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Dithering

by The Reverend on December 4, 2009

in 2008 election, Barack Obama, economy, health care

Many on the left thought that the Obama White House, once in place, would quickly seek to rein in the titans of Wall Street. After all, what happened in the fall of 2008 when Hank Paulson temporarily took over the George W. Bush presidency…..was no small deal. The U.S came as close to a total financial collapse as I've ever seen.

Yes, in the fall of 2008, the Bush administration did recognize the imminent danger caused by uncontrolled greed and unaccountable money schemers gone wild…..and acted to alleviate ripple effect damage by shoring up the very financial institutions which created the problem.

But Americans were unhappy with the bailouts of the banks and money schemers. Rightfully so. Bush's boys put a "we love you" bandaid on the problem, hugging all their buddies from Goldman, AIG, etc,….handing them tax dollars so they could party on.

Obama followed Bush's lead. Asked early on what his biggest disappointment as president had been, Obama responded that he was disappointed that he couldn't get the banks to do what he wanted them to do. Dick Durbin (D-IL), said from the floor of the Senate that banksters "owned" the government.

Soon, new reports of huge bonuses to Wall Street schemers circulated causing working class Americans to really get steamed.

Back in March of this year, even progressives thought that the inequality reflected in bailing out banksters would lead to some social backlash…….

"That day is not yet here, but it’s closer than it has ever been, and its possibility cannot be discounted. Barack Obama smells the public mood, and is trying to respond to it in a grown-up and non-incendiary way."

If only…

My point today is this….Obama's administration made a huge mistake early this year by not emphatically demanding from Congress a new regulation plan for the financial industry. He had earned significant political capital with his huge electoral win and Americans were in no mood for more coddling of the money shufflers. Early this year, when the new revelations about even more "bonuses" for the bailed-out money schemers were circulating….was the time to act, and act decisively. Instead of doing that, Obama chose to introduce his conservative health care reform plan.

If the House is taken back by the Republicans in 2010 (I shutter at the thought)….Obama helped to aid that takeback by refusing to act early on……clamping down hard on the banksters who led us to the brink of ruin. Independent and moderate American voters wanted the feds to actually do something, not only to punish the evildoers on Wall Street…but also to ensure that the nation's financial security couldn't be so easily jeopardized down the road.

Nothing happened. Nothing has changed. No new regulations, no elimination or control of mortgage derivatives, no moratorium on credit default swaps…..nothing. Banksters were given virtually unlimited access to near-zero-percent cash from the FED….and they have been using that cash to gamble on stocks and commodities ever since…while they also have been raising fees and interest rates on most Americans, tightening credit daily. That's why the Dow is up.

The banksters handed all "risk" for saving our economy over to the feds, and Congress responded by passing a conservative, watered down, tax-cut-laden, small-ball, stimulus bill. But no new restrictions for the industry which sold us out.

Instead of insisting on bankster re-regulation first….Obama moved to health care reform. Now, we're facing a watered-down, conservative, insurance and big pharma-friendly health reform bill which appears similar to the Bush Medicare Plan D giveaway to Big For-Profit Insurance.

Because Democrats needed more Democratic senators to pass effective health care reform legislation, (58 Democratic senators when Obama was inaugurated), my calculation was that Obama should wait until after the 2010 election to tackle health care reform. When the year started, the prospects of Democrats gaining even more senate seats in 2010, were good. 62-64 Democratic senators would have made the chances of progressive health care reform possible.

Now, our chances are not so good.

This wouldn't have been the case if the banksters had been frontally attacked back in the spring. Populism shouldn't be the basis for all decisions…..but in the case of the bankster backlash…..instead of Obama harnessing that populism to his electoral wagon through bankster reform….he and Rahm squandered the opportunity.

Hindsight is 20/20…I understand that.

Obama did not "dither" on how to finish up Bush's languishing Commander Guy wars. He dithered ignorantly over "bipartisanship"…..when bipartisanship required serious conservative brokers….an obviously extinct species. Obama and his Chief of Staff have dithered with health care reform, allowing extremist conservatives to grab the wingnut-media megaphone and industry shills to dictate terms.

But Obama's most egregious dithering came with his dealing with the biggest domestic problem we faced…..the banksters. Those responsible for that 10% unemployment number, those who pre-meditatively put our entire nation's future at risk with their insatiable greed and addiction to reckless gambling……have, as yet, gone unchallenged.

For our nation's economic well being….and for the prospects of authentic progressive "change" in a country led into a ditch by conservative forces over three decades…..it's a shame.

{ 20 comments… read them below or add one }

San Diego Joe December 4, 2009 at 1:46 pm

In regards to the excessive bonuses, this was from a prominent class action attorney "One legal problem to be surmounted is that the federal government itself has no statutory authority to sue to recover excessive compensation paid officers of public companies. "

What they would need to do if any entity of the federal government owns stock in a bank(Pension Benefit Guarantee Corp for example), they could file a class action derivative suit.

Jeff December 4, 2009 at 2:08 pm

Thats the answer more and more government.

Has it worked in the last 70 plus years?

Either you have not been clued into the progressive plan to bring marxism and the central control government it requires to this nation, or you are just a shill for the end of freedom.

The Reverend December 4, 2009 at 3:21 pm

San Diego….what the feds COULD have done was broken up the failed companies. What the feds could have done was rescinded the Graham-Leach legislation. They could have regulated the unnaccountable commodities trading industry…still the same as it was when Enron was in the headlines.

I mentioned the bonuses, not that 'legally' the government could have prevented them….but because the bonuses were, rightfully, the source of populist outrage. Obama could have ridden those bonuses, politically, to meaningful legislation. Now, I fear it's too late.

