afraid to deliver .

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rootytoottootin
Posted on December 8, 2012 at 4:04pm
I say, “maybe we need good ole hard working, responsible, people like; painters, plumbers,backhoe diggers, carpenters, etc. in Washington to get the job done; they know what goes on here in the outside world & know the value of a hard earned income; that know how to manage money & won’t just throw it away on fruitless programs.” A person who doesn’t know how to “get his hands dirty”, doesn’t know what is worth working &/or fighting for. It takes getting a splinter,or cut or blister sometimes to teach you what is what. I am sick & tired of the empty words spouted in Washington. We need leaders, NOT people who just go along to keep the so-called peace! Leaders with guts & fortitude to say,not no, but he– NO, it isn’t going to happen to WE THE PEOPLE, & back it up!
I sat silent too long & I guess it took an administration like this one to really wake me up, & say (as Popeye would), “I’ve done stood all I can stands until I can stands no more!!”
Let’s get our mouth piece working people & let Washington KNOW, WE ARE HERE & WE ARE NOT GOING AWAY. We CAN do it IF we REALLY want it done, say it LOUD & say it PROUD!!!
Let’s get busy America! And if we need to clean”house”, so be it, we have a BIG broom to do it with, it’s called FREEDOM OF SPEECH, let’s wear it to a frazzle!!!

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rootytoottootin
Posted on December 8, 2012 at 3:25pm
WE THE PEOPLE can yammer on this site till we are blue in the face. Burn up the internet to all the elected officials you can get email addresses to & keep hammering them with the same things we say here. Be relentless! I emailed one of my Texas senators and asked her if she was for the National Association for Gun Rights survey that I received from Sen. Rand Paul last Monday. This Thursday she emailed me back a 14 line answer, but did not once mention the survey. Next Monday’s email I will send will start off: “I asked you if you were FOR the NAGR survey….” & will go on to say that a sinple yes or no answer is all that is required–& THAT , is the problem with Washington, they cannot give a simple yes or no answer when that is all that is necessary. Heck the name of the survey tells you what is about does it not? It’s a no brainer!
This is what I’m talking about us doing in our emails, get them to answer straight forward, not a bunch of flowery words! Just spit it out man, I can take it (even though I am an old woman) I’ve probably been around the block a lot more times than they have in a lot of things, like most of us everyday hard working people. Too much talk & not action has become a dinosaur in Washington & it has to stop & we can bring it obout if we keep hammering them, NO MORE BEING SILENT, SPEAK UP TO THEM EVERYBODY, hold their feet to the fire. And if they don’t comply, FIRE THEM ALL!!! And we’ll get someone who will get the job DONE!! Whata ya say? Ar

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SZ939
Posted on December 8, 2012 at 3:13pm
Boehner, McCain, formerly Lugar, the RINO List goes on and on. The GOP is History! And Bonehead is assured re-election to the Speakership in January because any Conservative Revolt gives the Speakership back to Ms. Piglosi! Actaully, I wonder if that wouldn’t be a good idea – Republicans still have the majority Vote in the House, Piglosi is a Total Imbecile, and to the Brain Dead Drones, it would look like Obozo will be responsible for Economic Collapse! With Idiot Boehner in charge, WHAT WOULD BE THE DIFFERENCE? Except that Republicans get the blame for being “Obstructionist”.

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awkingsley
Posted on December 8, 2012 at 1:12pm
Wayne Allyn Root, you did it. This is the best articulation of the problem I have seen, very well framed argument. But as you probably know this is just the beginning: The GOP has this same problem across the board. Another branding problem is Values Voters who are conned into voting for candidates playing the Christian card to cover their flaws. Values Voters must display their values across the board. Honesty needs to be the first value Conservatives look at when ascertaining which candidate to support. Republicans need to stop giving Democrats ammunition for calling Values Voters hypocrites on both fiscal and social issues.

