Classical Economic Crisis, Neo-Classical Means

President Bush characterized our present economic crisis as "unprecendented" requiring unprecedented measures.

This is false.

It is an attempt to mislead the public to think that this 200 year old means of finance, welfare for the rich (the Hamiltonian model of political economy in which the government supports the financial system and its elit ownership, command and control in whatever current form), is new and, therefore, unanticipated, evolving, and not a threat to the General Welfare.

Jefferson argued that Hamilton's model is, by definition, and will always be, a threat to the General Welfare, and it is the Natural Right, The Duty, of The People to ensure the General Welfare. The Bush administration and the McCain campaign falsely argue the novelty of the crisis to sustain the means of continuing it as the General Welfare, and continue to corrupt the Natural Right, The Duty, of The People.

The crisis--the liquidity crisis--is classical. It is the result of an overaccumulation of a surplus which is what happens with a regressive tax code that John McCain wants to sustain. He in fact offers the disease as the cure.

Classic liquidity crisis is simply this: so much money is surplused into capital ownership within the top economic class that there is not enough to drive (grow) the economy. The problem is classic. It has been going on for hundreds of years and culminated in the Great Depression in which monetarism was invented to add the consolidated liquidity that is called "illiquidity." The means to accomplishing the crisis became "neo" classical. Government operation in the marketplace is being defined, by Constitutional authority, as the General Welfare with the result, of course, being the classic crisis with the legitimacy of public authority, or the Will of The People, or by the Consent of the Governed.

Does the crisis and the means of perpetuating the crisis have your consent?

Continuing a regressive tax code--what McCain offers--is the problem.

A progressive tax code--what Obama/Biden offers is the solution.

The accumulation of income into the top one percent of income classes not seen since just before the Great Depression is no coincidence, and is not new. It is a clear indication of crisis and the accumulation was allowed to occur despite ample warning that was deemed socialist, communist or generally socially psychotic.

Monetizing our way out of the crisis just reinvents the problem. The evidence is overwhelmingly clear and convincing. A regressive tax code does not produce the General Welfare, it produces general crisis independent of monetizing the debt.

The Obama/Biden solution--raisng the tax rate at the top margin and lowering it for the other income classes--is very specific to the problem despite the criticism of bought-and-paid-for experts that claim otherwise hoping we will all ignore it or dismiss it as an unfitting simplicity to a complex problem.

Vote for the solution.

Obama/Biden 2008!

Very best wishes.