Jeff…yes, in the past 70 years, the only progress in America has been because government passed progressive legislation. I'm not quite sure why you seem oblivious to that government-led progress.

As you continue to channel Glenny and Sean….you might want to consider that marxism has been rejected a long time ago. Liberals in America are not marxists.
Additionally, if it hadn't have been for liberals……there would be no freedom in America today. Just, you know, something to consider in between watching your FOX heroes.

Jeff December 4, 2009 at 3:39 pm

Liberals are not Marxist, maybe, but Marxists hide in the shadows of american liberalism, and they are now at the fore front. McCarthy has been proven correct.
Van Jones, Anita Dunn, Carol Browner, Alinsky, Ayers, to name a few are admitted MARXISTS, they are for central government, they are for redistribution of wealth, SEIU President even says workers of the world unite. Here is some truth for you to digest from: The American Daughter Media Center. So with all these Marxist surrounding Barry the Usurper, what do you think his political leaning is.

Front Page
To do some daily good
permalink The Cloward-Piven Strategy, Part II: Barack Obama and the Strategy of Manufactured Crisis

By Jim Simpson | Monday, September 29th, 2008 at 7:15 pm

America waits with bated breath while Washington struggles to bring the U.S. economy back from the brink of disaster. But many of those same politicians caused the crisis, and if left to their own devices will do so again.

Despite the mass media news blackout, a series of books, talk radio and the blogosphere have managed to expose Barack Obama’s connections to his radical mentors – Weather Underground bombers William Ayers and Bernardine Dohrn, Communist Party member Frank Marshall Davis and others. David Horowitz and his Discover the Networks.org have also contributed a wealth of information and have noted Obama’s radical connections since the beginning.

Yet, no one to my knowledge has connected all the dots between Barack Obama and the Radical Left. When seen together, the influences on Obama’s life comprise a who’s who of the radical leftist movement, and it becomes painfully apparent that not only is Obama a willing participant in that movement, he has spent most of his adult life deeply immersed in it.

But even this doesn’t fully describe the extreme nature of this candidate. He can be tied directly to a malevolent overarching strategy that has motivated many, if not all, of the most destructive radical leftist organizations in the United States since the 1960s.
The Cloward-Piven Strategy of Orchestrated Crisis

In an earlier post, I noted the liberal record of legislative disasters, the latest of which is now being played out in the financial markets before our eyes. Before the 1994 Republican takeover, Democrats had sixty years of virtually unbroken power in Congress – with substantial majorities most of the time. Can a group of smart people, studying issue after issue for years on end, with virtually unlimited resources at their command, not come up with a single policy that works? Why are they chronically incapable?

Why?

One of two things must be true. Either the Democrats are unfathomable idiots, who ignorantly pursue ever more destructive policies despite decades of contrary evidence, or they understand the consequences of their actions and relentlessly carry on anyway because they somehow benefit.

I submit to you they understand the consequences. For many it is simply a practical matter of eliciting votes from a targeted constituency at taxpayer expense; we lose a little, they gain a lot, and the politician keeps his job. But for others, the goal is more malevolent – the failure is deliberate. Don’t laugh. This method not only has its proponents, it has a name: the Cloward-Piven Strategy. It animates their agenda, tactics, and long-term strategy.

The Strategy was first elucidated in the May 2, 1966 issue of The Nation magazine by a pair of radical socialist Columbia University professors, Richard Andrew Cloward and Frances Fox Piven. David Horowitz summarizes it as:

The strategy of forcing political change through orchestrated crisis. The “Cloward-Piven Strategy” seeks to hasten the fall of capitalism by overloading the government bureaucracy with a flood of impossible demands, thus pushing society into crisis and economic collapse.

Cloward and Piven were inspired by radical organizer [and Hillary Clinton mentor] Saul Alinsky:

“Make the enemy live up to their (sic) own book of rules,” Alinsky wrote in his 1989 book Rules for Radicals. When pressed to honor every word of every law and statute, every Judeo-Christian moral tenet, and every implicit promise of the liberal social contract, human agencies inevitably fall short. The system’s failure to “live up” to its rule book can then be used to discredit it altogether, and to replace the capitalist “rule book” with a socialist one. (Courtesy of Discover the Networks.org)

Newsmax rounds out the picture:

Their strategy to create political, financial, and social chaos that would result in revolution blended Alinsky concepts with their more aggressive efforts at bringing about a change in U.S. government. To achieve their revolutionary change, Cloward and Piven sought to use a cadre of aggressive organizers assisted by friendly news media to force a re-distribution of the nation’s wealth.

In their Nation article, Cloward and Piven were specific about the kind of “crisis” they were trying to create:

By crisis, we mean a publicly visible disruption in some institutional sphere. Crisis can occur spontaneously (e.g., riots) or as the intended result of tactics of demonstration and protest which either generate institutional disruption or bring unrecognized disruption to public attention.

No matter where the strategy is implemented, it shares the following features:

* The offensive organizes previously unorganized groups eligible for government benefits but not currently receiving all they can.
* The offensive seeks to identify new beneficiaries and/or create new benefits.
* The overarching aim is always to impose new stresses on target systems, with the ultimate goal of forcing their collapse.

Capitalizing on the racial unrest of the 1960s, Cloward and Piven saw the welfare system as their first target. They enlisted radical black activist George Wiley, who created the National Welfare Rights Organization (NWRO) to implement the strategy. Wiley hired militant foot soldiers to storm welfare offices around the country, violently demanding their “rights.” According to a City Journal article by Sol Stern, welfare rolls increased from 4.3 million to 10.8 million by the mid-1970s as a result, and in New York City, where the strategy had been particularly successful, “one person was on the welfare rolls… for every two working in the city’s private economy.”

