I would direct America’s small business owners, the bulwarks of our economy of whom most have never taken a dime of government money, to consider my hero, Tom Kloza’s article. Read it, and notice the last line. He is being polite.
Now, our Federal Bank, just as the Reichsbank in 1936, is nationalizing a private insurance behemoth because, ahem, ‘it is too big and important to fail. The US Government’s 79% stake in AIG signals an unprecedented nationalization of private capital – stupid capital that could not succeed on it’s own merits.
You, the now teetering or already gone mid-range American manufacturer of specialized, technical durable goods, are shit out of luck. You were not helped when the government subsidized and deregulated the financial industry, overlooked dirty deeds, and directed capital towards do nothing instruments, rather than incentivizing and strengthening the industries that really create things. You dumb stiffs, you salt of the earth family business that saw the greatest expansion of post WWII wealth. Gone.
You can go out of business, and many of you are long gone and will never read this missive. America was the lender to the world, now we are the debtor. America was the world’s manufacturer, now we mostly have all manufacturing outsourced. Rather than investment and R&D tax credits for streamlining manufacturing for mid-range specialized high-end goods, we pished the incentives away by deregulating and letting the financial industry take all the air out of the market.
Good night America; we have privatized gain, and socialized debt and failure while the base of American small business is burdened, while engineering universities are priced beyond all but the wealthy and the impoverished (one or the other).
Get ready for the breadlines, read, “The Grapes of Wrath”, and get your mind right.