Oct 20, 2008

Trickle down Idiocy

The Idiots who run America

EXCERPT


Andrew Lahde, the Santa Monica, Calif., hedge fund manager who made an 870 percent gain last year by betting on the subprime mortgage collapse, has abruptly shut down his fund, citing the risk of trading with faltering banks. In his farewell letter to his investors he excoriated the elites who run our investment houses, banks and government.

"The low hanging fruit, i.e. idiots whose parents paid for prep school, Yale, and then the Harvard MBA, was there for the taking," he said of our oligarchic class. "These people who were (often) truly not worthy of the education they received (or supposedly received) rose to the top of companies such as AIG, Bear Stearns and Lehman Brothers and all levels of our government. All of this behavior supporting the Aristocracy only ended up making it easier for me to find people stupid enough to take the other side of my trades. God bless America."

"On the issue of the U.S. Government, I would like to make a modest proposal," he went on. "First, I point out the obvious flaws, whereby legislation was repeatedly brought forth to Congress over the past eight years, which would have [reined] in the predatory lending practices of now mostly defunct institutions. These institutions regularly filled the coffers of both parties in return for voting down all of this legislation designed to protect the common citizen. This is an outrage, yet no one seems to know or care about it. Since Thomas Jefferson and Adam Smith passed, I would argue that there has been a dearth of worthy philosophers in this country, at least ones focused on improving government."

Democracy is not an outgrowth of free markets. Democracy and capitalism are antagonistic entities. Democracy, like individualism, is not based on personal gain but on self-sacrifice. A functioning democracy must defy the economic interests of elites on behalf of citizens. This is not happening. The corporate managers and government officials trying to fix the economic meltdown are pouring money and resources into the financial sector because they only know how to manage and sustain established systems, not change them. Financial systems, however, are not pure scientific and numerical abstractions that exist independently from human beings.

"When the elite begin to think that money is real, the crash is coming," Saul said in a telephone interview. "That is just a given in history. Because what they've done is pull themselves out of the possibility of looking in the mirror and thinking, this is inflation, speculation, this is fluff. They can't do it. And when you say to them, gosh, this is not real. And they say, oh, you don't understand, you're so old-fashioned, you still think this is about manufacturing. And of course, it's basic economics. And that's what happens every single time.

(Chris Hedges)

And check out this post by Driftglass:
Junkie Republicans

(Hat tip Physioprof )

4 comments:

Bustednuckles said...

Damn nice of him to point out the idiots who created this mess are supposedly highly educated. It sounded like GW Bush's educational history he was making a point of, that and how he fleeced the motherfuckers at their own game was beautiful.

Elmo said...

Ok, you write better than me...fellow Patriot. But I swear to God I did not read this before I wrote my last post. We just leafs that fell off the same tree..

GDAEman said...

Yes: "Democracy is not an outgrowth of free markets. Democracy and capitalism are antagonistic entities."

Very refreshing. Thanks.

SadButTrue said...

" Democracy is not an outgrowth of free markets. Democracy and capitalism are antagonistic entities. Democracy, like individualism, is not based on personal gain but on self-sacrifice. A functioning democracy must defy the economic interests of elites on behalf of citizens. "

Good stuff, and I would add that the tendency of capitalism to concentrate wealth is an inevitable road to the return of feudalism. I propose a 100% inheritance tax that starts at $1 million. A million dollars is enough to get a gold-plated education, start a small business, or buy a luxury home. If well managed it's enough to do all of the above. What more should the Paris Hiltons and George W. Bush's of the world expect as reward for their parents' (or grandparents', great-grandparents', etc.) efforts?

This should get the support of everybody who stands to inherit $999,999.99 or less, because they wouldn't pay a penny.