The only phrase in connection with Occupy Wall Street repeated more often than “We are the 99%” is “What do they want?” The former is, of course, the rallying cry inviting citizens to join the movement against plutocracy in America—a show of strength against corporate greed and government corruption. The latter is the response to the growing number of dissenters in the “American Autumn”—criticism for their lacking a coherent list of specific demands. Personally, the only thing I find lacking is the imagination embodied by this mindless question.
The communal process of exploration and debate taking place in Zuccotti Park is like nothing I’ve ever seen. There are plenty of cogent, specific demands to be heard, but only by those who are willing to listen. A good deal of patience and a pinch of intellect are helpful because this isn’t a bumper-sticker movement and the occupiers don’t suffer fools (Geraldo) gladly.
There is no substitute for visiting the park and absorbing democracy, grassroots style. This past weekend my wife and I brought our two children with us to witness history unfolding in Manhattan, as it will someday grace the pages of a textbook, or a tablet, during their college years. With that said, allow me to indulge the frothing masses with a chunk of raw meat by examining one of the cornerstone issues behind OWS: Glass-Steagall.
Breaking the Bank: A Brief History of Glass-Steagall
In short, this was the name of the Act that prohibited commercial banks from engaging in investment-banking activities, among other things. It was established in 1933 to tame the harmful speculative behavior of an industry run amok in the early part of the 20th century; behavior largely credited for the market crash that precipitated the Great Depression. Fast forward to the waning days of the Clinton administration when the Gramm-Leach-Bliley Act repealed the meat of Glass-Steagall and cleared the way for the greatest, most rapid consolidation of banking interests and wealth in recorded history.
Reinstating Glass-Steagall is, of course, easier said than done. Technically, the mechanics of doing it are fairly simple from a structural perspective, though it would cause massive upheaval in the banking world for several years to come. What is almost beyond comprehension are the circumstances that allow banks to continue gambling promiscuously in the world markets, which is a direct result of complementary deregulatory measures, globalization and an extraordinarily loose monetary policy.
These three factors have allowed banks to engage in worldwide investment schemes using cheap, borrowed money in a manner that is both irresponsible and opaque. In other words, be careful what you wish for. Tying the tubes of banks that have been, ahem, fornicating with the global economy and impregnating speculative bubbles only to watch them burst, will only hasten the inevitable seismic crash that looms around the corner. Breaking up the banks will happen one way or another…either by the law of the land or the law of nature.
Protestors from Zuccotti Park to San Francisco are keenly aware of this reality. They have an extremely sophisticated view of the world that goes beyond what we have seen in other movements both here and abroad. It’s their appreciation for complexity and nuance that makes it impossible to translate demands into bite-sized morsels for the media to gobble up and regurgitate into the mouths of shrieking birds in the nest that many television viewers have become.
To make matters worse, our elected federal representatives have no idea how to respond appropriately to a leaderless, populist movement. Apart from some platitudinous, mealy-mouthed responses from ranking Democrats like House Minority Leader Nancy Pelosi or truculent, dismissive statements from the likes of Rep. Peter King (R-Seaford), the upper echelon of American politics is collectively clicking its heels and hoping to wake up on the farm after the storm.
But there is hope for us yet–from someplace you might not expect.
A Buckeye Bulls Eye
Ohio’s 9th Congressional District cradles the southernmost tier of Lake Erie and has been steadfastly represented by Rep. Marcy Kaptur (D) for the three decades. Despite the presence of rollicking Toledo in the westernmost part of her district, things have been pretty quiet in the ninth. Until now.
Ohio’s much ballyhooed loss of two Congressional seats due to redistricting has resulted in a mash up of Kaptur’s 9th district and the neighboring 10th represented by fellow Democratic Congressman, Dennis Kucinich. Kucinich, who has long-represented the most progressive wing of the Democratic caucus, ran back-to-back failed campaigns for the presidential nomination, but he gained more notoriety when he famously called for the impeachment of co-Presidents George W. Bush and Dick Cheney for manufacturing evidence that pushed us into war with Iraq at a cost of nearly $2 trillion, thousands of U.S. soldiers and hundreds of thousands of civilians. Somehow, this effort lacked the same traction and enthusiasm as the impeachment trial of President Bill Clinton for, well, you know.
The combination of the 9th and 10th districts has given new life to Kucinich, who might otherwise have been homeless after Ohio’s redistricting plan, as he is planning to primary Kaptur for the seat. Not to be outdone, the GOP has recruited newcomer Samuel Wurzelbacher to run on the Republican ticket. This development would be of little moment, however, if Wurzelbacher wasn’t none other than “Joe The Plumber,” who made headlines during the McCain-Obama race. Although it was later revealed that he was neither “Joe” nor a licensed plumber, Wurzelbacher became an oft-abused example of the disenfranchised workingman in America. Not content to be a footnote in American political history, Wurzelbacher now seeks to extend his 15 minutes of fame by attempting to join the ranks of hundreds of other talentless slobs who also have no business running the country.
This entire hubbub overshadows one of the most interesting things to come out of this part of Ohio. Earlier this year Kaptur revived a failed effort during the previous Congress to reinstate regulations repealed under the Gramm-Leach-Bliley Act of 1999. Kaptur’s bill, H.R. 1489, is appropriately titled “Return to Prudent Banking Act of 2011,” and it has the support of 45 sponsors, one of whom is Dennis Kucinich.
The men behind the original bill in question—Gramm, Leach and Bliley—are an interesting lot; notable because not one of them remains in government today though their impact is felt every day. Phil Gramm, one of the most loathsome scoundrels ever to hold office, is the reprobate who brought us the Enron Loophole, disastrous tax cuts that destabilized the first part of the Reagan era, and this horrendous bill that bears his name. His darling wife, Wendy, was at the helm of the Commodities Futures Trading Commission when her husband was shepherding through the bill that would castrate the agency and lead to the collapse of Enron and the birth of energy speculation. She went on to head the conservative think-tank, Mercatus Center, which is funded by the Koch brothers.
Thomas J. Bliley, former representative from Virginia, was himself a serial deregulator. Before handing America this pile of legislative crap, he authored the Telecommunications Act of 1996, which paved the way for massive consolidation in the media industry and gave us Orwellian juggernauts like News Corp. that control the airwaves today. Jim Leach, also no longer in office, is more of a curiosity. Brilliant, progressive and, at times, defiant, Leach of Iowa often stood in opposition to the increasingly conservative members of his party and was eventually ousted by a Democrat write-in candidate. Although Leach was a noted fiscal conservative, his true expertise was in foreign affairs. By attaching his name to one of the most destructive economic bills ever written, an otherwise brilliant career has been sullied in a way only Bill Buckner could understand.
So, Marcy Kaptur “gets it.” The protestors on Wall Street also “get it.” And believe it or not, many of us in the media also “get it.” If the banking system is going to collapse under its own weight and hubris because of the sheer volume of horrible investments still filtering through the economy with zero oversight, what’s the next logical play?
Apart from the obvious, which is to enact H.R. 1489, I think it’s time to grant subpoena authority to the protestors on Wall Street so they can hold those responsible for the economic crisis accountable at a people’s tribunal. Since our judicial system has failed to do that, perhaps it should be left to the people in Zuccotti Park. And just to bring things full circle to New York politics, the first star witness to be called should be Sen. Charles Schumer, poster boy for Wall Street and the senior Democratic elected representative of our state.
Time’s up, Chuck. Your silence on the Occupy Wall Street movement is deafening and incriminating.