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Mike Lux

Mike Lux

Posted: September 16, 2010 10:33 AM

A Home Run for Our Side

What's Your Reaction:

I have beaten up on the Obama White House enough that I'm no longer very welcome by many of the top staffers there, and on no issue have I been tougher on them than on their policies regarding dealing with the biggest banks and the TARP program. This morning, though, I am all smiles, delighted to my core, because the reports, confirmed multiple times, about the appointment of Elizabeth Warren are a big home run.

I am more than a little biased, because Elizabeth has become a good friend over the past few years, and because I have rarely seen the kinds of guts and tough bargaining strategy that I watched her show during the financial reform fight and the TARP oversight work. She publicly and repeatedly faced down Tim Geithner on a series of major issues around TARP and the overall handling of the financial crisis. She privately went nose to nose with Barney Frank and Chris Dodd and Treasury during negotiations over the financial reform bill. She had to time and again back Dodd down when he was getting ready to make bad compromises on the consumer agency. (Why do you think Dodd has fought so hard to keep Warren from being nominated?) She is the real deal, a fighter for middle class and poor families through and through.

Now, some progressives are arguing this joint appointment to the White House and Treasury is somehow a weak attempt to fool us, that Warren is being given the job as window dressing but will have no real power. The people arguing that just don't know Elizabeth very well, or understand what motivates her. I do not believe for a minute that she would meekly accept a powerless window dressing job, or would put up with it very long if that is what it turned into. She has never been interested in being in government for the sake of a title, and she isn't going to start now. The impressive thing is that I think Obama understands that, too, and gave her the job anyway.

For Elizabeth, the options here were the choice of basically being put on ice for several months at least during an extended confirmation battle, a time where she couldn't speak out or do any actual work on the agency while Geithner was free to start building it any way he wanted; being at Treasury reporting solely to Geithner, who I believe would do everything he could to undermine and disempower her; or this intriguing combination of working with Treasury to craft the agency while also reporting directly to the President. I don't know exactly how this deal went down, but it looks to me like Elizabeth helped craft something that might actually work in her mission to help consumers in dealing with the big banks. She always has the option of walking away if it doesn't- and knowing her, she would have the guts to do just that.

I think this is one time when we can give Obama credit for doing the right thing. Wall Street was determined in its opposition, and establishment insiders like Dodd did everything they could to derail Elizabeth from having any role in creating this agency. But the progressive movement fought like crazy to make this happen, Elizabeth showed her usual savvy and toughness once again, and the President did the right thing.

And here's the deal: this really does matter. I am constantly frustrated by the brain dead politics and corporate oriented policies of many of the people in the Democratic party, but there remain two reasons I still work hard to get Democrats elected. The first is that the Republicans scare the hell out of me with their extremism, but the second is that at least some of the time, Democrats who really care about working people and the poor do get placed in positions of power. Cecilia Munoz being the one to negotiate with Governors over how poor people are treated under government programs in the states matters. Melody Barnes playing a role in the crafting of domestic programs in the federal budget matters. Hilda Solis being in charge of running OSHA matters in terms of workers safety. And Elizabeth Warren being given the job of building an agency to make sure consumers are treated fairly by the big banks who dominate our country's economy is a very big deal.

This is a great day for America's working families, and we should celebrate.

 
 
