Binary Party

What’s that?  Populist outrage against the bankocracy and the plutocracy, was expressed in this week's E.U. elections?

Of course, you could have learned about this, blowback, and Newton’s Third Law of physics, two years ago…. By reading J.M.H.

Binary Party

By J.M. Hamilton (5-18-12)

“Power tends to corrupt, and absolute power corrupts absolutely. Great men are almost always bad men.”  – Baron Acton

Far too many years to count now, or maybe its just vanity that prohibits me from counting, a boss called me into his office.

He pointed his finger at me, and half serious, half in jest, said in a stentorian tone:

“Mr. Hamilton, are you and your job of any intrinsic or extrinsic value to society?”

It had the feel of a “Dickensonian” moment:  “I pay my taxes, sir.  I try.”

And of course, I believe that my job adds value to society and I am fortunate enough to work for a company that provides a meaningful and valuable service, particularly in times of want and need.

Which is a lot more than I can say for your typical Wall Street Bank.

Wall Street Banks gamble, bet, and speculate (i.e. “make markets”) for the possible enrichment of a few and to the detriment of the many.  Sometimes there’s a crash, and at other times there’s merely a bailout, but the path always leads to what the one percent like to refer to as “creative destruction.”

For the ninety-nine “creative destruction” is code for another round of socialism and redistribution of wealth from the many to the few, a wrecked economy, unemployment, inflation, and our government – and at least one political party – becoming more binary and extreme to rationalize, justify and prop up a failed financial elite.

Their products are the products of any casino, binary bets:  derivatives, synthetic derivatives, repos, collateralized debt, and in most instances are highly illiquid.

One wonders if the financial elite that rule us will ever swear off boom and bust cycles, in favor of a more mundane glide path to economic harmony and prosperity?

It can be done, but at the expense of the wolves.

But is Mr. Dimon listening?

That is to say, many of JP Morgan’s services and products are of no intrinsic or extrinsic worth to society.  And the only product banking does provide that is esteemed by society (the ninety-nine), JP Morgan largely abandoned sometime ago….  Ordinary lending at non-usurious rates, where the bank actually underwrites the prospective client, and retains the loan on its books.  How quaint.   Or put another way, how did society function for the last two millennium without CDOs, MBS, and derivatives and swaps, which are reinsured and underwritten by the American taxpayer?

What will we ever do without financial products that lever up the riches, and entitlements, for the one percent, but enslave the ninety-nine in an never-ending stream of ruinous bank bailouts?

If Wall Street doesn’t get the message this time, perhaps it time to elect officials who will nationalize, smash, and sell off the leviathan: as non-threatening commercial banks (non-speculative – backed by the Fed and the Treasury); and investment houses (free to gamble with theirs and their clients money, and not reinsured by the American people).   These reconfigured institutions might be retained by the government, particularly staid commercial banking, or released back into the wilds of the free market.

As it stands, Wall Street is a threat to the American people and to our national security.

I know…  quite radical stuff, right?

I’m going to hazard a guess.   Everything is relative, even the extrinsic and intrinsic values of society and her politics.  And while JMH may sound left of center today, say in ten to twenty years, if the nation and her elite continue upon its present course, this blog may, possibly, read like the notes of a reactionary right winger, and a slave to the bourgeoisie.

Newton’s third law of motion is that for every action there’s a reaction.

The Republican Party and the Chicago School of Economics, and their laissez faire ideology (both owned and manipulated by the financial elite), have ruled this country for more than three decades, and their hegemony over political and economic discourse has – one would hope – reached its zenith.  Enter Baron Acton, above, and his famous quote.  And enter a few famous Republicans and their quotes:

“I would remind you, extremism in the defense of Liberty is no vice.” – Mr. Barry Goldwater.

“Either you are with us, or you are with the terrorist.”  – Mr. George W. Bush

“I fought against long odds in a deep blue state, but I was a severely conservative Republican governor.” – Mr. Romney

Nothing but the extreme here.  No room for polite discourse here?   No nuance or shades of grey here?   Ronald Reagan and Richard Nixon need not apply to today’s – shoot from the hip – kill you now, check the facts later  –Republican Party.

Besides thinking requires energy, and darn it… thought and time.

It’s so much easier to keep doing what we are doing, except the speculative bubbles, crashes and financial hangover’s are occurring with greater and greater frequency, and the public is beginning to wake up and take notice.  The crashes are no longer isolated but global in nature…. Indeed, the world is very small.

