Economic Strategery

Now, I'm just sayin'...

Did we mention John McCain doesn't know much about the economy? Not that we need to - he's reminded us often in the past:

January, 2000: Seeking to explain his shift on economic issues, McCain claimed: “I didn’t pay nearly the attention to those issues in the past. I was probably a ’supply-sider’ based on the fact that I really didn’t jump into the issue.”

June 2008: Carly Fiorina, a top McCain adviser, acknowledged that McCain has said he knows little about the economy, noting that “he did say it one time, no question, maybe twice.”

December, 2007: “The issue of economics is not something I’ve understood as well as I should,” McCain said. “I’ve got Greenspan’s book.”

Now, that's nice of him to be straight with us on his dearth of economic expertise, but does he really need to keep reminding us? It's really unsettling. This morning, though, during a testy exchange on MSNBC's Morning Joe, McCain gave his book report on Republicanomics:

"...Wall Street has betrayed us. They've broken the social contract between capitalism and the average citizen and the worker, and the workers are paying a very heavy price while a lot of them are not only emerging unscathed, but some of them left with packages of a hundred million dollars or so."

(As an added bonus, watch as McCain gets cranky with Mika, calling her an Obama supporter in an attempt to discredit and marginalize her and then calling it a "cheap shot" when she points out that her brother works for McCain. Joe actually comes to her defense as everyone on set seems a little shocked at McCain's testiness.)

Now, I've racked my brain trying to figure out where amongst this string of b.s. McCain thinks a social contract exists in capitalism. First, let us assume that he has the economic knowledge of a 10th grade civics student and knows that American capitalism is not pure capitalism (though I would love for a reporter to ask him to define and distinguish the two). Deconstructing his statement, there is no other conclusion except McCain believes some social, humanitarian "obligation" exists in American "Capitalism Lite". I can only guess the Senator has been skimming his Adam Smith cliffs notes. Back in the 18th Century, Smith was a fervent advocate of the theory that the free market, pitting rational self-interest and competition against a social framework that values moral responsibility leads to economic prosperity. In short, the "social contract" to which McCain refers is a hope that individuals get tired of acquiring wealth - also known as a "fantasy". Sound familiar? It's Republicanism and Bush Economics at its finest. He's saying that everyone is out to make as much money as they can - until they see they're hurting the little guy and then they benevolently stop and help the market redistribute the wealth. It's bunk. Time and again, self-interest inevitably trumps moral obligation in our economy (e.g., Enron, golden parachutes, Exxon-Mobil windfall profits, skyrocketing cost of living). The fulcrum of McCain's confused and muddled criticism of the economy is a half-hearted and insincere wag of the finger at Wall Street: "Don't be so greedy, markets! Shame on you! (oh, and here, enjoy another big cut in the capital gains tax so you can keep more of the money you made doing nothing!)"

In sum, McCain's economic "philosophy" is exposed again as more of the same: deregulation, less oversight, rich-get-richer, trickle-down voodoo. John McCain may not "get it" when it comes to your kitchen table, but he sure knows on which side his bread is buttered.

Sadly, it doesn't stop there. How can you fix the economy if you don't think it's broken? Flying in the face of reality, McCain cued up his favorite "golden oldie" yesterday morning:

"Our economy, I believe, still, the fundamentals of our economy are strong..."

John McCain said this as Wall Street was in the middle of its worst day since September 11, 2001; on the same day Lehman Brothers (a firm that survived the Great Depression, by the way) filed for Chapter 11 and Merrill Lynch sold out to Bank of America. He said this in the wake of Bear Stearns, Fannie Mae, Freddie Mac, AIG in trouble, nervous eyes on Goldman Sachs and Morgan Stanley... the list goes on...

Which prompted a hard left hook from the Obama campaign:



One begins to wonder if saying John McCain will continue George W. Bush's economic policies gives McCain too much credit.

I'm just sayin'...