Obama’s New Populist Fakery
The seeds for President 
Obama’s demagogic press conference on Thursday were planted last summer 
when he assigned his right-wing Committee of 13 the role of resolving 
the obvious and inevitable Congressional budget standoff by forging an 
anti-labor policy that cuts Social Security, Medicare and Medicaid, and 
uses the savings to bail out banks from even more loans that will go bad
 as a result of the IMF-style austerity program that Democrats and 
Republicans alike have agreed to back.
The problem facing Obama is obvious enough: How can 
he hold the support of moderates and independents (or as Fox News calls 
them, socialists and anti-capitalists), students and labor, minorities 
and others who campaigned so heavily for him in 2008? He has 
double-crossed them – smoothly, with a gentle smile and patronizing 
pattern talk, but with an iron determination to hand federal monetary 
and tax policy over to his largest campaign contributors: Wall Street 
and assorted special interests. The Democratic Party’s Rubinomics
 and Clintonomics core operators, plus smooth Bush Administration 
holdovers such as Tim Geithner, not to mention quasi-Cheney factotums in
 the Justice Department.
President Obama’s solution has been to do what any 
political demagogue does: Come out with loud populist campaign speeches 
that have no chance of becoming the law of the land, while more  quietly
 giving his campaign contributors what they’ve paid him for: giveaways 
to Wall Street, tax cuts for the wealthy (euphemized as tax “exemptions”
 and mark-to-model accounting, plus an agreement to count “income” as 
“capital gains” taxed at a much lower rate).
So here’s the deal the Democratic leadership has made
 with the Republicans. The Republicans will run someone from their 
present gamut of guaranteed losers, enabling. Obama to run as the “voice
 of reason,” as if this somehow is Middle America. This will throw the 
2012 election his way for a second term if he adopts their program – a 
set of rules paid for by the leading campaign contributors to both 
parties.
President Obama’s policies have not been the voice of
 reason. They are even further to the right than George W. Bush could 
have achieved. At least a Republican president would have confronted a 
Democratic Congress blocking the kind of program that Obama has rammed 
through. But the Democrats seem stymied when it comes to standing up to a
 president who ran as a Democrat rather than the Tea Partier he seems to
 be so close to in his ideology.
So here’s where the Committee of 13 comes into play. 
Given (1) the agreement that if the Republicans and Democrats do NOT 
agree on  Obama’s dead-on-arrival “job-creation” ploy, and (2) 
Republican House Leader Boehner’s statement that his party will reject 
the populist rhetoric that President Obama is voicing these days, then 
(3) the Committee will wield its ax to cut federal social spending in 
keeping with its professed ideology.
President Obama signaled this long in advance, at the
 outset of his administration when he appointed his Deficit Reduction 
Commission headed by former Republican Sen. Simpson and Rubinomics 
advisor to the Clinton administration Bowles to recommend how to cut 
federal social spending while giving even more money away to Wall 
Street. He confirmed suspicions of a sellout by reappointing bank 
lobbyist Tim Geithner to the Treasury, and tunnel-visioned Ben Bernanke 
as head of the Federal Reserve Board.
Yet on Wednesday, October 4, the president tried to 
represent the OccupyWallStreet movement as support for his efforts. He 
pretended to endorse a pro-consumer regulator to limit bank fraud, as if
 he had not dumped Elizabeth Warren on the advice of Geithner – who 
seems to be settling into the role of bagman for campaign contributors 
from Wall Street.
Can President Obama get away with it? Can he jump in 
front of the parade and represent himself as a friend of labor and 
consumers while his designated appointees support Wall Street and his 
Committee of 13 is waiting in the wings to perform its designated 
function of guillotining Social Security?
When I visited the OccupyWallStreet site on 
Wednesday, it was clear that the disgust with the political system went 
so deep that there is no single set of demands that can fix a system so 
fundamentally broken and dysfunctional. One can’t paste-up a regime that
 is impoverishing the economy, accelerating foreclosures, pushing state 
and city budgets further into deficit and forcing cuts in social 
spending.
The situation is much like that from Iceland to 
Greece: Governments no longer represent the people. They represent 
predatory financial interests that are impoverishing the economy. This 
is not democracy. It is financial oligarchy. And oligarchies do not give
 their victims a voice.
So the great question is, where do we go from here? 
There’s no solvable path within the way that the economy and the 
political system is structured these days. Any attempt to come up with a
 neat “fix-it” plan can only be suggesting bandages for what looks like a
 fatal political-economic wound.
The Democrats are as much a part of the septic 
disease as the Republicans. Other countries face a similar problem. The 
Social Democratic regime in Iceland is acting as the party of bankers, 
and its government’s approval rating has fallen to 12 percent. But they 
refuse to step down. So earlier last week, voters brought steel oil 
drums to their own Occupation outside the Althing and banged when the 
Prime Minister started to speak, to drown out her advocacy of the 
bankers (and foreign vulture bankers at that!)
Likewise in Greece, the demonstrators are showing 
foreign bank interests that any agreement the European Central Bank 
makes to bail out French and German bondholders at the cost of 
increasing taxes on Greek labor (but not Greek property and wealth) 
cannot be viewed as democratically entered into. Hence, any debts that 
are claimed, and any real estate or public enterprises given sold off to
 the creditor powers under distress conditions, can be reversed once 
voters are given a democratic voice in whether to impose a decade of 
poverty on the country and force emigration.
That is the spirit of civil disobedience that is 
growing in this country. It is a quandary – that is, a problem with no 
solution. 
All that one can do under such conditions is to describe the 
disease and its symptoms. The cure will follow logically from the 
diagnosis. But the role of OccupyWallStreet is to diagnose the financial
 polarization and corruption of the political process that extends right
 into the Supreme Court, the Presidency, and  Obama’s soon-to-be 
notorious Committee of 13 once the happy-smoke settles from his present 
pretensions.


 
 
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