According to another City Journal article titled “Compassion Gone Mad”:

The movement’s impact on New York City was jolting: welfare caseloads, already climbing 12 percent a year in the early sixties, rose by 50 percent during Lindsay’s first two years; spending doubled… The city had 150,000 welfare cases in 1960; a decade later it had 1.5 million.

The vast expansion of welfare in New York City that came of the NWRO’s Cloward-Piven tactics sent the city into bankruptcy in 1975. Rudy Giuliani cited Cloward and Piven by name as being responsible for “an effort at economic sabotage.” He also credited Cloward-Piven with changing the cultural attitude toward welfare from that of a temporary expedient to a lifetime entitlement, an attitude which in-and-of-itself has caused perhaps the greatest damage of all.

Cloward and Piven looked at this strategy as a gold mine of opportunity. Within the newly organized groups, each offensive would find an ample pool of foot soldier recruits willing to advance its radical agenda at little or no pay, and expand its base of reliable voters, legal or otherwise. The radicals’ threatening tactics also would accrue an intimidating reputation, providing a wealth of opportunities for extorting monetary and other concessions from the target organizations. In the meantime, successful offensives would create an ever increasing drag on society. As they gleefully observed:

Moreover, this kind of mass influence is cumulative because benefits are continuous. Once eligibility for basic food and rent grants is established, the drain on local resources persists indefinitely.

The next time you drive through one of the many blighted neighborhoods in our cities, or read of the astronomical crime, drug addiction, and out-of-wedlock birth rates, or consider the failed schools, strapped police and fire resources of every major city, remember Cloward and Piven’s thrill that “…the drain on local resources persists indefinitely.”
ACORN, the new tip of the Cloward-Piven spear

In 1970, one of George Wiley’s protégés, Wade Rathke – like Bill Ayers, a member of the radical Students for a Democratic Society (SDS) – was sent to found the Arkansas Community Organizations for Reform Now. While NWRO had made a good start, it alone couldn’t accomplish the Cloward-Piven goals. Rathke’s group broadened the offensive to include a wide array of low income “rights.” Shortly thereafter they changed “Arkansas” to “Association of” and ACORN went nationwide.

Today ACORN is involved in a wide array of activities, including housing, voting rights, illegal immigration and other issues. According to ACORN’s website: “ACORN is the nation’s largest grassroots community organization of low- and moderate-income people with over 400,000 member families organized into more than 1,200 neighborhood chapters in 110 cities across the country,” It is perhaps the largest radical group in the U.S. and has been cited for widespread criminal activity on many fronts.
Voting

On voting rights, ACORN and its voter mobilization subsidiary, Project Vote, have been involved nationwide in efforts to grant felons the vote and lobbied heavily for the Motor Voter Act of 1993, a law allowing people to register at motor vehicle departments, schools, libraries and other public places. That law had been sought by Cloward and Piven since the early1980s and they were present, standing behind President Clinton at the signing ceremony.

ACORN’s voter rights tactics follow the Cloward-Piven Strategy:

1. Register as many democrat voters as possible, legal or otherwise and help them vote, multiple times if possible.
2. Overwhelm the system with fraudulent registrations using multiple entries of the same name, names of deceased, random names from the phone book, even contrived names.
3. Make the system difficult to police by lobbying for minimal identification standards.

In this effort, ACORN sets up registration sites all over the country and has been frequently cited for turning in fraudulent registrations, as well as destroying republican applications. In the 2004-2006 election cycles alone, ACORN was accused of widespread voter fraud in 12 states. It may have swung the election for one state governor.

ACORN’s website brags:

“Since 2004, ACORN has helped more than 1.7 million low- and moderate-income and minority citizens apply to register to vote.”

Project Vote boasts 4 million. I wonder how many of them had a pulse. For the 2008 cycle, ACORN and Project Vote have pulled out all the stops. Given their furious nationwide effort, it is not inconceivable that this presidential race could be decided by fraudulent votes alone.

Barack Obama ran ACORN’s Project Vote in Chicago and his highly successful voter registration drive was credited with getting the disgraced former Senator Carol Moseley-Braun elected. Newsmax reiterates Cloward and Piven’s aspirations for ACORN’s voter registration efforts:

By advocating massive, no-holds-barred voter registration campaigns, they [Cloward & Piven] sought a Democratic administration in Washington, D.C. that would re-distribute the nation’s wealth and lead to a totalitarian socialist state.

Illegal Immigration

As I have written elsewhere, the Radical Left’s offensive to promote illegal immigration is “Cloward-Piven on steroids.” ACORN is at the forefront of this movement as well, and was a leading organization among a broad coalition of radical groups, including Soros’ Open Society Institute, the Service Employees International Union (ACORN founder Wade Rathke also runs a SEIU chapter), and others, that became the Coalition for Comprehensive Immigration Reform. CCIR fortunately failed to gain passage for the 2007 illegal immigrant amnesty bill, but its goals have not changed.

The burden of illegal immigration on our already overstressed welfare system has been widely documented. Some towns in California have even been taken over by illegal immigrant drug cartels. The disease, crime and overcrowding brought by illegal immigrants places a heavy burden on every segment of society and every level of government, threatening to split this country apart at the seams. In the meantime, radical leftist efforts to grant illegal immigrants citizenship guarantee a huge pool of new democrat voters. With little border control, terrorists can also filter in.

