Round One - Socialism Loses, 228-205

If anyone ever thought that national politics is not completely rigged, I predict that the next two weeks should decisively disabuse them of that illusion. This country is run by bankers, for bankers. "We the people" were solidly and overwhelmingly opposed to this legislation, probably as has never before happened in the last hundred years. But it was barely defeated. Congressional offices were flooded with angry calls, letters and emails protesting the bailout. They knew their constituents didn't want it, but almost half voted for it anyway. What made them decide whether they should vote for or against it? Everyone who voted against it is facing a close race in one month. They know if they vote for it they will lose, because their constituents don't like it. Everyone who voted for it is not facing a close race in one month. They voted for it in full knowledge of the fact that their constituents overwhelmingly oppose it. Yet they claim to represent their constituents. They in fact represent the power elites and their financial interests. Starting yesterday, the members who voted against it will be overwhelmed with bribes, threats, promises of huge campaign contributions and huge salaries for private sector jobs if they lose their elections in one month due to their having flipped off their constituents in full view of everyone. The bailout will pass. It was too close. The House is the most "democratic" of the branches of government. The Senate cares far less, and the Executive and the Supreme Court don't care whatsoever what voters think. The Boston Globe reports:

"But could there be a simpler explanation for the 228-205 defeat -- the power of money?

A nonpartisan watchdog group calculated that US House members who voted yes received 51 percent more in campaign contributions from the finance, insurance, and real estate sector in their congressional careers than those who opposed the emergency legislation.

The Center for Responsive Politics found that the gap was particularly noticeable among House Democrats. In this election cycle, Democrats backing the bailout proposal collected 78 percent more from the financial sector than those who opposed it, and 88 percent more over their careers."

Surprise, surprise!

A Nation of Pick-pockets

"The Bush administration used the 9/11 attacks as an excuse for the biggest increase in military spending and police power since WWII. Now it is using the market correction (caused largely by its own interventions in the credit industry) to expand state power in the financial area. Half of all Americans pay their mortgages, directly or indirectly, to the federal government. Most older Americans depend, in whole or in part, on money from the government to live. Now, Americans depend on the government to keep house prices up – by subsidizing demand for mortgage backed securities – and to keep up stock and bond prices too – by buying up Wall Street’s mistakes. Homeowners want protection from their own bad judgment. Investors want protection from Mr. Market. The old want free medicine. The young want free schooling. The unemployed want jobs and money. The rich want politicians in their pockets. The poor want the rich’s money. Investors, homeowners, pensioners – is there anyone left in America who isn’t trying to pick someone else’s pocket?" - Bill Bonner, The Daily Reckoning