Barack Obama is clearly a tool of the anti-union capitalists. By deciding to shaft the secured creditors of Chrysler and GM Obama has driven up the cost of credit to unionized companies, putting them at a competitive disadvantage against their non-union counterparts.
To gauge whether those cases have made debtholders wary of other companies with so-called favored political classes, Garman compared spreads, or bonds' extra yields over U.S. Treasury yields, for companies with collective bargaining agreements with the high-yield bond market as a whole.
The secret titans of capitalism probably agreed to this move at a Bilderberger meeting. The credit losses they take on on GM and Chrysler bonds are small potatoes compared to what they'll gain with bets made on non-union companies.
While the two performed in line with each other since 2003, they diverged sharply in February, with spreads on companies with organized labor gapping nearly 11 percentage points higher than the market as a whole, according to Garman's research.
Barack Obama, the heroic fighter against unionism. He's so clever that he undermines union power while pretending to support and prop up unions. The UAW gets his support but that support comes at the very high cost of undermining the union movement as a whole. Sun Tzu would approve. Talk about a clever strategy of indirection.
Obama will next try to undermine black lower class wages by trying to get a big immigration amnesty passed. Bring in more low skilled Hispanic labor and reduce the manual laborers into wards of the government. Obama is a tireless class warrior for the upper class. He's like a Manchurian candidate in reverse. What an enigma.
|Share |||By Randall Parker at 2009 May 29 10:49 AM Economics Labor|