Green Room

A Contrarian Comment on the (Now Cancelled) Waxman Hearings

posted at 2:56 pm on April 14, 2010 by

Michelle Malkin and Ed report that Henry Waxman (D-CA), Scourge of Big Business, has cancelled his inquisition of the big companies that announced – in accordance with the requirements of Sarbanes-Oxley – the downgraded earnings that will be the consequence of passing Obamacare.

I applaud Representative Joe Barton (R-TX) for challenging Waxman on this, and thank Ed for posting the video.  But I’m actually sorry to see the hearings cancelled.  I don’t for a minute think Waxman has cancelled them because he thought better of trying to embarrass or harass the companies in question.  My analysis would be that he cancelled the hearings because they were going to make him look like a buffoon.

The company CEOs have only to answer questions honestly to show up Waxman.  They are required by law to make the announcements they made, and the reality that Obamacare will cut into their profitability is unspinnable.  Taxes are part of the accounting process to determine profits; when they go up, profits go down.  Eliminating a tax credit makes taxes go up.  It doesn’t matter whether you think the companies are evil behemoths that need a good skinning anyway:  thinking that doesn’t change the reality that raising their taxes makes their profit projections go down.

The American people are much better equipped to understand that than many pundits give them credit for.  I was actually looking forward to the Waxman hearings because it’s clear the CEOs would have had truth on their side – and the hearings would have given the people the opportunity to see that, and see Waxman’s move for what it is.

That’s why I think the hearings have been cancelled.  And I think it’s too bad.

Recently in the Green Room:

Blowback

Note from Hot Air management: This section is for comments from Hot Air's community of registered readers. Please don't assume that Hot Air management agrees with or otherwise endorses any particular comment just because we let it stand. A reminder: Anyone who fails to comply with our terms of use may lose their posting privilege.

Trackbacks/Pings

Trackback URL

Comments

Excellent point, and most likely the correct one.

SnowSun on April 14, 2010 at 3:03 PM

I agree. I have seen many of these witch hunts on C-Span, and I am always amazed who spineless the executives are.

I would LOVE to see a CEO just rip these bureaucrats to pieces and shame them back under the rocks from which they crawled out of. I would PAY to see that.

Opposite Day on April 14, 2010 at 3:12 PM

It’s pretty clear you’re right. Too bad, for once Waxman showed restraint.

jwolf on April 14, 2010 at 3:16 PM

A suggestion was made on MM’s blog that the CEOs make a big public show of the information they would have presented at the hearings so that they can expose the economically detrimental effects of Obama’s Hell Care Bill. I wish they would stop acting like toadies for the Henry “Nostrils” Waxmans of the world, and speak honestly to the American public. What people who demonize large corporations forget is that they employ millions of people and support millions of retirees. Where are all of those people going to work and from where will they acquire income if their employers are no longer viable? What becomes of the tax revenue that they provide for the 47% of Americans who pay no taxes? Why do these people not speak directly to the public, vis a vis Ronald Reagan? What a change from business as usual for politicians and public figures to treat ordinary Americans as if we have some modicum of intelligence.

College Prof on April 14, 2010 at 3:25 PM

I was hoping one of the CEOs would bring along his head of accounting and walk Waxman step-by-step through the accounting process.

Farmer_Joe on April 14, 2010 at 3:33 PM

I think this doesn’t have much to do with restraint on the part of ol’ “WhyDoesn’tHeWaxThemNoseHairs” Waxman. I think this has everything to do with a rapidly sinking Congress, president and DNC. These folks are scrambling to reclaim the approval of the American people and figure if they cancel this ill-thought out inquisition they’ll get that poll bounce they thought they shoulda gotten from their beloved health care legislation.

What they don’t realize is, the American people have largely woken up and come to the conclusion that the well-known criminal element which has run politics in Chicago for decades has ensconced itself into the highest political positions in the land. With that realization has come the appalling knowledge that this criminal cabal has begun to dismantle the country just as they’ve managed to dismantle anything good in the city of Chicago and beyond.

While I continue to worry for this country’s future, the fact that Waxman and his gang no longer feel secure enough in the feet they’ve put on the throats of the American people that this inquisition/punishment was cancelled makes me more than a little happy.

I think this should give more than a few of us on the other side a little boost. Anything that takes the arrogance our of the Obama gang and people like Waxman is fabulous in my eyes.

Mad Mad Monica on April 14, 2010 at 3:44 PM

I think you are correct. Waxman saw that this could too easily backfire on him.

Perhaps wiser pols *ahem* informed him of this.

WannabeAnglican on April 14, 2010 at 5:13 PM

Yessir.

Waxman got religion, as I predicted he might.

Kinda too bad. But somewhere there’s a forest heaving a sigh of relief. Waxman’s document “request” from the CEOs was gonna kill a lot of trees…

Ragspierre on April 14, 2010 at 5:57 PM

One correction: the announced charges don’t account for the cost of Obamacare, as you said early in your post, but only for the loss of the retiree prescription drug tax credit. The costs associated with the full bill are yet to be seen.

MTF on April 14, 2010 at 6:35 PM

Well, phooey. I’d have paid good money to see all the CEO’s b-slap Waxman.

GrannyDee on April 14, 2010 at 6:52 PM

MTF on April 14, 2010 at 6:35 PM

A good point, MTF. We have more announcements along these lines to look forward to.

J.E. Dyer on April 14, 2010 at 7:33 PM

I’m in agreement. Henry “Space Alien” Waxman was afraid of being exposed as the phony, grandstanding buffoon that he is.

jdflorida on April 14, 2010 at 9:59 PM

Well, it’s a not, and the rest of your post is spot on. Sadly, big companies (ie, public ones) probably won’t see huge cost changes from ObamaCare. Those costs will fall on small business (ie, private companies without pressers announcing big cost increases). Crafty little devils in Washington have gone after the kulaks, instead of their buddies at GE and JPMorgan.

MTF on April 14, 2010 at 10:22 PM

I meant “It’s a nit”. Sorry- typing while not thinking.

MTF on April 14, 2010 at 10:26 PM

But I’m actually sorry to see the hearings cancelled. I don’t for a minute think Waxman has cancelled them because he thought better of trying to embarrass or harass the companies in question. My analysis would be that he cancelled the hearings because they were going to make him look like a buffoon.

My analysis is that he got the order from the White House that Obamacare discussions are hereby prohibited. Time to change the subject.

Hey look! Terrorists want to set off nukes!

uknowmorethanme on April 14, 2010 at 10:37 PM