With the exception of Ron Paul and Rick Perry, all of the Republican candidates had major flaws, enumerated here as divorced, thrice-married, lying lobbyist, and lying “flip flopper”. When Republicans stop running RINO candidates who have bad character, they can win elections. Many voters are now on to the game of candidates playing the “Christian Card” to win elections. Candidates who loudly proclaim their Christianity have major flaws to overcome: Bush – alcoholism, Santorum – lying lobbyist, Gingrich – thrice-married, Romney – lying flip flopper, Clinton – amoral. My granny always insisted, “Christian is a Christian does”. Republicans need to get on the wagon, and leave the bad character behind when they select their slate, if they want to celebrate the day after the elections instead of crying as so many report.

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smv803
Posted on December 8, 2012 at 12:29pm
Mr. Root, I agree with everything you’ve said, but…..Obama is a 1000% worse than George Bush 41 and yet he won. How do we account for that? Very simple. When the players don’t play fair, we get an Obumer presidency. He was slated to win no matter the opponent. No wonder Sarah Palin went through hell and back! That woman didn’t have a chance in hell. Our current system has been so corrupt for so long, it will take a miracle to fix.

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nilo
Posted on December 8, 2012 at 10:52am
“But to willingly kill your own brand and help Obama damage the economy- the GOP can’t really be that stupid, can they?” — Wayne Allyn Root Are they really Republicans, or just pseudo-Republicans? I choose the latter. The Republican Party is dead. Its time for the independents and conservaives to go away from party affiliation and take the Tea Party approach. Didn’t George Washington warn agains political parties? Yeah, I think he did.

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- smv803
  Posted on December 8, 2012 at 12:49pm
  Amen, NILO! The GOP has been infiltrated. I am starting to believe that the MaCain POW story is a hoax; They must have freaked out when the swift boat guys came out against the other bozo, Kerry. They wanted their guy in and resorted to cheating, lying and fixing the election. What a bunch of fools most of us have been! No mas! Live free or die and that is the truth.
  
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Kestas
Posted on December 7, 2012 at 2:16pm
Maybe I am missing something. Doesn’t House control spending? Break the Omnibus Spending Bill into small Bills – Fund Defense and other neccessary departments. Send for approval to Senate and signature of the President. Simply do not pass any money for PBS, Commerce Department, EPA, Education Department etc. Come shut down time only funded department will be allowed to operate.

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Pat Alexander
Posted on December 6, 2012 at 7:59am
When they learned ***** was a crybaby, they should never have let him become speaker. Way too late for that though.

All we have heard is “Tax the rich” for the last 4 years. It’s O’s main talking point. Only because he thinks the Repubs will never do it.

At this point I would say tax them. He11 yes. 1/2 or better of them voted for the commie anyhow. What’s he going to talk about then?

Wait until the takers realize that it won’t begin to make a dent in the 16 trillion $$ mess. That’s going to be fun to watch.

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Lord_Frostwind
Posted on December 6, 2012 at 7:48am
Hate to be the bearer of bad news, but the GOP brand is pretty much dead anyway. All the little twits out there talk about us being a “a bunch of angry old white men,” (seriously, I’m only in my twenties people) and will vote for complete failures like Barack Obama even when they don’t agree with any of his policies and when he has no good record to run on.

The echo chamber of liberals across the media spectrum has done it’s job well. Our only hope is that King Barack will screw everything up so bad that it will finally break through the haze. I fear however that it won’t work, people are far too invested in this man and will likely follow him happily into utter oblivion. It’s becoming Jim Jones on a national scale.

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Capitolalb
Posted on December 6, 2012 at 3:37am
4-more years baby.

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Arshloch
Posted on December 5, 2012 at 3:34pm
No ‘leader’ should be appointed with out first proving that he/she has the cajones to do the job.

