In January four bigwig Wall Street CEOs were hauled before Congress to testify about the current crisis. These guys are always portrayed in the media as rich capitalist Republicans who are sucking the life out of the “little people” of America and giving their campaign contributions to Dick Cheney.
If only it were so. Here are the actual campaign contributions of two of those CEOs, in percents, as reported on newsmeat.com, a contribution tracking website: Lloyd Blankfein, chairman and CEO, Goldman, Sachs (66% of contributions went to Democrats, 2% to Republicans, 32% to special interests); Jamie Dimon, CEO, JP Morgan Chase (82% Democrats, 8% GOP, 10% special interests).
And what did Obama say recently about big bonuses for Blankfein and Dimon after fulminating against such bonuses for many in the financial industry? He said he doesn’t begrudge bonuses of $9 million for Blankfein and $17 million for Dimon. Said Obama: “I know both those guys ; they are very savvy businessmen. I, like most of the American people, don’t begrudge people success or wealth. That is part of the free- market system.”
Oh really? This is classic two-face Obama. He spouts endless trash talk in his attempt to gin up populist anger at Wall Street and banks, but then does not begrudge millions in bonuses – for his Democrat friends, that is. Obama’s party and media allies then trash wealthy people endlessly, but say nothing about rich Democrats like Stephen Spielberg and Larry Ellison. Because rich people like Ellison and Dimon and Blankfein are Friends of Obama and friends of the Democrat party who will kick back their influence and part of their wealth in campaign contributions, guaranteed.
This illustrates a perennial trick of the Democrat party which says it hates banks and Wall Street when in fact a survey of the 2008 campaign showed that a whopping 60% of all contributions from employees at the top nine Wall Street investment banking firms went to Obama. This gives the lie to the notion that Wall Street is just a 100% cabal of rich Republicans.
And since Obama and his party tilt to the radical left while John McCain was a moderate Republican, every dollar donated to the Democrats and Obama contributes to a much more extremist ideology compared to the centrist nature of much of the Republican party today. Thus those Democrat Wall Street campaign contributions are having a magnified impact in moving the nation to the left while Obama blames the same firms for the economic meltdown in a classic show of kabuki theater.
This truly is the Audacity of Nope, as in Obama implying, “Nope, I don’t know those people.” Which he says to act like a populist when in fact virtually all of the people who caused the financial collapse are Democrats and liberals, many his close friends.
This is intentionally confusing. The media are in on it too, and are covering for the Democrats and will not report the truth – that liberals control large sectors of the American financial and banking industries, and that this is why some of those institutions have gotten themselves into so much trouble.
Because lefties have turned many of our banking and financial institutions into casinos (as Mr. New York Liberal Robert Rubin ruined Citigroup with risky practices) and into agencies for social engineering, most specifically the mortgage giants Fannie Mae and Freddie Mac, which are government agencies that collapsed, bringing down Lehman Brothers and many other firms and investors.
How has this happened?
Because today all the people who go into Wall Street, into banking and into finance – including Fannie and Freddie – pass through the same university/college filter as everyone else. And they are targeted for leftist indoctrination by the professors, even in business schools, who want to turn the banking/finance industries into instruments of socialist progressivism just as they have done with the arts, the courts, the media, the public education system etc.
That is how hundreds of billions in loans were made by private banks to people with little documentation even beyond the disaster of Fannie and Freddie. Back when ‘conservatives’ ran the banks, you needed 20% down for a home loan along with a documented work history.
But what did the media and the liberal elite say about those ‘conservative’ policies?
They said that they were racist and discriminated against poor people. So they replaced sensible credit policies with easy credit. And easy credit is truly what has undermined our economy. Easy credit is more dangerous to an economy than hard-to-get credit because it leads to vastly more bad debt. And debt has been the curse of individuals and societies throughout all of time.
Easy credit fed the housing bubble which was caused by too many people buying too many houses with cheap loan dollars offered when the government (the Federal Reserve) set interest rates too low. George Washington warned specifically against the government setting wages and prices. And allowing the Fed to set interest rates in essence set the “price” of loan money.
Meanwhile most of the economic collapse was caused by Democrat policies that forced banks to make trillions in loans to poor people who could never, ever pay it back, i.e., easy credit for those least able to repay it. Those loans, after being bought, packaged and sold by Fannie and Freddie, defaulted at sky-high rates, polluting the entire financial system through mortgage-backed securities.
By the way, Fannie and Freddie have held or do hold 40% of all the bad home loans in America, 11 million mortgages.
Fannie Mae and Freddie Mac are government agencies run lock, stock and barrel by the Democrat party, which also controls much of Wall Street and many of our banks and other financial institutions. So look no further than the puritanical Democrats when seeking to place blame for the current collapse.
Please visit my website at www.nikitas3.com for more. You can print out for free my book, Right Is Right, which explains why only conservatism can maintain our freedom and prosperity.