January 17, 2013

Bits Bucket for January 17, 2013

Post off-topic ideas, links, and Craigslist finds here. And check out Chomp, Chomp, Chomp by a regular poster!




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Comment by ahansen
2013-01-17 01:18:41

While in Bakersplat yesterday, I stopped by the Second Amendment Sports store to pick up a couple of cases of .22 snake shot I’d ordered last summer. (About as benign as ammo gets without coming out of a BB gun; they’ve been back-ordered on everything for months.)

The proprietor, as you might imagine, was gleeful at the recent shootings er, turn of events, and the place was overflowing with apoplectic dittoheads voicing the usual AM talk radio mantras: “Obama is coming for our guns”, “they’re making everybody register to buy ammunition” and the perennial “they’re not gonna take away mah rights”. When I mentioned that Obama hadn’t done anything of the sort, and had actually signed legislation making it legal to carry in National Parks, there was a momentary pause, then about six burly guys in line behind me all took deep breaths and turned purple. After reminding them that I was there BUYING AMMUNITION GUYS, I beat a hasty retreat.

Obviously, this administration is posturing because there’s no way in Hades Redamuka is going to allow ANY of the proposed regulations to be enacted. But what really gives me pause is the paucity of voices asking why the left is so (ahem,) up in arms over “gun violence” (which let’s face it is simply random unorganized violence on a local scale) when America’s massive military industrial complex is organized violence on a global scale, wreaking orders of magnitude more senseless death and human suffering every single day. The hypocrisy is stunning.

I know this country is easily distracted, but how can we as a nation possibly have this conversation without first addressing the violence committed in our name against everyone else on the planet? More to the point, how much is this Congressional sideshow costing the taxpayers? Then there’s that can they kicked until…oops, March is only six weeks away.

Oh, and the highway into town was clogged with heavy equipment and industrial parts trucks. First time I’ve seen that in six or seven years. There must be some significant government cheese coming into the (oil industry’s) coffers again.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 03:45:49

“When I mentioned that Obama hadn’t done anything of the sort, and had actually signed legislation making it legal to carry in National Parks, there was a momentary pause, then about six burly guys in line behind me all took deep breaths and turned purple. After reminding them that I was there BUYING AMMUNITION GUYS, I beat a hasty retreat.”

You are a brave woman to not just visit establishments frequented by AM talk radio fans, but to challenge their talk show hosts’ Obama strawman. I would have paid money to see a bunch of deep purple teabillies freak out…

Comment by nickpapageorgio
2013-01-17 04:27:18

Where do you hang out? Where do they pipe in NPR all day, eat tofu and braid each others dread locks?

Comment by goon squad
2013-01-17 07:30:09

This attitude is typical of coastal elitists. And it’s not limited to the coasts, see also Ann Arbor or Boulder. David Brooks profiled them well in his book “Bobos In Paradise”.

In addition to hating guns, they love pushing the diversity / multiculturalism agenda. They have a COEXIST sticker on their Volvo or Subaru, but the reality of their coexistence is living in neighborhoods that are 95+ percent white.

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Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:37:34

They…they…they…

The HBB hasn’t run short of bigotry…

 
Comment by Ben Jones
2013-01-17 08:00:32

‘The HBB hasn’t run short of bigotry’

No, we haven’t even got to a rich Muslim who belongs to the tea party.

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:08:57

“…rich Muslim who belongs to the tea party.”

That would be a multiculturalist’s wet dream…

 
Comment by joesmith
2013-01-17 09:03:43

“the reality of their coexistence is living in neighborhoods that are 95+ percent white”

I’ll admit to living in one of these neighborhoods. But the city I live in is only maybe 50% white. And just over the hill, about 5-6 blocks away, there is a neighborhood that is probably only 25% white. Of course this is separated by a major roadway with a median and the people living on either side might as well be different species.

You can see the same thing near where I work in DC - when you come down 11th Street near Logan Circle area (R.I. Ave) it’s nearly 100% white. Then at O and N streets it gets brown/black. Once you get the L and K streets, you’re back to nearly 100% white (or asian).

Uniquely American!

 
Comment by Montana
2013-01-17 09:22:46

Bobos may be dumb but they ain’t stupid.

 
Comment by sfhomowner
2013-01-17 10:12:56

What makes America’s gun culture totally unique in the world, in four charts.

Most Americans live in a bubble, having no idea what it is like anywhere else in the world. Regarding guns, there is something different going on here. This might be a good place to begin the discussion.

And yes, I know how to shoot a gun (Lady’s Night at the shooting range, what fun!), owned a revolver for about 15 years. Gave it to a friend when my first kid was born.

Not having guns in the house when you have kids is right up there with using a seat belt and swim lessons.

 
 
Comment by zee_in_phx
2013-01-17 12:15:36

“we haven’t even got to a rich Muslim who belongs to the tea party’

maybe i should introduce HBB to my favourite Egyptian-American dentist.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:44:41

Gun Control Advocates Say ATF’s Hands Have Been Tied
by Brian Naylor
January 08, 2013 4:52 PM
Listen to the Story
National Public Radio
All Things Considered
4 min 13 sec

Officers transfer confiscated weapons after a news conference to announce the arrests of scores of alleged gang members and associates on federal racketeering and drug-trafficking charges in Lakewood, Calif., in 2009.
David McNew/Getty Images

After the school shooting in Newtown, Conn., President Obama asked Vice President Biden to lead a group tasked with drafting policies to reduce gun violence. One of the issues sure to come up in the Biden group’s discussions is the role of the Bureau of Alcohol, Tobacco, Firearms and Explosives.

The ATF is the primary enforcer of the nation’s gun laws, but advocates and former ATF officials say the agency has been underfunded, understaffed and handcuffed in its abilities to go after gun crimes.

In an ad campaign launched Tuesday by the group Mayors Against Illegal Guns, Roxanna Green, whose child was killed two years ago, appeals directly to the camera: “My 9-year-old daughter was murdered in the Tucson shooting. I have one question for our political leaders: When will you find the courage to stand up to the gun lobby?”

Standing up to the gun lobby is seen by gun control advocates to mean not only banning assault-style weapons and high-capacity magazines, but restoring some teeth to the ATF.

“The restrictions on ATF are absurd,” says Jon Lowy of the Brady Center to Prevent Gun Violence. “They’re not allowed to use computers in doing their trace work. They’re not allowed to do more than one spot inspection on a gun dealer.”

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Comment by Bluestar
2013-01-17 09:02:38

Catch a re-run of Jon Stewart’s Daily Show 01-16-2013 for a good look at the ATF and what republicans have done to castrate it. If feel a lot safer now. I wish they would do the same thing to the DEA.

 
 
Comment by scdave
2013-01-17 08:23:42

pipe in NPR all day, eat tofu and braid each others dread locks ??

NPR ??

Lots of divergent groups likely listen to them…

Eat tofu ??

Ditto…

Braid each others dread locks ??

Any specific group you are trying to identify here Nicky ??

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Comment by goon squad
2013-01-17 08:27:34

Struck a nerve there, did he now?

Better call Al and Jesse cuz that’s Racist®

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:02:26

“Any specific group you are trying to identify here Nicky ??”

1. Progressives
2. Statists
3. Libruls
4. Communists
5. Other?

 
Comment by joesmith
2013-01-17 09:05:43

“Any specific group you are trying to identify here Nicky ??”

Never forget, Nick/Diogenes (who gives Greek Americans a bad name btw) yearns for a time when Americans supported the Fugitive Slave Act.

 
Comment by Pimp Watch
2013-01-17 09:14:19

6. Liars
7. Corrupt elected officials(all of Congress)

 
Comment by scdave
2013-01-17 09:34:10

Struck a nerve there, did he now ??

Not really….I am under no illusion that racism and bigotry in our country is very much alive & well…I am just calling Nicky out on it…

 
Comment by Diogenes (Tampa, Fl)
2013-01-17 13:14:04

Never forget, Nick/Diogenes (who gives Greek Americans a bad name btw) yearns for a time when Americans supported the Fugitive Slave Act………

I’ve never commented on the Fugitive Slave Act, so you’ve obviously taken statements of others and attributed them to me.
Perhaps you made them yourself.
I was never “pro-slavery”, although I did and do support States Rights, as that was the basis of the Constitution, despite all the Denial of it by most Pro Federal take-over of all things in Government.

 
Comment by alpha-sloth
2013-01-17 13:34:56

when Americans supported the Fugitive Slave Act.

Hey, property rights are sacrosanct, right?

 
Comment by nickpapageorgio
2013-01-17 21:36:25

“Any specific group you are trying to identify here Nicky ??”

You are all smart enough (well maybe not all) to understand my point. It stings when you realize some of your troops can be lampooned for their way of life. Like I said earlier this week, mind your own business and this will be a happier country.

 
Comment by nickpapageorgio
2013-01-17 23:06:47

“Fugitive Slave Act.”

Missed that one from the poser. Another Alinsky disciple seeks to destroy the messenger with smear tactics. Nice try.

 
 
Comment by joesmith
2013-01-17 08:50:28

I don’t get the assumption that far-right fundies are big & burly & manly, whereas having a more open minded approach to life is for sissies. I usually find a.m. talk radio types to be short angry guys or else big burly (fat) guys. I myself am tall and like working out, was a college athlete (crew, so I’m not claiming I was some football badass). Just because I’d rather lift weights or bike or play tennis than go deer hunting or have “prepper” meetings where I worry about my teabilly hicktown being overrun by black and brown people, this makes me some girly-man? LOL.

I also do listen to NPR on ocassion (they have some excellent shows, as does PBS). Oh, and I eat tofu or something similar once a week or so. Not so much on the braids, though… my hair style is more patrick bateman-ish.

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Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:04:05

“I also do listen to NPR on ocassion (they have some excellent shows, as does PBS).”

Communist!

 
Comment by joesmith
2013-01-17 09:07:17

I also listen to Marc Levin and Michael Savage at times. They are hilarious and should *never* be taken off the air! I also miss Glen Beck having a TV show. He could make some decent points, but then follow them up with completely ridiculous and unsupported conclusions.

 
Comment by zee_in_phx
2013-01-17 12:17:42

“ridiculous and unsupported conclusions.”… or delusions.

 
Comment by Montana
2013-01-17 13:24:40

Beck went over a cliff and tried to take his fanboys with him. Give people credit for turning away.

 
 
Comment by ahansen
2013-01-17 11:33:02

To be fair, the person in line in front of me was a Mexican lady with a young daughter who wanted to sign up for the mandatory eight-hour gun safety class so she could legally buy a handgun.

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Comment by Arizona Slim
2013-01-17 10:00:04

Our brave ahansen is very good at such encounters, CIBT. She’s truly one of a kind.

Comment by sfhomowner
2013-01-17 10:59:34

Which is scarier, bears or gun-toting teabaggers?

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Comment by tresho
2013-01-17 11:09:24

Which is scarier, bears or gun-toting teabaggers?
Gun-toting bears.

 
Comment by Albuquerquedan
2013-01-17 11:43:12

The right to Bear arms.

 
Comment by tresho
2013-01-17 11:46:22

Thankfully the Bill of Rights does not mention the right to arm bears.

 
Comment by ahansen
2013-01-17 11:47:11

Neither. What scares me most are blowhards who blame their own intellectual shortcomings on “Them”.

 
Comment by goon squad
2013-01-17 12:10:18

We spend a lot of time camping and hiking in National Forests. We always pack the .357 during late summer and early fall when the bears are fattening for hibernation. There are known trouble spots for bears, Lake Como and Willow Lake in the Sangre de Cristo Mountains, the Snowmass / Maroon Bells area near Aspen. The source of the problem is always human food and garbage being improperly stored and disposed of. A friend of a friend was camping near Aspen and took all necessary precautions and nevertheless woke up with a bear chewing on his leg.

The National Forests attract a lot of other campers and visitors who are not into hiking, rock climbing, mountaineering. While we have never had any incidents, people we know have been verbally threatened or indirectly threatened by late night campers drunkenly shooting off guns nearby. Can’t speak to the political affiliation of these folks, but they tend to be fans of ATV’s and crawler Jeeps, and are seldom seen far from places accessible with motorized transport.

