Barack Obama calls for a new “partnership” between the government and corporations
In his radio address over the weekend, Barack Obama proposed a special “partnership” between the government and several private industries. This would allot money from the Departments of Commerce, Agriculture, Homeland Security, Energy and Defense to “co-invest with industry” on certain products.
Starting this summer, the Departments of Defense, Homeland Security, Energy, Agriculture, Commerce and other agencies will coordinate a government-wide effort to leverage their existing funds and future budgets, with an initial goal of $300 million, to co-invest with industry in innovative technologies that will jumpstart domestic manufacturing capability essential to our national security and promote the long-term economic viability of critical U.S. industries,” said the White House statement. “Initial investments include small high-powered batteries, advanced composites, metal fabrication, bio-manufacturing, and alternative energy, among others
So a partnership of sorts would emerge between the government and private industry; the government will give these manufacturers money, and these companies will “invest” and build products that the government tells them to build. If these companies build these products they will continue to receive government money, if they do not, they will not be given the federal dollars.
In this scenario these companies would be involved in a quasi-free market system which is ultimately controlled by the government resulting in a free market system which really isn’t so free.
He calls this plan the “Advanced Manufacturing Partnership” and it should send chills down the spines of anyone reading this. Does anyone else get as nervous as I do about a “partnership” between government and business? You should, because I think there is a name for it…..fascism!
Am I going overboard with this assertion? Here is the characteristics of economy in a fascist system:
An inherent aspect of fascist economies was economic dirigisme, meaning an economy where the government exerts strong directive influence, and effectively controls production and allocation of resources. In general, apart from the nationalizations of some industries, fascist economies were based on private property and private initiative, but these were contingent upon service to the state.
Note that this initial “contract” between the government and these 11 corporations is just that, initial. In other words Barack Obama hopes to grow and extend this “partnership” as time goes on, and it is not outrageous to think that as the government “partners” with more and more businesses that it will exert more control over what is being produced and how much is being produced. The free market capitalist system is under attack as Barack Obama looks to bribe private industry with public money.
In a fascist state the free market is allowed to continue on in theory, but it is heavily regulated and is still subservient to the government’s will when it comes to production, price, and profits; if they do not adhere to the rules they will lose the “privilege” of operation and production, and this is where we are headed if we allow Barack Obama to forge this new government alliance between the government and the corporate world.
This differs slightly from a communist system where private industry is nationalized, but it is a small difference and we need to understand that Barack Obama has the United States on the path away from free market capitalism and headed towards a government controlled economic system that is at odds with the ideas of personal liberties and freedoms as outlined in our founding documents.
America's Watchtower 
I think you may be getting carried away a bit here. $300 million is a drop in the bucket compared with the amounts already being spent by government, one way or another, to direct R&D efforts of the private sector.
Tax breaks given the petro and auto industries, for example, coupled with emissions and mileage regulations, dictate those sectors’ R&D. And don’t think that it was Obama who initiated that.
Billions of taxpayer dollars are spent on medical and pharmaceutical research, and when breakthroughs happen, it’s the medical and big pharm establishments that’ll profit, not the government. This is only proper – I don’t think I want the government controlling the production of the cancer vaccine. On the other hand, whoever does get the right to manufacture the cancer vaccine is going to have a license to print money.
As I say, I think you’re overreacting here, Steve. Every administration has done this sort of thing, and if the GOP ever regains control of the government (it’s bound to happen sooner or later), you can bet your sweet bippie they’ll be doing this sort of thing in private meetings all over DC – the only difference is that they’ll be a lot more discreet about it, and you can be certain their president won’t be announcing it to the people.
Take good care, and may God bless us all!
TGY
I doubt there’s an industry untouched by federal regulations designed to influence its behavior one way or another. I happen to agree with many of the goals, I think you do too.
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It may be an overreaction, but I don’t think so. I also agree that this type of thing has been going on for awhile. While researching “fascism” I was able to ready many articles claiming that economic fascism was already in place in America and may have started with FDR. It seems to be happening more and more every day, and the American people are losing their voice to special interest groups who spend millions of dollars influencing the elections.
On a side note, it is interesting to see Obama talk about giving these corporations money while at the same time talking about closing corporate tax loopholes.
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Yep – the road to fascism is getting shorter. The companies that take this “investment” (I hate when barack uses that word) are going to be beholden to the government for Heaven knows how long or for how much. And now, thanks to this post, I have some more folks to boycott.
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When a company or an individual accepts government money it comes with certain conditions and regulations and as you said this makes them beholden to the government.
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So Obama wants to go public with some his business cronys. Unlike the Georgia Yankee, I don’t like this one bit. and I don’t care that this type things has gone on for years. It’s dangerous and it’s wrong. the free market system is supposed to be FREE!!!!
