Bits Bucket for September 7, 2011
Post off-topic ideas, links, and Craigslist finds here.
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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Obama to propose $300 billion to jump-start jobs
WASHINGTON (AP) — The economy weak and the public seething, President Barack Obama is expected to propose $300 billion in tax cuts and federal spending Thursday night to get Americans working again. Republicans offered Tuesday to compromise with him on jobs — but also assailed his plans in advance of his prime-time speech.
In effect, Obama will be hitting cleanup on a shortened holiday week, with Republican White House contender Mitt Romney releasing his jobs proposals on Tuesday and front-running Texas Gov. Rick Perry hoping to join his presidential rivals Wednesday evening on a nationally televised debate stage for the first time.
Lawmakers began returning to the Capitol to tackle legislation on jobs and federal deficits in an unforgiving political season spiced by the 2012 presidential campaign.
Adding to the mix: A bipartisan congressional committee is slated to hold its first public meeting on Thursday as it embarks on a quest for deficit cuts of $1.2 trillion or more over a decade. If there is no agreement, automatic spending cuts will take effect, a prospect that lawmakers in both parties have said they would like to avoid.
According to people familiar with the White House deliberations, two of the biggest measures in the president’s proposals for 2012 are expected to be a one-year extension of a payroll tax cut for workers and an extension of expiring jobless benefits. Together those two would total about $170 billion.
The people spoke on the condition of anonymity because the plan was still being finalized and some proposals could still be subject to change.
They just can’t look beyond the debt based economy, can they?
That is correct! They can’t and they won’t.
OTOH, *we* can look beyond the debt-based economy. And sooner or later, *they* will pay attention.
If the people lead, the leaders will follow.
No they will not. They refuse to.
The only way to fix this is to remove those people and replace them with people who can.
Debt is seen as a non inflationary way of introducing new currency. The power of the AARP and as a group social security and pension recipients ensures that the PTB will fight inflation at any and all costs.
The result is what I like to call a pressure cooker economy, blowing giant bubbles left right and center.
Here in Tucson, one of my blogging buddies just wrote a post about creating jobs. Key quote:
The way to grow jobs– and help small businesses– in Tucson isn’t to give tax breaks to relocating corporations or to excuse fees levied on existing business; it’s to invest in businesses that are “born and raised” in Tucson — like Gadabout, Bohemia, Patio Pools, Technicians for Sustainability, Nimbus Brewery, Thunder Canyon Brewery, eegees, etc. Instead of spending $1 million to bring in another call center or baseball team, why not offer 50 – 100 individual $10-20,000 low-cost loans or grants to different local businesses with innovative ideas or well-crafted business expansion plans? (I’m talking real plans– not just “Hey, if we give you a $5000 tax credit, could you maybe hire someone someday?”)
To which I say:
I think the above is worth considering. Because in my “other life” as a community organizer, I’m seeing a lot of innovation in the small business startup sphere.
Right now, I’m working on a one-day bicycling event that will happen on October 1st. I’ve been dealing with several new local businesses, and I’ve been quite impressed by their energy and enthusiasm.
So, here’s an investment tip for everyone: Think local. It’s where the most action and innovation will be for the foreseeable future.
Taxpayers as venture capitalists/investment bankers?
Slim:
I want somebody to adress the fact that i have 2 job offers yesterday yet niether of tham will pay any $$$$. Either one will make my resume look better but how do I pay the bills if I dont live with my mom or deal drugs?
Ask that of ROMknee
And why dont we just raise the fed gas tax 10 cents a gal to fund infrastructure? whats a dime more when gas is $4?
I want somebody to adress the fact that i have 2 job offers yesterday yet niether of tham will pay any $$$$.
I get that BS all the time as a photographer. What do I tell the makers of these fabulous “offers”?
I say “Sorry, can’t afford to work that way. Got bills to pay.”
And I never hear from them again.
I want somebody to adress the fact that i have 2 job offers yesterday yet niether of tham will pay any $$$$……
This reminds of days past. When I was in high school, a few of my friends had jobs in “service stations”. It was usually easy to get such a job because it was fairly easy and didn’t require much training. For those of you old enough to remember, the Service Station was your local gas station that also provided water/air/oil/batteries and a quick “check under the hood”. Usually had mechanic working, too.
The Attendant would come out and pump your gas and clean you windshield as part of the “service”.
That was prior to the gas wars in the early 1970’s. After gas got really high in price, the station owners margin’s were squeezed and they eventually changed to a “self-serve” or “full serve” station, with full service gas prices somewhat higher.
You will notice today that most people driving around in this
“service economy” are pumping their own gas. Why? They don’t want to pay an extra .25 a gallon to have someone else do it for them.
So, what happened to the jobs of all those attendants?
Right. They are gone, mostly for good.
In a “booming” economy, you will find all kinds of new jobs because there is so much money floating around that people are willing to pay for all kinds of things they weren’t will to pay for in the past. When the decline happens, you will find most things that people consider luxuries are dropped.
The same thing happened to me and many others during the change-over to DJ/Karaoke/MP3 players vs. Live musicians.
You can’t pay a band what you can pay a DJ. It’s very hard to keep a job as a working band. It’s usually a part-time gig.
In fact, a lot of the money goes into keeping up or improving the equipment. So, it’s a hobby that derives some income.
Most people still have their day job.
Similarly, you don’t need to pay an MP3 player.
It’s not the same as “live”, but it’s very cheap.
You can’t pay a band what you can pay a DJ.
And playback sound systems got a lot better. It’s to the point where only the very best bands consistently sound better live than the very best recordings. It’s kind of like watching football live versus on TV. These days TV is better unless you want “atmosphere”.
I’d say that the live band was killed because a live band is necessarily tied to a specific type of music, but clubs want to be all-inclusive and part of that means playing all types of music. It’s hard for a live band to switch from rap to rock to oldies to country to new rock to techno to disco in a set, but real easy for a DJ to do it, and even easier for a pre-determined setlist.
Cover bands are generally sad affairs anyways - nobody who is sober wants to hear some band butcher pop songs.
It’s hard for a live band to switch from rap to rock to oldies to country to new rock to techno to disco in a set, but real easy for a DJ to do it, and even easier for a pre-determined setlist.
Here in Tucson, it’s okay for bands to specialize.
Of course, we’re always open to satirical treatments of other styles than the ones the band usually plays. So, if your thrash metal group wants to get up and cover 1970s disco, go ahead. We’re all ears.
Oh man, you all probably would have enjoyed my old band’s metalish cover of “Play that Funky Music Whiteboy”.
It’s got a lyric of “play that funky music til you die”. it was fun to turn it into a more evil sounding song! But that was a long time ago.
You are not going to plug a $500B trade imbalance with niche players like mocro-brews. You can’t start repaying our $40T in debt with more debt.
50 people, $20K each or 100 people, $10K each is $1M he mentions. Tiny compared to the SBA loans the federal government already makes.
SBA gives loan guarantees for about 100K loans a year averaging about $15K per.
With about 1 million people, Tucson has 1/300th the population. 100K/300 = 300-350 SBA loans should be going to Tucson.
They may be niche players at the beginning of their business lives, but there’s a funny thing about those guys and gals. And that is that they can turn out to be major players.
Remember Mr. Jobs and that little thing he and Woz started called Apple? Turned out to be pretty major. Same goes for Bill and Dave and the garage. That’s how Hewlett Packard got started.
I could go on, but I think you get the point.
But they aren’t going to compete with $3 an hour cheap foreign labor to bring back manufacturing and reverse our trade imbalances.
$3/hr? Minimum wage in Mexico is leass than $5/day. Unionized autoworkers in Mexico start at $2/hr.
How many Coronas does that buy?
To live a middle class lifestyle in Mexico you either need to own a business or be a member of the managerial class (be a boss in a large organization). Individual contributors with college degrees earn less than $1000 USD per month and they ride the bus or subway to the office.
Sounds like a CEO wonderland…. Oh, wait. Who are they going to sell their products to?
obama is done. This plan is nothing but the same old junk that brought us here in the first place.
If the $700 Billion TARP and the $1 Trillion stimulus did nothing except put us deeper in debt - why does he expect a $300 Billion stimulus to do anything different?
RNC troll alert
RNC troll alert
Hey, PBear, can you do us a favor and rather than advance a personal attack stick to the content of a person’s message?
It sure would be nice if people could act like adults here.
I’ve attacked talking point “content” numerous times and the BS just keeps coming. Forgive us if we lose patience 4-5% of the time.
However, I agree that $300M in “tax breaks”
isn’t going to do any darn good. If they spent $300M on passing tarriffs, or demanding immediate payment of onshored taxes, or funding regulators to make corps pay taxes on the same profits they report to stockholders, or setting up Medicare for all, or any number of policy suggestion made here at HBB and in other places, then $300M might do something.
This $300M in tax breaks and incentives just sounds so bad it makes me wonder if Obama isn’t bothering with jobs at all, and simply daring the R’s to nto vote for some beloved tax breaks.
“It sure would be nice if people could act like adults here.”
It sure would.
However, I agree that $300M in “tax breaks”
isn’t going to do any darn good.
Thank you, oxide. Discussing the content is what actually helps us all learn and makes this an enjoyable blog to read.
If one can disagree with 2banana’s content that’s fine - I’d be curious to hear why someone feels “this time is different” when it hasn’t worked up to this point. As you show, there are many other ways to spend money that might have more of an impact.
“this time is different” ??
Its probably not…More of the same will likely have the same out come meaning, the Tourniquet on the hemorrhage…I think they know that we are on the precipice of it getting a lot worse, real fast…
So, an action that will not let it get worse will be considered a success…And, when I mean worse, I point to what Ahansen said yesterday;
“It’s been pretty obvious since the bubble popped that our government was going to go to great lengths to let the air out as gradually as possible in an attempt to save the system and its major players. At times such as we’re facing, America treads a fine line between endemic disgruntlement and civil war. Anyone who remembers the 1960’s knows how easily and quickly that line can be crossed….”
“Hey, PBear, can you do us a favor and rather than advance a personal attack stick to the content of a person’s message?”
OK.
To whom it concerns:
Posts which begin with ‘obama is done’ or similar political opinions will summarily be called out as instances of RNC troll-like behavior.
“RNC troll alert”
“Pick the target, freeze it, personalize it, and polarize it.” -Saul Alinsky
Angry, contemptuous and anti-semitic too? You have serious problems Nick.
How many RNC trolls post here, for crisakes?
Can’t you guys find a political blog to post on, instead of a housing and economics blog?
While I appreciate your informative postings, you have to be one of the most slanted partisan posters on this blog. I could read this blog all day and post an occasional comment regarding housing or business if there were no political posts to counter.
You can not politicize every issue with progressive spin and expect those readers/posters who just may disagree with your take not to reply. The kitchen gets hot sometimes.
I always amazed at how progressives can be so blind to and so dismissive of counter viewpoints. I have every right to read and post on this site as long as it’s related to a previous post/thread and I keep it clean…Thanks to Ben.
“Angry, contemptuous and anti-semitic too? You have serious problems Nick.”
Haha…Nice try
DNC troll alert
Thanks so much!
Imitation is the sincerest form of flattery.
P.S. I’m about as much a DNC member as Rick Perry is a rival black candidate to Obama.
Lil Opie is ripping another page from a former Republican Depression play book:
“x3 cars in every garage, x2 chickens in every pot & x1 former Iraq/Afghanistan military A/C unit in every American home.”
“Good jobs at good wages.” - GHW Bush, IIRC.
Actually, what brought us here is 30 years of trade imbalances that have explodeded $4T in debt ($10T adjusted for population and inflation) to $40T.
We are never going to figure out how to get out of the debt hole without realizing that the debt is the result of trade imbalances. There are only a couple ways out of this current situation. 1) Attack and reverse the trade imbalances so the debt can be repaid. 2) Let the debt collapse and the money poof into non-existance.
I see neither party proposing anything that would do either of these two things. Instead, we argue about how to prop up the current trade imbalance plagued system.
I don’t get how you can cut jobs ,cut wages ,raise prices ,have health care that isn’t affordable ,housing that isn’t affordable , have these trade imbalances , give tax breaks to the rich ,have all this outsourcing and out-manufacturing ,unsustainable debt ,and all the other crazy stuff and expect that it will work .
It’s just not going to work .
It works as long as everyone can keep going into debt at 3x the sustainable rate…. forever.
If you ever reach a point where the debt is too big….. collapse.
could you please stop throwing that 40t bomb. or at least put it in context. you are talking of a debt payable over, what, 50 years with an economy of, say, 14t today and maybe 30t in 50 years. give me a break.
Because that is the mind of Keynesian foolishness. the problem is ALWAYS a lack of sufficient spending. If the people who are already overly indebted won’t spend or borrow more money to “juice” the system, then the government must spend it for them in the form of higher deficits.
The wacky belief is that the ponzi-scheme finance will re-invigorate itself, and rather than collapsing, will reach a new plateau. From whence it will go to higher and higher levels of GDP and stock prices.
Rather than let nature takes its course and let the recession wipe out the bad investments, Keynesians want to save those foolish money peddlers and put their bad bets on the backs of the American Taxpayer.
For Obama, there is nothing that is better at solving problems than government. The government giveth, and the government taketh away. He wants to taketh and giveth real quick, so you don’t catch the sleight of hand when he needs to taketh back even more that he gave.
Is this part of the jobs plan? Or was the timing of this interview, the day before the jobs speech, purely coincidental?
One thing I did not hear Mayer mention in the interview: What the present value of the expected loss to bondholders of lower rates on GSE loans would be. Or is the plan to hand those losses to taxpayers?
How Mortgage Refinancing Could Help Spur Economy
Morning Edition
September 7, 2011
Christopher Mayer, and economist at Columbia University, talks to Steve Inskeep about his top fix for the economy. Mayer thinks homeowners with mortgages through Fannie Mae or Freddie Mac should be able to refinance their homes at lower interest rates, regardless of their credit score.
lower rates on GSE loans would be. Or is the plan to hand those losses to taxpayers?”
I guess it’s the same interest rate risk any investor has in a callable loan right I would not be happy to pay above market rates to investors in bonds with my taxes which are already spent out 500 years after I’m dead
Cactus is right. And, Bear, you need to stop whining about this. It is stupid, and it is getting boring. The people who bought those bonds knew that the loans underlying them could be refinanced or otherwise paid off before the loan matured naturally. There is no “loss” when that happens. It is just the risk inherent in the bond.
“It is just the risk inherent in the bond.”
I guess you know better than I what the mortgage contracts on which those bonds are written say. But when you say ‘risk inherent in the bond,’ are you talking about risk that is expressly stated in the contracts, or risk that the contracts will be abrogated by fiat?
I don’t have a dog in this fight, but I assume the difference of interpretation would matter to an owner of these bonds.
And as for the need to stop whining, I didn’t realize I was whining at all. Again, I don’t have a dog in the fight — just find the bagholder identification process fascinating to observer from the sidelines. Got popcorn?
You keep insisting that there is some “loss” to bond holders if people get to refinance the mortgages that make up that bond. There may be some economic loss compared to what they would have gotten if the refi hadn’t happened, but you never get compensated for such a loss. It just doesn’t happen.
The trust is set up. It has X many mortgages in it. There are rules about how the payments from the mortgages go to owners of the bonds that make up the different tranches. As the mortgages in the pool get paid off (whether because the mortgage holder sells, refinances, finishes paying, or is foreclosed on), the pools gets smaller. There are rules in the original documents about which tranches of bonds get paid off first and which take any losses from not getting principle repaid. No one cares why the mortgage comes out of the pool. It doesn’t matter why it happens, only that it does happen.
If the property is purchased with a new mortgage, that new morgage may get securitized into a new pool with new bonds that receive payments from it. That is it. The previous bond holders have nothing to do with the new mortgage.
You weren’t thinking that the new mortgage gets substituted for the old one in the securitization trust? That is the only thing I can think of that explains your insistance that there is some measurable loss that the bond holders would have to be compensated for. It doesn’t happen. The property is not securitized. Only the loan. When that loan is over, the bond holders have no further interest.
IMHO, there is a big difference between the random pattern of refinancing decisions that individual households will predictably make versus top-down cram downs that prod or persuade mass refinancing. The latter would be based on a deliberate policy to stick MBS owners with the tab for refinancing. The calculation of how much money the bond holders would lose is not rocket science, and has to be denominated in tens of billions if not hundreds of billions of dollars.
Nonetheless, I missed Chris Mayer’s discussion of the cost of his proposed program to bondholders. Do you think he was just too lazy to perform the calculation?
“You weren’t thinking that the new mortgage gets substituted for the old one in the securitization trust?”
Nope. I was thinking the old mortgage would get paid off early to take advantage of the opportunity to refinance at a lower rate. Since this newly-announced opportunity is available to everyone at the same time, mass refinancing would tend to hammer the value of the existing MBS, at large loss to bond holders.
Is this not totally obvious? Or am I missing something? I do work outside the Beltway, so perhaps I just don’t understand inside-the-Beltway maths.
“It is stupid, and it is getting boring.”