 
Comment by tresho
2013-01-17 12:34:13

We spend a lot of time camping and hiking in National Forests. We always pack the .357
There is a National Park Service campground in Greenbelt, MD adjacent to a Metro rail station, about 10 miles from the heart of DC. I camped there once to attend a special Veteran’s Day in DC in 2004. I met a local vet and told him where I was camping. He said, “I wouldn’t sleep there unless I had a loaded .45 underneath my pillow.”

 
Comment by tresho
2013-01-17 12:37:44

A friend of a friend was camping near Aspen and took all necessary precautions and nevertheless woke up with a bear chewing on his leg.
What good would having a .357 do in a case like that? You would be more likely to shoot yourself or a human companion in the dark than the leg-chewer (or head-chewer). About the only way to prevent such an attack would be to maintain a bright fire and an armed guard to watch over you while you sleep.

 
Comment by ahansen
2013-01-17 13:11:09

“…and are seldom seen far from places accessible with motorized transport….”

Bingo. Hard to carry all that beer in on foot.

 
Comment by tresho
2013-01-17 13:19:14

Around where I live, the drunk/druggies are too lazy to go camping, they just start shooting from their backyards. Closer to the fridge that way, y’see.

 
Comment by goon squad
2013-01-17 13:19:16

Speaking of “Them”, we greatly enjoyed reading British humorist Jon Ronson’s book of that title:

http://www.amazon.com/gp/aw/d/0743233212

 
Comment by Montana
2013-01-17 13:26:02

Allena is those oil fields around Bakersfield still active or did they tap out?

 
Comment by ahansen
2013-01-17 13:54:34

What few have been tapped out completely are now mostly failed real estate developments, but “oilmen” are using steam extraction (and, one suspects, fracking) to get to the 40+% of the oil that’s left in most of those older fields.

The Kern River Oil Field is still the “Oil Capital of California” with Kern Kounty being the largest oil-producing county in the United States, pumping about 10% of the nation’s crude. Yet CA imports 70% of its oil….

Here’s an excellent article on the local and international viccissitudes of oil extraction:

http://www.nationaljournal.com/features/restoration-calls/where-oil-is-plentiful-and-expensive-20120628

 
Comment by nickpapageorgio
2013-01-17 23:10:34

“Hard to carry all that beer in on foot.”

Probably easier to carry in boxed wine, trail mix and marijuana.

 
 
Comment by ahansen
2013-01-17 14:35:37

Coincidentally, my leetle brother just now called to tell me he’s FedEx-ing a choice hunk of the bear that’s been ravaging his vineyards and neighbor’s pear orchard all month. I’ll convert it into a fine winter stew with mixed emotions, let me tell you, but I’m betting there’s a good story in here somewhere…. ;-)

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Comment by mathguy
2013-01-17 15:34:23

Right on.. It’s like getting back on the horse, except you are getting back at the bear… My old football coach used to say, “Beat the bears!”

 
Comment by ahansen
2013-01-17 16:10:03

The thing is, I rather LIKE bears, and have advocated against their mindless slaughter much of my life. Just as there are some rotten human beings out there, so are there also a few rotten bears. Punishing the one for the sins of the other seems as unfair as restricting gun rights for people who have nothing to do with the carnage inflicted upon schoolchildren.

On the other hand, there’s nothing so delicious as a slow-braised bear haunch stew with fresh winter veggies and a fine cabernet. :-)

 
Comment by Arizona Slim
2013-01-17 16:35:27

On the other hand, there’s nothing so delicious as a slow-braised bear haunch stew with fresh winter veggies and a fine cabernet. :-)

Party at ahansen’s!

With target practice beforehand! (Paper targets and iron sights only.)

 
Comment by sfhomowner
2013-01-17 16:43:02

Just as there are some rotten human beings out there, so are there also a few rotten bears.

Being a surfer, this describes how I feel about sharks.

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 23:31:46

“sharks”

Have you seen this Youtube footage? It must bum out the enviros to realize one of their pet species for an ESA listing is a vicious killer of marine mammals.

 
 
 
 
Comment by CeeCee
2013-01-17 03:56:26

“how can we as a nation possibly have this conversation without first addressing the violence committed in our name against everyone else on the planet?”

I don’t think many people really want to have a discussion. It’s easy to ignore violence when you don’t have to deal with it. Protecting people seems to be the goal on both sides, but it’s conveniently ignored when most murders are occurring outside of your country by your own government. Of course, all you have to do is throw in the word “freedom” to justify problematic military endeavors.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:39:54

The solution is easy, really.

If everyone just bought a gun and learned how to use it, then everyone could protect themselves against violence.

Comment by AmazingRuss
2013-01-17 08:09:39

…and inflict it whenever the felt like it.

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Comment by goon squad
2013-01-17 09:30:04

Rahm Emmanuel’s Chicago in a nutshell.

Oops, wait. Guns are illegal there :)

 
 
Comment by nickpapageorgio
2013-01-17 23:11:56

I’ve still got plenty of “GUN FREE HOME” signs, just let me know where to ship.

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Comment by sfhomowner
2013-01-17 10:17:53

“how can we as a nation possibly have this conversation without first addressing the violence committed in our name against everyone else on the planet?”

The “left” I know has always been very vocally anti-war and anti-militarism. Maybe you are talking about a different group of leftists?

That said, I am embarrassed at how silent the left has been regarding Obama’s war-mongering policies.

Comment by Arizona Slim
2013-01-17 10:21:41

That said, I am embarrassed at how silent the left has been regarding Obama’s war-mongering policies.

Au contraire. The Firedoglake blog has been all over this story for quite some time.

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Comment by In Colorado
2013-01-17 11:50:54

Obama seems to get trashed on a regular basis on “Democracy Now”, which unlike the sell outs at NPR and PBS, really is “leftist”.

 
Comment by sfhomowner
2013-01-17 12:52:38

Democracy Now

Real journalism. But most people, liberal or conservative, don’t have the attention span for the sort of in-depth reporting that shows like Democracy Now. They want complex issues explained to them in less than 60 seconds.

 
Comment by tresho
2013-01-17 13:02:57

They want complex issues explained to them in less than 60 seconds. No. They don’t want any explanation that takes longer than a soundbite. Ratiocination makes their heads hurt, then they get fidgety & change the channel.

 
Comment by joesmith
2013-01-17 13:04:06

Isn’t Democracy Now a PBS program? Or am I thinking of something else?

 
Comment by Arizona Slim
2013-01-17 13:15:38

Isn’t Democracy Now a PBS program? Or am I thinking of something else?

It’s carried on independent radio stations. Such as that one I used to deejay for.

 
Comment by oxide
2013-01-17 13:47:08

Great Orange Liberal Site has been less vocal on the wars, but has loud fights when Obama sells out to Bohner on fiscal policy such as chained CPI.

 
Comment by alpha-sloth
2013-01-17 13:50:35

Most people want the explanation that agrees with what they already think.

 
Comment by In Colorado
2013-01-17 14:30:36

But most people, liberal or conservative, don’t have the attention span for the sort of in-depth reporting that shows like Democracy Now. They want complex issues explained to them in less than 60 seconds.

When I was working on my useless MBA, we were told that you had to be able to get your point across quickly, and that executives don’t like long, in depth reports or analysis.

This struck me as odd. How could you make a good decision without background information. Of course, this explains the incredible clusterf**ks that companies make, like when HP overpaid billions for software maker Autonomy.

 
Comment by mathguy
2013-01-17 15:36:36

What’s wrong with just saying “Don’t do it”…? That takes much less than 60 seconds. The executives can then ask you “why not” and you should have the background research ready…

 
Comment by sleepless_near_seattle
2013-01-17 16:53:29

How could you make a good decision without background information.

Whenever I’m proposing something to management that needs their approval (giving away free gear to an important client, por ejemplo), I literally begin with a “Cliffs Notes version” of what I ultimately need followed by a “Long version” with all the deets that might get asked of them by their managers if there’s an audit at some point. It’s all there in writing if it’s worth their time to review the minutiae. If not, they know what I need and can give a quick thumbs up/down.

 
 
 
Comment by Diogenes (Tampa, Fl)
2013-01-17 12:29:34

The conversation you are having is totally ludicrous. There shouldn’t be a conversation about the “Effects” of the 23 Executive Orders Obama has just signed. The conversation should be about what Right, as executive, he has to rule be “executive order”.
He has signed about 150 or more Executive Orders, by-passing Congress, and is ruling by DECREE. This should be the big discussion.

While I also agree that Our invasions of foreign lands should be taken as a sign of Imperialist fervor that needs to be curtailed, this is also being done by Executive Order, as Commander-in-Chief, with a wink to Congress.

It was the Left side here accusing BUSH of being the Fascist, while the Right side, me included has targeted OBama as a Fascist. Fascists rule by Decree, over-ridding their parliaments, or legislatures or houses of the People.
Everyone went absolutely Apeshit when the Patriot Acts were proposed and PAssed after 9/11. Obama increased them and came up with NDAA, an even MORE intrusive, un-Constitutional plan.

Here is a quote of one of the defining moments in history:
“An evil exists that threatens every man, woman an child of this generation. We must take steps to ensure our domestic security and protect our homeland.”
Who said that?
I’ll give you guys a couple of hours to figure it out and then check back with you.

Comment by mathguy
2013-01-17 13:18:01

Don’t be a moron Diogenes. I am fully against the push toward the ever centralizing and controlling reach of the Feds. But Obama has signed fewer executive orders than either of the last two Bush’s OR Clinton. These 23 orders were benign at best, simply lifting a restriction on the CDC being able to research causes of gun violence. It is the legislation that is being proposed that you should worry about. And also the fact that Obama is following the same terrible policies of war as Bush. Guantanamo.. still open.. Afghanistan and Iraq.. still ongoing… drone strikes, increased from Bush… rendition, continued .. NDAA, expanded… Patriot Act renewed… Bernanke bailouts; continued… Need I go on? At least get upset about the things that matter.

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Comment by Diogenes (Tampa, Fl)
2013-01-17 14:19:04

You are the one that is misinformed and completely out of touch.
the LIE of the left is that OBAMA has signed LESS than Bush,Clinton, etc.
HE has signed more than all of them combined, going back to FDR.
GO the the Whitehouse.org, since you don’t believe “right wing” propaganda, and look at the LIST of orders.
There’s about 10 pages worth, in reverse order, starting this year.
My last count was over 150, and some are rather “benign”. Others are big over-reaches.
You excuse this tyrant in disguise at every turn.
IF Bush had done the same things, the press would be unrelenting in its criticism.
Others that claim to be “progressives” would be rolling over if Bush had done these things.

 
Comment by mathguy
2013-01-17 15:03:56

I don’t disagree with the number.. what I last read was 157. Second result on Google search for Bush II XO count:

George W. Bush (2001-2009) EO’s 13198-13488.

By my count that is 291. What the content is may be a different story, but I’m not misinformed on the number.

Again, this is no excuse for policy. I’m actually on a similar page to you in that regard..(just read my post man!) . I’m just trying to correct you on the Executive order count. The past 3 presidents have had more.

Pick the right thing to get upset about or else you will be ignored as uninformed and ignorant. There are enough facts that you don’t need to spin mistruths to make the guy look bad.

 
Comment by mathguy
2013-01-17 15:10:34

I do have to say this.. If Bush II had 291 XO’s over 8 years, and Obama has had 157 in a little over 4 years, he IS on pace to have the same # as Bush II, even if his current tally is lower. Again though, we should be much more worried about economic and foreign policy abominations he is pushing (in conjunction with the Republicans!) than these pretty benign executive orders.

 
Comment by mathguy
2013-01-17 15:20:25

Snopes to the rescue again:

http://www.snopes.com/politics/obama/executiveorders.asp
Reagan : 381
Bush I : 161
Clinton: 364
Bush II :291
Obama : 138 (157 currently last I saw)

 
 
Comment by oxide
2013-01-17 13:57:16

Google found it in 0.39 seconds.

Not that we couldn’t guess it in 0.2 seconds anyway. :roll:

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Comment by nickpapageorgio
2013-01-17 04:17:14

Progressives like watching average hard working citizens squirm under the weight of seemingly unending draconian statist measures. They (progressives) also seem to enjoy patting themselves on the back as they talk amongst their friends about the clueless masses and how they are too dumb to understand what’s good for them.

I would love to see the look in your eyes when the statists come for you. The left won’t be in charge forever you know, and as we have all seen, the statists on the right can be just as diabolical.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:28:42

Keep feeding them progressive strawmen, bro’…

 
Comment by RioAmericanInBrasil
2013-01-17 06:35:05

the clueless masses and how they are too dumb to understand….