Obama aided ACORN as their lead attorney in a successful suit he brought against the Illinois state government to implement the Motor Voter law there. The law had been resisted by Republican Governor Jim Edgars, who feared the law was an opening to widespread vote fraud.

His fears were warranted as the Motor Voter law has since been cited as a major opportunity for vote fraud, especially for illegal immigrants, even terrorists. According to the Wall Street Journal: “After 9/11, the Justice Department found that eight of the 19 hijackers were registered to vote…”

ACORN’s dual offensives on voting and illegal immigration are handy complements. Both swell the voter rolls with reliable democrats while assaulting the country ACORN seeks to destroy with overwhelming new problems.
Mortgage Crisis

And now we have the mortgage crisis, which has sent a shock wave through Wall Street and panicked world financial markets like no other since the stock market crash of 1929. But this is a problem created in Washington long ago. It originated with the Community Reinvestment Act (CRA), signed into law in 1977 by President Jimmy Carter. The CRA was Carter’s answer to a grassroots activist movement started in Chicago, and forced banks to make loans to low income, high risk customers. PhD economist and former Texas Senator Phil Gramm has called it: “a vast extortion scheme against the nation’s banks.”

ACORN aggressively sought to expand loans to low income groups using the CRA as a whip. Economist Stan Leibowitz wrote in the New York Post:

In the 1980s, groups such as the activists at ACORN began pushing charges of “redlining”—claims that banks discriminated against minorities in mortgage lending. In 1989, sympathetic members of Congress got the Home Mortgage Disclosure Act amended to force banks to collect racial data on mortgage applicants; this allowed various studies to be ginned up that seemed to validate the original accusation.

In fact, minority mortgage applications were rejected more frequently than other applications—but the overwhelming reason wasn’t racial discrimination, but simply that minorities tend to have weaker finances.

ACORN showed its colors again in 1991, by taking over the House Banking Committee room for two days to protest efforts to scale back the CRA. Most significant of all, ACORN was the driving force behind a 1995 regulatory revision pushed through by the Clinton Administration that greatly expanded the CRA and laid the groundwork for the Fannie Mae, Freddie Mac borne financial crisis we now confront. Barack Obama was the attorney representing ACORN in this effort. With this new authority, ACORN used its subsidiary, ACORN Housing, to promote subprime loans more aggressively. Barack Obama represented ACORN in this effort.

As a New York Post article describes it:

A 1995 strengthening of the Community Reinvestment Act required banks to find ways to provide mortgages to their poorer communities. It also let community activists intervene at yearly bank reviews, shaking the banks down for large pots of money.

Banks that got poor reviews were punished; some saw their merger plans frustrated; others faced direct legal challenges by the Justice Department.

Flexible lending programs expanded even though they had higher default rates than loans with traditional standards. On the Web, you can still find CRA loans available via ACORN with “100 percent financing . . . no credit scores . . . undocumented income . . . even if you don’t report it on your tax returns.” Credit counseling is required, of course.

Ironically, an enthusiastic Fannie Mae Foundation report singled out one paragon of nondiscriminatory lending, which worked with community activists and followed “the most flexible underwriting criteria permitted.” That lender’s $1 billion commitment to low-income loans in 1992 had grown to $80 billion by 1999 and $600 billion by early 2003.

The lender they were speaking of was Countrywide – rescued by Bank of America in July – which specialized in subprime lending and had a working relationship with ACORN.

Investor’s Business Daily added:

The revisions also allowed for the first time the securitization of CRA-regulated loans containing subprime mortgages. The changes came as radical “housing rights” groups led by ACORN lobbied for such loans. ACORN at the time was represented by a young public-interest lawyer in Chicago by the name of Barack Obama. (Emphasis, mine.)

Since these loans were to be underwritten by the government sponsored Fannie Mae and Freddie Mac, the implicit government guarantee of those loans absolved lenders, mortgage bundlers and investors of any concern over the obvious risk. As Bloomberg reported: “It is a classic case of socializing the risk while privatizing the profit.”

And if you think Washington policy makers cared about ACORN’s negative influence, think again. Before this whole mess came down, a Democrat-sponsored bill on the table would have created an “Affordable Housing Trust Fund,” granting ACORN access to approximately $500 million in Fannie Mae and Freddie Mac revenues with little or no oversight.

Even now, unbelievably – on the brink of national disaster – Democrats have insisted ACORN benefit from bailout negotiations! Senator Lindsay Graham reported Thursday night (9/25/08) in an interview with Greta Van Susteren of On the Record that Democrats want 20 percent of the bailout money to go to ACORN!

This entire fiasco represents perhaps the pinnacle of ACORN’s efforts to advance the Cloward-Piven Strategy and is a stark demonstration of the power they wield in Washington.

Enter Barack Obama.

In attempting to capture the significance of Barack Obama’s Radical Left connections and his connection to the Cloward Piven strategy, I constructed following flow chart. It is by no means complete. There are simply too many radical individuals and organizations to include them all here. But these are perhaps the most significant.

Cloward Piven Strategy

The chart puts Barack Obama at the epicenter of an incestuous stew of American radical leftism. Not only are his connections significant, they practically define who he is. Taken together, they constitute a who’s who of the American Radical Left, and guiding all is the Cloward-Piven strategy.

