Again, I quote Rahm Emanuel, former Chicago Mayor and Chief of Staff to Barack Obama, by saying “never let a crisis go to waste.” Again, I use it in reference to the governmental overreach in response to COVID-19. It seems I’ve had to use this quote in a bevy of my articles already.
Many are calling this the “new norm.” With articles like “COVID-19: What is the new normal?” from Forbes or CNN’s article “US Coronavirus: America faces a new normal as outbreaks show no sign of slowing down” we can see that this crisis is being used to create a new normal in America.
Rep. Ilhan Omar, the democratic socialist congresswoman from Minnesota, has previously called for the canceling of all rent. She has also taken to Twitter to list her demands as she, and her democratic colleagues, hold the American people hostage in the wake of COVID-19. She Tweeted “Make cash assistance universal and monthly. Halt foreclosures *and* evictions. Freeze all deportations. Cancel student debt. Pay for small business losses. Bail out workers, not corporations”
Make cash assistance universal and monthly
With this demand she is calling for the implementation of a universal basic income (or UBI.) This is a position that has become more and more popular in the Democratic party. Andrew Yang, former Democratic Presidential Primary Candidate and business man, used this as his main platform, vowing to give every American, over the age of 18, a $1000 check every month he called “The Freedom Dividend.”
Halt Foreclosures *and* evictions
This would have devastating effects, both long term and short, to the economy. As I mentioned in my article about canceling rent, cited above, 55% of landlords are private owners, not rental management companies, and a plurality of them need that rental income to pay their bills. This will also lead to less rental development in the future in fear that this happens again and the risk that would be accompanied with that.
For mortgages, this will have a devastating impact as well. While homeowners would not have to pay their mortgages, the mortgage companies would still have to pay its investors that money monthly. This leads to mortgage companies quickly losing liquidity. This leads to them not having the money to lend out for new mortgages, meaning they won’t be able to help people buy new homes or refinance their current homes. This would, again, lead to a mortgage financial crisis like we saw in 2008 if not worse.
Freeze All Deportations
This goes along with another prong of the Democratic platform, open borders. This is actually a recent change that we have seen in the Democratic party. Neither President Bill Clinton nor President Barack Obama supported open borders when in office, but that policy has now become a staple of the Democratic platform. Ilhan Omar, Alexandria Ocasio-Cortez (AOC), Elizabeth Warren and many more all hold this position. I’m not sure what freezing deportations has to do with the COVID-19 pandemic, but according to the left it does.
Cancel Student Debt
This is a staple for those on the farther left, with AOC, Ilhan Omar, Elizabeth Warren and Bernie Sanders supporting the cancellation of student loan debt. Notice she is not demanding a forbearance for the months of the COVID-19 crisis, she is calling for the all out abolition of all student loan debt. This is flat out unconstitutional. The government cannot tell private companies to wipe out debt that is owed to the private company and it would cost $2.2 Trillion to pay it all off.
Pay For Small Business Losses
This I agree with. I wrote an article about a business suing the state of Pennsylvania for losses stating the 5th amendment takings clause. If the government is going to force a business to shut down they should pay for the losses the business will incur, or in a more realistic sense not shut the business down in the first place.
Bail Out Workers, Not Corporations
This is a talking point the left has been using for the COVID-19 relief. This completely contradicts the point right before this. According to JP Morgan Chase, 84.9% of corporations in the US have less than 20 employees. Does she mean that those companies won’t be paid for losses? So much for paying small businesses for their losses.
If companies are not compensated, who is going to have the money to hire people back when the COVID-19 crisis is over? As a libertarian, I am against bailouts 99.9% of the time but this time is completely different. I am against bailouts to prop up a failing business that has failed as a result of natural selection from the free market, but when the government forces businesses to cease working for months, and they fail as a result of that, then just compensation is due.
Using a Pandemic to Push your Priors
As we can see the Democrats are taking Rahm Emmanual’s saying to heart. They are trying to use this crisis to push their agenda and turn us into the socialistic dumpster fire.