Wall Street Dems vs. States & Elizabeth Warren

by: David Sirota

Fri Oct 16, 2009 at 08:57


If you weren't alarmed enough by the news that House Democrats just exempted 98 percent of banks from major regulatory oversight,* then check out this ongoing story about an effort to destroy states' ability to enforce the most basic laws against the most disgusting kinds of financial profiteering.

Earlier this week, I reviewed how the Wall Street-funded New Democratic Caucus is trying to flip President Obama's financial reform package on its head. Specifically, these political harlots are attempting to take a proposal to set federal regulatory minimums that states can go above and beyond and make it a federal maximum that states cannot go above. It's a disgusting and blatant attempt to usurp state power on behalf of banking interests - the same banking interests, by the way, that are more than happy to fight for "states rights" when states rights means less regulation (see, for instance, how the financial industry incorporates itself in states like Delaware and South Dakota where regulations are almost non-existent).

The good news is that state officials are sounding the alarm. Illinois Attorney General Lisa Madigan, for instance, has lashed out at Rep. Melissa Bean (D). Meanwhile, the National Governor's Association issued a letter saying the Wall Street Democrats' proposal would destroy states' ability to regulate predatory lending and credit card abuse.

The bad news is that these Wall Street Dems are so intent on going to bat for their lobbyist friends that they have resorted to misrepresenting Harvard professor Elizabeth Warren. As Mike Elk at the Campaign for America's Future shows, the Wall Street Democrats are pretending their efforts are backed by Warren, one of the most respected progressive voices on regulatory reform, even though Warren opposes what they're trying to do.

This is how desperate these shills are. They understand that their attempt to turn Wall Street reform into a Wall Street regulatory giveaway would be wildly unpopular in the public sphere - so they are trying to couch it as a progressive measure by misrepresenting a major progressive voice.

* NOTE: I ought to add that this may not be as awful as it seems, in the sense that the new regulatory agency will still have jurisdiction over the big banks, which, of course, were the big problem (as opposed to the small community banks).
David Sirota :: Wall Street Dems vs. States & Elizabeth Warren

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Wall Street Dems vs. States & Elizabeth Warren | 9 comments
That's the standard pattern by now (0.00 / 0)
Just like with health care, the disaster capitalist judo is to take the idea of reform and turn it to reactionary, predatory ends.

As we've seen, the Dem leadership is just as ardent in its corporatism as the Reps.

 

http://attempter.wordpress.com

Name Names (0.00 / 0)
David
It's necessary for you to give us names.   2010 is not that far away.  Those of us who vote need for you and other progressive writers to give us the names we need to remember. 11/02/2010 is not that far away.
It would be a lot simpler (0.00 / 0)
to list the names of the good guys. Bernie Sanders, Marcy Kaptur...

I mean, remember before TARP when we thought Barney Frank was OK? Happy, innocent days....  

I am in earnest -- I will not equivocate -- I will not excuse -- I will not retreat a single inch -- AND I WILL BE HEARD.  

[ Parent ]
"name names" -- the list is too long. (0.00 / 0)
The membership list of the DLCer "New Democrat Coalition" is an obvious place to start, along with the Blue Dogs -- but there are also many unaffiliated fellow travelers in the banksters' pockets: Frank, Dodd, Schumer, Pelosi, Hoyer, the vast majority of WH staffers and the cabinet, etc.

lambert makes the point that even "Progressive Caucus" members like Frank serve the banksters when push comes to shove. Remember Pelosi is a former chair of that caucus.

And, remember the votes on two key pieces of legislation from 1999 and 2000, championed by DLCers Clinton/Gore and their neoliberal posse (now Obama's crew) that did away with New Deal principles of reasonably sane regulation: the Financial Services Modernization Act, 90-8 in the Senate, 362-57 in the House; and the Commodity Futures Modernization Act, unanimous consent in the Senate, 292-60 in the House.

[ Parent ]
Thanks for translating... (0.00 / 0)
... my cryptic comment.

* * *

As far as the the process by which the government was dismantled and the country turned over to the banksters, I agree that the affair was thoroughly bipartisan. I'd go back to the 1970s, when real wages flattened, for the start date of the process, however.  

I am in earnest -- I will not equivocate -- I will not excuse -- I will not retreat a single inch -- AND I WILL BE HEARD.  

[ Parent ]
"I'd go back to the 1970s, when real wages flattened..." (0.00 / 0)
Decoupling wages from productivity, the ballooning of exec compensation, decline of the minimum wage, Big Labor execs giveaways of worker wages & benefits to industry...the 70s were certainly a horror show (although union membership peaked in 1955, and corporate & capital gains & top marginal income tax rates peaked under Eisenhower, so the 60s were no picnic either).

My specifying those two Clinton/Gore abominations (there were many more) was kind of a response to the "name names" plea. I probably should have posted links to the roll calls, and to the membership lists of DLCers and Blue Dogs...when I get a few minutes I will.

[ Parent ]
"Wall Street Dems"... (0.00 / 0)
Isn't that redundant?

I am in earnest -- I will not equivocate -- I will not excuse -- I will not retreat a single inch -- AND I WILL BE HEARD.  
Three Supposed Colorado Progressives are Member of NDC (0.00 / 0)
At the risk of getting too parochial, David, Perlmutter, DeGette and, yes, even Polis are members of the NDC.  Perlmutter is on the Financial Services Committee.  Next time they are on your radio show, maybe you should ask them why they are members of the NDC and none, except Polis, are a members of the Progressive Causus.  Hell, I would like to ask Polis how he could be a member of both caucuses.
Perlmutter signed the Bean Letter (0.00 / 0)
Upon further investigation, I've discovered that Perlmutter signed the Bean letter.  What's a voter to do!
[ Parent ]
Wall Street Dems vs. States & Elizabeth Warren | 9 comments
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