Today, Patrick Buchanan came out with a scathing attack on Obama’s most recent bailout proposal.
Obama calls it an “emergency” measure to prevent “massive layoffs of teachers, police and firefighters.” Yet, none of the 20 million state, county or municipal workers can lose their job unless an elected legislature and a chief executive agree that they should go.
Obama is calling for a taxpayer rescue of the political class to which he belongs, to spare it the painful duty tens of thousands of business executives have had to perform. Private employees — 25 million of whom are out of work, underemployed or have given up looking for jobs—may be expendable, but government workers are not.
Buchanan sees right to the heart of the issue, which is not about saving jobs but about saving those who support Obama the most.
Government workers enjoy far greater job security than private-sector workers. At the state and local level, their average pay and benefits, about $40 an hour, far exceed the $27 per hour in the private sector. The federal worker has it even better, receiving $30,000 a year more in pay and benefits than the average worker in the private sector.
Obama’s proposal is thus about taking care of his own and the Democratic Party’s political base.
Consider. The American Federation of State, County and Municipal Employees, the American Federation of Teachers, the Transport Workers Union of America and other government unions in the AFL-CIO are all powerhouses of the Democratic Party.
Obama is proposing a $50 billion payoff for his own voters.
Yesterday, the Daily Record reported that Obama handed out more than 400 million dollars to federal employees in 2009, 80 million more than 2008.
What does this all mean? It means Obama is getting scared about the upcoming election in November. He knows that many people are angry, and he is fighting back. If he can make sure that the millions of government employees throughout the country, local and federal, are dependent on him, then they will vote for him. This means that we are going to have to fight even harder to claim victory in November. Even though Obama might be scared, he has a lot of tricks up his sleeves, including using government money to achieve political control. We must remain vigilant and make sure that this November, his party and his policies get the beating it deserves.
A Senate measure advertised as protecting taxpayers from another Wall Street bailout would still leave them fronting the money if the government moves to liquidate a big failing company like insurance giant AIG.
Taxpayers could end up putting up billions of dollars to cover the costs of dealing with such a firm and be able to recoup that money only over a period of five years, under the Senate’s sweeping overhaul of financial regulations.
An amendment the Senate is expected to pass Tuesday states that "taxpayers shall bear no losses from the exercise of any authority under this title."
Sen. Richard Durbin, D-Ill., says the legislation means: "We’re never going to let the taxpayers and Treasury face this kind of obligation."
But the measure doesn’t prevent that kind of obligation, though it does require that taxpayers would be paid back.
"The bill ensures taxpayers don’t get stuck paying for Wall Street’s mistakes," said Kirstin Brost, a Democratic spokeswoman for the Senate Banking Committee. The government would have top priority getting repaid, with proceeds of the sale of a liquidated firms’ assets going to the government first.