Paul Krugman wrote an article today framing the argument for Financial Regulation Legislation. Krugman does a nice job showing the need for reform, giving examples why and so forth. But something in the article rubbed me the wrong way.
“But won’t opponents of reform fear being cast as allies of the bad guys (which they are)? Maybe not. Back in January, Frank Luntz, the G.O.P. strategist, circulated a memo on how to oppose financial reform. His key idea was that Republicans should claim that up is down – that reform legislation is a “big bank bailout bill,” rather than a set of restrictions on the banks.
Sure enough, a few days ago Senator Richard Shelby of Alabama, in a letter attacking the Dodd bill, claimed that an essential part of reform – tougher oversight of large, systemically important financial companies – is actually a bailout, because “The market will view these firms as being ‘too big to fail’ and implicitly backed by the government.” Um, senator, the market already views those firms as having implicit government backing, because they do: whatever people like Mr. Shelby may say now, in any future crisis those firms will be rescued, whichever party is in power.
The only question is whether we’re going to regulate bankers so that they don’t abuse the privilege of government backing. And it’s that regulation – not future bailouts – that reform opponents are trying to block.”
Where is the Tea Party on this? Where is Ron Paul? Does anybody see what is going on here? Or are they too busy cleaning their guns for the Beck Revolution that is going to stop the actions of our Socialist President? Good God wake up. The GOP is in “No” mode. Because it is working, they are polling well. But what about us? What about the inflation of the next bubble, and its subsequent explosion? Look I loved President Reagan like the next guy, but deregulating the banking industry proved to be not his finest hour. It turns out, it was like leaving the cookie jar in my 5 year olds bedroom.
Come on Tea Party, stop listening to the Dick Armey’s of the world, and start looking at who the GOP is consulting when making policy decisions that affect the people. A fat little red faced pollster is driving policy for the party who can’t wait to absorb you when you fail as a movement, and you will fail if you continue to believe everything that is said on Fox News.
Your movement has so much potential, but I fear you’re unbridled anger at the White House over Health Care, which really is very much like the GOP counter plan devised by the Conservative Heritage Foundation in 1993-94, and Mitt Romney’s Massachusetts’s Health Care plan, is blinding your movement.
The GOP in my opinion is playing your movement like a fiddle, they have already enraged you over health care, and they plan to tell you that financial regulation is just another bailout for Wall Street. Will you again fall in the same trap? Blindly believing a party that tolerates you because they are out of power, hoping for your vote in November.
Come on Tea Party!