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That was the first time such an argument was used and the Court agreed with the government back then. It has been stretched (ever so slowly, but continuously) since that decision.
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In my opinion, this was a key opportunity for "the people" to get out the virtual torches and pitchforks and to have demanded impeachment of every justice who voted for the government's position. Any politician who didn't agree could have and should have been voted against to clean house.
Once that didn't happen, the judges and the politicians in Washington realized that the people weren't energized enough to fight against power usurpations by the federal government using the commerce clause as their primary weapon. Thus, the judges and pols in Wash. decided that the commerce clause would become their political taffy and that they could stretch and pull it to their hearts content. They've done exactly that. What has been the response of "the people"? Some have complained publicly and on internet forums. For the most part they've grabbed another beer, opened a new bag of pretzels, and changed the channel via their remote. So, we have landed in a place our founders would not recognize today.
To keep this firearms related, I'm cheering the states who are passing laws saying that any firearms forged and assembled within the state, are outside the reach of the federal government and its commerce clause light saber. I'm anxious to see what becomes of those laws, if anything.