Here you go, wait a minute...GIVE THAT BACK!

Confidence in our governing officials is dwindling to a dangerous low and with the latest AIG business, is it any wonder why?  The finger of blame is quickly being pointed by the Republicans, who are eager to shout that it's the Democrats in Congress and President Obama who are to blame.  Republicans didn't sign the Bailout Bill, the Dems and Obama did. 

A clause in the bailout bill more or less spells out the right for AIG to dole out bonuses that had been promised on or before Feb. 11, 2009.  According to Republicans, the Democrats put that clause into the bill and they are the ones that voted it through.  Oddly enough, the same politicians responsible for the clause are now claiming outrage at the AIG bonuses paid to executives and the like.  Responding to an outraged public, those truly involved are quickly glazing over or outright denying their role in this debacle.  

In an op-ed article, "American Mob Rule" from the National Review Online, Victor Davis Hanson is quick to point out that while Obama claims to be outraged, he alone signed the bonus provisions into law.  Hanson goes on to site that "Those who shouted the loudest for the heads of the AIG execs had the dirtiest hands."  Hanson makes a valid argument regarding how the bonuses came to exist in the first place.  I can't help but wonder, why don't these outraged politicians give back the money they received from AIG during their campaigns and tenure in Congress?  Keen to demand AIG give back funds they were legally entitled to, why don't these politicians follow suit and give back the funds they were so eager to accept from AIG?  

Instead of doing anything so silly, Congress would rather go to a frightening extreme in an effort to recover a very small fraction of the bail out money.  

The government is now reneging on a promise made and demanding a pay back.  Drastic measures of unprecedented taxation are dangerously close to becoming law.  Likely an unconstitutional law at that.  Richard Epstein of the Wall Street Journal expresses his concern when he notes, "The AIG bonuses were made pursuant to valid contracts entered into before the receipt of the bailout money.  Special taxes on some forms of income (but not others) and retroactive taxes put in place after business transactions are complete both merit strong condemnation."  Responding to what Hanson and others describe as a mob rule, Congress is jumping out of the frying pan and into the fire.

Americans need to take a step back, and look at what is really at stake with this outcry.  Do we really want our government to renege on a legally binding contract?  Is that the message that we want to send to our own people, let alone to the other countries that watch, model and scrutinize our every move?  I don't think so.

Where's my money, man?

Extortion used to be a crime.  These days it's another mark on the "To Do" list appearing after lunch and just before cocktails in the busy daily calendar of many corporations.  Of course they don't use the word extortion.  They like to call it Lobbying.  Private jets, luxury cars, mansions and personal chefs cost money, and who better to foot the bill than the government (taxpayers).  We wouldn't dream of expecting the wealthy to suddenly live without the necessities in life.  

Banks need money because people can't pay on their loans.  Car manufacturers need money because people aren't purchasing cars. Credit card companies need money, and the list goes on. What seems to be ignored in all these instances is the fact that these corporations should only exist as long as the American public can afford them to.  

Is it really the corporations that need billions of dollars?  Of course not.  Homeowners, drivers, shopping fanatics, the general public...these are the people that need the bailout.  

Rosa Brooks, an op-ed columnist for the Los Angeles Times and author of "We need a bailout too.", estimates that each household in America would receive nearly $80,000 if the 8.7 trillion dollars that's being given to the corporations, was instead given to the public.  Give a person thousands of dollars and what are they going to do with it?  Choices are relatively few when it comes to what a person will do with their money.  They'll either spend, save or invest.  

Spending means an investment back into our economy.  Perhaps people can afford to pay on their loans, purchase a car or pay down their credit card debt.  Any and all of these activities directly aide the public, the corporations and the economy.  

There are those that will be more cautious with their money.  Saving instead of spending still leads to the use of a bank in most cases.  Give me $80,000 and I'll show you a bank account that just got $70,000 richer and  car note that was paid in full.  Voila, the bank gets some money and my car lender closes an account as paid.  

Investing doesn't seem to be a big pay off now, but there are always those that will buy low now in the hopes of selling high later.  Again, the money still benefits the people that need it the most while also providing a trickle up effect for corporations.

As a frequent guest and panelist of MSNBC, a law professor at Georgetown University Law Center and member of several political and economic boards, Rosa has been exposed to the ugly truth when it comes to policy and politics.  After doing some digging, I was disappointed to see that Rosa's figures were fairly accurate.  Clearly appealing to the general public, Rosa couldn't have said it better than when she noted, "...don't think Congress is going to hand out huge wads of cash to the hungry or newly homeless.  In America, we only bailout banks and big corporations.".

If you're wondering why it is imperative to be involved...

We find ourselves in yet another economic recession.  Some might say, "That's just the cycle of things."  I say, it doesn't have to be.  Is there any wonder why our economic activity is declining?  As obedient citizens, we pay our taxes.  We responsibly invest our money in stocks, retirement programs and our trusted banks in the hopes we will see a return.  Instead, we catch our political and corporate leaders cheating the system, in fact, cheating the people.  We angrily watch our retirement accounts and stocks lose money.  At the same time, the powers that be continue to pocket millions.  Poignantly put by Victor Davis Hanson (February 12, 2009) "Hardly the Best and Brightest" Retrieved 2/12/09, accountability did not exist for these offenders until the media brought it to the attention of the public.  Self-serving characters such as these thrive in a political world where the constituents remain largely apathetic.  People ask, 'Where did our money go?'  I answer, those million dollar bonuses had to come from somewhere.  Mr. Hanson reveals an appalling list of people caught cheating their country.  Unfortunately, the list is only a sampling of the dreadful truth.  Our "Best and Brightest", our leaders, need to be held accountable for their actions.  This can only happen when the people make a point to be knowledgeable and active in politics and their government.

Congress

The picture above is an accurate depiction of how I used to think of Congress.  It's even a part of my screen saver at work.  Years ago, I came to the conclusion that politics would forever impede democracy and allowed myself to become disaffected toward our system of government.  I felt that since I wasn't wealthy or some huge corporation, my voice really wouldn't be heard.  This year, I was shown that I was wrong.  I did vote in the elections this year and for the first time in my life, I personally knew one of the candidates I was voting for.  Not the President or Vice President, but a Congressional candidate.  A friend of mine from high school was on the ballot and he was serious about his efforts.  He also felt that politics was getting in the way of Democracy, but instead of taking a defeated attitude, he got involved.  He ran on the Libertarian ticket and though he did not win the seat, he showed me that it is still up to each of us to decide how we want to be governed.  Success may not be overnight, but it is not out of reach.  So do I still feel that the picture above is a good description of Congress?  Yes.  Now however, I have hope that it doesn't have to stay that way.