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The fact that it has gone on for years doesn’t make it any more palatable, in fact it makes it harder to correct because it has crept so slowly that it has become ingrained in the people’s minds and they don’t even realize what is happening.
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I sense danger here. I mistrust his motives. There must be something here that Saul Alinsky would advocate.
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First, thank you for your service! Barack Obama has been caught in so many lies and mistruths that it is hard to believe his motives are pure, especially when you look at the radicals he has hung around with in the past.
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Hm – someone’s system – Steve’s or mine – scrambled my reply – that paragraph under my siggy was supposed to be up there in the body somewhere.
Anyway, I came to doublecheck to see where I said I liked it, as Conservatives on Fire alleges I did. This isn’t the first time I’ve been blatantly misquoted here by someone who read into my words something they wanted to see and not what was really there. I said I agreed with some of the goals; I didn’t say I agreed with the way they were being pursued (I didn’t say flat-out that I disagreed, was I required to?) . I’d appreciate it if those who claim to support truth would promote it themselves, thank you very much!!!!!
Now, as I said, I sometimes support the goals, but I thought that by explaining how big medicine and big pharm made a bundle off the research paid for by my tax dollars and yours, others just might figure out how I feel about it. I guess sometimes you have to spell out every last detail for some folks, huh?
The thing is, some of theose medical advances have really improved life in this country, and I’m not all that upset that my tax dollars helped. What bothers me is the way the subsequent profit goes to a relatively small group. And the only way I get to benefit from the discovery is by buying it, after my taxes already helped pay for its discovery.
Nevertheless, where in our great land do we see this free market people are whimpering about? The government loans money to small business to help it get started . . . but you have to do things their way if you want to get the help. And if you strike it big, the tables turn somewhat – big businesses spend bucketloads of money sending lobbyists to Washington to try to get laws passed to limit the competition. And give them nice tax breaks, of course.
Case in point – look up the Home Depot tax break – specially designed to give Home Depot a big advantage over other home improvement stores. Here’s a link: http://nyti.ms/lCQltF – in fact, check the entire article, it’s a nice illustration of how big business in your precious free market has its hand so deep in your pocket you’ve got a tickle by your ankle.
Truth to tell, a free market in this country would resemble what free markets looked like before government stepped in and started regulating things. They didn’t call those guys robber barons for nothing, and it wasn’t just class jealousy, either. You know what a free market would look like in this country, in terms we can all understand? If your ISP was Comcast, you wouldn’t be able to use that connection to download movies from Netflix or any other Comcast competitor. They’d be able to force you to buy their bundles, too. If you voted with your feet and went to AT&T, it’s be like jumping from frying pan to the fire – you’d have to subscribe to a landline phone, like it or not. Hell, they could force you to use their cellphones, too.
Do you know that the cell phone industry in this country is the very worst in the world? Don’t blame government intervention, blame the big telecoms who are used to having consumers hurl piles of money at them for a dial tone. They don’t compete with each other by offering better service or competitive rates, they compete by locking consumers into POS long-term contracts. For how many decades did we pay those exorbitant long distance fees to the monopoly phone company and now we find out it was all gravy as competition introduces us to free LD . . . but the free marketeers were hollering and ranting about government intervention when Bell was forced to break up and telecom in the US was dragged, kicking and screaming, into an age of competition.
But the free marketeers put up with this for decades, and now they’re hollering about the President wanting to team up with private industry (the same private industry we’re told the President hates, and has been ignoring, etc . . .) Donnez moi un caissez!
Once again, take good care, and may God bless us all.
TGY
Steve, sorry for the horrendous length – I’ll try to keep my trap shut for a few days.
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No need to apologize, or keep quiet TGY.
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Free markets of today can in no way be compared to free markets in the past. Access to information has allowed anyone with a bad experience with a company relay that instantly to everyone who cares to listen.
No not all Government investment in business is bad. It is the way it is done and the reason it is being done that matters.
People always want to complain our phone service or internet service, or you name it is not as good as some other country. Do a little fact checking and you will see heavy goverment infrastructure investment there. Well who pays for it? Government makes nothing. Their only power is to take someones money and give it to someone else.
“donnez-moi la caisse” – (white man, give me the cashbox)
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One of the first things socialist governments do is take the banks and industry. Look at Iceland. Their Government/Banking partnership resulted in disaster. Not that Iceland would not have eventually imploded under the weight of entitlements anyway. This just moved it along a little faster.
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“Fascism should more appropriately be called Corporatism because it is a merger of state and corporate power.” –
Benito Mussolini
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Exactly, which is why I find this so frightening.
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Geez . . . I wasn’t following this board at the time, but I assume, Steve, that you and the rest of the regulars were in similar high dudgeon when Vice President Cheney was having secret meetings with oil industry executives to formulate the nation’s energy policy.
Take good care, and may God bless us all!
TGY
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