Congress is getting so much pressure and hearing so many tall tales these days that it’s akin to unscrupulous telemarketers battering the simple minded to buy their product. It is getting to the point where Congress will need to pass legislation to protect itself from money grubbing shysters.
First, it was the Paulson/Bernanke Crime Syndicate (their specialty is counterfeiting) that told Congress they needed a cool $700 billion or the sky would collapse on the United States. Now, it is the poor automobile industry (that just got $25 billion from Congress in October) that needs another $25 billion lest the unemployment rolls in this country swell by 13 million or 4 million (they haven’t decided on a number yet). Next month, Congress will probably hear from the airline industry and how it needs billions. After that, look for the agriculture sector to weigh in and then who knows, cigarette companies?
The fact is, soon there will be no end to the steady stream of industries and groups which will lobby Congress for federal largess unless they put an immediate halt to the giveaways. Congress has a golden opportunity to do just that right now by saying no to the automobile industry. No matter what the costs, Congress must say in the words of Roberto Duran “no mas” to billions in bailouts for Detroit.
For one thing, all of these bailouts are unconstitutional and thus illegal. Article 1 Section 8 of the U.S. Constitution clearly specifies the powers delegated to Congress. Nowhere in those roughly 17 powers is Congress given the authority to transfer money from one constituency to another. Nowhere in there does it say Congress can use the federal Treasury to prevent corporate bankruptcies. Critics of this position will say, “but what about the general welfare clause in the same section?” The answer is, if the general welfare clause gives the Congress the power to bailout corporations with taxpayer funds then why did the authors of the Constitution not delineate that power among the 17 powers in that section of the Constitution? Why did they delineate any powers at all if the general welfare clause includes any power? According to the general welfare clause logic of the statists, the Congress can do whatever it wants under that one clause. That is why we are in the mess we are in.