BG15052009
JUST DO YOUR JOB
How about we get the guys in Washington to just do their regular jobs before that start to branch out in the wrong areas?
By Neil George
Government regulation is a good thing. For just like we all need to have and abide by traffic laws to keep all of us moving along the highways and byways – from food safety to financial market stability – there needs to be some basic rules of the road to keep society and the economy humming along.
The trouble is that it seems that the guys in the West Wing as well as those up on Capitol Hill seem to be more interested in coming up with new things to regulate – before they actually just reach proficiency at enforcing the existing rules.
And this of course makes sense. For if you’re a politico – your job is to either get re-elected or appointed to keep or get more power. And just sitting down and doing the job as a government official or representative just isn’t as fun – nor does it get you much press and attention.
Instead, what gets you on the front pages of the papers and gigs with talking heads on television is to rollout new initiatives and new proposals – even if you have all the rules and programs already in place that address the same issues.
Let’s take a look at the new replacement for the director of the Center for Disease Control (CDC) in Atlanta. The man in the oval office picked Tom Frieden.
Now you might not recognize the name unless you happen to hail from New York. It was in New York as the Health Commissioner that Tom started to go berserk with new regulations bent on dictating how law abiding taxpayers should live their lives.
While he could have been focused on countless cases of food and beverage contaminations around the city and cracking down on abuses in the wholesale food supply and distribution industry in the City – or just focusing on water safety – or how about just dealing with dog and other licensing – Tom decided that none of the core responsibilities were exciting enough.
So, he went on a crusade to restrict the freedom of commerce and free choice that now means that when I’m in the City I have to set outside with the millions of others to enjoy a cigar rather than inside at one of my clubs or other facilities.
And when that wasn’t enough – Tom then went on to go after folks like me that enjoy eating and good food. Tom thinks that if you look prosperous then something is wrong and government has to step in.
So, go after fatty foods and restrict fats used to make glorious frites to go along with a nice New York Strip.
Now, he’s headed down to Atlanta – and who knows what kind of new rules that he might be dreaming and scheming to inflict on us unsuspecting and innocent voters and taxpayers.
The same thing can be said of the ramp up of West Wing involvement in the financial markets.
Already the man currently sitting in the oval office has dictated who runs and who will not run General Motors and Chrysler Motors. And he’s also moved to change the legal system for creditors involving both companies – literally stealing assets from bond holders and creditors and giving it to union leadership.
And on the banks – he and his pals worked to kick Ken Lewis out of his spot as Chairman of Bank of America – and that’s just the beginning.
As of yesterday it seems that the West Wing is trying to go through and replace members of the board of directors of Bank of America with its preferred folks.
And for that bank as well as the rest in the US – there is a move to place restrictions on salaries and other parts of compensation plans for employees of banks and other financials.
Who knows – perhaps the next time that you need to work on your contract or even find a new job – you might have to get Federal approval before you can do anything.
Meanwhile – why don’t we just use the rules that we already have to guard against financial issues and capital risk. Use the power of the FDIC, OCC, SEC for banks and other public companies to just enforce the rules of the road that haven’t been enforced resulting in our current state of affairs.
And for insurers – this is a market that isn’t in the Federal purview – but rather in the hands of state insurance regulators. So why are we all of a sudden using Federal cash from the TARP program to help out a collection of 6 insurers?
Again – let’s just have our regulators and government workers just sit at their desks and just do their jobs. Less chatter with the media and more work might just keep what must be idle minds from doing the devil’s handiwork.
Finally, a man that did his job even in some of the most threatening conditions – died at 67 years.
Many continue to compare the Vietnam War with the Gulf War II and hope that the West Wing of the White House doesn’t repeat similar policy errors that led to our leaving in a lurch.
The photo that sums up how we wrapped up Vietnam is one of those iconic ones, That of the Huey helicopter on the roof of our mission in Saigon with countless folks climbing a ladder trying to flee. The man that was on the ground and took that photo as well as many, many others in even more hostile zones was one of the greats of journalism – Hugh van Es.
Neil George is editor By George and Stocks That Pay You.
The above is only opinion and does not represent and/or offer to buy or sell any security and/or any financial advice. The opinions contained may not be suitable for all investors who should consult their own financial adviser before making any investment or other decisions. I may own some of these same securities noted in accounts under my control or for my benefit.
Errors/Omissions: I always welcome being called on facts, figures and commentary from readers and look forward to your feedback. I can be reached by email at njgeorge@att.net or njgeorgejr@gmail.com or at 01-314-616-3325.
