ObamaCare Is Fascism? So Is The Federal Reserve.

And TARP. And Dodd-Frank.

So says Robert Romano for Investors.com here:

[ObamaCare] guarantees customers to large companies, in this case insurance providers that supported passage of the legislation, and in the process cartelizes the system.

In other words, private profits are being embedded into the law, and enforced by the bureaucracy, which will levy fines on individuals and employers that fail to comply with the mandates. ...

[T]he level of state control in this new system, and insurance industry participation in implementing it to its own benefit, is undeniable. It is corporatism defined.

One could compare it to the National Industrial Recovery Act of 1933 that implemented the National Recovery Administration, which may have been patterned after Mussolini's labor laws, as summarized in a 1991 Yale Law School study by James Whitman, before it was subsequently overturned by the Supreme Court.

Or the Federal Reserve Act of 1913, which gave privately owned banks the power to appoint regional Fed chairmen and outsourced creation of the public currency to a banking cartel.

Or more recently, one might examine the Troubled Asset Relief Fund (TARP), Dodd-Frank's "orderly liquidation fund" and the Fed's continued mortgage-backed securities purchase program — all bailout programs that privatize profits and socialize losses in the financial sector. More corporatism.

This country has been a veritable cornucopia of fascism since the days of Woodrow Wilson and FDR.

Has free market capitalism failed in the United States? It's hardly been tried.

Pittsburgh Tribune Review Agrees Obama Is Essentially A Fascist

According to an editorial in Saturday's Pittsburgh Tribune Review, here, agreeing with John Mackey the CEO of Whole Foods, Obama is essentially a fascist. The editorial approvingly quotes this definition of fascism by libertarian Sheldon Richman:

“As an economic system, fascism is socialism with a capitalist veneer. For those with the hubris to think they, not free markets, could better serve society, ‘fascism‘ (or as we prefer, 'fascistic economics') was seen as the happy medium between boom-and-bust-prone (classic) liberal capitalism, with its alleged class conflict, wasteful competition and profit-oriented egoism, and revolutionary Marxism.”

Just when you thought there's been no progress defining for the public who and what is Obama, a businessman and a newspaper provide some:

"The general parallels to Obamanomics are glaring. Throw in the specifics of ObamaCare — then consider forays into national industrial policy and state protection of organized labor cartels — and the parallels are blinding", the editorial says.

Not that America's odd mixture of socialism and capitalism is something new.

It was Herbert Hoover, as far as I know, who was the first liberal to identify the American phenomenon of a mixed economics. Hoover located it in the blended strongman presidency of FDR, which was based more on Roosevelt's admiration for Stalin, Mussolini and Hitler as leaders than it was on substantive convictions about the dismal science. The alphabet soup of government which we take for granted today is the direct descendant of Roosevelt's impulse to try something, try anything, until it worked. Well, they're still trying.

Under Roosevelt, perfectly good food was deliberately destroyed by government to keep it from reaching the market in order to support prices in a deflationary economy even as people went hungry all across the country. Today we deliberately devote half the corn crop to produce an expensive, politically correct fuel boosting the cost of food animals while the number of people on food stamps is at an all time high and consumer demand has fallen like a rock. In the immortal words of Curly, if at first you don't succeed, keep on sucking until you do succeed.

But Hoover the loser was on to something, even if calling the man who beat him an un-American dictator lover was beyond the pale for some people. History eventually proved Hoover right when FDR broke with American tradition dating from the founding by running for a third term, and then a fourth. It took until 1951 for the American people to wake up and put a stop to that, with the ratification of the 22nd Amendment. Some dictators are assassinated, others just end up in the circular file. In many ways, Roosevelt simply out-Hoovered Hoover's own liberalism. People forget that FDR ran on what amounted to a repudiation of Republican liberal economic interventionism in the economy, and promptly ramped it up beyond anyone's imagination after he was elected.

