Dillinger was small fry

Rich on Tiabbi:

...To beat out the implementation of new regulations, banks are rapidly jacking up checking-account charges and credit card fees, even for those who have paid their bills on time. As Eric Dash of The Times reported on Thursday, the institutions that received the most bailout loot are often the biggest offenders.

That would include the too-big-to-fail Citigroup, which has so far received $45 billion in taxpayers’ money, along with guarantees on $300 billion in toxic assets, to mitigate its reckless risk-taking during the reign of such obscenely rewarded (and now departed) executives as Charles Prince and Robert Rubin. While taxpayers will soon own some 34 percent of Citi, it is not only increasing our credit card interest rates (to nearly 30 percent in some cases) but raising its own base salaries (by 50 percent) to work around Washington’s new restrictions on bonuses. New rules may come and go, but loopholes remain eternal.

We also have learned, from The Wall Street Journal on Thursday, that Goldman Sachs, another bailout recipient, is on track to pay its employees an average of $700,000 each in 2009, which, incredibly, is a bit higher than its compensation average in the pre-crash year of 2007. In a scathing and controversial new article in Rolling Stone, Matt Taibbi accuses Goldman of having earned such rewards by engineering “every major market manipulation since the Great Depression.”

What’s uncontroversial and indisputable is that Goldman alumni have played key roles in both the Bush and Obama administrations’ responses to the current crisis — even though Goldman has a big stake in the outcome. The dense revolving-door conflicts of interest are appalling. Goldman is howling about Taibbi’s article, but the bottom line was articulated last week by the economic blogger Felix Salmon of Reuters. He wrote that he couldn’t “think of a single government regulation over the past couple of decades which has remotely harmed Goldman Sachs” as opposed to the many that “have done it a world of good.”

Goldman also rules at the New York Fed, a supposed monitor of Wall Street. Until May the Fed’s chairman was serving simultaneously on the Goldman board; he resigned only after The Wall Street Journal reported that he was also still buying Goldman stock during his Fed tenure. At least that other failed watchdog, the Securities and Exchange Commission, has now cleaned house. But Politico reported last week that its new chairwoman, Mary Schapiro, had been the star draw at a lavish June banquet for the S.E.C. Historical Society, an independent organization that sold tables for up to $7,500 to “law and lobbying firms that do business with the S.E.C.” Among the buyers: Standard & Poor’s, a credit ratings agency that enabled the subprime bubble by giving its approval to wildly speculative derivatives.

It’s against this grand backdrop of business-as-usual at the top of the pyramid that we learned at week’s end that the speed of job losses is accelerating again. The government also reported that Americans who still do have jobs now have an average 33-hour workweek, the lowest since tracking began in 1964...

Goldman-$achs is only the latest Company brand name you can recognize, Mister Rich.

It's more than a $ystemic inability to recognize the foxes running the henhouse. The foxes are the $ystem. They've been so for most of human history.

Michael Parenti's addressed what is unthinkable for most of the main$tream- and its motivation:

Often the term "conspiracy" is applied dismissively whenever one suggests that people who occupy positions of political and economic power are consciously dedicated to advancing their elite interests. Even when they openly profess their designs, there are those who deny that intent is involved. In 1994, the officers of the Federal Reserve announced they would pursue monetary policies designed to maintain a high level of unemployment in order to safeguard against "overheating" the economy. Like any creditor class, they preferred a deflationary course. When an acquaintance of mine mentioned this to friends, he was greeted skeptically, "Do you think the Fed bankers are deliberately trying to keep people unemployed?" In fact, not only did he think it, it was announced on the financial pages of the press. Still, his friends assumed he was imagining a conspiracy because he ascribed self-interested collusion to powerful people...

...Those who suffer from conspiracy phobia are fond of saying: "Do you actually think there's a group of people sitting around in a room plotting things?" For some reason that image is assumed to be so patently absurd as to invite only disclaimers. But where else would people of power get together - on park benches or carousels? Indeed, they meet in rooms: corporate boardrooms, Pentagon command rooms, at the Bohemian Grove, in the choice dining rooms at the best restaurants, resorts, hotels, and estates, in the many conference rooms at the White House, the NSA, the CIA, or wherever. And, yes, they consciously plot - though they call it "planning" and "strategizing" - and they do so in great secrecy, often resisting all efforts at public disclosure. No one confabulates and plans more than political and corporate elites and their hired specialists. To make the world safe for those who own it, politically active elements of the owning class have created a national security state that expends billions of dollars and enlists the efforts of vast numbers of people.

Yet there are individuals who ask with patronizing, incredulous smiles, do you really think that the people at the top have secret agendas, are aware of their larger interests, and talk to each other about them? To which I respond, why would they not? This is not to say that every corporate and political elite is actively dedicated to working for the higher circles of power and property. Nor are they infallible or always correct in their assessments and tactics or always immediately aware of how their interests are being affected by new situations. But they are more attuned and more capable of advancing their vast interests than most other social groups.

The alternative is to believe that the powerful and the privileged are somnambulists, who move about oblivious to questions of power and privilege; that they always tell us the truth and have nothing to hide even when they hide so much; that although most of us ordinary people might consciously try to pursue our own interests, wealthy elites do not; that when those at the top employ force and violence around the world it is only for the laudable reasons they profess; that when they arm, train, and finance covert actions in numerous countries, and then fail to acknowledge their role in such deeds, it is because of oversight or forgetfulness or perhaps modesty; and that it is merely a coincidence how the policies of the national security state so consistently serve the interests of the transnational corporations and the capital-accumulation system throughout the world...

...conspiracy and structure are not mutually exclusive dynamics. A structural analysis that a priori rules out conspiracy runs the risk of not looking at the whole picture. Conspiracies are a component of the national security political system, not deviations from it. Ruling elites use both conspiratorial covert actions and overtly legitimating procedures at home and abroad. They finance everything from electoral campaigns and publishing houses to mobsters and death squads. They utilize every conceivable stratagem, including killing one of their own if they perceive him to be a barrier to their larger agenda of making the world safe for those who own it.

The conspiracy findings in regard to the JFK assassination, which the movie JFK brought before a mass audience, made many people realize what kind of a gangster state we have in this country and what it does around the world. In investigating the JFK conspiracy, researchers are not looking for an "escape" from something "unpleasant and difficult," as Chomsky would have it, rather they are raising grave questions about the nature of state power in what is supposed to be a democracy.

A structuralist position should not discount the role of human agency in history. Institutions are not self-generating reified forces. The "great continuities of corporate and class interest" (Cockburn's phrase) are not disembodied things that just happen of their own accord. Neither empires nor national security institutions come into existence in a fit of absent-mindedness. They are actualized not only by broad conditional causes but by the conscious efforts of live people. Evidence for this can be found in the very existence of a national security state whose conscious function is to recreate the conditions of politico-economic hegemony...