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Paul Ryan explains his votes for TARP, bailouts and tax on AIG bonuses
The Daily Caller ^ | 02/14/2010 | Jon Ward

Posted on 08/12/2012 1:10:08 PM PDT by Da Bilge Troll

A recent column in which blogger Matt Lewis questioned the conservative credentials of Rep. Paul Ryan, Wisconsin Republican, got a lot of attention on our Web site. A number of Daily Caller readers have commented about Ryan, saying he has cast votes they disagree with, particularly in favor of the $700 billion TARP bailout for Wall Street, the auto bailouts and the taxes on AIG bonuses.

Here’s how Lewis put it:

"Though he talks like Nobel Prize-winning economist Milton Friedman, some of Ryan’s most high-profile votes seem closer to Keynes than to Adam Smith. For example, in the span of about a year, Ryan committed fiscal conservative apostasy on three high-profile votes: The Troubled Asset Relief Program, or TARP (whereby the government purchased assets and equity from financial institutions), the auto-bailout (which essentially implied he agrees car companies — especially the ones with an auto plant in his district—are too big to fail), and for a confiscatory tax on CEO bonuses (which essentially says the government has the right to take away private property — if it doesn’t like you).

While Ryan’s overall voting record is very conservative, the problem with casting these high-profile votes is that they demonstrate he is willing to fundamentally reject conservatism when the heat is on.

Because it is impossible to believe the highly intelligent and well read Rep. Ryan was unfamiliar with conservative economic principles, one must conclude he either 1). Doesn’t really believe in free market economics, or 2). Was willing to cast bad votes for purely political purposes."

I asked Ryan about these criticisms during a phone interview this week. Here’s what he had to say:

The DC: As you’re getting more attention, besides the criticism that you’re getting from the Democrats, I’ve also started to see some critical comments of you from the right over your votes for TARP, the auto bailout, and the tax on CEO bonuses. How often do you hear that in your home state, how often do you hear it on the Internet, and what do you tell people when they criticize you on those things?

Ryan: You know I don’t hear it here at home that much. You’ve got to remember Obama won my district. Dukakis and Gore won my district. Clinton won my district. So I don’t come from, you know, a red area. So I think it’s important to keep in mind where I come from. I don’t hear that here.

TARP. I’ll take one at a time. I believe we were on the cusp of a deflationary spiral which would have created a Depression. I think that’s probably pretty likely. If we would have allowed that to happen, I think we would have had a big government agenda sweeping through this country so fast that we wouldn’t have recovered from it. So in order to prevent a Depression and a complete evisceration of the free market system we have, I think it was necessary. It wasn’t a fun vote. You don’t get to choose the kind of votes you want. But I just think as far as the long term objectives that I have — which are restoring the principles of this country — I think it was necessary to prevent those principles from being really kind of wiped out for a generation.

Auto. Really clear. The president’s chief of staff [Josh Bolten] made it extremely clear to me before the vote, which is either the auto companies get the money that was put in the Energy Department for them already — a bill that I voted against because I didn’t want to give them that money, which was only within the $25 billion, money that was already expended but not obligated — or the president was going to give them TARP, with no limit. That’s what they told me. That’s what the president’s chief of staff explained to me. I said, ‘Well, I don’t want them to get TARP. We want to keep TARP on a [inaudible]. We don’t want to expand it. So give them that Energy Department money that at least puts them out of TARP, and is limited.’ Well, where are we now? What I feared would happen did happen. The bill failed, and now they’ve got $87 billion from TARP, money we’re not going to get back. And now TARP, as a precedent established by the Bush administration, whereby the Obama administration now has turned this thing into its latest slush fund. And so I voted for that to prevent precisely what has happened, which I feared would happen.

