Government regulatory agencies and congressional oversight committees are captured by the industries they’re supposed to regulate. Massive and supposedly unforeseen disaster occurs as a result. Public is outraged. Congress and President seize the moment to demand sweeping reform. And then… well, not so much. The reforms that eventually get passed never seem to go as far as they should, and the industries responsible emerge largely unscathed.
We’re seeing it play out with the financial crisis, where the compromise Audit The Fed amendment passed the Senate unanimously (which is pretty amazing although not nearly enough by itself), but the more aggressive and effective Paul-Grayson version went down in flames (with five of its cosponsors voting against it), the Too Big To Fail amendment went down in flames, the Consumer Financial Protection Agency was watered down, and it looks like derivatives reform and the return of Glass-Steagall are following suit.
We’re still in the committee investigation stage with the BP catastrophe, but some senators are already displaying a shocking eagerness to make excuses for offshore oil drilling, even Mary Landrieu, who is getting a good close look at what just one oil rig failure can do. Meanwhile, the Obama administration’s “moratorium” on additional offshore drilling turns out to be a sham.
We’ve seen the first part of this same pattern play out with the Massey Upper Big Branch disaster, and we’ve seen elements of it in healthcare reform, food and drug-related deaths, and FISA telecom immunity: Corporate interests are protected even when they’re at odds with both good governance and public opinion. And why?
Because the corporations have all the money and connections, and we don’t. They can and do spend millions, billions of dollars on lobbying, ads, fundraisers, and campaign contributions to keep congressmembers dependent on them for re-election, to exploit their personal relationships with their ex-peers, ex-staffers, and spouses who work on the other side of the revolving door, and to offer them juicy paychecks of their own when they inevitably pass through it themselves. The interests of we ordinary shallow-pocketed constituents look a little trivial when compared to all the enticements and influence that corporate cash can buy.
Until this incestuous, corrupt, scale-thumbing cesspool is cleaned up, we will have to content ourselves with partial victories like the flawed stimulus and healthcare reform bills and the Sanders Audit The Fed compromise. There is some hope on the horizon, though: California has a ballot initiative to publicly fund secretary of state elections, tiptoeing in the footsteps of AZ, CT, ME, NC, NJ, NM, and VT, which all make it possible to run for state and local office without being beholden to corporate and wealthy donors. Public Campaign, Dick Durbin, Arlen Specter(!), John Larson, and Walter Jones(!!) are working on pushing it to the federal level, and although we’re probably years away from having enough political pressure to pass it, you’d be surprised at just who some of its supporters are:
America’s rich are uniting, hoping to cast off the chains of nagging phone calls from politicians soliciting contributions. A powerful group of 25 major donors has signed a pledge to withhold cash from any politician who doesn’t sign on to the Larson-Jones FAIR Elections Now Act, which would usher in real public campaign financing. Public financing would result in diminished influence for special interests and, in fact, the donors themselves. Steve Kirsch, who kicked in $10 million to try to elect Al Gore in 2000, told HuffPost Hill he’s willing to accept the reduced access – since that access rarely translates into results. “It is a trade off, because there are a lot of good things you can talk to them about, but most of the time they don’t do anything about it anyway. Given the choice, I’d rather have campaign finance reform than access,” he said. The 25 donors plan to lobby other rich folks to sign on, with a plan of passing the FAIR Act, which has some 140 cosponsors, this year. The campaign’s being run by Change Congress, co-founded by Lawrence Lessig and Joe Trippi, along with Common Cause and the Public Campaign Action Fund.
I’m a little amused by big donors bemoaning their lack of influence, but I’ll take all the strange bedfellows I can get at this point. Like I said, this probably isn’t enough, but once we start seeing a whole bunch of public-finance beneficiaries percolate up to the big show, I think we’ll start seeing a lot more congressional interest in the idea.
And after we get public campaign financing, then all we have to worry about are massive corporate ad buys and the incestuousness of the revolving door and spousal conflicts of interest. Easy peasy!





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Hey Eli!
Hey egreg!
Good thing nothing like this will ever happen again.
I have had enough – I’m going to vote for the party that crashes this sucker HARD and FAST.
After thirty years of voting for Democrats, it’s time to vote Republican.
The big-donor-bitching thing is indeed a little other worldly, but then again it’s snowing at my house right now, so it’s all a bit other-worldly for me right this instant.
Hi Eli!
Hi Kelly!
Maybe $10 million just doesn’t buy as much influence as it used to.
Nice info, Eli. Why don’t the rich just let the maid answer the phone? Poor things have to put up with the calls.