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katzkiner
Posted on December 5, 2012 at 1:48pm
By 2014 the repubs will be a minor player in US politics. They already are. Tax increases will finish off the economy. If we are not under marshall law expect an extreme rightwing backlash. Everybody in DC needs to be FIRED! If Obama can “save” this country from this disaster, I’d vote for him. That would be a crime against my nature and his. My nature is safe.

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SquareHead
Posted on December 5, 2012 at 1:24pm
Yes it is suicide with the likes of Mitt Romney.

Ron Paul on the other hand represents the constitution, and non intervention. Which is what the Americans want to get back to.

Result of “War on Terror”
After 10 years and 10,000 soldiers killed and tens of thousands wounded, and 1.5 million Arabs
killed, at a cost of 10 Trillion dollars :0
All of this while the borders are wide open, and this is suppose to make us safer?

Only if the GOP embraces Ron Paul’s message will it be able to flourish.

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- Spirit 72
  Posted on December 5, 2012 at 2:00pm
  Your numbers are way off. Your undying & blind attraction to someone whose answer is to point out where we need to be but has no clue how to get there is as profoundly simple-minded.
  
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- ChrisDiamond
  Posted on December 5, 2012 at 4:12pm
  “Ron Paul on the other hand represents the constitution, and non intervention. Which is what the Americans want to get back to.” – Not it isn’t, and they made it painfully obvious in the way they voted.
  
  “Result of “War on Terror”
  After 10 years and 10,000 soldiers killed and tens of thousands wounded, and 1.5 million Arabs
  killed, at a cost of 10 Trillion dollars. All of this while the borders are wide open, and this is suppose to make us safer?”
  
  I’ve read that the cost of the wars in Iraq/Afghanistan since 2002 run between $1.8 & $2 trillion, BUT we also had $420 billion or so for Medicare Part D, No Child Left Behind, Bush’s stimulus, the bankster bailout of $780 billion in 2009, the ARRA, and Obamacare. The corps, banks & special interests took us for well over $2.2 trillion since 2002, and I didn’t even add in the annual subsidies they receive.
  
  Spirit 72
  
  “Your numbers are way off. Your undying & blind attraction to someone whose answer is to point out where we need to be but has no clue how to get there is as profoundly simple-minded.”
  
  I corrected the financial #s, but the deaths and injuries were pretty close. Ron Paul had a clear plan; quit the militarism, quit the bailouts, corporate welfare and foreign aid, restore liberty and personal responsibility. That message wasn’t popular enough because, ultimately, people are scared to lose their piece of the FEDGOV pie, and scared of what others might do with freedoms they don’t approve of.
  
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LakeHartwellSailor
Posted on December 5, 2012 at 12:30pm
The GOP is dead. Boehner, by his actions, has accelerated its death. I have read the comments by many posters who say there is no difference between the Democratic Party and the Republican Party; and I rolled my eyes. Well, I have to admit, those posters are right. There is no difference.

Disgusting.

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- ChrisDiamond
  Posted on December 5, 2012 at 4:14pm
  It is a painful realization. I would encourage you to search youtube for the video “Political Solutions Are An Illusion.” it goes into this in greater detail: cronyism, war lust, corporatism, and anti-freedom attitudes (and voting) in both parties. It’s disgusting, and sad.
  
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Todd P
Posted on December 5, 2012 at 11:22am
We’re damned if we do and damned if we don’t. If we compromise, we’ve violated everything we believe in, and so Obama wins (especially since any compromise will favor him). If we do not compromise, then we go over the “fiscal cliff” and taxes go up on everyone – the military budget is slashed – and other things kick in that we REALLY do not want – and again, Obama wins (BIG).

Let’s face it – not enough conservatives turned out to vote, and by not voting they helped elect a Socialist dictator for his second (third?) term. We lost. There is nothing we can do about it now.

