Wednesday, January 20, 2010

Obama - one term president?

Massachusetts has just elected a little-known Republican who once suggested Obama was a foreigner disqualified to become president.

This seat had been held by the late Ted Kennedy for 46 years -- that's 5 decades or nearly 2 generations. Massachusetts has always been "liberal". IT was the only state who voted for George McGovern in his failed attempt to run for Presidency. It is the home to Harvard, MIT, Tufts, Wellesley, Boston University, Brandeis University (just to name the obvious) that are as "liberal" as they come. It is a highly educated state. So, why did they vote for a Republican whose party these days stands for backward looking, somewhat racist policies?

The answer, my friends, is NOT blowing in the wind. The answer is this: Main Street has been angry at how the White House, guided by the Summers/Geithner/Bernanke crowd had handed out near blank checks to Wall Street with little accountability while Main Street gets the shaft.

Never mind Hank Paulson under Bush first started the handout. One reason Obama won big was the overwhelming desire by the people to right the wrongs under Bush.

I have been writing on this for sometime. In fact, the entire raison d'etre of this blog was to write about how Wall Street had been accessories to the financial firestorm while the White House, both under Bush and now Obama, has been treating that crowd as victims.

Obama has to take the blame for the disaster in Massachusetts as the buck stops there. He never should have hired Summers and Geithner as many had warned but their criticisms fell on deaf ears. Geithner and Summer continued Paulson's policy of handing out blank checks to save those "too big to fail". That crowd shooed away Paul Volcker who had been preaching a different tune reigning in Wall Street.

Now, its too late. Mega money had already gone into Wall Street's pockets, in fact, to a relatively few hands. And Obama's Health Bill maybe in jeopardy which was to his mind going to be the jewel in his political crown.

How quickly has the fortune of the Democratic Party turned sour to everyone's surprise. The Republican Party was to be a permanent minority party after 2 disastrous terms under Bush. But now the entire equation has been turned upside down. Will Obama understand his failure and then try to redress his problems?

Until I see him firing Geithner and Summers, frankly, I doubt it.

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