And finally the true right wing extremist in today’s Republican Party are unleashing, as Mr. Newton forecast, a virulent and no longer dormant response from the true Left.  A socialist head of state in France, resurgent communist and fascist political parties in Europe, and elected officials in Greece that are perhaps willing to tell both the IMF and the E.U. central bank to “go to hell.”  Potentially setting off contagion and the euro’s collapse, a veritable masochist’s party.

So please allow me to let you in on a little secret.  Come closer because I want to whisper this in your ear:

“The Republican Party, with it’s severe economic and financial ideology, just might want to tone it down a little and rejoin the human race; because you’re a breeding ground for revolution, the poster child of anarchy, and your extremism is unleashing forces beyond your control.”  

The GOP would be terribly naïve to think their policies do not have global impact.

Check out the Arab Spring, and please – by all means – check out Europe.  It’s not too late.

And above all, don’t shoot the messenger.  Please.

P.S.

A business model that is based upon unmitigated greed, rabid speculation, and offers no redeeming product or service to society, and in fact is detrimental and dangerous to society, must be relegated to the dustbin of history.  Just ask Mr. Jamie Dimon.  And so must politicians who support same.  Monolithic banking institutions, gambling and earning lousy returns on equity, are failed monuments to the egos that manage them.

Not so ironically, the Tea Bag movement has already been co-opted and absorbed by the Robber Barons — moreover, the mainstream media has reported that the militants within the party have accepted large sums of money from the Cartel they were elected to end.

“If a free society cannot help the many who are poor, it cannot save the few who are rich.”  – President John F. Kennedy 1-20-1961

Copyright JM Hamilton Publishing 2014

Revolutionary Messiah

Revolutionary Messiah

“How can it be that it is not a news item when an elderly homeless person dies of exposure, but it is news when the stock market loses two points?”  - Pope Francis

By J. M. Hamilton  5-26-14

Religion, with all its mystery and human foibles, has always mesmerized me.  Besides one cannot study power, economics, and politics without studying the Almighty and the religious affect.  My earliest memories of church involved attending Assemblies of God with my mother on Sunday evening, and Lutheran church service Sunday morning with dad.  It was a study in contrasts.

For a child to take in Evangelical worship before the age of five... Well, maybe there are limits to what a child should be exposed to.  I found those speaking in tongues to be not only surreal but ostentatious.  (Then again, perhaps I was never given this gift?)  Evangelicals, despite proclaiming the grace and promise of Christ's salvation, seemed to emphasize the "fire and brimstone" side of things.  Always it seemed, was the emphasis on the law, obeying the God's law, being "saved/born again," or facing the eternal hell fires of the damned.  Moreover, if you wanted to get to heaven, one best stay attendant to an Assemblies of God church, because all other protestant denominations were doomed, as were the Catholics.  The entire premise of the church and the road to salvation appeared fear based.

So it was with some relief, not without some considerable guilt mind you, that my dad forbid my sister and I to attend my mother's church after ten years of age.

Dad's Lutheran church (Wisconsin Synod) was positively boring, compared to mom's church but it was staid and welcome.  There were no raised hands in the air, shouts of "praise God" mid-sermon, and no praying in the aisles.   Lutherans were also, a little more tolerant, since it was okay to drink.   Lutheran communion, or the sacrament, was served with real wine, as opposed to grape juice.  Not unlike the Evangelicals, the Lutherans too, felt that they had it all figured out, and that pretty much everybody else was going to hell, particularly those Pope loving Catholics.   As for those of Jewish faith, despite both churches acknowledging that the Jews were God's chosen people, and they should always be treated with dignity and respect, there seemed to be a general belief that their failure to recognize Christ might prohibit admittance to heaven.

All this emphasis on the law, and "thou shalt nots," with a sprinkling of God's grace (but only if you were a member of the correct Protestant faith or sect) -some years later - struck me as the ultimate in branding/marketing.  Think about it?  How likely is your flock going to stray, when faced with damnation for joining an alternative religion or philosophy, such as Catholicism, Judaism, or even Zen Buddhism?  All that "guilt," with an emphasis on Old Testament law, as opposed to the New Testament tolerance and Christ's salvation, also has a way of reinforcing church structures, hierarchy, and orthodoxy.  Having fallen short many times, how are we, the church congregation, to question the church's hierarchy and patriarchal structures, since they, the church ministers and administration, are so close to God?  (Or so we thought.)

