“The Morality Brigade”: Our Democracy Needs To Be Protected From The Depredations Of Big Money
We’re still legislating and regulating private morality, while at the same time ignoring the much larger crisis of public morality in America.
In recent weeks Republican state legislators have decided to thwart the Supreme Court’s 1973 decision in “Roe v. Wade,” which gave women the right to have an abortion until the fetus is viable outside the womb, usually around 24 weeks into pregnancy.
Legislators in North Dakota passed a bill banning abortions after six weeks or after a fetal heart beat had been detected, and approved a fall referendum that would ban all abortions by defining human life as beginning with conception. Lawmakers in Arkansas have banned abortions within twelve weeks of conception.
The morality brigade worries about fetuses, but not what happens to children after they’re born. They and other conservatives have been cutting funding for child nutrition, healthcare for infants and their mothers, and schools.
The new House Republican budget gets a big chunk of its savings from programs designed to help poor kids. The budget sequester already in effect takes aim at programs like Head Start, designed to improve the life chances of disadvantaged children.
Meanwhile, the morality brigade continues to battle same-sex marriage.
Despite the Supreme Court’s willingness to consider the constitutionality of California’s ban, no one should assume a majority of the justices will strike it down. The Court could just as easily decide the issue is up to the states, or strike down California’s law while allowing other states to continue their bans.
Conservative moralists don’t want women to have control over their bodies or same-sex couples to marry, but they don’t give a hoot about billionaires taking over our democracy for personal gain or big bankers taking over our economy.
Yet these violations of public morality are far more dangerous to our society because they undermine the public trust that’s essential to both our democracy and economy.
Three years ago, at the behest of a right-wing group called “Citizen’s United,” the Supreme Court opened the floodgates to big money in politics by deciding corporations were “people” under the First Amendment.
A record $12 billion was spent on election campaigns in 2012, affecting all levels of government. Much of it came from billionaires like the Koch brothers and casino-magnate Sheldon Adelson —seeking fewer regulations, lower taxes, and weaker trade unions.
They didn’t entirely succeed but the billionaires established a beachhead for the midterm elections of 2014 and beyond.
Yet where is the morality brigade when it comes to these moves to take over our democracy?
Among the worst violators of public morality have been executives and traders on Wall Street.
Last week, JPMorgan Chase, the nation’s biggest bank, was found to have misled its shareholders and the public about its $6 billion “London Whale” losses in 2012.
This is the same JPMorgan that’s lead the charge against the Dodd-Frank Act, designed to protect the public from another Wall Street meltdown and taxpayer-funded bailout.
Lobbyists for the giant banks have been systematically taking the teeth out of Dodd-Frank, leaving nothing but the gums.
The so-called “Volcker Rule,” intended to prevent the banks from making risky bets with federally-insured commercial deposits – itself a watered-down version of the old Glass-Steagall Act – still hasn’t seen the light of day.
Last week, Republicans and Democrats on the House Agriculture Committee passed bills to weaken Dodd-Frank – expanding exemptions and allowing banks that do their derivative trading in other countries (i.e., JPMorgan) to avoid the new rules altogether.
Meanwhile, House Republicans voted to repeal the Dodd-Frank Act in its entirety, as part of their budget plan.
And still no major Wall Street executives have been held accountable for the wild betting that led to the near meltdown in 2008. Attorney General Eric Holder says the big banks are too big to prosecute.
Why doesn’t the morality brigade complain about the rampant greed on the Street that’s already brought the economy to its knees, wiping out the savings of millions of Americans and subjecting countless others to joblessness and insecurity — and seems set on doing it again?
What people do in their bedrooms shouldn’t be the public’s business. Women should have rights over their own bodies. Same-sex couples should be allowed to marry.
But what powerful people do in their boardrooms is the public’s business. Our democracy needs to be protected from the depredations of big money. Our economy needs to be guarded against the excesses of too-big-to-fail banks.
By: Robert Reich, The Robert Reich Blog, March 25, 2013
“A Lobbyist By Any Other Name”: Scott Brown Makes It Official With Wall Street
Former Massachusetts Sen. Scott Brown announced today that he’s joining the government affairs department of a giant multinational law firm with major Wall Street clients.
“Brown will focus his practice on business and governmental affairs as they relate to the financial services industry as well as on commercial real estate matters,” the firm, Nixon Peabody LLC, said in a press release. Brown will not be a lobbyist, the firm said, but whether he meets the specific legal requirements to be a registered lobbyist or not, it’s clear that he will draw on his contacts and status to help advance clients’ agenda in government. “He can offer many types of legal services to his broad network of contacts,” the firm said.
