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Has Obama Declared War On American Brand Of Capitalism

The ceo of general motors was dismissed by the obama government without much ado.The government followed this up by becoming one of the major shareholders of the company.Chrysler was compelled to opt for merger.The banks that took bailout funds had to cut down pay packets of their executives.The insurance firms trying to increase premiums had to hastily roll back in the face of harsh criticism.But the most vivid strong arm policy of the government is compelling bp to pay compensation to the tune of $20 billion.Obama referred to his determination for doing "what individuals couldn't do and corporations wouldn't do." this arm twisting has led to a fresh round of discussions about the increased reaching out powers of the government - in other words the ability of the administration to overreach.This is going to be the prime issue in the november elections.Obama feels this is redoing things after more than two decades when the corporate giants behaved as if they were warlords in sub-states beyond the reach of the government supported by faithful dogs in the market that "gutted regulations and put industry insiders in charge of industry oversight." rep joe l.Barton (republican/texas) started hearings on the gulf leak and accused obama for shaking down bp unconstitutionally and generating a "slush fund".He was voicing a common sentiment in corporate circles that whenever confronted with a crisis involving the private sector, obama took up an anti-business stand.But the truth is far more complex.Obama does not look upon the presidential seat as a pulpit for bullying.He has placed himself as the last effort being made against the excesses of the market that takes on many forms.Rahm emmanuel, the combat chief of obama said, "in the past corporate america was not only at the table, they owned the table and the chairs around it.Obama doesn't start off confrontational, but he will be confrontational if there is resistance to the notion that there are other equities." on the other hand however obama has been not heeding other calls wanting stricter control on the banks.He hopes in this way to get at least a minimum amount of support from the business sector and to dispel the rumours circulating that he has declared war on american brand of capitalism.He has handled each of the problems relating to the executives in the corporate sector differently.

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