Bits Bucket For November 5, 2010
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The Housing Bubble
Examining the home price boom and its effect on owners, lenders, regulators, realtors and the economy as a whole.
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Name:Ben Jones
Location:Northern Arizona, United States
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This fellow is wrong about congress not having the power to stop BB, they are the only ones who do. They are compliant and choose not to.
~ QE2 - The Day After: Entire World Blasts Deranged Madman’s Uncheckable Insanity Submitted by Tyler Durden
Yesterday’s Ben Bernanke penned an Op-Ed in which he essentially said: “I am doing whatever I interpret my mandate to be, which right now means only thing: Dow 36,000. I am only accountable to the private bank that is the Federal Reserve, a few Wall Street CEOs, and no one else. Congress has no power over me. Try to stop me.”
And while the stock market is so far in love with this exhibition of outright hubris which promises record bonuses even as a record number of Americans subsist on foodstamps and real, not BLS, unemployment is over 20%, putting the Chairman in a long-overdue strait jacket will ultimately require an outright clash between those who still believe in that piece paper called the constitution and the kleptocratic cartel to whom the trade-off between a senior bond impairment and their first born is never all that clear.
While more and more try to educate a hypnotized, strategically defaulting US society what QE2 means to their future, the rest of the world is already rising in a tidal wave of disapproval aimed at the Federal Reserve.
As the FT reports, Brazil, China, German, and Thailand, and soon everyone else, have already voiced highest criticism and their condemnation of this escalation in FX wars.
Who is most clueless and reckess:
Greenspan who made all the wrong moves and created a horrible credit bubble claiming he had no knowledge of what was happening.
or
Bernanke who has full knowledge of the crisis but can’t fix the problem and is making things worse.
Its a tough one.
Both are criminal bank embezzelment facilitators and should be prosecuted for their incompetence.
US policy clueless?
http://www.cnbc.com/id/40023267
Both Bernanke and Greenspan were appointed by Republican Administrations. Anyone who believes the GOP pick-up of seats in the house and Senate is going to result in fiscal restraint and more responsible governance is delusional.
Pretty lame Sammy.
96 - Clinton nominates AG for a 3rd time, ‘00 - Clinton nominates AG for a 4th term.
Jan 2010 - Senate votes 70-30 to approve Bernanke, with the majority of the nays coming from Republicans.
All this Fed bashing is great news; It means changes are brewing.
Volcker: “Fed bond plan won’t do much to boost economic recovery”.
Volcker is publically coming out against Bernanke’s policies. This is new and it is big. Stay tuned for furthur developments.
I’m makin’ popcorn and preparin’ to watch the movie. It’s gonna be a good one!
walmart is killing the margins on flat screens:
http://articles.moneycentral.msn.com/SavingandDebt/FindDealsOnline/article.aspx?post=ced14aac-1e10-4597-ac07-8c62948ecc55>1=33021
“Wall street got drunk and we got the hangover.” George w. bush to matt lauer of the today show.
Wall street getting tipsy?
Great. Now that wall st has moved on to cocaine, meth, heroin, and other hard drugs what does that portend for us?
OD or 12 Step.
Considering their arrogance, I’m going with OD.
Asking W for opinions on Wars and Economy is like asking Sarah Palin about US diplomatic relationship with Russia………
lol.
So you really are a thinking person I see.
Agreed, but what’s unbelievable is that we’re going to be saying the same thing about Obama when it’s all over
Stay tuned for furthur developments.
Ha ha. Furthur
Any change will take too long. Politicians by and large are gutless and looking ahead to 2012. If they get too involved now, and there are problems, then they will be to blame in 2012. As it is, they can point the finger elsewhere.
Inaction is better than action when they already have a scapegoat.
If you have any adjustable rate debt, fix the rate now…inflation/higher rates are coming, it’s just a question of when (in my opinion).
Economists are fond of telling you, “There is no such thing as a free lunch.” This includes Fed economists who take discretion to the extreme; there are reneging costs to be paid later.
The Rule of Law or the Rule of Central Bankers?
Lawrence H. White
Economists often prescribe that countries seeking economic development should embrace the principle of the rule of law. I want
to suggest that we listen to our own advice and apply it to our monetary and financial system. The principle of the rule of law could usefully guide us in resolving the extraordinary situation we have been in for the past two years or so, and even more importantly help us to avoid future crises.
…
‘Friedrich Hayek in his classic work The Road to Serfdom contrasted “a country under arbitrary government” from a free country that observes “the great principle known as the Rule of Law.” “Stripped of all technicalities,” he continued, “this means that government in all its actions is bound by rules fixed and announced beforehand—rules which make it possible to foresee with fair certainty how the authority will use its coercive powers in given circumstances and to plan one’s individual affairs on the basis of this knowledge” (Hayek [1944] 2007: 112).’
Hayek [1944]
Stripped of all technicalities…
So, in 1944 your plain old vanilla derivatives where “utilized” in the same fashion as they are “utilized” today?
Back then, there also were no computers capable of suddenly creating $600 bn through electronic balance sheet magic.
Those stupid hicks didn’t have flash-trades either. The productivity gains of modern megabank trader insider-driven mirosecond market manipulation cannot be understated. Of course I am kidding, these criminals produce nothing and are of no value whatsoever to society yet consider themselves “masters of the universe” and get to make all the rules.
Do you people think the fed is trying to stoke the stock market so it can sell the sheeple all the stocks it bought during the financail heist of the century?
No, the Fed is trying to keep the pitchforks at bay. They stoke the market because that is all they have any control of.
How about a new “super short term” cap gains tax for assets held less than 24 hours? Make it 80% for all I care.
A rising stock market gives the general perception that things are beginning to get better. Whether the perception is grounded any any realism is irrelevant.
Gotta keep throwing some crumbs to the masses if you don’t want rioting in the streets.
“A rising stock market gives the general perception that things are beginning to get better.”
Are the masses really still that stoopid?
Anything for a quick buck.
“Are the masses really still that stoopid?”
They voted the Republicans back in, didn’t they?
“Are the masses really still that stoopid?”
Is this a trick question?
None of what the Fed is doing would be possible if our government abandoned deficit spending. Expansion of credit at the personal level all the way to the National level is what caused our present troubles.
Our government would not last a single day without deficit spending. Its their entire business model.
Bernanke wants Obama to do well, and perhaps the Democrats, as I assume he is one. To think that Bernanke is not a political creature, despite rising to the top of a Washington bureaucracy, seems not credible.
+1
Fed’s Bernanke `Doesn’t Understand’ Economics, Jim Rogers Says
Nov 5, 2010
Federal Reserve Chairman Ben S. Bernanke’s decision to pump a further $600 billion into the economy shows his grasp of economics is weak, said investor Jim Rogers, chairman of Rogers Holdings.
“Dr. Bernanke unfortunately does not understand economics, he does not understand currencies, he does not understand finance,” Rogers, 68, said in a lecture at Oxford University’s Balliol College yesterday. “All he understands is printing money.”
“His whole intellectual career has been based on the study of printing money,” said Rogers, who predicted the start of the global commodities rally in 1999. “Give the guy a printing press, he’s going to run it as fast as he can.”
I’m OK with that except I haven’t seen a dime of the TRILLION that he printed up….do we have a problem Houston?
“All he understands is printing money.”
Imagine how easy your job would be if you were authorized to spend an unlimited amout of money on any problem no matter how large:
Problem: “Sir, the customers keep complaining that the widgets they bought are usleless pieces of crap.”
Your response: “Just send them their money back and throw in another free widget as well”.
You could be a real hero.
Didnt zimbaubwee try and print it’s way out a bad situation?
Time to get out the wheelbarrows.
Luckily no wheelbarrows are needed to move around New Era electronic money. In fact, there is no need to physically create it; all the Fed has to do is announce they ‘found’ another $600,000,000,000 on their electronic balance sheet, which they presumably can use to snap up whatever assets they please at fire sale prices.
I am not sure whether I exaggerate or not; in particular, are there any limits to which assets the Fed can summarily purchase, and if they chose to, could they summarily change any rules limiting their discretion to enable them to do pretty much whatever they decided to do?
unfortunately I feel like a serf today.
I thought the world was supposed to end last time the Fed printed all this money. Here we are 2 years later and milk doesn’t cost $500.
You feel like a slave today. But when Obama forces you to buy health insurance, why that’s just super duper terrific-o. Give me a break dude. Or when Obama nationalizes GM, that’s just groovy man. Funny how the federal govt controlling every aspect of your life is just fine with you people, but an effort to add some liquidity into the markets is a loss of freedoms.
I thought the world was supposed to end last time the Fed printed all this money.
Eddie,
Do you think QE1 and 2 are good for the long term economic health of the USA? If so why?
Eddie,
Do you think QE1 and 2 are good for the long term economic health of the USA? If so why?
____________
No. But I also don’t think it is the end of the world doomsday scenario you all are making it out to be. This is the equivalent of a fender bender not a 70 car pileup.
If I were running things, I’d be opposed to it. But at the same time I can see the reasoning behind it. At worst I see this leading to a little short term inflation which isn’t necessarily a bad thing (unless of course you have all your assets in 0.000015% APY checking accounts, in whcih case yeah it will sting). But when you have St. Barry running $1T deficits every year, I’m not sure what other alternatives there are.
Milk may not cost $500, but million of jobs are gone forever and nothing filled that gaping hole.
…for the last 30 years.
When are those pay raises gonna start happening?
When you proles bring in some damn business!
And start giving 5 star performances on 1 star wages!
And even then… maybe.
Yes indeed and they are became trillionaires! Lucky people!
Hopefully here in the U.S. we aren’t stupid enough to try and print our way out of trouble…Oh wait!
are=all
they are already talking about qe #3 over at cnbc.Its a great time to buy stocks, cramer said so.
I well remember the headlines on CNBC when Ben Bernanke lowered interest rates a quarter point: “Well there be another easing of interest rates???” + concominant on-air hot air. Since interest rates are zero, CNBC needs something else to hawk…looks like they lit onto QE.
F ‘em.
Cramer is the smartest idiot. Seriously, read his bio and look at his accomplishments prior to his show. But then his actual picks/performance for his show are awful, yet I’m sure he makes a ton for doing the show. My favorite: Sept 15 2008, telling his viewers to buy Wachovia and how great the CEO and company was, blah blah blah … I don’t think that Wachovia even made it to October (at least w/ any market cap anyway).
The Zimbabwe stock market soared along with their hyperinflation, and that’s all that matters, right?
yep.We go from bubble to bubble.Why have a job if you can time these events?
Unless you have your own virtual fiat money printing press, or happen to be a trust fund baby (like some of our most notorious posters here appear to be), you probably need a job to obtain the poker chips which would enable you to play in Wall Street’s casino.
It’s never been a better time to buy stocks, right?
They aren’t making any more decent interest rate savings accounts!
Zimbabwe’s printing-press was an antique piece of garbage. Bernanke has the new 4G hyper-googlicious state-of-the-art technolgy printing press that can put any other countrys’ old pos priter to shame. We will win the race to the bottom with our currency.
I’m holding a one hundred trillion dollar bill from the reserve bank of zimbabwe (you can get em on ebay.) It doesn’t really feel cheap. It has some security measures.
The Fed understands just fine. They lend us thin air money for our Treasuries and we will pay it back with earned money plus interest in 10 years. They can afford to be patient.
Which side of the deal is not understanding economics?
“The thought that you can create a prosperous economy by inflating is an illusion. I thought we’d learned that lesson.”
~Paul Volcker, former Fed chairman.
See what I mean? Volcker is breaking ranks.
History will be kind to Volcker for standing tall on principle.
See? They don’t call him Tall Paul for nothing.
I hate all this talk about BB being an idiot or not having a grasp of economics. He just like Greenspan know exactly what they are doing. They know and they don’t care.
