THE DIGNITY INDEX

Land of the Free, Home of the Whiners

NEWSWEEK

Published Jul 12, 2008

From the magazine issue dated Jul 21, 2008

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Posted By: tmarkas @ 07/14/2008 3:40:09 PM

Comment: On McCain's reaction to Gramm's comments: McCain's inner anger flared up again with his blistery reaction to Senator Gramm's comments calling America 'a bunch of whiner's' over our economic worries. Rather than suggest that 'his good friend and one of the great economic minds in the country', as well as the co-chairman of his campaine might be eligible for an obscure ambassadorship, why not defend his 'friend' by helping to explain what Gramm was apparently trying to say. Maybe something along the lines of "Senator Gramm's comments in no way reflects the empathy that I personally have for my fellow Americans that are paying twice as much for gas than they did just a year ago, or see their homes de-value, or worse, the possiblility that they might actually lose the roof over there families head. I think what Phil was trying to say reminds me of what a great Democratic President once said and it holds true today. Pres. Franklin D. Roosevelt once famously said 'We have nothing to fear, but fear itself.' It seems a fitting reminder during a time when oil future speculating has caused so much pain, along with betting against the banks has brought so much havoc and fear to the markets. When Freddie Mac and Fannie Mae are down 88% in stock value but have only eaten maybe 5% of bad loans that we need to put things in perspective. The same goes for the price of oil. There's no shortage of oil today. We need to find more energy, but the fear of a shortage along with a bet that the price will continue to rise has spiked the price of oil beyond where it should historically and rationally be." Phil had a point, however poorly stated - especially from a party not known for a lot of heart when it comes to the folks in dire need. Interesting to see McCain so stone cold and ready to throw a top advisor off the bus for doing nothing more than 'straight talking'.
Troy Markas - Thousand Oaks, Ca.
Posted By: Nins @ 07/13/2008 12:51:36 AM

Comment: Actually, using the Newsweek scale I would give Phil Gramm the highest scoundrel score of 100, Rangel an 80 and Jesse Jackson a 30. Jackson was just showing us that he can be an idiot. The other two are actually hurting other people, and Gramm is hurting the most people of all.
Posted By: Nins @ 07/13/2008 12:48:32 AM

Comment: Know why McCain wants to distance himself from former Senator Phil Gramm? It's not because of Gramm's obnoxious remarks calling Americans "a nation of whiners" who are in "a mental recession." Those remarks were so ascerbic that they may've been made just to give McCain an excuse to distance himself from Gramm. This issue is a lot deeper than it looks on the surface.

When Gramm was a Senator he was Chairman of the Banking Committee. He pushed through the legislation known as the "Enron Loophole." This loophole allowed US investment banks to bypass Federal regulations governing futures trading, and is the reason why investment banks were able to falsely inflate the prices of oil, wheat, corn and other commodities through massive futures trading, causing your costs of gas, heating oil and food to go through the roof.

Gramm also created the Gramm-Leach-Biley Act, which got rid of the laws that seperate banking, insurance and brokerage activities in America. The Gramm Act was touted as a new way to protect consumer privacy, but the real meat on the Act's bones was banking deregulation. Essentially, this Act did away with laws written after the Great Depression to protect us from another Wall Street/Banking Industry collapse. That's right, Gramm stripped the system of it's safe guards nine years ago, and guess what? The value of the dollar has nose-dived, four major economic institutions have failed, Wall Street is unstable, and we are in a worsening recession.

Notably, the US investment banks that gained the most from the Enron Loophole and from the Gramm Act contributed more than a million dollars to Gramm's campaign.

Currently Gramm is Vice Chairman of UBS, the Swiss Bank that came up with the idea of "death bonds." Worse, though, UBS is involved in a scam where they sold auction rate securities to American customers. Auction rate securities are supposed to be as safe as cash, but the way UBS did it, the fees garnished by their in-house investment bankers were intentionally higher than the return on the securities, ripping off their American customers. The Massachusetts Attorney General has already filed charges against UBS, and private brokers world-wide have dropped UBS stock. UBS is forecasted to lose 82.91% of it's value in 2008. We are talking about the corporate bank where Gramm is Vice Chairman. Looking at his track record there and at the havoc he has wrought on the US economy through the Senate Banking Committee, it's clear that Gramm is a either criminal or grossly incompetent.

Now McCain wants nothing to do with Gramm, wants us to forget Gramm has been a key player on McCain's team. Gramm was McCain's campaign CO-CHAIR and LEADING ECONOMIC ADVISOR. Previously, McCain had said that he planned to appoint Gramm as SECRETARY OF THE TREASURY.

With Gramm as McCain's leading economic advisor, now you know why economists and analysts say that McCain's economic policy plans are untenable.