Barack Obama said the September 15th Crash shows the market-fixes-all theory of McCain and the conservatives is wrong. He is probably right. So what is his theory? Voters need to know. If the market can't fix it, what will? What is he offering to fix what promises to be the continuing collapse of financial and insurance markets?
We must look back at the regulatory intelligence of the New Deal securities and banking regulations that moderated the free market greed and short sighted stupidity of Wall Street. Back then, the New Deal regulatory effort was ad hoc and experimental. But it did explore a new role for the American government as the economic context manager. I see the same role for government today. Unwittingly, Bush sees it too. The Bear Stearns, Fanny/Freddie bailouts, even the Katrina recovery incompetence put government squarely in that role.
Given the Democrats New Deal roots why not affirm the context manager role of government as Obama's vision? It would put health care, job creation, immigration and a national mobilization for alternative energy development into a coherent whole that voters could understand. Democrats need to present the American people with a positive vision of government as an enlightened context manager ---not the demon to be wrecked as Republicans have advocated for since Reagan.
Barack Obama, please replace the market-fixes-all theory of the McCain conservatives with a simple easy to understand vision of the government you want to lead. If you do, the electorate could more easily buy into proposals for restoring a regulated balance to financial markets.