Let’s back-up for a second: The Bush-Cheney regime did everything in its power to remove regulation of the finance industry. The regulations they couldn’t get rid of, they simply ignored. The Republican Congress, meanwhile, used no oversight whatsoever, not of the financial industry they were supposed to regulate, nor of the Bush-Cheney regime who were sworn to uphold the law—including regulations. McCain was for most of that time in a position to exercise oversight, and he failed to do so. In fact, he aided and abetted Bush-Cheney and the Republicans in removing regulations that would have helped prevent this crisis.
So when McCain and the Republicans now talk about cleaning up the mess—which they created—we cannot believe them for a second. In fact, this looks like a plan only to help their rich friends.
They’re proposing $700 billion to cover bad debts in banks. They’re selling this as a way to prop up the banking industry. Yet the FDIC, which insures ordinary Americans’ bank accounts, has only $50 billion in assets to cover $1 trillion in deposits. Put another way, the Bush-Cheney-McCain imperative is to protect banking corporations’ profits, not the savings or homes of ordinary Americans.
When this began with the mortgage crisis, Bush-Cheney-McCain and the Republicans were all talking about “personal responsibility”, suggesting that the ordinary Americans who were facing foreclosure were solely and personally responsible for their situation. Their tune changed only when their attitude threatened to unleash voter wrath.
But isn’t there a double standard here? Ordinary Americans get into trouble—often at the express direction of banks who pressured them into loans they couldn’t afford—and it’s the ordinary person’s fault and responsibility to solve on their own. Politically-connected corporations get into financial trouble that was clearly their fault, and Bush-Cheney-McCain and the Republicans start tripping all over themselves to help. As my friend Jason put it:
Free markets, personal responsibility, less government. I guess that only applies to the average person.
When rich people are about to loose their shirt all that stuff goes out the window.
And will there be any consequences on these people who got us in this position? As far as I can tell, absolutely none. If I had my way, we round these bastards up and have them drawn and quartered and then have all their assets sold off to help pay for what they've done. But I'm pretty sure that won't happen.
He’s absolutely right: The greed and irresponsibility that led to this will never be punished. The corporate elitists who are facing ruin will be saved, and their personal wealth preserved. The politicians who created this disaster or failed to prevent it will suffer no legal penalty. There will be no consequences.
Ordinary Americans, however, will be paying for this for generations: The billions and billions—trillions, probably—that will be spent on this financial bailout is money that can’t be spent on anything else. Not one cent will be left for healthcare, to reduce poverty, for education, for infrastructure (like bridges, so they don’t collapse). Where will the money for researching alternative sources of energy come from now?
Meanwhile, ordinary Americans are losing their homes at the rate of 9800 per day, while corporate elitists have their wealth protected by Bush-Cheney-McCain. McCain promises billions in tax cuts for corporations—including the ones who created this mess—and for the rich who stood to lose some money if Bush-Cheney-McCain had refused to bail them out. Some, like Naomi Klein, suggest that if McSame wins the election, he'd use this as an excuse to gut Medicare and Social Security.
This situation must change. The financial disaster cannot be fixed by turning to the same people who created it. We can’t take more of the same from McCain, we need change, and only Barack Obama and the Democrats can deliver that change and truly clean-up this mess. Ordinary Americans have 700 billion reasons to make sure we get the change we need.
3 comments:
The irony is that they say this is to save "home-owners"
If someone was a home owner I doubt they'd be in a position to be threatened by these stupid loans.
This is a reverse greed tax, taxing everyone for not being as greedy as the banks and sub-prime victims, only in america huh. If only it didn't flow on though
What pisses me off is that the executives of these banks are taking home bonuses and such now that the Feds are bailing them out. ummm EXCUSE ME?!? I don't care if executives are highly-paid normally--that's the corporation's right. However, when the executives make extremely risky decisions and then fail at them and the taxpayers have to fit the bill, then I get pissed.
Okay so Arthur, I think your post is a weeeeeee bit one-sided. Blaming only the Republicans is a bit much. I think the blame goes around to both parties. In fact, the Republicans passed a bill to regulate Freddie and Fannie, yet the DEMS are the ones who rejected it. In fact, go check out the amount of money that Freddie and Fannie were paying to the Dems, including Hillary, Obama, and Dodd. It's amazing.
Go read my newest post... http://qthunderboys.blogspot.com/2008/09/you-wont-hear-this-in-media.html
(see, I do read your blog!) =)
Anon: Yep, I agree with you. And what they do will, indeed, be felt throughout the world.
QThunderboys: Completely agree with your first paragraph. Of course Democrats helped the Republicans, some actively, but I'm especially hard on Republicans for two reasons: First, they were in power for almost all of the time in question, so they set the agenda and made the laws. The Democrats couldn't do anything to stop or redirect this even if they'd tried (and I wish they had!).
The second reason is that Republicans ought to know—and do—better. They're supposed to be the party of smaller, more limited government and of private enterprise. Instead, they've made the US government bigger and more intrusive than ever, and they did so on the backs of ordinary taxpayers. In so doing, they also threw away their mantra of "personal responsibility" by telling these crooks that no matter what they do, the US Government will bail them out, but ordinary taxpayers—often victimised by these same crooks—they're on their own.
Now, when the Democrats win in November, if they don't re-regulate you can bet I'll be tough on them, too.
You shouldn't be so quick to suggest that Democrats are uniquely beholden to Fannie Mae/Freddie Mac: John McCain is in bed with them, and on a much more intimate and personal level than merely getting campaign contributions.
Anyway, thanks for commenting!
And for regular blog readers, the two of us are regular sparring partners, but it's all good natured. We agree on almost nothing, and sometimes disagree strongly, but we can debate civilly and not make things personal. You have no idea how much I wish that was the case on the Internet generally!
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