Conspicuous in their absence are any connections at all with any other group, moderate, or even mildly leftist. They are all radicals, firmly bedded in the anti-American, communist, socialist, radical leftist mesh.
Saul Alinsky

Most people are unaware that Barack Obama received his training in “community organizing” from Saul Alinsky’s Industrial Areas Foundation. But he did. In and of itself that marks his heritage and training as that of a radical activist. One really need go no further. But we have.
Bill Ayers

Obama objects to being associated with SDS bomber Bill Ayers, claiming he is being smeared with “guilt by association.” But they worked together at the Woods Fund. The Wall Street Journal has added substantially to our knowledge by describing in great detail Obama’s work over five years with Ayers on the board of the Chicago Annenberg Challenge, a non-profit Ayers designed to push a radical agenda on public school children. As Stanley Kurtz states: “…the issue here isn’t guilt by association; it’s guilt by participation. As CAC chairman, Mr. Obama was lending moral and financial support to Mr. Ayers and his radical circle. That is a story even if Mr. Ayers had never planted a single bomb 40 years ago.”

Also included in the mix is John and Theresa Heinz Kerry’s favorite charity, the Tides Foundation. A partial list of Tides grants tells you all you need to know: ACLU, ACORN, Center for American Progress, Center for Constitutional Rights (a communist front,) CAIR, Earth Justice, Institute for Policy Studies (KGB spy nest), National Lawyers Guild (oldest communist front in U.S.), People for the Ethical Treatment of Animals (PETA), and practically every other radical group there is. ACORN’s Wade Rathke runs a Tides subsidiary, the Tides Center. No wonder Kerry, Kennedy et al love Obama. Just one big happy family.
Carl Davidson and the New Party

We have heard about Bomber Bill, but we hear little about fellow SDS member Carl Davidson. According to Discover the Networks, Davidson was an early supporter of Barack Obama and a prominent member of Chicago’s New Party, a synthesis of CPUSA members, Socialists, ACORN veterans and other radicals. Obama sought and received the New Party’s endorsement, and they assisted with his campaign. The New Party also developed a strong relationship with ACORN. As an excellent article on the New Party observes: “Barack Obama knew what he was getting into and remains an ideal New Party candidate.”
George Soros

The chart also suggests one reason for George Soros’ fervent support of Obama. The President of his Open Society Institute is Aryeh Neier, founder of the radical Students for a Democratic Society (SDS). As mentioned above, three other former SDS members had extensive contact with Obama: Bill Ayers, Carl Davidson and Wade Rathke. Surely Aryeh Neier would have heard of the promising new politician from his former colleagues. More to the point, Neier is firmly committed to supporting the hugely successful radical organization, ACORN, and would be certain back their favored candidate, Barack Obama. Soros is a natural suspect in this fiasco as he has made all his ill-gotten gains short-selling on national disaster. The extent of his dirty dealings is worthy of its own book.
ACORN

Obama has spent a large portion of his professional life working for ACORN or its subsidiaries, representing ACORN as a lawyer on some of its most critical issues, and training ACORN leaders. Stanley Kurtz’s excellent National Review article, “Inside Obama’s Acorn.” also describes Obama’s ACORN connection in detail. But I can’t improve on Obama’s own words:

I’ve been fighting alongside ACORN on issues you care about my entire career (emphasis added). Even before I was an elected official, when I ran Project Vote voter registration drive in Illinois, ACORN was smack dab in the middle of it, and we appreciate your work. — Barack Obama, Speech to ACORN, November 2007 (Courtesy Newsmax.)

In another excellent article on Obama’s ACORN connections, Newsmax asks a nagging question:

It would be telling to know if Obama, during his years at Columbia, had occasion to meet Cloward and study the Cloward-Piven Strategy.

I will put it more bluntly: Barack Obama is fully aware of the Cloward-Piven strategy and has actively worked to achieve its goals for most of his adult life.

I ask you, is it possible ACORN would train Obama to take leadership positions within ACORN without telling him what he was training for? Is it possible ACORN would put Obama in leadership positions without clueing him into what his purpose was?? Is it possible that this most radical of organizations would put someone in charge of training its trainers, without him knowing what it was he was training them for???

As a community activist for ACORN; as a leadership trainer for ACORN; as a lead organizer for ACORN’s Project Vote; as an attorney representing ACORN’s successful efforts to impose Motor Voter regulations in Illinois; as ACORN’s representative in lobbying for the expansion of high risk housing loans through Fannie Mae and Freddie Mac that led to the current crisis; as a recipient of their assistance in his political campaigns – both with money and campaign workers; it is inconceivable that he was unaware of ACORN’s true goals. It is inconceivable he was unaware of the Cloward-Piven Strategy.

Fast-forward to 2005 when an obsequious, servile and scraping Daniel Mudd, CEO of Fannie Mae spoke at the Congressional Black Caucus swearing in ceremony for newly-elected Illinois Senator, Barack Hussein Obama. Mudd called, the Congressional Black Caucus “our family” and “the conscience of Fannie Mae.”

In 2005, Republicans sought to reign in Fannie and Freddie. Senator John McCain was at the forefront of that effort. But it failed due to an intense lobbying effort put forward by Fannie and Freddie.

In his few years as a U.S. senator, Obama has received campaign contributions of $126,349, from Fannie and Freddie, second only to the $165,400 received by Senator Chris Dodd, who has been getting donations from them since 1988. What makes Obama so special?

His closest advisers are a dirty laundry list of individuals at the heart of the financial crisis: former Fannie Mae CEO Jim Johnson; Former Fannie Mae CEO and former Clinton Budget Director Frank Raines; and billionaire failed Superior Bank of Chicago Board Chair Penny Pritzker.

