Category: socialism

The Great Wall Street Rip-Off: Enough is Enough!

Call me naïve, but I for one am sick and tired of being held hostage by the banking/financial industry. And you should be too! The stimulus bill that was recently passed included a little nugget that prohibited top banking executives from receiving any type of cash bonus until the institution repays in full their TARP obligations. What is somewhat surprising is that the Obama Administration opposed the provision.

 

The reasons for any opposition to restricting executive compensation are as creative as they ridiculous.

 

Prohibiting bonuses will cause the banks to repay the TARP funds more quickly thus limiting their ability to lend.

Since when is it a bad thing to repay a loan quickly? The banks should be required to repay the loans in the most expeditious manner while loosening credit at the same time. Am I missing some thing here, but if I am loaned money I do not have the right to set conditions for my repayment. I can hear the credit card company collector laughing in my face!

 

Prohibiting bonuses will encourage financial institutions to increase salaries in lieu of bonuses.

Let me get this straight… The bank is going under but since the CEO cannot collect a bonus we’ll just quintuple his base salary. Real smart!

 

The banks claim that raising base salaries removes performance incentives. No, paying performance incentives for poor performance removes performance incentives!

 

Prohibiting bonuses will cause a flight of top executives… a “brain drain”.

Let us hope that it causes exactly that. Why in the world would we allow the very same characters who caused the greatest banking catastrophe in global history to remain in their positions? The bankers and traders have committed criminal acts. A great place to empty the brain drain may be the state pen.

 

When the government moved in to provide bridge loans to the automakers, the Republicans where bitching and moaning about the salaries of the union autoworkers. Where are those Republicans now? I don’t hear a peep from these robber baron, class warfare loving legislators. They will not be happy until our national economy resembles the Walmart model. I guess if you make $45.00 an hour you are destroying the company but if you rakeit its  in a $500 million dollar bonus while the company is failing, you are part of a much needed brain trust. I’m sorry folks but for the first time on this blog I will have to make use of an expletive. This is absolute, complete and total BULLSHIT! 

 

It is time to nationalize the failed financial institutions.  Call it government appropriation of assets, nationalization or call it socialism.

I don’t care!

Enough is enough!

 

For another take on this subject, read The Modern Left’s piece, Wall Street Still Doesn’t Get It

Rush Limbaugh’s Comments: A Sign Of Fear

The blogosphere has weighed in on Rush Limbaugh’s “I hope he fails” comment regarding the Obama presidency. And now it’s my turn.

To just take those four words from Mr. Limbaugh’s interview with fellow right wing radio host Sean Hannity would not be fair in this debate.

Here is the entire quote:

“If he does not eliminate the Bush tax cuts, I would call that success. So yes, I would hope he would succeed if he acts like Reagan, but if he’s going to do FDR, if he’s going to do the new, new deal all over which we will call here the raw deal, why would I want him to succeed?”

“Look, he’s my president. The fact that he is historic is irrelevant to me now. It matters not at all. I — if he is going to implement a far left — look it. I think it’s already decided. $2 trillion in stimulus? The growth of government. I think the intent here is to create as many dependant Americans as possible looking to government for their hope and salvation. If he gets nationalized health care, I mean, it’s over, Sean. We’re never going to roll that back. That’s the end of America as we have known it because that’s then going to set the stage for everything being government owned, operated, or provided.”

“Why would I want that to succeed? I don’t believe in that. I know that’s not how this country is going to be great in the future; it’s not what made this country great. So I shamelessly say, no, I want him to fail, if his agenda is a far- left collectivism, some people say socialism, as a conservative heartfelt, deeply, why would I want socialism to succeed?”

The argument here is that Mr. Limbaugh and many far right conservatives continue to equate President Obama’s stimulus package and other policies to socialism. This is the same argument that Senator McCain, Governor Palin, Joe “The Plumber”, and the Fox Network cadre made during the campaign. So for Mr. Limbaugh to repeat such assertions are not unexpected.

The real debate here is the stimulus package and what it means ideologically to the right wing. Since Ronald Reagan’s presidency, we have rolled back the gains of FDR’s New Deal. And now, we find ourselves facing a similar economic situation ala the Herbert Hoover era. When FDR assumed power, the Republican Party had similar qualms of FDR’s plans as conservatives have now of Barack Obama’s prescription for economic solvency.

The economic and political scenarios that President Obama confronts today are EXACTLY what FDR faced in 1932. Conservative politicians and columnists warned about the grave dangers of FDR’s plans. Not coincidentally, FDR was also referred to as the “Messiah”. And like Rush Limbaugh, some hoped for the failure of the New Deal just for the sake of ideology.

Contrary to the revisionist history that is being spun today, FDR’s New Deal worked. We must keep in mind that at that time, the banking system of this country was nearly bankrupt. People were starving, yes starving, in this country. The stock market had crashed 3 years prior to FDR assuming power while the Republican, Hoover, was president. Hoover inherited (a Republican favored term) and then exacerbated this disaster. The two previous presidents, Harding and Coolidge, were Republicans.

So, I am not surprised that Mr. Limbaugh and others sharing his views wish failure upon President’s Obama’s policies. Success would deal a mighty blow to conservative ideology as FDR’s success did in the 1930’s (Democrats held power uninterrupted for nearly 20 years afterward). Conservatives would be well advised to read up on this nation’s political and economic history.

Mr. Limbaugh’s hope for failure is not motivated by hatred but by fear!

The Socialist Lie (Truth)

It is obvious to every one that the global financial meltdown was caused by the out right failure of laissezfaire capitalism. The notion that there should be no government role in the economic affairs of our society (see: minarchism) has been discredited. Today, we decry the greed of Wall Street as if the CEO’s were somehow perpetuating the dirty sin of greed within a capitalist vacuum. Yet, the mechanism that promoted this phenomenon is exactly what the Republican Party has advocated since the Reagan administration. But now, many Republicans are running for “regulation cover”. Even Republican presidential nominee, John McCain has expressed that he is in favor of “some” regulation. This is totally contrary to his legislative record and past public pronouncements. A change in political position is derisively termed a flip-flop. But to flip flop on a fundamental pillar of one’s political/economic philosophy is dishonest at best, apostasy at worse. John McCain is a philosophical fraud.
The Republican administration has now decided to buy stakes in financial institutions, constituting a de-facto nationalization of the financial sector. What makes the situation the more surreal, are the new attacks on Democratic presidential hopeful Barack Obama. The McCain campaign has characterized Obama’s economic policies as “socialism”. He tries to paint Obama as a neo-liberal, social democrat of the European type (How un-American). McCain now has begun to use the code phrase, “redistribution of wealth”, as if Obama were a closet Marxist. (See this bizarre YouTube clip) Yet another thinly veiled Republican smear. With less than three weeks to go until the elections, we can only expect sharper attacks from McCain. The sadness of this prognostication is trumped by my anticipation of the laughable nature of these tactics.