Joshua Tree Extension
Don’t take my word for it, Polly — check out the CBO working paper (or use the Joshua Tree Extension if my posts are too boring and stupid for you).
September 8, 2011 4:01 am
CBO casts doubt mortgage refinancing plan
By Shahien Nasiripour in New York
A US initiative to refinance loans held by millions of homeowners with new government-backed mortgages at current rock-bottom interest rates would saddle private investors with twice as much in losses as borrowers would get in payment relief, researchers at the Congressional Budget Office have found.
The working paper considered a one-year model plan in which homeowners who are up-to-date on their loan payments could refinance into fixed 30-year mortgages backed by Fannie Mae, Freddie Mac or the Federal Housing Administration. Some 2.9m mortgages worth $428bn would be refinanced, saving borrowers $7.4bn from lower payments and averting 111,000 defaults at a cost of about $600m to the US government, the CBO said.
But investors in mortgage-backed securities guaranteed by the US would lose about $13bn to $15bn from prepayments on securities yielding above-market rates, the economists said. The programme’s impact on economic output and the housing market would be small, they said. It would also have just a “minor” impact on future home prices.
…
Our problem is not with jobs for technically skilled people, it is with the unskilled people who are in support of others.
This may be controversial, but I think we should:
1. Support immigrant entrepreneurs, green cards for those who want to start a business in the US; and
2. Staple green cards to the back of all advanced degrees conferred upon those from other countries; and
3. Tax breaks for US businesses who spend money retraining the less skilled workers.
Yes, we will have more people that we need to employ, but we will create wealth here as opposed to elsewhere, which will ultimately benefit the less-skilled workers.
Other than the retraining cost, the expense associated with #’s 1 and 2 would be minimal.
I second the motion.
1) Anyone who “wants” to start a business or anyone who shows up with enough money to actually start one? How do you decide if someone wants to start a business?
2) There are plenty of current citizens with advanced degrees and no jobs who might be a little miffed at this one.
3) Businesses already get to deduct the costs of training employees (there are limits on costs for university classes for a degree beyond a batchelors degree). I don’t even think they have to amortize it. I think it is fully dedcutible in the year they accrue or pay the expense. What other tax advantages would you like to grant them for going through the rigamarole of proving they are doing it for their “less skilled workers”? How many people do you want the IRS to assign to decide what “less skilled” means and then to check whether the extra break is only being claimed for training for the less skilled?
Stuff that it too hard to implement is bad policy even if it would be good policy if it could be implemented.
They are apparently working on #1 already, if you had a green card as an employee, but then wanted to start your own business, you would need to leave the country since you were no longer employed. They are now changing that immigration law.
I don’t know what the rules are for staying, but I imagine it wouldn’t be too tough to simply make the rules revolve around how many non-relatives you have on payroll.
#2. Per the BLS, the unemployment rate for those with Bachelor’s degrees or higher is 4.3%. I’m talking about green cards for advanced degrees only (Masters or PhDs), which I’m assuming is lower than 4.3% (which is essentially full employment). There doesn’t seem to be a shortage of jobs for the educated.
#3. If a business has the choice of paying overtime to existing employees, or hiring someone new and training them for the job, they frequently will choose simply to work their existing staff harder. I’m talking about subsidies for retraining, not simply deductions for expenses. Other countries have similar such programs, which have been very successful. My understanding is that Singapore is one such country…let’s start by modeling the program after one that already has been shown to work (Singapore was just rated #2 again in terms of competitiveness)…here are links to their programs:
http://www.mom.gov.sg/skills-training-and-development/adult-and-continuing-education/cet-masterplan/Pages/default.aspx
http://www.mom.gov.sg/skills-training-and-development/adult-and-continuing-education/skills-upgrading/Pages/skills-upgrading.aspx
So in 1 you are talking about giving a green card to people who are already here on a green card and have started a business on the side and have a number of non-relative employees and want to stay running that business when they quite the job that got them the geen card? I think you are completely mixing up green cards and H1B visas. That makes no sense at all. And it is certainly a miniscule population. Hardly make a dent.
I know plenty of people with advanced degrees and no real jobs. They just end up very, very underemployed, not completely unemployed. You are not counted as unemployed in a particular month unless you have done nothing (not even an hour) of compensated work or something that would normally lead to pay even if you didn’t get paid. So, a professional who does a proposal for a possible client (unpaid unless the client then accepts the proposal and hires the person) is not considered unemployed in the statistics. They are.
You partially answered my question in 3. I think deductions are more than enough, but if you want more direct subsidies, OK. I still want to know who will administer the program to make sure that people are really training low skilled workers and that they give them jobs afterwards. This sort of program has “scooter store” written all over it. You get pros who coach people through an evaluation test so they can qualify as low skilled to be eligible for the program. You need a huge auditing staff to keep this from turning into a big mess.
I say that it might work in a very, very small scale, but that scaling it up to US size is pretty much impossible if you care about fraud.
Subsidized training of low skilled workers is called public school and community college. GED classes and literacy volunteers at the public library too.
We should not simply assume problems are unsolvable. You see what I’m trying to accomplish with my three points, how would you accomplish the same goals?
1. Startup Visa Act of 2011 is in process. Virtually zero cost alternative for new businesses. The examples that I’ve heard about were immigrants who were working legally with proper paperwork for a company, decided to start their own business, only to find that once they ceased being an employee, and started being an entrepreneur, they were no longer legal and left the country. This is insane. The example they cited was one person who ended up going to Chile to start their business…http://www.startupchile.org/about/the-program/
Small impact? Yes. For now. You never know when the startup becomes a more significant business…I’d like to have as many of them here as possible, with the hope that some grow significantly. You have a positive selection bias with immigrants–anyone who was willing to leave their home country, AND has the cajones to start their own business is the kind of “can-do” person with drive who has the potential to be successful. Apple, HP and Google started with a handful of people–I’m glad they were started here, and not somewhere else.
I think it is insane to keep people from starting businesses here. Like I said above, I don’t know how we should structure the program, but we should try.
2. If a recent graduate can’t find a job in their field of expertise, because their advanced degree isn’t all that marketable, they are much less likely to stay. If they can’t stay due to immigration status, they also won’t stay.
Like #1, I think it is insane to be educating smart people, and then sending them back home, especially if they are in high demand and can make existing US Companies more successful and stronger. I don’t know how we do it, but we should be finding a way to keep them here.
3. I agree that this would have some fraud (as all programs do), but unless we can somehow magically reverse globalization, something like it is necessary, or we will end up with a generation of unemployable, undertrained, and undereducated workers. That will cost us more in terms of lost productivity and keeping them fed, clothed, housed and healthy than the fraud that comes with the program. And with due respect, public school and community college doesn’t give you the training needed. Most jobs require an ability to learn and on-the-job training and experience, not what you are taught in school.
You were quite well educated as an attorney (far more educated than someone in a community college), and if you are like every other attorney that I know, were pretty much worthless until you got some experience on-the-job training (which is why former paralegals who become attorneys do so well). Trade schools? Sure, but those are not public and seemingly a dying breed. Let’s start a public trade school program…that would go a long way, but is probably not broad enough.
Said another way, I would gladly pay more in taxes if it went toward providing fishing poles and teaching people to use them in the near term, with the hope of reducing the number of fish we need to provide in the long term…even if some of the fishing poles are stolen or end up unused.
Rental:
Thank you for stating the obvious.
This country is full of the uneducable, illiterate, and all-too-often parasitical. (Of all citizenry and origin.) It makes far more sense to encourage the intelligent entrepreneurial than subsidize those who suck taxpayer resources generation after generation.
Why not the finest?
Polly, I agree that they must have enough money or enough brains to start a business not just want to start one. But I have no problem with very talented immigrants coming to this country. They do employ more people than they displace and they produce more taxes than they consume services. I do have a problem with employers bringing in low skilled to semi-skilled employees just to drive down wages and the government facilitating this movement.
Quite frankly if a position cannot pay decent wages and benefits to keep people off SNAP (food stamps) and medicaid then we are better off letting that position leave this country and not import someone to work the position. The middle class pays taxes for the services and has its wages slashed by that type of immigration. Only the employer wins. What we need is one immigrant to design an affordable robot to pick crops not 100,000 poorly paid pickers.
What we need is one immigrant to design an affordable robot to pick crops not 100,000 poorly paid pickers.
Agreed.
And one of the problems in the agricultural industries of California and the Southwest is the availability of cheap, exploitable labor from other countries is that innovation has been hindered. After all, why would you invest in the R&D to create a crop-picking robot when you could get Juan from Oaxaca to do it?
ISTR that the development of automated cotton harvesting machinery drove a lot of poor black labor out of the Deep South during the early 20th century.
An interesting corollary to this is the automated robots on the other end of the phone that we all hate.
Even though cheap labor is available overseas, many of the call center jobs are coming back or being mechanized/changed (robot voices, or online chat, where one person can handle more than one conversation at one time).
I think ultimately what we will find is that what used to take 100 people will now take 40 people and technology and we will have better service. Not good for the people answering phones, but good for the makers of the software/technology.
Coming loan changes could squeeze high-priced home markets
By Julie Schmit, USA TODAY
Starting Oct. 1, Fannie Mae and Freddie Mac will cut the size of loans they buy from lenders. That will force many future borrowers into more expensive and harder-to-get jumbo loans.
The Freddie and Fannie limits, which are generally $417,000 for single-family homes nationwide, were raised in 2008 in some high-cost housing markets to stimulate the economy. In many areas, the limits rose to $729,750 and next month they’ll fall to $625,500. Limits will drop more sharply in some areas and less in others.
Major lenders, including Bank of America, Wells Fargo and JPMorgan Chase, have stopped taking new applications for affected loans so that those in process close by the deadline.
Meanwhile, borrowers with offers on homes — who need loans at the current limits — are “panicked to close loans” by the deadline, says Pamela Liebman, CEO of the Corcoran Group, a residential real estate brokerage company in New York City.
Some lenders are “buried” given the rush to close deals before the changes and the mini-refinance boom driven by low rates, says Dean Rizzi of Guarantee Mortgage in San Francisco. He has 10 home buyers who need loans to close before the deadline.
With jumbos, borrowers could see a 4.5% interest rate, for example, go to about 5%. Down payments of 20% will be the norm, says Quicken Loans economist Robert Walters.
“Coming loan changes could squeeze high-priced home markets”
Realtors talk about this coming policy change as they would describe an approaching meteor scheduled to strike the earth in a couple of months: “You had better buy that million-dollar California McMansion today, as you may soon be priced out forever!”
The article below reminds me that I have to politely ask a colleague at work how the effort since the middle of this past summer to sell their family’s million+ dollar McMansion is going.
Home Sales Fall on Credit, Cancellations, Confidence
Published: Thursday, 18 Aug 2011 | 10:51 AM ET
By: Diana Olick
CNBC Real Estate Reporter
…
One glaring credit issue in this report comes from the sales figure out West, down 12.6 percent month to month. Yun said, “California mysteriously halted,” but it may not be so mysterious at all. Yesterday we reported that Wells Fargo has stopped taking applications and locking in rates for conforming (Fannie, Freddie, FHA) loans above the new loan lower limits that go into effect October first. Others are likely doing the same and some started earlier in the summer. Lower GSE/FHA loan limits, falling from $729,000 to $625,000, affect the highest priced markets, like California. If lenders were already capping California in July, as Yun says his Realtors are reporting, there is your crystal ball into what’s about to happen in the rest of the nation’s higher priced housing markets. Steep sales declines.
…
bummer I can’t buy my 700K 2000 square foot built in 1980 for 180K home in Moorpark now. Another old guy won’t be able to retire in AZ now.
I hear they ring a bell in NAR headquaters everytime an old Boomer can cash out of CA RE and retire in AZ or NV with a big motor home.
I see alot of vacant homes around here 93021 , that were rentals now for sale by older retirees who live out of state
I guess they gave up on RE always bounces back ?
“The Freddie and Fannie limits, which are generally $417,000…”
nah…fannie and freddie had nothing to do with the crisis…just good people with a good mission.
“Down payments of 20% will be the norm, says Quicken Loans economist Robert Walters.”
Oh, the humanity!
dogs and cats living together!
Mass hysteria!!
Who is the “affordable housing” mission of the agencies enhanced by providing 700,000 dollar loans?
Don’t ALL of you find this change in loan amounts completely ridiculous?
It should NEVER have gone over about $150,000.
That’s “affordable” housing for the average American. If you can buy a 250,000 house, you don’t need government assurances and supports.
IF the bank thinks you are a risk, NO LOAN. Bigger Down.
Result: no HOUSING BUBBLE.
Thankyou,
Barney FRank, Chris Dodd, Maxine Waters, and the rest of you slimely government loan purveyors.
I meant to say “how is….”
I’ll learn some grammar real soon.
Already changed. I understand Wells Fargo has already stopped accepting applications due to the time it takes to process. They need to have closed the loan and sold it to Fannie/Freddie before October 1.
The effect should already be happening.
Working-age poor population highest since ’60s
WASHINGTON (CNBC) — Working-age America is the new face of poverty.
Counting adults 18-64 who were laid off in the recent recession as well as single twenty-somethings still looking for jobs, the new working-age poor represent nearly 3 out of 5 poor people — a switch from the early 1970s when children made up the main impoverished group.
While much of the shift in poverty is due to demographic changes — Americans are having fewer children than before — the now-weakened economy and limited government safety net for workers are heightening the effect.
Currently, the ranks of the working-age poor are at the highest level since the 1960s when the war on poverty was launched. When new census figures for 2010 are released next week, analysts expect a continued increase in the overall poverty rate due to persistently high unemployment last year.
If that holds true, it will mark the fourth year in a row of increases in the U.S. poverty rate, which now stands at 14.3 percent, or 43.6 million people.
“There is a lot of discussion about what the aging of the baby boom should mean for spending on Social Security and Medicare. But there is not much discussion about how the wages of workers, especially those with no more than a high school degree, are not rising,” said Sheldon Danziger, a University of Michigan public policy professor who specializes in poverty.
“The reality is there are going to be a lot of working poor for the foreseeable future,” he said, citing high unemployment and congressional resistance to raising the minimum wage.
The newest poor include Richard Bowden, 53, of southeast Washington, who has been on food stamps off and on the last few years. A maintenance worker, Bowden says he was unable to save much money before losing his job months ago. He no longer works due to hip and back problems and now gets by on about $1,000 a month in disability and other aid.
“At my work, we hadn’t gotten a raise in two years, even while the prices of food and clothing kept going up, so I had little left over,” Bowden said. “Now, after rent, the utility bill, transportation and other costs, my money is pretty much down to nothing.”
The future belongs to Foxconn City
Currently, the ranks of the working-age poor are at the highest level since the 1960s when the war on poverty was launched.
$3 Trillion spent and 40 years into this war and we have not gained any ground???
Maybe there is a better way…
Sure there is:
-Stop giving companies a free pass when they export your tax base.
-Stop undercutting the value of labor
-Start fining the crap out of companies that hire illegals, and save that money you are spending putting up the border fence
I had 2job offers yesterday at $0 and 1 was from a profitable company who used to pay now they call it “interns”
-Stop undercutting the value of labor
Do you remember Kelo vs. New London? The eminent domain case up in New England where local government took a woman’s many-decade family home and gave it to a developer. The rationale was that it would help the public good by increasing tax revenues. The Supreme Court bought it, in a 5-4 decision (libs for, cons against).
So politicians get vast amounts of money from corporations. Is the value of the exported tax base greater than the take from the corporations?
If yes, they should be working to preserve the tax base. If no, eff the tax base and keep supporting the off-shoring corporation (this would be the thought process of the pol).
Do you remember Kelo vs. New London? The eminent domain case up in New England where local government took a woman’s many-decade family home and gave it to a developer. The rationale was that it would help the public good by increasing tax revenues. The Supreme Court bought it, in a 5-4 decision (libs for, cons against).
And the much-vaunted development that was supposed to happen never did. ISTR reading that the site of said development is now a big vacant lot.
As for the Kelo House, it was moved to another location and I think it’s some sort of museum. (Feel free to correct me on this point.)
“‘Stop giving companies a free pass when they export your tax base.’
Do you remember Kelo vs. New London? The eminent domain case…”
I suppose that’s one way to derail someone’s argument. Albeit a touch ham-fisted.
I was referring to the fact that when your primary source of revenue is an income tax on the middle class, getting rid of 10 million $60K/year jobs, and replacing them with 1 million $25K/year jobs is going to knock a big hole in your tax revenues.
China’s policies encourage, if not demand, that businesses have to manufacture in China, if they want access to the Chinese market.
Damn Socialists. Good thing we have a “free market” economy, or think how bad the job situation would be here.
Uhhhh……never mind.
“I had 2job offers yesterday at $0″
Dj, would you be allowed to pretend to work also?
Kelo’s land is being used as a dump site for hurricane Irene debris.
I”m hate the Kelo decision but
The Supreme Court bought it, in a 5-4 decision (libs for, cons against) is a little simplistic.
For = Kennedy (reagan) Stevens (Nixon/Ford), Souter (Bush) apts. plus Ginsberg and Breyer Dem apts.
