Mr. Gee is partially correct. The GOP pundit elite does appear to be in meltdown mode. However, I must caution that out here in flyover country, fiscal conservatives, cultural conservatives, defense first conservatives and other elements of our Grand Coalition remain eager to fight and engage the One.

Yes, we have a terribly flawed candidate in a career Senator who established his political credentials by attacking his own caucus. But in our coalition, as I suspect in our Democratic opposition, character counts. I have great faith in McCain’s character even if I lack faith in many of his political inclinations. Regarding Obama, how could any conservative familiar with this man’s own autobiographies trust in his character? Discussing Obama’s politics and policies? Why bother.

Unlike Mr. Gee, I do not believe the American people are looking for a “new New Deal.” I think most Americans are utterly confused at what is happening to our financial sector. I think most Americans are confused by the fluctuation in our gasoline prices. On the flip side, I do not think there is a working American alive who doesn’t understand the collapse in our housing market.

The American people will respond to a positive economic message centered in conservative principals. The fact that McCain cannot articulate those principals is symptomatic to the fact that he does not believe in them nor truly understand the character of fiscal laizze faire economics.

Consequently, it is the responsibility of the conservative punditry to pound away on our principals. The punditry must make the case for McCain over and over again – and he will follow.

So, why cannot conservatives market that case. Well, here is why being out here in fly over land makes a difference. I do not live in the Boston – DC corridor. Consequently, my universe does not revolve around investment bankers, hedge funds, other journalists, corporate attorneys and lobbyists although that is my business. If I had to rely solely on people working in these industries as my gauge and barometer for the future of the GOP, I would be very depressed too. Our financial sector is essentially insolvent. So all you folks in New York, Connecticut and DC are watching your world burn down. Kudlow, Lowry, Buckley, etc.

The punditry reaction to the GOP House vote against the Paulson Plan probably sealed the election for the Democrats. The US government is now moving to partially nationalize the Banks. Ugh, partial nationalization is there anything worse for a Republican – management stays in place and exercises control of the enterprise while taxpayers support existing managers efforts as unwitting and unrepresented minority shareholders. Are you kidding me! Heck, I will take that deal! I will happily sell 49% of my business to the taxpayers! Maybe I should hire a lobbyist.

Bush is done. His political capital spent. Paulson is now in charge. I would ask that one pundit explain to me how a “Republican” rises to the top of Goldman Sachs an organization that contributes 75% to Democrats and 25% to Republicans and maintains a firm grounding in any of the principals that define our Grand Coalition. (As an aside every Republican should visit www.opensecrets.org and review the largest political contributors to the two respective parties over the past 10 years and in this election cycle)

The proper reaction to any contagion is to isolate it – quarantine it. Let it die out and then start again with lessons learned. There is nothing in the current policy response to the financial crisis that employs this principal.

Corporate finance as exercised in New York is very important to our economy. Does anyone seriously believe at this point that the corporate finance industry in New York can solve this problem – heck they are fighting for their very survival.

They are terminally ill and must be quarantined before they take the rest of us down with them. We do need a “new New Deal” better than the old deal. The US Government should re-open the Bank of the United States and provide capital to real business with real balance sheets. Instead we are pumping cash into a broken industry that will use that cash to cover their ass – to save their privileges and honorariums – and subsidize their continued existence at my expense.