But the blended system in America surely began much earlier. We could dial it back probably all the way to Lincoln himself, which would be fitting if only because the current occupant of The White House who practices fascism goes to such great pains to style himself after him, the president who chose to make the principle of national union over sovereign States the new definition of America. That fact of working a revolution, of remaking the country, should trouble everyone who has an ounce of independence left flowing through his veins, which is what troubles so many people who hear Obama speak of transforming the country. For half of us, one such revolution was enough.

This year we might do well to reflect on a later example, however, seeing that it is the anniversary of the abolition of private banking 100 years ago. It's strangely coincidental. The Federal Reserve Act was signed into law in 1913 by a fanatical progressive Presbyterian named Woodrow Wilson, a Democrat who hated the encumbrances placed upon government by the constitutional order and wanted to forge a new world where nations disarmed, lived in peace and cooperated toward a common goal, with the US not at its then natural place, at the head. The Federal Reserve Act was passed in thoroughly partisan fashion by Democrats who had swept to power in the election of 1912 and rammed it through the Congress without Republican support. Their dollar then is now worth 4 cents.

If Woodrow Wilson doesn't yet remind you of Obama and ObamaCare, maybe its because after 100 years of the pernicious effects of American style fascism, you're just too poor to pay attention.

The Ignorant Statement Of The Day Comes From Jeff Immelt, Chairman Of GE

The ignorant statement of the day comes from Jeff Immelt, chairman of GE, here:

"The one thing that actually works, state run communism a bit– may not be your cup of tea, but their [Chinese] government works."

Communism is nothing if not "state-run", as in, run by the Communist Party. As it stands, the statement is meaningless.

Actually China's Communist Party practices a form of state capitalism, just like we do, which in the good old days was called fascism. And it only works until it doesn't, at the price of human repression, which goes unreported in the west. You know, like how many abortions were performed this week in Peoria or Shanghai. Still, I don't see a lot of people flocking to China. I see Chinese who have gotten rich trying to get out.

And whereas we build things that actually get used, using fiat currency, China builds things using fiat currency which don't get used, including massive numbers of buildings and highways. Of course, the grandmothers of Bolshevism in our country do the same thing as the Chinese. They build massive numbers of churches which are for the most part vacant all week.

You say socialism, I say national socialism, but let's call the whole thing off.

Do The Mussolini With Cabaret Voltaire

Video here.

UN Ambassador Susan Rice Does The Mussolini For Politico

Story here.

Obama's Enthusiasm For Bailouts Becomes National Socialism in Colorado Remarks

Obama views the GM auto bailout as an example of a successful government investment in the private sector, never mentioning, of course, that the success is at the expense of the former private investors in GM, its non-union elements, and of the tax-paying public. Without those, GM is still a failure, and should be again.

That Obama now says in Colorado that he wants to similarly rescue more companies, however, indicates that the bailout model was more to him than a one-off which he fortuitously inherited from the Republican establishment, an intellectually lazy cohort of Baby Boomers which long ago had betrayed free market principles. Obama's commitment to a model of government superintendence of private industry marks a new public face for an old familiar mixture of State and industry, the inspiration for which Herbert Hoover noted in his memoirs FDR had derived from Mussolini and the other strong men of Europe.

We all know what is the result of this type of thinking because we've already experienced it, not just in FDR's long failure, and not just in the recent auto company bailouts, but also in the rescue of the financial industry:

• more moral hazard which has allowed so-called private banking players like the five or ten biggest banks to take even more unwarranted risks and grow ever larger and more too big to fail than ever, knowing the public purse is backing them up;
• taxpayer-funded bailouts whose pain is never really felt by the taxpayers because, like most public spending, the bailouts are simply financed by more borrowing, which in their turn have only worsened the fiscal health of the nation and contributed to the loss of its once vaunted AAA rating;
• corruption of elected public officials and bureaucrats whose crimes destroy the public's consent to be governed, as witnessed by the rise of protest movements like the Tea Party and Occupy Wall Street, and by the capital strike by individual investors;
• picking winners like multinational GE and Wall Street firms who reaped huge rewards in the form of tax breaks and bonuses because of their close relationship with government, and therefore by definition also picking losers on Main Street like small banks and entrepreneurs who can't beat the system because it is rigged against them, crushing confidence in "capitalism";
• a complete repudiation of free market principles in which failure and bankruptcy become as unacceptable as saying "No" to the kids or as marking an "F" on a report card, unless for unrelated political reasons your industry happens to become a target for elimination, you know, like Chick-Fil-A, or the Roman Catholic Church in America.

