Showing posts with label bob corker. Show all posts
Showing posts with label bob corker. Show all posts

Tuesday, November 27, 2012

Grover Norquist: Delusions of Oz

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source: buzzfeed

The curtain is finally being pulled back on the little man named Grover Norquist. For years he has terrorized the Cowardly Lions and Tin Men of the Republican Right, warning that if they don't play his game his way and sign his absolutist "No Tax" pledge, the Tea Party money will dry up and they will not get re-elected.

But things are changing.

Jena McGregor on Washing Post writes:
Yet the leader who has the most to lose by the cracks in the Norquist pledge is not any representative who stands up against it and risks offending some voters, but the man who started it in the first place. Norquist’s power base, after all, has always been shaky. All it will take is a few powerful Republicans to actually break the pledge, and the wall will come tumbling down. The pledge’s strength—and Norquist’s power—lies in its universal acceptance among powerful Republicans. If that falls, so does Norquist.

Yes, once the Great and Powerful Oz is shown to be just a little man who doesn't do anything except yell "Boo!" unfortunately can't get anyone to drink his Emerald City Kool-Aid anymore.

Grover is in denial, like the rest of his tribe in the GOP, but he needs to realize that every day new Republicans are going to defect and mutiny from the Pledge not to Raise Taxes that Norquist strong-armed them into signing.

Today my Senator, Bob Corker R-TN, said he wasn't going to honor his tax pledge to Grover Norquist. Of course, I did NOT vote for Corker  - or even his Democratic opponent who was a Tea Partier in disguise - I voted for the Green candidate - but I do feel a sense of pride that a Tennessean is getting out of Grover's clutches ahead of the crowd. And I've said it before, but Corker is not as far-right-right as he pretends to be. He's just a business guy who was Mayor of Chattanooga, and actually had a pretty good reputation for working on all sorts of group projects here. He's a consensus guy, not a stonewaller, and even Norquist knows that (see interview below in which he calls Corker a "moderate"). But no Republican gets elected in TN without adhering to the Party Line, and in the past that has meant signing on with scum like Norquist. But everything is changing fast:

“I’m not obligated on the pledge,” Corker told CBS’s Charlie Rose on Monday morning. “I made Tennesseans aware, I was just elected, the only thing I’m honoring is the oath I take when I serve, when I’m sworn in this January.”

Good to know that, Bob. It would have been more courageous never to sign it in the first place, but I'm glad the scales have fallen from your eyes, or at least that Lindsey Graham has given you permission to follow him in standing up to Norquist in order to possibly save your party.

But Grover isn't going to go down that easily. In fact, he is calling out anyone who opposes him, including Bob Corker, making veiled threats towards some type of retaliation towards anyone who defies him, accusing them of "impure thoughts" as if he has delusions of god-hood as an omniscient deity. But hey - we always knew he felt that way.

He also says over and over that none of these guys opposing him would have been elected in their states without signing his pledge. Oh really? Some of these Republicans were basically running unopposed thanks to weak candidates from the Dems - TN for instance -  and Democrats and Independents also voted for them in most states. That Pledge doesn't matter to those people who aren't very political and just see Corker as the first name on the ballot.

Grover believes he is a kingmaker - and the Great and Powerful Oz - but it was never true. He just had the ability to spin the illusion of power in the form of money. But like the Koch fortune that was supposed to win the Presidency for Mitt Romney, it is turning out to be fool's gold.

You can see his attitude in the following interview from Fox News today (my transcript)

Neil Cavuto: Fairly or not, Grover, you've been seen as this "Wizard of Oz" character who has been able to keep Republicans in lock-step with your thinking, and with more bolting, especially with prominent members bolting, it says something about what is in peril for you.
. . . I don't want to liken you to Tony Soprano, but are you saying you're going to remember these guys who are turning on you?

Grover Norquist: Okay, nobody's turning on me. I understand why Harry Reid is trying to personalize it as "Grover" but what Harry Reid doesn't want to say is that the American People don't want their taxes raised. They've elected a Republican Congress opposed to raising taxes, and I, Harry Reid, am at odds with the American people.

Neil Cavuto: They are going to raise taxes, Grover. They are - they're looking like they are. So -- is that a repudiation of you? Or recognition of the election? Or what?

Grover Norquist: Okay, first of all, the promise on the pledge is to the American People. What I have accomplished with Americans for Tax Reform is to make it easy through the pledge for elected officials, candidates and incumbents, to credibly commit that they won't raise taxes.
Corker was elected to the Senate because he took the pledge. People had thought he was too moderate, maybe he wouldn't make it, but he made that written commitment to the people of Tennessee. He would not be a Senator today if he hadn't made that commitment. If he breaks it, he's going to have to have a conversation with the people from Tennessee about his . . . keeping his word. And the same thing about other people who were elected because they made that written commitment to the people of their state.

Neil Cavuto: That sounds like a threat.