Dude, you’re funny when you snarl. :)

You just gave me a chuckle 5000 miles away! Wooff Wooooff!

Comment by ahansen
2013-01-17 13:27:39

Okay, I had to un-JTE peabrain to see what the stink was about.

“…I would love to see the look in your eyes when the statists come for you….”

Such frothing paranoia inspired me to go searching for this little gem, which I loved so much I saved it somewhere…hang on a minute, let me look this up…. Ah yes, here we go, Exhibit A for the gun control lobby:

Comment by nickpapageorgio
2012-12-14 15:44:40

I think the global progressives are programming young men starting in grade school. The young man gets a phone call later in life where he hears a dark voice on the other end, that dark voice just says one CODE WORD. Then the young man’s eyes glaze over, he then arms himself including body armor and proceeds to commit his rampage. The global progressives only call on these young men during times of political turmoil, when they need the public to cry out for gun control.

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Comment by nickpapageorgio
2013-01-17 21:40:17

Thank you for sharing my moment of brilliance. In true seek and destroy progressive style you left out the opening line. I don’t even have to go back and read it…I opened by saying this is my conspiracy theory of the day, and it looks like you fell for it hook, line and sinker. Glad to see you are still following my posts. :)

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 23:33:50

Paranoia is the new black.

 
 
 
Comment by oxide
2013-01-17 06:58:41

“statist.”

Is there an established negative connotation for “statist?” Not really. Are there any bad boyz from history who were associated with the word “statist?” Not really — I thought the baddies were associated with “Communist” and “Socialist” and “Fascist”, not statist. So now anytime the wingnut calls someone a statist, they have to pause and think and explain what a “statist” is. Where’s the fear factor there?

Wouldn’t the wingnuts’ meme-time be better served by trying to destroy “Progressive” than by pushing “statist?”

Comment by RioAmericanInBrasil
2013-01-17 07:18:11

Wouldn’t the wingnuts’ meme-time be better served by trying to destroy “Progressive” than by pushing “statist?”

Labels lose their impact if used too often. They’ve worn out “Socialist, Communist, liberal, progressive” etc. People are starting to yawn or even worse, laugh upon hearing those labels. (I prefer chuckling)

“Statist” is the new word. I give it about a year’s run.

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Comment by Ben Jones
2013-01-17 07:27:31

‘Labels lose their impact if used too often’

Kinda like wing nut, nut job. It’s interesting how many here start off an attack on someone else by using some ‘label’ that intend to categorize them as insane.

While we’re on terms; I’ve got to the point where I tune out if I read the word metric!

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:47:37

I only enjoy labels if I can hear myself laugh out loud every time I read them.

“teabillie” is a funny one…”progressive” is another.

 
Comment by moral hazard
2013-01-17 08:18:49

“teabillie” is a funny one…”

Does that mean they’ve worn out “teabagger” ?

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:07:14

“teabagger”

It’s funny, though a bit over the top for its connotations.

 
Comment by joesmith
2013-01-17 09:11:04

“teabilly” is something I say because it’s more of a cultural reference. Someone who is, culturally speaking, poor white trash, but has the added wrinkle of being a hard core GOP supporter. The type that votes out Richard Luger in favor of the “rape guy”. These teabillies support candidates that, in turn, support policies that would screw over the working people in America, put American into more debt, spend more on the military, and reduce personal freedoms (e.g. most of them hate Roe v Wade).

 
Comment by goon squad
2013-01-17 09:45:57

^This.

As we have previously posted here, the modern popularity of the phrase “Tea Party” originated with Ron Paul’s Tea Party “money bomb” fundraising event on 12/16/2007.

What the “Tea Party” became after Rick Santelli’s CBoT floor rant in early 2009 has been quite pathetic.

We attended a speech by (former U.S. Rep) Tom Tancredo in October 2010 in the final days of his gubernatorial bid. The “Tea Party” presence at the event was thick and vocal, and confirmed for us that it was a movement we had no reason to support.

 
Comment by sfhomowner
2013-01-17 10:21:29

‘Labels lose their impact if used too often’

Calling everything racist (whether you are joking, as some on this board do), or playing the race card, has the same effect.

 
Comment by goon squad
2013-01-17 12:41:39

Calling everything racist

We were a young and naive undergrad liberal arts major once. A decade on from there spent in the real world has schooled us that the biggest racists are the ones who most often accuse others of being racist.

 
Comment by tresho
2013-01-17 13:06:43

A native American elder once told me she thought native Americans were the worst racists she ever encountered.

 
Comment by Montana
2013-01-17 13:37:43

Maybe “racism” is normal adaptive behavior.

 
Comment by Carl Morris
2013-01-17 14:13:21

Maybe “racism” is normal adaptive behavior.

Social norms and us vs. them are powerful things. It’s not about skin color.

 
Comment by PeakHubris
2013-01-17 14:52:37

Most times I have visited places on reservation land, the hosts have been cold and even rude. They like the money we bring but they don’t like us.

 
Comment by ahansen
2013-01-17 16:12:09

Wait until you visit China.

 
Comment by Robin
2013-01-17 18:21:57

Or Hawaii.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:41:35

‘Is there an established negative connotation for “statist?”’

You must not own a copy of the teabillie dictionary.

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Comment by Happy2bHeard
2013-01-17 15:51:59

” The left won’t be in charge forever you know”

The left is in charge?

 
Comment by nickpapageorgio
2013-01-17 21:43:28

Nice discussion. I suggest more hate next time.

 
 
Comment by frankie
2013-01-17 05:05:48

Don’t you be using facts on them, it’s like taking on a one legged man in an arse kicking competition.

 
Comment by michael
2013-01-17 07:12:36

purple…really?

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:38:34

Sounds amazing.

Comment by michael
2013-01-17 10:38:01

they were burly too…i’m picturing a group like those fascist pigs in “Duck Dynasty”…but purple.

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Comment by moral hazard
2013-01-17 07:55:13

“Obviously, this administration is posturing because there’s no way in Hades Redamuka is going to allow ANY of the proposed regulations to be enacted.”

I know there is a cry for banning the Sturmgewehr and high capacity magazines but until they get this worked out has anyone out of the NRA or Crazy Uncle Joe`s federal task force looking for ways to curb gun violence or the Executive Order in Chief thought of maybe throwing in something that might require people who now own a Sturmgewehr with a high capacity magazine to keep them locked up in a safe so perhaps a medicated loved one under psychiatric care may not have quite such easy access to them like what happened in Newtown.

If they asked me for a set of recommendations that would be like number 1.

Comment by ecofeco
2013-01-17 10:37:40

Damn good idea. Seriously.

But in the Newton case, the mother regularly kept her guns locked up.

She either failed to that time or her son was able to find out the combination or where the key was kept. Nobody is sure what happened yet. (I think. I haven’t bothered to do an in depth research on this)

 
Comment by tresho
2013-01-17 11:12:54

perhaps a medicated loved one under psychiatric care
We don’t know that either, just poorly informed third party speculation. See Andrew Seligman’s op-ed.

Comment by moral hazard
2013-01-17 11:40:37

“We don’t know that either, just poorly informed third party speculation.”

I will concede your point.

So how about this?

Require people who now own a Sturmgewehr with a high capacity magazine to keep them locked up in a safe so perhaps happy-go-lucky youngsters may not have quite such easy access to them like what happened in Newtown.

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Comment by tresho
2013-01-17 11:50:23

The current extremely-ill-informed popular ‘discussion’ (actually a propaganda distraction) on gun control, of course, has not mentioned the high likelihood that US law enforcement personnel have a mentally-ill or otherwise untrustworthy relative or acquaintance who could filch their weapons and go on to cause trouble. Wiki “Red Lake Massacre.”

 
Comment by moral hazard
2013-01-17 12:29:24

“the high likelihood that US law enforcement personnel have a mentally-ill or otherwise untrustworthy relative or acquaintance who could filch their weapons and go on to cause trouble.”

Just US law enforcement personnel?

VA to loosen rules to get PTSD benefits

By Rick Maze - Staff writer
Posted : Saturday Jul 10, 2010 9:06:13 EDT

New rules could take effect as early as Monday to streamline the process for veterans of all eras with post-traumatic stress disorder to become eligible for disability benefits and treatment.

Veterans Affairs Department rules, due to take effect after they are published in the Federal Register, relax the type of evidence that veterans need to try to prove they have service-connected PTSD.

http://www.armytimes.com/news/2010/07/military_va_ptsd_rules_071010w/ - 54k

Nearly 30% of Vets Treated by V.A. Have PTSD

by Jamie Reno Oct 21, 2012 4:45 AM EDT

A new study by the Veterans Administration reveals nearly 30% of its patients who served in Iraq and Afghanistan have PTSD. Jamie Reno reports.

The report, which revealed that 247,243 veterans from the Iraq and Afghanistan Wars have been diagnosed with PTSD, was buried on the V.A.’s website without fanfare. “As far as we can tell, V.A. didn’t tell anyone these numbers were made public,” says veterans advocate Paul Sullivan at Bergmann & Moore, a law firm that focuses entirely on veteran disability issues. “No press release. Nothing. I actually found the report while searching for new data. I simply changed the V.A.’s web address from second quarter to third quarter by altering one digit, and the new numbers appeared. Magic, eh?”

http://www.thedailybeast.com/articles/2012/10/21/nearly-30-of-vets-treated-by-v-a-have-ptsd.html - 79k -

Senate Democrats protect administration’s right to strip PTSD vets of guns

December 5, 2012
By: Patricia CampionSubscribe

The Associated Press reported Tuesday that the Senate approved a sweeping, $631 billion defense bill – the 2013 National Defense Authorization Act – “sending a clear signal to President Barack Obama to move quickly to get U.S. combat troops out of Afghanistan.”

Against Obama’s “veto threat,” the Senate passed the legislation by a vote of 98-0.

However, as The Washington Times reported Tuesday, the bill “hit an unexpected bump on its journey” when an amendment on veterans’ gun rights “devolved into a heated floor debate.”

Sen. Tom Coburn, Oklahoma Republican, wants veterans who have been deemed “mentally incompetent” to have their cases adjudicated by a judge — rather than the Department of Veterans Affairs, as happens currently — and argued that veterans who simply cannot support themselves financially are needlessly given the label and, as such, cannot buy or possess firearms.

“We’re not asking for anything big,” Coburn explained on the Senate floor Thursday. “We’re just saying that if you’re going to take away the Second Amendment rights — they ought to have it adjudicated, rather than mandated by someone who’s unqualified to state that they should lose their rights.”

However, as soon as New York Democrat Sen. Charles E. Schumer discovered that Coburn’s pitch was part of a bundle of amendments tucked into the NDAA, he quickly objected.

“I love our veterans,” Schumer prefaced his opinion. “I vote for them all the time, they defend us.”

Despite his professions of “love” for “our veterans,” Schumer then equated military veterans with Post Traumatic Stress Disorder to convicted criminals.

“But if you are mentally ill, whether you’re a veteran or not, just like if you’re a felon, if you’re a veteran or not, and you have been judged to be mentally infirm, you should not have a gun.

http://www.examiner.com/article/senate-democrats-protect-administration-s-right-to-strip-ptsd-vets-of-guns -

 
 
Comment by sfhomowner
2013-01-17 12:55:17

Never mind, it turns out the Newton shooting never actually happened.

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Comment by moral hazard
2013-01-17 13:33:12

VA to loosen rules to get PTSD benefits

By Rick Maze - Staff writer
Posted : Saturday Jul 10, 2010 9:06:13 EDT
———————————————————————
Nearly 30% of Vets Treated by V.A. Have PTSD

by Jamie Reno Oct 21, 2012 4:45 AM EDT

The report, which revealed that 247,243 veterans from the Iraq and Afghanistan Wars have been diagnosed with PTSD,

“As far as we can tell, V.A. didn’t tell anyone these numbers were made public,”
———————————————————————
Senate Democrats protect administration’s right to strip PTSD vets of guns

December 5, 2012
By: Patricia CampionSubscribe

“But if you are mentally ill, whether you’re a veteran or not, just like if you’re a felon, if you’re a veteran or not, and you have been judged to be mentally infirm, you should not have a gun.”

 
Comment by ecofeco
2013-01-17 13:38:29

:lol: Yeah, I saw that a few days ago.