Johnson had to step down as adviser on Obama’s V.P. search after this gem came out:

An Office of Federal Housing Enterprise Oversight (OFHEO) report[1] from September 2004 found that, during Johnson’s tenure as CEO, Fannie Mae had improperly deferred $200 million in expenses. This enabled top executives, including Johnson and his successor, Franklin Raines, to receive substantial bonuses in 1998.[2] A 2006 OFHEO report[3] found that Fannie Mae had substantially under-reported Johnson’s compensation. Originally reported as $6-7 million, Johnson actually received approximately $21 million.

Obama denies ties to Raines but the Washington Post calls him a member of “Obama’s political circle.” Raines and Johnson were fined $3 million by the Office of Federal Housing Oversight for their manipulation of Fannie books. The fine is small change however, compared to the $50 million Raines was able to obtain in improper bonuses as a result of juggling the books. To add insult to injury, the $3 million fine was paid with Fannie Mae’s insurance fund.

Most significantly, Penny Pritzker, the current Finance Chairperson of Obama’s presidential campaign, helped develop the complicated investment bundling of subprime securities at the heart of the meltdown. She did so in her position as owner and board chair of Superior Bank. The Bank failed in 2001, one of the largest in recent history, wiping out $50 million in life savings of the bank’s approximately 1,400 customers. She was named in a RICO class action law suit but doesn’t seem to have come out of it too badly.

As a young attorney in the 1990s, Barack Obama represented ACORN in Washington in their successful efforts to expand Community Reinvestment Act (CRA) authority. In addition to making it easier for ACORN groups to force banks into making risky loans, this also paved the way for banks like Superior to package mortgages as investments, and for the Government Sponsored Enterprises Fannie Mae and Freddie Mac to underwrite them. These changes created the conditions that ultimately lead to the current financial crisis.

Did they not know this would occur? Were these smart people, led by a Harvard graduate, unaware of the Econ 101 concept of moral hazard that would result from the government making implicit guarantees to underwrite private sector financial risk? They should have known that freeing the high-risk mortgage market of risk, calamity was sure to ensue. I think they did.

Barack Obama, the Cloward-Piven candidate, no matter how he describes himself, has been a radical activist for most of his political career. That activism has been in support of organizations and initiatives that at their heart seek to tear the pillars of this nation asunder in order to replace them with their demented socialist vision. Their influence has spread so far and so wide that despite their blatant culpability in the current financial crisis, they are able to manipulate Capital Hill politicians to cut them into $140 billion of the bailout pie!

If you have read this far and I doubt it, what freedom have they protected?
1st amendment is under assault by liberals wanting to silence conflicting viewpoints.
2nd amendment, how many gun control laws do we need.
Welfare, who did it free, I guess enslaving an entire class of people is a good thing.
Who freed the slaves, conservative republican Abe Lincoln. I know the actual proclamation had no authority over the rebelling states, but it did become the law of the land after the war.
Who made sure the Civil Rights Amendment passed, the KKK southern Democrats nope but Republicans.

Liberalism requires the lies you spout so freely to exist, because once you understand the truth behind liberalism you have to reject it totally.

Any amount of Socialism is a poison to the human spirit.

larry d. December 4, 2009 at 5:04 pm

It is obvious that you haven't been paying attention to the liberal intelligentsia on college campuses that Obama refers to and emulates, Reverend. Of course they are Marxists and they don't try to hide it.

The Reverend December 4, 2009 at 5:31 pm

This…pardon the expression…sh*t…..about marxism, is some wingnut crack-pipe dream. If Obama has been anything, he's been too conservative. He hasn't boldly gone after the source of America's problem…..corporate controllers.

His health care plan is moderate, at best. Without a public option, it really is a Republican looking bill. Obama has been on the side of for-profit enterprises, whether in banking, health care, auto industry, insurance…whatever.

So, this marxist stuff is just embarassing. Obama is completely on the side of the capitalists. The wingnuttery here is in not seeing that that's the case.

Obama is a triangulating incrementalist. Better than the "let's destroy the world" days of you know who and his Dick….but I was hoping for more.

larry d. December 4, 2009 at 11:20 pm

You are their patsy, Reverend. Wake up.

angry conserv December 5, 2009 at 1:40 am

Well done Jeff. Rev I suggest you study the histroy of revolutionary movements. For a person to attempt to discredit your post by citing the mutual support of certain financial and corporate interests and the administration is to ignore history. In the beginning the movement needs the financial resources and tacit support of the monied class in order to seize power and strengthen its grip. In return certain financial interests and selected industrailists are given the opportunity to profit from their seat at the table. In some cases they are eventually crushed(Russia,China ) as the movement increases its power and is able to turn on its "partners". Other regimes(Germany) allow the business sector a modicum of freedom as long as they support the regimes policies and add to the rulers coffers.
But if one either ignores learning from history or is ignorant of what has come before the easy solution is to say WINGNUT and the issue is settled.

The Reverend December 5, 2009 at 9:38 am

I embrace, somewhat, the standard that 'just because you're paranoid doesn't mean they're not out to get you.' But what the imaginative right is doing is not paranoia….it's fantasy.

There's so much that's fundamentally wrong with Jeff's attached screed that there's not the time to debunk the foolishness.

To discuss stuff….we must keep to reality. The reality is that Obama is a moderate Democrat…..more like a Republican from 50 years ago. The truth is that liberals, like yours truly, are disappointed in the fact that Obama is not really a liberal. Much of Obama's support from liberals has dropped off. Why would liberals be disappointed in Obama if Obama was, you know, some new red-scare agent?

The Reverend December 5, 2009 at 9:40 am

And larry, I knew a couple girls in my day named "Patsy"….nice girls….but moi, a patsy for some invisible band of Obama marxists? Ain't no way.

