Washington Babylon — June 19, 2009, 9:36 am

Obama and political triangulation: the more things change…

First see this from the Washington Post:

What does it tell you when banks, investment houses, insurance companies and derivatives traders are so pleased with their regulators that they are prepared to pull out all the stops to keep them?

What it tells me is that the current system of financial regulation has been thoroughly captured by the companies it was meant to restrain — and that the only way to put things right is to bring in new rules, a new structure and tough new regulators. Anything short of that, and you can almost guarantee that the inmates will be back in charge of the asylum by the time the next bubble starts to develop. Judged by that standard, the proposals the Obama administration put forward this week to reform the regulatory apparatus were a bit of a disappointment…

Given that we have just gone through the worst financial crisis in 75 years, one would hope that the government’s response would be something more than an exercise in political triangulation…Instead, the Obama team, hoping to ride the wave of public outrage before it crested, determined to fashion a reform proposal even before a thorough analysis could be completed. And by deciding to contort and trim their proposal to accommodate the objections from powerful interest groups and key members of Congress, members of the Obama team have now made it politically acceptable for everyone to treat this as just another special-interest free-for-all of the sort that helped cause the crisis in the first place.

Now see this from the New York Times, “Obama’s Pledge on Donations Faces Reality”:

When President Obama arrived at the Mandarin Oriental hotel for a fund-raising reception on Thursday night, the new White House rules of political purity were in order: no lobbyists allowed. But at the same downtown hotel on Friday morning, registered lobbyists have not only been invited to attend an issues conference with Democratic leaders, but they have also been asked to come with a $5,000 check in hand if they want to stay in good favor with the party’s House and Senate re-election committees.

The practicality of Mr. Obama’s pledge to change the ways of Washington is colliding once more with the reality of how money, influence and governance interact here. He repeatedly declared while campaigning last year that he would “not take a dime” from lobbyists or political action committees.

So to follow through with that promise, Mr. Obama is simply leaving the room.

Share
Single Page

More from Ken Silverstein:

From the November 2013 issue

Dirty South

The foul legacy of Louisiana oil

Perspective October 23, 2013, 8:00 am

On Brining and Dining

How pro-oil Louisiana politicians have shaped American environmental policy

Postcard October 16, 2013, 8:00 am

The Most Cajun Place on Earth

A trip to one of the properties at issue in Louisiana’s oil-pollution lawsuits 

Get access to 164 years of
Harper’s for only $39.99

United States Canada

CATEGORIES

THE CURRENT ISSUE

August 2014

The End of Retirement

= Subscribers only.
Sign in here.
Subscribe here.

The Octopus and Its Grandchildren

= Subscribers only.
Sign in here.
Subscribe here.

Francis and the Nuns

= Subscribers only.
Sign in here.
Subscribe here.

Return of the Strongman

= Subscribers only.
Sign in here.
Subscribe here.

view Table Content

FEATURED ON HARPERS.ORG

Article
The End of Retirement·

= Subscribers only.
Sign in here.
Subscribe here.

“For those riding the economy’s outermost edge, adaptation may now mean giving up what full-time RV dwellers call ‘stick houses’ to hit the road and seek work.”
Photograph (detail) © Max Whittaker
Post
The Many Faces of Boko·

= Subscribers only.
Sign in here.
Subscribe here.

“People want education. Open a school and they will rush.”
Photograph © The author
Article
The Octopus and Its Grandchildren·

= Subscribers only.
Sign in here.
Subscribe here.

On Stanford University’s origins and vision
“The pervasive fantasy that Silicon Valley doesn’t need the government obscures the role of that government in funding much of the research that built it.”
Photograph © Sallie Dean Shatz
Post
God Lives on Lemon Street·

= Subscribers only.
Sign in here.
Subscribe here.

“Bethel was Oz-like for me. I mean that with all the awe, utter hopefulness, and mythic fear with which Dorothy and her friends had approached that magical city.”
Photograph (detail) ©© Clemens v. Vogelson (Flickr)
Article
Francis and the Nuns·

= Subscribers only.
Sign in here.
Subscribe here.

“A year and a half into his papacy, Pope Francis is looking an awful lot like his predecessors.”
Photograph (detail) © Dan Kitwood / Getty Images

Average number of sitcom laughs an American hears during a prime-time season:

12,000

Czech and German deer still do not cross the Iron Curtain.

British economists correlated the happiness of a country’s population with its genetic resemblance to Danes.

Subscribe to the Weekly Review newsletter. Don’t worry, we won’t sell your email address!

HARPER’S FINEST

In Praise of Idleness

By

I hope that after reading the following pages the leaders of the Y. M. C. A. will start a campaign to induce good young men to do nothing. If so, I shall not have lived in vain.

Subscribe Today