I can just hear it now:
“Those ungrateful beyotches – their votes used to only cost $1 Million, and now I gotta pay $10 million? And for what? They’re all whores and they don’t care about ME! I am SOOOO pissed OFF about this!”
Welcome to Political Inflation, Whore Edition.
Arizona’s had publicly-financed elections for some time now, and I’m told that politicians like the system. It sure hasn’t stopped Republicans from getting elected there, which ought to reassure some folks.
Yeah, you gotta have Exxon money or Wellpoint money to get stuff done now. But if you do, the world is your oyster.
That’s because they don’t want to lose influence. You never know what the maid might tell them.
‘Evening, Eli;
The ruling classes will continue to fail, they WILL NOT do what must needs be done.
But that failure is closely noted more widely and deeply than the ruling classes imagine.
The litany of failure AND the continuing disdain of the people is not lost on the people.
The legitimacy of the political and monied classes is rapidly waning and they can do nothing to reverse that trend.
The ONLY thing they may do is threaten and then attack the people, there is no opiate, either of sloppy comfort or the “choice” of ten thousand “channels” that will close the eyes and minds of the people any longer …
With his almost-brutal efforts to stimy and stifle change, Obama guarantees it.
DW
More and more people are realizing the root cause of the rot in the system. Question is at what point our politicians calculate that they’re better off cleaning the rot instead of nurturing it and wallowing in it.
Bingo.
Although, today’s developments in l’il ol Merry Olde oughta give The Village pause….
I wonder what would happen if corporations and the wealthy actually had to pay taxes like the rest of us, instead of hiding their income in various ways.
Our economy would collapse, obviously.
Aloha, Eli…!
Get a load of this…
WTF…?
That certainly is an… interesting definition of “working”.
At a million gallons gushing daily from likely day one, his math is skewed.
But then, so’s his logic WRT the ‘dome that didn’t’.
Who ya gonna believe, yer own lying eyes or the BP reps?
Sort of like what happened after the crash of Colgan 3407… “change the flight/duty times!!” “hold hearings” “pass new laws”…now, not so much after the lobbying groups got involved.
I shudder to think how many other examples there are that I couldn’t think of.
Ya mean like 9/11?
I think that was a whole different kind of disaster.
Many thousands of years ago… when I was a kid and expressed an interest in politics to my dad, he sat me down and tried to explain what politics really is. He said, “Son, politics is like the mafia, you know, like organized crime. Now, one gang is just as corrupt and evil as the next but the one that is running the government is hopefully a little more polished and professional about extorting money than the others. So you pay taxes and fees and other means of tribute to them hoping they keep the other meaner criminals and thugs from seizing control and doing even more damage to you and the people you love and care about. But over time, they get fatter and lazier and demanding more until new, meaner, and more ruthless thugs come along and by fixing the elections or stuffing the ballot boxes or breaking the necks of their opponents, they miraculously get “elected”. And the cycle starts over and you just pray to God they don’t notice you while they rape, murder, and pillage.” That definition of politics has stayed with me my entire life, yet I’ve been an Idealist… and I’ve always kept an eye on the rear view mirror.
Heh. Indeed. However, the result was essentially the same. There was no serious effort to get to the crux of the problem, let along fix it.
Yep. But it primarily served the interests of neocon interests instead of corporatist ones, although obviously the military-industrial-Halliburton-Blackwater complex made out pretty well.
It should be pointed out that Orahma has FAILED to purge the Bush cronies and appointees from any federal office. Too many ideologues and incompetents are still in government, sabotaging everything they can get their hands on.
They might make useful scapegoats, though. “Oh, that wasn’t *our* policy, that was just some Bush holdovers acting on their own… who we will now completely fail to discipline or remove for their insubordination.”
I knew the civil service rules on Inauguration Day, and so expected to be stuck with just the burrowers.
newt-fail
Eli;
I am not, by nature, a gamblin’ man, choosing to bet ONLY when I am CERTAIN I shall “win”.
So. let me put it this way, were you of a gamblin’ disposition, WHEN might you imagine that such “calculation” might take “hold”, as it were, and result in the politcal class (which, to complicate matters a wee bit, includes the media) eschewing easy money and the promise of a lucrative lobbying “career” to work instead, for reasonable money and perks doing the desperately (owing to the malfeasance of other, earlier politicians) necessary and unglamorous work of caring for the people and the nation?
A ballpark guesstimate is all I request.
DW
Can we please get a front page post on Obama betraying us on Iraq?
*heh* If my pappy had sat down and told me that, I’m positive I wouldn’t have pursued my Poly Sci degree…! ;-)
A wise father you had (and, I hope, still have), wundermaus.