“$3 Trillion spent and 40 years into this war and we have not gained any ground???
Maybe there is a better way…”
End free trade? Strengthen federal labor laws? Stop the race to the bottom? Go back to a 1950s style tax structure with 4% payroll tax vs. 15.3% current, and 90% top marginal income tax rate instead of current 35%?
What are you, some kind of Eisenhower Communist?
Another failed Democrat policy initiative, the “war on poverty”.
What did we discover?
When you give people money for nothin’, they throw it away on crap and remain poor, with their hands out for mo’ money.
America is the only place in the world with Fat poor people.
Americans are just fat in general.
Not fat — not rich.
Hmmmmm…, Foxconn and the Fox Network share the same name; coincidence?
Nice pick Mitt….
Business School Dean R. Glenn Hubbard has been appointed to lead presidential hopeful Mitt Romney’s Economic Policy Team, along with other noted economists and lobbyists.
Love it:
http://www.youtube.com/watch?v=zlIoeTObmEk
http://www.columbiaspectator.com/2011/09/06/b-school-dean-hubbard-advise-romney-campaign
“Give it Your Best Shot”
Hubbard must rue the day he arrogantly uttered those words in front of the camera.
THAT’s the guy? One of the stars of Inside Job?
Brilliant job, Mitt. This is another “Corporations are people” moment
More like a “some economists are also prostitutes” moment.
Leave ‘em alone, they’ve suffered enough…
U.S. Must ‘Stop Punishing Banks,’ Halt Loan Claims, FBR Says
Sept. 6 (Bloomberg) — U.S.-backed firms and agencies should “stop punishing banks” and suspend demands for mortgage repurchases because they’re impeding an economic recovery, according to Paul Miller of FBR Capital Markets & Co.
Fannie Mae, Freddie Mac, the Federal Housing Administration and the Federal Housing Finance Agency “are acting in their own self-interest as opposed to that of the broader U.S. economy,” Miller wrote. Their claims “drain capital from the banking system, and they cause banks to overly tighten credit standards, which pushes potential home buyers onto the sidelines.”
http://www.businessweek.com/news/2011-09-06/u-s-must-stop-punishing-banks-halt-loan-claims-fbr-says.html
“Lets not try to recover all that money that was swindled from us……that would be selfish. Let the banksters keep it, because we don’t want them to quit buying high-end Euro cars, and bling for their mistresses.”
But if they get scared or angry or even just miffed about making smaller bonuses, they’ll destroy the economy!
They’re like our queen ants- we must keep them happy, well fed, extremely well paid, above the law, and in a pleasant environment at all times, or this anthill’s going down.
Call it the “neutron bailout”
Kills the rest of the economy, but leaves the banks standing.
Nice to have uncle Warren heavily invested.
How is it that Wells Fargo escaped being sued by the Federal Housing Finance Agency (FHFA)?
This is an important question that both the bank and regulators have so far refused to answer.
http://www.cnbc.com/id/44410558?__source=yahoonews&par=yahoonews
Why doesn’t Warren Buffett place his holdings in a blind trust, and let his ballyhooed “market forces” perform their magic?
You mean a blind trust like the one Jimmy Carter had while he was in the White House? When he left office, he was chagrined to find that there was very little left of it, and that he had to start making money right-quick.
Why would he put his money in a blind trust?
He isn’t a politician.
“He isn’t a politician.”
Not elected anyway, but log-rolling with the boyz appears to be SOP of his investment opportunities. Perestroika?
So? He is a private citizen. He doesn’t get to make government decisions. Why would he put his money in a blind trust? That is for politicians to pretend that they don’t know where their money is invested so they can pretend that the decisions they make aren’t influenced by wanting to increase their personal wealth.
ahhh yes…the sweet, adorable little old “man from omaha”.
(in the hit HBO show “the Sopranos”, tony soprano was sometimes referred to as “the man from jersey”)
Funny comparison , considering Uncle Warren extorted quite a $um of monie$ from Goldenman$ucks Inc….seems like just yesterday.
hey…his taxes are unfair dammit!
buying political influence? now that’s complicated and we shouldn’t worry our pretty little heads about that.
I looked at an analysis of banks prior to the bulk of the mess. Nearly all lenders had high LTV, high numbers of ARMs, etc. The one exception was Wells Fargo. They did have a lot of 2nd DOTs, but much lower LTV (if I remember correctly, they had an average of something like 60% LTV, as opposed to 80%).
In other words, it struck me then that they weren’t participating in the madness like the others.
Don’t know if that’s the whole story, but that could be a substantial part of the story…perhaps they aren’t being implicated because they aren’t guilty…
Stocks Recover As German Court Backs Bailouts- AP
Global stocks rebounded Wednesday from the previous day’s steep sell-off as investor sentiment was buoyed by a German court decision backing the country’s participation in European bailouts.
Social Security pays millions in benefits to deceased
CNNMONEY - September 7, 2011
While many Americans worry that the Social Security Administration won’t have enough money left to pay their benefits when they retire, the agency is doling out millions of dollars to people who aren’t even alive.
The Social Security Office of the Inspector General, estimates that the agency has made $40.3 million in erroneous payments to deceased beneficiaries — even though the administration had already recorded their deaths in its records. The OIG’s estimate is based on a sample tested during its most recent audit in January 2008, the watchdog agency said.
One man told CNNMoney that he notified Social Security four years ago that his mother had passed away, but he still can’t get the agency to stop sending her checks every month.
Dennis Marvin, a Cleveland-based financial advisor, said several of his clients have grown frustrated by how long it took them to convince Social Security to stop sending payments to deceased family members.
“My clients are very concerned about whether Social Security is going to be there for them — there’s a tremendous lack of confidence in the system,” said Marvin. “The fact that some of the benefits they could get are being taken away because they are being spent on the deceased just adds fuel to the fire.”
Lots of dead spouses still vote too.
Hell, I can fix this problem.
If the person is dead, don’t cash the check.
Next……….
Which banks are accepting checks made out to the deceased? Let me know so I can write a few myself.
While this makes for good soundbites in the big picture it’s trivial.
We’re worried that “millions” are being paid to the deceased while we spend $20B to A/C tents in Afghanistan?
$40.3 million. It doesn’t say over what period of time. For the sake of arguemnt, let’s say that is per year.
For math’s sake, let’s call it 40M/600B = .00006
.006% of the annual budget.
NON ISSUE!!!!!
No to mention they can get the money returned.
German court rejects challenge to eurozone bailouts
BBCNews
Germany’s highest court has rejected a challenge to the country bailing out other nations in the eurozone.
The Constitutional Court was responding to a challenge brought by six prominent German Eurosceptics.
But the court did say the government must seek the approval of the German parliament before providing future assistance.
This could further hinder Europe’s response to the debt crisis, already criticised as too slow.
German Chancellor Angela Merkel said the high court’s decision vindicated her government and said that the existence of the euro meant more than just a common currency.
“The euro is the guarantor of a unified Europe,” she told lawmakers. “If the euro collapses, Europe collapses.”
The court also ruled out the possibility of pooling the debt of countries in Europe.
This appears to rule out the issuance of so-called eurobonds - common debt that would share risk across the eurozone - which is an idea that has favour in indebted countries but not in Germany.
The ideal government must be one in which the executive can unilaterally engage in wars and bailouts without legislative approval.
The legislative process is just too slow for the globalistas, only nimble and enlightened executives can properly particpate in the NWO.
What you did already we will not call illegal. If you do it again, that would be illegal ….. we think, if that is what you want us to say.
It seems that the media can’t get enough of Rick Perry, especially his $55M superpac. I think it’s because the media knows that a great deal of that $55M is going to go to them in the form of commericals. Were they all over Obama in the same way? I think so.
I’m thinking perhaps Rick Perry is a creation of the Campaign to Reelect Obama, as if he turns out to be the Republican front runner, I have a hard time imagining the national electorate going for him.
But then again, I was wrong about that last Texas governor who ran for the WH — TWICE in fact!
My best guess is that the repubs nominate either Romney or Perry. That’s just how they think, who can raise the most $$. I have no idea who a running mate would be, but if it’s Palin or Bachman then they are done, before they start.
R. Paul does not stand a chance of getting nominated, IMO. To bad, but he is not the mainstream repubs cup of tea. He actually thinks.
No matter who wins in 2012 we still be stuck with crap. Wash, rinse and repeat, because voters are smart!
No matter who wins in 2012 we still be stuck with crap.
Unfortunately, you are correct.
How dare you sully the good name of crap?
I forget, manure can be used as fertilizer. It actually has some value.
If by mainstream you mean the Republican Wallstreet Bankers. You are correct. Wallstreet runs this country and the bankers are bipartisan. Paul and Palin and to a lesser extent Michelle B. scare Wallstreet and not for the reasons that the MSM have convinced people they should be scared. Paul and Palin have been attacking the Federal Reserve and wallstreet knows they don’t want the debt economy, and both would curb illegal immigration and they impede wall street’s ultimate goal of one fascist world . Perry came in when they could not sell Romney. But notice he will not curb immigration with a fence, also Romney is attaching China. Seems like they want to split up the tea party as much as possible.
I’m thinking perhaps Rick Perry is a creation of the Campaign to Reelect Obama
I thought he was the “Anybody But Romney” nominee.
Not to mention LBJ…who figured he would end up president?
This guy MUST NOT EVER become president. I found his little Guardasil scheme most sinister. And the current state of Texas is sort of a metaphor to me for what would happen to the US if he were president.
Evil.
“This guy MUST NOT EVER become president.”
And he won’t so long as he’s nominated.
I’ll take your word for it. I know very little about him, and the media isn’t exactly showing a balanced picture.
Palin-Perry ticket, anyone?
Palin as President
Hah, that red telephone…DO IT!
http://www.youtube.com/watch?v=b1VHSQV0yn8
As a father of a teenage daughter, I find this story pretty shocking. If this is the best candidate the RNC can field, Obama should have no worries.
POLITICS
AUGUST 18, 2011
Perry Says Vaccine Order Was Mistake
By ALICIA MUNDY
Texas Gov. Rick Perry, under questioning from voters in recent days, has switched positions on a 2007 executive order he issued mandating the vaccination of all young girls before they enter sixth grade to ward off cervical cancer.
Mr. Perry’s order that Texas school girls receive the vaccine, Gardasil, made by Merck & Co., was overturned by the state legislature and never got off the ground. But it still has roiled conservatives and Christian groups for years.
After long defending the decision, Mr. Perry has apologized repeatedly for the order since launching his bid for the Republican presidential nomination. As recently as his 2010 gubernatorial re-election bid, Mr. Perry touted the vaccine’s medical efficacy and the lives of young women it saved.
Critics, especially on the right, contended it seemed out of line with Texas’ abstinence-only sex-education policies—the vaccine targets a virus spread by sexual contact—and parents’ rights in that area.
…
Abstinence from vaccinations?
I suppose we should abstain from all medications according to the bible slinging fundies….
It should be a parent’s decision to vaccinate their child, not a govt. mandate due to a financial reward by a drug company into a politician’s pocket. IIRC, Perry was caught with a back room deal with Merck & Co.
A lot of drugs are not fully tested and pushed through. Gardasil, as it turns out, has been accused of some bad side effects.
A lot of drugs are not fully tested and pushed through. Gardasil, as it turns out, has been accused of some bad side effects.
Shortly after it came onto the market, I was at a women’s health lecture presented by a local hospital. From the presenters’ point of view, Gardasil was the greatest thing since, oh, the polio vaccine.
I was a bit skeptical. While I’m not old enough to remember the devastation that polio caused, I know people who’ve had it. All of them wish they hadn’t gotten it.
Wasn’t too long after the lecture when news of Gardasil’s side effects was all over the airwaves and the ‘Net.
Abstinence means refraining from sex.
And grade sixers should NOT be having sex of any kind!!! The parents should be charged with negligence if they are.
Sex?!!
Az Slim
When you have a chance, here’s one excellent Documentary on the “Polio Crusade” (years):
http://www.pbs.org/wgbh/americanexperience/films/polio/player/
Gardasil has caused some very serious side effects like seizures, and such. A Breast Cancer Prevention Luncheon covered the pros and cons. Scary.
trainwreck - What? Gardasil is a series of shots that protect a person for life. Unfortunately, the side effects might not be a curable as early stage cervical cancer. I don’t trust Gardasil, myself.
there are about a half a dozen vaccines that are required in TX before you can enter the public school system. The majority are also required before a child can enter daycare.
You can get waivers for all of them from your physician.
Abstinence means refraining from sex.
It also means not eating meat on Fridays during Lent.
Not eating meat, is that a kind of birth control too?
For my uncle, it meant laying off the whiskey, but that is another subject.
My wife and daughter manage their plumbing just fine. They don’t need your help or Rick Perry’s help either. You have enough to do to manage your own.
Wasn’t he funded by Merck?
You could not sound more like a hard line Republican in 2007 if you tried. The irony is that i know you are sincere! It’s the same freaking game, with goal posts switched.
You only have to play to lose.
BTW, I haven’t kept up with what goes on in Texas, care to elaborate?
Palmy - what in Texas makes you think evil is afoot?
Really? How did you feel about “obamacare”?
government mandate “healthcare” for everyone.
and…………you can even keep your own doctor>>>HAHAHAHAHA
Last week a comment was made about Chavez, and it was asked, Why is every southAmerican leader such a douche bag.
The clear answer is, you can’t get power without being a douche bag.
Same applies here. How do you get power? By raising lots of money, and that requires all kinds of insider, back room, douche bag dealings.
Unfortunately, Darrell, you are most assuredly correct.
http://www.cracked.com/article_18777_5-scientific-reasons-powerful-people-will-always-suck.html
Not all South American leaders are bad. Chile has had pretty good ones, some more competent than others, in the twenty years since they voted Pinochet out. Brazil seems to be doing OK.
It is predicted that obama will raise nearly $1 billion for his presidential run in 2012. He raised almost $750 in 2008.
Funny how the press never talks about it…
Learn to love O.
Can’t out-goon these goons baby
go goons go!
I’ll take my “thugs” against your goons.
Funny how the press never talks about it…
I seem to recall plenty of coverage about how much he raised and spent on his campaign, and I was dismayed that presidential candidates spend so much.
Indeed - this was very widely discussed. Especially since so many contributions came in small amounts, with limited or no reporting requirements as a result. This was supposed to indicate something sinister was going on, whatever that was.
When a lot fo people give small amounts, it adds up to a few giving big amounts.
Indeed - this was very widely discussed. Especially since so many contributions came in small amounts, with limited or no reporting requirements as a result. This was supposed to indicate something sinister was going on, whatever that was.
Hope and change boys! Yes we can!
—————————-
Obama rewards big bundlers with jobs, commissions, stimulus money, government contracts, and more
Public Citizen’s website, WhiteHouseforSale.org, lists the names of these mega donors, their home states and in many cases their employers or business. IWatch reporters mined White House and other federal agency records and databases, including lists of hundreds of federal advisory committees, to determine how many individuals or their spouses whose names appeared on the list of bundlers had received federal appointments.
www dot iwatchnews.org
There is a reason the “60 Minutes” Sunday night broadcast is an hour and one half in Texas.
Regulations, taxes aren’t killing small business, owners say
By Kevin G. Hall | McClatchy Newspapers
WASHINGTON — Politicians and business groups often blame excessive regulation and fear of higher taxes for tepid hiring in the economy. However, little evidence of that emerged when McClatchy canvassed a random sample of small business owners across the nation.
“Government regulations are not ‘choking’ our business, the hospitality business,” Bernard Wolfson, the president of Hospitality Operations in Miami, told The Miami Herald. “In order to do business in today’s environment, government regulations are necessary and we must deal with them. The health and safety of our guests depend on regulations. It is the government regulations that help keep things in order.”
McClatchy reached out to owners of small businesses, many of them mom-and-pop operations, to find out whether they indeed were being choked by regulation, whether uncertainty over taxes affected their hiring plans and whether the health care overhaul was helping or hurting their business.
Their response was surprising.
None of the business owners complained about regulation in their particular industries, and most seemed to welcome it. Some pointed to the lack of regulation in mortgage lending as a principal cause of the financial crisis that brought about the Great Recession of 2007-09 and its grim aftermath.
The answer from Rick Douglas — the owner of Minit Maids, a cleaning service with 17 employees in Charlotte, N.C. — was more blunt.
“I think the rich have to be taxed, sorry,” Douglas said. He added that he isn’t facing a sea of new regulations but that he does struggle with an old issue, workers’ compensation claims.
Then there’s Rip Daniels. He owns four businesses in Gulfport, Miss.: real estate ventures, a radio station and a boutique hotel/bistro. He said his problem wasn’t regulation.
“Absolutely, positively not. What is choking my business is insurance. What’s choking all business is insurance. You cannot go into business, any business — small business or large business — unless you can afford insurance,” he told Biloxi’s Sun Herald.
For many small businesses, their chief problem is an old one: navigating the bureaucracy of the Small Business Administration to secure government-backed loans.
“My biggest problem is the current status of the banking system and how it’s being over-regulated,” Dennis Sweeney, a co-owner of Summit Sportswear Inc., told The Kansas City Star. “I want to grow this business, and I’m using the same credit line that I’ve been using for five years.”
