Saturday, September 01, 2012

How America's Job-Creator-In-Chief Actually Made his Fortune

In a much overlooked piece from Rolling Stone, Matt Taibbi chronicled how Mitt Romney actually made his mega-fortune and, here's a hint, it wasn't a process of job creation.   No, Romney became super-rich by, "borrowing vast sums of money that other people were forced to pay back."

"This is the plain, stark reality that has somehow eluded America's top political journalists for two consecutive presidential campaigns: Mitt Romney is one of the greatest and most irresponsible debt creators of all time. In the past few decades, in fact, Romney has piled more debt onto more unsuspecting companies, written more gigantic checks that other people have to cover, than perhaps all but a handful of people on planet Earth.

"By making debt the centerpiece of his campaign, Romney was making a calculated bluff of historic dimensions – placing a massive all-in bet on the rank incompetence of the American press corps. The result has been a brilliant comedy: A man makes a $250 million fortune loading up companies with debt and then extracting million-dollar fees from those same companies, in exchange for the generous service of telling them who needs to be fired in order to finance the debt payments he saddled them with in the first place. That same man then runs for president riding an image of children roasting on flames of debt, choosing as his running mate perhaps the only politician in America more pompous and self-righteous on the subject of the evils of borrowed money than the candidate himself. If Romney pulls off this whopper, you'll have to tip your hat to him: No one in history has ever successfully run for president riding this big of a lie. It's almost enough to make you think he really is qualified for the White House."

Robert Reich has this great video explanation of the Romney scam.


2 comments:

Owen Gray said...

Reich, as usual, explains how things really work. Apparently, so does Taibbi.

It's easy to get fleeced, if you're not paying attention.

The Mound of Sound said...

Romney's success stands testament to the power of a thoroughly corporatized media to anchor a narrative utterly divorced from fact and create from that rank illusion a de facto reality. This is why I constantly argue that, if we're to defend/reclaim democracy the first challenge is to restore a mass media free of concentration of ownership and cross ownership, the keys to corporatized news.