 
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08:54 AM on 09/17/2010
Did the right thing? You mean side-stepping a confirmation because she would never get it out right. You hypocites, you would be in a full on rage attack if Bush was doing this.
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TxAnna
10:07 PM on 09/16/2010
Pres Obama hasn't shown himself to be inclined to include women in his inner circle to date, so we'll have to see just how successful Ms. Warren can be. Believe me, I hope that Ms. Warren will carry as much weight with the Pres as Summers and Geithner do; but I am not holding my breath about it.
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SiouxSayer
10:05 PM on 09/16/2010
I have to say folks, time's up for me. Been out of work for over a year, (closed my small business due to the economy), haven't even gotten a call back from even the most basic and menial jobs. Losing my house in weeks, wife divorced me, will lose my auto soon and will be on the streets for winter. Signed up for a bed in a local shelter and have taken my name off the list to allow families with children to have my bed. I'm pretty well finished. I'm a former professional American with years of experience and skills in many fields and a degree in journalism. I started a website to document the plight of the American jobless and have gotten a healthy amount of heartbreaking stories. So when you think of the typical face of poverty, misery and lifelong struggle for the average American middle-class, middle-aged citizen, look no farther than your next door neighbor, your former hair stylist, butcher, accountant and the like. You may even look in a mirror at some point. We are not dregs, dolts or criminals. We are human beings, victims, blindsided by hubris, corruption and theft of the American financial system.
I hope many of you visit my website and make a generous contribution....even if it's just your personal story of struggle and hardship. I will continue to post for as long as I can manage.

http://theincomepoop.wordpress.com
07:41 PM on 09/16/2010
"Our side", "My side", "Your side".
Thats exactly whats so messed up about OUR country.
I'm a fiscal conservative and pretty much disagree with everything the democrats have done recently but I don't see them as my enemies but my country men.
I wished our president well from day ONE and still do.
I wish Ms. Warren all the best also and I'm sure she considers herself on MY side even though I'll likely disagree with much she'll seek to accomplish.
If only ALL the folks on both "sides" could remember we're ALL Americans and on the SAME SIDE,
we'd have a fighting chance to get to a better day.
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1murillo
Can't be neutral on a moving train - Zinn
05:50 PM on 09/16/2010
Lux, great post.
Just as you mentioned, there are those that refuse to acknowledge that this is a very good development.
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jcaunter
Profile: schizoid, INTJ, IQ145
02:05 PM on 09/16/2010
Obama's only doing this because of the immediate election pressure. Expect him to appoint an industry friendly Goldman Sachs shill after November 4.

And maybe after it happens, I lot of you will look back and remember I said this and realize that Democrats are no better than Republicans.

http://www.nakedcapitalism.com/2010/09/elizabeth-warren-on-way-to-being-sidelined-as-head-of-consumer-protection-agency-relegated-to-advisor-role.html
04:17 PM on 09/16/2010
That's why people jumping up and down over Adviser and Assistant seem overly enthusiastic. He could just as easily made her Interim Director or Acting Director with direct supervisory authority.

Sure, Warren is a woman of integrity, and probably will cry foul when she discovers that she can't get anything implemented by sending reports to the White House and Geithner. But she won't get a chance to do that till after the election. At least that seems to be the plan.
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NajkaLion
01:35 PM on 09/16/2010
It seems clear that nominating her for the official post right now would put her on ice indefinitely. The Republicans would attack her nomination and then use all the foot-dragging procedural tricks they could to prevent her from providing any input in the new program. She seems smart enough and strong enough to take care of herself in the administration.
04:18 PM on 09/16/2010
There's no reason not to appoint her as Acting Director while at the same time nominating her for permanent confirmation.

Being smart and strong won't get things done. She needs direct supervisory authority over the CFPB to get things done. Smart and strong people acting as advisers and sending reports just get marginalized.
01:30 PM on 09/16/2010
Kinda Transparent if full accountibility issue goes out the window, notice she shut up about that....hmmmmm
01:05 PM on 09/16/2010
Warren is FANTASTIC!
If nothing else she is keeping the middle class and saving the middle class in the front of the dialogue.

The middle class pays into the system and is as valuable at making Corporations profitable if those Corporations would just allow American jobs.

On the "Ed Show" on MSNBC he is a powerful advocate for the middle class and everyone should support keeping the middle class as a valuable part of our economy.