The whole AIG thing, you know that was — you know I obviously regret that one. I was angry at the time because I was worried that all these companies were jumping into TARP thinking they could use TARP as a way to best their competitors, as a way to get cheaper credit, to get money at cheaper rates, at the expense of their smaller competitors. And so I was seeing TARP as sort of a new tool of crony capitalism, and I thought it’d be a good signal to send to the large banks who were jumping into this thing, who really didn’t need it: ‘Stay away from this, don’t get in bed with the government, even though it might in the short term give you a leg up on your competitors, you’ll be burned. That was what was running through my mind at the time, given the fact that we had about six hours notice on the vote, and our lawyers were telling us that it was not a bill of attainder. Now when a week went by, and our lawyers had a chance to read it more clearly and carefully, they reversed their opinion of the bill and said it was in fact a bill of attainder, which therefore should not have passed … The other thing that bothered me was the Democrats were in a real political pinch, because Chris Dodd wrote in the exemption for those bonuses in the bill, and they were on the hook for it. And they were trying to get themselves off the hook and Republicans on the hook. And that bothered me too, was just the political cynicism behind it bothered me and I didn’t want to give the Democrats that as well. So those were the thoughts running through my mind when I had to make more or less the snap judgment on that bill.


TOPICS: Extended News; Government; News/Current Events; Politics/Elections
KEYWORDS: 112th; 2012veep; bailouts; paulryan; romney2012; ryan; ryanrecord; tarp
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This stuff bothers me. But then I think, "Barak Obama hates this guy" and I feel better.
1 posted on 08/12/2012 1:10:13 PM PDT by Da Bilge Troll
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To: Da Bilge Troll

his answer bother me. We need government intervention to save capitalism is what he is saying


2 posted on 08/12/2012 1:15:29 PM PDT by 4rcane
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To: Da Bilge Troll

Excellent circumlocution, Ryan. Sounded just like Obama in defending his TARP vote.


3 posted on 08/12/2012 1:15:53 PM PDT by andyk (Go Juan Pablo!)
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To: Da Bilge Troll

he better have a good one


4 posted on 08/12/2012 1:17:52 PM PDT by yldstrk (My heroes have always been cowboys)
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To: 4rcane

Yes, I agree. He had to violate the founding precepts of our republic in order to be able to restore them later.


5 posted on 08/12/2012 1:19:55 PM PDT by andyk (Go Juan Pablo!)
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To: Da Bilge Troll

In a war, you don’t always get to have the choices you want.


6 posted on 08/12/2012 1:21:42 PM PDT by RobbyS (Christus rex.)
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To: Da Bilge Troll

I rest my case.


7 posted on 08/12/2012 1:22:24 PM PDT by Jim Robinson (Resistance to tyrants is obedience to God!!)
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To: Da Bilge Troll
In spite of want we may wish, there is not a single perfect candidate in DC.

Paul Ryan is a good man. We republicans have to stop self destructing.

8 posted on 08/12/2012 1:23:11 PM PDT by skeeter
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To: Da Bilge Troll

It’s the lack of leadership that is always most bothersome. Why does the media paint him as a conservative leader? If he were a leader, he would have taken a stand and not voted for these bills. But he’s the most conservative RINO of all the others Romney was considering.


9 posted on 08/12/2012 1:24:59 PM PDT by rabidralph
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To: 4rcane

I trust the guy. Sometimes in a war you have to retreat and bide your time until you can get a clear show at the enemy - think Sam Houston retreating before Santa Anna after the fall of the Alamo until he caught the Mexican Army and destroyed it. If you read Ryan’s answer he is a very astute politician who understands what is possible and what is tilting at windmills.....I was impressed with his answer on TARP....that if the deflationary depression hit at that time we counld have had a complete run to socialism. Now, in 2013, when it threatens again we will have the congress and the presidency to take the medicine and time to let the economy heal.


10 posted on 08/12/2012 1:26:37 PM PDT by mick (Central Banker Capitalism is NOT Free Enterprise)
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To: andyk

Neither man was necessarily wrong about the TARP. What was wrong about the chain of decisions made over the preceding 18 months which led to the near collapse of the banking system. As a stopgap, it may have been necessary, but then Obama began using this reserve as a kind of slush fund for all kinds of stuff. Not so sure about these founding principle things. Hamilton’s national bank was not foreseen by the Constitutional Convention, which was why Madison broke with his erstwhile ally over the issue. Madison would have won if Jefferson had not brokered a deal. Short term, Hamilton’s plan was a good fix, but then we seen speculators gaming the system to make a ton of money/going broke. Jefferson was soon aghast at what he had done and began working to correct his mistake. Our Founders were great men, but even Ted Williams only hit over .400 for a single year.


11 posted on 08/12/2012 1:30:20 PM PDT by RobbyS (Christus rex.)
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To: rabidralph

The latest description for Ryan coming from the administration and media is: “Ryan is a right wing radical who wants to take away the safety net for seniors, make drastic cuts which hurt the poor and middle class and give tax cuts for the rich.”


