Party Smarties?

They warned us.

230 years ago the Federalist Papers admonished us about what would happen if we let partisanship run wild in our nation. The clearest warning comes in Federalist No. 10. Generally ascribed to Madison, it is a continuation of Hamilton’s essay entitled: “The Union as a Safeguard Against Domestic Faction.”

Both worried that direct democracy would be a danger to individual rights, because a “common passion could be felt by the majority, and there is nothing to check the inducements to sacrifice the weaker party.” Their hope was that a larger republic could check these partisan passions.

Both sides are to blame in the present shutdown debacle: Republicans for pushing their “defund Obamacare” agenda too far and Democrats for refusing to compromise. George Washington predicted what would happen if one party alternately dominated over the other: dissention, revenge, and paralysis, eventually broken by political tyranny.

We aren’t up to the tyranny part yet, but so far we’re following the Founders’ script. Let’s hope our leaders can find a way back.

Douglas R. Tengdin, CFA

Chief Investment Officer

By | 2017-07-17T12:34:37+00:00 October 1st, 2013|Global Market Update|1 Comment

About the Author:

Mr. Tengdin is the Chief Investment Officer at Charter Trust Company and author of “The Global Market Update”. The audio version of each post can be heard on radio stations throughout New England every weekday. Mr. Tengdin graduated from Dartmouth College, Magna Cum Laude. He received his Master of Arts from Trinity Divinity School, Magna Cum Laude and received his Chartered Financial Analyst (CFA) designation in 1992. Mr. Tengdin has been managing investment portfolios for over 30 years, working for Bank of Boston, State Street Global Advisors, Citibank – Tunisia, and Banknorth Group. Throughout his career, Mr. Tengdin has emphasized helping clients manage their financial risks in difficult environments where they can profit from investing in diverse assets in diverse settings. - Leave a comment if you have any questions—I read them all! - And Follow me on Twitter @GlobalMarketUpd

One Comment

  1. Dave Stone October 1, 2013 at 1:20 pm - Reply

    We could start with some basic incentives for Congress. Defund them first. Have then participate and follow all Thierry laws second. Get them back in the game. Too insulated.

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