“I hate all this talk about BB being an idiot or not having a grasp of economics.”
Such comments reflect strongly on the ignorance of the posters who make them. You would think they would at least care enough to figure out who Bernanke is and what he did in his pre-Fed career before blatantly making fools of themselves.
“I hate all this talk about BB being an idiot or not having a grasp of economics.”
But can one not be an idiot and have a grasp of economics at the same time?
greenspan is an american icon.He must of made someone happy.
Of course he did. And Forbes prints the list every year.
Haha - that’s great.
Bernanke Says New Purchases Should Aid Economic Growth With Lower Rates
By Scott Lanman and Joshua Zumbrun - Nov 3, 2010 7:30 PM
Federal Reserve Chairman Ben S. Bernanke said resuming large-scale asset purchases should boost economic growth through lower borrowing costs and higher stock prices and that concerns about the strategy are “overstated.”
“This approach eased financial conditions in the past and, so far, looks to be effective again,” Bernanke said today in an opinion article for the Washington Post released hours after the Fed announced the $600 billion of Treasury buying through June in a second round of unconventional monetary stimulus.
http://www.bloomberg.com/news/2010-11-03/bernanke-says-new-purchases-should-aid-economic-growth-with-lower-rates.html - 54k -
Remember, when you see “economic growth,” they aren’t necessarily referring to Main St.
Bank of America Edges Closer to Tipping Point: Jonathan Weil
By Jonathan Weil - Nov 3, 2010 9:00 PM ET Bloomberg Opinion
Now the bank may be on the verge of trouble again. Its stock has fallen 41 percent since April 15. Mortgage-bond investors are demanding untold billions of dollars in refunds. The foreclosure fiasco is metastasizing. A member of the Troubled Asset Relief Program’s oversight panel, AFL-CIO attorney Damon Silvers, openly worried at a hearing last week about the risk that Bank of America might need another bailout.
A few more months like the last one, and we may be wishing Bank of America had never returned its $45 billion of TARP money.
You wouldn’t know there’s anything wrong with Bank of America by an initial look at its balance sheet. The company showed common shareholder equity, or book value, of $212.4 billion as of Sept. 30. And its regulatory capital ratios have risen steadily throughout the year.
Tipping Point
Judging by its shrinking stock price, though, investors are acting as if Bank of America is near a tipping point. Its market capitalization stands at $115.6 billion, or 54 percent of book value. That’s the second-lowest price-to-book ratio among the 24 companies in the KBW Bank Index, and well below the 76 percent ratio the company was at in October 2008 when it landed its first round of TARP dough. Put another way, the market is saying there’s a $96.8 billion hole in Bank of America’s balance sheet.
http://www.bloomberg.com/news/2010-11-04/bank-of-america-edges-closer-to-tipping-point-commentary-by-jonathan-weil.html - 56k
The money quote:
“As for the government’s too-big-to-fail guarantee, it’s probably still there. But who knows? Republicans have won back the House. The answer is up in the air.”
Let BoA go down and let FDIC refund the little guy. Those poor checking accounts have been shoring up 20 time their weight; set them free. I would be interested if there will be another Lehman/Bearstearns panic, or if Wall Street will think it’s old hat. (Does the financial reform law cover this?)
“…it’s probably still there.”
I frankly don’t see how they can eliminate too-big-to-fail, given the recent track record of bailouts when the going got tough. Saying they are doing it will not convince the markets, where actions speak far louder than words.
They could break it up into a solvent western-states “Bank of Italy” and let the insolvent eastern-states NationsBank fail.
buddy of mine is long BofA because he just knows they will get another bail out.
redonkulous.
Long bac since the fed announced QE2 on a swing trade. That article says it all… Stock lost too much value too quickly given
It’s cash flow and balance sheet (which may be lies, but it’s not about the truth, rather perception).
Also, they recently reported they are through most of the buybacks and have resumed foreclosures. Bac may fail, and it
may or may not get bailed out again, but the short term trade is there. Besides, first lesson in trading is don’t fight the fed.
I like this guy’s take ….
It isn’t tax cuts, or the lack thereof. It isn’t stimulus, or the lack thereof. It isn’t monetary policy that’s either too loose or too tight. It’s the balance sheets of the major banks, which, like the novels of Stephen King, are both fictional and horrifying.
http://www.nationalreview.com/corner/252613/root-problem-stephen-spruiell
Can you say “Level 3?”
“Mark-to-fantasy?”
“Horrifying” is putting it nicely.
If B of A goes down, what happens to all of those trust accounts they hold thanks to the corrupt court system which appointed them trustee? These are not simply checking and savings accounts covered by the FDIC, but “investment accounts” which allow B of A to make hay on the backs of the less fortunate (ie. people who are incapacitated).
“If B of A goes down, what happens to all of those trust accounts”
If B of A goes down, what happens to my shortcut across their parking lot to get to the bus stop?
You ride a bus? Socialist!
Weak employment report expected Friday
WASHINGTON (AP) — Newly elected members of Congress will get a reminder Friday of the economic challenges they face in January: The jobs report for October is expected to show hiring weak and unemployment still high.
The outlook for 2011 isn’t much better.
Economists expect the Labor Department to report that employers added just 60,000 jobs in October, fewer than the 100,000 needed to keep pace with population growth — and far fewer than the 200,000 needed to start returning the 15 million unemployed Americans to work.
returning the 15 million unemployed Americans to work.
While estimates vary, there’s gotta be 10 or 15 million illegals who are working.
Be the first to fink on your boss. Receive a $10,000 cash bounty, and a ticket home.
Agree. However, there’s no need to fink on a boss. Just go to the parking lot at Home Despot and pick up the guys in the pickups. Do the SS # check. And hit those employers hard, for tax fraud at least.
I know I’ve said this here before, but I have yet to see a congregation of day labor types at any of the Home Depots or Lowes here in Tucson. Don’t know why, but I’ve just never seen it.
A couple of months ago I stayed at the La Quinta in Goodyear AZ, just off of I 10, and I can tell you that there was a whole gaggle of them there and they were being picked up at a steady rate.
A couple of months ago I stayed at the La Quinta in Goodyear AZ, just off of I 10, and I can tell you that there was a whole gaggle of them there and they were being picked up at a steady rate.
A big part of Arizona’s illegal immigration problem is its proximity to an unsecured border. However, the composition of Arizona’s economy doesn’t help matters.
Our economy is very heavy on such heavy users of illegal immigrant labor as:
1. Construction
2. Landscaping
3. Hotel/restaurant
4. Agribusiness
5. Janitorial services
In most cities, they’re not at Home Depot. But, there’s always one particular site where they hang out in droves. If you’re not careful, you’ll hit them as they run out in the road to flag you down in order to be the “first” one picked to work, nevermind the fact you’re not looking for a day laborer and just happen to be driving down that particular street.
If you’re not careful, you’ll hit them as they run out in the road to flag you down in order to be the “first” one picked to work, nevermind the fact you’re not looking for a day laborer and just happen to be driving down that particular street.
There’s a really good YouTube video featuring a pickup-driving Hispanic fellow. He pulls up next to a gaggle of be-suited white people looking for work.
Next, he starts reading a list of job titles. CPA, IT system administrator, marketing manager, that sort of thing.
The jobless people wave frantically, hoping for a coveted spot in the back of the pickup truck.
All too soon, the guy has enough workers, and away he drives.
In most cities, they’re not at Home Depot.
In Las Vegas, they’re not only at the Home Depot and Star Nurseries, but the U-Haul, as well.
Yep, just in case you need some help with the furniture as you “downsize” out of your foreclosure or beat feet out of town to someplace that might have jobs.
There’s a really good YouTube video featuring a pickup-driving Hispanic fellow. He pulls up next to a gaggle of be-suited white people looking for work.
And here it is — linky-link!
And I do apologize for the low quality of this video. I’ve seen a higher quality version elsewhere, but couldn’t find it this time.
It probably depends on where you are. In Virginia, there was a big issue with setting up some official facilities for day laborers. I think the issue was defeated.
I was driving back from work today. Near work, I saw an early 90s Honda Accord with all its hubcaps. I know someone who had three stolen and finally took the fourth one off. I was looking at the hubcaps and the car and thought of how different things can be in Maryland, just 20 miles apart.
We’ve been stuck on 450,000 new jobless claims per month for a year now.
I’m sure the gubmint number will also be the same 9.6%
all is well. we added 150k jobs and previous months were revised up.Party time folks.now go to your discount broker and buy some stocks.Gm has a new ipo that surely someone here must be eager to buy?
That’s even better than expected! How nice is that?
Bank of America Fights Pressure on Mortgages ~ nytimes
Bank of America on Thursday rebuffed claims by a lawyer for several big investors, including the Federal Reserve Bank of New York, that it should buy back troubled mortgages because the loans were made improperly.
In its first response to the investor claims, Bank of America argued that the effort would have the effect of speeding up the foreclosure process and force it to evict more homeowners. The investors’ claims have become a major worry on Wall Street as the foreclosure crisis has escalated.
A group of investors, including the Federal Reserve Bank of New York and Pimco, the money management firm, is pressing Bank of America to buy back a portion of some $47 billion worth of mortgages. They argue that Countrywide, a unit of Bank of America, has not been servicing the mortgages correctly and that the loans did not conform to underwriting standards.
“In its first response to the investor claims, Bank of America argued that the effort would have the effect of speeding up the foreclosure and force it to evict more homeowners.”
“… and force it to evict more homeowners.”
See this? You guys had it wrong all this time. BofA are the GOOD GUYS whose only concern is looking out for the little guys.
Lol.
The poor banks don’t know which way to spin the news. First, the banks argue that making them follow the law will slow down foreclosures, and hence, the recovery. Now we’re being told it will speed up foreclosures, which apparently will also hurt the recovery.
It sounds like their common theme is that we shouldn’t make the banks follow the law- or else it will hurt the recovery. How convenient for them.
The poor banks!!!!! Martha!! The poor banks need our help….
Recovery has nothing to do with this. It’s just people fighting over money.
They have some shrill on cncbc saying the market is not rising on the great jobs number because it was already baked in.
“…it was already baked in.”
Even though the number came in much better then the herd of forecasting economists expected, the omniscient market anticipated the number…
How much do shrills get paid these days for making stoopid comments on cncbc?
“It’s just people fighting over money.”
More like people fighting over a shrinking pie.
“…shrinking pie.”
And you may as well think of QE2=$6 bn as a claim on a big chunk of the shrinking pie for Wall Street…
Is qe 10 baked in to the market?
pie is the same size. Just more people fighting over it. Like, 2 billion more people fighting over it.
Having walked through a couple of the sh!t shacks they build it’s a wonder they are still in business.
ATLANTA (AP) — Beazer Homes USA Inc. said Friday it moved to a fiscal fourth-quarter loss on inventory charges as new orders and home closings declined.
Home sales are near the lowest levels in decades ever since federal home-buyer tax credits expired in April.
Absent government incentives — and despite low mortgage rates — many consumers are holding off on home purchases, discouraged by high unemployment and tight credit.
Beazer lost $59.5 million, or 81 cents per share, for the period ended Sept. 30. That compares with earnings of $33.8 million, or 84 cents per share, a year earlier.
I have to agree that Beazer is probably one of the worst home builders in the United States. My friend brought one about 10 years ago. Wavy walls, flooded three times in the first year due to pipes bursting, sagging and creaking floors, cold breezes coming in from all windows and doors, cabinets falling off the walls, serious settlement issues as the house was built on a pile of debris, little or no insulation, etc.
you get what you pay for!
They had to rebuild the facades of some houses around here (after fighting and denying problems for years), because of settlement issues. Apparently the brick and stone facade was separating from the rest of the vinyl box house.
I thought that was a very symbolic problem.