Perhaps the most interesting thing about Obama's remarks in Colorado is the way he is now touting his commitment to this model in explicitly nationalistic terms, emphasizing his as a patriotic concern for the American people to bring their jobs home, and Romney's as an unpatriotic intent to export those jobs.

Obama's socialism has been deemed a distraction by establishment Republicans, who find all the purported links between Obama and the communist left made by conservatives just a little too disturbing for polite conversation. It reminds them too much of the McCarthy era. But now explicitly linked to nationalism, Obama's remarks become an opportunity to refocus the conversation on the coincidence of these elements in fascism, which the left has hitherto succeeded in attacking and marginalizing as a phenomenon of the right, of conservatism.

Locating Obama in fascism actually makes better sense of his presidency to date. It explains the disillusionment of the left with him as a sell-out who has had the temerity to spend so much of his time enjoying himself instead of pushing their agenda, crafting policy to maximize campaign contributions from favored industries, and throwing his weight around as Commander In Chief. After one year progressives were already ridiculing his administration as a squandered presidency. And fascism also coheres with the interpretation of his experience in Chicago where he allied himself with financial, insurance and real estate interests and the Democrat Party to take over the property of the South Loop,  enrich themselves, and further their political careers. The president's friendship with Jeffrey Immelt is not a bug. It's a feature. 

The historical reality is that the fight between the communists and the fascists was always a fight on the common ground of socialism, rather like the fight between Democrats and Republicans has been a fight on the common ground of liberalism. The radicalization which occurred in the arguments between socialists culminating in the Second World War occurred because the conservatism of a prior monarchical age had completely lost its tempering force in society. The civilization of Europe was completely overcome from within by a capitulation to eschaton-immanentizing ideologies before it destroyed itself from without in war. In that process, liberalism was the vanguard softening up the enemy for the totalitarianism to come. Conservatism was beside the point then, but not here, not now.

In the arguments between Democrats and Republicans in our time, matters have not yet degenerated into such violence because the unique contributions of conservatism from the American Founding still inform much of the body politic. And the most important of those contributions, derived from human and religious experience both, has been the self-limiting conviction that human nature is not perfectible and always remains a mixture of good and evil which no rearrangement of human affairs can alter.  In the person of Barack Obama, however, we have met with someone who explicitly asserts otherwise, as an ideologue, that the union is perfectible. He deliberately goes out of his way to attack those individuals and institutions who know, believe and say otherwise. And armed with the imperial accoutrements gathered by his predecessors in the presidency, one might say that the people actually face for the first time a real and foreign threat in charge of the executive, a foreigner in his heart, mind, and affections who keeps his past sealed precisely because the revelation that he once presented himself as a foreigner for his own advantage even though he was born in Hawaii would offend more than actually being a foreigner.

Liberalism is defenseless against this because it drinks from the same cup of idealism. This is why it keeps quiet and doesn't look too deeply into President Obama. It is afraid it might see its own reflection. And this is also why a liberal like Mitt Romney can't bring himself to entertain Obama's socialism, let alone his national socialism. If it worked, he'd actually agree with it.

ABC News has the most recent formulations of Obama's national socialist vision here:

"When the American auto industry was on the brink of collapse, more than 1 million jobs at stake, Gov. Romney said, let’s ‘let Detroit go bankrupt.’ I said I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back and GM is number one again. So now, I want to do the same thing with manufacturing jobs, not just in the auto industry, but in every industry. I don’t want those jobs taking root in places like China. I want them taking root in places like Pueblo.  Gov. Romney brags about his private sector experience, but it was mostly investing in companies, some of which were called “pioneers” of outsourcing.  I don’t want to be a pioneer of outsourcing.  I want to in-source.  I want to stop giving tax breaks to companies that are shipping jobs overseas.” ...

