My new AJE op-ed is here. It begins as follows:
Mitt Romney, ‘Welfare Queen’
The private equity business model that Romney’s wealth is based on is founded on tax-payer subsidies, says the author.
Ever since Brown v. Board of Education, conservatives have been complaining about judges “legislating from the bench”. It was a brilliant strategy: “We’re not racists,” they could say. “There’s a matter of high principle involved here.” But it was not until 56 years later, with the Citizens United decision, and conservative justices ruling the roost, that we got to see what an earth-shattering example of legislating from the bench really looks like – and the Republican presidential primary is the number one surprise casualty. It’s just the sort of unintended consequence you’d expect in the absence of a thorough legislative fact-finding process, and the fine-tuning of final legislation. It’s not that the legislative process is flawless – far from it. But this sort of staggering bolt-from-blue consequence is precisely the sort of thing that the legislative process is intended to avoid, and that the judicial process is ill-equipped to anticipate. Oops!
So now the GOP has gotten a taste of their own medicine, with lurid, hyperbolic attack adds dominating the electoral process. And they do not like it, not one bit. Two deeply-flawed candidates have emerged as frontrunners in a process that has exacerbated and amplified those flaws a thousand fold. The tide may have finally turned, Mitt Romney may have finally learned how to punch back, and the tide of establishment money may have finally swamped Newt Gingrich for good as a serious threat – though he’s unlikely to quit. But even if Gingrich were to quit today, months and months of videotaped debates, press conferences, attack ads and various other vicious odds and ends are not just going to go away. They’ll be back when the general election campaign really heats up next fall.
More importantly, the Republican primary has unwittingly validated the Occupy movement in spades, laying the groundwork for a potentially very different sort of campaign environment not just in the fall, but starting right now. Mitt Romney’s limited tax-form release validates what we already knew: He’s not just a member of the 1 per cent, he’s in the 1 per cent of the 1 per cent – perfectly positioned to illustrate everything that’s wrong with the existing system. Seen through the lens of Romney’s own example, it’s not capitalism per se that’s the problem, but the dramatic shift away from a form of capitalism that benefited almost everyone to a form that only benefits a small handful. And it is Gingrich’s campaign that has forcefully made this point, on the stump, in debates and in the half-hour video, When Mitt Romney Came to Town, which starts off with a paen to capitalism as the source of the US’ strength before turning dark with its focus on Wall Street, leveraged buyouts and Romney’s Bain Capital in particular.
Although Gingrich attacks Romney for what he’s done to American workers, there’s an even deeper jujitsu criticism to be made of his business mode: Mitt Romney is a welfare queen. As we’ll see below, without the tax-breaks given to interest payment, the private equity business model would never have been born. Those tax-breaks are nothing but a taxpayer subsidy, paid for by everybody else picking up the slack for Mitt Romney and his crony corporate raiders. But let’s not spoil our appetites by starting with dessert.
To read the whole article, click here.