Emphasis on the one true faith, to the exclusion of all others, also made me extremely curious about these other faiths and religions.  After all, just how decadent and depraved were those Catholics, Hebrews, and other Protestants?  What forbidden fruit was I missing?  Being preternaturally curious, I had to find out.  Eventually, quite by accident, I started dating a Catholic girl, and began attending Mass.  Imagine my complete shock when I discovered that Catholic mass was nearly identical to the Lutheran service or sermon, w/just a few minor changes to the Lord's Prayer and the Nicene Creed.  And it all made perfect sense.  After all, Luther before he nailed his complaints against a Renaissance Pope, for selling indulgences to wealthy patrons, on the church door - in essence kicking off the Protestant Reformation - was a Catholic priest.

How bad could all those Catholics be?  Later, going through Pre - Cana, I discovered that the older Catholic padres felt that the Protestants were the heretics, apostates, and the ones destined for Hades, while the younger Father I was dealing with, was more tolerant and ecumenical in outlook.  Clearly, there appeared to be a generational divide within the Catholic Church: with older priests focused on the law and the younger generation focused on God's grace and salvation, or at the minimum, appeared more tolerant.  As with the Protestants, however, it appeared that the Catholic hierarchy, traditionally, used fear and old testament law, as a means to keep the flock in line, strictly adhering to Catholic dogma, and keeping faith and allegiance with the Church in Rome.

Jesus Christ, however, appeared to have an altogether different plan.  If one believes passages from the New Testament, Christ appeared to democratize faith and communion with God.  He surrounded himself with the poor, the socially undesirable, prostitutes, and the lame and the ill.  It's worth noting that nowhere in the Bible is Christ, specifically, quoted as speaking out against homosexuality.  During biblical times, Jesus' following would have been the 99.999 percent.  With the elite and the educated in Israel made up of nobility, Jewish religious leaders, a hand full of bankers and traders, and the Roman Prefect.... This was a time of extreme poverty, and Christ and his teaching would have been a direct threat to the Jewish religious hierarchy, and potentially destabilizing to the Romans as well.  After all, if God is walking the earth, hanging out with the masses, feeding thousands, healing the lame and the blind... Why would anyone show up in synagogue on Saturday, or ever listen to the Roman or Jewish authorities/patriarchy ever again?  Most importantly Christ offered salvation and hope, and the de-emphasis of the Old Testament and the law.

Christ states that he came into this world carrying a sword.  Surely, that sword was not directed at the poor/the 99.999 percent, Jesus' following; but rather, it was aimed directly at the heart of the economic, political, and religious hierarchy/patriarchy in Jerusalem, who respectively, kept the poor fearful and economically oppressed.  According to the scriptures, if we are to believe them, Christ entered Jerusalem triumphant on Palm Sunday.  One day later, he drove from the temple the money changers and bankers. Two days later, he took on the city's religious leaders and the patriarchy.  And for those "sins," of taking on the establishment, Christ was crucified that same week.  By crucifying Christ, the authorities, both the Roman and Jewish elite, hoped to remove a threat to their mortal existence and their moral authority; but in crucifying Christ, they made him God and a revolutionary figure, who was a model for the ages to come.  (In the 20th century, think Gandhi and MLK)

In particular, Christ's primary commandment, 'love your brother as yourself,' did not contain the caveat: but only if your "brother “was the same skin color, came from the same socio-economic background, attended the same schools, and worshipped at your local church or synagogue.

Since The Passion, Church hierarchy has often had a symbiotic relationship with the economic and political elite (in fact, if you go back far enough, church hierarchy was often the ruling elite in parts of Europe and vv. - here think of the Holy Roman Empire).  Nobility and the economic aristocracy accepted, encouraged, and sponsored the church as long as it emphasized earthly and biblical law, kept the masses fearful of their immortal soul and in check; and above all, as long as the church recognized that kings and monarchs had a Devine right to rule, and/or at least on this earth, the primacy of various forms of earthly government.  That is to say, the church emphasized to the lay the metaphysical:  Christ's kingdom in heaven, the need to obey "Caesar" and biblical laws (laws the ruling class often rarely obeyed themselves, see Machiavelli's - The Prince), and do good works on this earth, in order to gain admittance into heaven.  De-emphasized by the church was Christ's teaching that God was accessible, that one could pray and confess their sins directly to God, w/out intercession from the church or its administration, and that Christ had little tolerance for religious or governmental autocratic or patriarchal structures - that stood between him and his flock; nor, did Christ appear to have a strong affinity for the wealthy, who often exploited and oppressed the poor or 99.999 percent (through usury, and sometimes enslavement or indentured servitude, et al.).  

Not to put too fine a point on it, often de-emphasized by the religious authorities through the ages was Christ's enlightenment, his passion for the poor's physical needs, and his striving for earthly economic and social justice.

