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Miles Mogulescu

Miles Mogulescu

Posted: January 4, 2010 03:07 AM

How Does it Feel to be Praised by Bill Kristol for Critiquing Corporatism in the Democratic Party?

What's Your Reaction:

Well, the answer is ambivalent, bemused, but also a bit flattered and, in a certain perverse way, validated in my argument.

In a recent article in The Weekly Standard.Com with the headline "Kristol: Merry Christmas from the Huffington Post!" neoconservative intellectual, and sometimes advisor to George W. Bush, John McCain and Sarah Palin, William Kristol writes:

"In the generous and forgiving spirit of Christmas, let me recommend an article from The Huffington Post. It's an interesting piece by Miles Mogulescu, on "The Democrats' Authoritarian Health 'Reform' Bill and the Ascendency of Corporatism in the Democratic Party," and suggests an increasing degree of left-right agreement in diagnosing and disdaining President Obama's corporatist liberalism."

Kristol then provides an extensive redacted quotation from my referenced recent article in The Huffington Post in which I express concern about the growing corporatism in the Democratic Party and the increasing appearance that Obama is as much President of Wall Street as of Main Street; warn that, as a result, Obama may be losing not only the left but the center; and caution that the political effect could be a revival of the seemingly brain-dead Republican Party in the 2010 and 2012 elections.

Kristol then quotes the end of my article:

"And Mogulescu concludes:

'I worry for the future not only of progressives and Democrats, but of the country. President Palin in 2012?'

To which I [Kristol] say: From the Huffington Post's website to God's ear!

Merry Christmas!"

To which I respond:

Nominate Palin in 2012?

From the Weekly Standard's website to God's ear!

Happy New Year, Bill!

Aside from Kristol's failure to acknowledge the irony of my quotation on Palin, I only hope that the Republican Party is so stupid as to nominate her for President in 2012, or for Palin's success in the Republican primaries to force the eventual nominee so far to the right that he or she becomes unelectable. That may be the necessary ingredient in energizing the Democratic base and getting it to the polls, as well keeping independents in the Democratic column--even if both are somewhat disillusioned with Obama--and ensuring the reelection Barack Obama, even if his popularity has declined from 2008. And yes, even if Obama continues to govern as more of a corporatist liberal than a progressive liberal, Obama's reelection would be far preferable to the election of a right-wing Republican or the return to the Bush years of absolutist free market economics and neocon foreign policy. So go ahead Bill, nominate Palin--or a Palin-influenced candidate--and make my day.

That said, Kristol, one of the leading neocon intellectuals, makes some interesting points that Democrats and progressives ignore at their peril:

1. Kristol implies that Democrats passing a corporatist health "reform" bill which subsidizes private health insurance and drug companies and uses the power of the IRS to force citizens to buy a private product may not be perceived by voters as advancing their interests and could help revitalize the Republican Party.

Kristol uses too many ellipses (...) in quoting from my article, so let me quote the key passages on the health care bill more completely.

"If Barack Obama and today's Congressional Democrats were passing Social Security for the first time, instead of creating a public program, they would likely be mandating that every American buy an annuity from a private, profit-driven Wall Street firm like Goldman Sachs (who would keep 15%-20% for overhead, profits and executive salaries) with the IRS serving as Wall Street's collection agency...


Democrats and liberals once stood for providing a social safety net through government programs like Social Security, Medicare and unemployment insurance, which were administered by government employees for the benefit of the American people and not by private companies for the benefit of their shareholders...

Democrats in Congress, under the leadership of Barack Obama, have now turned that principal on its head and made health care neither a right, nor a privilege, but an obligation for individual citizens and a government mandated profit center for private corporation. For the first time in American history, Democrats are about to pass a bill that uses the coercive power of the federal government to force every American--simply by virtue of being an American--to purchase the products of a private company. At heart, the Democrats' solution to 48 million uninsured is to force them to buy inadequate private insurance--with potentially high deductibles and co-pays and no price controls--or be fined by the federal government.

In effect, this represents an historic defeat for the type of liberalism represented by the New Deal and the Great Society and the ascendancy of a new type of corporatist liberalism."

Somewhat ironically, there's a degree of agreement between the libertarian right and the progressive left that government coercion to buy a private product is wrong. But the agreement ends there. Conservatives like Kristol believe that health care should be left to the free market. Progressives want a stronger role for government, ideally supporting the extension of Medicare to all Americans, and at least demanding a robust public option to compete with private insurance and reduce premiums.

Regardless, from a practical political point of view, Kristol may be right to gloat that, when average voters eventually realize the coercive corporatist nature of the Democrats' health "reform" bill, the result could be a revival of Republican fortunes.