 
Comment by ahansen
2013-01-17 14:26:01

Absolutely brilliant way to cut back on rising veteran’s benefit costs for PTSD claims. Bravo!

‘…you have been judged to be mentally infirm, you should not have a gun.”

 
Comment by moral hazard
2013-01-17 14:47:27

I know a 2 tour Iraq War vet who did this. He had talked to a buddy he had served with and went in knowing what to say and got $1,200 or whatever it was a month for PTSD. He is pretty close to a gun fanatic which led me to sak him while he was doing this…. Won`t they make you give up your guns? He said…. No I checked into that first, you get to keep your guns.

 
Comment by moral hazard
2013-01-17 15:00:58

“Absolutely brilliant way to cut back on rising veteran’s benefit costs for PTSD claims. Bravo!”

When it comes to the 247,243 veterans from the Iraq and Afghanistan Wars that have already been diagnosed with PTSD. I don`t think they are going to let them say…

Well, I`m feeling better now.

In which case it looks like a pretty good set up. But there is a big part of me (which most of you know well) that says….

That money was there for the ones who needed it and the ones who scammed the system get what they got coming.

 
Comment by Ml
2013-01-17 18:27:33

Also would be great way to keep all those who are …ahem …disabled/ permanently not working…from owning a gun. Urban street violence would stop in a week.

 
 
 
Comment by ahansen
2013-01-17 12:11:32

So three armed druggies break into your home and you say, “Hey, guys, hang on a minute here while I remember the combo to this gun safe, grab the weapon, find the ammo, load the clip, click a round into the chamber, get into position and aim, will ya?”

What’s the point of having a home firearm if it’s not within easy reach and ready to fire? And what’s the point of having a safe unless you give everyone the combination to use in an emergency?

If you and your family (and their guests) aren’t capable of dealing with the safety ramifications, maybe you shouldn’t keep firearms in your home for “protection”?

Just a thought.

Comment by moral hazard
2013-01-17 13:12:06

“So three armed druggies break into your home and you say,”

Meet Mr. 9mm that is always in my pocket. To be honest when I sleep it is in a safe by my bed and if the three armed druggies manage to get in without waking Dozzer (which is doubtful), they win.

Even when the 9mm is in my pocket I do not keep a round chambered. Once again if the chance that I actually would need to use it arises and they get me in the extra .5 seconds it takes me to rack the slide, they win. There is no chance of an accidental discharge if I do not have it chambered and I would much rather be killed myself than have some innocent person hurt or killed by something I did by accident.

“If you and your family (and their guests) aren’t capable of dealing with the safety ramifications, maybe you shouldn’t keep firearms in your home for “protection”?”

Quite honestly I believe having my 2 rifles and 1 shotgun in a large gun safe is dealing with the safety needed to keep firearms in your home today. Now when I grew up my father had a different kind of safe. As long as his hunting rifles and shotguns stayed on the racks on the walls or in his closet and were not touched my brother, sisters and I would be safe. If you touched anything guns or otherwise you were not safe at all.

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Comment by nickpapageorgio
2013-01-17 23:32:00

“I do not keep a round chambered”

Not to get up in your business, but you should reconsider when carrying outside of the home. In any kind of altercation, things can happen quickly, look into the 21 foot rule.

 
Comment by Carl Morris
2013-01-18 09:22:17

I’m with moral hazard. I don’t like keeping a round chambered unless I’m in immediate danger, in which case I should also be getting away from that situation as quickly as possible. I agree that I would rather be killed myself than having an innocent person hurt or killed by an accidental discharge. A double action revolver can be a good compromise.

 
Comment by nickpapageorgio
2013-01-18 23:45:24

If you don’t carry chambered then it really does you no good outside of your house. You should really reconsider or decide not to carry. I do understand where you are coming from, I carried un-chambered for years until I really started to think about how fast something can happen. Look into that 21 foot rule and be safe out there.

 
 
Comment by Diogenes (Tampa, Fl)
2013-01-17 14:40:16

You sound like a right-wing extremist nutjob.
You are, of course, absolutely correct. All this left-wing “safety” crap with safes and gun-locks defeats the purpose of owning a firearm.
If it isn’t loaded and ready to fire, you might as well throw it at them. That’s all it’s good for.

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Comment by moral hazard
2013-01-17 15:25:01

“If it isn’t loaded and ready to fire, you might as well throw it at them. That’s all it’s good for.”

Or you could…

Draw, rack and fire - YouTube
http://www.youtube.com/watch?v=dzGwsriMnII - 131k -

 
 
 
Comment by shendi
2013-01-17 12:28:13

“Obviously, this administration is posturing…”

Notice the pattern? At the beginning of another 4 year term here is another convenient distraction - an unpopular and divisive one - on which President Obama will spend all his remaining political capital on. Just like he did on healthcare reform. In the end it will be half-baked.

What about reducing the overseas military presence, in the process reducing the deficit. Also what about the financial sector reform. - Actual reform, not lip-service as done by Dodd-Frank.

This is truly American exceptional-ism on display.

Comment by tresho
2013-01-17 12:41:11

This is truly American exceptional-ism on display.
No, it’s just dangling sparkly stuff in front of an oh-so-easily distracted electorate whose way of life is going down the drain.

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Comment by ahansen
2013-01-17 12:53:23

Or it could be a considered response to a large and vocal portion of the electorate demanding government action? In either case, gun control is a non-starter when it comes to actual federal gun regulations.

I’ve always maintained it should be a municipal issue.

 
Comment by sfhomowner
2013-01-17 12:59:10

Or it could be a considered response to a large and vocal portion of the electorate demanding government action?

AP Poll: Majority want gun controls

WASHINGTON (AP) — Nearly six in 10 Americans want stricter gun laws in the aftermath of last month’s deadly school shooting in Connecticut, with majorities favoring a nationwide ban on military-style, rapid-fire weapons and limits on gun violence depicted in video games, movies and TV shows, according to a new Associated Press-GfK poll.

A lopsided 84 percent of adults would like to see the establishment of a federal standard for background checks for people buying guns at gun shows, the poll showed.

 
Comment by tresho
2013-01-17 13:10:38

– Those AP polls never ask the interesting questions that would help us make sense of the qualifications those answering the polls, such as “Do you believe in free lunches?” and “What state is Columbus, Ohio the capital of?”
– I’ve learned more from Jay Leno’s polls than from the AP.
– When a pollster calls me, I hang up.

 
Comment by nickpapageorgio
2013-01-17 23:33:28

“I’ve always maintained it should be a municipal issue.”

Yes, the heartland of the left and the birthplace of incremental statism.

 
 
 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 03:58:39

Groundhog Day is almost here again.

Thursday, January 17, 2013
Irish PM warns UK exit from EU would be ‘catastrophic’
17/01/2013 03:01 (00:55 minutes ago)

The FINANCIAL — Irish Prime Minister Enda Kenny warned Wednesday that a British exit from the EU would be a disaster, after giving a passionately pro-Europe speech to the European Parliament.

“I think it would be catastrophic if Britain were to leave the European Union,” Kenny told reporters after a keynote address to the European Parliament to mark his country’s six-month stint in the EU policy chair.

British Prime Minister David Cameron is to give a keenly-awaited speech on relations with the EU on Friday in Amsterdam, with eurosceptics sensing blood in the next European elections in 2014.

As EUbusiness reported, in December, EU president Herman Van Rompuy warned that the EU, and especially the single market that Cameron sees as its greatest asset, “would soon unravel” if governments were able to “cherry-pick” only those parts they liked.

The United States, Germany and other allies have also urged Cameron to avoid a so-called “Brexit” from the EU — a British exit, and a play on the “Grexit” term coined for twice bailed-out Greece.

Kenny kept up that pressure in Strasbourg. “I regard myself as a close working, political friend of Prime Minister Cameron’s.

“We signed a strategic partnership agreement with Britain last year. We have very close relationships obviously, with our closest neighbour, both in trade and economics and all the rest of it.”

In a long-trailed speech, Cameron is widely expected to demand the repatriation of certain powers from Brussels and to propose a referendum on future membership terms, which Tuesday’s Times said could be held in 2018.

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:06:53

MARKETS
January 17, 2013

Mortgage Rules Aid Homeowners
By ALAN ZIBEL

WASHINGTON—U.S. banks will have to do more to help struggling mortgage borrowers keep their homes under final rules to be released Thursday by a U.S. regulator.

Mortgage-loan servicers, which collect borrowers’ loan payments, will have to evaluate troubled borrowers for all loan-assistance options permitted by mortgage investors such as Fannie Mae (FNMA -1.81%) and Freddie Mac, (FMCC -0.35%) as well as private investors, according to the rules from the Consumer Financial Protection Bureau, which take effect in a year.

Currently, no national standard exists for how mortgage servicers must treat defaulting borrowers.

The lending industry “must consider all options available from the mortgage owners or investors to help the borrower retain the home,” said Richard Cordray, the consumer bureau’s director, in remarks prepared for a speech Thursday in Atlanta. The industry “can no longer steer borrowers to those options that are most financially favorable for the servicer.”

The agency’s move follows numerous federal and state efforts to regulate the industry, which came under fire after reports in 2010 found banks were foreclosing on borrowers without properly reviewing documents and other paperwork, a practice dubbed “robo-signing.”

In 2011, regulators found abuses of foreclosure processes at 14 lenders. Ten of those agreed to an $8.5 billion settlement of regulators’ allegations.

The new mortgage rules are complicated, and the industry will likely need months to adapt. Still, certain lenders have already implemented some of the standards required by the regulator.

“These are major changes and while the industry was clearly expecting to adapt to most of these provisions, there’s still work to be done to ensure they work for both lenders and borrowers,” said David Stevens, chief executive of the Mortgage Bankers Association.

Representatives of several large lenders declined to comment or couldn’t be reached.

Investors in mortgage-backed securities and homeowners have complained in recent years that banks aren’t doing enough to provide assistance to homeowners and were putting homes into foreclosure.

Some investors have said they were losing more through foreclosures than they would have if banks had done a better job of providing loan assistance.

Some consumer advocates said the rules should have mandated a stronger requirement that banks modify loans.

Comment by oxide
2013-01-17 07:12:43

Based on the two rules I’ve seen so far, I’m liking the style of this CFPB agency. They seem to be about clarity, transparency, and definitions, not about deterministic requirements which coddle either the banks or the consumers.

Comment by Arizona Slim
2013-01-17 10:02:47

I also like how their website asks for input on what forms should look like. They’re very big on having forms written in plain English, not gobbledygook.

 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:09:27

AFRICA NEWS
Updated January 17, 2013, 12:45 a.m. ET

Militants Grab U.S. Hostages

About 40 Foreigners Taken in Algeria; Islamists Claim Responsibility, Blame French
By DAVID GAUTHIER-VILLARS, DREW HINSHAW and SIOBHAN GORMAN

As many as eight foreign nationals were kidnapped by Islamist militants from a BP gas installation in the south of Algeria. WSJ’s David Gauthier-Villars and Dow Jones’s James Herron look at the links to the French attack on militants in Mali.

Militants with possible links to al Qaeda seized about 40 foreign hostages, including several Americans, at a natural-gas field in Algeria, posing a new level of threat to nations trying to blunt the growing influence of Islamist extremists in Africa.

As security officials in the U.S. and Europe assessed options to reach the captives from distant bases, Algerian security forces failed in an attempt late Wednesday to storm the facility.

A French effort to drive Islamist militants from neighboring Mali that began with airstrikes last week expanded on Wednesday with the first sustained fighting on the ground. France’s top target, al Qaeda in the Islamic Maghreb, or AQIM, claimed responsibility for the Algeria kidnappings, calling it retaliation. The claim couldn’t be verified, although AQIM has its origins in Algeria and operates across a swath of Africa.

Defense Secretary Leon Panetta said the U.S. would take “necessary and proper steps” in the hostage situation, and didn’t rule out military action. He said the Algeria attack could represent a spillover from Mali.

 
Comment by X-GSfixr
2013-01-17 10:52:46

Those guys voluntarily went over there, and are getting paid big bucks over there. Call it “hazardous duty” pay.

We’ve seen 50 years of hostage grabbing. The chance of getting grabbed is part of the cost of doing business. Don’t see why our government should get their panties bunched up, and send in the SEALs over it.

