By: Dr. Richard Paul, D.D.
The economy seemed great. Everything was moving forward and only a few economists were screaming something major was going to happen SOON. Those economists were labeled nuts, freaks, uninformed, and other such tragic labels. Everyone seemed to be gaining in their investments. The housing market never looked better for sellers and the homes manufacturing industry. Millions of people were employed in the New Homes Construction Industry. People were told not to think about the future and what was coming by those that deal in the market exchanges. Bush himself was lead to believe that everything was going better than expected by his Neoliberal infiltrators. Nothing major was expected by the average person. So what happened and how did it get patched up?
I started this whole topic of Neoliberal Ideologies to bring you to a specific point. This isn't the point, but rather another gate we must pass through to get to that shining city on the hill, the place we call hope, the idea of knowledge. We have moved, rather rapidly, through the series because there are so many other publications dedicated to the in depth studies and we shouldn't become too over emphasized on the details that the actual learning process is skewed. For those detailed looks into the darker side of our political-economics I suggest that you research it thoroughly, and before it's too late. Becoming informed is the duty, nay the responsibility, of all those that purport to be part of the electoral system.
On September 15, 2008, Lehman Brothers declared Bankruptcy. This sent a ripple effect through the markets as many investors didn't know what was happening, or felt that they had been lied to. These people couldn't understand, or were misinformed, about the destructive forces the Neoliberal Free Market Ideology could and did have. Most people had never heard of Neoliberalism in the markets, or in politics for that matter. They felt betrayed by those that are sworn to protect their interests.
George W. Bush felt the blame was his alone to bear. He felt like he had been purposely misguided and wanted to correct that path. Now the minutia arguments about whether W was a great president or not can be argued in other arenas, but we should face the fact that everyone can be mislead under certain conditions. Bush, at the advice of Karl Rove, appointed many people that he thought he knew, or thought he understood their ideologies. Bush was under the assumption that these people were guiding his force in the right and correct direction for the U.S. He had been deceived. He couldn't tell the population of the deception because that would make him look weak. He knew these things were coming, but couldn't do anything about them, other than change course.
Over the last 3 years in his Presidency, Bush had asked many of his former advisors to step aside. Karl Rove was asked because, on the surface, it appeared that he was giving away classified information. Donald Rumsfeld was asked to step aside because, on the surface, it appeared he had become weak, and wouldn't follow the course that the Generals in the 2 wars had wanted. And many other lower advisors were asked to step down. This all happened before the economic collapse of 2008. Bush was setting up a way out of the Neoliberal Economy, behind the scenes.
Don't get me wrong, Bush, made many tragic and costly mistakes. These are all evidenced in the military and the crumbling infrastructure that the US now has. However, if we are to be critical of the situation, we must also understand that people can be deceived without their knowledge. People are weak when they don't understand the full spectrum of what is really happening around them. People only allow their minds to be shaped through the use of shock and awe.
Bush had set a plan of action in place before the Economic Collapse of 2008 because he had given critical thought about what direction the Neoliberal Economy would take, and how quickly it would come. Henry Paulsen and Ben Bernanke helped guide his economic forecast, and they knew what was coming, but didn't want to believe what was coming could happen. Bernanke probably had an idea, because of his speech about what the Federal Reserve could do if something like this happened, and followed through with it down to the letter.
The elections were happening that year, and Obama was running for the seat Bush now warmed. When the markets collapsed, the two candidates, Obama and McCain, suspended their campaigns and went back to D.C. to see if they could help. The three of them met with Henry Paulsen, Ben Bernanke, and Tim Geithner. After sitting in that room for hours, Timothy Geithner came out and declared that they had come to a consensus on what the way out of the quagmire through the use of stimulating the economy. This wasn't a new idea, but one that was borrowed from the Great Depression. Had it not been for Obama and Bush telling these people that the way out was to remove Neoliberalism from Government, then we would have experienced an even larger scaled unemployment rate, markets collapsing on a global scale, and people living on the streets.
I'm not singing the praises of the Bush Presidency. There are many flaws and missteps that they took in their desire for being the Central Unit for the Globalization movement under the Neoliberal Ideology. A great example is the Bush Administration not recognizing the steps they were taking would lead toward these ends. They should have listened to those they deemed insane, nuts, unable to have a recognizable thought. They didn't. They clung to the Neoliberal hope of a future where Corporate Profits in a given Country was deemed the means to determine economic growth patterns. People needed leadership for all the constituents, not just those with the most money. People needed the calming hand of government when tragedy struck (Katrina anyone) and not the city being sold off to the highest bidder. The Government failed the people. The Government didn't allow for the calming hand to smooth things. The Government decidedly went with ideology over the needs of the people. This was all done under the Bush Administration. Don't forget, however, that Milton Friedman had a post that said after Katrina struck, it was the right time for Neoliberalism to come to New Orleans to vanquish the poor from within its cities. The ideology of absolute serfdom through pure necessity was ready to strike, and nothing the people could do would stop it. It would take a strong leader to change course midstream. It is in that time Barack Obama stepped to the scenes with his calming hand. It is in that time that change was demanded. It was in that time Neoliberalism was combated with rational intelligent thought.
I want to leave the discussion with this question in your thoughts. What happens when the labor force uses the total of its monetary capital to further the agenda of the Neoliberalists and that monetary capital is used up? What happens when Corporations move on away from the US after the money is gone? These are the right questions to ask. These are the questions that Barack Obama is trying to stave off with his economic policies.
I know that this isn't my usual facts only post. I know that I gave some of my own soul to this piece. I know that not everyone is going to agree with it. The fact remains, these are the perceptions that I get from studying this articles factual bases.
Next time, I will try to discuss what exactly Obama has changes, and why his 4 years are among the most effective changes in history from this set of economic stances. I will also give you the exact ideological school of thought that Obama belongs to. That is for the next post.