You carry on the tradition, most ably.
DW
hah!
now i want to hear what else he told you about other things in life…..
I know we were discussing all the ‘burrowers’ that were burrowing in at the time, here at the Lake…! ;-)
Well, they might buy that over at the Orange Satan. I know when somebody is peeing down my back though.
eli, it’s nice to have the pattern all laid out so clearly with all our many examples.
lil miz pollyanna is spinning in her grave.
Sorry you were infected with such a cynical view.
There are some very fine things that politics, as well as government, and governing, has accomplished. The 13th Amendment comes to mind.
And while it’s generally, like 99% of the time, an ugly political process to get to the governance, it’s certainly better to engage than disengage in my opinion.
I’ll second that, happily.
DW
I agree but I totally get the desire to hide your head from it all from time to time too. The mega disaster created by Haliburton/BP/Transocean and the yawn that congress and the public has greeted it with comes to mind.
Good question. I think Obama and the Democrats’ Republican-lite behavior after promising change & reform has given the game away more obviously than ever before. The populist rage and frustration is building all along the political spectrum as more and more people are realizing that the corporations pretty much own our government now, but both parties are doing all they can to divert that rage against each other to try to downplay their own complicity.
If they succeed, then the status quo can continue for a very long time. If they don’t, then campaign finance reform starts to look more and more like a political winner, and – more importantly – corporate campaign contributions look more and more like a political liability.
So the best case is probably 10 years, and the worst case is probably 20-40 years (as public financing spreads at the state and local levels and builds a “bench” of public-financing believers).
But that’s why I want to keep pointing out that this corrupt rotten system is at the root of so many problems – sure, it’s good to fight on the individual issues, but until we fix the system the deck is hugely stacked against us.
Sure – you can’t fight all battles all the time all at once. It’s impossible.
The Art of Choosing really is an Art, ain’t it…
Instead of forming a third party, maybe we should form a corporation.
Well, the less-worse-case. The worst case, obviously, is Never, and we keep circling the drain until we’re a third-world nation.
Well, write a diary chronicling it at the Seminal…! ;-)
I’d be glad to help ya with links and all…!
It has been noted that a severe temperature drop, in the region known as Hades to some, but called something else by others, has recently occurred, Margaret.
It is said that frost is possible …
DW
Are you looking for ways to diminish the power of the big money on the politicians? I think there are three ways to do it.
Turn one big money group against another.
Look at the few laws that are still on the books about lobbying and get them for breaking the laws. (.e.g. Abramoff)
Figure out a way to help lawyers sue these big industry corporations that will both make money for the people and slow down the corporations.
The money can be put back into a pot that will oppose them.
How about looking into laws that allow people who uncover private corporate fraud (especially when it comes to serving the government) to give whistleblowers and researchers ways to get a portion of that money saved?
The republicans HATE trial lawyers and are always demanding “tort” reform.
Well that tells you something, doesn’t it?
Now wouldn’t it be swell if, after discovering some of the abuses of the big banksters who were ripping off the tax payers we could get some of those 100 million dollar bonuses?
To paraphrase Trading Places, “If you want to hurt rich people you take away their money.”
It truly is Kelly. Intricate and nuanced.
What really makes me want to slam my head against a hard surface though are people who insist their opinions are relevant to empirical data and those who believe that they are entitled to redefine things in order to suit their deliberate misrepresentation of empirical data. These people shouldn’t be allowed to breed.
Brilliant plot. Brilliant.
Where would we find a Congress?
I would posit that it really isn’t ‘intricate and nuanced’ in the choice of your fights, the fights you do choose will be intricate and nuanced…! Pick the one’s you know and feel passionate about…! ;-)
Well, if corporations may be people, perhaps people should become corporations.
Imagine the benefits.
Fair is fare, after all.
;~DW
sad, but true.
hah hah hah
Which makes me wonder:
Has anybody/everybody forgotten Inauguration Day? Bush got “na na na na, na na na na, hey hey, good bye’d” outta town on a rail.
So keeping ANY of the Bush policies makes sense? And say Obama has two terms. Will keeping these offensive Bush policies spare Obama the same sort of tea-bagger treatment as he leaves town? I suspect the song chosen will quite more rude.
My comments add to no empirical data base, but, here’s one anyway. Margaret, protect your sweet head. Go punch a bag or somethin’. But, protect yourself. Please. This place be gettin’ scarier every day.
Big world and little fdl world.
Big Incorporated Hearts. Join here.
That’s just a comment. There is no link. That I have at my fingertips.