It will be interesting to see what happens to all the new cluster communities with shoddy construction. Small lot size and uniformity make them unworthy of much rehab. Thus, I believe they will quickly become our slums. All my friends want new. I, however, prefer outdated well built older homes with large lots, mature trees and character (with a particular love for tudors, mid century, and 1970’s California contemporary).
Whoh. I agree with Natalie. Bring back the tiny Tudors!!
I like neighborhoods where the houses were built by different owners at different times..with no HOA or forced conformity of style. It has its drawbacks but something about planned developments creeps me out.
When we finally bought, that’s what we picked up. The largest lot (smallish, boring house) in a good neighborhood. If only I had waited until 2012.
I love me a nice solid California Craftsman. Pleasant to the eye and the real ones are built very well.
It will be interesting to see what happens to all the new cluster communities with shoddy construction.
A shared hatred of their homebuilders and a shared sense of buyer’s remorse might help the residents of these crapbox communities bond and jell, no?
I am not familiar with Beazer but I am familiar with energy codes and their typical enforcement.
Our individual states now adopt international building and energy codes so there is uniformity in the code but a failure to enforce much of it.
It is doubtful that Beazer builds with little or no insulation because this area (mandatory measures for roof, wall and floor insulation) are and have been enforced for decades.
The mandatory measures for infiltration / exfiltration are not enforced. A typical new 2,500 sq ft house leaks enough air on a daily basis to fill 2 1/2 Good Year blimps. The result is that the insulation installed has diminished value and the structure is neither energy efficient nor comfortable, nor quiet, nor pest free.
This same typical house requires thousands of linear feet of flexible durable gaskets installed. The sealing needs to be done prior to insulation / drywall if not as the framing and siding are installed and more prior to insulation /drywall. Caulk is not durable and cannot seal a structure after it has been finished.
If any builder, or building department wanted to see energy efficient, comfortable homes all they need do is simply comply with existing code.
In stead of enforcement on air sealing during construction what we will see soon is after the fact testing (door blower tests) which will demonstrate the presence or lack of effective sealing and upon test failure demolition will be required.
This year I discussed this matter with the California Energy Commission and they agreed that I was correct, there is wholesale lack of compliance and enforcement but they offered the opinion that it isn’t really important in residential construction ????
Builders have always been notorious for using the cheapest furnaces possible because the owner pays the high heating bills while the builder moves on to the next house. It isn’t much different now.
That 2.5 blimp stat… wow
All the more reason to bring back the tiny Tudors!
How much oxygen does a human need in 24 hours?
When I lived in Phoenix there was a 1/2 inch gap between the wal and the double pane slider window
I use duct tape on the outside to at least seal out bugs
Another house in Phoenix had double pane windows with aluminum frames same piece of Al on the outside at 150 F as on the inside at 150F
shouldn’t even install windows facing west in Phoenix
CA construction seems better but maybe its the mild weather you could live in a tent here
My friend brought one about 10 years ago. Wavy walls, flooded three times in the first year due to pipes bursting, sagging and creaking floors, cold breezes coming in from all windows and doors, cabinets falling off the walls, serious settlement issues as the house was built on a pile of debris, little or no insulation, etc.
But does he like it?
Honestly, I’m not interested in buying any home built probably in the last 20 years. It seems like most anything new these days is craptastic foamcore with plastic siding. No thanks.
I’ve had the misfortune of touring a SleazerShack….. they’re friggin’ appalling. The fact they get away with it is even more appalling. I guess that’s what you get from a scab outfit from the south.
The centennial anniversary of the Fed Reserve begins today at Jeckyl Isand.
Feeling celebratory?
I can’t believe its called “Jecklyl Island”. How fitting.
From wiki: “The work is commonly associated with the rare mental condition often spuriously called split personality, wherein within the same person there is both an apparently good and an evil personality, quite distinct from each other.”
For Halloween this year a local radio station had a complete reading of the Strange Case of Dr Jekyll and Mr Hyde, a novel I had never bothered to read. It was fairly intriguing, I may actually pick up a copy.
Hilarious! AARP is a powerful lobby group and they are very good at duping clueless folks into signing up for their wonderful services.
Citing health overhaul, AARP hikes employee costs!
WASHINGTON – AARP’s endorsement helped secure passage of President Barack Obama’s health care overhaul. Now the seniors’ lobby is telling its employees their insurance costs will rise partly as a result of the law.
In an e-mail to employees, AARP says health care premiums will increase by 8 percent to 13 percent next year because of rapidly rising medical costs.
And AARP adds that it’s changing copayments and deductibles to avoid a 40 percent tax on high-cost health plans that takes effect in 2018 under the law. Aerospace giant Boeing also has cited the tax in asking its workers to pay more. Shifting costs to employees lowers the value of a health care plan and acts like an escape hatch from the tax.
“Shifting costs to employees lowers the value of a health care plan and acts like as escape hatch from the tax.”
It also removes the subsidy that kept health care costs high.
When patients are required to pay for health care by (gasp) using their own money then they are going to start to bitch about the price.
Bitching about the price is the first step that leads to a price reduction.
“Bitching about the price is the first step that leads to a price reduction.”
That, and simply doing without.
Reduced demand will eventually have its effect. I’m already seeing reduced demand at the practice where my GP works. Used to take weeks to get an appointment, now I can sometimes get in the day I call. And when I do go the only other “customers” I see is the medicare crowd. I guess those high deductible plans are making people reconsider if that office visit is really necessary.
aarp is sponsoring nascar next year and will be featured on the 24 car.Times must be pretty good.
Does that mean the drivers will have their turn signal on the entire race?
Not sure about that but they have to drive at least 10 MPH below the pack speed, and stay in the inside lane.
Preventive care much cheaper than emergency care.
Preventive care much cheaper than emergency care.
Yeah, but if you can’t afford the price of the preventive care, you’re screwed.
Yeah, but if you can’t
afford the priceFIND a place that offers affordable preventive care, you’re savings are screwed.“When patients are required to pay for health care by (gasp) using their own money then they are going to start to bitch about the price.”
The unions sought health care for a reason, it was like giving employees a tax free raise. Take health care away and replace it with money, now the employee will not only pay more deductible per visit but income tax on the money received.
“Take health care away and replace it with money…”
Take health care away and take money away too.
I have a friend who works for the security company at HP. For all their peons, they have offered them an insurance plan which costs $45 per week, with a $5000 deductible!! I believe the company is called Securitas or something.
Oh, and if you happen to meet that $5000, then a hospital stay will be an additional $8,000 because you must be sick to run up $5K! So you tell me, where exactly is the ‘insurance’?
This is BS! I don’t know what the heck is wrong with all you who can’t understand the need for some reform!
But the manager’s and up — they get a decent plan. It makes me sick to my stomach!
“Bitching about the price is the first step that leads to a price reduction.”
Exactly! and it was the perpetual HELOC machine that took the sheeples’ minds off the prices. Cars, tuitions, house prices etc. all skyrocketed in price, when the sheeple learned they could heloc it into a low monthly payment (that was tax deductable!!).
good point.when you have to work for your money you tend to spend it more wisely.
I guess auto slaes are roaring back as homedebtors with new found wealth from not paying mortgage flock to dealers.
AARP is a perfect example of Eric Hoffer’s famous quote.
“Every great cause starts out as a movement, degenerates into a business, and ends up a racket.”
My wife is finally prepared to not renew her membership (I never joined) when it expires in the next couple of months.
Ain’t that the truth.
Add government programs to the list as well.
Kirisdad brings up a good point about that perpetual HELOC machine.
As mentioned here before, I’ve noticed that a lot of health care practices — most notably dentistry, dermatology and eye care — moved away from their former utilitarian roots.
Instead, they focused on cosmetic services. And became “upscale” with the prices to match.
What paid those prices? HELOCs.
However, the housing ATM isn’t as busy as it once was. Which means that a lot of practices are hurtin’ for certain.
One of my MBA students was recently laid off as a drug rep by one of the big Pharma’s.
She got the COBRA forms and discovered that the COBRA rate for her and two children was $1700/month. “$1700/month?” I gasped; “Yep” she confirmed. She wound up putting the kids on WA Basic Health, taking a high deductable plan for herself, and putting up with the inconvenience. Amazing the difference when paying out of pocket, vs. free stuff.
Hilarious! AARP is a powerful lobby group and they are very good at duping clueless folks into signing up for their wonderful services.
Okay, I’m going to confess something: I’m over 50. About to turn 53, in fact. (The USMC and I share a common birthday.)
However, it will be a cold day in a warm place before I even think of joining the AARP. Why? Because I think it’s a business masquerading as an interest group. And, since it’s a business, it ought to be taxed as one.
Hang onto the card they send you though, you can still get most of the discounts they purportedly have only for members. I have a bunch.
Denny’s, here we come!
Denny’s, here we come!
I wouldn’t eat at Denny’s if it was free.
AARP is comprised of greedy old people attempting to compel younger generations to provide them with limitless resources and support, after using their bloc voting power to help facilitate the greatest inter-generational rip-off and debt transfer in human history. If these oldsters are now getting screwed by this shyster outfit, I for one frankly don’t give a damn. What goes around comes around.
Age discrimination much?
You might want to, you know, actually go meet more seniors. Especially the ones who had their retirement decimated by bankrupt pensions, rising medical costs, shyster brokers, greedy offspring….
This was covered here before.
The insurance companies getting one last grab at your wallet before the new laws take effect.
Exactly how the credit cards acted just before those new laws took effect.
Use of food stamps up 17% since last year
~ MSNBC
The recession may be over, but the number of Americans using food stamps continues to soar, up 17 percent over year ago levels, according to a report posted on The Wall Street Journal’s website.
A stunning 42,389,619 now use food stamps, up 58.5 percent from August 2007, according to U.S. Department of Agriculture data from August cited in the story.
That means nearly 14 percent of American households are still relying on government assistance to buy food as the economy continues to batter families. The total was up 1.3 percent from July.
If there were no foodstamps we’d be seeing souo and breadlines to rival thoise of the Great Depression.
I see them. At least half the time I am in the checkout line I am behind someone using the government card to pay. Hard to figure if it is I who is being mainstreamed or them.
“If there were no food stamps I suspect you would be seeing a major rise in crime and gasp demonstrations.”
Food stamps are for the rich, they keep the poor and formerly middle class content just long enough for the elite to strip the remaining wealth from the middle class.
Food stamps help keep farmers and rancher in business.
There is so much waste and fraud in the sytem, I’d really rather go back to the soup kitchens.
+100.
Which is why we should do away with food stamps, unemployment, medicaid and replace it with a go to work program. If you are out of a job you can earn enough for very basic food and shelter via a gov works program. Now I would put them to work making clothing and shoes to decrease imports but if that didn’t work they could just show up and flip rocks or walk a few miles, who cares they have to show up and do something for 8 hours a day 3 days a week. 2 days a week would be left to finding a job. You could start them with a desirable task and then if they don’t find a job in 3months demote them to a less desirable task. If they didn’t find work then you could increase the # of days they have to work for 3 to 4 etc. Even disabled people could participate.
Even if it is you who is standing in line at the soup kitchen?
“There is so much waste and fraud in the system, I’d really rather go back to the soup kitchens.”
Not where I live. While it’s not hard apply for food stamps, it’s not easy either. And your case is reviewed every 3 months. And despite urban legends and anecdotes, you ARE severely restricted in what you can buy with them.
“The recession may be over, but the number of Americans using food stamps continues to soar, up 17 percent over year ago levels, according to a report posted on The Wall Street Journal’s website.”
Gee, just think if the champions of the “little guy”,
Baroke O’Bummer and the Democraps, weren’t there to “help” more little guys get on Food Stamps. When “everybody” is on Food Stamps, O’Bummer and his pathetic minions can marvel how wonderful it is.
