Conservatism as an economic and governing theory died this morning of a self inflicted wound. The ideology is survived by the entire financial industry (currently in line for a taxpayer rescue), and the Republican Party.
For approximately 50 years this ideology divided Americans and drained the lifeblood from our society, while spearheading the decline of living standards for the middle class. A wake is scheduled for the next 46 days, during which time the McCain campaign will attempt to convince the country the deceased still lives.
Democrats must come out strong and hit the GOP squarely in the mouth over this hypocrisy. Call this bailout what it is, "Socialized losses and privatized profits". The worst part being that the financial system could have been stabilized earlier, and cheaper, by government intervention at the homeowner level months ago. Unfortunately, that was deemed to be "encouraging moral hazard". Only when the originators of this fiasco are mortally wounded, does the Bush Administration decide to tap every citizen, including those who have lost their homes, drowning in debt, uninsured, etc., to pay for this bailout.
I understand the need to "stabilize" the financial system. I’ve supported "smart" government intervention for some time, but the truth cannot be allowed to become another victim of this crisis. We must accurately document this as a failing of "Conservatism" before it’s supporters lay blame elsewhere. If we fail to do so, the country will be in danger of repeating this folly. The Obama campaign and the Democratic Party must use this disaster as a teaching moment.