October 2, 2008
Third Bank of the United States
October 2, 2008
Senate passes bailout bill
- Letting the folks in DC watch your money is like letting your dog watch your food!
- The easiest way to make a Senator bend over: Throw them some pork.
- "Those of us who look to the self-interest of lending institutions to protect shareholder equity have to be in a state of shocked disbelief." --Alan Greenspan (sic -- The biggest Sadducee who got us here)
- "Those of us who look to the checks and balances of the federal government and re-election threats to protect taxpayers have to be in a state of shocked disbelief." --TCS
The Wikipedia quote below is instructive. It tells us that the Central "Bank of the United States" Bank was seething with fraud and corruption. --Not unlike today's central banks.
It states that the Bank of the United States was using its influence to affect the elections of public officers by means of its money. --Not unlike today's central banks.
By the early 1830s, President Andrew Jackson had come to thoroughly dislike the Second Bank of the United States because of its fraud and corruption. Jackson then had an investigation done on the Bank which he said established "beyond question that this great and powerful institution had been actively engaged in attempting to influence the elections of the public officers by means of its money." --Second Bank of the United States, Wikipedia
To cause the demise of the hated Central Bank, President Andrew Jackson had all federal deposits withdrawn from the Second Bank of the United States.
In September, 1833, Secretary of the Treasury Roger B. Taney (TCS: Yes, the same Taney whom Andrew Jackson would later appoint as the Chief Justice of the Supreme Court and who would then decide the Dred Scott case) transferred the government's Pennsylvania deposits in the Second Bank of the United States to the Bank of Girard in Philadelphia....The Second Bank of the United States soon began to lose money. Nicholas Biddle, desperate to save his bank, called in (demanded payment on) all of his loans and closed the bank to new loans. This angered many of the bank's clients, causing them to pressure Biddle to re-adopt its previous loan policy. --Second Bank of the United States, Wikipedia
This action of Andrew Jackson against the Second Bank of the United States created the Whig party. Thankfully, the Whigs would not prevail.
Some anti-Jacksonians converted their outrage into political action. Under guidance from Webster and Clay, in 1834 they formed the Whig party. If the Whigs and anti-Jackson National Republicans could gain enough votes in Congress in the 1836 election to override a second Jackson veto, they could extend the bank's charter. They did not get enough new members to override a veto. Because of this and the numerous economic Panics during the preceding years, Congress did not send another bank charter extension bill to Jackson.
The Second Bank of the United States was left with little money and, in 1836, its charter expired and it turned into an ordinary bank in Philadelphia. Five years later, the former Second Bank of the United States went bankrupt (in 1841). --Second Bank of the United States, Wikipedia
In the year of the bankruptcy of the Second Bank of the United States, 1841, the Whig Party tried to propose yet another banking bill. In opposing this banking bill, the first actual use of the filibuster in the Senate of the United States was began.
"the filibuster remained a solely theoretical option until 1841, when the Democratic minority tried to block a bank bill favored by the Whig majority by using this political tactic. Senator Henry Clay, a promoter of the bill, threatened to change Senate rules to allow the majority to close debate. Missouri Senator Thomas Hart Benton rebuked Clay for trying to stifle the Senate's right to unlimited debate and he was unsuccessful in eliminating the filibuster with a simple majority vote. --filibuster, Wikipedia
Despite all the doomsday scenarios of the Whig Party, this failed attempt to reinstate the Second Bank of the United States, did not cause America to financially fall apart.
Back to the Present
Today, where is America's Andrew Jackson, if it is not Ron Paul, in the House of Representatives?
Certainly, there were no Andrew Jacksons, nor Missouri Senator Thomas Bentons, nor Ron Pauls, in the Senate willing to filibuster against this banking bill.
There was no filibuster of this massive budget bill, even though the filibuster in this Senate term is set to triple the record set last term.
In the fall of 2007, the 110th Congress' 1st session broke the record, for filibuster cloture votes, topping 70 as of Nov 15, 2007. It is on track to triple the number of such votes in 2008's 2nd session. --Filibuster, Wikipedia
OK, you got me. Not only can filibusters be overrode, (and they probably had enough votes to override this one), but budget bills to raise taxes are now exempt from filibuster.
Traditionally in the past, the Senate graciously allowed bills to reduce our taxes to be given light treatment, but since 1996, bills to raise our taxes have also been given this special light treatment. Nice!
Budget bills are governed under special rules called "reconciliation" which do not allow filibusters. Reconciliation once only applied to bills that would reduce the budget deficit, but since 1996 it has been used for all matters related to budget issues. -- Filibuster, Wikipedia
And so, our President Bush is no Andrew Jackson. And, even if Ron Paul was a Senator, there is nothing he could have done.
We are doomed to continue this Third Bank of the United States, constituted in the scam of the Federal Reserve Act of 1913, in leading us and bleeding us of our money, by the Sadducee money-lenders who own it all.
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