I know, it sounds like the old Republican plan.
The old Republican plan that got us into this mess.
The old Republican plan that has even the sitting Republican President admitting the need for a "rescue" of the failed trickle-down economy.
Old Republican plan ... meet the new Republican plan:
[P]rivate capital can be drawn into the market by removing burdensome regulatory and tax barriers that are currently blocking private capital formation. In short, too much private capital is sitting on the sidelines during this crisis, and it is well past time to unleash it.
More of the same, from the same folks who "unleashed" deregulation of the private markets to bring you the mortgage meltdown, the foreclosure crisis, falling incomes, slow job growth and a global credit crisis.
Who's writing this stuff for the House Republicans?
Well, this guy seems like he could be their ghostwriter:
Our financial market approach should include encouraging increased capital in financial institutions by removing regulatory ... impediments to raising capital.
- John McCain
March 25, 2008
Hmm, what exactly has unregulated raising of capital done for America in recent years?
Bloomberg Markets Magazine
The Poison in Your Pension
Bear Stearns Cos., the fifth-largest U.S. securities firm, is hawking the riskiest portions of collateralized debt obligations to public pension funds.
- July 2007
New York Times
[T]he nation’s largest banks and brokerage firms ... took risks trading an alphabet soup of unregulated products cooked up by financial engineers, like C.D.O.’s (collateralized debt obligations) and C.D.S.’s (credit default swaps).
- March 30, 2008
Financial Times
"It’s a strange business," admits one senior banker. "First you make money by creating products no one understands, then you make money by cleaning the mess up."
- May 30, 2008
So what if deregulating private capital and creating phony securities threatens to bring down the American economy?
Let's do it again! Go House Republicans!
McCain, Bloomberg Magazine, New York Times and Financial Times excerpts taken from
Yeah, Right: "This Economy Is Strong" and Other Tall Tales (page 31)