"When the American auto industry was on the brink of collapse, 1 million jobs at stake, Mr. Romney said, ‘Let Detroit go bankrupt.’  I said, let’s bet on America’s workers.  And we got management and workers to come together, making better cars than ever. And now, GM is number one again and the American auto industry has come roaring back.   So now, I want to say what we did with the auto industry, we can do it in manufacturing across America.  Let’s make sure advanced, high-tech manufacturing jobs take root here, not in China.  Let’s have them here in Colorado.  And that means supporting investment here.”

Yuval Levin Opens A Window On Obama's American Fascism

Yuval Levin opens a window on Obama's American fascism, noting its assault on the middle ground which separates the individual from The State:

Its approach to the private economy has involved pursuing consolidation in key industries — privileging a few major players that are to be treated essentially as public utilities, while locking out competition from smaller or newer firms. This both ensures the cooperation of the large players and makes the economy more manageable and orderly. And it leaves no one pursuing ends that are not the government’s ends. This has been the essence of the administration’s policies toward automakers, health insurers, banks, hospitals, and many others. ...

The [contraception] rule implicitly asserted that our nation will not tolerate an institution that is unwilling to actively ratify the views of those in power — that we will not let it be and find other ways to put those views into effect (even though many other ways exist), but will compel it to participate in the enactment of the ends chosen by our elected officials. This is an extraordinarily radical assertion of government power, and a failure of even basic toleration. It is, again, an attempt to turn private mediating institutions into public utilities contracted to execute government ends.

Read it all, here.

EU Fascism: Methinks Mr. Barroso Doth Protest Too Much Of Democracy

So does Ambrose Evans-Pritchard here, who for prudential reasons does not call Mr. Barroso's EU fascist, but he might as well have:

I would accept that six or seven of the EU states are genuine long-established democracies. Others are – frankly, to borrow Mr Barroso’s diction – on probation, in historical terms. Some do not qualify at all. (I refrain from naming them for fear of extradition by one of their politico-magistrates under the European Arrest Warrant scheme, sold to voters as an anti-terrorism device and now used to muzzle free speech).

As for the EU itself, the organisation toppled the elected governments of Italy and Greece last year, replacing them with EU technocrats.

It ignored the NO votes to the European Constitution in France and The Netherlands, ramming through the slightly-altered text as the Lisbon Treaty without referendums – except in Ireland. When the Irish voted NO to that as well, they too were ignored.

That was the moment when the EU crossed the line altogether and lost fundamental legitimacy (at least for me). Lisbon is a rogue Treaty. Mr Barroso – charming though he may be – is a rogue president of a rogue Commission.

The whole construct has become authoritarian and will become autocratic if this crisis is exploited to force through fiscal union.

So we face democratic danger if they take the necessary steps to rescue the euro, and we face financial danger if they don’t.

Thanks a lot.

It's not like the analogy hasn't occurred to him very recently, either, as here:

It was for this outcome that the Greece’s elected government was toppled last year in an EU Putsch. We now learn from ex-premier George Papandreou that this was "all Sarkozy’s fault".

France’s leader refused to let Papandreou call a referendum on the bail-out terms (which would almost certainly have passed), and Chancellor Angela Merkel went along with this shoddy act of EU colonialism. The EU threatened, in effect, to cut off Troika payments. The PASOK government was replaced by an EU-appointed technocrat. ...

Year after year of "internal devaluation" will drive [Greek] unemployment to catastrophic levels before it breaks the back of the labour movement sufficiently to clear the way for drastic pay cuts. It is basically a Fascist policy. Mussolini pulled it of in 1928 under the Lira Forte policy, but he had coercive advantages.

What A Shock: The New Republic Defends Crony Capitalism

Michael Kazin for The New Republic here argues that crony capitalism isn't really that big a deal because it is pretty much as old as the old Republic itself, except he skips the founders and begins in the nineteenth century.

