It could be the slogan that was, “let capitalists be capitalists.” It likely will be again, soon enough. But the “bailout” is coming soon with restrictions that Wall Street and others haven’t seen for awhile. Don’t hold your breath that the pending legislation will reverse much of the effects of deregulatory fervor that swept the Congress and the White House over the last 20 years. Don’t expect any significant reregulation either. But it is interesting to note that to the extent Dubya had an ambition to achieve more than his father, he will have succeeded in ways he never imagined. George H. W. Bush left office with a huge deficit and an economy in the doldrums. Dubya came into office in 2001 with a budget surplus and a reduced national debt; he will leave with an economy in shambles, a gigantic deficit and a major increase in the national debt. Tax cuts, increased spending without revenues to support it and “letting capitalists be capitalists” is demonstrably not the answer to improve the American economy.
Tags: bailout, Bush, capitalists, national debt, tax cuts, trickle-down economics, Wall Street greed
November 15th, 2008 at 9:48 pm
It’s time that we as a people realize that we have been conned by politicians for generations. They have been feeding us lies and myths and we have not only believed them, but we repeat them, spreading them to others.
Myth #1: Deregulation is at the root of the financial problems the nation is facing.
Reality: What deregulation? There is a very big difference between a free country where every individual can carve out their own future and one in which giant corporations work with government to achieve their own objectives. Don’t believe me. Try driving up to Canada or down to Mexico and buy medication for resale at bargain basement prices to Americans that need them. Try starting almost any business without getting tangled up in a web of regulations. Try offering your neighbors haircuts for two bucks without a license. Try putting up a tool shed in your yard without a building permit.
Now let’s talk about deregulation on a massive scale. All these financial firms were required to meet a wide range of legal requirements to do business. Now that they’ve screwed up, American taxpayers are going to prop them up so that can get back to work. You’re kidding, right? That’s what you call deregulation?
Real deregulation means that you can do anything you want as long as you don’t resort to force or fraud to gain your own ends. Cheat someone and you go to jail. Cause a loss due to incompetence or carelessness and expect to have your assets seized through legal action.
Real deregulation means no one is too big to fail. What’s good for America may not be good for General Motors. So what? If General Motors fails there will be a lot of smart, experienced automotive brains out of work and a lot of manufacturing facilities available at auction for bargain basement prices. What an opportunity for America’s next Henry Ford.