Just another little achievement that happened on O’Bummers watch; so HE OWN’S IT, as exiter was so fond of saying about the Boosh years.
www dot youtube dot com/watch?v=zQ-hPNrKdZI&feature=related (NSFW) (Baraka flocka flame)
Been making the rounds over the last week.
I fully think that food stamps should only be good at government food stores, where they sell only healthy foods: frozen and canned veggies, plain bread, local apples, produce in season, beans and protein. Limited supply on treats. It’s the kinder and gentler bread line.
A long time ago there was a letter to Ann Landers. The writer complained about a woman who bought a birthday cake on food stamps. The woman wrote back with a sob story that her daughter was dying and that would be her last cake. Ann Landers said we should think before we speak; we never know someone’s situation. IMO the sob story letter was a fake. And even it were real, for special things like a cake, isn’t that where private charity/church groups are supposed to step in?
Do you know how much it would cost for the govt to go into the grocery business?
They’re all in — at least on the production side.
Do you know how much it would cost for the govt to go into the grocery business?
In PA, the state is in the liquor business. And you won’t meet a Keystoner who doesn’t have a horror story about the lousy customer service at the State Stores.
Well, behold, what do I hear from my old home state but murmurs of privatization. And the State Stores’ unionized employees aren’t too happy.
Government stores would remind people of soup kitchens. Neither the government or the recipients want that.
During the bombing of London in WWII, the government set up soup kitchens for those bombed out of their houses.
Churchill refused ministerial efforts to dub them “Communal Feeding Centers”, insisting that they be named “British Restaurants”.
Maybe it’s time for “American Groceries”.
Churchill refused ministerial efforts to dub them “Communal Feeding Centers”, insisting that they be named “British Restaurants”.
A family member survived the London Blitz. Her sister did not.
Despite the loss of her sister, there was a certain pride in my Cousin Bettie. Something about the fact that she and everyone else in London toughed things out. And survived.
I should mention that toughing it out meant being in labor during an air raid. Everyone else in the building ran to the basement, leaving Bettie to labor on alone. Her first son was indeed a Blitz baby.
Maybe it is OK to let the poor folk decide to get an orange instead of an apple, or Pepsi instead of skim milk once in a while.
Charity that strips the recipient of their right to make choices is not charity at all, it is predation.
When family X gets free food, paid for by dollars extracted from family Y’s bank account under the threat of imprisonment if they don’t fork over, the term “charity” is not applicable.
I feel like driving a Beemer this week instead of the Corolla. Am I being predated upon?
I didn’t have a soup kitchen in mind. I’m thinking more like Aldi with limits on what they stock.
I disagree, a bag of oatmeal and rice and beans and cheese with a few veg is all that should be served.
I’m not telling you how to allocate your resources, and I’m not offering to give you the money for the snazzy ride. If the collective decision is to give food stamps to low incomers, I don’t want to tell them how much of what they can eat. They are not my kids.
In practice I act more like you than I talk. I never give panhandlers $ but I have bought them dinner.
I agree with Blue Skye on this one. I favor healthy foods, but food that is healthy for one may not be healthy for another. Allergies, diabetes, dialysis can all lead to special food requirements.
Or, perhaps, since it was the daughters last cake, the mom could have lovingly baked it from scratch. Costs maybe a couple of bucks vs. $12 or so for a store bought one.
But thats just me.
Makes you wonder what her last meal was. A TV dinner and some instant coffee?
You sound so incredibly childish when you make ridiculous rhymes of names. We get it. You don’t like the president.
“Gee, just think if the champions of the “little guy”,
Baroke O’Bummer and the Democraps, weren’t there to “help” more little guys get on Food Stamps. When “everybody” is on Food Stamps, O’Bummer and his pathetic minions can marvel how wonderful it is.”
If the Repugs hadn’t voted AGAINST repealing tax breaks for offshoring jobs back in Sept., they wouldn’t need food stamps.
But don’t let the facts get in your way of a good, reality-free screed.
Food Stamps for US citizens
Yep, that’s our American Nations costly Priority Sit-U-Ation.
Keep your eyes on the prize!
Stay mute & DO NOTHING when you happen to involve your day with a quick glance over here:
http://costofwar.com/
Washington (CNN) — Fresh off an electoral bruising for his Democratic Party, President Obama heads to India on Friday to launch a 10-day Asian trip intended to expand export markets and strengthen security cooperation in what he considers a region vital to U.S. interests.
The trip to India, Indonesia, South Korea and Japan encompasses a G-20 summit, an Asia-Pacific Economic Cooperation summit, major holidays in India and Indonesia, and bilateral talks with Chinese President Hu Jintao and at least five other leaders, as well as four presidential news conferences.
———–
Export markets? I thought we exported jobs just fine?
Maybe he’ll shake down India for 20 million jobs the way he shook down BP for 20 billion bucks.
[On a side note: a couple days ago somebody posted the WaPo article concerning that anti-outsourcing bill that was "voted down" in the Senate: Companies can tax-deduct the cost of setting up operations in foreign companies; the bill would eliminate that and instead give the tax cut to jobs that were brought back. The bill was seen as a cobble-job to fill in the void left by the tax-cut compromises. The bill didn't even make it to the floor because all the Republicans and 5 blue-dog Dems voted for no debate. Are Senators this idiotic? They see "tax hike" of any kind as bad, even if you're trying to hike taxes ON something bad. One Republican even said "this just raises taxes on the job-creators." GEE, YA THINK? Isn't that the idea? ]
” Are Senators this idiotic? ”
No, they’re simply bought and paid for.
We have a winner.
“this just raises taxes on the job-creators.”
Suppose you want the kid to mow the lawn. You can approach it from at least two angles.
If you mow the lawn, I will pay you $5.
or..
If you don’t mow the lawn, I will take $5 from you.
Which method is more likely to produce positive results?
“If you don’t mow the lawn, I will take $5 from you.”
I will then somehow make sure there is no more lawn that I will be forced to mow.
Joey, your example is BS. Try again.
Status quo:
If you set up a call center in India, I will pay you $5.
Killed bill:
If you set up a call center in India, I will take $5 from you…
BUT, if you set up a call center in Chicaco, I will pay you $5.
Which method is more likely to produce positive results?
Or, if we go with the mow-the-lawn example:
Status quo:
If you hire Joe teenager to mow the lawn, you pay $5 and you get your lawn mowed.
Killed bill:
If you hire an illegal to mow the lawn, you pay $5 and you get your lawn mowed, but we will take $1.69 from you later.
Which method is more likely to produce positive results?
I’m getting massacred by my competition and must find some way to cut costs. Otherwise I’ll have to close up shop and let 1,000 people go.
Outsourcing my call center is one of a very few viable options.
If you don’t care about the burden of an additional 1,000 unemployed people in the midst of a serious recession, threaten to tax me if I outsource my call center.
So how about if the playing field were leveled and your competition was punished for offshoring?
Otherwise we all know where this will end: every job will be offshored.
Joey , just who is the competition that will massacre you? Frankly ,what do I care if you have to fire those out-sourced jobs .
For that matter ,what do I care if Maytag fires their employees
now that they moved to Mexico ,aint no skin off the American
work force if they fire Mexican workers in Mexico .
What do I care if China products are taxed incoming so that
it creates incentive for production here,the products are crap anyway and I’m not so sure how regulated that junk is .
You are speaking about the situation today that China products
are a monopoly and nobody can compete unless they go the way
of the Foreign product production gig .
Small business can’t open up and compete with this Monopoly anymore .
You are my competition. How will you react to the punishment?
Government burdens business. Business finds a way around it. Government places further burdens on business in an attempt to close the gaps and prevent any escape.
If you ask me, that’s a dysfunctional relationship.
“So how about if the playing field were leveled and your competition was punished for offshoring?”
Simple, the competition closes up shop entirely in the US, sets up again where you are wanted and away you go. Technology makes it all quite doable.
Nobody likes offshoring, but its a fact of life. The genie cannot be put back in the bottle.
Nobody likes offshoring, but its a fact of life. The genie cannot be put back in the bottle.
It is not all or nothing. Other countries do a much better job protecting their jobs. We do a lousy job.
The genie can absolutely be put (partially but meaningfully) back in the bottle.
Spokaneman, so you’re saying they’re going to export Americans to work in India and send the product back? Like Ireland did to Waterford?
At some point that company turns from an American company to an Indian company. And should face tarriffs.
May I ask how old you are? Are you retired, to the point where you won’t suffer from the jobs losses this would incur?
Joey, your example is BS.
I think Joey’s paid not to “get it”.
i get it fine.
A large portion of our population misunderstands business so badly, and hates it so much, they’ve irresponsibly thrown lots of jobs under the bus in their efforts to control and contain it.
They think business is hurt by higher costs, higher taxes, regulations and fines, etc, and must eventually bend to their will if enough pressure is applied.
But business has no feelings. It’s more like a car… a vehicle we can use.. or abuse.
You step on the gas and it goes. Hit the brake and it slows.
Crash it into a wall and it’s destroyed, but it’s we passengers who feel the pain.
No joey, you DON’T get it. The tax breaks they would have taken away for offshoring, were to then be given to local business for hiring credits. Where’s the disadvantage? Hint: there is none.
Nothing has changed except to bring jobs back to this country.
As an AMERICAN CITIZEN, you don’t have a problem with helping your fellow citizens instead of another nation, do you?
Do you?
While it included provisions for, and was advertised as an anti-outsourcing job creation effort (by democrats, just before an election), the bill was primarily an attempt to tax offshore profits.
As long as a multinational company’s profits never reach the USA, they are not taxed at our 35% rate. Instead, they are taxed according to where the subsidiary exists.. in Ireland, perhaps.. at that country’s 10% rate. The profits are kept in banks, somewhere offshore, and if spent are not spent in the USA.
Thousands of companies take advantage of the “transfer pricing” rules.
The bill attempted to affect the fate of trillions of dollars.. not just a few jobs. It never had a chance in hell of passing. They should have known better than to introduce it.
eco..
If you want to help your fellow citizens, prove it by dropping your wealth-envy and prejudices against businesses, corporations, their executives and shareholders, and petition your government to reduce business costs and regulations to the point where it is more profitable to conduct all business in the USA than it is to outsource or to manufacture products elsewhere.
Dear Jic:
The only way that American business costs can be reduced to the level of Indian business costs is to reduce US labor to approximate 5 cents/hour. You keep going on about how the bank bailout was necessary to prevent a deflationary spiral. Well, does 5 cents/hour sound deflationary to you? Is it necessary to prevent that too?
“Obama heads to India”
And STAY THERE!!!!!!!!!!!!
+1
-2
+square root of 6.
We should have a President swap like the tv show, wife swap.
I would take Manmohan Singh any day for Obama.
But, but isn’t Mr. Singh a Sikh? I mean that’s practically a Muslim! And he’s not American! And’lll bet he’s a protectionist Marxist too!
I’m pretty sure nobody would swap wives with Obama.
If Oprah had a husband I bet he would.
Maybe he can see firsthand why the Repubs voted to keep giving tax breaks to offshoring our jobs.
They see “tax hike” of any kind as bad, even if you’re trying to hike taxes ON something bad. One Republican even said “this just raises taxes on the job-creators.”
This bill seems liked a feigned effort to make it look like these political goofballs are interested in creating jobs. Obviously, this kind of anti-outsourcing bill should have been introduced back when we were experiencing 700K+ job losses per month. Apparently, Congress saw the problem not as a lack of jobs, but as a potential lack of TBTF banks, and therein focused their “efforts.”
There was nothing feigned about it. It was defeated by the Repubs.
This bill should have been introduced YEARS ago. Like, oh 1988.
I thought the problem was, it did.
Obama acknowledges his message didn’t get through
The Associated Press
Posted: 7:17 a.m. Friday, Nov. 5, 2010
WASHINGTON — President Barack Obama is acknowledging in the wake of this week’s election rout that he hasn’t been able to successfully promote his economic-rescue message to anxious Americans.