It doesn't occur to him that perhaps crony capitalism suggested itself to so many Americans because they drank from the well of monarchy for so long. No thoughtful person who respects the founders imagines they were inoculated from the failings attendant upon all natures mixed with good and evil. The left delights in pointing this out, whereas the true right mentions it as a cautionary tale.

We are monarchy's lesser children because of people like John Locke, who was at pains to remind us that "is" does not always mean "ought", else we should, for example, beget and raise children to sell them into slavery because it was done, sometime, somewhere, in the past. Reason is necessary. Respecting ancient practice is not the essential meaning of conservatism, try as the left does to reduce it always to such a formulation. They are the terrible simplifiers still.

The greater children of monarchy are the strong men of Europe who drank deeply from the well of Marx after centuries of experience with kings and queens. Hitler, Stalin and Mussolini were thus hyperbolic, aberrant, monarchists, and insofar as leftists like Wilson and FDR reinfected America with their example was to no good purpose, no matter how much The New Republicans say so to the contrary.

Curley Practising "The Mussolini" in 'Movie Maniacs' (1935)

(see it here)

The Hitch on G.K. Chesterton as Fascist Fellow Traveler

Seen here:

"[Chesterton's] idea of a body [the Roman Catholic Church] that actually did all the official thinking was probably not unrelated to the Mussolini concept of the corporate state. This would be repulsive to the English and American tradition."

Only until FDR, of course, who paved the way in America for the acceptance of the concept of the president as the blended strong man, as described in the memoirs of President Herbert Hoover.

In Spengler's phrase: "There is no contradiction between economic liberalism and socialism."

Can there be any other explanation for the three year somnolence of the 30 million strong Catholic Church in America while a ne'er-do-well poseur attempts to overthrow the country? Roman Catholics are incapable of recognizing tyranny, let alone stopping it, since they actually identify with a divine one. In fact, until recently Obama's social program and Catholics' have been virtually indistinguishable. Which is rather the point of Hitchen's critique of religion, and its heaven as the "Celestial North Korea."

Like many religious groups in America, Catholicism represents a country within the country and is only the most recent but vivid example of our continuing Balkanization and inevitable dissolution as one nation under the Protestant God.

The wall separating church and state in America was not built by Rome.

Even Ron Paul Does The Mussolini

The Obama Jobs Bill 'Right Now' Farce

Jobs 'right now' had to wait for Obama's August vacation to conclude, and for over 2.5 years of his first, and hopefully last, term of office.

Then 'right now' got serious in the speech to Congress in early September, where he actually said 'right now' seven times.

News outlets reported Obama actually had a bill on paper to introduce on the day of the speech.

Obama waved around for the cameras over a hundred pages of something he claimed was the jobs bill.

But despite 'right now' a bill hasn't been introduced in the House, and now Democrats in the Senate expect to have a bill sometime in October, about a month from the fierce urgency of 'right now'.

Andrew Malcolm ridicules the whole thing here in The Los Angeles Times:

Well, here we are on the next Monday after that next Monday and we've just learned from the No. 2 Democrat in the Senate, Dick Durbin, that actually it seems that body won't really be seriously getting into the legislation for a while yet. The Senate has some other more important business to handle. And then there's this month's congressional vacation, which in Washington is called "a recess," like elementary school. 

Communist idlers.

Oh yeah. Great shot of Obama doing The Mussolini, too:

The blended strongman

Good Night Irene: Sometimes Communism is Suicidal

Some times I live in the country

Some times I live in town

Some times I take a great notion

To jump in the river and drown

Irene good night Irene good night

Good night Irene Good night Irene

I'll see you in my dreams

Notice the Mussolini!

(see it here)

Obama's Corrupt, Fascist, Mussolini Style Noted by Self-Described Centrist

It's a red letter day for us when we get to note two attacks on Obama which do not originate from the right (although Richard Posner of The University of Chicago and now Yves Smith of Naked Capitalism are to the right of Obama), especially when both attacks insist on the meaning of words, like "depression" and "fascism."

Here's Smith's contribution:

It is high time to describe the Obama Administration by its proper name: corrupt.

