In a fascinating and telling piece for Newsweek, former Reagan budget director, David Stockman, dissects Romney’s former position at Bain Capital, and makes a strong case against Romney as America’s chief executive (all emphasis mine).
On Bain Capital, Stockman notes:
Bain’s billions of profits were not rewards for capitalist creation; they were mainly windfalls collected from gambling in markets that were rigged to rise.
Mr. Stockman sets Romney up for the fall:
Nevertheless, Mitt Romney claims that his essential qualification to be president is grounded in his 15 years as head of Bain Capital, from 1984 through early 1999. According to the campaign’s narrative, it was then that he became immersed in the toils of business enterprise, learning along the way the true secrets of how to grow the economy and create jobs. The fact that Bain’s returns reputedly averaged more than 50 percent annually during this period is purportedly proof of the case—real-world validation that Romney not only was a striking business success but also has been uniquely trained and seasoned for the task of restarting the nation’s sputtering engines of capitalism.
And then, Mr. Stockman ruthlessly takes Romney down:
Except Mitt Romney was not a businessman; he was a master financial speculator who bought, sold, flipped, and stripped businesses. He did not build enterprises the old-fashioned way—out of inspiration, perspiration, and a long slog in the free market fostering a new product, service, or process of production.
Mr. Stockman describes leveraged buy outs as nothing like the image Romney has sought to portray:
[LBO’s are] monsters of the financial midway that strip-mine cash from healthy businesses and recycle it mostly to the top 1 percent.
Did you get that last part? LBO’s are one of the reasons this country has such incredible and unmatched, wealth inequality.
Mr. Stockman then launches another zinger at Romney’s successful tenure at Bain Capital:
The waxing and waning of the artificially swollen LBO business has been perfectly correlated with the bubbles and busts emanating from the Fed—so timing is the heart of the business. In that respect, Romney’s tenure says it all: it was almost exactly coterminous with the first great Greenspan bubble, which crested at the turn of the century and ended in the thundering stock-market crash of 2000-02. The credentials that Romney proffers as evidence of his business acumen, in fact, mainly show that he hung around the basket during the greatest bull market in recorded history.
And goes on to call the Republicans beloved free market, an "anti-free market":
[…] [Romney’s] record is actually all about the utter unfairness of windfall riches obtained under our anti-free market regime of bubble finance.
Mr. Stockman has much more to say, and it’s worth your time to read the whole piece. I feel that it’s important to give this new look at Romney and his tenure at Bain Capital as much attention as possible between now and November 6, so tweet it, Facebook it, and do what you can to spread this around.