Friday, March 26, 2010

Bailout Pig, Gets New Shade Of Lipstick

We saw this coming. The Federal Government has had a lot of criticism for the bailouts. But rich people who are crappy at business, continue to finance lobbyists who are more than happy to visit Washington's Red Light District, and mingle with lawmakers.

The bailouts continue to erode the US economy while, turning crappy Ponzi schemes into gold for wealthy gamblers.

The Wall Street Losers need more and more of their losses covered, as they aren't any better at gambling now, than they were when the lost trillions of dollars in the last go round. One gaping maw under their feet, is the lack of value in their assets. They've been able to maintain their Wiley Coyote momentum so far, by creating the illusion that their assets are still worth what they were at the top of the bubble.

But as jobs are lost, and salaries are slashed, the fundamentals behind pricing assets at multiples of their actual market value are becoming a serious problem.

The White House is taking steps now to keep prices inflated. Because people are earning less, they are buying less. So the White House wants prices to go up, to keep profits up. In the case of banks, this will mean that non-performing loans can remain AAA rated. Homes that are valued by the market at %150k, but valued by the banks at $300k, will keep their value, and the bank doesn't have to take a loss on their balance sheets.

The policy of allowing illegal fraud, must continue. The government must help the banks expand their fraud. Otherwise rich people who make their fortunes through fraud, Ponzi schemes, and welfare handouts, won't be able to increases their riches at the expense of the citizenry. For the White House, these rich criminals are the only people that matter. These people are their constituency. The rest of us are filth covered farm animals in their eyes. After all, when the White House staff and lawmaker bend over at night and spread their cheeks fore the lobbyists, we're not being represented. It takes cold hard cash to get them to bend over and spread them. They don't give it away for free.

And in the following, don't expect that this will really make a difference to the working man. He doesn't visit Washington's Red Light District.

U.S. Expands Homeowner Aid to Stem Foreclosure Wave

March 26 (Bloomberg) -- The Obama administration announced programs to help U.S. homeowners avoid foreclosure, including subsidies for borrowers who owe more than their home is worth.

The plan expands Treasury Department and Federal Housing Administration efforts and uses funds from the $700 billion Troubled Asset Relief Program. The administration faced a week of criticism from lawmakers and watchdog groups who say the government hasn’t helped enough homeowners stave off foreclosures.

“It’s almost like a triage policy,” said Eric Barden, chief investment officer of Barden Capital Management in Austin, Texas. “It limits the losses of the most overvalued properties and it also limits the losses to the borrowers that are in the most distress.”

Thursday, March 25, 2010

The War On Drugs Lives Up To It's Name

Calif. police dodge bullet in booby trap attacks

HEMET, Calif. – Police officers in this retirement town in rural Riverside County have been on edge in recent weeks. Someone is trying to kill them.

First, a natural gas pipe was shoved through a hole drilled into the roof of the gang enforcement unit's headquarters. The building filled with flammable vapor but an officer smelled the danger before anyone was hurt.

"It would have taken out half a city block," Capt. Tony Marghis said.

Then, a ballistic contraption was attached to a sliding security fence around the building. An officer opening the black steel gate triggered the mechanism, which sent a bullet within eight inches of his face.

In another attempted booby trap attack, some kind of explosive device was attached to a police officer's unmarked car while he went into a convenience store.

"There's a person or people out there, a bunch of idiots, trying to do damage to us," Hemet Police Chief Richard Dana said. "We can't expect our luck to hold up, we need help."

These same gangs in Mexico have killed many thousands of people. they kidnap family members of police officers, then take them somewhere secluded to torture them to death, then dump the bodies in the streets to, send a message.

These things happen in wars. The Drug War is no different. Ronald Reagan knew what he was doing when he dubbed it the War on Drugs. Right away, he began using the military solution to slaughter people, to take control of the distribution and sale of drugs. But there is so much money to be made in a prohibitionary setting, that no nation can be expected to keep control of it. Other nations and independent companies want a share of the profits and they are happy to slaughter people too.

Arizona is now dealing with the opening stages of this kind of problem.

Americans love wars. They love violence. So long as it's on television and some far away place. Now this war is coming to America.

As the New Great Depression deepens, we'll see this war spread throughout the USA. It's be like the 1930s all over again. Cops will slaughter gang members in shootouts. Gangs will then slaughter cops and their families in their homes. People in the periphery will be slaughtered as collateral damage. Innocents will be caught in the crossfire.

The violence in Mexico has crossed the border. It's coming to a town near you. There's a lot of money at stake. And the danger increases the profits. Increasing violence makes more money for the drug dealers, and for the people who sell military gear to police organizations. As the violence increases gun and home protection sales will go up.

There's a lot of money to be made in turning up the heat and increasing the number of Americans that are killed. and when there's money to be made, Americans know they have a duty to go for it.

It seems Joe Bageant agrees with this sentiment:
We were never a people to miss a chance to turn a buck, even on drugs, hopelessness, fear, poverty, criminality and misery. These days there is plenty of misery to go around, especially since drugs generate the other others. None of which is news to most of the lefties reading this. However, to the average American watching Jay Leno crack Tiger Woods jokes, the fact that a sizeable portion of our national economy depends upon keeping the drugs flowing across our borders would come as surprising news. Not surprising enough to get up off the couch for, but nonetheless surprising for a moment.

