Does it Really Matter?

Posted: Nov 01, 2014 12:01 AM

Mid-term elections are right around the corner. The Republicans are salivating because they can smell blood in the water and victory in the air. The House will probably stay in the Republican column and the Senate could move there also. Governorships and State Houses seem to be moving also in the Republican direction. Potentially a seismic shift could occur next Tuesday. DOES IT REALLY MATTER?

Various issues such as size of government, Obamacare and education will differentiate the pols, however, when it comes to the three most significant issues of our time they are all cut from the same cloth which Wall Street loves. Politicians of both parties whether they even realize it or not are in the breast pocket of Wall Street not Main Street.

First is philosophy. They ALL subscribe to Keynesianism which says that debt is the equivalent to growth, spending equals prosperity, saving is a bad thing and that inflation cures all problems.

Paragraphs could be written about each of the topics but I will simply say that the past six years, which has produced more billionaires and also more food stamp recipients is the poster child for John Maynard Keynes.

The second thing that all sitting officials and wantabees agree on is our worldwide military presence. The war on terror is big business whether you are Democrat or Republican. The 3rd quarter GDP was dominated by government defense spending. Who amongst the candidates will dare rock that boat?

Finally, the US Central Bank, the Federal Reserve. Ask any candidate, except Ron Paul, how they feel about doing away with the creature from Jekyll Island. Most will look at you as though you had two heads.

In 1836, after President Andrew Jackson battled Congress both Whigs (Republicans) and Democrats, the bankers and the so called privileged class the second bank of the US (the Central Bank equivalent of the Federal Reserve) was destroyed as its official charter expired.

Traditionally the bank was run by a Board of Directors with ties to industry and manufacturing. To Jackson the banks symbolized “how a privileged class of business oppressed the will of the common people of America.” Jackson believed that when banks made a bet and won it was their money but when the bet was lost it was your money. How far we have come in 200 years with “Too Big Too Fails”.

So please vote next Tuesday as a good citizen but also remember that on the real issues of Keynes, war and the Feds, Wall Street plays the tune and all of the pols, Republican and Democrat, will do the dance.