Biden’s Nominee For Comptroller Wants Soviet-Style Planning for America


In 1928 Soviet Dictator Joseph Stalin introduced an economic policy based on a cycle of Five-Year Plans. The First Five-Year Plan called for the collectivization of agriculture and the expansion of heavy industry. Its methods were almost unbelievably brutal, and millions died.

A succession of Five-Year Plans followed until the end of the Soviet Union in 1991. They created an economic wasteland in which people stood in line to buy bread, housing was cramped and decrepit and the standard of living trailed far behind that of industrialized Western Europe and the United States.

And now, Joe Biden wants to bring all that to the United States.

Saule Omarova is Joe Biden’s pick to be Comptroller of the Treasury. In that role, she will be the nation’s number one banking regulator.

Omarova was born in the Soviet Union. She wrote a dissertation at Moscow State University on Marxism and revolution. Up until recently, she listed that dissertation on her resume. Strangely, in advance of her ongoing Senate confirmation hearings, Omarova removed the citation from her resume and has so far refused to produce the document. Moscow State University says it destroyed the only copy it had.

We may never know what Omarova wrote about the father of Communism in her dissertation. We do know a great deal more about her, and it is disturbing.

Omarova grew up in the Soviet Union. In a photo from 1979, she is shown as a Young Pioneer – part of the vanguard of the Communist Party. When Omarova left high school to enter university she was already a member of the Young Communists. She went to Moscow State University on a scholarship named for Vladimir Lenin.

All of this might be brushed off as part and parcel of growing up in a Communist system that did not grant the opportunity for personal choice. Unfortunately, there is no indication of any kind that Omarova has abandoned Communist principles and embraced capitalism. On the contrary, this nominee, who Biden wants to run our banking sector actually opposes private banking and has praised the Soviet Union’s financial system.

In a recent paper entitled “The People’s Ledger,” she proposed that the Federal Reserve take over all consumer bank deposits. This would effectively end the current banking system. Omarova, in short, wants to nationalize the entire banking system and create a Soviet-style system in which the federal government runs the economy. She wants as well to create a central bank digital currency modeled on the systems in use in Venezuela and China.

“Ms. Omarova thinks asset prices, pay scales, capital, and credit should be dictated by the federal government. In two papers, she has advocated expanding the Federal Reserve’s mandate to include the price levels of ‘systemically important financial assets’ as well as worker wages,” according to the Wall Street Journal.

Here’s part of the introduction to “The People’s Ledger” just to make clear that the characterization above is no hyperbole.

“This Article takes up that challenge. It offers a blueprint for a comprehensive restructuring of the central bank balance sheet as the basis for redesigning the core architecture of modern finance. Focusing on the U.S. Federal Reserve System (the Fed), the Article outlines a series of structural reforms that would radically redefine the role of a central bank as the ultimate public platform for generating, modulating, and allocating financial resources in a democratic economy—the People’s Ledger.

On the liability side of the ledger, the Article envisions the complete migration of demand deposit accounts to the Fed’s balance sheet and explores the full range of new, more direct and flexible, monetary policy tools enabled by this shift. On the asset side, it advocates a comprehensive qualitative restructuring of the Fed’s investment portfolio, which would maximize its capacity to channel credit to productive uses in the nation’s economy. This compositional overhaul of the Fed’s balance sheet would fundamentally alter the operations and systemic footprints of private banks, funds, derivatives dealers, and other financial institutions and markets. Analyzing these structural implications, the Article shows how the proposed reforms would make the financial system less complex, more stable, and more efficient in serving the long-term needs of the American people.”

The People’s Ledger

“The People’s Ledger” is no outlier. It is completely consistent with what Omarova has written in a host of other articles. She wants to take the American capitalist economy and turn it into a Soviet-style system in which the government regulates and “manages” everything. Here’s Omarova’s proposal for what amounts to an American Five-Year plan.

“This brief memorandum lays out the case for a National Investment Authority (NIA): a permanent federal instrumentality tasked with devising and implementing a long-term national strategy of economic and infrastructural development. The memorandum emphasizes the proposed NIA’s potential to provide an indispensable — and presently lacking — institutional platform for effective coordination of the nation’s response to systemic crises like the COVID-19 pandemic. It outlines how the NIA would:

(1) coordinate nationwide production mobilization efforts,

(2) execute emergency financial relief and corporate bailout measures, and

(3) manage public stakes in bailed-out private firms (through a novel “golden share” regime)—and do so in a transparent, democratically accountable, and distributionally just manner.

“Why We Need a National Investment Authority”

Most of America has awakened to the disastrous nature of Biden’s policies. Much of the country unfortunately still remains unaware of the truly radical and unprecedented nature of the agenda Joe and his mandarins are pursuing. This is not about a kinder, gentler, more inclusive America. This is about a complete reshaping of our economic and political systems along Marxist lines.

We are witnessing the greatest assault on the foundations of the republic in our history. Nothing makes that clearer than Omarova’s nomination. Thirty years after the Soviet Union’s economy collapsed, Joe Biden has nominated a woman who wants to bring Soviet-style control to our economy.