Obama says in an interview with CBS’s “60 Minutes” that he “stopped paying attention” to the leadership style he displayed during his run for the presidency.
Obama also said he recognizes now that “leadership is not just legislation,” and that “it’s a matter of persuading people. And giving them confidence and bringing them together. And setting a tone. And making an argument that people can understand.”
People disagree with me only because they are stupid and I haven’t splained it to them simple enough to suade them.
It really doesn’t matter what Obama says. Americans seldom understand even basic economics or how the government really works. Obama needs to explain things as if he’s talking to 6th graders because otherwise it confuses them.
“Obama needs to explain things as if he’s talking to 6th graders because otherwise it confuses them.”
That`s right!
Obama: Billy, you`re Dad has not worked in the last year because he is not in a Union, and that is very bad. Your neighbor who comes home drunk every night still has his job because he in in the UAW, and that is very good.
So you’re saying that Obama was elected by 6th graders?
Perhaps you are correct.
Obama=Keynesian?:
http://www.youtube.com/watch?v=Q-37qUrgFXQ
“I though you said Kenyan”.
Remember that half the people are below the median intellegence level and probably more than half are below average. This may sound glib, but it really does couch how the political leaders communicate with the masses. The intelligent among us will attempt to discern for ourselves what the Politico’s stand for. The rest rely on 30 second sound bites.
But, there is no intelligence test to be allowed to vote.
…or drive a car for that matter.
From the Oalkand Tribune:
Solyndra Inc., the high-flying solar panel maker once touted by President Barack Obama as a model for a green energy future, said Wednesday it has scuttled its factory expansion in Fremont, a move that will stop the company’s plans to hire 1,000 workers.
Solyndra also will, over the next several weeks, eliminate 155 to 175 jobs in Fremont.
“The company’s problems raise questions about the federal government’s wisdom in giving $535 million to a company with an unproven technology,”
“… federal government’s wisdom …”
Stop it! You’re killing me!
Green tech is having financial problems all over the world.. even in China. It started around the time the Greek Contagion became evident.. last May?
Was reading somewhere last nights that green home buil,ding was being used by the romans.Green has been here for a long time but hasnt really been cool to the masses.
i read that too.. i think it was here.
i thought it was kinda dumb to mention that people have always been trying to conserve energy. I mean.. is there any creature who walked the earth that can afford not to?
i saw a thing on PBS about hummingbirds. They use so much energy just sitting there, they can starve if they don’t eat constantly.
To sleep without dying, they find a perch and their vital signs fall to nothing at night, and they go into hibernation… every night.
” is there any creature who walked the earth that can afford not to (conserve energy)?”
American land whales in Suburbans?
Nevermind, they only think they can afford not to,
re: Surburbans
Nature allows for evolutionary experiments. Sometimes they succeed and survive, and sometimes not.
“It started around the time the Greek Contagion became evident”
Dwindling streams of government subsidy.
yup.. plus Europe happens to be the world’s largest market for green technology.
I like to say that environmentalism is generally an expensive luxury.
Some parts of it are more costly than others. The most expensive stuff will be the first to suffer. Speculators and investors are well aware of it.
The Germans are a great example of a society in lockstep. When recycling started, they suddenly produced so much recycle that the system was overwhelmed. Let’s do Solar? Everybody jumps on board. They are still with the program, but the more lazy Europeans have fallen off.
FWIW, wind power (at least in my neck of the woods) costs only a few percentage points more than conventional electricity.
Sounds viable to me.
If there’s profit to be made, build it.. and they will come.
“If there’s profit to be made, build it.. and they will come.”
It must be why Vestas set up shop here.
Wikipedia has a good page on Vestas, explaining some of the reasoning behind the moves it’s made. It’s not cut-n-dried, but it looks like expansion toward Colorado was combined with reductions elsewhere.
—–
Gimme a place where the wind blows really hard 24/7 and it’ll be cheaper than any other energy source. Or, take a calm, sunny island in the middle of nowhere, and solar will dominate.
But when it comes to powering the vast majority of places which lack such environmental blessings, the low cost of burning natural gas to spin turbine generators can’t be beat… unless they tax and penalize it to encourage alternatives.
“Solyndra Inc. | Green Tech”
Apply a little scrabble, and…Soylent Green.
Soylent Green Tech- Isn’t eating the dead the highest form of recycling? I’m gonna set up the company and see if I can get fronted 500 million dollars, and a mention in the next State of the Union address.
You know we’d be like veal. But you wouldn’t feel as guilty eating it. We’re voluntary veal.
We haven’t had cable in over 5 years, can’t say I miss it one bit.
Cable subscribers flee, but is the Internet or the economy to blame?
NEW YORK (AP) — Cable companies have been losing TV subscribers at an ever faster rate in the last few months, and satellite TV isn’t picking up the slack.
That could be a sign that Internet TV services such as Netflix and Hulu are finally starting to entice people to cancel cable, though company executives are pointing to the weak economy and housing market for now.
Third-quarter results reported Thursday by major cable TV companies show major losses, but don’t settle the question of what’s causing them.
If and when WiMax rolls out nationally or mobile broadband becomes more reliable, say goodbye to cable.
I’ve been using Clear (nee Clearwire) WiMax here in Boise for a couple of years. That and OTA ATSC television and I have no need for cable or satellite service.
Yikes, is there enough WiMax or mobile broadband bandwidth to support all those bits, or are we talking TeeVee on a smartphone screen at 320 x 200 pixels?
Having convinced my wife to drop her AARP membership, I will now begin a campaign to drop our cable subscription. The first argument will be frequent reminders about how many commercials there are now compared to just a couple of years ago.
We may have to keep at least the basic, 20-channel tier because OTA we get all of one channel in this hilly forest environment.
When WiMax (or something like it) hits Tucson, I’m kickin’ my cable Internet to the curb!
say goodbye to cable
Oh, darn…What will happen to those 283 channels of “forced-down-your-throat” religious “hurry-send-us-money” / home shopping “buy-this-now!” / “we’ll-decide-what-you’ll-get” programs?
(Of, course they had a brilliant profit $$$$$$$$ plan,…”you’re-not-worth-our-time-so-stay-on-the-line-or-send-us-an-email” customer service, more crap programs, ever higher prices!)
“Cable subscribers flee, but is the Internet or the economy to blame? ”
Probably both.
Sure you can watch your favoite brain dead sitcom on your laptop, but sports isn’t so fun to watch with your buddies on a 17″ screen. People are giving up watching their favorite socialistic NFL team on their 50″ HD TV for a reason: they’re broke.
A tough choice for J6P, which one to drop? Cable or Internet. I guess internet wins.
I guess flat screen sales are down as the market has become saturated.
The new thin led tv’s are pretty cool.Picked up a 22″ vizio and it only uses 26 watts to run it.It’s great for a home that is off the grid using solar.
I can’t believe how cheap these things have gotten. I rarely buy gadgets but I do work a lot on my home computer for various freelance jobs and went to buy a better monitor. Walked out with a 30″ flatscreen TV that also works as a computer monitor. Its got jacks in the back for everything. I paid $350. A few years ago this would’ve been $1,000.
jetson,
What brand/model was it?
It was a Samsung somethingoranother. Believe it or not its made in Mexico.
“People are giving up watching their favorite socialistic NFL team on their 50″ HD TV for a reason: they’re broke.”
And they are not going to the stadiums to watch their teams play for the same reason.
Tell me about it, combo.
Last month, I went to the University of Michigan Homecoming in Ann Arbor. Hold on to your hats, people, but I saw empty seats in Michigan Stadium.
Somehow the Broncos, even with their horrid records these past few seasons, manage to fill up Invesco every weekend.
Fine with me, cuz as long as they’re no blackouts I can watch them lose on TV!
Same with the Seajerks. Who in thier right mind would sit in a open air stadium in Seattle in November or December to watch a mediocre team in a mediocre division?. I guess about 70K a weekend.
The iteresting one to watch will be the Cowboyz. Can JJ fill a 90K seat stadium with a losing team?
It isn’t that difficult to display your computer screen on the big TV.
True, but will you get the resolution? I’ve wathched Hulu on my 22″ PC monitor and I thought it didn’t look all the great. I can only imagine how fuzzy it would look on a large HD screen.
Heck, I replaced a broken DVD player with a unit that upcoverts DVD output. That made a profound difference on the HD TV.
When I was a kid, cable tv seemed like a dream. A bunch of channels, less commercials because you’re paying, etc.
Now people are paying $100 a month for service full of ads.
especially poor folk.
When I was a kid we had a HUGE antenna in a tree because we didn’t get cable out where we lived in the sticks. A few friends of mine in town had cable and it was always so nice to go over and just be able to watch TV that wasn’t grainy and fuzzy looking. The programming seemed better too: Lots of old WW2 movies, old cartoons, and stuff like that. Now that we have cable its awful. None of the cartoon channels actually play cartoons anymore, none of the travel channels actually travel anywhere ( the shows are all about food now) and the history channel likes to play lots of old man conspiracy shows- like non-stop alien/bigfoot/Elvis type shows.
“None of the cartoon channels actually play cartoons anymore”
Cartoon Network has become an abomination. The ugliest, most unfunny stuff I’ve ever seen. Nevertheless the kiddies lap it up. NickToons isn’t much better.
Yeah- and what’s interesting to me is that just 4-5 years ago they actually had some good new cartoons, like Dexter’s Laboratory, Powerpuff Girls, Ed Ed and Eddy, and a few others. But now its like there’s not even any cartoons to watch. Some sort of teenager live action sitcom or something.
I really, really miss the old Warner Bros cartoons. A lot of those are still pretty damned funny even 70 years later.
You guys are spot on here! CN thoroughly blows now. Just five or six years ago it was much, much better. Why they even had Anime on every night late. No matter, used Anime box sets are cheap nowadays, and even some of their older inhouse stuff is out on DVD too.
Seems a lot of what they show now is produced in Canada (probably because its cheap to get) and it can’t touch the old WB and HB toons.
“No matter, used Anime box sets are cheap nowadays”
Oh yes! I picked up a used copy of Cowboy Bebop last month.
I remember when HBO first started up circa 1978…it was neat, good movies I’d never heard of, mostly, but really enjoyed…with classical music and walks through Central Park in between.
“Now people are paying $100 a month for service full of ads.”
$100? You can get one of the better satellite packages for half that much.
Ever increasing rate hikes, mind numbing reruns and half of your channels are shopping channels might have something to do with.
But let’s blame everything but the quality of service shall we? Can’t have the proles getting uppity and start thinking they deserve something for their money.
The Lowly Dime
In the first Great Depression one of the hit songs was “Brother, Can You Spare a Dime.” You could buy a loaf of bread with a dime, then. You still can…if it’s a dime minted before 1965, although it’ll be a cheap loaf of that fluffy white stuff that passes for bread on some tables. (It’ll take TWO silver dimes to buy a loaf of healthful bread.)
The silver content in a U.S. dime minted prior to 1965 is worth $1.91. If you had told us in the 40s and 50s that the tiny silver coin in our pocket would be worth nearly $2.00 some day we would have thought you’d lost your senses. That was before we caught on to the damaging effect of permanent money inflation.
And now Dr. Bernanke and associates are trying to increase the rate of inflation in order to make the economy more healthy. Pray he doesn’t ignite hyperinflation. If he does that your old silver dime could quickly become worth $20.00 and more.
“The silver content in a U.S. dime minted prior to 1965 is worth $1.91. If you had told us in the 40s and 50s that the tiny silver coin in our pocket would be worth nearly $2.00 some day we would have thought you’d lost your senses. ”
Talked to a jeweler on Wednesday in Pacific Grove. He told me that the elderly are bringing in pieces of sterling silverware at the start of each month to help pay the rent. How times have changed! How long before they have used up all their assets and what is in their future?