I bet they’ve been gloating over their six figure plus paychecks to their buddies/friends/family. Hell, they should have enough in their checking accounts to pay their own damn ransom.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:16:37

It’s downright pathetic when the vagaries of one high earner’s fortunes can significantly impact the budget of a state with 37+ million citizens.

BUSINESS
January 16, 2013, 4:49 p.m. ET

California Budget Hurt by Facebook’s Stock-Price Slump

By VAUHINI VARA

Facebook Inc.’s (FB -0.84%) disappointing IPO has claimed another victim: California’s budget.

Aides to Democratic Gov. Jerry Brown last week lowered their estimate of how much revenue the state will get from Facebook’s initial public offering by nearly one-third, to $1.3 billion in the three years ending in June 2014, down from $1.9 billion.

The change, included in Mr. Brown’s proposed budget for the fiscal year beginning July 1, resulted from “lower than expected share prices” after Facebook’s May IPO, which occurred just weeks after the state had issued its earlier estimate.

Facebook didn’t immediately respond to a request for comment. Its share price has fallen 21% to $29.85 since it made its debut at $38 a share.

According to the budget document, the state projected three sources of tax revenue tied to the share offering: stock sales by early investors, vesting of restricted stock after the offering, and the exercise of some stock options, beginning at the time of the IPO.

But Facebook’s lower share price means those transactions are generating less income that can be taxed.

Restrictions on sales by Facebook insiders began to lapse in October 2012. At the time, Facebook shares traded at $23.21, compared with the state’s earlier estimate of $35, according to H.D. Palmer, a spokesman for the state Finance Department.

As a result, he said, the state now expects $581 million in taxes from vesting of restricted stock, compared with an earlier estimate of $891 million.

Restricted stock is taxed based on the value of the shares when they vest. “The stock price fell fairly significantly from when they made the first estimate,” said Steve Levy, an economist who studies the California economy and budget.

Mr. Levy said the estimate could rise again when the governor releases a revised budget in May because of a recent uptick in Facebook shares.

IPOs play a significant role in California’s finances because the state receives a disproportionate amount of revenue from income taxes on high-income earners, including taxes on capital gains that are taxed at the same rate as wages.

Comment by Montana
2013-01-17 07:04:49

…talk about your contingencies!

Comment by Combotechie
2013-01-17 07:30:50

If contingencies are all you’ve got to make the numbers work out the way you need them to work out then contingencies are what you use.

 
 
Comment by Weed Wacker
2013-01-17 13:14:01

When I was working at Google in Mountain View just prior to the IPO a lot of early employees were jumping ship to the Seattle office. Washington had no income tax. Tax in CA was 10.5% The CA bean counters should always estimate on the low side. But I doubt that happens. “FB is going public this year, raises and bonuses for everyone!”

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:20:49

Here’s a great idea: If not enough of you friendly neighborhood central banker’s currency trickles down to your neck of the woods, then just abstain from using it entirely.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:27:42

The problem with barter is the “double-coincidence of wants,” which is at least partially solved by introducing a local currency (such as the Tem). Hence the headline seems misleading; actually the reporter seems completely clueless on the difference between barter and using local currency as a medium of exchange.

Euros discarded as impoverished Greeks resort to bartering

Communities set up local currencies and exchange networks in attempt to beat the economic crisis

Helena Smith in Volos
guardian.co.uk, Wednesday 2 January 2013 09.43 EST

Stall-holders at a bartering market in the central Greek city of Volos, where shoppers use Tem coupons to exchange services or products. Photograph: Despoina Vafeidou /AFP/Getty Images

It’s been a busy day at the market in downtown Volos. Angeliki Ioanitou has sold a decent quantity of olive oil and soap, while her friend Maria has done good business with her fresh pies.

But not a single euro has changed hands – none of the customers on this drizzly Saturday morning has bothered carrying money at all. For many, browsing through the racks of second-hand clothes, electrical appliances and homemade jams, the need to survive means money has been usurped.

“It’s all about exchange and solidarity, helping one another out in these very hard times,” enthused Ioanitou, her hair tucked under a floppy felt cap. “You could say a lot of us have dreams of a utopia without the euro.”

In this bustling port city at the foot of Mount Pelion, in the heart of Greece’s most fertile plain, locals have come up with a novel way of dealing with austerity – adopting their own alternative currency, known as the Tem. As the country struggles with its worst crisis in modern times, with Greeks losing up to 40% of their disposable income as a result of policies imposed in exchange for international aid, the system has been a huge success. Organisers say some 1,300 people have signed up to the informal bartering network.

For users such as Ioanitou, the currency – a form of community banking monitored exclusively online – is not only an effective antidote to wage cuts and soaring taxes but the “best kind of shopping therapy”. “One Tem is the equivalent of one euro. My oil and soap came to 70 Tem and with that I bought oranges, pies, napkins, cleaning products and Christmas decorations,” said the mother-of-five. “I’ve got 30 Tem left over. For women, who are worst affected by unemployment, and don’t have kafeneia [coffeehouses] to go to like men, it’s like belonging to a hugely supportive association.”

Greece’s deepening economic crisis has brought new users. With ever more families plunging into poverty and despair, shops, cafes, factories and businesses have also resorted to the system under which goods and services – everything from yoga sessions to healthcare, babysitting to computer support – are traded in lieu of credits.

“For many it plays a double role of supplementing lost income and creating a protective web at this particularly difficult moment in their lives,” says Yiannis Grigoriou, a UK-educated sociologist among the network’s founders. “The older generation in this country can still remember when bartering was commonplace. In villages you’d exchange milk and goat’s cheese for meat and flour.”

Other grassroots initiatives have appeared across Greece. Increasingly bereft of social support, or a welfare state able to meet the needs of a growing number of destitute and hungry, locals have set up similar trading networks in the suburbs of Athens, the island of Corfu, the town of Patras and northern Katerini.

But Volos, the first to be established, is by far the biggest. Until recently the city, 200 miles north of Athens, was a thriving industrial hub with a port whose ferries not only connected the mainland to nearby islands but before Syria’s descent into civil war was a trading route between Greece and the Middle East. Once famous for its tobacco, Volos was home to flour mills and cement factories, steel and metal works.

But, today, it is joblessness that it has come to be known for in a country whose unemployment rate recently hit a European record of 26%, surpassing even that of Spain.

“Frankly the Tem has been a life-saver,” said Christina Koutsieri, clutching DVDs and a bag of food as she emerged from the marketplace. “In March I had to close the grocery store I had kept going for 27 years because I just couldn’t afford all the new taxes and bills. Everyone I know has lost their jobs. It’s tragic.”

Last year, the Greek government stepped in with a law that supported finding creative ways to cope with the crisis. For the first time, alternative forms of entrepreneurship and local development were actively encouraged.

Although locals insist the Tem, which is also available in voucher form, will never replace banknotes – and has not been dreamed up to dodge taxes – they say it is a viable alternative.

Comment by azdude
2013-01-17 06:47:30

is the fed looking out for wall street or the american people?

Comment by Combotechie
2013-01-17 07:24:37

The Fed is looking out for the banks because that is what the Fed does.

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Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:52:30

Actually, the Fed is owned by its member banks.

Who owns the Federal Reserve?


The 12 regional Federal Reserve Banks, which were established by the Congress as the operating arms of the nation’s central banking system, are organized similarly to private corporations–possibly leading to some confusion about “ownership.” For example, the Reserve Banks issue shares of stock to member banks. However, owning Reserve Bank stock is quite different from owning stock in a private company. The Reserve Banks are not operated for profit, and ownership of a certain amount of stock is, by law, a condition of membership in the System. The stock may not be sold, traded, or pledged as security for a loan; dividends are, by law, 6 percent per year.

 
Comment by In Colorado
2013-01-17 08:52:16

Actually, the Fed is owned by its member banks.

Yup, so let’s just quit even thinking that the FedRes cares about the American people, except as a source of wealth to siphon.

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:12:57

“…except as a source of wealth to siphon.”

Having monopoly rights to the printing press technology with full discretion makes the siphoning quite straightforward to accomplish. It’s really very similar to the milk shop drinking concept as explained in the movie There Will Be Blood.

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:21:24

shop

shake (never post while talking on the phone to your wife…)

 
Comment by Neuromance
2013-01-17 09:36:38

The Fed is like a GSE. It has its own agenda. Sometimes it lines up with the national interest. Sometimes it doesn’t.

 
 
 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:32:36

Just when we learned how massively profitable JPMorgan and Goldman Sachs are, we get this unhappy news:

Jan. 16, 2013, 7:00 p.m. EST
Fed’s Fisher: Time to split too-big-to-fail banks
By Greg Robb

WASHINGTON (MarketWatch) - Washington must turn its attention to resolving the threat to the economy from the dozen banks that are too-big-to-fail, said Richard Fisher, the president of the Dallas Federal Reserve Bank on Wednesday. In a speech to a conservative group in Washington, Fisher said the Dallas Fed will put forward a plan to split the big banks into multiple smaller businesses and also make clear that federal deposit insurance would only cover deposits at the commercial bank unit of each bank’s holding company. Clients of the thousands of other subsidiaries of the large banks would have to sign waivers acknowledging that their activities are not protected by the federal safety net. Fisher said he recognized that it might take “many years” to undo “customer inertia and management habits” at too-big-to-fail banks.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:41:30

The American people owe mavericks like Richard Fisher an immense debt of gratitude. Hopefully his plan to break up the too-big-to-fails will gain traction and succeed. Our future prosperity depends on it.

 
Comment by snowgirl
2013-01-17 05:31:05

Fisher’s been making these noises for years. As I know you know, Professor, he even has some company sometimes. But these positions are support players. They can leak their opinion all they want but the NY Fed is calling the shots.

 
Comment by michael
2013-01-17 07:17:12

Fisher for treasury secretary!

Comment by Arizona Slim
2013-01-17 10:08:56

I concur.

I met Fisher three years ago. It was after his University of Arizona b-school speech mentioned elsewhere in this thread. He struck me as a very rational guy who’d be good to have on board during a crisis.

 
 
Comment by oxide
2013-01-17 07:30:41

“also make clear that federal deposit insurance would only cover deposits at the commercial bank unit of each bank’s holding company. Clients of the thousands of other subsidiaries of the large banks would have to sign waivers acknowledging that their activities are not protected by the federal safety net.”

This part of the plan has a chance since it doesn’t change the way anyone does business. It just tells customers exactly how big banks do business and what happens to OPM, and it’s up to the customer decide what to do. Actually it sounds tailor-made for the CFPB agency. At best this would convince the OPM to Move Their Money (again) away from the big boys. Almost sounds like a de facto partial reinstatement of Glass Steagall.

As for breaking banks into smaller units? Fisher and what Congress? This doesn’t have a prayer.

Comment by joesmith
2013-01-17 08:56:43

“As for breaking banks into smaller units? Fisher and what Congress? This doesn’t have a prayer.”

Imagine what would happen if a bill like that was introduced on the House floor. Both parties would hate it, but ESPECIALLY the GOP. Even though the House GOP b*tched and moaned about having to bail out the financial sector, they quietly went along worshipping them. And then they supported Mittens for Prez.

Both parties are screwed up, but what really gets me is the extent to which the GOP and FoxNews pretend to support the common man against big banks in public. But in private they completely enable the banks to do as they please. They have opposed almost all meaningful regulations discussed for the FIRE sector.

Since I think it will take another 2-3 generations for America to really unravel the way Greece has, it is funny to me. If it was a more immediate threat, I would be pissed off and/or fear a revolution of some sort. That is a pipe dream, though, since America has another half century living off past spoils. Congress (especially the House) doesn’t care. So why should I?

Comment by oxide
2013-01-17 09:55:04

Floor? It wouldn’t even make it into the Hopper.

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Comment by tresho
2013-01-17 11:18:08

the GOP and FoxNews pretend to support the common man against big banks in public.
That’s news to me. GOP and FoxNews completely IGNORE the TBTF banks and their pernicious effects on the general public.
Fisher is there to be ignored.

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Comment by tresho
2013-01-17 11:20:19

and/or fear a revolution of some sort
I don’t. Far more likely is a USSR-1990 or Argentina-2001 denoument. Many will suffer greatly and a minority will make out like the bandits they are.

