Archive for July 30th, 2008

Galbraith knew it: The Dream pt.4

July 30, 2008

JK Galbraith 1940s


Richard Gwyn another columnist who supported the Iraq invasion, did have a good commentary recently in the Star on the breaking apart of the American Dream. He focused on the unwarranted and deleterious reputation of Alan Greenspan the retired head of the Federal Reserve . For 20 years Greenspan a rabid disciple of Ayn Rand unleashed his economic policy of untrammeled greed.

Greenspan’s mantra was Go Market Go—let the entrepreneurs have their way. The Market will solve all. What a disaster. Now the Feds have had to bail out the two giant mortgage companies Fannie Mae and Freddy Mac. They basically gave a mortgage to anyone who breathed. Who was protecting the people?

For anyone with a memory, Greenspan and Bush 1 presided over the catastrophic Savings and Loans scandal of the early 90s.

Go Market go! Deregulation everywhere.

Congress the putative watchdog was mesmerized by an Ayn Rand lover. Members (Wall St and the rented Congress) were cut in on the scheme particularly Phil Gramm and the Bush Jr and his pal Kenny Boy Lay who presided over Enron. There was nobody looking after the people. As scripture says they were like sheep without a shepherd.

Greenspan’s Nobel Prize was a joke. He was a midget next to JK Galbraith who though a secularist, always asked the Catholic question: what about the common good?

As Pope JP ll stated in Centissimus Annus (1991) there are some things that are simply too precious to be left to the Market, namely people and the environment.

The neocon cheerleaders for this greed clothed themselves in morality. Galbraith had them figured out 40 years ago: The modern conservative he said  is engaged in one of man’s oldest exercises in moral philosophy; that is, the search for a superior moral justification for selfishness.