If some people around here have their way, kicked to curb to die alone is what is in their future.
I guess there isn’t enough of that already.
Geez what are people paying for bread nowadays? Fred Meyer puts their wheat-berry bread up on sale for $1.25 for a 24 oz. loaf ever other week. No HFCS in it either.
There seems to be a big price disparity in groceries around the country.
Our local Kroger sells the dense “fancy” stuff (Oatmeal Nut, 7 Grain, etc) for $2 and the white fluffy stuff for $1.
WINCO, the low price guys in the west regualarly sell white or wheat for $.48. They are crushing the independents.
Rye bread is $2 for the store brand and $3.79 for everything else. Don’t get me started on artisan breads at Whole Paycheck.
They have a baker at the farmer’s market but I don’t go. As far as I know, they aren’t growing their own wheat, so why bother? I figure I can make my own bread.
We pay $1.97 for a loaf of whole grain Wonder Bread at our local Wal-Mart. Its probably 25-40 cents more at the supermarket.
In Rio, a loaf of white bread is $1.20 at today’s weakened US dollar exchange rate.
$2+ for plain white. All stores.
You got it backwards Barry, your message got through loud and clear!
Obama acknowledges his message didn’t get through
WASHINGTON(AP) – President Barack Obama is acknowledging in the wake of this week’s election rout that he hasn’t been able to successfully promote his economic-rescue message to anxious Americans.
Obama says in an interview with CBS’s “60 Minutes” that he “stopped paying attention” to the leadership style he displayed during his run for the presidency.
Obama also said he recognizes now that “leadership is not just legislation,” and that “it’s a matter of persuading people. And giving them confidence and bringing them together. And setting a tone. And making an argument that people can understand.”
obama is more interested in a trip to asia to flex some muscle.
I hope he gets the runs so bad he has to wear diapers that interfere with his pimp-walk.
When I hear Obama speak like this I can’t help but remember that Bush NEVER ever admitted to any mistake, nor even hinted that perhaps he and his administration might have gotten a few things wrong. Obama has some real humility here. That should be respected.
He’s “humble” over the fact that he didn’t try hard enough to sell America a s**t sandwich.
Obama only talks but he will not act.
Didn’t Bush fire Rumsfeld the next day after the 2006 election?
Talks but doesn’t act? Obama has gotten more done than perhaps any President in the last 30 years. The sad reality is that Americans would rather have politicians that sit around and talk about doing something but do nothing.
Jesus, you really need to get your head out of his a**. Seriously! That’s an OK argument if you are a paid democratic operative. Anyone else with an ounce of brain, come on let’s be honset.
I’m not taking sides here. I certainly don’t prescribe steadfastly to party ideology of either party because neither actually live up to their own supposed values. But I do commend Obama for at least showing some humility which I find highly respectable regardless of where they come from. I don’t seem to recall Bush ever doing that. That’s all. Peace.
“Talks but doesn’t act? Obama has gotten more done than perhaps any President in the last 30 years”.
ROLTLMFAO! More done? Please lay out the list for all to read.
Political commentary on blogs are utterly pointless affairs and I should have known better than to indulge. We obviously have differing opinions and I’m obviously not going to change your opinion and you’re not going to change mine. So let’s just leave it at that and respect our differences. Agreed?
But I do commend Obama for at least … Engaging our Nations citizens in a PUBLIC discourse, and not arresting attending audience people who show up with a “TrueBeliever’s™ / “TrueDeceiver’s™” / “TrueHypocrite™” / “TruePurity™” bumper sticker on their car.
100,000 troops are home from Iraq.
Somalian pirates who took an American hostage were killed by crackshot Navy Seals.
A friend’s kid — who may not be able to find a job because of the last 30 years of corporate whoreship — can at least get health insurance until he’s 26.
Credit cards are no longer allowed to hike interest rates on current balances (yes the CC’s hiked up rates before the law took effect, but they can’t do it again).
Europe no longer sneers at Americans (as much).
The White House has a garden again, and will probably get solar panels again.
Renewable energy is coming back from the dead.
Somebody gave money to Metro to fix a breaking system. It’s annoying on weekends but it will prevent more crashes.
There are more border control agents on the Mexican border (more needs to be done here).
US gov just prevented mail bombs from reaching US targets.
Obama’s pocket veto of hr3808 earned a small amount of respect from me. I suspect Bush would have signed it.
ROLTLMFAO! More done? Please lay out the list for all to read.
The Case for Obama
“The charges are familiar: He’s a compromiser who hasn’t stood up to the GOP or Wall Street. But a look at his record reveals something even more startling — a truly historic presidency“
For those with not enough time to make it through the whole article - a partial list:
“Less than halfway through his first term, Obama has compiled a remarkable track record. As president, he has rewritten America’s social contract to make health care accessible for all citizens. He has brought 100,000 troops home from war and forged a once-unthinkable consensus around the endgame for the Bush administration’s $3 trillion blunder in Iraq. He has secured sweeping financial reforms that elevate the rights of consumers over Wall Street bankers and give regulators powerful new tools to prevent another collapse. And most important of all, he has achieved all of this while moving boldly to ward off another Great Depression and put the country back on a halting path to recovery. “
As president, he has rewritten America’s social contract to make health care accessible for all citizens.
A big !#&*#@$ deal.
Attempted but failed since Harry Truman.
No matter what party you are. Face reality.
Jesus, you really need to get your head out of his a**. Seriously! That’s an OK argument if you are a paid democratic operative. Anyone else with an ounce of brain, come on let’s be honset.
Wow. That’s a persuasive argument you present there, butters. Are you a professional logician?
Good find lavi d.
I’m not a big fan of the Dems, but I’m sick of the Repub lies and when they voted against jobs, it was the last straw. Maybe it’s just me, (and apparently it is) but I have a big problem with traitors.
Rummy may have been fired, but he kept an office in the Pentagon up until Obama arrived in town.
Old east coast money adage: Never complain, never explain.
Why don’t you go to Mumbai with him and tell him what a great job you think he is doing?
Why don’t you go to Mumbai with him and tell him what a great job you think he is doing?
That’s tellin’ um!
Great idea! Maybe I can see what those tax breaks for offshored jobs the Repubs voted to extend, look like.
Sound of a one string banjo.
Ron Paul vows renewed Fed audit push next year.
WASHINGTON (Reuters) - Republican Representative Ron Paul on Thursday said he will push to examine the Federal Reserve’s monetary policy decisions if he takes control of the congressional subcommittee that oversees the central bank as expected in January.
“I think they’re way too independent. They just shouldn’t have this power,” Paul, a longtime Fed critic, said in an interview with Reuters. “Up until recently it has been modest but now it’s totally out of control.”
Will Redistricting Be a Bloodbath for Democrats?
Republicans See Historic Victories; Gain Control of At Least 19 Democratic-Held State Legislatures
Republicans gained a historic edge over Democrats in state legislature elections that will have national implications for years to come.
State legislatures in 44 states are responsible for one of the most important political processes: drawing district boundaries for the U.S. House of Representatives.
In a process that usually triggers partisan bickering, the reigning party usually has the upper hand, especially if the governor is also from the same party and cannot veto the legislature’s decisions.
Republicans took control of at least 19 Democratic-controlled state legislatures Tuesday and gained more than 650 seats, according to the National Conference of State Legislatures. The last time Republicans saw such victories was in 1994, when they captured control of 20 state legislatures.
Republicans haven’t controlled as many state legislatures since 1928.
Election nearly wipes out white Southern Democrats
WASHINGTON (AP) - The white Southern Democrat - endangered since the 1960s civil rights era - is sliding nearer to extinction.
After this week’s elections, the Democratic Party barely holds a presence in the region outside of majority-black urban areas such as Atlanta and Memphis. The carnage for the party was particularly brutal in the Deep South, where just one white Democrat survived across Louisiana, Mississippi, Alabama, Georgia and South Carolina.
The Republicans’ effort to win over the South, rooted decades ago in a strategy to capitalize on white voters’ resentment of desegregation, is all but complete.
“Right now in most of Dixie it is culturally unacceptable to be a Democrat. It’s a damn shame, but that’s the way it is,” said Dave “Mudcat” Saunders, a campaign strategist for conservative Democrats such as Jim Webb of Virginia, one of the few remaining Southern Democratic senators.
The losses were particularly disappointing for the party after the baby steps it made in the South in 2006 and 2008, when it picked up a host of Republican-leaning House districts and won Senate seats in North Carolina and Virginia. Many thought the party had learned its lessons and had begun to reverse recent history by nominating conservative candidates who hit the right notes on divisive social issues such as abortion and smaller government.
None of it mattered Tuesday.
Virginia is no longer southern.
The Dixiecrats have been in exile since the 1948 presidential election. Truman won without either them or the Henry Wallace “progressives”.
The change was only in name only. Democrats in the South used to be the conservative party.
Elbridge Gerry, call your office.
The Republicans’ effort to win over the South, rooted decades ago in a strategy to capitalize on white voters’ resentment of desegregation, is all but complete.
And that resentment is still very much alive and well. Hate to say it, but I saw quite a bit of it during my post-Katrina reconstruction trips to MS.
Sad thing about it was that the black people I met — and did reconstruction work for — were some of the sweetest Americans I’ve met anywhere.
Mudcat?
The “TrueCEOProfits™” Repubicans’ effort to win over the South, rooted decades ago in a strategy to capitalize on white
voters’low income workers resentment ofdesegregationNorthern Union Auto workers, is all but complete.Republicans haven’t controlled as many state legislatures since 1928.
How did that work out?
Republicans haven’t controlled as many state legislatures since 1928?
Hmmm, I wonder why…
It will be a bloodbath for the middle class. But at this point, they get what they deserve.
When you give more power to the party that voted to keep sending your jobs offshore, you really do need a clue-by-four.
Associated Press buys into the fraudulent statistics because they are such necessary propaganda for our times:
“WASHINGTON (AP) — The economy generated a net gain in jobs for the first time in five months in October, as businesses stepped up their painfully slow pace of hiring.
But the unemployment rate, measured by a separate survey of households, remained stuck at 9.6 percent for the third straight month.
The Labor Department said Friday its survey of employers showed a net gain of 151,000 jobs last month, the first increase since May. Private employers hired 159,000 workers, the best since April.
Economists welcomed the report, which showed much stronger job gains than Wall Street analysts had expected.
“This is not a gangbusters report but it is very important,” said Carl Riccadonna, an economist at Deutsche Bank. “It shows us that the momentum in employment is building.”
Employers also extended the average work week to 34.3 hours, up by one-tenth. The additional jobs and longer work week should boost Americans’ incomes and provide fuel for more consumer spending, which drives about 70 percent of the economy.”
What is so WRONG about this report is that there are no “added jobs.” Some people in a closed room decided that it would look good to print it. The number is made up out of thin air. Who actually believes this BS anyway???
Since housing related industries are not hiring or expanding, i tell ya what i think is happening here..
The economy is slowly ostracizing the housing industry, while it grows in other directions.
Eventually, housing’s contribution will matter far less to the economy than it usually does, and a point will be reached where RE can be safely amputated.. whereupon home prices can free-fall without great consequence.
There was a time when housing was reactive to what was happening elsewhere in the economy. It was not an economic driver.
people who wear tinfoil hats.
“this BS anyway???”
BLS
the bureau of lies and statistics
Simply having “bureau” in the title of any orgainzation completely destroys any credibility.
“The economy generated a net gain in jobs for the first time in five months in October, as businesses stepped up their painfully slow pace of hiring.
But the unemployment rate, measured by a separate survey of households, remained stuck at 9.6 percent for the third straight month.”
Ministry of Truth Alert!
Take it from the man who took on the unpleasant task of wresting U.S. inflation under control in the 1979-1982 episode. At least back then, American households had savings to fall back on when interest rates went crushingly high.