Kansas City-based Summit, 20 years old, supplies college-licensed clothing to university bookstores in four Midwestern states. Sweeney hired his fourth employee in August. He’s adding licenses to sell apparel to colleges in the Southeast and Atlantic region, but his company doesn’t have inventory or other collateral that bankers usually want to secure loans.
And the small local banks Summit deals with frown on the red tape required for SBA loans, after a loan he got in 2008 took three months of nightmarish documentation.
“It was only $35,000,” Sweeney said. “Our bank basically said it would never do that again.”
Other small firms say their problem is simply a lack of customers.
Yesterday’s Daily Kos had an diary on the real killer of jobs in America.
And what might that thug be? Private health insurance. A huge money guzzler if there ever was one.
From the Kos diary:
Those companies that provide health insurance to their employees have to pay a benefit which could be as much as 30% of their overall compensation to the employee. And a lot of this health insurance is crap with high deductibles which squeezes out other spending an employee would do thus lowering the GDP overall.
That crappy health insurance is called “consumer driven” health care (high deductibles). All it is according to Wendell Potter (former VP of Cigna), is a transfer of costs to the consumer. One big health event, and you have a Medical BK.
Those companies that provide health insurance to their employees have to pay a benefit which could be as much as 30% of their overall compensation to the employee. And a lot of this health insurance is crap with high deductibles which squeezes out other spending an employee would do thus lowering the GDP overall.
Speaking of which, I’m in the middle of one of these issues right now. My wife’s medications (she’s had several different major medical issues over the years) had been paid by my old company’s health insurance until very recently. Old company was a big tech company and our cost for the meds was a couple hundred a month. New small tech company insurance pushes a lot of that cost onto us. I was expecting an increase to $700-$1000 a month for the name brand stuff, and my plan was to review each med and figure out which stuff could go generic and get the cost back down into the same range as before. Instead we’re talking something in the range of $3k/mo and the generics (not all of which are actually acceptable substitutes) are several hundred. This is going to be challenging. Worst case it could drive me back to working for a bigger company. It’ll need to be dealt with eventually, though, because I don’t think big companies will absorb these sorts of costs much longer so we might as well get it figured out now. May have to start ordering from Canada again…
Carl
That sucks! Interesting, that you ordered through Canada. With the high cost of an individual health plan driving us uninsured, maybe we should order some of my husband’s Glaucoma eye drops that way.
The drug companies need a leash, and the health insurance companies need active euthanasia. We need universal health care.(Not gonna happen, I know.) Enough is enough.
We have tried Canada in the past for issues with individual meds where only the brand name would do and the insurance company would only pay for generic. This is the first time we might have to consider going there for almost everything. It worked OK in the past for us, but there was always the chance that a shipment would get confiscated.
Vacations in Mexico can be cost effective if you are picking up enough prescriptions.
Will they let you buy a year worth at a time? No way I’m going down there every month.
You could visit more than one pharmacy.
“……..three months of nightmarish documentation.”
OTOH, if the SBA was handing out money without “nightmarish documentation”, the papers would be filled with stories about the “waste, fraud and abuse” in SBA loans.
Too bad the SBA wasn’t doing home loans.
+1
IBD Editorials
Editorial: Blaming Banks For Gov’t Failure
Posted 09/06/2011 06:42 PM ET
Capital: Washington’s $30 billion shakedown suit against already weak banks is a dangerous move. It could push some banks off a cliff only to have to bail them out all over again.
The Federal Housing Finance Agency on Friday sued 17 big banks to recover as much as $30 billion in losses from subprime securities owned by Fannie Mae and Freddie Mac. Financial stocks are under pressure. Investors worry the industry faces a long slog of litigation due to toxic loans.
Banks already have been hit by class-action lawsuits over subprime securities. Adding to woes, states are negotiating a deal in their own shakedown of Bank of America, JPMorgan and Citigroup and others. They want them to pay at least $20 billion to help bail out homeowners facing foreclosure. Many of the attorneys general have been working with Obama officials.
Democrat Rep. Barney Frank of the House banking panel wants to stick banks with all the bills from the crisis he and other affordable-housing zealots helped cause. “I don’t mean to demonize,” Franks said, “but Goldman Sachs and Wells Fargo and Bank of America and Citicorp and Morgan Stanley and the large hedge funds can pay for this.”
But $30 billion here, $20 billion there adds up to real money. Private lawsuits already have taken their toll on the nation’s largest bank, which is hemorrhaging losses after settling claims. BofA stock has plunged, requiring a $5 billion infusion from investor Warren Buffett.
Banks at the same time are being sued for discrimination. As IBD first reported, Attorney General Eric Holder has launched a witch hunt against community banks for failing to market mortgages in blighted areas, including ones outside their federally designated lending areas. It’s an egregious abuse of his authority. And it’s sending a chill throughout the banking industry.
…
But $30 billion here, $20 billion there adds up to real money. Private lawsuits already have taken their toll on the nation’s largest bank, which is hemorrhaging losses after settling claims. BofA stock has plunged, requiring a $5 billion infusion from investor Warren Buffett.
Couldn’t happen to a nicer bank. And, sorry Warren, your $5 billion won’t be enough to save BAC.
he structed it as a preferred stock “loan” with interest and warrants to buy BOA at $7 so if boa goes bust he will get his before any other shareholders..
Still playing the “government made us do it” theme, I see………
Guess what dude? There ain’t gonna be no more “bailouts”. Assuming the Tea Partiers mean what they say.
Cities have trouble selling fixed-up foreclosures
By Larry Barszewski, Sun Sentinel
September 04, 2011
They’ve got the homes. They just need buyers.
Local communities have been using millions of federal dollars to fix up and resell foreclosed homes in an effort to battle blight and to protect surrounding property values, but those neighborhood revivals are being hampered by rehabbed homes that cities can’t unload.
The homes were supposed to be bargains for the low- and moderate-income families eligible for the programs, but officials now realize a number of the homes they bought didn’t match the needs of would-be buyers.
And cities need to sell those homes so they can take the money and put it back into the pot to buy and fix up more foreclosures and keep the neighborhood turnarounds going.
Margate spent $2.1 million buying and repairing a dozen foreclosed homes, but has only sold one since putting them on the market in May. Three others are under contract.
“I anticipated that I would have hundreds of people calling me,” said Kim Liakos, who coordinated the city’s program. “I don’t know what the problem is.”
Pompano Beach officials considered giving away an $83,000 rehabilitated Leisureville home for free because of the difficulty they have had securing a buyer in that age-restricted community.
Federal officials distributed more than $100 million in neighborhood stabilization dollars to Broward and Palm Beach county communities two years ago to combat rising foreclosures, with many using the money to buy, repair and resell the neglected homes.
“I think what is happening now is that people are thinking they have a lot of choices,” Joseph said. “People are getting a lot more selective.”
Another $40 million is now in the pipeline from the federal government to Broward and Palm Beach county communities for another phase of the program. This time, program officials say, they’ve learned some lessons:
http://articles.sun-sentinel.com/2011-09-04/news/fl-muni-selling-foreclosed-homes-20110904_1_rehabbed-homes-single-family-homes-foreclosures - 44k
The homes were supposed to be bargains for the low- and moderate-income families eligible for the programs…
Pompano Beach officials considered giving away an $83,000 rehabilitated Leisureville home for free because of the difficulty they have had securing a buyer in that age-restricted community.
So let me get this straight - cities, using taxpayer money, would rather GIVE fixed-up houses away for free rather than open up their PC “eligibility” pool…
WTF?
House got rats and the Bank don’t care,
House got rats and the Bank don’t care,
House got rats and the Bankdon’t care,
My master’s gone away.
“House full of rats” banner placed on Greenacres foreclosure
by Kim Miller
Greenacres resident Lynn McGee is so frustrated about the lack of action taken at a vermin-infested foreclosed home next door to her that she put up a banner hoping to shame the bank into cleaning the place up.
McGee, 62, lives in a duplex with an adjoining house that has been in foreclosure since September 2009.
The derelict home at 5730 S. 38th Court is owned by Marciano Reyes, but McGee said no one is currently living in the home.
Like an untold number of foreclosures in Palm Beach County, the vacant home is hung up in a foreclosure limbo. Although a final foreclosure judgment was entered on the property in favor of the bank in May 2010, its auction sale date has been continuously pushed back leaving it officially in the ownership of Reyes.
The original law firm representing Bank of New York Mellon in the foreclosure was the Tampa-based Florida Default Law Group, which is under investigation by the Florida attorney general’s office for mishandling foreclosure paperwork.
In October last year, the bank, which did not respond to a message left Tuesday, asked the courts to cancel the sale. It has since been rescheduled for Monday, but even after the bank, or an investor, takes possession, it could be weeks before anyone moves to clean up the property.
The City of Greenacres placed a lien on the home in April for reoccurring code violations. According to the lien, Reyes is being charged $20 per day from a start date of Feb. 15, 2011.
“I don’t know where to turn next,” McGee said.
http://www.palmbeachpost.com/money/ - 94k -
All the more reason for an SFH.
It’s like the military contractors say……give me the exclusive, lifetime-of-the-program contract for the ammunition, and I’ll GIVE the government the guns.
That $83K investment might pay off, if you can hit a sucker for property taxes for 20-30 years. Especially if the “value” starts appreciating again.
(Not saying I agree, but it’s the typical line of reasoning…)
Age restricted means they don’t have to provide public schools.
When you are young and raisng your kids, you get others to pay for the schools. Then, you retire and move into an age restrocted area where no one under 50 is allowed to live, that way you don’t have to pay it forward.
My inlaws were quite upset when the neighboring school district annexed her age restricted community and increased her property taxes $500 a month. While she was complaining, I mad a comment… “Yeah, Its not like old people had to pay taxes for your 30 years ago for your kids to go to school. It is so unfair that you should have to pay it forward to the people that will have to pay your Social Security and Medicare.”
Kind of shut her up.
Maybe it’s just me, but even people with no kids benefit from an educated population.
How much of a bear would shopping be, if the 17 year old behind the register can’t read?
Maybe it’s just me, but even people with no kids benefit from an educated population.
I think that’s a fair argument, but does that mean that the person with no kids should pay as much (or more) for the education than the person who had the kids?
If a child’s education was funded, say 50% by fees directly payable by student/parent and 50% by property taxes, I think that might be “fair”. But the current breakdown is pretty obscene, if you ask me. I can totally understand why people who don’t have kids (and never have) would like to “opt out”.
Nevermind that those folks who want to “opt out” benefitted from free K-12 education and possibly from heavily subsidized public higher ed themselves.
“Nevermind that those folks who want to “opt out” benefitted from free K-12 education and possibly from heavily subsidized public higher ed themselves.”
Exactly.
And those kids you are educating are also going to be paying SS and MC.
If we want to privately fund K-12 education.. fine. Then let’s also privately fund police, fire, retirement, roads, helathcare for the elderly.
Those Alaska crab fishers can privately fund the coast guard.
Heck… let’s just end 90% of what government does. CDC, FDA, FDIC, SEC, FTC, on and on….
Heck… let’s just end 90% of what government does. CDC, FDA, FDIC, SEC, FTC, on and on….
I knew you’d come around!!!
Nevermind that those folks who want to “opt out” benefitted from free K-12 education and possibly from heavily subsidized public higher ed themselves.
So once a policy is in place, anyone who lived under that policy must be guilted into never changing it?
Let’s assume I did benefit from it. I didn’t choose to. I was too young to have a voice. It was a policy put in place by others. I am welcome to feel differently about it, and welcome to try to enact that change. It does not make me a hypocrite since I never advocated for it. I did not have a choice to opt out of the system.
Florida receives nearly $500,000 in federal grants to help fight mortgage modification scams
By Kimberly Miller
Posted: 12:11 p.m.
Tuesday, Sept. 6, 2011
The U.S. Department of Housing and Urban Development is dedicating $10 million nationally, including $463,462 for Florida, to help residents avoid foreclosure with legitimate loan modification assistance and housing counseling.
The money will be doled out to regional and local counseling agencies. Florida received the most money from the local allocation, with California earning the second highest amount at $367,433.
“The funding announced today is specifically earmarked to provide counseling assistance relating to mortgage modification, avoiding potential mortgage scams, and assisting victims of scams,” said HUD Secretary Shaun Donovan. “It is crucial that we support these agencies in helping struggling families do whatever is possible to avoid foreclosure without being victimized by so-called mortgage ‘rescue’ companies.”
In Florida, 21 agencies will be share the money, including three in Palm Beach County _ Housing Partnership, Inc., in Riviera Beach, Credit Card Management Services, Inc., in West Palm Beach, and Consumer Credit Management Services, Inc., in Delray Beach.
Federal officials distributed more than $100 million in neighborhood stabilization dollars to Broward and Palm Beach county communities two years ago
Another $40 million is now in the pipeline from the federal government to Broward and Palm Beach county communities for another phase of the program.
The U.S. Department of Housing and Urban Development is dedicating $10 million nationally to help residents avoid foreclosure
That`s $150 million right there and I still can`t buy the B of A house that has been sitting empty for over a year and that poor lady has rats for neighbors.
I don’t really get the “We have to ignore crime in the corrupt international banking system in order to save the economy” argument. Could anyone who thinks they get it kindly enlighten me? Why should the world’s citizenry generally have to tolerate systemic crime and corruption in the global financial system?
Mortgage Claims by U.S. Impede Recovery, Must Be Halted, FBR’s Miller Says
By Hugh Son - Sep 6, 2011 2:31 PM PT
U.S.-backed firms and agencies should “stop punishing banks” and suspend demands for mortgage repurchases because they’re impeding an economic recovery, according to Paul Miller of FBR Capital Markets & Co.
Repurchase losses may total $121 billion, wrote Miller, a former federal bank examiner, in an analyst’s note to clients dated today. He previously said the tally might range from $54 billion to $106 billion. Losses for Bank of America Corp. (BAC) could reach $66 billion in some scenarios, he wrote.
Fannie Mae, Freddie Mac, the Federal Housing Administration and the Federal Housing Finance Agency “are acting in their own self-interest as opposed to that of the broader U.S. economy,” Miller wrote. Their claims “drain capital from the banking system, and they cause banks to overly tighten credit standards, which pushes potential home buyers onto the sidelines.”
Bank of America, the biggest U.S. lender by assets, led decliners in New York trading last week after the FHFA sued 17 banks to recover losses on mortgage-backed securities sold to Fannie Mae and Freddie Mac. The FHFA is seeking to recoup $196 billion spent on the securities, plus other damages including civil penalties.
“If we are to get the housing market working again, it’s our opinion that the FHFA and the government-sponsored enterprises need to stop punishing banks for their lending practices from several years ago, even though they may have a legal right to do so,” Miller wrote.
…
The banks are doing God’s work.
You don’t want to be against God, do you?????
These Madhatters that have been running the show and have been transfering the pain to the Majority ,and want to continue to extract from the Citizens of the USA ,by owning the Politicians, fail to consider what it will be like when they view the ruin they will create . Entities that feast off the host have no clue what it will be like with no host anymore .
The Entities that created the consumer economy are the same entities that are destroying the consumer economy now .
It’s like they’ve taken the financial system hostage. “Do anything to hurt us, and we will kill the hostages.”
The leaders of the world financial system managed to create a strong link between the world’s savings, and the bad loans they made during this most recent Gilded Age. Removing Glass-Steagall was the crowning jewel in tying together savings and Wall Street gambling operations.
Now, it’s an unholy mix. On the one hand, the financial companies pay off politicians the world over. On the other, they’ve taken the world’s savings hostage.
As Europe speeds towards the brink of banking collapse versus hyperinflation, it seems to me that reform will in fact come. But only after the system collapses. Because the side effects from the medicine will initially be as bad as the disease.
Mortgage demand slides despite low loan rates
NEW YORK (Reuters) - Demand for U.S. home loans fell for a third straight week last week although mortgage rates fell to or near record lows, an industry group said on Wednesday.
The Mortgage Bankers Association’s seasonally adjusted mortgage applications index, which includes both refinancing and home purchase demand, dropped 4.9 percent in the week ending September 2.
The MBA’s seasonally adjusted refinancing application index fell 6.3 percent while its gauge of loan requests for home purchases climbed 0.2 percent.
Fixed 30-year mortgage rates averaged 4.23 percent, down from 4.32 percent the prior week and the second lowest rate since the group began its survey nearly 22 years ago.
Fifteen-year loan rates averaged 3.41 percent, down from 3.49 percent a week ago to a new survey low.
“Despite these rates, refinance application volume fell for the third straight week and is more than 35 percent below levels at this time last year,” Mike Fratantoni, MBA’s vice president of research and economics, said in a statement.
“Purchase application volume remains relatively flat at extremely low levels, close to lows last seen in 1996,” he said.
