Friday, December 11, 2009

I was Wrong! Social Issues Aside, Both Democrats and Republicans in Congress take their Orders from Big Business. UPDATED!

For years I thought the fringe left wingers were crazy for accusing Democrats of being no different than Republicans. I can't tell you how many times I said, "there's a big difference." But take away the social issues, when it comes to serving the people or corporate lobbyists, the latter wins every time. The same cannot be said for France and the U.K., as they try to avoid another great recession. Can you blame them?
Bloomberg- President Nicolas Sarkozy said France will join the U.K. in introducing a levy on bonuses, saying they’d “show the way” on taxing the financial sector. He said “the logic” of taxing bonuses is “unavoidable.” Chancellor of the ExchequerAlistair Darling said all banks in the U.K. must pay a levy of 50 percent on discretionary bonuses of more than $40,000 awarded between now and April.
It sounds like the U.K. and France are taking decisive action. But the country that caused the global free fall still believes that the banking industry, who is still doling out huge bonuses, will "constrain" themselves after a little Geithner criticism:
Treasury Secretary Timothy Geithner on Dec. 4 criticized the record bonuses set to be paid by big banks this year. “We want to see fundamental constraints on how senior executives are paid at these institutions.”
So not only will we not regulate one of the major causes of the last economic crash, derivatives, or create a consumer protection agency (still to be determined as of this writing but there is a Democratic move to kill it), but we won't adopt policies put in place by France's conservative President Sarkozy to tax huge bonuses.

At this point, I don't even think big business needs either party in congress, because as it stands now, the decisions are made and written by those who own our former democracy- our all powerful corporate Americans.
UPDATE Dec 12, 2009: Dems End up Regulating "Free Market."

AP: Democrats said the broad legislation would help address problems that led to last year's calamitous financial crisis. Republicans argued that it overreached and would institutionalize bailouts for the financial industry.

"Let's put it to the American people: Do you prefer the Republican position of doing literally nothing to rein in these abuses or should we try to rein them in?" Rep. Barney Frank, who led the Democratic effort on the bill, asked moments before the final vote.
Republicans cast the regulatory bill as a burden to business and argued that it would continue to protect companies considered too big to fail.

Democrats accused Republicans of doing the bidding of big banks, pointing to a meeting in the Capitol Visitors' Center this week between GOP leaders and about 100 lobbyists. Even the White House took a swipe at House Republicans. "I didn't expect them to help after a meeting with 100 lobbyists for the financial industry," White House Chief of Staff Rahm Emanuel said in an interview. "I'm not surprised they are opposed to it. The lobbyists are trying to gut this."

Consumer advocates cheered the survival of the consumer protection agency but said the overall legislation fell short, especially in the regulation of complex investment instruments known as derivatives.

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