Christ through his actions and his teachings demonstrated a revolutionary agenda, not just metaphysical in nature, but both economic and political in this temporal world.

Fast-forward to 1971, and Gustavo Gutierrez's book, A Theology of Liberation.  This book marked the beginning of a new theology, refocusing on Christ's revolutionary zeal and advocacy for the poor.   The theology was called Liberation Theology.  Liberation Theology (LT) flourished in Latin America in the 50's, 60's and 70's (and even to this day), in response to the extreme economic and social injustice experienced by the poor.  LT also spun off social justice movements for women, minorities and indigenous peoples.  In the early to mid eighties, aspects of LT were condemned by the Church in Rome for being overtly Marxist, and for emphasizing institutional sin, the sin of the elite, (government, commercial, and economic systems) over the sin of the individual.  In short, Liberation Theology was a direct threat to symbiotic relationship between church hierarchy, and the ruling economic and political elite.

What really got the Vatican's robes in a bunch, however, was LT identifying The Church in Rome as both sponsor and part of the cycle of crushing economic oppression, and The Church hierarchy as being members of the elite establishment, themselves.  Liberation Theology also empowered the lay, who began conducting their own masses, and emphasized practice (or praxis) over church orthodoxy and dogma.  Praxis being the interpretation of Christ's teachings, true to form, from the poor's vantage point.  (Note: That would be as opposed from the vantage point of the plutocracy.)  Under pressure from the lay, and the ruling power elite, this democratization of Catholic faith was a direct threat to both the Church in Rome and church hierarchy.

Enter Cardinal Ratzinger, Pope John Paul II's enforcer and oft described Pit Bull (later Pope Benedict XVI), who denounced Liberation Theology for its emphasis on praxis over church orthodoxy.   Cardinal Ratzinger's words speak best for themselves:  "(the) people is the antithesis of the hierarchy, the antithesis of all institutions, which are seen as oppressive powers.  Ultimately anyone who participates in the class struggle is a member of the 'people.'  The 'church of the people' becomes the antagonist of the hierarchical Church."  Cardinal Ratzinger had also been critical of attempts to apply Christ's Sermon on the Mount to the modern day poor, and to the social, political and economic conditions surrounding the 20th century  poor.  As if the 20th and 21st century poor are somehow different than the biblical poor.

Despite The Church in Rome’s denunciation of aspects of LT, Cardinal Ratzinger was said to have went on to denounce the crime of colonialism and the scandal of the arms race.  Pope John Paul II went on to decry the ever-growing expanse between the wealthy and the poor, and stated "expropriation"is not inappropriate as a remedy, despite affirming the legitimacy of private property rights.

As a result of the Cardinal's denunciation, in the 80' s and 90's, various Latin American priests were suspended, censured, and even ex-communicated.  Moreover, aspects of Liberation Theology were strictly prohibited from being taught under Catholic Church auspices.


Like the Protestant comparisons of my youth, today presents a political, economic, and religious study in contrasts for global society as a whole.  Perhaps never before in the history of man has the mechanizations and strategies of the economic and political elite been so exposed to double standards and hypocrisy.  Where the poor or middle-class can go to jail for a victimless crime like marijuana possession, but the banking and financial elite can be caught in numerous acts of collusion, commit hundreds of billions in fraud, and never enter a jail cell; where approximately, twenty-five short years ago democracy with the fall of the Berlin Wall appeared to be on the march, and today, thanks to a Citizens United and McCutcheon SCOTUS decisions, democracy is for sale and purchase by the highest bidder.  For the average citizen, the expectation is the same, often exhorted by churches, both Protestant and Catholic: follow church rules and obey the state.  While for the wealthy, the expectations are also the same:  break the rules, re-write the laws to achieve maximum advantage, and dodge paying taxes.  For the elite, it's play nation states off one another in a regulatory, labor and tax arbitrage race to the bottom.... All in the name of unmitigated greed and at the 99 percent’s expense.  Everyone saw in 2008, that socialism worked perfectly well, when it came time to bailout global banks and the wealthy, as well as, printing money in support of same; and yet, the socialism in the form of food stamps for the indigent, or healthcare assistance (at a fraction of the bank bailout expense), is all too often considered moral hazard by the GOP and global conservative and business interests.  The economic elite want the masses to compete hourly for their daily bread and advocate free market principals for everybody else, while seeking out grants of monopoly and cartel from the government for the businesses they own and operate.  In short, competition is good for everyone else, except the ruling plutocracy.  Pointless wars are now fought, with fruitless and endless nation building exercises, that appear to profit immensely jingoist, the MIC and MIC supporters, while ignoring real threats and wreaking havoc within the federal budget.