“Purchase application volume remains relatively flat at extremely low levels, close to lows last seen in 1996,”
For what it’s worth, 1996 was roughly the year in the last real estate bust before the current one when CA housing prices bottomed. Of course, it’s different this time — much deeper, more protracted economic downturn than the one of the early-1990s…also no extend-and-pretend effort to prop up the housing market, at least so far as I am aware…
And this is what tells you that laying off banks is what is needed. People don’t want to take out loans for goods that will continue to loose value, ie homes, small businesses, vacation property, furniture, new cars etc etc etc. or they can’t because of job or credit problems.
As with manufacturing the problem is not supply it’s demand.
A Dangerous War Against U.S. Banks
By Investor’s Business Daily
http://www.realclearmarkets.com/articles/2011/09/07/a_dangerous_war_against_us_banks_99238.html
Does the banking lobby pay newspapers like IBD to print that kind of article warning against the dangers of “punishing” poor, innocent bankers?
The magic 8 ball says … without a doubt!
Imagine yourself a journalist. You need paragraphs that sound good to your editors and to the public. A PR firm, backed by a lobbying organization gives you good copy.
Your paper makes money ultimately from advertising.
Win-win: you get your august-sounding story, and you support the advertisers.
friend of mine’s husband asked me if i would be reference for him. he is applying for a part time job (in addition to his full time job) so they can buy a house.
the eagerness for debt slavery is astonishing at times.
So, this guy is going to be working 60 hours a week to afford a house? I’ll bet that he’ll be fun and games after a few months of working that many hours.
Methinks that the marriage won’t be able to withstand the overwork, fatigue, and how fast the house eats up the money.
i think the purpose of the second job is to save for the downpayment…not necessarily to service the monthly payment…i hope.
So, this guy is going to be working 60 hours a week
In many workplaces 60 hours a week is the standard. Work your 8-9 hours at the office, take your laptop home and work 3-4 more hours after dinner.
Not the low level workers. It’s mostly executives and other senior officers at my current and last place of work.
It depends on what you mean by “low level”. If you mean hourly, then yeah, the company would have to pay them overtime. But if you’re salaried many employers expect a lot more than 40 hours a week, even if you’re a mere “individual contributor”.
I was thinking the same thing. My wife and I can get 60 hours easily with one job.
Before you become a reference - educate him.
income/debt ratios
total cost of owning
what happens if rates go up
The magic of “leverage” going down.
etc.
Good advice. Especially regarding the the total cost of owning. Most people down’t have a clue.
I’m a believer in home ownership. But I refuse to eat Ramen noodles for the next 30 years just to buy a minimal crapshack in the ghetto and fund some flipper’s retirement with my actual cash.
Neuromance
I’ll second your post. The flips drive us nuts, too.
Also, it’s aggravating as all hell, when your competition is a FHA 3.5% down with a 203K fix-up loan, and you’re cash. They can and will walk. You can’t walk and really want roots.
This whole housing mess infuriates me to no end.
Actually, given my own experience, not a bad plan overall.
Me?
Worked 2 jobs from 1990 - 1993. Dollar cost averaged monthly into three mutual funds. By 1993 I had $50,000 saved up. Real estate in California was down from its 1989 highs so I bought a condo with 20% down and around $23,000 left after closing. Dropped the second job.
Fixed it up and tried to sell it for $20,000 more than I paid in 1996 (trying to climb the property ladder). After 6 months on the market and no offers and learning about how illiquid real estate can be, I took it off the market and lived there until 2002 when I sold it for $120,000 more than I paid for it.
Did 2 2-year flips selling the last one in 2006. Now happily renting.
I’m amazed at the amount of people who are still trying to get into real estate flipping today. A friend bought a “condo” for 78k that sold for 239k at the peak. PITI+HOA is $1100 a month. Unit could rent out for $1100 a month. Now this friend is just “breaking even” on the rent vs. buy aspect and is locked in. If prices rise, he’ll come out ahead in the long term but that’s a serious gamble at this point, considering the neighboring condos are on the market for 60-65k with no buyers.
I argued with another friend about how the cash flow just doens’t work without massive appreciation in the future, they want to tie up their money in an investment rental when one month of no rental income would result in a loss for the year. A water heater and furnace replacement would wipe out the profits for years without price appreciation and the ability to resell.
Am I missing something?
With that math, you aren’t missing anything. If you believe there will be appreciation in the future (which their likely will be). The question is “when?”. It certainly makes much more sense to be paid to wait.
The HOA must be massive…9% PITI (6% interest, 2% taxes, 1% insurance) would be $600 per month if he borrowed 100% (and you can’t do that today as an investment).
HOA is $500 per month?!?!?
Better be serious amenities, which will help with values in a recovery, but not necessarily with the $500 per month HOA nut to crack.
In other situations we’ve seen the rental strategy work to the tune of about a 10% cash-on-cash yield with modest leverage, and including reserves for maintenance. That makes sense to me. Buying with a 0% cash on cash yield does not make sense.
A friend of mine asked me why I wasn’t living in a house on the lake. Two minutes later he answered his own question by admitting that he couldn’t sell his place despite dropping the price 60 k off what he paid 4years ago.
“Obama is still suffering from the Speech Illusion, the idea that he can come down from the mountain, read from a Teleprompter, cast a magic spell with his words and climb back up the mountain, while we scurry around and do what he proclaimed. The days of spinning illusions in a Greek temple in a football stadium are done. The One is dancing on the edge of one term. The White House team is flailing — reacting, regrouping, retrenching. It’s repugnant. After pushing and shoving and caving to get on TV, the president’s advisers immediately began warning that the long-yearned-for jobs speech wasn’t going to be that awe-inspiring.” From the Maureen Dowd column in NYT, Sept 3, 2011
I still remember his words, “We are the ones we’ve been waiting for.” Imagine if a republican election victor had said that.
Obama is still suffering from the Speech Illusion, the idea that he can come down from the mountain, read from a Teleprompter, cast a magic spell with his words and climb back up the mountain, while we scurry around and do what he proclaimed.
Which is precisely why more than a few of us Tucsonans are a tad disappointed in his lack of follow-up after his January 12 speech here. We were looking forward to this country finally doing something to end gun violence. Didn’t happen.
And how about a research program to find the causes and cures for devastating mental illnesses like schizophrenia? Sure didn’t hear Obama advocating for that, now did we?
Or Slim let welfare or unemployed people work at”intern” jobs and keep their benefits and resume up to date untill the job market gets better……
Employer: Well what have you been doing for the last 99 weeks?….uh looking for work?
If the Virginia Tech incident didn’t prompt much of a government response, nothing will.
My solution? Stay away from people acting crazy, who are likely to be carrying guns.
Which explains part of the reason I’m getting away from Republicans.
all those republican gang bangers are a scary bunch.
Wasn’t that dude Korean?
My solution? Stay away from people acting crazy, who are likely to be carrying guns.
Good policy. Perhaps if government made it easier to involuntarily commit people, we would not have to worry about crazy people with guns, swords, knives, automobiles etc. All these shootings and other crimes seem to start with the family knowing the person was crazy as a loon but not being able to do anything about it. Jack Nicholson was too good an actor, he made as feel like the detention of a pedophile was a bad thing and we needed to stop detaining people for their and our protection. I think our mental health system is more broken than our gun laws.
We were looking forward to this country finally doing something to end gun violence. Didn’t happen.
Just curious, what were you thinking or hoping he would propose? You may have told us before but I can’t remember. I have no idea what he might have proposed, but I think he was smart to not get too specific. Ds have a tendency to propose things in those situations that get them unelected later. I was impressed that Obama managed to resist that urge…and it’s a big part of why I don’t have a big problem with him.
“We were looking forward to this country finally doing something to end gun violence. Didn’t happen.”
Like what? Making it illegal to kill people with a gun?
This may shock you, but countries with gun bans still have murders.
“And how about a research program to find the causes and cures for devastating mental illnesses like schizophrenia?”
Really? Do you think no one has ever done any research on this? It is a genetic disorder not viral or bacterial, and as such, a cure may be as far off as faster than light travel.
“It is a genetic disorder not viral or bacterial…”
dr. phlox even had trouble with a genetic disorder in an epsiode of “enterprise” the other night.
and this is a universe where they can make their clothes out of their on poop.
incidently…dr. phlox withheld his cure from captain archer.
there were 2 species of humanoids inhabiting the planet…one had developed the devistating genetic disorder which would wipe them out over the next couple of centuries.
dr. phlox withheld the cure for ethical reasons…he argued that nature should be allowed to take its course.
in the end…captain archer capitulated and only allowed for a medicine that would alleviate the symptoms with a hopeful message that the race would develop their on cure in the future.
one can only ponder whether captain archer would have the same noble conviction had it been the human race.
you see…dr. phlox is not a human. dr. phlox is my favortie character but i must admit…after that display…had i been captain…he would have been immediately dismissed…for the good of the crew.
live long and prosper.
I liked this line from that time period:
“This was the moment when the rise of the oceans began to slow and our planet began to heal.” — Obama, June 3rd 2008
Talk about a Messianic complex.
IMAGINE if a republican had said that!
IMAGINE if a republican had said that!
His Protestant Fundamentalist, “young Earth” believing base would abandon him.
Probably not. Obama’s churchy supporters did not run from him.
When you are absolutely sure of something, warnings do not have an impact.
But Obama’s “churchy supporters” were not Protestant Fundamentalists, they were “mainline” Protestants, who don’t dogmatically believe that the Earth is 6000 years old.
How can you be so sure? Wasn’t his own pastor sort of an extremist?
Don’t buy the theme that only Republicans can accept that the earth was created after the last ice age. Silliness is everywhere.
The Rev. Wright, IIRC, was no fundamentalist. He was really big on “social justice” which you typically never hear preached from Fundy pulpits.
“Don’t buy the theme that only Republicans can accept that the earth was created after the last ice age. Silliness is everywhere.”
I realize that this is a theme and that silliness is everywhere. However, every young earther, evolution and AGW denier that I have ever met has been a conservative and many have been religious fundamentalists and none of those have been scientists. If it walks like a duck…
Hilarious cognitive dissonance with these folks because, to them, we are supposed to be the keepers of the garden. Then look in the grass at the side of any road.
“He was really big on “social justice” which you typically never hear preached from Fundy pulpits.”
I almost spit out my coffee that was so good. You don’t need social justice when you’ll get yours in heaven and the Masters don’t want you to have it. Pipe down, serf.
The GOP’s bible slinging fundy base is a loser this time. Of course the GOP is too stupid to realize it(yet) and the bible slingers are much much too clueless and ignorant to realize they’re being used…. yet again.
“This was the moment when the rise of the oceans began to slow and our planet began to heal.”
He was talking about abut doing something about global warming using lofty rhetoric that most politicians use at one time or another. What is the problem with that?
The right wingers don’t believe in global warming, especially the Fundamentalists. They seem to have a problem with it being based on science and not the Bible.
It is Religion pretending to be science and because the era of very active sunspot activity is coming to an end, it will be obvious, I think that is one of the reasons Al Gore is melting down, his time to make big money off the fraud is running out. When the ice caps stop melting on Mars they will stop melting here and for similar reasons. It is a bit more complicated than a high number of sunspots in any given year means a warmer or colder year since you have el nino, la nina and PDO influences but we are soon going to see that 90% plus of this man made warming was actually nature and now nature is turning colder in a big way.
You’re using a lot of acronyms and scien-cy words, but in the words of Inigo Montoya, “I do not think that word means what you think it means”.
“90% plus of this man made warming was actually nature”? You just pulled that number out of the ever-warming air or your tuchas, right?
BTW, interesting read about the CERN experiment on cosmic rays and cloud formation: http://www.dailygalaxy.com/my_weblog/2011/07/news-flash-cerns-orders-blackout-of-cosmic-ray-project-news.html
I have argued on this blog for some time that (1) yes, the world has been getting warmer (2) yes, CO2 does have some impact (3) however, assuming that all or most of the warming was due to the co2 was wrong, particularly since we knew that solar activity has been very active, (like the most in a thousand years.
Now, the mechanism for the warming is being discovered and I think in the end we will find that 90% + is caused by nature. But you can’t tax man made activities to fund world government and subsidize industries and transfer wealth to “developing nations” based on the Sun so the science has been suppressed.
No MCBubble it was based on a study I read years ago that identified CO2 as being at most only 1/7 as powerful a warming agent as the computer models were identifying and the fact fact that Sunspot activity was at a 1000 year high.
“assuming that all or most of the warming was due to the co2 was wrong”
Nobody in the scientific community has ever argued that. The Sun’s core is like 27M degrees and it’s not that far away. The “it’s the Sun dummy” talking point is a straw man.
I’ve read the CERN paper. It’s not arguing what people think that it is.
“tax man made activities to fund world government” You’re conflating science and policy. Again.
McBubble, it is also based on the fact that the amount of CO2 in the atmosphere has increased rapidly over the last ten years but global temps have stayed constant. Thus, global climate seems to be following the solar cycle much more than the CO2 record.
http://www.forbes.com/sites/jamestaylor/2011/06/08/ten-years-and-counting-wheres-the-global-warming/
i am pretty ignorant when it comes to the global warming debate.
i did watch “an inconvenient truth”.
1. the cover was faked.
2. the hockey stick graph was misleading.
3. al gore evoked imagery of the “man made” disaster that was katrina to illustrate the destructive effects of “man made” global warming.
if you have to do crap like that to prove your science then i am skeptical.
if the science is absolute…then global warming proponents must completely distance themselves from that horrible man and condemn his methods. but hey…he probably raises them a ton of cash.
one more thing.
and if it is as bad as al gore suggests…absolute population control is the only solution…until we develop warp drive.
Some people have lost a measure of faith in governments and their institutions. The generation of great credit expansion has also been a generation of deception and theft. It should be no surprise that “science” spoon fed to us by the institutions of corrupt government is treated with grave suspicion, or contempt. The suspicious among us are the modern day heretics.
The right wingers don’t believe in global warming, especially the Fundamentalists. They seem to have a problem with it being based on science and not the Bible.
So you think that 2banana is a fundamentalist who believes that the rise is the sea level is not caused by human activity?
That’s interesting. I’m surprised that Pat Robertson hasn’t thought of that. The Bible does tell of a time when the oceans rose and the whole planet was flooded. I can’t remember the details, but I think that God was angry about something that people were doing. So it would be arrogant for Obama to think that he could stop the seas from rising, unless he was planning to organize a planet-wide repentance.
“……think that God was angry……”
Nah, he’s an all loving God.
It was the Chinese, when they were pouring all that concrete to build the Great Wall.
With illegal day laborers. And brontasauruses.
“absolute population control is the only solution…until we develop warp drive.”
Even with a warp drive, the percentage of people that would leave the planet would be insignificant and population control would still be necessary. I have never seen space travel as a solution to overpopulation. To me, it is merely insurance against extinction from a planet-wide catastrophe.
OTOH, there are new risks of initiating a planet-wide catastrophe from extraterrestrial biological agents. And there would be a potential to care less for the Earth’s environment if we no longer have all of our eggs in one basket.
“So you think that 2banana is a fundamentalist who believes that the rise is the sea level is not caused by human activity?”
I don’t know. Only 2banana can answer that question.
“So you think that 2banana is a fundamentalist”
I don’t know. If you’ll read my post more closely, you’ll see that is not what I said. Draw a Venn diagram if that helps.
“McBubble, it is also based on the fact that the amount of CO2 in the atmosphere has increased rapidly over the last ten years [yes, the rate is increasing] but global temps have stayed constant [no they have not]. Thus, global climate seems to be following the solar cycle much more than the CO2 record [this is not true].
I tend to read the original paper and then come to my own conclusions rather than spouting talking points from a pre-chewed version from an economics magazine with an agenda, so I cannot comment or what James said has written. Oh wait: “I am senior fellow for environment policy at the Heartland Institute”. ‘Nuff said. I knew that name sounded more familiar than just the “Fire and Rain” JT.
We’ve been over this many times, people. The Heartland Institute, Forbes, Paul Krugman, The Daily Kos, Fox News, Al Gore, etc. are not scientists nor are they a scientific panel nor a peer-reviewed scientific journal. The opinions of the former group are not of value when compared to those of the latter. And please stifle the lame-duck “follow the money” arguments. So old.
And nice work on “McBubble”, Albuquerqueding-dong. See how that works? Just silly.
Still no comment on why we have not warmed in ten years? Also, attacking the source instead of the content gets a little old. I looked at both the original and condensed version provided by the link and I did not see anything wrong with his summary. Finally, I did not engage in any personal attack of you so I am not sure what you are talking about. I think I have a record of not engaging in personal attacks and I did not start with this subject matter. Especially, since every day data supporting my views is coming out. AGW proponents just cannot explain why when we have had so much additional carbon enter the atmosphere we have had no warming in ten years. They have tried to hide the fact closed measuring sites manipulated data etc to mask this fact but in the end the public has figured out that it is a scam to increase taxes and give subsidies to cronies.
Of course not. Anything prescribed has to get through the obstructionist Congress, which has a sub-10% approval rating.
You could have a bologna sandwich for president and be faced with the exact same problem.
“You could have a bologna sandwich for president”
Does it have a campaign to which I could donate?
Bologna Sandwich for president! Better than the shat sandwiches from which we have to choose…
Hey Mr Bubble, how did the move go and are you adjusting to the new lifestyle?