As for the real numbers in this miserable drama of national affairs, only the pointy heads care. For most of us, national numbers don't mean much these days. Once the discussion soared off into the tens of trillions, average working folks lost any numerical moorings they might have had, which were never very good to begin with. So the numbers regarding the massive industries based on the War on Drugs simply get lost somewhere out there among the trillions. After all, what's $50 billion a year spent for our narcotics cops?

Well, $50 billion makes just chasing the dopers an industry the same size as the movie business, and slightly bigger than the telecom industry. Furthermore, the narco cop industry is joined at the hip with the American prison industry -- the world's largest -- a $45 billion enterprise based on drug convictions. Which of course entails the court systems and billions to the syndicate of lawyers, the state's officially recognized commissars of peasant conflicts. Standing in the wings are the rest of the commissariat, such as the drug rehabilitation professionals. With such a fat hog of public funds there for the cutting, it was only natural that the Department of Homeland Security would increasingly focus its 225,000 employees and $42 billion budget on the drug wars. As for the working slob who has never even seen a bag of weed, he gets his chance to contribute to the drug war industry too, through drug testing in the workplace (25 million tests per year at between $25 and $50 each). With America now panhandling on the global street corner for international loans, nobody is about to cut loose the domestic profits of the drug war industry -- profits sustained, of course, by its dedicated lack of success.

Tuesday, March 23, 2010

Prediction On Airlines...

Here we go...

Wave of Airline Strikes Sweeps Europe

The showdowns with unions come as European airlines, hurt by falling revenue and an uncertain economic outlook, have taken a hard line on costs. Formerly state-run airlines are having to compete with nimbler low-cost rivals like Ryanair and easyJet in their regional businesses, while battling Middle Eastern and Asian carriers for intercontinental traffic.

“The biggest issue for the European flag carriers is labor costs,” said Stephen Furlong, an airline analyst at Davy Stockbrokers in Dublin. “Only fuel eats up more of their revenue. So to close the gap, they have to restructure or consolidate.” The carriers, he said, had reached a point “where labor is pushing back.”

Monday, March 22, 2010

April Showers, Bring May Flowers...

The Health Care Bill was passed by the House last night. Nancy Pelosi praised the legislation as patriotic. She admonished the Senate to pass the changes, and from the sound of the shills in the MSM, they will. Obama is itching to sign it.

Nancy tells us that the bill has a lot of problems, but once passed, they can then work on legislation to fix those problems.

It's oft said, "We don't have time to do it right, but we have time to do it twice." And in every place where that was the rule, we ended up doing it thrice... We never got around to doing it right.

This bill will be no different. If they try to fix, it, they'll just make it more onerous.

This bill, when passed, will drive up the personal bankruptcy rate and the foreclosure rate. Why? Because it guarantees that everyone will have insurance by demanding that they buy it. Never mind that they probably can't afford it. If you can't afford it, the IRS will come after you. That likely means that your wages will be garnished, and you'll find yourself unable to pay your bills and mortgage.

The insurance execs need more palatial summer homes and yachts. You and I are going to buy those for them. It's our patriotic duty. At least that's what Nancy Pelosi seems to be telling us.

But don't worry, this really will create jobs. The IRS will have to expand in order to work as a law enforcement agency, to make your that we pay our Insurance Taxes. These collections agents will make much larger salaries than folks in the private industry. Further, the taxpayers will pay their Insurance Taxes for them.

I myself, am very worried about how much I will have to pay in Insurance Taxes. Already my co-pays are going up. I assume they will continue rising forever. In the mean time, business is slow and I'm earning less money than i did last year.

I'm on a private plan with my employer, but I can't afford to put my wife on the plan. She has a pre-existing condition. If we put her on the plan, then we wouldn't have money for her medication and medical bills. There is a very real concern that she would be hospitalized or die, before the time period for the pre-existing period ran out.

If we have to pay Insurance Taxes, I worry that we will be unable to buy her medication.

That does this have to do with April Showers and May Flowers? Well, I'm still calling for a crisis in May. This new Insurance Tax that is going to be enacted, will be another straw on the camel's back. but we still have cresting crude prices, record bankruptcies, and unemployment numbers that are showing no signs of subsiding.

In May, we'll be in the middle of the second quarter. That will be plenty of time for the first quarter's numbers to be corrected and for the euphoria of the government's fibs to wear off.

I'm hesitant to predict a market crash. This isn't because I think the market is healthy, but because I think it's effectively doing a 'Weekend at Bernies'. I do not believe that small investors or institutional funds are driving it anymore. Instead i believe that the market values are driven by the money presses. The taxpayer is borrowing monies, that are being funneled into Wall Street to enrich the wealthy and keep the markets afloat.