The Reverend December 5, 2009 at 9:47 am

Consider this total piece of rubbish…..as one example….

"Any amount of Socialism is a poison to the human spirit."

First of all….there is no such thing as a human "spirit". When superstitious folks can marshal evidence proving that there is…..we'll discuss it further.

Second….it is undeniably true that much of American society is socialized. Schools, roadways…..on and on. So, what wingers are suggesting is that the 'spirit' of Americans has been poisoned these last,….oh, I don't know….100 years or so? Do wingers really believe that?

Jeff December 5, 2009 at 3:22 pm

There is no human spirit, that desires freedom and independence and fears oppression and tyranny?

What rubbish, if that is the case, I guess you would feel it is ok to bring back slavery?

Socialism, in the form of welfare, central government control of an economy, collectivism, in each and all its insidious forms, is a poison, it poisons a innovation and invention, poisons individual growth and the search for improvement and excellence, and it is the end of personal freedom and subsequently poisons a nation, the Soviets fell, China has embrace market forces, Eastern Europe is growing faster due to Capitalism lower tax rates, market forces, yet we are moving to the left, too many ignore the lessons of history, how many freedoms have we lost because of liberal socialist progressive policy over the last 70 yrs. Progressive Democrats had over 60 yrs of uninterrupted control of congress, yet they have done nothing to end the poverty and suffering of so many, how can that be? Because socialistic liberalism creates more suffering, does not end it, but it does enslave a specific class of people to the government. A class of people who have been suckered into voting for the same Democrats that enslave them.

Do you agree with JKF and Martin Luther King?

Jeff December 5, 2009 at 3:37 pm

Second….it is undeniably true that much of American society is socialized. Schools, roadways…..on and on. So, what wingers are suggesting is that the 'spirit' of Americans has been poisoned these last,….oh, I don't know….100 years or so? Do wingers really believe that?

More rubbish, schools, roadways, fire and police protection are not socialism and you freaking know it, what they are, are services provided for the people by the local government (who are the people). Services that the people can decide if they want or not. But what we can not choose if we pay into Social Security or medicare, or the new health insurance crap, we can not choose to use our property any way we want without permission from the intrusive federal government. The constitution was written to protect the people from an over reaching federal government, and allow the people to choose the services they ask of "government" not the other way around.

What is socialism is Welfare, the enslavement of people, by a government bureaucracy that we the people no longer control, redistribution of wealth where one party has their wealth confiscated and given to another, hiring a police officer is not welfare.

In order to have a free market capitalist society, certain things are necessary.
1. We need laws, and people to enforce those laws equally.
2. We need education, without a literate informed population, the government can assert unconstitutional control. A literate informed population can govern itself, can solve its own problems and still remain free.
3. We need a small un-intrusive federal government.

All these are currently lacking and we the people are paying the price in high taxes, ridiculous spending, a near future of inflation and economic collapse.

The Reverend December 5, 2009 at 4:22 pm

"….central government control of an economy, collectivism, in each and all its insidious forms,.."

When I see threats of this, I'll worry. The threats to Americans come from the oligarchs. The big corporate interests in America own our government. Fox enthusiasts point to the government and say they are the ones effing everything up…but it's really the big corporate folks who pay representatives to do what they want, that's the problem. Everyone knows it, too. It's all legal……it's just how America rolls.

Going on and on about some wild-eyed theory of socialistic takeover by Obama as he works to turn us all into welfare recipients….is ridiculous. We've long ago been taken over by monopolistic minded corporate insiders whose lawyers write our laws.

Obama was FOR amnesty for monopolistic tel-cos who helped spy on us illegally. Obama did not challenge the banks, instead, he deferred to them. Obama made backroom deals with big pharma and is rooting for a reform bill which will primarily benefit health insurers and big pharma. He is juicing the military industrial complex with his escalation in Afghanistan.

If that's socialism….conservatives sure are for a lot of it.

Jacquie December 5, 2009 at 6:49 pm

Jeff. You seem to be saying if the people collectively choose to have something, it's a service, and if not, it's socialism. Local governments provide roads, so therefore people choose to have them, and that's okay, but any federal actions are socialistic. Are you saying the local government is the people and the federal government is not the people? People do not magically all agree on what should be provided by local governments any more than they agree on what should be provided by federal governments. Property taxes pay for schools and there are plenty of people who are pissed, PISSED, that they have to pay them, and gripe about restrictions on freedom and whatnot. It's exactly the same with roads and even police and, inexplicably, fire departments. There are people that would actually choose to not pay into and use these services. But we, the people, make them anyway. There's no automatic reason why them paying for those services is democracy, but a universal health care plan is socialism. You don't choose to pay for schools any more or less than you can choose to pay for social security. If the elected officials say you must do something, then you have to do it, like it or not, or take the punishment for not. How does the fact that a person lives within a certain distance of your house qualify them to make decisions about your money better than a person that lives further from your house? Cause that's the only real difference between local elected officials and federal elected officials. Where they live.

Jacquie December 5, 2009 at 6:58 pm

Hiring police officers works the same way welfare payments to the working poor do. Some people pay for elaborate home security, but are asked to pay the same amount for police protection (even if they don't need as much, as they've hired private security, guard dogs, etc.) as those who don't lock their doors. That's welfare for those socialist door unlockers, darn it, and I say it stops! Let them pay for their own police protection! This is EXACTLY how programs like welfare for the working poor work.