Blue –
Thanks for asking. I’m sure glad that somebody else moved all the heavy stuff! Major change from Marin, for sure and it’s tough to get anything done for work when my boy is screaming in my ear. We’re going to get someone in for a few hours each day so that I can get stuff done.
Wish that I were on a boat some days!
I’d give a lot to have my grandson screaming here for a bit just now.
Maybe I’ll put a write-in vote for “bologna sandwich”
“Bologna Sandwich for president! Better than the shat sandwiches from which we have to choose…”
Gosh, I’d vote for a bologna sandwich, but I worry about who he’d put on the Supreme Court.
Miracle Whip?
“Miracle Whip?”
Exactly. Say goodbye to your civil rights.
Fannie~
Games are still being played with inventory. Another shack magically reappeared for sale on Fannies website after disappearing for two years. As far as I can determine it never sold.
Shuffling inventory around because….Realtors are Liars! Realtors that get Fannie’s listings are scum on scum, their antics are so well shrouded that you can see right thru them. And they act all reputable and shizz…..
My wife’s foreclosure sale moved to Oct….they could have taken possession last summer; but for some reason have rescheduled her sale many times. Now it is piled on to a day with 60 other sales scheduled. But 10 in one day is the fastest rate I have seen them sell them and according to the auctioneers records the rate is actually much slower than that. Meaning 50+ deadbeats(like us) will likely get another reprieve.
The beat goes on; we are not asking for a free home; but neither are we moving until someone else takes the home.
BofA is playing inventory games just as Fannie is….it’s one giant conspiracy!!!! The players are all so well cloaked that ya can see right thru them; Games before the bank takes it; games after Fannie gets it.
White House to Propose Plan to Help Postal Service
By STEVEN GREENHOUSE - NYTimes.com
The Obama administration said on Tuesday that it would seek to save the deficit-plagued Postal Service from an embarrassing default by proposing to give it an extra three months to make a $5.5 billion payment due on Sept. 30 to finance retirees’ future health coverage.
Speaking at a Senate hearing, John Berry, director of the federal Office of Personnel Management, also said the administration would soon put forward a plan to stabilize the postal service, which faces a deficit of nearly $10 billion this fiscal year and had warned that it could run out of money entirely this winter.
“We must act quickly to prevent a Postal Service collapse,” said Senator Joseph Lieberman, independent of Connecticut, who is chairman of the Senate Homeland Security and Governmental Affairs Committee, which held the Tuesday hearing on the Postal Service’s financial crisis.
Postmaster General Patrick R. Donahoe testified that even with a three-month reprieve on the $5.5 billion payment, the post office was likely to run out of cash and face a shutdown next July or August unless Congress passed legislation that provided a long-term solution for the ailing agency.
To help erase the postal service’s deficit, Mr. Donahoe has proposed several painful and controversial steps, among them, eliminating Saturday delivery, closing up to 3,700 postal locations and laying off 120,000 workers — despite union contracts with strict limits on layoffs.
“The Postal Service is on the brink of default,” Mr. Donahoe testified. “The Postal Service requires radical change to its business model if is to remain viable in the future.”
NO it does not need a radical change…the freaking post office makes money…..stop forcing them to overfund their pensions….
How can we get this kind of thinking on da newz?
This kind of thinking was on PBS NewHour last night. They even had the PostMaster General and the main union goon on. Both agreed that the pensions and health care were overfunded. The union goon said they could operate just fine if they could “have access to their own money.” The PostMaster General said that it they still needed a structural change, becuase mail volume will still go down in the future.
Agree but i dont think it will be as much as they plan for…so their will be a shortage of workers..and also the post office in sunnyside was actually adverting for workers who speak cantonese, hindi..they could be hired on a emergency temp basis until they pass their exams.
Same with $$$ittybank…no jobs for english only people.
The PostMaster General said that it they still needed a structural change, becuase mail volume will still go down in the future
As some here know, I am bilingual (I speak Spanish).
This “skill” has never helped me land a job.
As some here know, I am bilingual (I speak Spanish).
This “skill” has never helped me land a job.
Same here. It’s useful to have if you work in retail here in Tucson, but it’s not crucial.
I’ve long suspected that speaking multiple languages only helps land menial jobs.
I guess that when I’m too old and mentally feeble to do what I do now, I can always be a bilingual Wal-Mart greeter.
Swiss Central Bank Move ‘Huge Mistake’: Jim Rogers
Wednesday, 7 Sep 2011 | By: Antonia Oprita
Deputy News Editor, CNBC.com
The Swiss central bank’s decision to set a limit on how much the Swiss franc can appreciate against the euro is “a huge mistake,” investor Jim Rogers, chairman of Rogers Holdings, told CNBC.com on Wednesday.
On Tuesday, the Swiss National Bank set a minimum exchange rate of 1.20 Swiss francs for the euro, pledging to buy other currencies in unlimited amounts to defend the target.
Analysts said this was an endurance contest by which the SNB wanted to take the shine off the Swiss franc’s safe haven status, in a move that roiled markets.
The move “will work for a while, but the market will have more money in the end than the SNB,” Rogers, who was the co-founder of the Quantum Fund with George Soros, told CNBC.com.
The Swiss central bank risks losing “a lot of money buying up lots of foreign currencies which they will eventually sell at a loss,” he explained.
Another risk is that the central bank will “totally debase the Swiss franc trying to keep Switzerland ‘competitive’ which will then destroy the traditional Swiss financial industry,” Rogers said.
“So this is a huge mistake for Switzerland since they are going to suffer more either way,” he added.
They certainly ended the status of the Swissie as a perceived safe haven, as safe as gold, in one fell stroke of the pen.
My guess is Rogers lost a chunk of change.
It’s a race to the bottom Mr. Rogers didn’t you get the memo.
The bottom will occur when some of these countries say to hell with globilization.
So they can save their financial industry, or Main StaSSe.
I think they spell it with a “ß” now.
Officials: 1,000 Texas homes burned in past week
AUSTIN, Texas (AP) — More than 1,000 homes have been destroyed in at least 57 wildfires across rain-starved Texas, most of them in one devastating blaze near Austin that is still raging out of control, officials said Tuesday.
Gov. Rick Perry, who cut short a presidential campaign trip to South Carolina on Monday to return to help oversee firefighting efforts in Texas, toured a blackened area near Bastrop, about 25 miles from Austin, where a fast-moving blaze destroyed nearly 600 homes on Monday.
At a news conference afterward, he marveled at the destruction and pointing out that more than 100,000 acres in the drought-stricken state had burned over the past week, and that more than 3.5 million acres — an area roughly the size of Connecticut — had burned since December.
“Pretty powerful visuals of individuals who lost everything,” Perry said. “The magnitude of these losses are pretty stunning.”
Some residents said they were surprised by how quickly the blaze engulfed their neighborhoods.
“We were watching TV and my brother-in-law said to come and see this,” Dave Wilhelm, 38, who lives just east of Bastrop said. “All I saw was a fireball and some smoke. All of a sudden: Boom! We looked up and left.”
Wilhelm returned Tuesday to find his neighbor’s house and three vehicles gone, some of his own children’s backyard toys destroyed but their house spared.
“Some stuff is smoldering on the lot behind us. Inside of the house, we smell like a campfire. We’re definitely very lucky.”
The fire had scorched some 30,000 acres by Tuesday, and the Texas Forest Service said crews were still trying to contain it. State emergency management chief Nim Kidd said that the fire was the most destructive fire of the year in Texas, and that the number of homes destroyed will likely go up, once the hardest-hit areas are assessed.
The blaze was one of dozens that started Sunday in Texas and that were fed by strong wind gusts caused by Tropical Storm Lee. Forestry officials said that Tuesday’s calmer winds would help firefighting efforts.
“It’s encouraging we don’t have winds right now, not like yesterday,” Texas Forest Service spokeswoman Victoria Koenig said
I’m sure the Lying Realtors are having a party over the fact that the inventory is a thousand houses lower.
That’s amazing! Every one of those houses was for sale.
Amazing that you draw a distinction between types of inventory.
It it just me, or is anyone else tired of politicians racing to the scene of disasters to “help”?
That’s what I thought you paid professional managers for. And if they don’t do the job, bring someone in who can.
I mean really, are people so weak that it takes a visit from the Gov/President to give them the strength to persevere?
I’d feel better if I knew that somebody with half a brain cell was in charge of the cleanup and had the authority to do what needed to be done, and the governor/president stayed the fook away.
Been talking with my aunt about the pace of recovery in Waterbury, Vermont. According to her, things are moving right along.
Main Street, which was flooded, has had all of its rubble removed. Took a fleet of dozers to do it, but it got done.
Keep an eye on those Vermonters. They’re making quite the comeback.
Don’t forget what happened in Joplin. They’re quietly rebuilding, but it doesn’t make the news.
notice the color of the people…..would they all join in and help rebuild if it was Camden NJ?
joplin Mo.
The racial makeup of the city was 90.44% White, 3.67% African American, 1.53% Native American, 0.74% Asian, 0.04% Pacific Islander, 0.98% from other races, and 2.59% from two or more races. Hispanic or Latino of any race were 2.51% of the population.
And they are working on state-wide single-payer health care. I wonder if businesses will flock to Vermont the way banks flocked to Delaware or credit cards flocked to Suoth Dakota.
I’d feel better if I knew that somebody with half a brain cell was in charge of the cleanup and had the authority to do what needed to be done, and the governor/president stayed the fook away.
I’m sure the president has no desire to be there, and the people there have no desire for the president to be there. The only reason they are there is so that the most obnoxious segment of the opposition doesn’t score political points with other not-there people by pointing out they are not-there. Is there anything left that’s not theatre?
How about this speech?
“I have complete faith in the ability of the state, and local government and business people to develop a plan for cleanup and recovery. I am sending a small team of observers/representatives to keep me briefed on the progress, and for co-ordinating any Federal assistance that may be requested.
Any appearance on my part at the site would be nothing but political theater, will be a distraction from the cleanup and recovery effort, and would waste time and money better spent on recovery operations”.
Howz that?
are people so weak that it takes a visit from the Gov/President to give them the strength to persevere?
No, but as Sammy likes to point out, the electorate are so stupid as to think that somehow implies the policitician cares, and as such should be (re)elected
It may be more a defensive move. If he didn’t show up, his opponents would use it as evidence that he didn’t care. Almost, but not quite, the same as showing he cares.
We have still had no Pecora-type commission to create an official, public declaration of the root causes of the financial crisis.
If we have no public record of the root causes of the financial crisis, how do we as a society take steps to prevent it in the future?
It will be the next generation of society that will be paying for our Gilded Age. If we don’t want it to be the next several generations, we should be clamoring for a public listing of the root causes of the Great Recession.
If you want to understand why the government does what it does, check out the biggest contributors to government over the past 20-some years:
http://www.opensecrets.org/orgs/index.php
You’ll notice the NAR’s prominent position. And FYI, the “American Association For Justice” is the plaintiff lawyer’s lobby.
Pelosi Peeved Republicans Opt Out of Rebuttal to Obama Speech
September 07, 2011 | FoxNews.com
Republicans have decided they’re not going to give a rebuttal to President Obama’s jobs speech later this week, a decision House Democratic Leader Nancy Pelosi took as a high affront to the White House.
At least three GOP lawmakers also have announced they’re not going to show up for the presidential address. House Speaker John Boehner’s office then confirmed Tuesday evening that nobody from the party would deliver an official televised response.
Pelosi said the party’s “silence” would “speak volumes about their lack of commitment to creating jobs.”
“The Republicans’ refusal to respond to the president’s proposal on jobs is not only disrespectful to him, but to the American people,” Pelosi said.
But Boehner spokesman Mike Steel said Obama’s proposals on Thursday “will rise or fall on their own merits,” suggesting a GOP response was not needed.
“Republicans are, and have been, entirely focused on job creation. Every member of Congress, and — more importantly — the American people, will provide a reaction to the president’s address,” Steel said.
Sen. Roy Blunt, R-Mo., said there will be “plenty” of response to the president’s speech on Friday, but told Fox News he suspects the reason there’s no formal response is “the speaker doesn’t expect to hear much to respond to.”
Some members of Congress, though, won’t be there when Obama delivers his address to a Joint Session of Congress.
Sen. Jim DeMint, R-S.C., has said he doesn’t think he’ll attend — he told Fox News he’s “sick and tired of speeches.” Rep. Joe Walsh, R-Ill., also said he’d skip, writing on his Twitter page that he has no interest in being a “prop” for Obama’s speech. Rep. Paul Broun, R-Ga., will not attend either, opting instead to hold a Twitter town hall while the president speaks.
Dana Perino, former press secretary for George W. Bush, said the lawmakers should attend the session because “you’re an elected leader, and it’s quite a privilege to be able to be there.”
If the Republicans are not going to plan a rebuttal, then Obama ought to dump all over them… talk about abandoning the field! Reminds me of Kruschev walking out on the United Nations in protest.
Enemies of the state!
If the Repubicans are not going to plan a rebuttal
Let’s summarize their non-verbal rebuttal:
“JOB$! JOB$! JOB$!”
The longe$t line is the one under that has Mi$$ion Accompli$hed banner:
Stating pay: <$7.50 per hour…NO benefits! Que up peon$! Hurry! Hurry!
“will be “plenty” of response to the president’s speech on Friday”
They need time to get their talkig points straight before they deliver them. And R’s have a spotty record on rebuttals. Remember Bobby “volcano monitoring” Jindal and Paul “Vouchercare” Ryan and Michele “no no look THIS way” Tea party rebuttal?
Noo… You mean Paul “CouponCare” Ryan.
“The Republicans’ refusal to respond to the president’s proposal on jobs is not only disrespectful to him, but to the American people,” Pelosi said.
Coming the day after the republicans were called “sons of b*tches” at an obama rally with obama right on stage and speaking next. And obama PRAISES that speaker…
And so does every other wager earner.
Really, we have way too many candy-azz politicians, whining about a little name calling.
Just theatre. Like a soccer player pretending to be hurt.
That’s what yellow cards are for. They kept the “divers” at bay last year in South Africa.
This from the guy who posts goon this goon that thug this thug that. Pleeeeease!
I’ll raise your “goon” by two “union thugs”……
That’s why goon squad was born, and on Labor Day, no less.
Fruitboy can’t get his head out of the endless feedback-loop swirling toilet bowl of Drudge–> Limbaugh–> Fox long enough to have an original thought.
Our goon squad counter-surveillance team monitors all of those sources, the talking points just get recycled and regurgitated here, on the MarketWatch forums, and by the callers on C-SPAN’s Washington Journal.
Can I join?
Welcome to the squad
Years ago, i was on another message board. One of the posters made a VERY nasty remark about *ahem* practices in antebellum South. But then a week later, when somebody said the F word she got all worked up and said ‘Oh No No you are an evil person you mustn’t talk like that and I think you should be banned from the board.’ I was stunned.
I have no problem with people who cuss as long as it’s not a constant thing. I look at it this way. If you’re swearing, you’re probably not lying. Angry people are generally truthful.
(Really, try it. Try to lie and swear at the same time.)
I’ve seen some pretty angry psychotic people.
“Republicans are, and have been, entirely focused on job creation…”
Whaaaa-?
Oh, and I thought government didn’t create jobs.
So Rick Perry, the new Republican front runner, has signed on to giving those 55 or over all the senior benefits they have promised themselves while cutting taxes, no matter how much has to be borrowed to pay for it.
While at the same time claiming that those benefits are unaffordable, and must be taken away from those 54 and younger — for their own good.
And the Democratic response to this obvious generational inequity? Silence, or a claim that there is no problem. So that the same policy can be implemented later due to “circumstances beyond our control.”
I guess there is no political upside to calling out Generation Greed, and no downside to pandering to them at the expense of our collective future.
Republicans have been proposing this generational split for a few years now. When they first proposed it, I was on the younger side.
This is merely the first salvo in killing Social Security and Medicare. It is an attempt to peel off the older voters, who have paid in longer and constitute a significant percentage of voters.
I see several possible paths. One is a significant cut in the near future to both SS and Medicare. Another is a significant cut in Medicare payments to providers, resulting in a loss of doctors willing to take new Medicare patients. Another is to inflate away the SS and Medicare obligations.
The first path is favored by Republicans. It is politically unpalatable. The second is easier politically, because a lot of Medicare patients will not see it as directly affecting them. Lack of medical care for the elderly will boost the solvency of SS. The third is politically easiest, but may be difficult in a deflationary economy.
Don’t worry, WT. “Generation Greed” (whoever that is) will get screwed along with everyone else.
BTW, it amuses me that those who accuse whole generations of greed are probably guilty of greed as well.
Where are those doctors going to find patients to replace the Medicare patients?
Good question. It’s not as if there’s a bevy of younger people who have “going to the doctor” as one of their major life activities.
Or who have insurance to pay the bill. Most young people I know just “do without” or if its something that can’t be “toughed out” (say a case of pink eye) they see the nurse practioner at Walgreens.
Another is a significant cut in Medicare payments to providers, resulting in a loss of doctors willing to take new Medicare patients.
