William Greider never really went away, but I find that I read his great political and economic screeds much more frequently when he was writing for Rolling Stone than I do now that he has landed at The Nation. Blame it on my slacker socialization -- music always trumps politics. I only supported Greenpeace in the 1980s because Michael Stipe said I should.
At any rate, Greider showed up in the pages of the Washington Post this morning and -- as usual ("usual" meaning "just like when he was writing about Bill Clinton's nascent campaign for the presidency") -- he makes some astute observations.
How things have changed since Election Day. It takes a Bill Greider to remind us of the very thing Barack Obama used to coast his way to a historic victory.
Something fundamental has been altered in American politics. Encouraged
by Obama's message of hope, agitated by darkening economic prospects,
many people have thrown off sullen passivity and are trying to reclaim
their role as citizens. This disturbs the routines of Washington but
has great potential for restoring a functioning democracy. Timely
intervention by the people could save the country from some truly bad
ideas now circulating in Washington and on Wall Street. Ideas that
could lead to the creation of a corporate state, legitimized by
government and financed by everyone else. Once people understand the
concept, expect a lot more outrage.
Obama rode the change train into office. It's less clear today whether he knows how to maintain a firm grip on the reins of that change as it shifts from hope for the future to a whole lotta angst and frustration and outrage.
And while it's become quite the fashion in the media business to label the outrage as "populist anger," it's hardly reached the game-changing fervor required of populism. In fact, outside of the anger at AIG executives, it's hardly clear that the American public genuinely gets the magnitude of the economic jiu-jitsu match we're in the throes of.
The magnitude is made all the more pronounced by the massive trust gap that sits squarely between the government of the United States and its people. Obama won the White House because he sat on the people's side of the gap. It's not entirely unfair to begin asking whose side he's really on, and Greider essentially does ask that very question:
A new regulatory regime that puts the secretive central bank in charge
of everything would sanctify the policy of "too big to fail" that Fed
officials have long followed but never honestly acknowledged. It would
also revive the Wall Street club, albeit smaller than before, with
which the Fed has been so cozy. If the largest bank holding companies
are given privileged proximity to the source of government protection,
then everyone in finance and commerce will want to become a bank
holding company, too. We are already seeing this happening as former
investment houses like Goldman Sachs and non-bank financial firms
decide to join the system. Why not General Electric and Microsoft?
Where does this end? What does it mean for smaller enterprises that
lack the scale and influence?
Whatever the intentions, this "reform" would effectively legitimize
the existence of a corporate state. This concentrated power would be
neither socialism nor capitalism, but a grotesque hybrid that combines
the worst qualities of both systems. Government and politics would
become even more responsive to big money, but also able to tamper
intimately with private enterprise, picking winners and losers based on
political loyalties, not on performance. Capitalism with its inherent
tendency toward monopoly would have the means to monopolize democracy.
Barack Obama can resist all this, if he chooses, but he seems
conflicted. Obama's approach so far is devoted to restoring Wall
Street's famous names, and his economic advisers tell him this is the
"responsible" imperative, no matter that it might offend the unwashed
public. Obama evidently agrees. He does not seem to grasp that the
tone-deaf technocrats are leading him into a dead-end.
The president needs to hear a second opinion -- millions of them.
People are angry, but they want this president to succeed. Mobilized
citizens can help him to prevail. If he goes with the other side, they
will bring him down.
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