From Naked Capitalism.
The Obama Administration is entirely predictable. It ever and always sides with large corporate interests, while trying to create the impression that it is actually concerned for the welfare of the average citizen. Admittedly, the occasionally tough talk with little follow through feeds a perverse spectacle of plutocrats sulking, pouting, and claiming that they are really, really badly treated.
Yesterday, the Financial Times reported “Foreclosure crisis tops Obama agenda” and described a closed door meeting scheduled with top officials. This mountain of effort so far seems to be producing a molehill, apparently by design. Team Obama is resorting to another of its well ingrained bad habits, of using PR as the preferred solution for all policy problems.
The only question here is whether the powers that be are so out of touch that they regard the foreclosure crisis version of extend and pretend as a viable strategy, or whether they are simply using it to buy time. And if the latter, is the object to get more breathing room while they do a proper diagnosis or simply to keep things on an even keel through the elections? Presumably, any bank-favoring measures would be radioactive right now, while voters will lack immediate recourse after November 2. Indeed, in a DC version of Br’er Rabbit’s pleas not to be thrown in the briar patch, expected Republican gains could serve as a very useful excuse for the Administration to rescue the banks once again: “Congress made us do it”. …