Who else will they treat? Whenever I see the doctor the overwhelming % of patients in the waiting room are oldsters. Take them away and most doctors (other than pediatricians) will have no customers … I mean patients.
The medical industry will have to adapt. Just as the rest of us have.
So they will adapt by seeing more patients. Intead of seeing each patient for 15 minutes, they will see them for 5. Things will get missed resulting in higher death rates.
Nurses and nurse practitioners may pick up more of the diagnostic burden. Maybe diagnostic software will be used to categorize patients. Symptoms x and y indicate prescribe antibiotic. Questioning that may have uncovered symptom z could be missing. Perhaps symptom z indicates immediate hospitalization.
“Pelosi said the party’s “silence” would “speak volumes about their lack of commitment to creating jobs.”
“The Republicans’ refusal to respond to the president’s proposal on jobs is not only disrespectful to him, but to the American people,” Pelosi said.
The White House has long been mindful that Thursday night also features the season opener for the National Football League, New Orleans at Green Bay.
Obama speech won’t conflict with football
By David Jackson, USA TODAY
Sep 01, 2011
Relax, football fans. President Obama’s jobs speech next Thursday will wrap up long before the NFL season opener begins.
The White House and congressional Republicans have agreed on a 7 p.m. address to a joint session of Congress. The Green Bay Packers and New Orleans Saints don’t play until 8:30 p.m.
“I can assure all you football fans that he will be completed before kick-off,” White House spokesman Jay Carney said.
The White House has long been mindful that Thursday night also features the season opener for the National Football League, New Orleans at Green Bay.
When a reporter asked Carney if the speech will constitute a “pre-game show,” the spokesman said: “It means he will have the opportunity to watch the game, like millions of other Americans.”
For oxide and Xenos.
Unless Obama spends 90 minutes calling out the R’s and giving names, I’m gonna watch the real pre-game show.
Relax, football fans. President Obama’s jobs speech next Thursday will wrap up long before the NFL season opener begins.
After all, we wouldn’t want our sports-loving President Obama to miss a single minute of the game.
How dare that tripe interfere with NFL football!
Well obviously the jobs situation isn’t that important to the populace if conflicts with a football game are still a concern.
I take it those times are EDT? The speech is at 6pm CDT then, that’s very unusual - the peeps won’t even be home from work.
That would be 4 p.m. MST.
Which brings up a question: How can I pull up a captioned version of the speech on the Internet? CNN’s television captioning is horrible, and I don’t know where else to turn.
One of these days, I’ll replace my computer sound system, but it just isn’t an urgent emergency. And I find that I pay closer attention to speeches when I’m reading captions.
Whitehouse dot gov? C-span dot org? Barackobama dot com?
and many news sites will have a pre-transcript up just before the speech.
Also, *ahem*daily kos*ahem has a couple of hearing impaired posters, so someone usually posts a couple links to video in their live-blog threadpost for such things.
Thank you!
Employers advertised most openings in nearly 3 years, hopeful sign after bleak jobs report
WASHINGTON (AP) — Companies in July advertised the most jobs in three years, and layoffs declined — a bit of hope for a weak economy. Still, many employers are in no rush to fill openings.
The Labor Department said Wednesday that employers increased their postings to 3.23 million from 3.17 million in June. That is the largest number of openings since August 2008. Typically, it takes anywhere from one to three months to fill an opening.
More openings don’t guarantee more jobs. The government said last week that employers failed to add any net jobs in August, the worst month for hiring since September 2010. The unemployment rate stayed for the second straight month at 9.1 percent.
The worsening jobs outlook has put pressure on President Barack Obama. He is expected on Thursday to introduce a $300 billion jobs package before a joint session of Congress. The plan will likely include extensions of the payroll tax cut and long-term unemployment benefits, tax incentives for businesses that hire and money for public works projects.
There’s heavy competition for each job. Nearly 14 million people were out of work in July. So roughly 4.3 unemployed workers were competing for each opening. That’s a slight improvement from June, when the ratio was 4.45. In a healthy economy, the ratio is closed to 2 to 1.
If there are no QUALIFIED takers, the positions will simply be left unfilled. Companies aren’t that desperate to fill positions based on taking a chance on people.
There are an abundance of applicants (more than 2x the healthy number). If the employer thinks they’re all unqualified, then there is something wrong with the employer.
Employers will put togther reqs with 30 requirements. A candidate that meets 29 of those 30 is “unqualified”.
Yeah, they need people who are ready to hit the ground running [cough].
Interesting to look at the history of this number. The number that isn’t seasonally adjusted is actually higher at approximately 3.4MM (up from 3.0MM a year ago, 2.2MM the year before that, and up from 3.2MM in June). Every year going back a decade shows an increase from June to July in the nominal amount, with the exception of 2009, when the number fell.
This number being up is certainly better than it being down, and is probably a better leading indicator than most for job creation (especially when considered alongside the “planned layoff” numbers, which are still not spiking).
BEIJING (AP) — Chinese millionaire Su builds skyscrapers in Beijing and is one of the people powering China’s economy on its path to becoming the world’s biggest.
He sits at the top of a country — economy booming, influence spreading, military swelling — widely expected to dominate the 21st century.
Yet the property developer shares something surprising with many newly rich in China: he’s looking forward to the day he can leave.
Su’s reasons: He wants to protect his assets, he has to watch what he says in China and wants a second child, something against the law for many Chinese.
The millionaire spoke to The Associated Press on condition that only his surname was used because of fears of government reprisals that could damage his business.
China’s richest are increasingly investing abroad to get a foreign passport, to make international business and travel easier but also to give them a way out of China.
The United States is the most popular destination for Chinese emigrants, with rich Chinese praising its education and healthcare systems. Last year, nearly 68,000 Chinese-born people became legal permanent residents of the U.S., seven percent of the total and second only to those born in Mexico. Canada and Australia are also popular.”
One reason why costal CA RE and other expensive places in the US will remain higher than one would think
Su’s reasons: He wants to protect his assets, he has to watch what he says in China and wants a second child, something against the law for many Chinese.
Oh, the horror! His only child is (gasp!) an ONLY child!
Speaking of which, I am an only child. And, being of late 1950s vintage, I fielded more than few “What’s wrong with your mother?” questions.
Well, I’m here to tell you exactly what that problem is: My mother has an amazing ability to offer snappy answers to nosy questions.
When she was asked why she only had one child, she’d calmly say, “Because I had a perfect child the first time and couldn’t figure out what do for an encore.”
According to Mom, that shut ‘em up every time.
LOL. I am sure my mom thought she should have stopped with my older sister. Hindsight.
There are many Chinese blowing away money in our Canadian casinos here in Ontario. Without them, “tourism” would be bleak.
Mostly “Chinatowns” in Markham, Richmond Hill, Toronto, etc. although they are spreading out more.
Went to Vegas this weekend. Haven’t seen that many Chinese since the Chosin Reservoir.
Wow, you ARE old :-).
Nah, just checking to see how many people are “current” on their postwar history.
You would be really good, if I’d said “Unsan” or “The Gauntlet” instead of Chosin.
The Gauntlet
Nope, had to Google for those. I read Hackworth’s book back in 91 and know just enough about Korea to be dangerous :-).
Chinese blowing monie$
Hey, check your world population stat’s…
America [AA+] day: 34!
“He sits at the top of a country widely expected to dominate the 21st century. China’s richest are increasingly investing abroad … to give them a way out of China.”
I spy a contradiction. Can anyone else spy a contradiction? I knew you could…
So this Su dude games a fraudulent system just long enough to make a mint and escape to a country with less fraud. May you live in interesting times, buddy.
Of course, they want the best of both worlds. They might criticize the USA for its “high wages” and “non competitiveness”, but they’d rather live here once they amass enough money to live off of.
Stocks Bounce Back As Worries Ease About European Debt- Reuters
Wall Street rose on Wednesday, reversing three days of losses on hopes the European debt crisis might ease after Germany’s top court smoothed the way for Berlin’s participation in bailout packages.
~ W street getting a little wee-wee’d up over the German courts ruling. I’m not so sure that it will make that much difference. Greece can’t even service it’s debt payments right now, and the next “bail-out” for them will not be fast coming. Italy is not far behind.
Good thing BB assured us that we have little exposure! Riiight!
For your amusement, here’s a Real Estate Subdivision Name Generator. You’ll no doubt enjoy the “negative names” option.
What fun!
Cougar Haven does not sound like a place I’d want to live.
Breadfruit Waves - Mr. Roberts lives here?
Grizzly Pasture. I suppose it’s better than Grisly Pasture.
Penguin Landing sounds a bit cold.
And those are the good ones.
The negative ones did not seem as creative.
“Cougar Haven does not sound like a place I’d want to live.”
Could be interesting for a gigolo to set up shop there…
Immigration Offenses Make Latinos New Majority in Federal Prisons, Report Says. September 07, 2011 | Fox News Latino
For the first time - Latinos make up more than half of all federal felony offenders sentenced so far this year, a major demographic shift swollen by immigration offenses, according to a new government report.
Latinos already outnumber all other ethnic groups sentenced to serve time in prison for federal felonies.
The report released Tuesday shows that Latinos reached the milestone by making up the majority of all federal felony offenders sentenced in the first nine months of fiscal year 2011, according to the U.S. Sentencing Commission.
Latinos comprised 50.3 percent of all people sentenced in that time period, blacks 19.7 percent and whites 26.4 percent.
In comparison, last year Latinos made up just 16 percent of the whole U.S. population.
The commission’s statistics also reveal that sentences for felony immigration crimes — which include illegal crossing and other crimes such as alien smuggling — were responsible for most of the increase in the number of Latinos sent to prison over the last decade.
The demographic change in who is being sent to federal prison has already prompted debate among commissioners and experts studying the impact of expedited court hearings along the border.
“Statistics like this have to start drawing attention to this country’s immigration policies and what we’re doing, if this is one of the results,” said Fordham University Law School professor Deborah Denno, an expert on racial disparities in the criminal justice system. “The implications for Latinos are huge when you think of the number of families affected by having their breadwinners put away for what in some cases would be considered a non-violent offense.”
According to my brother in the Border Patrol, the only ones they arrest are the ones who are serial border jumpers. (the usual procedure is to photo/fingerprint the first timers, then load them into a bus for Tee-Wanna).
Or the ones who ran/violated parole from a US charge. Usually domestic abuse, or DUI. Says about 40% of the ones they catch have outstanding US warrants/parole violations.
According to my brother in the Border Patrol, the only ones they arrest are the ones who are serial border jumpers
That’s a good one, probably limits it to 99.99%??
Along with web 2.0, Wall Street is trying to give us Tech Bubble 2.0?
Do they really think peo[ple will buy this?
Let’s see… Yahoo sucks becuase their revenue is only $7B a year with over $1B profit. This makes the company worth about $17B.
Facebook, with its rumored $1.7B revenue and rumored maybe $500M profit, unaudited… is worth $80B market cap. A 160P/E??? Really????
Oh, but it is the growth rate! 750 million users. Really, how many more users do you think theyare going to get?
It’s revenue is $2.50 per year per user? Rupored profits are less than $.75 per user per year?
Oh, but it is the growth rate! 750 million users. Really, how many more users do you think theyare going to get?
I recently read a blog post (sorry, I can’t recall the link) noting a second derivative change in Facebook’s growth curve. For those of you who aren’t calculus lovers, this means that Facebook’s growth is slowing down.
Wouldn’t that be the the second derivative of Facebook’s absolutely number of users curve? That is, the FIRST derivative of Facebook’s growth curve?
u = # users.
du/dt = growth in # users over time.
d2u/dt2 = slope of growth is decreasing ==> growth slowing down.
d2u/dt2 = slope of growth is decreasing ==> growth slowing down.
That’s what I was trying to say. Thanks for cleaning up my math.
It’s all about feeding the insatiable stockholder maw. Growth has to be steep to get the kind of returns they want.
Funny how its OK for J6P to have a stagnant income, but not for corporations.
As for Facebook, I’m sure we’ll be reading about how its stock tumbled in the not too distant future.
When you see a large company IPO you have to think why are they cashing out.
Carlyle is trying to cash out but they are a little late to the dance. Blackrock timed it right.
The saying goes, that when the new office building is going up, it’s time to sell the stock.
insatiable stockholder maw
Not only is it not okay for corporations to have stagnant income, it’s not oaky for coporations to have stagnant PROFIT. If they make 6% this year, they have to make 8% next year. Even worse, the rate increase of profit must increase too. It’s not enough to go from 6% to 8% to 10%. No, you have to go from 6% to 8% to 12%…
That’s why Verizon went on strike. Not like the company was struggling and the workers needed to “sacrifice.” Nope, the company was profitable, but was asking workers to give up benefits… only to increase dividends. Verizon management wasn’t even pretending anymore.
And with the widest moat Charlie Munger has ever seen, Google makes $10 Billion on $36 Billion of Revenues, and is worth $172 Billion (17 P/E…same as Yahoo!).
Fed says 12 regions grew modestly this summer
Despite market turmoil, Fed says all 12 of its bank regions grew modestly in August
WASHINGTON (AP) — Despite the turmoil that shook the financial markets last month, the Federal Reserve says its 12 bank regions grew modestly this summer because consumers spent more in most parts of the country.
The Fed survey noted that growth was mixed and some regions reported weaker expansion. But the survey appeared to be an improvement from the previous report, which said growth had slowed in eight of its 12 regions in June and early July.
The survey released Wednesday looked at economic conditions around the country from mid-July through Aug. 26. It was based on reports provided by the Fed’s 12 regional banks. The regional outlook will help shape the discussion at the central bank’s next meeting on Sept. 20-21.
The economy barely grew in the first half of the year, and the government said last week that employers stopped adding jobs in August.
Consumers and businesses are feeling less confident after a turbulent summer. Lawmakers fought over raising the federal borrowing limit, Standard & Poor’s downgraded long-term U.S. debt, and stocks have fluctuated wildly after plunging in late-July and early August.
Some economists say the Fed must take steps to help the economy avoid another recession.
“Fed says 12 regions grew modestly this summer”
Sounds like there is no need for inflation-inducing QE3, right?
Mich. governor signs 48-month welfare limit
LANSING, Mich. (AP) — Gov. Rick Snyder on Tuesday signed into law a stricter, four-year lifetime limit on cash welfare benefits, prompting advocates for the poor to warn that tens of thousands of residents will find themselves without cash assistance on Oct. 1.
Michigan’s first-year Republican chief executive said the state will offer exemptions to the limit for those with a disability who can’t work, those who care for a disabled spouse or child and those who are 65 or older and don’t qualify for Social Security benefits or receive very low benefits.
Some recipients who are the victims of domestic violence also may be temporarily exempted.
“We are returning cash assistance to its original intent as a transitional program to help families while they work toward self-sufficiency,” Snyder said in a statement. He noted that the state still will help the poor by offering food stamps, health care coverage through Medicaid, child care and emergency services.
Then-Gov. Jennifer Granholm, a Democrat, signed a bill that created a four-year limit starting in 2007. But that law exempted many welfare recipients, including those whose caseworkers said they were making progress toward finding employment.
The 2010 election of Snyder and the simultaneous Republican takeover of the Michigan House gave the GOP a free hand to set its own course on public assistance.
The change gives Michigan the Midwest’s toughest welfare time limit, according to a survey by The Detroit News. It said there are five-year limits in Illinois, Iowa, Minnesota, Missouri, Ohio and Wisconsin. Indiana has a two-year limit for adults — but none for children.
Gilda Jacobs of the Michigan League for Human Services said she expects about 41,000 people to lose their cash assistance payments on Oct. 1 when the state’s new budget year begins. That includes 29,700 children, according to the Michigan Department of Human Services.
“We’re very, very concerned,” Jacobs said. “As the days go by, new people will be meeting the 48-month limit. … More will be falling off that cliff.”
they will have to try for SSI the social security section for disabled , orphans, widows
transfer the cost to the federal government. I have no idea how tough it is to get SSI benefits I think it depends on the judge.
I think they are hoping welfare recipients will leave for more generous states. Another race to the bottom.
TPOUS. Undoubtedly feels some pressure to come up with a blockbuster program, especially given that this speech could make or break his chances in the 2012 election. But he need not worry, because he already has a perfectly good model for fixing our unemployment problem — his own ObamaCare health plan!
Simply by varying a few features of ObamaCare, the president could guarantee nearly “universal” employment just as ObamaCare has guaranteed nearly “universal” health coverage. He could implement an “ObamaJobs” program as follows:
1) Impose a “job mandate” requiring all companies with greater than 50 employees to add 10% new employees to their payrolls. So if a company currently has 50 employees, they would need to hire 5 new workers. If a company has 100 employees, they must hire 10 new workers, etc.
2) If a company failed to hire enough workers, they would have to pay a penalty to the government. That pool of money would be used to pay for government-subsidized jobs and to fund a government-run jobs “exchange” to match up prospective employers and unemployed workers.
