Saturday, September 6, 2008

Don't forget John McCan't's participation in the S & L scandal where the taxpayers had to bail out an industry

Here's a little bit of history that should be dredged up.

It's about the Keating Five.

For those of you unfamiliar with the S & L Scandal from the 1980's, John McCain was implicated for exercising poor judgment for helping a large campaign contributor with bank regulators. Charles Keating's bank subsequently failed and cost investors billions. (This is the problem with de-regulation ideologues--some regulation is good).

Charles Keating was the poster child for the S & L scandal. He gave McCain hundreds of thousands of dollars in campaign contributions and flew McCain around on a private jet. (So much for McCain understanding the common man...I know I fly around on a private jet all the time too.)

Many blame the whole mess on the de-regulation that occurred when Reagan came into office. Many who worship at the Church of Reaganism dismiss the impact of de-regulation, but it shouldn't be ignored so handily.

John McCain's good buddy, Phil Gramm, is a big proponent of de-regulation and McCain still advocates many of the same policies that Phil Gramm (who said recently that "the nation is a bunch of whiners" ). As a side note: Since the Republicans came to power, my personal wealth has fallen and my income stream has dried up. So, yes, I'm a whiner, but with good reason.

The problem with the Reagan de-regulation dogma comes down to this: Absolutist de-regulation results in debacles like the S & L scandal and the banking and credit crunches we're experiencing now. The short-term benefits of high profits are more than offset by the economic bubbles that inevitably burst afterwards. Regulation, is like a spice: just the right amount improves the dish, while too little keeps it unpalatable, whereas too much ruins it. Balance is key and to take the ideologues overly simplistic, absolutist view is to ignore the real complexity of modern economics.

McCain has adopted the Reaganomics view of Phil Gramm, much to the detriment of America. He cannot claim to put country first when policies he advocates harm more than they help. McCain's history of siding with the wealthy aristocracy is long. For him to paint himself as an everyman doesn't pass the smell test.

Look to the past and you'll see who gets McCain's help: Those with money.

Ask yourself: Do I have money? If you don't, then McCain's not you man.

Only a fool votes for someone who pays lip-service to values, while pushing policies that harm those stupid enough to believe the words over the result.


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