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- Spirit 72
  Posted on December 5, 2012 at 12:21pm
  Todd,
  Not true. Conservative valued Americans outnumber liberals 2:1. Research has shown it. What has happened is that Republicans have swept aside who brought them to the dance. That is why milque toasties like Romney/McCaint/Dole never got enough votes. (Forget the Dems rigging the votes in critical counties of critical states).
  
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sbenard
Posted on December 5, 2012 at 9:01am
I just pulled up the voter registration website of my state. After spending most of the past 20 years as a member of the Independent America Party, I changed to Republican in June. After Boehner purged conservatives from committee chairmnaships, I’m DONE with the GOP. I’m changing back to the Independent American Party — for GOOD!

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- danger08
  Posted on December 5, 2012 at 12:52pm
  I’m in the same boat. The GOP has shown, time and time again, they are lost. I am switching to the Libertarian party. I will no longer vote for the lesser of 2 evils. I hope the members of the GOP who get it will wake up and make a change. The way they operate is asinine. Many are lost in the DC bubble and care only about re-election. We are in a quasi-dictatorship with an ever encroaching gov’t. It has to end, I hope, for America’s sake, it’s not in a bad way.
  
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The Third Archon
Posted on December 4, 2012 at 11:35pm
“Small business owners are the GOP’s biggest contributors and most loyal supporters.”
I’d really love to know what you meant by this sentence, because I don’t see a whole lot of small businesses on this list:
http://www.opensecrets.org/parties/contrib.php?cycle=2012&cmte=RNC
“But there is a bigger issue than the political survival of the GOP. It’s the survival of the U.S. economy. Even the NY Times reports that the “Top 2%” are responsible for 33% of consumer spending and 30% of all charitable giving. They are also responsible for most business startups and job creation.”

Yeah, it’s called capitalism–that’s what happens when you destabilize an economy by allowing rampant wealth disparity.

“Only those totally ignorant about the economy, those who have never actually created a job, believe the fairy tale that taking money away from the top spenders, investors and job creators isn’t going to further damage the economy.”
Unless of course you take money they wouldn’t have spent otherwise and spend it, or give it to those more likely to spend it–then aggregate demand would actually increase and the economy would expand.

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- sbenard
  Posted on December 5, 2012 at 8:58am
  Channeling Carl Marx today, are we?
  
  I wonder what rich people can do with their money that doesn’t create jobs? If they put it into stocks, those companies use the capital to build their businesses (aka, “jobs”). If they buy corporate bonds, the same thing happens. If they build a bigger house or do home improvements, construction jobs are created. If they buy bigger televisions or new computers, jobs are created in those sectors. Even if they just put it into CDs at the local bank, it is loaned out to mostly small businesses, which use those funds to build their businesses and create jobs.
  
  The one thing that DOESN’T create jobs is when the government confiscates it and “redistributes” it — also known as coveting and stealing on a societal scale — and gives it to people who do nothing to earn it themselves. That creates only ONE thing — moral hazard. And that create ZERO new jobs!
  
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- ChrisDiamond
  Posted on December 5, 2012 at 4:25pm
  “Yeah, it’s called capitalism–that’s what happens when you destabilize an economy by allowing rampant wealth disparity.”
  
  We do not have capitalism. We have corporatism. The only folks in the country capable of buying their own politicians do so for legislation beneficial to their businesses, tax relief, and protection from regulations passed onto the mom and pop start-ups. A multinational corp like Exxon pays $0 in corporate fed taxes, but Bob’s Oil in Galveston pays 35% of every dollar of profit in fed corporate tax. So by buying politicians, not only have the big corps saved themselves a huge chunk in taxes and garnered 100s of millions (and sometimes billions) in subsidies paid out of our tax dollars, they’ve also made it nearly impossible for start-ups to compete with them, which means there’s a strangle hold on job creation. Neat how that works, huh? Government works to create and maintain the wealth disparity you chide, and will never do anything to correct it.
  
  “Unless of course you take money they wouldn’t have spent otherwise and spend it, or give it to those more likely to spend it–then aggregate demand would actually increase and the economy would expand.”
  
