The Obama Crossroads: Neo-Liberal Coup or Responsible Government


by Prof. John McMurtry
Global Research, February 1, 2009


When the U.S. Treasury gave away $700 billion to Wall Street banks with no strings attached in October of 2008, the Obama team gave a green light. A popular insurgence was soon silenced, with public wrath directed instead at the U.S. auto producers (and unions) who followed with a request for $25 billion. The auto companies ended up with a loan of about 1/50th the amount that went to Wall Street as a gift. The subtext message was disturbing. Wall Street firms produce nothing, no-one is required to explain what they are doing with all the public money they received, and no criteria of public benefit are applied.



With the Obama team onside, rule by the fast-money men is set to continue. The near-trillion quick hand-out of citizen debt to the bankers with no conditions has remained a non-issue. Even the shift from buying Wall Street assets to direct capital infusion has raised no questions. Obama’s subsequent appointments of his economic and financial directors follow in line. Those now in charge of the U.S. money-printing machine (alias the world’s reserve currency) and of the financially hollowed-out system that was once the U.S. economy have not really changed. Even the education cabinet post has been filled by what his Bush predecessor says is “a kindred spiritâ€