Even the Catholic Church is faced with unprecedented pressures, between its obligations to the power elite - Caesar, and its obligation to reverse course and become true again to the teachings of the revolutionary messiah.   Catholic and Protestant church attendance is on the wane in the West.  Many Western Catholics are highly upset by the patriarchy that runs the Catholic Church, its treatment of women, and worse still, the abuse of children.

For the faithful, it's no surprise that Pope Francis has now appeared at a time when Christian religion, capitalism (what remains of it), and democracy are all at a crossroads.  Pope Francis hails from Argentina, and assuredly was influenced by: the extreme poverty; economic and political cronyism/corruption; and right-wing oppression/death squads he saw in that country.  That he was exposed to Liberation Theology is not in dispute; and that, publicly, he's the first pope possibly in centuries that emphasizes the grace and salvation of Christ, the promise of the New Testament, over the fear, loathing, and intolerance produced by Old Testament law, also appears not in dispute.

Like Christ before him, Pope Francis seems bent on lifting up the poor, and saving the souls of men.... even at the grumbling and possible expense of patronage and support from the wealthy and the powerful.  He's put badly needed reforms within the church into review and play, at the risk of upsetting the Roman Curia.  The pope has eschewed the vestiges of royalty in favor of asceticism, even removing a German bishop who sought to live like a monarch at the poor's expense.  Pope Francis appears ready and able to champion the earthly and spiritual needs of his global flock, at the possible expense of the church's present hierarchy... And perhaps in doing so, is saving the Catholic Church in the process.

As such this pope appears more contented to embrace, teach, and live by the path established by Christ, than any political or religious figure that I have witnessed in my lifetime.  His fire for economic and social justice in this world, along with his desire to save men's souls for the next, makes him a revolutionary pope.  No matter your faith or beliefs, arguably, we should all pray for the pope's physical health, strength, moral clarity, and longevity.  Above all let’s pray he stays the course, in both advocacy for the poor, and bringing about real reforms to the Catholic Church.

The pressure on this man to dial down his rhetoric, his actions, and his proposed and pending reforms will be tremendous from many sides.  How far Pope Francis will go in walking the path of the revolutionary messiah remains to be seen.  Right now - the Pope appears to be a gift from God.


P.S.

As for my study of religion, I continued to broaden my horizons.  Studying Zen Buddhism as a philosophy and reading the Koran, post 9-11.  Contrary to what I was told in my youth, the study of alternative beliefs and religions only strengthened my faith in the Rabbi, Christ.  Today, I see more similarities between Catholics and Protestants than I see differences.  I believe the future of Judeo-Christian values in the West is one of tolerance, a return to the core message of hope and salvation, and advocacy for the poor - married with advocacy for real reforms in our present economic and political systems.  Absolutely key to tolerance is a more ecumenical outlook among the clergy, of all faiths, including Judaism.  Through the ages, it seems that we should not worry so much about God's word, as distorted as it may sometimes seem - handed down generation after generation; but rather, how man all too often shapes, manipulates, and perverts core religious values (for his own ends), that spans most successful faiths and philosophies.  Unfortunately, religion, including Christian religion, has been used by man through out history to justify all manner of atrocities (including but not limited to wars and crusades) that are an abomination to the teachings of Christ.

Finally, western democracy has long held the importance of a separation between church and state, so that people of all faiths are free to practice their religion.  In the last century worship of money and the material, in a "live for today" ethos, has taken on a religious dynamic, if not become a religion itself.  So that democracies are often subverted by this new religion, faith in Ayn Randian greed.  Perhaps it's time to introduce a new tenet or law to modern day democracy to address this new religion:  the separation between commercial interests and state.  Such a separation would save democracy and capitalism from the decay and destruction caused by today's movement towards crony economic and political systems, where an elite few benefit immensely to the near exclusion of everyone else.

Revolutionary Messiah was inspired and written in Munchen and Berlin Germany, and Salzburg Austria.

Copyright JM Hamilton Publishing 2014

Heart of Darkness

A quick note:  The following piece was publishing nearly three years ago.  Prescient?  Judge for yourself, and then, read J.M.H., regularly, so you can remain three years ahead of current events.  - J.M.H.

Heart of Darkness

By J.M. Hamilton (9-5-11)

“Mistah Kurtz — he dead.”