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Comment by joesmith
2013-01-17 13:13:14

Then we agree. I don’t think we’ll see a revolution here either, although people here were braying about it the other day. How all the teabillies are going to fight the government and how even some of the armed forces (enlisted, presumably) and veterans would join in.

There is no chance of that. None. Average American - especially teabilly - has no ability to plan. They have no attention span. They are quite often out of shape. And they may not be living lavishly (like Linda the Lunchlady (TM)) but they have NFL football, frozen dinners, Applebee’s, and American Idol to keep themselves busy.

 
Comment by mathguy
2013-01-17 13:55:55

Joesmith,

how wrong you are. One of the hobbies I’ve taken up recently is machining. I purchased a small mill and lathe and have been working on creating a CNC adaptation of the mill to create parts directly from computer drawings. I’m guessing you don’t understand the precision, attention to detail, time, and skill required to make even a simple part like a gear for a car transmission, and just assume that because you can buy one for 23.99 if it needs to be replaced in your transmission, it must be easy.

The community of teabaggers (remember, you WILL be licking their balls) who are engaged in hobby machining, metal casting, robot building, electronics projects, ham radio, etc is pretty amazing. Look up the term hackerspace if you are interested. These people are banding together to create community places to build amazing things. You really think the automatic weapons ban will keep these people from building systems to keep themselves safe? It takes filing one small pin away in a semi-automatic rifle to turn it fully automatic in some cases.

Keep ignoring and underestimating the worth of the builders (working class, not 1%) of our economy. You are doing so at your own peril. For now these people are agreeing NOT to file away that small pin and are following the law, they are trying to listen to and appease the fears of society. When will they get sick of following stupid rules and giving away 30-50% of their earnings to state and federal taxes? When will they abandon the US currency and stop declaring their income in dollars? When will they switch to commodity and barter currencies? Really.. you think it’s just a bunch of stupid hicks who would be to dumb to do anything of the sort? Ever hear of bitcoin? How about the greek barter currencies? http://www.nytimes.com/2011/10/02/world/europe/in-greece-barter-networks-surge.html?pagewanted=all&_r=0

You’re doing more to reinforce the “stupid uneducated american” stereotype than any of these “teabaggers”. History shows time and again that money printing in FIAT currencies causes economic and political collapse. The one group of people calling for restraint from inflationary monetary policy, and you are calling them idiots.. Take a look in the mirror.

 
Comment by In Colorado
2013-01-17 15:13:59

The community of teabaggers (remember, you WILL be licking their balls) who are engaged in hobby machining, metal casting, robot building, electronics projects, ham radio, etc is pretty amazing

And they’ll get taken out by drones when the SHTF.

 
Comment by Rancher
2013-01-17 15:32:37

Machining II

I’m a retired engineer and rancher. My
shop includes a vertical milling machine, a lathe, bandsaws (wood and metal), stick, tig,and wire welding machines, four wood shapers, 14 inch table say, 10 inch cabinet saw, jointer, planer, and much, much more.

The American rancher and farmer are probably the most inventive group of people ever, having to fix or build most of everything in order to survive. When you’re 50 miles from the nearest hardware store
or John Deere dealer, you learn how to fix and repair just about anything.

 
Comment by Arizona Slim
2013-01-17 15:48:02

The American rancher and farmer are probably the most inventive group of people ever, having to fix or build most of everything in order to survive. When you’re 50 miles from the nearest hardware store or John Deere dealer, you learn how to fix and repair just about anything.

Years ago, when I was bicycling around the USA, the above was proven to me many times. Especially when my bike broke down.

 
Comment by alpha-sloth
2013-01-17 17:10:25

We used to have a poster who was into ‘hackerspace’ and all that. VaBeachBeyatch, or something? He was about as Tea Party as Noel Coward.

Some of the hackerspacers may be Teapartiers, but I seriously doubt any large majority is. The ‘hackers’ are mostly science nerds, and there’s no place for science in the Teaparty wing of the GOP.

Now if you’re talking about survivalists, then I bet many are tea partiers, but I wouldn’t confuse them with the hackerspacers.

 
 
 
Comment by tresho
2013-01-17 11:25:39

Almost sounds like a de facto partial reinstatement of Glass Steagall.
Marci Kaptur, Dem congresswoman from Ohio has been pushing for this for years, and has been utterly ignored for her efforts. She did beat Dennis Kucinich in a primary race after redistricting. After 2008, she was quoted in a speech addressing Wall Street banks, “You have perpetrated the greatest financial crimes ever on this American Republic.”

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:04:33

Isn’t $557 mln mere pocket change for Megabank, Inc?

Jan. 16, 2013, 10:00 a.m. EST
Two big banks in $557 mln foreclosure settlement
By Ronald D. Orol

WASHINGTON (MarketWatch) - The Federal Reserve announced Wednesday it reached a $557 million settlement with Goldman Sachs Group Inc. and Morgan Stanley over foreclosure abuses stemming from the so-called robo-signing scandal. The two big banks have agreed to pay $557 million in cash payments and other assistance to help mortgage borrowers. The settlement comes after 10 other big banks have reached an $8.5 billion similar settlement with federal regulators. The Fed said Goldman and Morgan Stanley were subject to “enforcement actions for deficient practices in mortgage loan servicing and foreclosure processing.” The settlement includes $232 million in direct cash payments to borrowers, some of which went through foreclosure. The banks have agreed to provide an additional $325 million in other assistance to homeowners, such as modifications on their mortgages or cuts to the amount borrowers owe. Four banks, including HSBC , are still in discussions with federal regulators over foreclosure issues.

Comment by joesmith
2013-01-17 10:11:02

300MM is the equivalent of a traffic ticket to these guys.

Comment by tresho
2013-01-17 11:30:17

Chump change for them, indeed. A more fitting punishment would have been the dissolution of these dissolute corporations and the forfeiture of assets of their leading executives present & past, such as Blankfein and Hank Paulson.

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Comment by Neuromance
2013-01-17 09:42:01

ANY attempts to make the financial sector less powerful or profitable will me met with howls it will lead to economic collapse and job loss.

Of course, Volcker said there’s only been one useful financial innovation in the past 30 years - the ATM. But of course, the ATM isn’t a financial innovation, but a technological one.

The financial insiders are aware of the realities. As long as they can keep the public duped, they can continue extracting wealth from the society. Eventually, the voting public will figure it out.

Comment by Arizona Slim
2013-01-17 10:10:26

Of course, Volcker said there’s only been one useful financial innovation in the past 30 years - the ATM. But of course, the ATM isn’t a financial innovation, but a technological one.

You nailed that one, Neuromance.

And recall that consumer acceptance of ATMs was not an overnight thing. ISTR that it took something like a decade for those things to really catch on.

 
Comment by ecofeco
2013-01-17 10:46:13

“Eventually, the voting public will figure it out.”

They have figured it out for hundreds of years, yet.

I wouldn’t hold my breath.

 
Comment by tresho
2013-01-17 11:28:00

attempts to make the financial sector less powerful or profitable will me met with howls it will lead to economic collapse and job loss.
And meanwhile attempts to keep the financial sector doing business as usual will certainly lead to economic collapse and job loss.
– Let us choose wisely.

 
Comment by Robin
2013-01-17 18:47:03

I guess the ATM would hasten Milton Friedman’s concept of money velocity.

 
 
Comment by Arizona Slim
2013-01-17 10:06:33

Fisher was test-driving that line during a University of Arizona business school speech three years ago. I was there.

 
Comment by Rental Watch
2013-01-17 17:16:58

We had a chance to do this…there was plenty of political will to do so about in mid-2010, when that political will was squandered on Dodd-Frank, when it could have been used to reinstate Glass-Steagall.

Instead of reinstating a law that is short (less than 100 pages) and worked for several decades, the Democratic House, Senate and President pushed through a gargantuan law and set of SEC rules that are still not completely determined….and we STILL don’t have the Volcker Rule…

Bigger laws are not better laws.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:35:23

I had a chat with a small business owner I know yesterday evening (actually I was there as a customer), who indicated they are struggling to keep the doors open due to their inability to borrow money.

That despite all the Fed’s efforts to flatten interest rates in order to (supposedly) make it cheaper to borrow.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:37:06

Breaking the Wall Street too-big-to-fail banks’ death grip on the private lending system seems like a step in the direction of taking this country back.

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 04:39:22

Jan. 16, 2013, 9:56 p.m. EST
Fed’s Fisher disappointed with QE3 market impact
Calls for action to split up too-big-to-fail banks
By Greg Robb, MarketWatch

WASHINGTON (MarketWatch) — The Federal Reserve’s aggressive monetary-policy stance has not brought down mortgage rates as much as hoped, Dallas Federal Reserve Bank President Richard Fisher said Wednesday.

“Rates are the lowest they have been in a lifetime, but they have not come down as quickly as I would like. We have not seen as robust an effect as we would like to see,” Fisher told reporters after an evening speech here.

Fisher said that in his own view, the Fed’s quantitative easing seems to be “having a lesser impact as we go through time.”
Federal Reserve Bank of Dallas President Richard Fisher

The Fed launched the third round of asset purchases in September. Initially, the Fed planned to buy $40 billion a month in mortgage-backed securities.

At its last meeting in December, the Fed boosted the size of the program to $85 billion by adding $45 billion a month in purchases of Treasurys.

The program is open-ended, with the central bank saying it would halt the purchases if it saw substantial improvement in the labor market. The asset purchases are designed to bring down long-term interest rates and spur economic activity.

In his speech Wednesday, the Dallas Fed president said one reason that monetary policy wasn’t as effective as it could be is because the nation’s dozen largest banks are not lending.

Instead, these large institutions remain preoccupied with rebuilding their balance sheets in the wake of the financial crisis, he said.

This negative impact on Fed policy is one reason Washington must turn its attention to resolving these too-big-to-fail banks, Fisher said.

The Dallas Fed will put forward a plan Thursday to split apart these banks, Fisher said.

 
 
Comment by scdave
2013-01-17 09:44:19

are struggling to keep the doors open due to their inability to borrow money ??

You better believe it…..The whole orchestrated policy is to allow the banks to clean up their balance sheets…

Comment by will
2013-01-17 11:16:59

Need to borrow money to keep the doors open suggests that this business has more fundamental problems than an inability to borrw. Like making enough money on their sales to meet their expensed.

Comment by jane
2013-01-17 21:57:52

Evidently you have never owned, operated or run a business.

I will attempt to be very clear. You are ignorant about business cash flows, yet presumptuous enough to spew your ignorance and proclaim it as truth:

First, a simple question that you should be able to noodle out without assistance.

When do you think businesses PAY for the factors of production contained in the products they SELL? AFTER they collect the payment from customers, or BEFORE they collect the payment from customers? Hint: this is not a trick question. ANSWER: BEFORE.

Let us first consider fixed costs, which are paid as a condition of opening the doors and staying in business. In advance of selling and collecting payment. Have to be paid, regardless of how much or how little revenue you generate.

1) Rent or real estate taxes. We will not even consider a commercial mortgage payment here. Since you likely do not know this either, FYI, commercial mortgages must be redeemed at the end of five years with a so-called “balloon payment”. As a practical matter, this means if banks have clamped down on credit (as they have over the past five years), they will NOT roll over (e.g., “refinance”) the note and you have to come up with the balance of the mortgage in cash. In these cases, without a ready source of LOANED FUNDS, you conduct an activity called a a “Going Out of Business Sale”. Or break open your personal piggy bank.

2) Payroll taxes (that is for the employees who are currently making the product that will eventually be sold, and paid for at some point, by customers)

3) Benefits (for the same employees who currently toil in order to produce output that will be paid for sometime in the future)

4) Electricity - you may not know that commercial rates are higher than residential rates. You may not have thought this through. a) Electricity is a requirement for light, A/C, and (in some cases) heat; b) electric bills for the typical 10K square foot biz exceed the national average $220/mo that you likely pay year round for your residential bill.

5) Heat - ditto for heating a 10K square foot enclosure. It costs more than heating your house or apartment.

6) Telephones - still a necessity in biz. (If you have a physical presence, you can’t run it with your employees’ cell phones. The employees are likely to want reimbursement whether or not they use them on your behalf. And your biz continuity will suffer if you do not have a STABLE SET OF BUSINESS NUMBERS). Plus the T-1 line that is required to support the various biz lines, both coming in/going out and for your internal network. In the event that you haven’t thought this through, twenty lines running off a T-1 connection in a biz is more expensive than your $39.99 / month FIOS residential land line special.