12 posted on 08/12/2012 1:30:55 PM PDT by sheikdetailfeather (Yuri Bezmenov (KGB Defector) - "Kick The Communists Out of Your Govt. & Don't Accept Their Goodies.")
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To: mick

The irony os that analogy is that ole Sam had to be talked into the attack. His plan was to provoke the Mexicans into following him closer to the Louisiana border, where Taylor’s force was waiting. Old Rough and Ready would have taken Santa Anna’s force apart. BUT Santa Anna may have been smart enough to stop short. IAC. he sure wasn’t expecting an attack, and Houston had learned war from Jackson.


13 posted on 08/12/2012 1:36:01 PM PDT by RobbyS (Christus rex.)
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To: Da Bilge Troll

Do you have one where he explains his votes for the Medicare Plan D and No Union Teacher Left Behind?


14 posted on 08/12/2012 1:40:00 PM PDT by Theoria (Rush Limbaugh: Ron Paul sounds like an Islamic terrorist)
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To: mick

Not at all, the economy NEEDS to deflate from the current inflation. The economy have too much money mis allocated. Too many industries are in a bubble. Some industries simply needs to go bankrupt so that viable ones can begin. Without this cleaning process, the economy will never recover. Its like a person on drug, needs to go thru withdrawal to cure itself. Ryan is saying, we need the drug to keep us from going into withdrawal as its painful. Deflation is not something we need to fight. Its capitalism cure for the system.

During Reagan, interest rate was set to 20% to deflate the money supply. We need something similar for this economy to recover


15 posted on 08/12/2012 1:41:30 PM PDT by 4rcane
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To: Da Bilge Troll

There is a right way to vote and there is a wrong way to vote, if you vote the wrong way all the mumbo jumbo coming out of your mouth cannot and will not make it a good vote. All the lip stick in the world will not adhere to the lips of that particular swine.


16 posted on 08/12/2012 1:43:35 PM PDT by anchorclankor (From the main part of Missouri)
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To: Da Bilge Troll

You can look at this two ways:

1) Ryan is a good conservative who got caught up in the politics of the moment and tried to make bad votes into better votes.

2) Ryan is a good RINO who votes for what the establishment wants at crucial junctures.


17 posted on 08/12/2012 1:51:30 PM PDT by Erik Latranyi (When religions have to beg the gov't for a waiver, we are already under socialism.)
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To: 4rcane

I agree with you 100% The system needs to collapse so that we can wipe out all the bad investments. In fact, I believe we have no choice...deflation is already baked into the cake. And Ryan believes that also. My only point was that by delaying the inevitable until the GOP (scum bag RINO’s and Tea Party conservative all) is in charge of all branches of the Government ( hopefully in 2013) we have a better chance of saving the system of capitalism from a panicked population than if Obama and his commies are in charge.


18 posted on 08/12/2012 1:56:52 PM PDT by mick (Central Banker Capitalism is NOT Free Enterprise)
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To: Da Bilge Troll

Not buying his vote on TARP, but Ryan is a thousand times better than anyone in this current administration. I think that Ryan is a capable man who will be asset to Romney should he get elected.


19 posted on 08/12/2012 2:08:31 PM PDT by 3Fingas (Sons and Daughters of Freedom, Committee of Correspondence)
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To: Da Bilge Troll

Back in 2010, I would have been less forgiving of Ryan for these votes. But after seeing Cesar Obammus and his Chicago thugs twist arms, issue executive orders and stomp all over the Consititution in the past few years, Ryan is probably right. This band of Bolsheviks was going to get their way one way or another. Ryan was simply not put in a position to win.

All water under the bridge now. There’s not an alternative right now.


