STOP Framing "us"

How a select few of "them" are Framing all of "us"

Archive for the tag “Big Banks”

Bernie Sander’s attempt to ‘Protect the Public’ from the immoral behavior of the Big Banks!

In an interview with Wolf Blitzer, Bernie Sanders describes a much needed effort to reign in the big banks who are walking all over us. As pointed out by Bernie Sanders, the 6 largest financial institutions (ie, big banks) own more than half of all mortgages in this country, two-thirds of all credit cards, and assets of $9 trillion dollars, which is equivalent to two-thirds of the entire Gross Domestic Product (GDP) of the United States.

What does this mean for you and me? Well, for starters, it means the privileged class in this country is accumulating massive amounts of wealth at the expense of everyday citizens by squeezing them with increased ATM and other bank fees, hikes on their credit card interest rates, and predatory lending practices that led to the housing crisis we are still recovering from. To make matters worse, these privileged members of society are using their enormous wealth and power to influence our elected officials to enact a variety of legislation that perpetuates the status quo of income inequality.  By doing so, the GOP is effectively allowing a select few at the top to achieve prosperity at the expense of the rest of us, who are doing our best to keep our heads above water and make ends meet.

As explained by Bernie Sanders, when the big banks engaged in this immoral behavior in the past, a Republican president, Teddy Roosevelt, put an end to it by preventing the big banks from gaining even more wealth and power by breaking them up. Legislation was introduced to protect the public from this immoral behavior, which served the purpose of stopping powerful special interests from colluding with one another and exploiting the rest of us.

Look at how far the Republican Party has moved to the right since then.  Ever since Ronald Reagan was elected president in the early 1980’s we have witnessed a GOP gone wild, and every successful public protection policy put in place to prevent harm caused by the big banks was repealed via the use of the “burdensome regulations” frame. The GOP cleverly made it appear as if enacting public protections (ie, regulations) were somehow causing the very problems these protections were trying to prevent.  As a result, people are more inclined to support GOP efforts in expanding the size and power of the big banks, while firmly believing that they are helping to solve our problems.

This language of “burdensome regulations” has been repeated so often by our elected representatives, media personalities, and other newscasters that it simply rolls off the tongue of those who have been exposed to it whenever discussing any attempt to enact public protection policies. The unfortunate reality is that the instant gut reaction many people feel when simply hearing the word regulations is enough to activate this frame, which leads one to believe action is needed to stop regulations from being imposed on us. In order to avoid this trap of adopting a self-defeating view on a particular issue, we should stop using the term regulations, and start calling them what they are, public protections that seek to prevent people, both real and imaginary (ie, corporations) from causing the rest of us harm.

According to Bernie Sanders, “we need to re-regulate the big banks”, or re-enact the Glass Steagall (public protection) Act in order to prevent the Wall Street Casino from crashing our economy again. As an added slap in the face to the American taxpayer, Jamie Dimon, CEO of JP Morgan Chase (one of the 6 big banks) is currently serving on the Board of the New York Federal Reserve, which is responsible for protecting the people from the immoral actions of the big banks.  Just as we did in the past, Bernie Sanders is planning on introducing legislation next week to break up the big banks, and put an end to the “fox guarding the hen house” situation of putting Jamie Dimon in charge of stopping the immoral behavior of the big banks.

David Cay Johnston sheds light on two critical “frames” conservatives use to manipulate us: Government “Picking winners and losers” and a “Transfer of wealth.”

David Cay Johnston wrote an article entitled, “Taxed by the boss” where he discussed the implications of the more than 2,700 companies in the Unites States that are keeping the state income taxes they are collecting from hundreds of thousands of workers for themselves.  So, in case you were wondering why states are laying off teachers, firefighters, and police officers, among other drastic cuts to social services that affect millions of people’s lives throughout the country, look no further than the corporate socialism taking place, as pointed out by David Cay Johnston.

To make matter worse, big banks and businesses like Goldman Sachs, J.P Morgan, and Mitt Romney’s former company Bain Capital, are enriching themselves by a process known as “job piracy”, where one state diverts taxes in order to lure an employer from another state to relocate if they promise to create jobs.  The problem is that no jobs are ever created.  Instead, the money is transferred in an upward direction from workers to the corporate bosses in the top 1%, as indicated in the report by the taxpayer watchdog organization, Good Jobs First.  This report also discovered that “deals cut with states over the past two decades diverted $5.5 billion from public purposes to private gain.”  Talk about a transfer of wealth!!

Big businesses are getting away with diverting the taxes they collect from workers to enrich themselves because radical right-wing Governors like Chris Christie, who tops the list, has personally transferred a whopping $251.2 million from average workers to those in the “privileged sector”, who believe they are entitled to it!  No wonder why Chris Christie was being groomed for a spot in the Whitehouse.  He has done the most to enrich the privileged few at the expense of everyone else.  David Cay Johnston calculates that this transfer of wealth amounts to $80 per household in corporate welfare average families are spending to subsidize shareholders of the big banks and large corporations in the United States.