Now let’s do the variable expenses:

1) Salaries, regardless of whether you are selling a product or service. Employees are paid before the first customer payment is received. Customers pay net 10 if they want the 2% discount. That is, even if customers pay immediately, you are one payroll in the hole before you get your money. During the boom, most companies paid net in 30 days (with a grace period for mailing). That is, most business owners were four weeks of payroll in hock before they saw payment for a product/service that was sold in week one. Since the crash, payments are running late, which means you are financing more payrolls before seeing a cent of payment.

2) Add raw materials and distribution costs if you are selling a product. While you are waiting for that bauxite (or whatever) to arrive from Timbuktu, you will have been required to pay for it. Depending on your payment history and the product, many suppliers will not leave the raw materials without being paid for them. In the event you can’t visualize the supply chain too clearly, this would be before the product is made, sold, shipped and paid for.

3) Sales and use taxes - although in many states these are payable quarterly, since the financial crisis some locales have switched the payment schedules to monthly. That is to say, before the product is sold and cash collected from customers.

4) Need equipment? Car leases? Storage space? Packaging materials? Operating cash to pay your employees mileage? Cash for commissions against which you pay a draw before ever seeing any income? That all takes cash, a line of credit, or a biz loan that you pay down.

So, Einstein, let’s see you pony up five weeks’ worth of payroll, taxes, and other fixed and variable expenses before ever collecting a dime (in the benign case, where your customers are still paying net 30).

The need for operating capital for the items outlined above means businesses need access to cash in the form of lines of credit and short term credit facilities - REGARDLESS of how well the owner runs the business. The exception is the FIRE sector, where cash is created out of thin air.

Let’s take the limiting case. Let’s say you are in the oil biz, and you and your bobo compatriots notice there are supply-induced price and supply volatilities (in this case, let’’s pretend that the vampire squids are not controlling world oil prices by speculating in the futures markets). This represents an “opportunity”.

Are you man (or woman) enough to break open your personal piggy bank and take out $3B and spend it up front, so that four years down the road you can take in your first pipeline movement and send it over into the distillation stack? And then pipe it into and out of the storage tank to the dispensing island, hoping that customers show up with their own delivery trucks? (That assumes, of course, that you have $3B handy.) If jobbers don’t show up with their own drivers and trucks, you’ll also need to hire drivers and lease delivery trucks at $2K/day COD, after you have hustled up enough gas stations to make it worth your while to do it. Otherwise, your $3B is just a sunk cost, sitting there doing nothing more than mocking you. This is all before you see a dime of return.

Your model works wonderfully well for already operating businesses (the ones who already borrowed enough cash up front to get going and who are now at critical mass). BUT ONLY IF THEY are experiencing steady and predictable increases in cash flow. E.g., higher volumes, higher net margins and quicker payment cycles. If these conditions don’t apply, you will be paying for a higher volume of materials consumed last month with REDUCED cash flow this month.

So. Enlighten us, please! How many businesses do you know over the past five years - other than the vampire squids - who have experienced increasing cash flow?

Go back to your lemonade stand. Meanwhile, I beseech you not to insult those of us who have run actual operating concerns and who have had to meet payroll etc.

Thank you.

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Comment by Ben Jones
2013-01-17 22:18:36

‘When do you think businesses PAY for the factors of production contained in the products they SELL? AFTER they collect the payment from customers, or BEFORE they collect the payment from customers? Hint: this is not a trick question. ANSWER: BEFORE.’

Yes, to hear some posters here, you start a business and soon after you can charge whatever you want for your services. This thinking is UFB.

 
 
 
 
Comment by AmazingRuss
2013-01-17 11:23:31

If you have to borrow money to stay in business, you don’t have much of a business.

Comment by Arizona Slim
2013-01-17 11:25:32

Agreed. And no, my little itty-bitty business has never borrowed to stay in business.

 
Comment by tresho
2013-01-17 11:34:01

If you have to borrow money to stay in business, you don’t have much of a business.
True. These marginal situations illustrate how severely contracted the real economy has become. The Vampire Squids & their abettors have sucked all the juice out of it.

Comment by scdave
2013-01-17 14:55:13

All BS from all four of you….Corporations borrow heavily “ALL THE TIME”…Whats the difference if its a small business…

Friend of mine has a small electrical contracting firm….He borrows against his $750,000. line of credit “ALL THE TIME” to fund materials and labor for new jobs…

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Comment by Arizona Slim
2013-01-17 15:04:35

Okay, peeps, let’s put the verbal guns down, mmm-kay?

What we’re getting at is that there are many different flavors of small business. You have scdave’s friend’s electrical contracting firm. It needs to borrow money to fund necessary costs on new work.

Then there are businesses like my little itty-bitty studio. I can’t very well take out a loan on that creative freelancing head of mine. I’d be laughed out of the bank if I tried.

 
Comment by Pete
2013-01-17 16:34:12

“What we’re getting at is that there are many different flavors of small business.”

And some are new (1,2,3 years old), in that zone where borrowing money for up front costs is kind of assumed until you get your footing.

 
Comment by sleepless_near_seattle
2013-01-17 22:50:17

…until you get your footing.

Or, you could stay at your day job and raise the money over time, or get investors to fund your brilliant idea.

 
 
Comment by Ben Jones
2013-01-17 22:53:32

‘These marginal situations’

I grew up in a small business family. I worked as a public accountant for many years doing books and taxes for small businesses. I was a controller for small corporations and LLCs for 7 years. It was rare to see zero debt.

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Comment by tresho
2013-01-18 08:42:29

It was rare to see zero debt.
Putting these various observations together, then:
Most if not all businesses need continuous access to lending.
Banks are key sources of lending.
If the banking system seizes up, businesses will fail en masse.
The lender of last resort must do whatever it takes to keep the current banking system running.
— no wonder we’re in the fix we’re in. What am I not considering properly?

 
Comment by jane
2013-01-18 17:47:53

The fact that banks have stopped providing liquidity. The only source of liquidity is the Fed discount window, of which the banks make liberal use. Paying off their old obligations, zeroing out bad debts and all. And NONE of that liquidity is reaching the small biz owner who traditionally depended on it.

Yet, miraculously, the banks and big companies are sitting on massive amounts of cash.

It’s broken. Break up the big banks and let’s have a massive resurgence in community banks.

 
 
 
 
 
Comment by Housing Analyst
2013-01-17 04:45:02

“Housing demand has fallen to 1997 levels. And it is still falling.”

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:56:19

Jan. 17, 2013, 9:16 a.m. EST
Surprise shortage boosts new-home prices
Analysts say uptick is about more than just buyer demand.
By AnnaMaria Andriotis

New data released by the Department of Commerce this morning shows that the number of properties that builders began construction on increased in December to a seasonally adjusted annual rate of 954,000, up 37% from a year prior.

In a normal market, more supply would help keep prices in check, but the opposite trend is currently underway: New home prices are rising. And this time, experts say, it’s not just buyer demand or fancy finishes on new homes that are driving prices up—it’s the result of a bidding war among builders. “In the last 12 months, [it’s] been ramping up,” says Jack McCabe, an independent housing analyst in Deerfield Beach, Fla.

Much of the competition is over land, say housing experts, as the amount of desirable, developed land available for companies to purchase and begin building has been decreasing. Supply was just shy of 17 months for land defined as “Class A” – near jobs, top school districts and shopping – during the third quarter of 2012, down from 19 months the previous quarter, according to Metrostudy, a real-estate research firm; in normal market conditions, supply is 24 to 36 months. Separately, in a fall survey by the National Association of Home Builders, over 40% of builders said supply of land was low in their markets.

With less to choose from, builders are paying more for the land they purchase. Just over one-third of builders in NAHB’s survey said they were paying a “somewhat” or “substantially” higher price for developed land compared to a year prior. The figures vary by market, but in Phoenix, for instance, it costs roughly $1,700 per “front foot” (that’s based on a measurement of the width of the lot when viewed from the street) on average, up 31% from a year prior, according to Metrostudy. In Houston, it’s an average $1,200 per front foot—near peak levels last seen during the housing boom.

For buyers, these rising costs can translate to higher asking prices for new homes, says Brad Hunter, chief economist at Metrostudy. Some housing analysts say it’s already having an effect. Nationally, median new home sales prices hit $246,200 in November, up 4% from a month prior and 15% from a year prior, according to the Census Bureau.

Comment by Rental Watch
2013-01-17 10:02:00

I love how it’s a “surprise” shortage. People stopped processing entitlements for new lots when things crashed. Some land (not a lot, but some) converted back from tentatively mapped lots to agricultural land. The lead time on getting entitlements is too long in many cases (especially CA) for supply to ramp back up quickly.

Comment by Bluestar
2013-01-17 12:43:33

Hey Rental Watch, did you notice that CBS is splitting off it outdoor advertizing business as a REIT? Ha! Now highway road signs are just like shopping malls.

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Comment by Rental Watch
2013-01-17 13:34:35

I didn’t see that. Is that Clearchannel?

New billboards are amazing. I’ve studied the math behind them, and they can be HUGE cash machines. The newer ones don’t glow as brightly, and so they look a lot like traditional billboards (making it easier to get them approved by transportation agencies). But think of it this way, a traditional billboard might rent for several thousand per month (could be upwards of $10k per month or more on the busiest freeways). How much can you sell a 6 or 10 second impression for? Let’s say, as a local business owner, you want to buy 50 daily ten second impressions on a busy street, what would you spend per month on that advertisement? $200? $100? $300?

There are 1,728 of those to lease on a billboard on a busy street…the net result is that you can get WAY more in revenue than if you lease the billboard to a single user. Yes, there is a cost to the newer billboards, but that cost is low relative to the boost in income.

If their business model is to convert their traditional billboards to the modern billboards…I’m a believer in that growth model.

 
Comment by Pete
2013-01-17 16:47:08

“New billboards are amazing.”

And probably cause more accidents than people talking on cellphones. I only say this because I drive for a living, and these things are designed to catch the eye. Of drivers. And they succeed, for multiple seconds at a time as you try to read the message, or look at the chick’s naked back. Not that I think it should be banned, but it should be higher on the list than talking on the phone. The ultimate infraction should be texting someone about the interesting billboard you just saw.

 
Comment by Rental Watch
2013-01-17 18:22:54

They are pretty hard to get approved…there is one on 101 on the mid-Peninsula, which is of the older variety…bright lights. Bigtime distraction. I noticed the less bright version only recently, and was surprised at how much less it distracted me.

It was a distraction though…

 
Comment by Pete
2013-01-17 18:29:39

“I didn’t see that. Is that Clearchannel?”

No, CBS has its own billboards, though nowhere near as many as Clearchannel, at least not in central California.

 
 
 
 
Comment by Robin
2013-01-17 18:50:05

Source??

 
 
Comment by palmetto
2013-01-17 05:56:21

Had an interesting conversation yesterday with one of the staffers in the office of one of my Congresscritters. While trying to point out that Presidential overreach (not limited to the particular dick we currently have in office) is basically reducing Congress to Politburo status, I realized the guy had no idea what I was talking about.

I asked if he knew what the Politburo was. Reply? “Nope”. He’s a Congressional staffer. Presumably with political ambitions.

We’re in trouble. Ban schools, not guns. Oh, and can we propose some Obama-control legislation?

Comment by palmetto
2013-01-17 06:11:11

I must say, I wasn’t entirely surprised. One of the (alleged) Washington-based barristers on this blog once challenged me for making a comment in support of the Founding Fathers. They asked if I was “advocating bloody revolution”. Needless to say, I was completely taken aback, and without a law degree, had to patiently explain that those who started the US made a peaceful Declaration of Independence, and that the Brits drew first blood in response.

Mind you, this is a person who claims (or heavily implies that) that they work for the DOJ in some capacity or another.

Comment by Ben Jones
2013-01-17 06:44:03

‘if I was “advocating bloody revolution”

Yeah, how many ‘rebel forces’ have we ‘armed’ lately? Who would arm the people in this country if we needed to throw off a tyrant? After all, every time we are TOLD about an “executive order”, I for one am reminded we may need these guns someday.

Comment by azdude
2013-01-17 06:51:38

gun sales to the moon! what is all the paranoia about? Are people worried?

you never want to be without a gun when you know the bad guys are armed to the hilt.

