By Bill Moyers and Michael Winship
"Return with us now to the saga of Debbie Wasserman Schultz and the soul of the Democratic Party. First, a quick recap: Rep. Wasserman Schultz, D-Florida, chair of the Democratic National Committee, also has been an advocate for the payday loan industry. The website Think Progress even described her as the “top Democratic ally” of “predatory payday lenders.” You know — the bottom-feeding bloodsuckers of the working poor. Yes, them.
Low-income workers living from paycheck to paycheck, especially women and minorities, are the payday lenders’ prime targets — easy pickings because they’re often desperate. Twelve million Americans reportedly borrow nearly $50 billion a year through payday loans, at rates that can soar above 300 percent, sometimes even beyond 500 percent.
Bethany McLean at The Atlantic recently reported that the government’s Consumer Financial Protection Bureau (CFPB) studied millions of payday loans and found that “67 percent went to borrowers with seven or more transactions a year and that a majority of those borrowers paid more in fees than the amount of their initial loan.”
Yet when the CFPB was drawing up new rules to make it harder for payday predators to feast on the poor, Rep. Wasserman Schultz co-sponsored a bill to delay those new rules by two years. How, you ask, could the head of the party’s national committee embrace such an appalling exploitation of working people?
Just follow the money. Last year, the payday loan industry spent $3.5 million lobbying; and as we wrote two weeks ago, in Wasserman Schultz’s home state, since 2009, payday lenders have bought protection from Democrats and Republicans alike by contributing $2.5 million or so to candidates from both parties, including her. That’s how “Representative” Wasserman Schultz, among others, wound up representing the predators instead of the poor.
That position became a major issue in her campaign for reelection to the House this year — she has a primary opponent for the first time since she entered Congress — and was even threatening the prospect of her continuing as DNC chair and presiding over the Democratic National Convention next month in Philadelphia. More than 40,000 have signed a petition calling for her removal from that post.
She had become a symbol of the failure of Democratic elites to understand that there is an uprising in the land. Millions of Americans are rebelling against the leadership of both parties. They are fed up with inside-the-Beltway politicians who pay only lip service to the deep needs of everyday people and the country; fed up with incumbents who ask for their votes, are given them in good faith, and then return to Washington to do the bidding of the donor class and its lobbyists.
The GOP Revolt
Donald Trump gets it. He has roiled and humiliated and conquered an out-of-touch Republican establishment in Washington that also ignored the popular uprising against corporate domination and crony capitalism, and now GOP titans such as Senate Majority Leader Mitch McConnell and Speaker of the House Paul Ryan, spear carriers for Big Money, are being hauled around the talk-show circuit in Trump’s tumbrel, eating crow and swearing fealty to the misogynistic, bigoted and pathologically lying brute who bestrides their party.
Democratic insiders like Wasserman Schultz, however, continued to whistle past the graveyard, believing that the well-funded and well-connected Clinton machine — and general fear of a Trump regime — were enough to carry them to victory in November, despite the grass-roots disgust with a party that reeks of rot from the top.
Once the champions of people who came home from work with hands dirty from toil and sweat, too many establishment Democrats went over to the dark side, taking up the cause of the well-manicured executives (think: Goldman Sachs) who write the checks and the mercenaries who deliver them (for a substantial cut, of course).
The lust for loot, which now defines the Democratic establishment, became pronounced in the Bill Clinton years, when the Clinton-friendly Democratic Leadership Council (DLC) abandoned its liberal roots and embraced “market-based solutions” that led to deregulation, tax breaks, and subsidies for the 1 percent. Seeking to fill coffers emptied by the loss of support from a declining labor movement, Democrats rushed into the arms of big business and crony capitalists.
Another case in point (and, alas, there are many): the Democratic governor of Connecticut, Dan Malloy, who seems to treat his state’s corporate residents far better than the 1 in 10 of his citizens who live at or below the poverty line.
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