I just received a press release from the White House (you can see it here) citing a pro-tax cut memo from Morgan Stanley as reason for Congress to pass the Bush tax cuts on income over $250,000 a year. Let's step back and chronicle the steps that show just how audacious this really is.
- Morgan Stanley is one of the big financial firms that helps run the economy into the ground.
- Morgan Stanley becomes one of the top corporate campaign contributors to Barack Obama.
- Obama's Fed gives Morgan Stanley a 2 trillion bailout.*
- Nonetheless, Obama cites this same bailed out bank as a credible and objective source on the economy Morgan Stanley helped destroy - all in order to sell a tax plan that will benefit Morgan Stanley's executives in the form of new high-income tax cuts.
I think the "Which side are you on?" question about Obama has been answered.
* Note that the press release also cited another Obama bailout recipient, Barclay's.
Follow David Sirota on Twitter: www.twitter.com/davidsirota