Monday, July 22, 2013

When progressives make libertarian arguments and the WNJ censors itself

Today's story in the WNJ that Senator Carper, Senator Coons, and Governor Markell all oppose the reinstatement of anything resembling Glass-Steagall on our "too big to fail" banks is pretty damn predictable.

Those corporations bought and paid for these individuals a long time ago, and though Coons managed to keep his image of an actual liberal/progressive for longer than Carper and Markell, as they in the investment world:  Sooner or later, there will always be a margin call ...

Curiously, however, the WNJ has scrubbed the following paragraph from its current online edition of the story:
Returning to Glass-Steagall would go further, but the legislation doesn't have much support in Delaware, where banks employ thousands and are powerful contributors to political campaigns.

It is, however, at least a little silver lining to find cassandra m of Delawareliberal in a rare fit of spouting libertarian economics in response:
There is little doubt that markets and banking would have been worse without TARP and the various other programs that used taxpayer funds to bolster the balance sheets of these banks. But the pain would have been short and sharp; the economic pain may have been shorter; and certainly the free market would have worked. Importantly, banks would have it built into their DNA that they own their own risk taking. Now they think taxpayers do.
One thing I can always agree with an intelligent progressive like cassandra is that the State has no business privatizing profit while it socializes loss.

1 comment:

delacrat said...

The "progressives" at DelawareLiberal have been bemoaning Tom Carper's fealty to the TBTF banks for years. Yet they failed to talk up Carper's 2012 primary opponent(Keith Spannarelli). Likewise, for the general election, they only bad-mouthed Alex Pires, but never a positive mention of Andrew Groff.