For thrills and chills, I have never been much into fiction.  The cold hard realities of this world provide all the excitement, drama, and surreal energy I’ll ever need.  Why just open up your New York Times, and be prepared for shock and awe.  However, on occasion I have come across a piece of fiction that hits home.  The story puts the hook into me because of the core truth it exposes about the human condition.  Such a work is Heart of Darkness by Joseph Conrad, which I believe is the greatest story ever told.  This story has everything: empire, anthropolatry, mass murder, and capitalist excess.  

Oh, did I mention cannibals?

And of course, ultimately, it’s a love story!

Heart of Darkness is a study in what Carl Jung would refer to as the “duality of man,” unchecked power, and the megalomania that often follows.   Having studied power for decades, the story rings true on many levels.   A wunderkind goes into the jungle to seek his fortune so that he can marry above his caste.  Driven by this love and his passions, Mr. Kurtz loses himself, and with his tribe of warriors in deepest dark Africa begins cutting off heads, so as to gather more ivory.  As more ivory accumulates and is sent back to Mr. Kurtz’s corporate masters, his fame and reputation grows, often to his business colleague’s dismay. The more Mr. Kurtz enriches others the greater the license he is given.  Sound familiar?

Heart of Darkness was published in 1899, and the story is set in the colonialism of the period, but examples of Mr. Kurtz and his behavior can be seen everywhere at the genesis of the twenty-first century.  The troubled times we find ourselves in amplify and magnify these figures as they stride across the business and political landscape, indeed across the globe.   Many of these figures exhibit myopia that excludes nearly all social conscience, an all consuming goal, great economic or political power, and in some instances enjoy a cult following.  Often some or all ethical and moral restraint is abandoned so as to achieve “the dream,” even at the expense of the destruction of others, and ultimately, themselves.  That pretty much defines what I like to call Heart of Darkness syndrome or HDS.   Please read on, as the blog offers up examples of HDS here in 2011.

$$$  Mr. Lloyd – Doing God’s Work – Blankfein exhibits many of the characteristics of HDS.  His problems are legendary, but to sum up include selling short the American Dream and the American economy, and of course, client double-dealing.   His singleness of purpose is manifest to all; his ethical bypass complete, as he continues to fight and lobby for the very rules and regulations (or the lack thereof) that brought this nation’s economy to its knees.  Not content to having enriched his company, Goldman Sachs, and his management team many times over, he has insured his and Goldman’s success by purchasing all the politicians Goldman’s money can buy, and placing his employees in the highest chambers of global government.  And he probably believes he is doing “God’s work,” after all Mr. Blankfein does his best to operate within the confines of the rules Goldman’s attorneys lobbied for, created, and helped to legislate.   Mr. Blankfein and his cadres seem oblivious to the human toll and suffering he and his banking peers on Wall Street have created.  And my favorite thought from Goldman, recently released, was the assurance that the hiring of Reid Winegarten, criminal defense attorney, was “routine.”

$$$  Secretary of the Treasury, Tim Geithner -  Mr. Geithner, as the former head of the New York Fed, we are often told helped save this nation from ruin and another great depression, with a little help from his friends Messrs. Henry Paulson, Fed Chairmen Bernanke, and Larry Summers.   But three years into the economic quagmire many Americans and businesses find themselves in, Mr. Geithner and his colleagues appear not to have saved the American economy so much, as have bailed out the banks, repeatedly.    And the trickle down from these banks just hasn’t happened, just ask Shadow Government Statistics, who show true unemployment and underemployment creeping north of 22%.   By not restructuring the Wall Street banks and not writing down home loans, when America had a chance, Mr. Geithner and his colleagues have consigned the U.S. housing market, and indeed the Western economies, to years and years of economic turmoil and malaise.  Trust me, the fun is just beginning. However, the ultimate cost will not even be borne by this generation, but rather, it will fall upon our children and future generations.  It is they, and ourselves, who will have to deal with a devalued currency and debt piling ever higher, as good money is thrown after bad – all for the enrichment and aggrandizement of a few, and at the expense of virtually all.

If President Obama loses his bid for re-election in 2012, he will have to thank Tim Geithner for the outcome.   By the way, the transparent assurances of Mr. Buffet aside, it’s never too late to nationalize and restructure the banks, starting with Bank of America.  Why look at GM, who was nationalized and restructured, and just reported record sales figures, up eighteen percent!

$$$  The Republican Party and the Politics of the Heart of Darkness – The Republican party’s disdain and visceral objection to the President taps right into the Heart of Darkness.   What does it say when the Senate Republican Leader’s primary goal is not the betterment of his home state of Tennessee or the country, the job for which he was presumably elected, but rather unseating the President of the United States.   This party of which I was once a proud member, has completely run off the rails, and now is run by megalomaniacal billionaires, the intolerant, and those who politically exploit the evangelicals and Christian community.   Ironically, the party of Christ, as the Republican Party would have you believe, worships money and is the lap dog of corporate interests, often at the expense of all other considerations.   If the GOP was really adhering to the teachings of Christ they would be providing aid and assistance to the poor and the elderly, not shutting down government assistance or attempting to privatize same.  Governor Rick Perry’s connections to the plutocracy and fund raising capabilities are legendary, and yet, he wants to kill social security.