Andrea December 5, 2009 at 11:07 pm

What you want is way too political. And I wont blame Obama he tried to do bank regulation, congress is to blame for nothing gettign done . Face it they want their jobs back next election season. This is BIG business dirt.
As for health care reform EVERY Democrat needs to support it . If you think we will get some single payer universal plan passed your living in fantasy land. We are fighting against the corporate influence insurance companies. Your accomplish nothing by trying to pass legislation that has no chance of passing.
Read Krugman – the health care plan might not be what you or I wanted but step in the door to reform . I believe get your foot in then worry about the rest later. And Krugman would rather see a stronger public option too …
http://www.nytimes.com/2009/12/04/opinion/04krugman.html

The Reverend December 6, 2009 at 9:41 am

Good stuff from Jacquie. I hope Jeff has his, you know, thinking cap on when he reads her comments.

Andrea…..I voted for Obama and encouraged others to do likewise. He, still today, was the best candidate, hands down. At the same time….I expected a bit more of that oratorial leadership he flashed during the campaign. A leader not only gets everyone in the room with him to gather information…..he directs players towards a goal, and a good leader knows how to do it honestly and forcefully.

Conservatives and moderates can only relate to authoritarianism…it's all they know. That's why Bush was their hero and master. Obama could have borrowed a bit of that authoritarianism and used it righteously…..but other than on ooccasion, he hasn't.

What you're describing, Andrea, is what I called incrementalism. Nothing wrong with that. Even moving a little bit in the right drection is a good thing. But I wouldn't confuse it with "change we can believe in."

Obama is a good man who is trying to do what he thinks is right. I'm still a supporter of his. However, when I disagree with what he is doing….I must speak out about it.

Da King December 6, 2009 at 2:25 pm

Rev,
I agree with some of the things you said in your original post. Your portrayal that conservatives alone caused the financial crisis is, of course, beyond ridiculous (Democrats and liberals abetted it every step of the way), but I agree with some of your solutions, such as – breaking up the failed companies instead of bailing them out (Democrats were the ones overwhelmingly for the bailouts), and reversing Gramm-Leach-Bliley (signed by Clinton). You also mentioned regulating commodities traders, but they are already regulated. That is more a matter of enforcement than of new regulation. It's not like what Enron was doing was legal. It's just that they weren't stopped (ditto for many other companies). Another common sense regulation for the housing market is to disallow banks from handing out no-money-down mortgage loans (abandoning the old mortgage standards were pushed by liberals for decades). When people have no-money-down loans, that incentivizes them to walk away as soon as the housing market goes down, because they have nothing invested in their own house. That behavior makes any temporary housing downturn far worse than it would be otherwise. If anything, it was bankers turning away from their former conservative (small 'c') economic principles that are to blame for our financial woes, and it was the government that changed the rules of the game that enabled and pressured the banks to act as they did. The entire mortgage loan game was for banks to make irresponsible mortgage loans and then sell them (mostly via Fannie, Freddie, or the FHA, government enabled) ostensibly to "alleviate" the banks risk. That shell game was bound to fail eventually, and it did. Politicians of both parties pushed the scam in order to say 'look at what good people we politicians are. We are putting more poor folks in their own homes.' Yes, just brilliant, wasn't it ? Until it blew up in our faces.

Rather than return to common sense financial principles, our government instead has chosen to continue the financial shell game, on a larger scale than ever. Perhaps there was little choice after the financial meltdown, but our economic recovery, to the extent it has happened (not much) is mostly an illusion. We are living on borrowed and printed money (backed by nothing), hoping things will change for the better. But at the same time, the Obama administration is following a path that will only punish the business sector and the American people (ObamaCare, Cap-and-Trade, EFCA, etc), making it more difficult for any private sector recovery to occur, making it more difficult for any job growth to occur, unless that growth is government-supported (more illusion). It's wrongheaded. The Democrats are growing government at an unprecedented rate, which will inevitably require a number of tax increases to support it, hampering economic recovery even further. Maybe we do need a Hiippocratic Oath for government that says 'first do no harm.' The Democrats, and specifically liberal Democrats like Obama, are doing harm, at the very time we can least afford it.

And the ONLY reason Obama didn't go for single-payer universal nationalized health care is because HE COULDN'T PASS IT. He couldn't come close to passing it. There is no other reason. Obama is a leftist, but he's trying to ply his trade in a center-right country. That requires a good deal of misdirection. So, as Andrea said, Obama is settling for "a step in the right direction." What direction is the "right direction," according to Obama ? Jeff told you – "socialism." It's just that in America, you can't get there all at once. It must be done incrementally, so the people don't realize what's happening to them until it's too late. As it is, the majority of Americans are dependent on the government already. Obama the leftist is going to add tens of millions more to that dependency if his agenda goes through. There's nothing at all moderate about that. Moderate was Clinton after the GOP took over Congress in 1994. Not surprisingly, that worked, as it worked in the 80's. We created approximately 40 million jobs from 1983-2000, when even a smidgen of conservatism was implemented. So, please don't tell me we have freedom because of liberals. At one time, the progressive movement was a good thing in this country. That time passed long ago. Now, it is every bit the poison that Jeff said it is. Now, it's all about centralized power and centralized control. Those are the very things you complain about in the corporate environment, Rev. Why you would seek to hand those things to the most powerful institution of all, the federal government, is beyond me.

The Reverend December 6, 2009 at 5:53 pm

If that was what was being suggested, I would be opposed. But it's not. Everything that Obama has done has benefitted private profits over public concerns or needs. He even increased the defense budget. Cap and trade would force us into green industries and jobs. Health care reform is a giveaway to profit makers.

Obama is not seeking more centralization of government…he's continuing the corporate industrial complex status quo. That's where we differ. You don't see that that's what is going on.

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