Volcker warns of inflation from quantitative easing
05:55 AM Nov 03, 2010
Former United States Federal Reserve chairman Paul Volcker, an adviser to President Barack Obama, said quantitative easing may lead to inflation in the future and the amount involved may be a cause for concern.
“When money is too easy for too long, we will have more” asset bubbles, Mr Volcker, 83, said in Singapore yesterday.
He was commenting as Fed policymakers prepared to meet yesterday and today in Washington amid concern US economic growth is not strong enough to reduce an unemployment rate close to 10 per cent.
…
I think they are trying to get the housing market off life support but in return a creating a stock bubble.Easy credit and margin are encouraging borrowing at cheap rates and gambleing at the casino.
“…in return are creating a stock bubble.”
That’s why I’m saving up for my down payment in the stock market.
Are you one of the folks who follows the LILO (last in last out) investing model?
I follow the “last out of the burning theater gets burned” model.
Remember, they aren’t making any decent return on savings any more! Don’t be priced out forever!
In the early part of the decade they lowered rates to overcome the dot.com bubble bursting and it created a housing bubble. Now they’re lowering rates to counteract the housing bust and it’s creating a stock bubble. See the pattern?
Give the man a prize!
For bonus points, what 2 other things came before the dot com bubble?
Did the FOMC have wind of this favorable employment report as they went forward with QE2?
Economy Gained 151,000 Jobs In October
08:51 am
November 5, 2010
by JJ Sutherland
In a better than expected unemployment report, the Bureau of Labor Statistics says that private employers created 159,000 jobs last month, while government payrolls fell 8,000. The unemployment rate remained unchanged at 9.6%. The report far outperformed expectations, economists had predicted about a 60,000 net increase in employment. The report is the best in five months.
…
Have you seen anybody get a job lately? Not sure who is being hired.Illegals are off the grid workers.
3 people have recently left my department for other jobs. One realized immediately that his new employer painted a very inaccurate picture, so he subsequently found another job within a couple of weeks.
So, 4 new jobs for those 3 people in the past month.
A retired friend of mine often takes temp jobs, and the agency has kept her busier lately than she was all spring and summer. Still, these are low paying no-benefits jobs - not the kind that pays a mortgage. Another friend does transcription work, and there is still nothing coming in for her.
Only 14,149,000 more to go!
Is oil portending inflation or simply pricing in a deliberate one-shot devaluation of the currency?
Hard to say at this point…
the saudi price is trying to recoup his losses in citi.
You would think that prince would be tired of US investments after he got his ass handed to him like that. I read he is interested in the new GM ipo.
Have you ever been to Vegas?? or any casino??
People say there can’t be inflation without wage increases. Can’t devaluation of the currency cause inflation all on its own?
Economics confuses me.
Lately we have seen inflation in commodities and stocks. There doesnt appear to be any wage increases out there. Easy borrowing is creating inflation in certain asset classes.Dont think there is any infaltion in lumber right now.
The wage inflation is occuring where the most jobs are: Overseas. It cannot occur here, there are no jobs - what are they going to do, raise food stamps and UE benefits? You can bet from the reports of increased gasoline useage alone that wages are steadily increasing in China and India. Globalization is a bitch.
Currency devaluation can cause rising prices but if there is no money to buy then some things won’t get sold.
Price an item any price you want; It doesn’t matter what the price is if there is no money to buy.
Inflation for things we need, deflation for things we want. If there is not money for both then things we need will be bought and things we want won’t be bought.
Buy what we need, don’t buy what we want, the inflation statistics will even out all the same.
“One of the key things here is a weaker dollar has traditionally not been inflationary because Asian exporters like to absorb the higher cost of doing business,” Merk said. “There comes a breaking point when Asian exporters can no longer absorb that higher cost of doing business. They’ll raise prices and guess what? They will stick.”
http://www.cnbc.com/id/40007252
I suspect many of them hedge, but at somepoint that hedge runs out.
“Can’t devaluation of the currency cause inflation all on its own?”
It’s best to think of inflation as pressure as apposed to a movement. Creating more money might create pressure on all prices to go up, but other factors can overide it. The surplus of labour can, and will, be able to offset inflationary pressure for some time to come.
Also, most economic theory is based on a ‘closed economy.’ Measuring inflationary pressures in an open economy where foreign economies, labour forces and currencies have an effect becomes extremely difficult.
My guess for the future? Increased demand for food, energy and materials, combined with speculation and supply issues will see prices rising. Wages, due to excess supply, won’t be similarily affected. It’s a little gloomy outside today.
“My guess for the future? Increased demand for food, energy and materials, combined with speculation and supply issues will see prices rising. Wages, due to excess supply, won’t be similarily affected”
Your guess is wrong. It’s the same scenario as rising home prices without rising incomes. It may happen in the short term, but prices of goods/services that are consumed by everyone cannot increase faster than incomes in the long term.
We may have some spikes like we did when gas went to $4 for a few months. But eventually prices comes crashing back down, just like gas did.
but prices of goods/services that are consumed by everyone cannot increase faster than incomes in the long term.
They can if the rest of the world has rising dollar equivalent incomes. You might want to take a trip to Zimbabwe to test that theory out.
That’s right, we are already bidding against foreigners for the food that is grown in the USA. It will only get worse as the dollar depreciates even more.
Yup, Eddie is falling into the ‘closed economy assumption’ trap. Which I just discussed.
See here is where you guys go off the deep end with comparisons between Zimbabwe and the USA. Zimbabwe is ruled by a communist man who was born in Africa and destroyed a once prosperous country by implementing his policies. The US is ruled by a man who….
Hmmm. Maybe you guys are on to something here.
In the early 1930’s, Stalin exported most of the wheat crop from the Ukraine. He got a better price selling to foreigners than to the Ukrainians themselves. Plus his efforts were good at his long-term goal of stamping out Ukrainian nationalism.
IIRC about 5 million Ukrainians starved to death.
Your “theory” does not apply to the richest country in the world with 310 million citizens and a really, really big army.
You’re falling into the assumption that every nation has the same influence and that Zimbabwe and the USA are equal in their economic influence over prices.
When 300 million of the richest people on earth can’t afford to buy food, who do you propose will buy it instead at such a high price? Answer: NOBODY
That’s the difference between Zimbabwe and us. Think it though and you’ll see it all makes sense in the end.
Your guess is wrong. It’s the same scenario as rising home prices without rising incomes. It may happen in the short term, but prices of goods/services that are consumed by everyone cannot increase faster than incomes in the long term.
“TrueHaskell™” it’s not about short-term, nor increase -vs- long-term
It’s about “Extraction” over ANY time frame.
File under: Wall St. doing “God’s work”… “quietly”:
Homes= Wall St. manipulation/extraction scheme (Large $ denominations)Currently:
Oil/Energy = Wall St. manipulation/extraction scheme (small $ denominations)
Coming Soon:
Food = Wall St. manipulation/extraction scheme (small $ denominations)
It may happen in the short term, but prices of goods/services that are consumed by everyone cannot increase faster than incomes in the long term.
As mentioned prices can rise for these items in a global economy. It will just leave less money for other things and there will be substitution and changed behaviors and a decline in living standards.
but prices of goods/services that are consumed by everyone cannot increase faster than incomes in the long term.”
I bet taxes can increase faster than incomes
“Can’t devaluation of the currency cause inflation all on its own?”
A little Gedankexperiment might help: Suppose the Fed had announced $600 t in QE2 instead of $600 bn.
1) Would wage increases automatically happen for those with dollar-denominated pay checks?
2) Would (dollar-denominated) oil prices automatically increase?
3) Which of 1) and 2) would happen first?
1) Bwhahahahaha — no
2) Oh yes baby
3) #2
If the Fed had announced a $600 T QE2, then all of our trading partners, especially China, would have laughed convulsively until they expired. This would leave the US in the position it held right after WWII, i.e. the only country with a functioning industrial base.
Gee, maybe that would work.
Don’t suggest it, unless you are hoping they will try this.
CNN money
September 8, 2010
FORTUNE — In May, less than a month after the blowout of the Deepwater Horizon oil rig in the Gulf of Mexico, a key milestone was achieved with little notice: Total U.S. supplies of petroleum and products refined from it (including the Strategic Petroleum Reserve) surpassed 1.8 billion barrels, reaching the highest level in the last 20 years.
Since then the total has continued to edge upward, hitting 1.87 billion barrels in the week ended August 27, according to the Energy Information Administration…
Speculators can so easily pervert futures prices that the oil market is hardly worthy of notice.. unless you’re part of the market.
Damn joey! Right again! That’s twice in 2 days!
Oil:
Supply……+(Wall St. Manipulation)-…..Demand = “TruePrice™”
The price of oil has nothing to do with reality. It is a traded commodity subject to gaming, pumping and dumping and other sleazy machinations.
while in Canada http://www.greaterfool.ca is down.
a couple of weeks ago it got taken down, this time it’s down again, I don’t even get an IP.
greaterfool is run by Garth Turner a former MP (Member of Parliament) who was booted out of caucas and decided to run his own blog which talks about housing in Canada
maybe it’s another stuxnet?
One of my daily reads, and I see your comments there.
Garth will have to harden his bunker a bit more.
Have you noticed Garth is starting to accept the darker predictions of some of the posters? It used to be all “the economy is going to soar (while housing crashes) so you better have my diversified portfolio.” Now it’s “the economy is in trouble, so you better have my diversified portfolio.”
Who knows, a little more prodding he might even turn gold bug.
cute…
http://www.youtube.com/watch?v=rnpuEx6bzy4
40% of Americans cutting Thanksgiving fat
NEW YORK (CNNMoney.com) — Forget that second helping of pumpkin pie. With the economy still struggling American families are planning to scale back their Thanksgiving celebrations this year.
This year nearly 40% of families will change their Thanksgiving plans for economic reasons, according to a survey by First Command Financial Services. The biggest change will be in the number of people coming to dinner: 20% say they will opt for a family-only affair.
“People are looking at areas in their life where they do have some control over the spending and Thanksgiving is one of those areas where people can go overboard,” said household savings expert Jeanette Pavini.
Hmmm… how much can you really spend on the dinner if you do it at home? The Turkeys are cheap. I guess you could scale back on the wine and fancy desserts (stick with the grocery store pies?).
Now Christmas is an event where spending can really spiral out of control.
I’m pretty sure food stamps cover an entire Thanksgiving dinner.
As a matter of fact, they do.
“20% say they will opt for a family-only affair”
My Mom’s family is very old New England coast. Her family did Thanksgiving and we went back and forth between our home and my aunts. For a few years we had five generations in attendance. It was not unaffordable as everyone was expected to contribute. If my Mom hosted she put out $$$$ for the turkey, the potatos and beans. We had 3 church tables full of food but the weight of spending was not left to a single person/couple. We rotated washing the dishes afterward. The men pitched in too. Those over the sink conversations made for some nice bonding experiences.
People may feel uncomfortable now asking guests to revert back to this but it will happen.
I’m one of those single, unattached people. Which means that, when it comes to Thanksgiving, I’m looked upon as an object of pity.
Well, a few years ago, I decided to throw a monkey wrench in that gig and start having fun on TG. Recent TGs have featured:
1. A housewarming party right after I moved into the Arizona Slim Ranch. A friend/neighbor brought a bottle of champagne. I drank most of it. Ended up spending the afternoon sitting in my largely unfurnished living room, giggling my head off.
2. Doing a ride-along with a Tucson police officer. Slow policing day, but a very interesting cop was my tour guide around Tucson as I’ve never seen it before.
3. Having a veiled Muslim friend over for a Malaysian meal.
4. Joining a friend at a restaurant. She was without a companion for the Thanksgiving meal, what with her only child being with his father (her ex-husband) for the day.