2. From a broader political perspective, Kristol may be correct that the ascendancy of corporatism in the Democratic Party may reinvigorate support for Republicans. He quotes my Huffington Post article again:

"As it increasingly appears that Obama is the President of Wall Street, and not the President of Main Street, he is losing not only the left but the center. It's a myth that the path to winning the popular center in American politics is moving to the corporate center. If the only political choice given to American voters is using their taxes to help big government subsidize wealth corporations, or the Republican message of shrinking the size of government and cutting their taxes, many who voted for Obama will return to the fold of the seemingly brain-dead Republican Party."

In our roles as objective political analysts, Kristol and I foresee the same results from a corporatist-dominated Democratic Party. Of course as political partisans, Kristol sees it with glee and I see it with dread.

3. Perhaps the most interesting and provocative note in Kristol's article is the suggestion that there may be "an increasing degree of right-left agreement in diagnosing and distaining President Obama's corporatist liberalism."

Oddly enough, progressives and certain conservatives may agree with each other more than they do with corporatist Democrats and Republicans in opposing many of the economic policies of Geithner, Summers and Bernanke in their continued use of taxpayer-backed funds to subsidize the toxic assets of the big financial institutions who in turn pass-out multi-million dollar bonuses while being asked to do little for the country in return.

On specific issues, there may even be opportunities for left-right alliances. As progressive blogger Jane Hamsher has pointed out,

"Many recent measures have been bringing liberal progressives and conservative libertarians together to join forces in opposition...Individuals on both sides of the political spectrum agree on very little, but they do share both a tremendous concern for the corporatist control of government that politicians in both parties seem hell-bent on achieving."

Among the examples cited by Hamsher:

• Liberal Democrat Alan Grayson and Conservative Republican Ron Paul co-sponsoring a bill with 317 House co-sponsors to audit the Federal Reserve, which passed the House Financial Service Committee 43-26 over the objections of the Treasury Department.
• The liberal Campaign for America's Future sponsoring letters to the Senate opposing the reconfirmation of Federal Reserve Chairman Ben Bernanke until such an audit is conducted, signed by such liberals as progressive economists James Galbraith and Dean Baker, liberal blogger Chris Bowers of OpenLeft, and Campaign for America's Future President and Huffington Post blogger Robert Borosage, and by such conservatives as Grover Norquist of the right-wing Americans for Tax Reform and Phyllis Schafley who founded the conservative Eagle Forum.
• A December 21 letter opposing health care mandates which was signed by the likes of Tim Carpenter of Progressive Democrats of America and Bob Fertik of Democrats.com on the left, and Grover Norquist and Duane Parde of the National Taxpayers Union on the right.
• Conservative Senator Jim Bunning and America's only democratic socialist Senator Bernie Sanders joining in placing a hold on the Bernanke nomination until the Fed has been audited.

Now this budding left-right alliance needs to move beyond prominent individuals signing letters to the grassroots. For example, when I was a young progressive community organizer in Minneapolis soon after I graduated college some years ago, I helped form a left-right alliance between anti-tax conservatives (the precursor of the current tea party movement) and progressive liberals to defeat a proposal supported by corporatist Democrats and Republicans to use taxpayer money to subsidize the profits of the Minnesota Vikings by building them a heavily government-subsidized domed stadium. Low-tax conservatives and anti-corporate progressives--over the objections of the established Democratic and Republican Parties--convinced a majority of Minneapolis voters that their taxes shouldn't be used to subsidize the profits of a private corporation. (I'll be writing more about this experience, and its implications for today, in a coming Huffington Post article.)

So, in the generous and forgiving spirit Christmas and New Years, I'd like to challenge Bill Kristol to join together with progressives and principled conservatives to support a movement to a reenact a version of the Glass-Steagall Act to break up the big financial institutions like Citicorp, Bank of America and Goldman Sachs, and to separate federally insured commercial banks from speculative investment banks, as well as joining with the British and French in putting a 50% excise tax on 2009 bank bonuses, over the opposition of corporatist Democrats and Republicans alike.

How about joining a left, right, and center alliance to bring a million Americans into the streets this spring to protest the greed of the big banks and their enablers in Washington?

Happy New Year.

(Note: I'll be writing a continuing series of blogs and articles on the dangers corporatist liberalism in the Democratic Party in The Huffington Post and elsewhere in 2010. Please look for them.)

 
 
 
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10:58 PM on 01/26/2010
This is an excellent piece. If we are to reign in the big banks, we must unite, and set aside, at least for a period of time, ideological differences. Let's stop disparaging the "Teabaggers" and reach out to them, before Sarah Palin and others coopt the movement!
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10:25 PM on 01/26/2010
Thank you so much. As a progressive that opposes a corporatist view, I am increasingly sad and angry over the apparent lies of the Obama campaign. Yes, campaigns are not governing, but I have never seen a candidate stir up such progressive passion, only to smack us down almost as soon as he took office.