20 posted on 08/12/2012 2:11:15 PM PDT by NoobRep
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To: Da Bilge Troll
TARP was the result, NOT the cause. The real causes were forcing banks to lend mortgages to sub-par borrowers AND removing Glass-Steagall law which prevented banks from gambling with depositer's money. By the time TARP was needed, the patient was on death bed and extreme measures became necessary to save complete collapse and chaos in the financial system.
21 posted on 08/12/2012 2:14:49 PM PDT by entropy12 (Hate is the most insidious emotion, it will encourage cancer cells in your body.)
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To: RobbyS
Lots of name dropping and obtuse references. Sounds like you support TARP. But, not necessarily.
22 posted on 08/12/2012 2:25:26 PM PDT by andyk (Go Juan Pablo!)
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To: entropy12

Thank you for posting that. That rarely gets discussed, and it caused everything


23 posted on 08/12/2012 2:34:48 PM PDT by stickywillie (a corrupt parallel universe exists beside our wonderful Constitution)
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To: Da Bilge Troll

So the here are the translated answers using straight talk:
1. I screwed up and didn’t think carefully out of fear
2. Because of my previous screw up, I feared it getting worse
3. Because of my first screw up, I felt I was getting taken advantage of

The mark of a true believer of conservatism is one who sticks to principles when the water is most murky.

I think this shows he is well read and applies these principles only when he doesn’t have to fear that there will be any immediate pain.


24 posted on 08/12/2012 2:35:21 PM PDT by dila813
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To: stickywillie

Thanks, and I should add that Bill Clinton’s Treasury secretary Robert Rubin was the force behind getting rid of Glass-Steagall.


25 posted on 08/12/2012 2:40:10 PM PDT by entropy12 (Hate is the most insidious emotion, it will encourage cancer cells in your body.)
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To: dila813

You might want to read post #21. Never hurts to learn some facts.

As for real conservatives always doing the right thing, can you name a couple of examples among elected critters?


26 posted on 08/12/2012 2:43:25 PM PDT by entropy12 (Hate is the most insidious emotion, it will encourage cancer cells in your body.)
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To: andyk

Just remind you that the Founders were ALSO public men, and as Madison warned us, no angels. They made their share of mistakes, including what they put into the Constitution. I suggest you read, if you have not, through Madison’s Notes on the Convention. While you are reading, imagine these guys working in a sweatbox, because the windows were nailed shut. A lot of compromises were made in taverns and boarding house in the evening, because the hall was too darned hot for long spells inside. Even Washington was known to take a break and he really was an iron man.


27 posted on 08/12/2012 3:00:55 PM PDT by RobbyS (Christus rex.)
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To: entropy12

Robert who? ;-) Notice how he has sort of vanished. But dang, Bush’s secretaries were not much better.


28 posted on 08/12/2012 3:03:00 PM PDT by RobbyS (Christus rex.)
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To: RobbyS

Now I have no idea what you think, except you think think that philosophical absolutes are tempered by the climate in which they’re reasoned. Or something. You believe Madison favored using public money to bail out private interests?


29 posted on 08/12/2012 3:11:14 PM PDT by andyk (Go Juan Pablo!)
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To: sheikdetailfeather

If the dems go after Ryan they’ll have to talk about the economy, which obama doesn’t want to do. Ryan brings focus to fiscal matters.


30 posted on 08/12/2012 3:16:45 PM PDT by virgil
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To: andyk

No, but Hamilton did. Which is why Jimmy Madison was as made as hell. He knew that Hamilton’s friends would make a killing. Hamilton himself never made a dime. but his friends, the people in the know, made quite a few.


31 posted on 08/12/2012 3:19:35 PM PDT by RobbyS (Christus rex.)
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To: RobbyS

Ryan is no conservative. He was part of the 4 trillion that Bush put us in debt.

You are your record and I am sick of these republicans rewriting their history and you clowns falling inline.

You all make me sick.


32 posted on 08/12/2012 3:28:53 PM PDT by Truth101A
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To: RobbyS

Ryan is no conservative. He was part of the 4 trillion that Bush put us in debt.

You are your record and I am sick of these republicans rewriting their history and you clowns falling inline.

You all make me sick.


33 posted on 08/12/2012 3:29:06 PM PDT by Truth101A
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To: RobbyS

Ryan is no conservative. He was part of the 4 trillion that Bush put us in debt.

You are your record and I am sick of these republicans rewriting their history and you clowns falling inline.

You all make me sick.


34 posted on 08/12/2012 3:29:22 PM PDT by Truth101A
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To: Da Bilge Troll

Good LIL’ RINO plays along and gets VP nod because he’s portrayed as a conservative. Beat that drum, GOP.