So long as Wall Street remains the world's fattest federal welfare whore, the markets may well stay up. We could well see a dip and profit taking, but I expect a quick rebound when this occurs. After all, the Federal Reserve can conjure seemingly infinite quantities of money out of thin air through their magical fiscal powers. There's no reason why they couldn't inject trillions of dollars into the markets to keep them afloat. After all, you and I have good credit and we're always happy to pick up the bill. Right?

So what kind of crisis do I expect? I expect an increase in the number of failing banks. I expect a series of large layoffs from major manufacturing firms. I expect the airline industry to experience a crisis. I expect more emergency sessions in congress and bailout talks. In general, I expect a lot of things to begin breaking over a short time span.

Then again, remember, I'm mainly basing these ideas on the fact that world oil production is in decline. World energy production is also likely in decline. Because of this, there is irresistible pressure, forcing our civilization to power down a notch. No economic stimulus can stop the forces of nature. Because of this, it's my opinion that the world economy will crack a bit this coming quarter.

I could well be wrong. We could in fact go several more quarters without hitting a criticality. Each quarter we go will see the pressure increase. Each quarter without a correction increases the damage we'll experience when this breaks.

We don't have much longer to wait, to see how this turns out.

And remember, I'm just some guy on the internet. I'm not your stock broker. I'm not accredited by any institution to give financial advice. The complete extent of my advice is to reduce your debts if you can and take up gardening. It relieves stress and provides you with tasty food to supplement your diet with.

Tuesday, March 09, 2010

Mean Mr. Mustard, Sleeps In The Park....

Police search for motive in North Dallas office shootings

Dallas police say they're still hunting for specifics to explain why an angry former client wounded a father and son Monday at their North Dallas financial services company before turning the gun on himself.

Once again, it's the people at the bottom of the financial chain that are paying for the crimes of those at the top.

While Goldman Sachs employees continue to steal mountains of lucre for the taxpayers, 401k accounts and pension funds, the nutcases are content to go after people that are only peripherally involved with the Banker's Economic War to Destroy America.

But it's always been that way. The Generals never fight in the wars. It's the innocents and foot soldiers that go down.

The Terrorists at Goldman Sachs who are gutting the US Economy like a dead fish, still cozy up with the politicians who took and an Oath to Protect and Defend the Constitution of the United States of America, only to use it as toilet paper. They laugh at the carnage and even as they give lip service to us, they continue to profit handsomely from the destruction of this once great nation.

Thomas Jefferson wrote that he was revolted and attracted to the excesses of the court of Louis the XVI. When he came back to America and was charged with writing the Declaration of Independence and later, drafts of the US Constitution, he endeavored to put in to roadblocks to prevent the worst excesses he saw in France.

Now thanks to decades of deregulation, championed by both parties, then finally the Republican Party's successful efforts to turn the US Constitution into, 'just a God damned piece of paper', we now how have a federal government that is being remodeled to resemble the most decadent period that France ever saw.

Oh, and you Tea Partiers, Anti-Constitutionalist Mitt Romney has something to say to you.

Friday, March 05, 2010

Lone Gunman Linked (To Fill In The Blank) Extremism

Well another man that is angry with the government has given his life in the fight against the machine.

He appears by all accounts to have acted alone and is not linked to any particular group or cause, except for the non-organized, '9/11 Truth Movement'.

As far as we know, he didn't leave a suicide note. Perhaps he was a afraid that if he blogged his reasons, he'd stopped sooner? Still, we are left wondering why he did he gave his life in a shootout at the Pentagon. Was it just anger that drove him? Did he have an ideology he was fighting for?

And lack of usch information, has just made him a tool for others. Look at the Christian science Monitor. They are using him as an excuse to rail against right wing extremists in the article, "John Patrick Bedell: Did right-wing extremism lead to shooting?" In this article, the question is never answered. He's simply used as a prop in an article that is unrelated to his story.

The only meaning I can ascribe to this man's actions, is that he has now become a statistic. A footnote in the struggle to end the rampant lawlessness in the upper reaches of Washington politics. At least that is one of the things, he has railed against on the internet.

And what did he accomplish? He wounded two police officers. Two men, that as far as I know, had nothing material to do with the causes he did rant about.

In the end, this seems so pointless to me. It's a crime and a loss without meaning. The occasional lone gunman or bomber will not change a thing in Washington. The only thing that will bring change, is for the American people to rise up with one voice and force that change.

And there's a fat chance of that happening anytime soon. We are well divided against ourselves. We are divisive, full of hate and anger. And we are taught to be fearful and hateful by the very powers that prey upon us.

So long as Washington keeps the American people divided in a culture war, there will be no change in Washington. And I don't see that culture war coming to an end anytime soon. You'd think by now that most Americans would've gone the message that both parties are out to destroy everything they know and love. Well not destroy, maybe. They just want to steal it.

But no, the ratio of true believers are still fighting for their right to be abused and raped by their political heroes, and so the game continues.

I guess that John left it open for us to invent our own reasons to explain his behavior with. Or perhaps, a suicide note will come to light later? Perhaps he didn't think he'd die? Well whatever the cause of the lack of a clear cause, the media will certainly find a myriad of excuses to dance on his grave.

And perhaps we'll even see Congress pass legislation, making suicide missions against the government, unlawful?