As a progressive that opposes a corporatist view, I am now told that I'm a racist, a whiner, a bed wetter, and so on.

So your clear writing is a balm to the soul, even as it highlights the urgency of refusing these policies. I'm tired of Congress ignoring us even when we do organize. I hope you can join with some other folks that have experience in organizing and help us do this, because many of us do not know how--we've been going pretty much since the campaign.

We're getting scared that this Presidency may toll the death knell for "real Democratic" policies, as the public had such hope that has now been betrayed--i doubt they'll give us another chance for a long while, if ever. Not to mention that the powers that can easily deny a true vote count and mold public opinion are not our friends. We had to make a super effort to get Obama in; I'm not sure that the stars will align that way again.
03:12 PM on 01/05/2010
How anyone can call Bill Kristol an "intellectual" with a straight face is beyond me. He has been and continues to be 100% wrong about every issue on which he opines.
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K.J. Dwyer
American Ex-Pat/Writer
10:08 AM on 01/05/2010
While we're all busy focusing on the "Conservative/Liberal Puppet Show", Obama stacks his economic team with the same Friedman failures Bush employed, holds that anyone who relied on and operated under the "torture memos" would be immune to prosecution, continues rendition programs, continues to make a mess of the middle east, continues the "don't ask don't tell" policy, not only for gays in the military, but for TARP funding as well, uses and upholds the same language and reasoning that gave us DOMA, holds secret meetings with Pharmaceutical reps, proposes indisputable mandates that all Americans buy private insurance policies and allows the Public Option to die, ensuring a windfall for the Private Insurance Industry.

The extreme nature of conservative rant only serves to move the center further right, giving cover to Obama to toe the corporate line while appearing to “do the best he can” while under attack from a reckless opposition. If a supermajority in the Senate, an overwhelming majority in the House and control of the Executive is not enough to exercise a clear mandate, then we may as well just stop pretending and move all branches of government to Wall Street and call it a day.

The "illusion" of a two-party system, while it has provided some interesting theater, is fast becoming an outright farce. Obama now represents the most craven bit of casting yet. All of the soaring rhetoric, the grassroots movement, the promise of a progressive agenda . . . all of it apparently pure
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HUFFPOST COMMUNITY MODERATOR
PATina
Plus ça change, plus c'est la même chose
10:25 AM on 01/05/2010
If a supermajority in the Senate, an overwhelming majority in the House and control of the Executive is not enough to exercise a clear mandate, then we may as well just stop pretending and move all branches of government to Wall Street and call it a day.


Agreed.
11:51 AM on 01/05/2010
I would like to see a true progressive party. Start out in districts that have nominally progressive Democrats- San Fransisco, Denver, Boulder, Portland/Eugene, St. Paul, Chicago, Detroit, Compton, etc. Do not run a presidential candidate initially so as to avoid the Nader effect from 2000. Make party unity compulsory, and vote the party, not the person. Agree to caucus with the Democrats under certain non-negotiable circumstances (support for single payer and the EFCA, closing Gitmo, removing troops from the Arab World, etc.). No deal? No majority. The only drawback I can see is that we would be running against the best of the Democrats. Diane DeGette in Denver is decent. But what has that got us? The progressives caved when push came to shove, presumably in return for perks like committee assignments. If we had our own party that wouldn't happen.
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HUFFPOST SUPER USER
Carl Caroli
I just don't understand people
09:48 AM on 01/05/2010
"...I'd like to challenge Bill Kristol to join together with progressives and principled conservatives to support a movement to a reenact a version of the Glass-Steagall Act to break up the big financial institutions like Citicorp, Bank of America and Goldman Sachs, and to separate federally insured commercial banks from speculative investment banks, as well as joining with the British and French in putting a 50% excise tax on 2009 bank bonuses, over the opposition of corporatist Democrats and Republicans alike."

Great idea. Unfortunately many of the folks on the right just don't want to be seen identifying with the left. Finding common ground takes the wind out of their sails, much like the foot dragging by the republican party in general to minimize credit to Obama.
07:19 AM on 01/05/2010
I always knew Obama could be brought in line with the be happy your the first black president and don;t blow it casue you know we can ruin you line of BS. But Palin. She lives in another world that is truly frightening. That is truly a terrifying thought. president palin. OH NY GID!!!!!!$%^&*()2222@
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HUFFPOST SUPER USER
Jezreel
Think. Act. Live wisely.
02:39 AM on 01/05/2010
This is an excellent article Miles. I agree with your assertion that at the core of the opposition among activists on the Left and Right is anger over the convergence of government and private corporations aainst the will of the electorate.

The Tea Party Movement, not including the racists, anti-abortion extremists and other crazies, is angry at what they believe is too much government "control" and "interference" over the private sector.

