Comments on: Can Reconciliation Be Used In Financial Regulation?

By: JMG

JMG — Fri, 08 Jan 2010 22:21:34 +0000

There is no MAJORITY in the Senate for finance reform. When it comes to money, we have a one-party system. The Democrats would rather lose power than cross organized wealth. It’s like gazelles running from lions. They all know some survive.

By: Barry

Barry — Fri, 08 Jan 2010 18:42:06 +0000

In a certain sense, this will be a profound test of the Democratic Party leadership, with serious consequences. Right now the economy is going to suck badly in Fall 2010, at best (i.e., no double-dip).
The state budgets will have run out long ago, leading to layoffs, benefit cuts, spending cuts and tax increases. The unemployment situation will be very bad. And this will be in it’s third year. Meanwhile the GOP can happily blame it all on the Evul Librulz, who give your money to n*ggers, sp*cs and Wall St J*ws.

If the Democratic leadership isn’t willing to play the populist card, then the GOP will own it, and play it for all that it’s worth. Meanwhile, Wall St will still back the GOP, because a castrated Democratic Party will pose no risk of actual reform, and the GOP *always* gives a better deal.

Liberals will be demoralized. HCR was a mess – probably worth it, but still a mess. Obama and Reid spent the year telling liberals to STFU, there were Blue Dogs and L-Maggots who needed to be served. If there’s no financial reform worthy of the name, then liberals will have spent 2 years being the Obama’s whipped dogs, and will stay home.

My bet is that Obama doesn’t go against Wall St, and the Democrats take a sound beating. This will really hurt him in the second half of his first term, since the GOP still has no incentive to cooperate. And, of course, Respectable People will blame liberals for not understanding that in an election, their job is to donate and work hard (in between elections, their job is still to STFU).

By: jm

jm — Fri, 08 Jan 2010 14:51:53 +0000

Guess I had too many links in the previous post…none of them took. The figures can be found at http://www.opensecrets.org by looking at contributions by industry for each of the named individuals.

By: jm

jm — Fri, 08 Jan 2010 14:47:40 +0000

Johnathan, you, and presumably, Krugman assume the Democratic leadership actually want meaningful reform of the financial industry (as opposed to merely the appearance of meaningful reform). With this set of individuals that is not a safe assumption to make. Look at the campaign finance numbers for campaign committees and Leadership PACS. In terms of the top five sources, by industry, to the most relevant members of Congress the Securities and Investment industry comes in at: Harry Reid, second . Max Baucus,first. Nancy Pelosi, fifth. Barney Frank, second. And, of course, for Barack Obama, fifth.