Admittedly, corruption among our elites generally and in Washington in particular has become so widespread and blatant as to fall into the “dog bites man” category. But the nauseating gap between the Administration’s propaganda and the many and varied ways it sells out average Americans on behalf of its favored backers, in this case the too big to fail banks, has become so noisome that it has become impossible to ignore the fetid smell.

The Administration has now taken to pressuring parties that are not part of the machinery reporting to the President to fall in and do his bidding. We’ve gotten so used to the US attorney general being conveniently missing in action that we have forgotten that regulators and the AG are supposed to be independent. As one correspondent noted by e-mail, “When officials' allegiances are to El Supremo rather than the Constitution, you walk the path to fascism.” ...

[T]he bullying of [New York state attorney general Eric] Schneiderman looks to be misguided, since the settlement is likely to fall apart. But it is nevertheless germane because it reveals the Administration’s warped thinking and sense of priorities. As we’ve said, the Administration’s decision to cast its lot with the banks in early 2009 dictated its course of action:

     Obama’s incentives are to come up with “solutions” that paper over problems, avoid meaningful conflict with the industry, minimize complaints, and restore the old practice of using leverage and investment gains to cover up stagnation in worker incomes. Potemkin reforms dovetail with the financial service industry’s goal of forestalling any measures that would interfere with its looting. So the only problem with this picture was how to fool the now-impoverished public into thinking a program of Mussolini-style corporatism represented progress.

Everybody's Doin' A Brand New Dance Now: The Mussolini

Carole King - Locomotion


LOCOMOTION
by Gerry Goffin and Carole King

Everybody's doin' a brand new dance now

Come on baby do the locomotion Mussolini
I know you'll get to like it if you give it a chance now
Come on baby do the locomotion Mussolini

My little baby sister can do it with ease
It's easier than learning your ABC's

So come on, come on do the locomotion Mussolini with me

You gotta swing your hips now
Come on baby jump up jump back
Oh well, I think you've got the knack

Now that you can do it let's make a chain some pain now
Come on baby do the locomotion Mussolini
Chug-a-chug a motion like a railroad train now nuke plant meltdown
Come on baby do the locomotion Mussolini

Do it nice and easy now and don't lose control
A little bit of rhythm and a lot of soul

Come on, come on do the locomotion Mussolini with me

Move around the floor in a locomotion like a king-sized Weenie
Come on baby do the locomotion Mussolini
Do it holdin' hands if you get the notion you big fascist Meanie
Come on baby do the locomotion Mussolini

There's never been a dance that's so easy to do
It even makes you happy wealthy when you're feeling blue
Come on, come on do the locomotion Mussolini with me

(original lyrics here)

Secretary of State Hillary Mussolini

Hey Obama! This is How It's Done!

The Most Important Investing Advice You Can Read, Maybe Ever

Il Duce

From "Why Politics and Investing Don't Mix" by Barry Ritholtz in The Washington Post, this time without a single typo:

Liquidity is a major factor in how the economy and stock markets perform. Trillions of dollars in fresh cash was very likely to goose equities higher [in 2003]. (Sound familiar?)

And maybe the best thing he's ever written, too.

Read it all, here.

P.S. Martin Walker said as much on May 8, 2009 on The McLaughlin Group, as we pointed out here. Nerves of steel those guys have, and guts of iron.

RC Whalen Wants Us To Declare FDR's 'Emergency' Over Already

Some excerpts:

President Herbert Hoover said of the New Deal that it was an attempt to crossbreed Socialism, Fascism and Free Enterprise, part of a collectivist revolution led by FDR and carried within the Trojan horse of economic emergency. ...

The second half of volume three of President Hoover’ s memoir, The Great Depression, contains a scathing critique of his successor -- and also an admission of personal responsibility for the catastrophe. It features several times the word “ fascism ” to describe many Roosevelt-era prescriptions for fighting the Depression, a blunt reminder that much of what FDR did during these dark years was borrowed from the strong men of Europe — Mussolini in Italy, Hitler in Germany, and Stalin in Russia.

Don't miss the rest, here.