  …furthering the problem of a consumption/debt-based economy as opposed to a production/savings/investment-based economy. 1 group of people will take $100 and turn it into $150, while another will waste that $100 on crap they don’t need. Why give the wasters the $ in a handout?
  
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lylee
Posted on December 4, 2012 at 9:46pm
Why do you think that the Dems and the MSM are pushing so hard to have the GOP pull the trigger? Of course it’s suicide!

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Secret Squirrel
Posted on December 4, 2012 at 8:59pm
The GOP already committed suicide.
Here’s the candidates, post Reagan.
Bush, Dole Bush, McCain, Romney.
All RINO’s. Any question why 3 million conservatives stayed home?
Please, let the GOP merge with the DNC and let’s get a party that represents conservatives.

Boehner has trashed anyone who doesn’t play the “don’t rock the boat” game.
I don’t care who wants to be a millionaire in congress, I want to save the country.

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- MCGIRV
  Posted on December 5, 2012 at 12:09am
  I was talking to my Korean War Veteran father tonight about the state of the republican party. We pretty much see things the same way you do.
  
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- The_Bronze
  Posted on December 5, 2012 at 11:29am
  You are both in good company. I am so disparaged with the phony-bologna Republicans. I am equally sickened in the limp-noodle presidential candidates they have proposed (Would have gladly voted for both VP candidates). To alter a Reagan quote, the Republicans have left me.
  
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Mutiny
Posted on December 4, 2012 at 7:50pm
It got a severe head trauma when it nominated John McCain. Many like myself bit the bullet and voted for the lesser of two evils. The party committed suicide when it nominated Mitt Romney. He was a huge progressive and was so weak on real issues it was almost like a joke.

The only way to beat the liberals and progressives is to go back to the Constitution, have real spending cuts, only vote yes on a balanced budget, and end us being the global police force.

You people who voted for Romney brought this on. You were warned and you called us crazy. I suggest next time listening and vote for the guys that actually are for the Constitution and not one you tried to use it as a talking point but every thing he supported was anti Constitution.

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jessieH
Posted on December 4, 2012 at 7:38pm
Forget about the RINO party. It’s done. Stick a fork in it. Soon, it will be the Democratic Party & the TEA Party.

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- Todd P
  Posted on December 5, 2012 at 11:27am
  I can’t wait! :-)
  
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Major Flynt
Posted on December 4, 2012 at 7:37pm
The republicans are screwed either way as they will take the blame when Obama’s plan tanks the economy even more if they accept it and they will be blamed if they oppose it and the economy tanks even more. I really do not see how it matters. Unless Obama passes republican budgets we are all screwed any way.

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blackfeather
Posted on December 4, 2012 at 6:23pm
…well..we can always be a communist country….we’re half way there now.

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K Harlan
Posted on December 4, 2012 at 3:47pm
Republicans can, indeed, be that stupid, Mr. Root. Democrats own the Narrative and have the means to perpetuate their side of the story, regardless of the truth. Republicans are completely inept at presenting arguments in a way that the average American will embrace, if they ever get the opportunity to get the average American ear.

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- SocialistSlayer
  Posted on December 4, 2012 at 6:19pm
  Bill Kristol is a Sissy ! He’s no more a republican than Communist obama !
  
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- Lord_Frostwind
  Posted on December 6, 2012 at 7:36am
  “Control the Media, control the mind.” – CABAL, Tiberian Sun
  
  There is no greater evidence of this than the just how well people buy into the Liberal arguments. How are tax cuts an expense to government if it isn’t their money to begin with? How are the Republicans holding middle class taxes hostage when it’s Obama who utterly refuses to compromise unless you give him what he wants?
  
  The only thing that will stand a chance at waking people up is when the lies disintegrate and all the systems they’ve come to expect or depend on are gone. Sadly, I doubt a lot of them will be able to survive once that happens.
  
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