It’s The Bailout, Stupid

The Economy is getting the blame for McCain’s loss to president-elect Obama. But his loss was more than a case of bad timing. It wasn’t the financial crisis that did him in. It was his reaction to it.

Actually, the scenario was perfect for a capitalist to win. There was a candidate explaining his socialist belief that spreading the wealth around is good for everybody (“It’s not that I want to punish your success” but I will as a means to an end). There were ordinary, extraordinary Americans standing up for free markets and their right to pursue their own happiness. There was a financial meltdown caused by government interference in the economy; creating “affordable housing” that borrowers couldn’t afford in the end, and by keeping interest rates artificially low. And there was an unpopular sitting president trying to push through a $700 billion bailout plan to “save” the economy by bilking the taxpayers.

The Right tried to take advantage of the “spread the wealth” comment and the Joe-the-Plumber’s to help their campaign, but it was too late. McCain had already taken the me-too Republican stance by pointing the finger at the greed of Wall Street, and cheerleading the bailout. It’s hard to fight Socialism when you espouse their views and repeat their bromides.

Especially as the Left pushed the idea that a McCain victory would be the same as a third term for Bush, the economic mess and the subsequent bailout could have been seen as a gift. McCain could have fought the bailout thus distancing himself from the Bush administration and positioning himself as a defender of free markets. And he could have won.