Norquist: No -- look, I vote in Washington D.C. The people that Corker promised or (Saxby) Chambliss (R-GA) promised or (Lindsey) Graham (R-SC) promised are in their state. They haven't promised me anything. They promised the voters of their state that they would go to Washington and reform government, not raise taxes to pay for Obama's bigger government. They need to focus on reforming government, not raising taxes to pay for bigger government each year. And it's a lot of work - it's not easy! But throwing up your hands and saying 'Maybe I'll raise taxes' instead of governing is not the way to go.


By tonight, Grover was getting more rattled and had a hissy fit on Piers Morgan, attacking Peter King R-NY, and comparing breaking the Tax Pledge to breaking a Marriage Vow???  Hey, Stupid - your pledge isn't legally or spiritually binding. Get over yourself!!!!!!!!!

Story via Mediaite
During a rather tense interview with CNN’s Piers Morgan this evening, conservative activist Grover Norquist blasted the various prominent Republican lawmakers who have expressed a willingness to break his long-standing anti-tax pledge in the name of achieving a compromise to avoid the “fiscal cliff.” In particular, Norquist took a shot at Rep. Peter King (R-NY), accusing the congressman of trying to “weasel” out of a career-long commitment to the pledge.

. . . Norquist fired back with a pointed stab at King: “The pledge is not for life … [but] Peter King, who tried to weasel out of it, shame on him as the New York Sun said today. I hope his wife understands that commitments last a little longer than two years or something.”

“Whoa, whoa, whoa,” Morgan shouted. “Hang on. That was a bit below the belt, Grover.”

“The commitment for the pledge, as Peter King well knows when he signed, is that as long as you’re in Congress you will rein in spending and reform government not raise taxes,” Norquist responded. “It’s only as long as you’re in the House or Senate. If he stayed too long, that’s his problem. But you don’t tell the bank, ‘Oh, the mortgage. Wasn’t that a long time ago?’”

He concluded: “If you make a commitment, you keep it.”







Saturday, May 12, 2012

Economics Round-Up ~ The London Whale




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Forbes: How JP Morgan Lost $17.5 million
According to the May 12th New York Times, JPMorgan decided to make a bet on a very obscure corner of the derivatives market. And due to the scale of JPMorgan’s trading, hedge funds figured out its identity and placed bets against the bank that are continuing to make profits for them at JPMorgan’s expense.

NPR Interview with Wall Street Journal's Zuckerman: Bruno Iskil Bears Some Blame for Morgan's Fall
GREGORY ZUCKERMAN:His name is Bruno Iksil. He's an interesting guy. He lives in Paris, but he commutes to London. Wears a lot of black. Informal dresser. He comes home, (unintelligible) from his home in Paris on Fridays, the rest of the week is in London. And he is one of a group - it's a group called the CIO group, and frankly, when I started reporting on this, analysts and investors didn't really know much about this group. And the more I uncovered it the more fascinating it became. They're a group that ostensibly hedges the positions of the banks. So the bank does all these loans and other kinds of things, and the group is charged with protecting and hedging the bank by doing various trades. But it also is charged with making money. So it does things that can potentially be risky at the same time.

New Statesman: JP Morgan Hedge-Bet Unbelievably Ineffective
The bank JPMorgan announced last night that it had lost $2bn in trading on credit derivitives, through what chief executive Jamie Dimon called "errors, sloppiness, and bad judgment" and a "bad strategy, badly executed and poorly monitored".
The loss was made by the bank's chief investment office, which is under the aegis of Bruno Iskil, who earned the nickname "London Whale" earlier this year following accusations that his oversized bets on credit derivatives, one said to be as large as $100bn, were skewing the market.

Guardian UK: London Whale Blows Hole in Bank's Value
A graduate in engineering from the École Centrale in Paris 20 years ago, Iksil had become so well known in the opaque $10tn market for credit default swaps – a complex type of insurance product – that he was nicknamed the "London Whale" and also known as Voldemort, after Harry Potter's nemesis.
Iksil is thought to be one of the highest-paid bankers in London and his New York-based boss, Ina Drew, whose pay has to be published, received $14m last year.
. . . Reports of Iksil's risky transactions surfaced in the US a month ago, but were dismissed by Dimon as "a complete tempest in a teapot". But in a hastily arranged conference call to investors on Thursday night he said: "The portfolio has proved to be riskier, more volatile and less effective as an economic hedge than we thought. There were many errors, sloppiness and bad judgment."
The Hill: Senator Corker (R-TN) Calls for Hearings on JP Morgan Chase
"I believe that we need to know the answers to the following questions: 1. Are we confident that taxpayers are fully protected from losses at major financial institutions?," Corker continues in the letter. "Were these bona fide hedging transactions, or were these poorly managed proprietary trades? And what, precisely, is the distinction?"

AP: World Stocks Lower on JP Morgan Loss
"This has permeated to the wider market as investors assess the possible systemic risk, adding another layer of caution to the fragile trading environment," said Jordan Lambert, a trader at Spreadex.
"When such shocks occur, it is wise to err on the side of caution and consider whether it is a possible 'tip of the iceberg' scenario, especially when one contemplates the interconnectedness of the banking system," he said.