The head of the Nixon Peabody’s Government Relations practice is ex-New York congressman Tom Reynolds, who now lobbies for Goldman Sachs on “[f]inancial services regulatory and tax issues.” According to the firm, Brown will also work with fellow Massachusettsian Jim Vallee, who abruptly left his job as majority leader of the state House of Representatives last year after getting hired by the firm.
Nixon Peabody contributed $2,500 to a PAC associated with Brown’s reelection campaign last year, the most it gave to any candidate in the country (tied only with a Democratic House member).
Brown was a reliable ally of the financial services industry in the Senate, where he helped water down the Dodd-Frank Wall Street reform law and influence other bills of interest to banks. It was no surprise, considering how much money they threw at his campaigns. The Securities and Investment sector was the top industry donor to Brown’s 2012 campaign, giving him $3.2 million, on top of the millions he received from the insurance, real estate and finance industries, according to Open Secrets.
The move, however, is a blow to Massachusetts Republicans, who see Brown as their best — and possibly only — hope of retaking a Senate seat or winning the governor’s mansion. Perhaps Brown didn’t think he could win or perhaps he was more interested in cashing in.
It’s notable that Massachusetts voters have replaced Brown, who is now almost literally a Wall Street lobbyist, with Elizabeth Warren, one of the most outspoken critics of the finance industry in the country.
By: Alex Seitz-Wald, Salon, March 11, 2013
“Who’s Behind “Fix The Debt”?: Just Another Corporate Fraud Using A Collection Of Former Congress Members
Look out… the “fixers” are coming.
Top corporate chieftains and Wall Street gamblers want to tell Washington how to fix our national debt, so they’ve created a front group called “Fix the Debt” to push their agenda. Unfortunately, they’re using “fix” in the same way your veterinarian uses it — their core demand is for Washington to spay Social Security, castrate Medicare and geld Medicaid.
Who’s behind this piece of crude surgery on the retirement and health programs that most Americans count on? Pete Peterson, for one. For years, this Wall Street billionaire, who amassed his fortune as honcho of a private equity outfit named Blackstone, has run a political sideshow demanding that the federal budget be balanced on the backs of the middle class and the poor. Fix the Debt is just his latest war whoop, organized by a corporate “think tank” he funds.
This time, Peterson rallied some 95 CEOs to his plutocratic crusade, including the likes of General Electric boss Jeffrey Immelt and Honeywell chief David Cote. (Note: Both Immelt and Cote, while cheering for cuts to programs that we working Americans pay into, are themselves taking money hand over fist from taxpayers in terms of military contracts and corporate subsidies for their corporations. But they aren’t concerned about defense spending and ending subsidies that benefit their bottom line.)
All of them are not merely “One Percenters,” but the top one-tenth of One Percenters. Of course, a group of pampered, narcissistic billionaires would not make a credible sales argument for this dirty work. Having elites piously preach austerity to the masses would be as ineffective as having Col. Sanders invite a flock of chickens to Sunday dinner.
Presented with this image problem, Fix the Debt needed to give their campaign a more benign image, and Peterson and Co. followed a tried-and-true formula of political deceit. As described by Mary Bottari of the Center for Media and Democracy, the trick is to “gather a bipartisan group of ‘serious’ men, hire a PR firm to place them on TV shows, blanket the media with talk of a looming crisis and pretend to have grassroots support.”
In this case, a collection of former member of Congress, each of whom had a reputation for being moderate to the extreme, were recruited to give the campaign a sheen of high public purpose. Backed by a $40 million budget put up by the corporate interests, these “elder statesmen” are now the face of Fix the Debt, doing dozens of TV interviews, hosting breakfast sessions with members of Congress, making speeches about “mutual sacrifice” and generally going all-out to sell the financial elite’s snake oil.
But wait — being an elder does not automatically mean you’re a statesman. Let’s peek at the résumés of these so-called public-spirited fixers of the debt. Start with Jim McCrery, a former GOP lawmaker from Louisiana. While urging Congress to cut people’s programs, he’s also a top-paid lobbyist pushing Congress to give more tax subsidies to America’s richest people and to such multinational corporations as General Electric.
Former Democratic senator Sam Nunn is a fixer, too — but he’s also paid $300,000 a year to be on the board of directors for General Electric. Likewise, Democrat Erskine Bowles, a co-founder of the fixers’ front group, is on the board of Morgan Stanley, drawing $345,000 a year. And former GOP senator Judd Gregg takes about a million bucks a year as advisor to and board member for such giants as Goldman Sachs and Honeywell.
