For those of you who aren’t up on your U.S. history lessons, John Sherman was the Congressman who about one hundred years ago introduced the first major piece of legislation to rein in corporate greed. The legislation was call the Sherman Antitrust Act. Here is some of what Wikipedia says about that:
The Sherman Antitrust Act (Sherman Act, July 2, 1890, ch. 647, 26 Stat. 209, 15 U.S.C. §§ 1–7) is a landmark federal statute on competition law passed by Congress in 1890. It prohibits certain business activities that reduce competition in the marketplace, and requires the United States federal government to investigate and pursue trusts, companies, and organizations suspected of being in violation. It was the first Federal statute to limit cartels and monopolies, and today still forms the basis for most antitrust litigation by the United States federal government. However, for the most part, politicians were unwilling to refer to the law until Theodore Roosevelt’s presidency (1901–1909).
As mentioned above most of the politicians of the time were very leery to use this new law against the Robber Barons of the day until ten years later when a Republican president named Theodore Roosevelt came along. It still amazes me how almost all of the anti-big-business leaders of these times were from the Republican party. Of course the Republican party is now widely known as the party of big business! When did this major shift in party allegiance happen? I guess I will have to study up on that.
Getting back to the matter at hand, President Bush and followed up by President Obama bailed out the financial industry because they “were too big to fail”. If somehow we could have resurrected John Sherman to break up this monopoly power before it became so big we possibly could have spared ourselves all the grief we have been going through as a country for the last four years. Too bad that there just doesn’t seem to be anyone in congress now with the fortitude to take on the big business interests.
But, in reality I should really be looking for someone to put the laws that were repealed in the last twenty years back in place. That is where we got into all the troubles. Within a decade of deregulating the Savings and Loan industry the 1988 meltdown occurred. Within a decade of deregulating the banking sector the 2008 meltdown occurred. Why can’t our representatives in government learn from history and just leave these types of things that John Sherman and those like him put in place alone? This is just an example where the Republican party seem to have the belief in the innate goodness of our corporate institutions. Yes, with this deregulation they got government out of the way and soon inevitable self-consuming greed took over with the resulting meltdowns happening soon thereafter. When will they ever learn? But maybe the more important question is when will we the voters ever learn when to tell our elected officials it is time for them to leave?
It seems literally impossible for another Republican to take charge of these types of matters. Most of those folks are just too beholding to big business to ever try to rein them in. So, currently that leaves the Democratic party to take up the mantel. I don’t see that as much of a possibility either. Where all this “too big to fail” will end I just don’t know.
Where are you John when we need you??
But what do I know….