The opponents of the financial bailout were right.  Regardless of whether there would have been significant economic fallout from not acting, they were in the right and are shortly to be proven so.  Part of the bailout package required beneficiary financial institutions to break existing contracts with senior executives.

Obviously those exact words don’t appear in the massive, bloated mess of legislation, but that is one of the effects.  Congress, and in particular the Democrats, have tried place the ridiculous idea that high executive salaries are a major cause of the credit problem.  This is patently untrue, but as evidenced by the results of this election cycle, that has little meaning to a majority of the electorate.

The real problem was that in order to business within the United States, financial institutions had to contend and comply with a host of regulations.  The worst of these were intended to increase home ownership among low-income families and individuals.  Is it really so shocking that credit becomes difficult to find when so much cash is already tied up in inheretly bad loans?  These financial institutions knew that they were making loans to people that probably couldn’t repay the principal, much less the interest.  This was the cost of doing business if such companies didn’t want to be fined in even more damaging ways by the federal government.  Thank you Jimmy Carter, Bill Clinton, and every Congress from 1970 on.

The part of the bailout bill that should disturb every American that believes in our Constitution is the oversight requirements.  Not only will Congress have oversight authority, they will be able to  place their toadies in the boardrooms of these institutions to ensure “compliance.”  In other words, the federal government will have much more direct control of our financial system than could be achieved by massive increases in regulation.

Now Congress moves on toward a bailout of the auto giants.  This is not a response to the horrible economic damage that would occur if these companies went under, because any thinking person knows these companies would be bought and reorganized.  This is a combination of two liberal (socialist) plans.  First, a payoff to the Unions that are largely responsible for the problem.  These Unions are huge contributors to Democrat coffers, and must be paid.  Second, an attempt to grab power in the boardrooms of yet another large sector of our economy.  Obama’s people have already publicly said that any bailout would require that government overseers be present to ensure compliance in these companies, going so far as to also state that these overseers would be empowered to command the production of smaller, fuel-efficient hybrid and electric cars.  Way to price the poor out of transportation!

Now, do any of you still wonder what is behind the windfall profits talk and other ideas bandied about by the Dems regarding the oil and gas companies?

We have democratically voted ourselves into this situation, and we cannot wait 4 years to vote ourselves out.  2010 needs to be a recall election.  Bring the Libs back home, and send believers in American freedom back to Congress.