On the Left, anger results from what we perceive as an unseemly and inappropriate marriage between government and the private sector for the mutual benefit of a political party and a corporate industry at the expense of the electorate.

The Health Care Bill the financial bailout and the watered down financial regulatory Bills represents a convergience of the Federal government and the insurance and pharmaceutical industries fthat is without historical precedent. The sole purpose of of this government/corporate marriage is to ensure financial support of the Democratic Party in order to maintain their hold on power and to guarantee a steady flow of taxpayer money to the private sector - enforceable by Federal law in order to make sure that corporate financial support continues.

Regardless of which side we're on, we are witnessing a marriage between the government and corporate America that has the potential for devastating Main Street America.

I hope that real grassroots Tea Partiers realize their movement is being hijacked by corporately influenced, elected offficials with the same goals as their Democratic counterparts.
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EbonBear
opinionated hairy man
01:44 AM on 01/05/2010
Isn't "corporatist liberalism" a contradiction in terms?
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masher
software engineer
10:31 AM on 01/05/2010
Of course not. You have to consider that power and ideology are two different things. Ideology can be pliable and shaped through rationalizations. When people seek power they can easy find ways to shape an ideology to fit the needs of power. Consider the communist in China who have created corporate communism.
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Miles Mogulescu
12:29 PM on 01/05/2010
As I will be writing in more detail in a series of articles on corporatist liberalism, going back at least a century, there has always been two strands of liberalism in America. The first is progressive/populist liberalism rooted in mass movements like the labor movement, civil rights movement and women's movement that seeks to use government to increase equality and improve the lives of ordinary people. The second is corporatist liberalism rooted in the highest levels of business and supported by networks in mainstream media and various business-supported think thanks which seeks to use government to advance the interests of big business. Occasionally, particularly during periods of crisis and social unrest, these two strands converge and progressive/populist movements success in pressuring corporatist liberals to implement meaningful reforms as during the progressive era, the New Deal, and the Great Society. At other times, corporatist liberalism operates on shock doctrine principles to impose its will and advance its interests. More to come on the subject in future articles.
07:09 PM on 01/04/2010
I've passed on email to my friends that I have so far recv'd from two people, calling for citizen's to dump the entire DEM/GOP Corp-Gov representatives for people strongly commited to a Constitutional-Gov and termination of Pork/PAC/Pork/Payola whoredom.

Voting for meat-hooks like Clinton and Coleman only prolongs our Empire elite and foreign powers (elite across the sea) in their perpetual war to sustain their war economies or godless State of slaughter.
09:15 AM on 01/04/2010
So all it takes is a peep from Kristol and your right back on the "anything but Palin" boat. Actually, worse than that, you actually invoke a god in your plea that this be the way the incumbent keep his seat. And I thought your criticism was on its merits.
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jsarets
08:06 AM on 01/04/2010
Bravo!

If I've typed this once I've typed this a dozen times:

When the progressive left and the libertarian right unite against the corporatist center, only then will real, substantive change come to American politics.

We don't agree on the proper role of government with respect to individuals, but we do agree on the proper role of government with respect to institutions.

Together we can bring down the corporate welfare state, from agribusiness subsidies to financial bailouts to the military-industrial complex.

These issues aren't left vs. right. These are left AND right vs. center.

On health care reform, as shocking as it may seem, the Blue Dogs had it right. Non-profit insurance cooperatives (better term: "health unions") were the way we could have secured a left/right coalition in support of a real alternative to profit-seeking insurance corporations. Modeled after credit unions, health unions would be accountable only to their subscribers.

If we reach across traditional party lines, we can dismantle the corporate welfare state, restore our civil liberties, and even rein in the war machine. We could reshape our government in the interests of families and small businesses.

Wouldn't that be something?
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Democrab
Pretty far so good
08:51 AM on 01/04/2010
Who's going to lead that charge, George Armstrong Custer?
07:35 AM on 01/04/2010
Another insightful post. Thanks, Miles.
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Spekkio
07:33 AM on 01/04/2010
This is spot-on analysis. The sooner we can get past the partisan bickering and work to end corporate control over government, the better. I would think that genuine people of all political stripes could agree that the corporate profit motive has no business (forgive the pun) in responsible or effective government. As American hero Stephen Colbert pointed out recently, the current fetish for sub-contracting government functions is eerily reminiscent of Mussolini's definition of fascism. (http://emptywheel.firedoglake.com/2009/12/17/colbert-on-the-spyvate-sector/)

From a liberal point of view, we don't want corporations overriding the will of the people. From a conservative point of view, we don't want corporations making government bigger or more powerful just because it suits them. I'm sure there are many other principled anti-corporate positions from many other political points of view. Suffice it to say that corporations and government should not mix.