3) Of course, the government would have to closely specify what sorts of salaries, benefits, and job responsibilities must be included in any of these new government-created jobs, both within and outside the exchanges. We can’t have those “millionaire and billionaire” employers exploiting their new employees. If a company needs, say, a Linux programmer, but the new worker has a “pre-existing condition” of not actually knowing Linux, the company should deal with it the best they can — either by training him in Linux or finding him another job that he can do.
4) The president recognizes that some companies have special requirements and shouldn’t be subject to a one-size-fits-all “hiring mandate.” Any employer wishing to be exempted from these new requirements can thus request a “waiver” from the secretary of Labor. Because it will be an impartial government official deciding who gets a waiver and who doesn’t, the process is sure to be fair and objective.
5) Of course, this idea of a “jobs mandate” is constitutional. Some old-fashioned pundits might mistakenly think that employers — not the government — should be free to decide whether and when to hire new workers, based on their own individual circumstances and requirements. But more enlightened scholars realize that “not hiring someone” is a form of “economic activity” that could affect commerce and economics across the country, especially when such individual “not hiring” decisions are considered in aggregate. Hence, by the Commerce Clause of the U.S. Constitution, Congress has the authority to limit or outlaw this widespread practice of “not hiring someone.”
6) Nor is this socialism. So those cranky Tea Party types shouldn’t be upset. The government is merely helping employers to be “responsible” and “do the right thing” in their hiring. This isn’t a government takeover of private business, but rather a “public-private partnership”! (Speaking of which, we need to start renaming muggings as “mugger-victim partnerships.”)
7) Finally, if this program fails to turn the economy around, we’ll all know whom to blame — the free market. If this ObamaJobs “employment reform” fails, then it means that the private sector blew their chance to fix things. We’ll then have the political capital to outlaw the private job sector altogether and implement a “single employer” system, where the government assumes full control over all jobs, salaries, benefits, and workplace duties. That way, we can finally guarantee that all Americans’ wealth (and sacrifices) are “shared” properly.
President Obama should once again heed the advice of his former Chief of Staff Rahm Emanuel to “never let a good crisis go to waste.” If he does, he could make this ObamaJobs program every bit as popular and successful as his ObamaCare health program!
Sure is nice to see that some people are capable of creating imaginary programs that the President “might” create, and then posting those imaginary ideas on the Housing Bubble Blog as a way to trick people into thinking that the President did these things.
It’s an amBUSH lil’ Opie!
Sounds like a winner to me, and it would go over to thunderous applause at the Thursday night get together. Forward your plan ASAP to the White House, and best of luck getting some of the credit, for this jewel of a plan!
This is for all you Bama haters:
You know those tarrifs Obama wanted to enact against Chinese-made tires? China went crying to the WTO saying it’s not fair, but the WTO said the US can charge those tarrifs if we want to. Methinks Obama gave the WTO a chance to save face because you know there would have been a show-down otherwise. First it’s tariffs on tires, next it’s tarrifs on everything else.
What do all you Bama haters have to say for yourselves now, perrenial haters?
Methinks Obama gave the WTO a chance to save face
I can see tires being a test case to established precedent so China can’t run to the WTO again, but where is the “face” in this?
Although, if Obama yanks favored nation status, what’s China gonna do? Recall the debt? What if the US says “You want it, come and get it.” Will China show up with their rusty old Russian aircraft carrier? Or maybe Mexico will bail us out like Germany is bailing out Europe.
I suspect that China has already recieved its debt payback in the form of 30 years of technology and IP.
That’s easy to answer. The haters can say that we’re all going to pay more for tires.
Yeah, but then the haters would have to answer to all those unemployed people who feel that it’s OK for Americans to pay other Americans for their work, seeing as an unemployed American costs more to society than a tire. If you don’t have a job, then you can’t afford to buy cheap tires.
“If you don’t have a job, then you can’t afford to buy cheap tires.”
Freedom is when you have nothing left to lose! Is this the freedom the TEA party talks about?
Who cares what the WTO says?
Worse they can do is allow other WTO members to impose tariffs against us. Big whoop.
The only entity that needs fear a trade war is the entity on the surplus side.
Hello V. Haven’t seen you around much. Welcome.
NEW YORK — A program to get people to buy greener appliances is no longer accepting applications for rebates.
The New York State Energy Research and Development Authority recently exhausted their $3.5 million in funding for the rebate program on Energy Star refrigerators and clothes washers.
The rebate program began last Friday. It was so successful that all funds were distributed by 4 p.m. on Sunday.
NYSERDA is no longer accepting applications for rebates. The rebates were awarded on a first come, first served basis for completed applications.
$3.5 million in rebates in 3 days. I wonder how many years were left in those replaced machines and how much credit was used to purchase them.
http://centralny.ynn.com/content/top_stories/556343/nyserda-no-longer-accepting-rebate-applications/
Many (millionaire) baby boomers don’t plan to leave their children an inheritance
In a survey of millionaire boomers by investment firm U.S. Trust, only 49% said it was important to leave money to their children when they die. The low rate was a big surprise for a company that for decades has advised wealthy people how to leave money to their heirs.
“We were like ‘wow,’” said Keith Banks, U.S. Trust president.
Whether to leave an inheritance is a decision increasingly faced by many of the nation’s 77 million baby boomers, and it’s becoming all the more complicated by the troubled economy.
Boomers are caught between the desire to enjoy their long-awaited golden years and the pressure of various financial concerns, such as fear of outliving their savings and the need to help parents, children or siblings who have their own money struggles.
They spent their lives building businesses and careers, often at the expense of their health or personal relationships. And after years of footing the bill for their kids’ pricey educations, they see no reason to curb their spending impulses in their later years.
“I do not see my baby boomer clients giving up a vacation or wine or dinners out so that they can leave more money to their children, because they feel like they’ve already done it for their kids,” said Susan Colpitts, executive vice president of a wealth management firm in Norfolk, Va.
So I guess it’s not only bitter ex wives that plan to keep spending in a manner they’ve grown accustomed to. LOL
The article starts w/quotes from a 60 year old that is putting her daugher through medical school. That is quite a gift and I have empathy for her idea that at some point she should enjoy the fruits of their labor. One thing I find interesting though, and it is anecdotal, is the number of people who are spending it and have no plans to pass it on despite the reality that much of their boomer wealth came from their parents in the form of an inheritance.
Jennifer Westoven ran this story on Headline News and was laughing at the number of wealthy that didn’t want to leave their kids money because they just thought they’d blow it. She exclaimed, now if they didn’t learn how to handle money appropriately who’s fault was that?
http://www.latimes.com/business/fi-la-boomer-inheritance-20110906,0,1467194.story
They spent their lives building businesses and careers, often at the expense of their health or personal relationships.
I think I see the root of the problem here.
“California Homeowners are Using This Ridiculously Easy Trick…”
Where do they find the ghouls who appear in those ads? It’s like a horror show…
The veterinary school dropout appears to be at least somewhat anti-science.
In GOP Presidential Field, Science Finds Skeptics
by Andrea Seabrook
Morning Edition
September 7, 2011
Republican presidential hopefuls gather Wednesday at the Ronald Reagan presidential library in California for perhaps the first critical debate of the primary election season.
Texas Gov. Rick Perry, who has publicly doubted the science of climate change and says creationism should be taught alongside evolution, is the new front-runner for the GOP presidential nomination. He’s not alone in these views. If the topic of science comes up during the debate, the views of all of the GOP presidential candidates will be on display before a national audience.
Ahead of the GOP debate, we compiled the candidates’ statements on climate change and evolution.
Two unusual things happened on the East Coast a couple of weeks ago. First, there was an earthquake that rumbled from Virginia to New York. Then Hurricane Irene drove past the usually stormier states in the South to hit the Eastern Seaboard, including Washington, D.C., Maryland, New York and Vermont.
At the time, Rep. Michele Bachmann of Minnesota, who started her political career fighting for creationism to be taught in schools alongside evolution, said at a campaign rally that perhaps God was sending signals to politicians in Washington.
“You’d think by now they’d get the message,” Bachmann said. “An earthquake, a hurricane … are you listening?”
…
Texas Gov. Rick Perry, who has publicly doubted the science of climate change and says creationism should be taught alongside evolution, is the new front-runner for the GOP presidential nomination. He’s not alone in these views.
No he isn’t!, Eyes happened to run into a lil’ Opie hater in bar today! Oh my, his daughter swallowed a 4″ fish bone, cost him $27,000, lil’Opie that’s the fella he blame$!
BWAHAHAHicHAHAHicHAHAHAHAHicHAHAHic* (DennisN™)
Texas Gov. Rick Perry = “TrueEvangelicalistia’s™”
Pray for rain, Pray for Job$!, pray for victory!
Romney and Perry Clash, Drawing Lines in G.O.P. Sand
Monica Almeida/The New York Times
Michele Bachmann and Mitt Romney listened as Rick Perry, right, spoke Wednesday in his first Republican presidential debate.
By JEFF ZELENY and ADAM NAGOURNEY
Published: September 7, 2011
…
Representative Ron Paul of Texas aggressively challenged Mr. Perry on several fronts, including for pushing through an executive order requiring young girls to have an inoculation against a sexually transmitted disease, HPV, before reversing course.
“This is not good medicine, I do not believe,” he said. “It’s not good social policy. And therefore, I think this is very bad to do this. But one of the worst parts about that was the way it was done.”
“I think this is very bad to do this.”
But just think of how much dough Merck probably handed Perry for signing that executive order. It must have been quite a bundle!
Figures, please, if anyone has them handy?
I didn’t see this debate (will watch it later hopefully), but he ran circles around the rest of the field in the last one.
Is the right constituency listening…..at all?
Perry should give it a rest. He’s not electable. Period. What does his party stand to gain from his candidacy?
Posted at 03:30 PM ET, 08/17/2011
Some conservatives not thrilled by Rick Perry
By Rachel Weiner
Presidential candidate Rick Perry, with his wife Anita, at left, speaks to New Englanders at the Politics and Eggs breakfast, in Bedford, New Hampshire. (Melina Mara - THE WASHINGTON POST) Does Rick Perry have a problem with conservatives?
In the very short time since Perry’s presidential announcement, there have been some potentially problematic grumblings among a handful of conservative bloggers about the Texas governor. While Perry is being lavished with attention by the national media, there are some positions that are causing consternation among some vocal conservatives.
Most famously, there’s the governor’s decision to mandate that all Texas schoolgirls get the HPV vaccine Gardasil, which some social conservatives see as an embrace of promiscuity and libertarian-minded conservatives argue amounts to government overreach in matters of personal health. Perry now says he made a mistake, but the Republican defended his position for years.
But the vaccine controversy isn’t Perry’s only break from conservative orthodoxy.
“The Gardasil debacle is just one of many concerns a wide range of grassroots conservative activists have about Perry’s record as governor,” said prominent conservative blogger Michelle Malkin, who wrote a post critical of Perry on Wednesday. “He’s soft on illegal immigration despite a few recent nods to border enforcement. He’s prone to crony capitalism. And as the vaccine mandate scandal shows, he demonstrated Nanny State tendencies that are anathema to Tea Party core principles.”
…
WSJ: Debt Burdens Forcing Older Americans to Forgo Retirement
Wednesday, 07 Sep 2011 08:16 AM
By Forrest Jones
More and more Americans are carrying so much debt that they can no longer afford to retire, The Wall Street Journal reports.
Home loans are especially forcing older Americans to clock in at work every morning.
Thirty-nine percent of households with heads aged 60 through 64 had primary mortgages in 2010 and 20 percent had secondary mortgages, including home-equity lines, according to research group Strategic Business Insights’ MacroMonitor, the Journal reports.
That was up from just 22 percent and 12 percent, respectively, in 1994.
Many Americans now delay retirement to pay their bills.
(Associated Press photo)
Selling a home to pay off the mortgage and then moving into a smaller place is no longer an option because many owe more on their homes than they are worth.
“Relative to the value of their homes, the amount of indebtedness if anything has gone up because house prices have fallen faster than mortgages have been reduced,” says Christopher Herbert, director of research at Harvard’s Joint Center for Housing Studies, the newspaper reports.
Home prices are still falling although the pace of decline may be stabilizing.
The S&P/Case-Shiller index of property values in 20 cities fell 4.5 percent in June 2011 from June 2010, after a 4.6 percent drop in the 12 months ended May that was the biggest since 2009, Bloomberg reports.
Even if the pace of the decline does slow, don’t expect home values to pick up soon.
“Prices aren’t going to rebound back rapidly,” Paul Dales, a senior U.S. economist at Capital Economics in Toronto, tells Bloomberg.
…
AARP Home
Bankruptcies Up for Older Adults
Filers cite lost jobs, credit card debt and empty retirement accounts
by: Bob Calandra | from: AARP Bulletin | January 6, 2011
When the economy tanked in 2008, Alvin Ferdinand depleted his retirement nest egg and maxed out his personal credit cards trying to save his Michigan business. At age 64, he says, he had no choice but to file for bankruptcy, losing the three assisted living facilities he owned and administered.
Irene Froehlich, 61, dutifully paid her credit card bills on time, even after her commission-only income fell by 75 percent two years ago. But when the credit card companies raised her interest rates, says the Chicago resident, she was backed into a financial corner. She filed for bankruptcy in November 2009.
The recession that drove these two people to the edge is helping drive a larger trend: a rising rate of bankruptcy filings by older Americans. Historically, soaring medical debt was the main reason older adults took this extreme step.
These days, the rate is pushed up increasingly by lost or reduced income, a weak labor market and depleted retirement accounts.
In a sign of the times, the number of personal bankruptcy filings by people of all ages rose to 1.5 million in 2010, the highest level since 2005, when the law was revised to make it harder to wipe out debt, according to the American Bankruptcy Institute.
…
Last post of the day for me:
AARP Home
Bankruptcies Up for Older Adults
Filers cite lost jobs, credit card debt and empty retirement accounts
by: Bob Calandra | from: AARP Bulletin | January 6, 2011
When the economy tanked in 2008, Alvin Ferdinand depleted his retirement nest egg and maxed out his personal credit cards trying to save his Michigan business. At age 64, he says, he had no choice but to file for bankruptcy, losing the three assisted living facilities he owned and administered.
Irene Froehlich, 61, dutifully paid her credit card bills on time, even after her commission-only income fell by 75 percent two years ago. But when the credit card companies raised her interest rates, says the Chicago resident, she was backed into a financial corner. She filed for bankruptcy in November 2009.
The recession that drove these two people to the edge is helping drive a larger trend: a rising rate of bankruptcy filings by older Americans. Historically, soaring medical debt was the main reason older adults took this extreme step.
These days, the rate is pushed up increasingly by lost or reduced income, a weak labor market and depleted retirement accounts.
In a sign of the times, the number of personal bankruptcy filings by people of all ages rose to 1.5 million in 2010, the highest level since 2005, when the law was revised to make it harder to wipe out debt, according to the American Bankruptcy Institute.
…
I lied. There is this:
September 8, 2011 4:47 am
Republican rivals turn on Perry
By Stephanie Kirchgaessner in Washington
Rick Perry
Governor Rick Perry of Texas recently signed into law measures allowing teachers in the state to have more of their savings handled by hedge funds
Rick Perry, the governor of Texas, came under attack from nearly every fellow Republican candidate for president at a contentious debate on Wednesday night as he defended his controversial position that Social Security, the popular pension scheme for the elderly, was a “Ponzi scheme”.
“I kind of feel like the piñata here,” Mr Perry exclaimed halfway through the debate in California that marked his debut on the national stage. The relentless stream of attacks on Mr Perry, which included criticism of his record on jobs and his previous support for mandatory vaccination of young girls against the human papilloma viruses, reflects the governor’s meteoric rise to the top of the Republican polls in recent weeks and his displacement of the previous frontrunner, former Massachusetts governor Mitt Romney.
…
And this…and now good night and good luck!
September 7, 2011 10:17 pm
The future of banking: Hunt for a common front
By Patrick Jenkins, Brooke Masters and Tom Braithwaite
Dorotea, a thirty-something one-woman ceramics entrepreneur based in the remote forests of Peru, knows all about the global financial crisis. She might not be familiar with the intricacies of Lehman Brothers’ demise in 2008, nor with the succeeding slew of regulations intended to fix a broken banking system. But she knows she is lucky. If she were trying today to get the loan of 1,200 sol for a new kiln that she secured a few years ago, she would be disappointed.
Like virtually every bank worldwide, her micro-lender, Mibanco, has had to reduce the risks to which it is exposed, and is no longer granting credit to poverty-stricken businesspeople such as Dorotea. “We’re still lending,” says her local manager. “But we’re looking for lower risks – not so poor, not so micro.”
Three years after the depths of the worst financial crash in eight decades, it is clearer than ever that the crisis many thought ended two years ago is dragging on – and in some ways, particularly in the US and across the eurozone, intensifying. Businesses and politicians say credit is either unavailable or too expensive. Banks complain that profits are being squeezed so hard that investors are deserting them. Regulators, stranded in the middle, are left wondering whether their natural crisis response – to draft tough new rules – is building a stronger system as intended or rather exacerbating the problems of a fragile global economy.
In the first of a week-long series of analysis and comment articles, video interviews and multimedia graphics, the Financial Times here begins an in-depth examination of the future of banking.
…