Then traveling for Thanksgiving should also take a hit.
Maybe this will unclogged the airports?
Back in late summer we mulled over the idea of traveling to New England for Thanksgiving this year, but the airplane tickets were too high. When I checked fares again late September or so, they were half of what they had been a month or two earlier.
My husband travels some and reports that planes are full. Still, if our experience is any indication, the “demand” over Thanksgiving was either very low this year, or folks waited until the last minute to book since they couldn’t come up with the money any earlier.
Once again there is the real world and the imaginary HBB world.
Seattle to Boston leaving on Wed and coming back Sunday is running from $657 to $1128 on orbitz.
How about Chicago to Boston? $352 to $602.
Dallas to Boston? $653 to $1044
Denver to Boston? $584 to $836
Looks like demand is holding up just fine to holiday travel. Maybe it’s cheap if you’re doing NY to Boston or Philly to Boston since driving is an alternative. But if you want to get there from somewhere far away, you’re going to pay through the nose to do so.
Ticket prices can change on a whim. Kim said she checked prices in September. Now as TDay approaches I would expect prices to rise, especially if the earlier discounts sold seats.
Chicago to Boston was running about $300 when I checked in September, so a $50 increase for “last minute” bookings doesn’t seem too bad.
Anyway, we’re staying put. My parents decided to use airline miles to come visit us for an “early” Thanksgiving. So the airlines sold two tickets instead of three. Does that count as “cutting fat”?
‘Once again there is the real world and the imaginary HBB world…Looks like demand is holding up just fine to holiday travel’
‘Zimbabwe is ruled by a communist man who was born in Africa and destroyed a once prosperous country by implementing his policies. The US is ruled by a man who….Hmmm. Maybe you guys are on to something here’
You’re posts go back and forth from ‘everythings great’ to ‘Obama has ruined the country.’
So which is it?
Oh, and feel free to quit posting on this imaginary world any time.
Let’s not leave out that the planes are full because the airlines are doing their best to max their efficiency wrt fuel use and filled seats. Many flights that a few years ago would have been on 757s are now on 737s, former 737 flights are now using Canadair and Embraer regional jets and even turbos.
The carriers have really tightened up. I strongly suspect that if you counted total seats booked, the number would be getting smaller year by year.
The carriers have really tightened up. I strongly suspect that if you counted total seats booked, the number would be getting smaller year by year.
I’ve noticed the tightening up part. Took a trip to OH in late July. Lots of empty seats and un-busy airports.
OTOH, last month’s trip to MI was quite different. Full planes on each of the four flights that I took. And all four airports were bustling too.
This has been in the news for the last month. Good reminder, LA Wallflower.
Borrowing cost going higher ?
The great bond bull market, stretching back almost three decades, is over. So declares the Bond King, aka Bill Gross, the co-chief investment officer of Pimco, the world’s biggest fixed-income manager (as discussed by Alan Abelson in the current print edition of Barron’s.)
As the Federal Reserve is poised to buy up to $900 billion of Treasuries through mid-2011, corporate treasurers took this as a signal to issue bonds by the truckloads, strongly implying they think borrowing costs are going higher in the future.
Whitewater closing leaves 116 out of work
November 5, 2010
WHITEWATER–A Whitewater credit collections agency says the government takeover of student loans and ailing financial market contributed to its closure this week, leaving 116 people out of work.
Sallie Mae in Whitewater closed Monday, marking the second major layoff in the city over the last month. In early October, Trostel Ltd., which designs and manufactures custom seals and molded rubber products, announced 87 permanent layoffs beginning in December.
I wonder if that’s what happened to Asset Acceptance, too. They had layoffs on Chicago. It seemed odd to me, because I would have expected collections to be booming in bad times.
“… I would have expected collections to be booming in bad times.”
Collectors cannot collect what people don’t have.
Uhm, times are bad because people have… no money?
I’ve tried to collect on “nothing”. Didn’t work to well.
Labor Force Participation Rate Drops To 25 Year Low, At 64.5%
~Tyler Durden’s
The inverse silver lining to today’s jobs report that will be lost in the shuffle of what is perceived as a good NFP (despite consistent initial jobless claims of around 450K, which means that either there is a massive data error, or the rate of job creation has somehow surged) is that labor force participation has now dropped to the lowest rate it has been since 1984, at 64.5%.
Assuming a reversion to the long-term average participation rate of 66%, means that the civilian labor force is in reality 157.4 million as opposed to the disclosed 153.9 million, a delta of 3.5 million currently unaccounted for.
Maybe someone can ask the president during his imminent press conference what happened to the unemployed population, which would have been 18.3 if this labor force delta was incorporated, resulting in an unemployment rate of 11.6%.
Were illegals counted in that participation rate? Are still being counted now as being in the labor force when millions have gone home? If so the % is not as low as it would appear.
So far as I can tell, they were the first to lose their jobs in North SD County. A huge number of them worked on home construction crews five years back, but that ended.
Same in Texas.
See, the BOJ knows how to get an economy going again…
Bank of Japan details asset-buying plans
Shirakawa: U.S., Japan not in a ‘monetary-easing competition’
TOKYO (MarketWatch) — The Bank of Japan decided Friday to hold interest rates steady, as widely expected, and released details of assets to be purchased through its latest liquidity-boosting scheme.
Fed’s decision to buy treasury bonds taboo?
The Fed’s decision to buy as much as $900 billion of Treasury bonds over the next 8 months has many people worried.
The policy board decided by unanimous vote at its two-day meeting to keep the overnight call rate in a range of zero to 0.1%.
The BOJ said in a statement that Japan’s economy “still shows signs of a moderate recovery, but the recovery seems to be pausing.”
Pending Sales of U.S. Existing Homes Fell 1.8% in September
By Courtney Schlisserman - Nov 5, 2010 9:30 AM PT
Pending sales of U.S. existing homes unexpectedly declined in September, a sign the housing market will take a long time to mend.
The National Association of Realtors’ index of pending home resales dropped 1.8 percent after a revised 4.4 percent gain the prior month. Compared with the same month a year ago, pending sales were down 25 percent. Moratoriums on foreclosure and stricter lending are limiting progress, the group said.
…
And yet it was reported a couple weeks ago that housing starts increased in October.
Homebuilders are whacked.
I was tempted to stop and take some photos of new construction along my morning commute route today, but had no camera in the car.
Rescuing the banks while throwing the U.S. economy under the bus — very good interview on “Democracy Now.” Link:
New $600B Fed Stimulus Fuels Fears of US Currency War
A closely-watched pot never boils over.
Every American should watch that or read that interview.
Truth be told, I usually turn off the radio and play music during the “Democracy Now” hour. But this interview really snagged my ear and kept my radio glued to KXCI.
Do you think this sounds like the first warning shot of a trade war
The head of Russia’s consumer protection watchdog, Rospotrebnadzor, on Wednesday told Reuters in Moscow the country will ban sales and processing of deep-frozen poultry meat from Jan. 1, both domestic and imported, because freezing hurts the quality of the meat.
The U.S. Agriculture Department criticized the ban, while the U.S. chicken industry was trying to get details on the action.
“There is no scientific basis or food safety rationale for this ban. Freezing is a long used, internationally accepted method of securing the safety of food products, including poultry and poultry products,” a USDA spokeswoman said.
It sounds to me like Russia wants to protect it’s poultry producers from competion given the collapsing dollar. Time to wake up BEN this is only going to get worse.
A bit like cutting off the nose to spite the face, no? A ban on freezing will hamper their domestic production and distribution too.
I suspect the benefit will out way the loss. Russia is not a chicken exporter thus if they can stop frozen imports then locally grown refrigerated will be the only game in town.
A ban on freezing will hamper their domestic production and distribution too.
Russia is playing chicken.
The head of Russia’s consumer protection watchdog, Rospotrebnadzor, on Wednesday told Reuters in Moscow the country will ban sales and processing of deep-frozen poultry meat from Jan. 1, both domestic and imported, because freezing hurts the quality of the meat.
Hurts the quality of the meat? In one of the coldest places on earth, where people probably set meat outside to keep it frozen during the winter?
I don’t blame them. Where do you think “rubber chicken” comes from?
I HATE rubber chicken. And dry chicken. But dry rubber chicken? Game over.
Banks make lousy neighbors. Story:
Tax the Deadbeats, Tax the Banksters
Key points:
If property values are falling because the properties are falling into disrepair, that’s partly the fault of the banks.
If property values are going down because no one is mowing lawns and preventing squatters, then that’s partly because banks are deadbeat neighbors who are not paying for the upkeep on the houses they own.
Since inflation is supposed to save our economy, here’s something to think about:
If incomes are flat (that’s if we are lucky) then inflation will force prices up for things that we need. But that means less dollars will be left over (after buying things we need) for us to buy things that we want. This means prices for things that we want will go into decline.
Needs are first in line to be bought, wants are last in line to be bought. Prices for needs go up, prices for wants go down.
But just how many things that we buy are really things that we need? Not many, I would guess, not when you get down to the raw definition of the term “need”.
So if wants are to be cut back then JOBS associated with providing products and services to fill these wants are also going to be cut back. How many jobs are going to be cut back when this wonderful inflation arrives full-force on the scene? I’ll bet a LOT of them will be.
But just how many things that we buy are really things that we need? Not many, I would guess, not when you get down to the raw definition of the term “need”.
Not too long ago, I cruised my eyes through Elizabeth Warren and Amelia Warren Tyagi’s book, All Your Worth.
One of the things that immediately bopped me over the head was the authors’ insistence on differentiating between wants and needs. Turns out that a lot of the things we think we need are nothing more than wants.
Boy, does that ever help you stop the silly spending cold.
“Boy, does that ever help you stop the silly spending cold.”
Much of our seventy-one percent consumer-based economy runs on this silly spending.
That’s what I can’t understand
There are two conclusions that can be drawn
1. They think that dropping consumption of manufactured goods and more importantly services will be more than compensated by the jobs created by exports. Unlikey in my book
2. They know they are going to crash the system with rising unemployment and they don’t care. Once the banks are flush with cash they can buy up America farms buildings business for pennies on the dollar.
3. Bernanke thinks it will work. Bernanke studied the Great Depression, was awarded his Phd due to his G.D. studies. His thinking today is LOCKED INTO solutions that he believes might have worked in the Thirties, which boils down to:
Get money out of mattressess and into the hands of consumers and the consumers will spend it, and this spending will create jobs right here in the Good Old U.S.A.
Etc.
However, this is not the Thirties…
Paul Krugman just said that there has been no increase in government spending. I saw this on PBS’s News Hour tonight.
Can that possibly be true? What about TARP? What about QE1 and QE2? What about the massive jump in the yearly deficit, from x hundred billion to over 1 trillion?
Evidently, Krugman considers that stuff “special emergency spending”… not discretionary spending.
Discretionary spending is a spending category about which government planners can make choices.[1] See Government spending. It refers to spending set on a yearly basis by decision of Congress and is part of fiscal policy. This spending is optional, in contrast to entitlement programs for which funding is mandatory. wiki
So, his argument is that nobody spent any more than they were forced to spend.
You have to shift through noise and spin, but google “US deficit less than previous year”
While still high, it’s $122 billion LESS than last year.
And now for more “It’s Not the Money, It’s the Attitude”
vaildaily com
EAGLE, Colorado — A financial manager for wealthy clients will not face felony charges for a hit-and-run because it could jeopardize his job, prosecutors said Thursday.
Martin Joel Erzinger, 52, faces two misdemeanor traffic charges stemming from a July 3 incident when he allegedly hit bicyclist Dr. Steven Milo from behind then sped away, according to court documents.
Milo and his attorney, Harold Haddon, are livid about the prosecution’s decision to drop the felony charge. They filed their objection Wednesday afternoon, the day after prosecutors notified Haddon’s office by fax of their decision.