Libertarians for Ron Paul

Why Wall Street Socialism Will Fail

“Whereas the old style of socialism elected no more than a handful of mayors and congressmen, Washington has now embraced a new variety that could not be more different in its class consciousness and privileged sponsorship.”

“I am talking, of course, about the collectivization of financial risk being promulgated by the Federal Reserve Board and the U.S. Treasury Department and applauded in pin-striped precincts from Park Avenue to Pacific Heights. Described as Wall Street Socialism by the gauche and more precisely identified as the “socialization of risk” by sophisticates, the new fashion leaves the profits of finance in private hands as of yore. It is only the “risk” — of collapsed currencies, flawed speculation, busted hedge funds or the greedy misjudgments of large banks or brokerage firms — that is quietly taken up by government entities and all too often shifted to taxpayers who do not understand the pompous phraseology but know full well that Washington will never bail out their hardware store or the widget plant where their son works.”

Kevin Phillips looks at Big Government helping Big Business - at taxpayers expense in the New Socialist Era

http://www.huffingtonpost.com/kevin-phillips/why-wall-street-socialism_b_96772.html