35 posted on 08/12/2012 3:35:58 PM PDT by TADSLOS (Conservatism didn't magically show up in Romney's heart in 2012. You can't force what isn't in you.)
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To: RobbyS

In a war, you don’t always get to have the choices you want.


sometimes you need to lose a battle to win a war

Ryan is in it to win the war and he’ll have this 3rd generation vet behind him.


36 posted on 08/12/2012 3:43:08 PM PDT by patriotspride
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To: RobbyS

Do you believe that TARP is a legitimate function of government, constrained by enumerated powers, as outlined in Art I Sec 8?


37 posted on 08/12/2012 3:49:41 PM PDT by andyk (Go Juan Pablo!)
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To: Truth101A

I understand your angst, and I can’t blame you. RR will simply slow the leftward lurch, just like compromise does for us.


38 posted on 08/12/2012 3:55:21 PM PDT by andyk (Go Juan Pablo!)
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To: andyk; Truth101A
I understand your angst, and I can’t blame you. RR will simply slow the leftward lurch, just like compromise does for us.

Yes, let's just speed things up and go right over the cliff. We all know that reduced speed never ever gives anyone a chance to do something to alter what may be the eventual outcome. That's why a gas explosion is so much better than a small house fire.
39 posted on 08/12/2012 4:08:04 PM PDT by aruanan
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40 posted on 08/12/2012 4:15:43 PM PDT by RedMDer (https://support.woundedwarriorproject.org/default.aspx?tsid=93destr)
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To: skeeter
Agree 100%. Politics is war. Sacrifice, anguish & suffering and in the end you pray for the glorious win.

Like chess, you make a move and someone watching says “that was the dumbest move ever”. Then you win the game and they say “Brilliant strategy”.

41 posted on 08/12/2012 4:16:15 PM PDT by liberty or death
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To: aruanan

We’re headed over the cliff. It’s either Thelma and Louise style, or James Dean style. There are folks who have tried to stop it, but they’re not on the RR ticket.


42 posted on 08/12/2012 4:17:45 PM PDT by andyk (Go Juan Pablo!)
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To: andyk
There are folks who have tried to stop it, but they’re not on the RR ticket.

May I suggest that they're not on the OB ticket, either?

43 posted on 08/12/2012 4:26:44 PM PDT by okie01 (The Mainstream Media: IGNORANCE ON PARADE002)
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To: entropy12
The real causes were forcing banks to lend mortgages to sub-par borrowers

AGREE!

The tax-payer funded Gov't forced banks into bad loans.

So, unfortunately it was the tax-payer's duty to bail them out when their policies went bad.

If not, we were to have a depression.

44 posted on 08/12/2012 5:53:48 PM PDT by what's up
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To: okie01

LOL, yes, you may. But I don’t expect that from the other side. Although the line between the sides is thin and blurring.


45 posted on 08/12/2012 6:16:27 PM PDT by andyk (Go Juan Pablo!)
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To: Da Bilge Troll

lol


46 posted on 08/12/2012 6:18:09 PM PDT by TomEwall
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To: andyk

My point being that Jimmy Madison did not think that Hamilton’s plan was a legitimate function of..... Yet Madison eventually signed off on it, because Virginia wanted a capitol close to them.


47 posted on 08/12/2012 7:11:30 PM PDT by RobbyS (Christus rex.)
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To: RobbyS

You are right. All those people from Goldman Sachs...were foxes appointed to watch the chicken coop.


48 posted on 08/12/2012 7:32:23 PM PDT by entropy12 (Hate is the most insidious emotion, it will encourage cancer cells in your body.)
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To: Truth101A; RobbyS

Ok pal, so Romney & Ryan are no good! So what is your alternate solution? Help the socialist Muslim from Chicago be elected for 4 more years? Or are you proposing a coup at the GOP convention?


49 posted on 08/12/2012 7:36:39 PM PDT by entropy12 (Hate is the most insidious emotion, it will encourage cancer cells in your body.)
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To: entropy12

I have his facts, I just translated them for you....Don’t like it because you can’t spin it.

Either accept it or don’t, I don’t wear rose colored glasses.

Yes, I know Reagan made non-conservative votes in order to protect higher principles.

This guy admits he sold out to fear. Sounds like he is a closet case of all you have to do to get him to do the lib thing is scare him.


50 posted on 08/12/2012 10:03:21 PM PDT by dila813
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