"Crony capitalism" is a misnomer. In fact, the term is contradictory and very inaccurate. What is truly galling is that Conservative talk show hosts fall into the Liberal definitions trap by using this misnomer. We Conservatives have not learned not to let Liberals define terms of art that are being used in political debate.
It's very simple. Capitalism in most of its various forms is competitive. Socialism in any form is controlling. "Crony socialism" is where the government selects the business model via over-regulation, over-taxation, and mostly the promotion of overbearing environmentalism. The latter is the "green jobs" economic model, which has failed everywhere it has been tried; most notably in Spain and most recently in the U.S. with the Solyndra scandal. In the case of Solyndra, it was "crony socialism" that led to the half billion dollar rape of the American taxpayer. More on that below.
It's very simple. Capitalism in most of its various forms is competitive. Socialism in any form is controlling. "Crony socialism" is where the government selects the business model via over-regulation, over-taxation, and mostly the promotion of overbearing environmentalism. The latter is the "green jobs" economic model, which has failed everywhere it has been tried; most notably in Spain and most recently in the U.S. with the Solyndra scandal. In the case of Solyndra, it was "crony socialism" that led to the half billion dollar rape of the American taxpayer. More on that below.
Often "crony socialism" is shamelessly sold as plutocratic philanthropy, with phony, idiotic sentiments like "raise my taxes please" being parroted by "voluntarily unemployed" tax advantaged wealthy plutarchs, i.e., (plutocrat + oligarch = plutarch). But who's stopping any of the faux philanthropists from voluntarily donating money to the Federal government? Who's stopping billionaire Warren Buffett from paying the back taxes that he owes to the Federal government? But it seems that only "rich millionaires" are being targeted by the "Divider in Chief" Obama. Obama's definition of a "rich millionaire" is someone that earns his or her money either by receiving a salary for services rendered or by selling goods, (you know, like someone that works for a living). The threshold for being an Obama "rich millionaire” is a $250,000 income.
Missing from this "wealthy" grouping are Democrats like Warren Buffett that "earn" their livings from passive wealth activities. Buffet and those of his plutocratic ilk are taxed at the low capital gains rate of 15%. The rest of us "millionaires" and Joe Six-Packs are taxed at various ordinary income tax rates of up to 35%!
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Crony socialism is designed to choose economic winners and losers. This is clearly illustrated by the recent Solyndra fiasco in which an over a half a billion dollar loan guarantee was channeled to a key Obama political campaign fund bundler. According to the ABC News story on the Solyndra scandal:
The Energy Department [DOE] in March 2009 announced its intention to award Solyndra Inc. a $535 million loan guarantee before receiving final copies of outside reviews typically used to vet such deals. An independent federal auditor who has reviewed the energy loan program said moving so quickly without completing thorough reviews risked exposing the program to claims of political influence and put taxpayers at greater risk.
The Solyndra loan guarantee was not the product of true competition or merit. Although the DOE application process was started during the Bush Administration, the loan guarantee was stopped by them because it was not a good financial risk. But it was later awarded by the Obama Administration to the Obama campaign fund bundler/crony involved. The award was made despite the fact that a fiscal analysis showed that Solyndra would be bankrupt by September 2011. Solyndra went belly-up in September 2011. But that's "crony socialism" at work with your tax dollars.
One definition of Socialism is that it is a:
…mix of economic and political theories for organizing society that advocates collective ownership and management of the means of production, distribution of services and goods, as well as dividing everything equally. Socialist theories stand in opposition to ideas of free markets, private ownership, and individual responsibility. [Ed. note: This economic model of so-called "equal division" is not so in practice. Obama cronies like George Soros and Warren Buffett appear to be doing quite well under socialism as opposed to the average citizen.]
With the Obama Administration, the “Chicago Way” has been added to the corrupt socialist mix. Thus, traditional economic incentives like profit or the pride of accomplishment has been replaced by shameless political patronage that has not been seen since the days of the ancient Romans. But Obama’s “Crony Socialism” patronage system is plundering and obliterating the American private sector in an unprecedented way.
One prime assumption of the Chicago Way is that there will always be a bounteous private sector that politicians can plunder endlessly. Chicago was America's boom town from 1860 to 1900, growing from nothing to the center of the nation's railroad network, the key nexus between farm and factory, the headquarters of great retailers and national trade associations.
But in the course of indulging the Socialist agenda, the American Goose that is laying the golden economic eggs is being killed by Obama’s Economic Death Panel policies. This is not crony-Capitalism. This is crony-Socialism.
The unfortunate thing is that we Conservatives have allowed Socialists to define the terminology that is used in political debates. The term "crony capitalism" obscures the criminality of "crony socialism" by tarring capitalism with the crimes of socialism--greed, corruption, criminally motivated political patronage, vote fraud, and economic malaise. The sooner that we conservatives stand our ground concerning the correct terminology to be used in political discourse the sooner voters will know the differences between Conservatism and Socialism. And finally Socialism will be exposed for the cruel hoax that it is.
Just don’t get me started on why Liberal states should be the real Red States. That one is the biggest "no brainer" in the history of humankind.