Fix the Debt is nothing but another corporate fraud. I wouldn’t let this gang of fixers touch my dog, much less my Social Security!
By: Jim Hightower, The National Memo, January 16, 2013
“She Will Be Heard”: Elizabeth Warren Knows Where A Lot Of The Bodies Are Buried, Puts AIG On Notice
When new members arrive in the US Senate, they are supposed to take a seat on a back bench and listen quietly for a couple of years. That is not in Elizabeth Warren’s nature. She had been a US Senator from Massachusetts for only about a week when she broke with etiquette. Warren was outraged that AIG investors were urging the insurance giant’s directors to join them in a lawsuit against the federal government, claiming damages from the federal bailout of their company during the financial crisis.
The freshman senator sent out a tartly worded statement to her many fans and followers. “AIG should thank American taxpayers for their help—not bite the hand that fed them,” Warren wrote. The message swept the blogosphere like wild fire. The AIG directors folded the next day. It is perhaps mistaken to assume her voice alone stopped this corporate ingratitude in its tracks, but that may well be the message absorbed in Washington politics. Try not to provoke this new senator, especially on the stuff she knows a lot about. She might bite back.
Indeed, Senator Warren has renewed the accusation about the AIG bailout she had made a year ago during her Senate campaign. While the Federal Reserve pumped a fortune ($182 billion) into saving AIG from failure and thereby protected Wall Street megabanks from huge losses, the Treasury Department was arranging its own “sleuth bailout,” as Warren charged. Treasury granted an exception to the standard tax rules that delivered billions more to AIG in the form of a special tax break.
The company was effectively relieved from paying any taxes despite the fact that it has returned to profitability and repaid the Federal Reserve loans. The senator called on her supporters to join a campaign to end AIG’s special tax break. “Enough is enough…,” she wrote. “These special tax giveaways give AIG a competitive advantage over its competitors—all the while inflating AIG’s profit numbers and compensation for executives.”
What separates Elizabeth Warren from your typical newcomer to Congress—in addition to the rare gutsiness—is her deep knowledge of banking and finance. For many years, while she taught at the Harvard law school, Warren was a lonely crusader, exposing predatory bankers and the cruel terms by which millions of families were driven into bankruptcy.
Her reputation led to appointment as the chair of the Congressional Oversight Panel that investigated the AIG bailout in great depth. The COP final report is itself an extraordinary document of government—clear and concise, an unflinching analysis that describes exactly how the Federal Reserve and the Treasury failed to serve the public interest in their incestuous bailout of Wall Street titans.
“The AIG rescue demonstrated that Treasury and the Federal Reserve would commit taxpayers to pay any price and bear any burden to prevent the collapse of America’s largest financial institutions,” Warren’s report concluded.
She will be heard. The new senator will serve on the Senate banking committee and she already knows where a lot of the bodies are buried. I suspect some of those disgruntled AIG investors are wishing they had kept their whining to themselves.
By: William Greider, The Nation, January 10, 2013
“Seriously? You’re Going To Block A Tax Cut?”: The Only One Relevant Question For Republicans To Ask
The Republicans are trying hard to make it look like they’re the ones driving the Fiscal Cliff negotiations, but Wall Street isn’t buying it.
No matter how many times House Speaker John Boehner says the Democrats’ opening offer is ridiculous, for example, the more clued-in pundits (Politico’s Ben White, for example) and investors stick to their guns:
The Democrats have won. Taxes on the highest earning Americans are going up.
Given the reality of the situation, in fact, the only real question for Republicans is this:
Seriously? You’re going to block a tax cut?
Because if the Republicans really do refuse to come to the table in the next month, that’s exactly what they will be doing.
On January 1, by law, tax rates are going to go up and government spending is going to get cut.
The Republicans can’t stop that from happening by being obstructionist. They can only stop it by compromising.
The Obama Administration’s proposal cuts taxes for all but the highest earning Americans.
If the Republicans “just say no” to that proposal, they will be rejecting a tax cut.
Given that the main economic plank of the Republican party is still cutting taxes, there’s no way they’re going to do that.
So you can go ahead and tune out the many media appearances of John Boehner, et al. This one’s over. There’s no way the Republicans are going to block a tax cut.
By: Henry Blodgett, Business Insider, December 2, 2012
Share This Blog
Unknown Feed- An error has occurred; the feed is probably down. Try again later.
mykeystrokes.com 