Archive for the ‘nancy pelosi’ Category
the gloom and doom obama administration should probably consider no longer using the phrase ‘since the great depression.’ and switch to ‘since 1982.’ it would be a much better way to spin the current financial situation to the media.
but if the obama administration wants to make the comparisons. here we go. during the early 1930s, the hoover administration signed into law the smoot-hawley act, which was essentially a protectionist move to prop up american companies and jobs (a bit like the buy american bits that are in the current stimulus package). tariffs were increased on imports coming into the u.s. the world in turn increased tariffs on american exports. this in turn pushed the u.s. and the rest of the world deeper into a depression.
next the hoover administration raised taxes at the beginning of the depression in the hope of balancing the budget. in barack obama’s faux stat of the union address –the address to both houses of congress, obama laid out his plan to tax individuals who make over 200K and couples who jointly make over 250K. raising the current tax rate to somewhere around 39%. and not allowing the same people to deduct their donations to charity. given that charities are where struggling americans have had to turn to for food, clothing, and additional help, this bit flies in the face of reason.
the primary differenceds (thus far) between the two administrations is that, well, herbert hoover believed in the bootstrap concept and that charities should help bail out americans. that too was a disaster. the stimulus package that barack obama has signed has some good stuff in it. but the bit about giving $10M to one of nancy pelosi’s pet projects to save some obscure mouse that lives along the coast of san francsico should not be in this package.
nancy pelosi took the time to bash george w. bush prior to the vote on the $700B wall street bailout plan that was before the u.s. house of representatives today. in the video linked to above, she rails against ‘no regulation, no supervision, no discipline,’ presumably of the u.s. banking system and not the iraq war.
but the reality is this, nancy pelosi voted to repeal the glass-steagall act in 1999, which regulated the u.s. banking system as a response to the financial fallout of the great depression. glass-steagall stood the country in good stead for over 70 years.
the move toward bank deregulation and less supervision in the 1990s is believed by many to be at the heart of this global financial crisis. pelosi’s beloved bill clinton, whom she praised in her ill-timed speech, signed the damn thing. click here to see how pelosi voted on the financial modernization act which is described in the summary of the bill as: ‘an act to enhance competition in the financial services industry by providing a prudential framework for the affiliation of banks, securities firms, and other financial service providers, and for other purposes.’ written by republican phil gramm, the bill got a lot of yeas. only a handful of democratic senators voted against it, including california’s barbara boxer and only one republican senator voted against it. while john mccain didn’t vote. joe biden voted yes. barack obama had the fortune of being in the illinois state senate at the time.
at the moment loads of people are fingering alan greenspan. but a lot of the press has failed to point the finger at the 1999 repeal of the glass-steagal act. according to pbs “in 1933, senator carter glass (D-Va.) and congressman he enry steagall (D-Ala.) introduce the historic legislation that bears their name, seeking to limit the conflicts of interest created when commercial banks are permitted to underwrite stocks or bonds.” it stood in good stead (albeit with a bit of tinkering) for 75 years until congress and bill clinton repealed it in 1999 following hundreds of millions of dollars worth of lobbying efforts by banks. under the gise of making the u.s. banking industry more competitive, the financial services modernization act passed by an overwhelmingly majority in congress and was signed by bill clinton.
but the sponsor of the bill, phil gramm was advising john mccain at some point during his campaign.