How Shadowy Right-Wing Front Groups Engineered Our National Embrace Of Debt Reduction Over Job Creation

Original Link: http://thinkprogress.org/politics/2011/07/28/281405/how-shadowy-right-wing-front-groups-engineered-our-national-embrace-of-debt-reduction-over-job-creation/

By Lee Fang

For the entire year, as a sluggish economy sputters by and states continue to struggle with falling revenue, the conversation in Congress has centered solely on spending reduction. Earlier this year, we witnessed looming government-showdown duels between competing spending reduction plans. Now with the debt ceiling debate, the only two options are a choice between a package of painful cuts and a package of deeply draconian cuts. There has been no lively discussion of new policy ideas for job creation, foreclosure mitigation, or how to spur demand, the key driver of economic recovery.

Earlier this week, Politico published a piece outlining the vast disparity in the ad war over the debt ceiling. Republican-aligned groups have run over $21.2 million in attack ads highlighting Democrats as irresponsible drivers of the national debt, and elevating the debt ceiling as a top priority. Meanwhile, groups on the left have spent about $30,000 on ads calling out Republicans on the debt, with one hitting lawmakers for “recklessly risking default.” Some Democratic leaning groups have even run ads casting Democrats as better at cutting than Republicans.

Since the end of the Bush presidency, shadowy right-wing groups, many of them formed for this very purpose, have primed the public with a sophisticated public relations campaign to shift the national discourse to a focus on debt reduction. Many of these groups do not appear partisan, and have figured out ways around registering their activity with the Federal Elections Commission (so the true extent to their ad-buying is rarely recorded):

– Founded in 2010 by former Bush admin flak Gretchen Hamel, the group Public Notice has quietly pumped millions into advertising about debt reduction: Public Notice sponsored at least $3 million on a debt ad called “Shovel” that falsely claims the spending doesn’t create jobs, an undisclosed amount for online ads promoting a highly produced web series on the evils of government spending, a debt pledge that features pop singer Justin Bieber, and what is believed to be another multimillion dollar ad buy recently for a commercial, appearing like a PSA, that warns that government spending is akin to cocaine addiction. To warp elite opinion, the group sponsored billboard ads at Reagan National Airport and on buses and bus shelters near Capitol Hill. Although Hamel does not reveal her donors, she is connected closely with the Koch network of billionaire and investors. Last year at a right-wing donor conference attended by top hedge fund manager Steve Schwarzman and Charles Koch, Hamel gave a presentation on “Framing the Debate on Spending.”

– Retired investor Pete Peterson has dedicated $1 billion of his personal wealth to reducing government spending; much of that money has gone to a multifaceted marketing campaign: The Peterson Institute has spent $1 million underwriting a movie about the debt, at least $1,010,232 developing a children’s debt sports game that also directs users to a Econ4U, a front group created by infamous lobbyist Rick Berman, millions more for a TV ad campaign called “Hugh Jidette,” an MTV-U cable television series that misleadingly conflates personal debt with the national debt, a newspaper partnered with the Washington Post, and even a program at Columbia University to develop a national debt-related K-12 curriculum.

– Corporate astroturf lobbyist Rick Berman has spent large amounts orchestrating a scare-mongering campaign over the national debt. Along with his connections to the Peterson network mentioned above, Berman has set up a campaign called “Defeat the Debt” to push the public into believing the national debt is the country’s top priority. He has run ads on television, purchased billboards throughout the Washington D.C. metro area, and aggressively marketed his campaign to Capitol Hill staffers. Last year, Berman purchased an ad during the Super Bowl — spending approximately $3 million — that showed schoolchildren pledging allegiance “to America’s debt, and to the Chinese government that lends us money.”

– A network of other right-wing groups have used a series of public relations gimmicks — like barnstorming bus tours filled with highly paid GOP operatives posing as Tea Party activists — to orchestrate an astroturf effort to build support for cutting spending over creating jobs. Groups like Americans for Prosperity and Americans for Tax Reform sponsored a group called Spending Revolt that toured the country organizing debt-related rallies with Republican candidates last year. The group, which has organized events with the Ohio Coal Association, gained countless local press hits appearing as a genuine citizens groups, despite the fact its sponsors are corporate lobbyists. This year, Americans for Prosperity has continued a separate effort to organize debt-themed rallies. American Majority, a group founded after Obama’s election by two GOP operatives, has quietly provided training efforts across the country to mobilize around the issue of the national debt.

This is only a snapshot of the debt-related public relations campaign; millions more have been spent by the U.S. Chamber of Commerce, FreedomWorks, Club for Growth, and other big business advocacy groups.

The incredible resources the right has amassed for its debt campaign are unmatched by progressives. Moreover, at a time when solving the unemployment crisis should be our national priority, only the very wealthy and privileged have the money to direct national ad campaigns of any real impact. In an era of unlimited corporate money in politics, the unemployed and the Middle Class have a quickly disappearing voice in public life.