There’s just one problem, the Republican Party and the Chamber of Commerce are rapidly finding themselves turned inside out, by the alleged extremes within the party tent, many of whom are anti- multinational, anti-Wall Street, and anti-Fed.   Seems that some of the elements within the party can appreciate, greatly, American business and capitalism, but don’t share a similar fondness for cartels and monopolies who exploit government largess, tax loopholes, and the legislative process.   This party claims the mantle of fiscal responsibility while often presiding, from the White House, over the greatest Keynesian raid heretofore known to man, from Reagan through Bush (W).  Hypocrisy defined.

$$$  Steve Jobs and Apple Computer.   Talk about singular focus, look no further than Mr. Jobs.  The man truly is great, and has changed America and the world in so many different ways, often for our betterment.  But could Mr. Jobs be greater?   By hiring U.S. labor, instead of exploiting labor on foreign shores, one economist estimates Apple’s profit margin on the iPhone would drop from 60% to50%.   Not a terrible price to pay for helping out your home country, right?  Or by insisting that Apple’s vendors in China pay a fair living wage, with a normalized work week, Mr. Job’s would set a standard for multi-nationals, and bring the differences between U.S. labor and China’s labor market one more step closer to parity or equilibrium.   Mr. Jobs could also insist that vendors in the Pacific Rim not hire child labor, or pollute.   Mr. Jobs will go down in history as a tremendous talent and inventor, but might he have been greater?  Instead of employing more American’s we have a company that exploits U.S. tax law and is sitting on more cash than the U.S. Treasury presently has on hand.

With great power comes great responsibility; U.S. corporations want to be treated like royalty, but often eschew a great deal of the social responsibility that comes with that privilege.  That is to say, corporations often enjoy greater privilege and deference under the law, than any single citizen would ever be accorded; and yet, often get away with crimes that no citizen could ever escape, individually.  If corporations want to be accorded great privilege should they not be held to a commensurate standard?

The annual drive for the United Way is great, but could Corporate America do more?   Apple computer, and the cult of personality that follows Mr. Jobs, could change the corporate/social responsibility dynamic if they so choose, and with a minimal hit to their bottom line.  In fact, this blog argues that any short term reduction in income – as a result of a renewed commitment to the United States and its citizens – could be made up for, in terms of profits, many times over in the intermediate and longer term.

Speaking of great works of fiction, probably the greatest lie told over the last three years has been that the Obama administration is anti-business.   

Take a look at the productivity gains of the American corporation, the increases in net income, and the mountains of cash many of these entities lay upon, and convince me that this administration is anti- business.  Meanwhile, American labor has not seen a real increase in income over the last two decades.

$$$  Exxon Mobil:   This story is priceless, but first a little history.   On August 23, 1939, Adolph Hitler signed a deal with the devil, Joseph Stalin.  Also known as the Molotov –Ribbentrop Pact, the deal basically carved up Poland and Northern and Eastern Europe between the two ambitious men.  The “deal with the devil” eventually disintegrated with Hitler’s Operation Barbarossa, and the Russian winter.   (Hitler apparently learned nothing from another person exhibiting HDS, Napoleon Bonaparte, who made the same mistake in attacking Russia too late in the summer, and was also fighting wars on too many fronts.  We can all be thankful that Hitler was apparently not a student of history.)

Fast forward to this week, when Rex Tillerson’s Exxon Mobil signed, perhaps, another deal with the devil, Ex- KGB and now Russian Prime Minister, Vladimir Putin.   For a look into what Exxon stockholders can come to expect from a deal with Vlad, examine the tough love dished out to a present Russian partner, British Petroleum, from this week’s N.Y. Times:

MOSCOW — Police officers armed with assault rifles Wednesday raided the Moscow offices of the British oil giant BP, carrying out a type of ritual armed search of white-collar premises that is common enough here to have a nickname, “masky show.”

The timing of the raid, however, highlighted this peculiar type of Russian risk for another company — ExxonMobil, which just a day earlier agreed to take over the very Arctic exploration deal that fell through for BP.