I suspect Obama wouldn’t be any more of a “fierce advocate” in his second term than he is in his first. I believe that Barack Obama is the only man in the country or perhaps the world who doesn’t know that he could cure cancer, solve the energy problem, prevent anthropogenic climate change, create 100% employment, make social security solvent for eternity, etc. and still be attacked by teabaggers and right wingers.
Is that even his motivation, though? Is he caving to the right because he’s afraid of them, or because he agrees with them?
He isn’t keeping Bush policies to win conservative support, he’s keeping them because they are the policies HE wants. Barry is the de facto Bush III.
He doesn’t care, the general welfare doesn’t interest him. Now, corporate welfare…
Sorta what I’m saying. He’s choosing the same ignominious exit.
As I said on a recent phone call, the problem isn’t that Obama isn’t fighting for what he wants, it’s that he *is*.
I just realized we’ve known each other over the blogs for FIVE years, not four. It was at A-blog when the Gannon scandal launched that I started commenting there.
Smooch!
That’s pretty scary, isn’t it? That the people who have so much power over our lives just don’t care. Makes me think about taking up praying.
Lisa Derrick is upstairs!
Late Night: Bill Sells Himself as Hot Date for Hillary’s Debt Relief
Do visit You Street if you want to help with public funding.. They are working on it..
Drive by Pups… time for some chicken CACCIATORE..
Time flies. :-)
Thanks Lurk.
bingo (sigh)
Can’t hurt.
Dunno Eli but I suspect the latter. Nobody is that stupid.
The healthcare reform fiasco was the last straw for me. As long as the public option was still in play, he was completely powerless to pressure or influence Congress in any way, but as soon as it was killed it was suddenly a fully-mobilized, arm-twisting full-court press. He completely blew his cover.
We were sold out by Democrats and Republicans. They continue to drive us into serfdom on behalf of their corporate masters. Why would anyone continue to support and vote for Democrats and Republicans? Why? What good does it do to replace incumbents when the replacements are Democrats and Republicans? Boycott the legacy parties. A vote for a Democrat or a Republican is a vote for war, corruption, lies, larceny and poverty.
You must not have met Charles Grassley. :)
I was never fooled by his progressive talk but that doesn’t stop me being awfully disappointed either. I at least never suspected I was working for and voting for Barack H. Bush.
I thought he would be a wishy-washy centrist who would do occasional progressive things, but he’s not even that.
That was beautiful, thanks for sharing it.
*G*
Word.
*bows*
Haven’t there been a number of them, already?
Search, is our friend, for afterthought . . . . not sure I would have bookmarked any of them, though.
I’d gladly post them links if I had ‘em . . .
How’s Island Life hoss . . . we’re gonna go into mild warming mode (hi 70′s lo-mid 80′s) for few days. Can’t believe it, it’s usually 90′s and more by now!
I missed that one, that’s world class FDL Snark, right there . . . well done Perry!
Oh Good Dawg, please, no.
;-)
We’ve been missing you.
There’s a link at your fingertips.
Coincidence?
I think not!
*G*
Howdy!
It’s got nothing to do with the right, he’s a corporate status guy, start to finish.
The right/left is just a means to shape corporate favored outcomes.
There’s NO doubt that the left/progs/FDL Style (not them faux progs) spook their horses, Obama’s and the corps.
This is old news for a prog pro like yerself . . . ;-) great post, BTW, thanks!
You’re right about regulatory agencies. To get an idea of how industries manipulate government policies for their own benefits, here’s a video by the late economist Murray Rothbard where he explains how these cartels of corporations get government to enforce their cartels to keep out new competitors and keep prices high
The Founding of the Federal Reserve
http://www.youtube.com/watch?v=Ta7q1amDAN4
Were fucked. Game over! The Corps. will rule like the Roman Emperors did, ruthlessly. Our only hope is that they fall into fighting with each other. Even then we’ll just be like the furry little mammals when the Dinos fought. We’ll be crushed under foot. If I wasn’t 61 ill and unemployable I’d emigrate from this forlorn mess of a country. You have no idea what it’s like to be facing life with almost no hope. I’ve worked all my life and now we stand to lose everything we’ve worked for, our home , savings all of it. The sad part is nobody cares and even if they do they won’t or can’t help us. We are the people being tossed overboard as the TITANIC called the USA slides under.
No, it’s not time to vote for a Republican–they are all bat-shit crazy. It’s time to vote Independent. Don’t forget it’s the Republicans, with Dem help, that got us here. Not a single one of them has any ideas on how to solve our problems–they’re too busy taking corporate money to want to change a thing.