According to David Cay Johnston, “these deals typify corporate socialism, in which business gains are privatized and costs socialized. They also mean that Government picks winners and losers, interfering with competitive markets.” So, it turns out that radical right-wing Governors, in support of an ideology that advocates corporate socialism, are actively “picking winners and losers” (big business is always the winner) which amounts to a “transfer of wealth” from all of us (ie, workers) to a select few of them in the privileged sector (ie, CEO’s and shareholders).

Those of us who watch Fox news or listen to Glenn Beck, or some other radical right-wing talk show host are being framed to believe that Government is “picking winners and losers” in an attempt to benefit lazy people on welfare programs, which serves to create a society of dependency on Government.  Following this logic, believers of this frame are further inclined to believe that a “transfer of wealth” is occurring from the so-called successful people in the top 1% to those who are lazy and don’t want to work hard in order to carry out a socialistic agenda.

The problem with this logic and the rest of the radical right-wing frames is that the opposite of what they say is true!  In this case, Socialism is alive and well in America, as indicated by the Good Jobs First report and David Cay Johnston’s take on this issue.  However, the problem is that it’s only being applied to the top 1% instead of being used to benefit all of us!

The irony here is that the fear of socialism is being used to scare people away from supporting policies and programs that will benefit us all.  A prime example is the current ‘Budget for All being introduced by the progressive caucus in the House of Representatives.  This budget is more in line with our nation’s moral values, and will benefit all of us, as well as help prevent the abuses of power that lead to examples of corporate socialism mentioned above.

As expected, Allen West (R-FL), a conservative member of the tea party, initiated the latest socialism scare by telling people in a town hall recently that there are approximately 80 representatives in the House that are members of the communist party.  Although communism and socialism are not the same, they are used interchangeably as if they were in order to increase the fear effect, I presume, so people will not vote for it!

Unfortunately, if we continue to believe the conservative “frames”, we will never know the benefits that other nations currently enjoy, such as living longer, happier and healthier lives, not to mention being better educated, less stressed, depressed and anxious, as well as having the safety and security of knowing our family members will be taken care of if they get sick, or become disabled for any reason.  All of these benefits are not fantasy, but reflect the reality of countries that adopt moral budget priorities, and implement a system based on socialism for all, not a select few.

The Republican Jobs Act: Nothing more than a repackaging of old bills with the added twist of “Framing” ‘Big Government’ for the actions of the ‘Big Banks’

Almost immediately after taking office President Obama launched an initiative to help jump-start our economy by making it easier for small businesses to gain access to the capital they need in order to start up or expand their businesses and add jobs.

“Small businesses are the heart of the American economy,” said in announcing the measures. “They’re responsible for half of all private-sector jobs, and they created roughly 70 percent of all new jobs in the past decade. . . . But today, too many entrepreneurs can’t access the capital to start, operate or grow their business. Too many dreams are being deferred or denied by a form letter canceling a line of credit.”

The simple, but ugly truth is that the big banks are not lending small businesses the money they need.  This is in spite of sitting on trillions of dollars, some of which was the result of the massive Government funded bailout, or ‘transfer of wealth’ from the average American taxpayer to Wall Street banks, compliments of former President George W. Bush.

As pointed out by staff writers from the Washington Post, Treasury Secretary Timothy Gitner, “admonished the nation’s largest banks for withholding loans to many small businesses, telling the banks that they helped create the current mess and “bear a special responsibility for helping America get out of it” by increasing the flow of credit, especially since they have benefited from massive federal bailouts.

As a result of the big banks failure to help small businesses get access to the capital they need, President Obama stepped in and attempted to jump-start small businesses in this country by providing financial stimulus to the tune of $15 billion dollars in order to encourage the big banks to lend us our own money back! (with interest)

What this means is that the Government must intervene in order to coddle the big banks into lending small business owners money in this country.

This is truly unbelievable!!!

So, what are the Conservatives saying about all this?

Well, naturally, they are using “frames” to argue their point.  Conservative politicians also point out that small businesses are being denied access to the capital they need.  However, they must misinform the public by claiming that Government regulations, red tape and bureaucracy are to blame instead of the real culprit, which is the ‘Big Banks on Wall Street’.

Here are just a couple of illustrations of the “frames” being used by Conservative politicians in relation to the repackaged House bills that form the basis of the Republican Jobs Act.

This is just a snap shot of what it looks like when Republican politicians literally “frame” ‘Big Government’ for the actions being committed by the ‘Big Banks.’

As pointed out in the Washington Post article, “some critics said the government is relying on a broken program that may end up benefiting big banks and lenders more than small businesses. Through the SBA, lenders would see larger profits and take fewer risks than they would through ordinary loan programs. As a result, lenders could steer borrowers into the SBA program even when they qualify for ordinary loans, said Veronique de Rugy, a senior research fellow at the Mercatus Center at George Mason University. “This is a system that rewards banks,” she said.”

In the end, should we be more upset with the fact that we are all being “framed” to believe that ‘Big Government’ is to blame instead of ‘Big Banks’ for restricting access to capital for small business owners, or the fact that Conservative politicians in Washington are abusing their power by allowing ‘Big Banks’ to take advantage of Government programs such as the SBA to enrich members of the “privileged sector” at the expense of ordinary taxpayers.

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