BP is still involved in a dispute with its Russian partners over that oil-exploration deal; the police search was related to a lawsuit pending in a Siberian court.

Russia is as important for BP’s oil production as the United States, so even though the company has had such problems here for years, its share price often nudges up or down in response to police raids or the arrests of employees.

The police raids on Moscow’s glassy high-rises where foreign banks and oil companies have offices unnerve employees and disrupt business. They are called “masky shows” for the balaclavas often worn by the black-clad police.

What makes Tillerson’s deal so unique is not that he is getting into bed with a reformed commie, after all President –“ I can do business with this man” – Bush was snookered by Mr. Putin, too; but Exxon must know that the prospects for any longevity to this partnership cannot be good.   Many multi-nationals have sought to do business in the former Soviet Republic, only to find themselves shaken down by corruption, subjected to police state tactics, and with little recourse in a country where the rule of law often does not exist.

Of course, the allure of drilling in the Arctic Sea has to be a huge draw for Exxon, what with the U.S. still concerned about the Alaskan coast and its environment, why not do an “end around” U.S. energy policy and hook up with the Ruskies?  Selah!  If there’s a catastrophe, who’s likely to know if a few million barrels of the sticky black stuff dumps into the Arctic Ocean during a period of endless polar nights?   (Polar bear au chocolat?  Exxon appears down with that.)  Since this deal will have to be ratified by the congress and involves giving Mr. Putin’s Russia a share of Exxon’s U.S. assets, how much of this “dance” by Exxon is sincere, and how much of it is a way to put pressure on the U.S. government to open up the Alaskan coast to Exxon? 

Only time will tell, however, one thing is clear:  If you thought the banking crisis threw a wrench in the global economy take a look at the economic and foreign policy ramifications of the largest U.S. corporation, and a key energy provider, doing business with the Russian Prime Minister.   Does the U.S. really want a Russian Premier (who often exhibits HDS) holding U.S. foreign policy hostage via his arrangement with Exxon?   Mr. Putin, said of the deal: “The scale of the investment is very large.   It’s scary to utter such huge figures.”   Scary, indeed.

The Heart of Darkness syndrome is everywhere these days, and you don’t even have turn on the news to see it first hand, why look right next door.  One might see HDS exhibited in local judges, politicians, school superintendents, and even teachers, anywhere where near absolute power has the potential to corrupt, absolutely.  Men and women will often make mistakes, and become entranced by a goal, mission or dream.   And it’s this passion that can also, if channeled correctly, drive men and women to achieve great things.  The question is can the person with HDS pull up before it’s too late, or like Kurtz will the situation end in personal destruction and substantial collateral damage?

Mr. Kurtz died before reaching his goal of being reunited with his lover, his “intended.”

She never came to know his final words, which were:  “The horror!  The horror!” 

At the end, Mr. Kurtz came to rest where all the indispensable men and women of the world ultimately come to lay, in a dark grave, and possibly answering to a much higher power.

P.S.  I know the economy sucks, but is President Obama kicking some serious tail or what?  I mean if these were normal times, this guy would be coasting to victory in 2012.   Let’s look at his foreign policy score card, shall we? 

Osama bin Laden:  Check.

Colonel Gaddafi, check.

Wind up Mission in Iraq, check.

Start and conclude a war in Libya with multinational political, economic, and military support to prevent genocide by a ruthless dictator, setting a new benchmark for U.S. foreign policy:  Check again.

Ushering in a new – hopefully less costly – age in the U.S. military, that of covert operations, drones, cyber-ops, and less dependence on standing armies:  CHECK!

Pulling the hell out of Afghanistan… Under Review/Pending.

Foreign Policy grade for the Commander in Chief, and showing the Republican Party how to actually hunt down scum bags and win:   A

Note: If Obama was a Republican, the GOP would be singing his praises right now.

Note, if the U.S. can exit Afghanistan, possibly as the election nears, we predict that the President’s poll numbers will enjoy a boost.  Then America can say, definitively, “mission accomplished.”   Coming soon, the Presidents score card on U.S. domestic policy.   This blog has seen some promise from this administration on domestic matters, like having the Justice Department take on the AT&T monopoly, and combination with Sprint. The government’s law suit against the banks, initiated this week, over the fraud associated with mortgage debacle is another great start.  Potential here is limitless, as an agent of real change.  Obviously, jobs is priority one!

Finally, see the film adaptation of Heart of Darkness with Mr. Francis Coppola’s Apocalypse Now.  I highly recommend it.

Copyright JM Hamilton Publishing 2014