If it weren't for the American middle class China wouldn't have as many jobs.
01:23 PM on 09/16/2010
Warren rocks. I hope she is given real authority. We will see what this means when we see the job description and the chain of command.
12:55 PM on 09/16/2010
This Is good news. And a rare win for economic progressives. Couple this appointment with an announcement that Tim Geitner is stepping down to...uh, spend more time with his family?...and I might start to care about the Obama administration again.
01:23 PM on 09/16/2010
We don't know if it's a win. If Warren doesn't have direct supervisory authority and can only make recommendations to the White House and Geithner, the amount of power she has is uncertain.

Romer couldn't even get her recommendations for the stimulus considered, and she was Chief of a Council of Advisers. Adviser and Assistant doesn't necessarily mean anything.
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parlimentMike
Don't settle for less evil, demand good
07:09 PM on 09/16/2010
Just keeping her involved a little longer is a win. We may fairly judge the truth of Obama by whose side he takes in her battles with the thieving class.
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ProudLiberalDan
Standing up an fighting conservatives since 1987
12:46 PM on 09/16/2010
it looks to me like Elizabeth helped craft something that might actually work in her mission to help consumers in dealing with the big banks. She always has the option of walking away if it doesn't- and knowing her, she would have the guts to do just that.

----------------

I really hope you are right and she will walk away if she is marginalized by the corporatists.
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LesleyAnne
12:45 PM on 09/16/2010
I'm happy to see the beginning of a progressive revolution, like the tea party for their side. It promises to be a better fight than dems v. repubs. I believe it's the only way we can keep the conservative right wing from undoing all of the progress that is beginning to be put into play.
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Christopher Hull
Democratic Socialist
12:36 PM on 09/16/2010
So we are supposed to be excited that we had to BEG Obama to do something right for once and then he, as usual, only did it half-assed? I'm sorry. Go sell that "hope and change'y thing" somewhere else. Elizabeth Warren is a great public servant and she deserves better treatment than what she is getting from this McCain 2000 in blackface we currently have in office.
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afram1
I am your brother
12:58 PM on 09/16/2010
Dude, you have to push to get what you want...it's not going to be handed to you with lollipops and unicorns just because you elected the black guy.

What did you get from Dubya from 2000-2008? Think you can elect better? Think again, that's what got us Reagan and Bush II.

You get in your most electable people (acknowledging that a significant percentage of voters are TPers, uninformed, willfully ignorant, wishy-washy or some amalgamation of any or all) and demand that they forward what progressives want. There will be compromise and incrementalism - Deal With It, that's politics. You see how holding out for pure candidates are working for the TPers.
01:21 PM on 09/16/2010
Pushing to get what you want is necessary. Accepting crumbs instead of even half a loaf won't get you anywhere.

This appointment may mean something or nothing. If Warren doesn't have direct supervisory authority over the bureau, it probably means nothing.
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Christopher Hull
Democratic Socialist
01:28 PM on 09/16/2010
I understand what you are saying but why does the Progressive side have to push a Democratic President so hard to do anything? Obama has single handedly demotivated one of the most motivated bases in the history of modern politics.
And to be fair W wasn't elected that election was stolen and the sheep just let it happen.
Finally, I disagree with the TP people on almost every issue BUT at least they are out there being HONEST about how crazy they are and putting their vision out there. That's more than the Dems are doing. Maybe we should try running a few pure progressive candidates and see how it goes? Even if they lose they have changed the political discussion in this country more than the progressive movement has.
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kimk3
12:09 PM on 09/16/2010
I'm not very optimistic she'll be allowed to do what she needs to do. It runs opposite to everything Obama and his administration has stood for since Day 1. I think this is just a mid-term election ploy to not outrage the base further. We'll see...
12:01 PM on 09/16/2010
As to whether "Elizabeth wouldn't let herself be window dressing." I don't think she's all-powerful. Lots of people take jobs with important responsibilities and then walk in to find that they don't have sufficient authority to get things done.

The best I can hope for is that she'll resign if she discovers that this is the case. But if it is the case, I doubt she'll have a chance to learn the truth before November 3.