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Comment by goon squad
2013-01-17 07:44:48

When seconds count, the police are only minutes away :)

 
 
Comment by Northeastener
2013-01-17 09:30:54

I for one am reminded we may need these guns someday.

Sorry, we’re not allowed to think of the 2nd Amendment that way. The 2nd Amendment is for Teabillies who, according to the left hunt, shoot for sport, and collect. It is also for those who wish to protect their families, but only in so much as we can limit the number of bullets in your gun or the type of gun you can have, or where you can carry your gun.

The sad reality is that the 2nd Amendment was always about liberty and ensuring an armed populace as a barrier to an overreaching government… any government, foreign or otherwise.

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Comment by AmazingRuss
2013-01-17 11:26:36

Unless the average citizen is able to buy things like heavy machine guns and strike aircraft, there is no way for them to fight back effectively.

Even if it were legal to buy them, they’re kind of expensive.

 
Comment by tresho
2013-01-17 11:40:07

Unless the average citizen is able to buy things like heavy machine guns and strike aircraft, there is no way for them to fight back effectively.
Denizens of Afghanistan (I won’t call them ‘citizens’ of anything) have been holding their own with small arms, homemade high explosives and RPG’s. Of course, their casualties have been extremely high.
Average US citizens haven’t yet found a hill near home that they’re willing to die on. Should the domestic grid, communications and the food supply chain ever break down, they will start dying of natural causes.

 
Comment by Albuquerquedan
2013-01-17 11:50:56

Tresho, the PTB are rational like good sociopaths. They know they make up .02% of the population so if there ever is a civil war, far too many of them will die and it will be horrible for business. The masses do not need enough arms to “win the war” just enough to pose a credible threat to disrupt business as usual and to pose a threat to them despite their body guards. You do not need tanks, jets etc. to pose such a threat.

 
Comment by tresho
2013-01-17 12:07:51

the PTB are rational like good sociopaths. They know they make up .02% of the population
I think they are too stupid to think that far ahead. They may be rational and clever but they are not wise.

 
Comment by Northeastener
2013-01-17 12:20:47

Unless the average citizen is able to buy things like heavy machine guns and strike aircraft, there is no way for them to fight back effectively.

If there was to be open rebellion in the US, the Federal military would split as well. What do you think would happen to all the Federal military hardware and equipment in Texas bases if Texas were to “declare independence”? Same goes for personal tied to whatever region(s) declared independence.

What do you think the Army and Air National Guard are? State militia with similar equipment and training as the “active” military.

Lastly, there are 40+ million gun owners in the US and 4+ million NRA members. There are approx. 3 million active and reserve members of the military. Of that 3 million, only a few hundred thousand are actual combat arms, aka. trigger pullers. The rest are support personal.

Add in various other Federal agencies trigger pullers, and you still have significantly less shooters than the number of NRA members, never mind gun owners in general…

 
Comment by Robin
2013-01-17 18:57:32

I want to buy, as a private citizen, one of Russ’s proposed strike aircraft. I will house it at John Wayne Airport in the Great OC, CA.

How much to buy it, maintain it, and operate it?

Can I get financing - :) ?

 
 
Comment by scdave
2013-01-17 09:52:34

we may need these guns someday ??

300 million of them enough ?? The idea that Americans are going to lose their guns is just selling the “be afraid” tactic that we have seen from policy makers in the past…”Selling Fear” is what has gotten us a 700 billion dollar defense (jobs program) budget and into the last two “elective” wars…

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Comment by Northeastener
2013-01-17 10:06:40

300 million of them enough?

I could ask the same thing from the left about taxes. Is a combined state and federal 35-40% tax not enough?

Tell you what, I’ll stop buying more guns when the left stops increasing our taxes. Think I’m wrong? Payroll tax just went up 2%, that’s 2% less in my family’s pocket. Now state income tax is proposed to go up another 1%. Hmm, I wonder if I will get a 3% raise this year for all my hard work… oh wait, if I get a raise, the government has decided to take it.

Want to know why us “Teabillies” hate the left? Because you liberals won’t leave people alone… whether it be our guns or our wallets.

 
Comment by scdave
2013-01-17 11:33:14

Want to know why us “Teabillies” hate the left ??

Neocons don’t hate the left, left-of-center, the center or the center right….They hate everyone who does not see it “exactly-like-them”…

Here is a memo that you may have missed…The neocons are in free-fall…Why ?? Because they have chased away people like me…And, chased me into the arms of any alternative that will defeat them…

 
Comment by Northeastener
2013-01-17 12:25:01

Sorry, but Tea Party is not synonymous with Neocon, just as it is not synonymous with Religious Fundamentalist. There may be some overlap in certain political ideals, especially as members of one or another group try and subvert the movement, but they are not the same.

 
Comment by zee_in_phx
2013-01-17 13:05:29

“Tell you what, I’ll stop buying more guns when the left stops increasing our taxes.”

how about you pay a road toll as soon as you drive out your driveway, and put a dime in your toilet before you flush a log down, and pay for your private security during your commute to work e.t.c… taxes is what we pay for the privilege of living in a somewhat civilized society, how about you ship your ass to a third world h**lhole and don’t have to worry about paying taxes ever again.. for the rest of us we’ll be working on getting the right legislators into office..
and btw. all this hand wriggling about ‘executive orders’ is getting old, you do realize that those can be challenged in court, those are like directives your boss gives you on how to turn the wrench.

 
Comment by sfhomowner
2013-01-17 13:06:18

Want to know why us “Teabillies” hate the left? Because you liberals won’t leave people alone… whether it be our guns or our wallets.

Yeah, like all those Teabellies that want to tell people who they may or may not marry?

Those same ones that want to control women’s wombs?

 
Comment by tresho
2013-01-17 13:12:25

you do realize that those can be challenged in court, those are like directives your boss gives you on how to turn the wrench.
This comparison is not valid.

 
Comment by MightyMike
2013-01-17 13:23:14

Want to know why us “Teabillies” hate the left?

You forgot one part of the reason. You hate the left because it feels good. It’s so much fun to fill your brain with hate and anger that you do it every day.

 
Comment by Northeastener
2013-01-17 14:26:17

taxes is what we pay for the privilege of living in a somewhat civilized society

Yeah, like all those Teabellies that want to tell people who they may or may not marry?

Those same ones that want to control women’s wombs?

It’s so much fun to fill your brain with hate and anger that you do it every day.

There are the best arguments the left can come up with, folks. “Pay your taxes and shut up or move to Somalia.” “You hate gays and want to control women’s wombs” “You’re just a hater.”

We already pay enough taxes for those basic services. We won’t pay more taxes to further the left’s socialist utopia agenda…

I don’t give a crap about who you marry or what you do with your womb. I personally find abortion repugnant, and so does the Catholic Church, but it doesn’t go any farther than that for me…

As to the hate, I’ll admit: I hate the left, with a passion. As far as I’m concerned, you’re one step removed from the communist trash we spent almost 50 years fighting. Think that’s outmoded ideology? Well, here it is 2013 and once again the French, another bunch of socialists, has gotten itself into a fight it can’t handle and needs the support and aid of the US. The more things change, the more they remain the same…

 
Comment by scdave
2013-01-17 15:05:15

Sorry, but Tea Party is not synonymous with Neocon ??

No ?? How about Teaparty Cheif-7-Feathers Neocon….

Paul Ryan…..

You guys are so transparent to the majority but blind to yourselves….Look at the last two elections;

McCain….Selects who……Palin = Teaparty-Neocon

Romney…Selects who……Ryan = Teaparty-Neocon

 
Comment by Happy2bHeard
2013-01-17 18:28:21

“We already pay enough taxes for those basic services. We won’t pay more taxes to further the left’s socialist utopia agenda… “

The real problem is that you are paying Mitt Romney’s and corporations’ taxes. The services you get are a small percentage of expenditures and a lot of them are state (roads) or local (water).

The other problem is that you live in Massachusetts. You should move to the business paradise of Texas where the state does not tax your income.

 
Comment by Bluestar
2013-01-17 18:49:31

Mr. Northeastener, those communist defeated the Germans in WWII. While the allies were providing a diversionary attack from the west it was the Russians who broke the back of the Third Reich. Germany threw 10 divisions at Russia while the allies had to fight just 4. One more thing, the British are largely responsible for the nightmare we call the middle east and the simmering India/Pakistan tensions to this day and the French dragged us into Vietnam. Where do you get your history from, the Glen Beck University?

 
Comment by Ben Jones
2013-01-17 20:39:46

‘300 million of them enough’

We have enough guns, and the Feds know it.

‘The idea that Americans are going to lose their guns is just selling the “be afraid”

I’ve been saying here that the Fed’s aren’t going to take any guns. They’d get their ass shot off if they try. My point is the fact we are subject to executive orders is just one more reason why we need to keep them. What if a future president uses an EO to outlaw abortion, or round up Muslims and put them in camps? Or declare thousands of Occupy protestors terrorists and indefinitely detain them? I know there is this idea out there that the US can never fall under tyranny. But IMO that’s a serious delusion about human nature and what we are facing.

 
Comment by Ben Jones
2013-01-17 21:38:58

‘all this hand wriggling about ‘executive orders’ is getting old, you do realize that those can be challenged in court’

When was the last time one was overturned? The courts have failed us IMO. If you think it’s ‘getting old’, just wait until the line gets crossed.

‘how about you pay a road toll as soon as you drive out your driveway, and put a dime in your toilet before you flush a log down, and pay for your private security during your commute to work’

Oh. I’m not paying for that already? I guess a magic fairy is wishing all these public ‘goods’ into existence. The Feds don’t print money to pave my roads (full of pot holes BTW). I’m on a septic system, so that takes care of that. And all the troopers do is write tickets. Just what part of civilized society do you think I’m getting a free ride on? You act like if we all pay into the magic fairy pot, somehow more comes out than goes in.

 
Comment by nickpapageorgio
2013-01-17 23:54:58

“Because you liberals won’t leave people alone…”

Yes, and it’s reaching a boiling point.

 
 
 
Comment by RioAmericanInBrasil
2013-01-17 06:45:31

those who started the US made a peaceful Declaration of Independence, and that the Brits drew first blood in response.

No. The Revolutionary War started over a year earlier in 1775. The Declaration of Independence was July 4, 1776. Many said it was an American colonist who drew first blood in “The shot heard round the world.”

The Battles of Lexington and Concord were the first military engagements of the American Revolutionary War. They were fought on April 19, 1775, wiki

Comment by palmetto
2013-01-17 06:55:55

“Many said it was an American colonist who drew first blood in “The shot heard round the world.”

And many, apparently, still say it. A poem is not historical fact. 1776 was the official signing of the Declaration, but the movement was already well under way, as you’ve pointed out. The colonists just wanted to be left alone and responded to, not initiated, the aggression.

No one wanted to take on the Brits, unless pushed to it in desperation.

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Comment by RioAmericanInBrasil
2013-01-17 07:12:41

A poem is not historical fact.

But a poem can be based on a historical fact. We were at war a year before Independence was even proposed in June 1776 in Philadelphia although the desire for independence had been growing.

I’m not sure how America could make a “peaceful Declaration of Independence” to a country that we were already at war with.

Earlier, we had made peaceful overtures towards England which were rebuffed by King George, however the Declaration of Independence was not a peaceful overture. It was saying no more BS - it’s over and we’re prepared to die for our Independence.

 
Comment by palmetto
2013-01-17 07:25:49

“Earlier, we had made peaceful overtures towards England which were rebuffed by King George”

On this we agree.

“however the Declaration of Independence was not a peaceful overture. It was saying no more BS - it’s over and we’re prepared to die for our Independence.”

It made things official. My point is that the colonists would much rather have reached a peaceful resolution and indeed did attempt it, at least according to some of the papers I’ve read.

 
Comment by moral hazard
2013-01-17 07:25:54

“A poem is not historical fact.”

“But a poem can be based on a historical fact”

Mary bought back in 05
She never paid her debt
Mary lives there still today
She’s not been thrown out yet

 
Comment by palmetto
2013-01-17 07:35:58

jeff, what comes to mind for me is the subject of immigration and the oft-quoted Emma Lazaraus screed of “give me your tired, your poor, blah, blah, blah”.

In that case, a poem is not an immigration law. It might be a nice thought, but those “huddled masses” are spitting on us these days.

 
Comment by palmetto
2013-01-17 07:39:08

Anyway, to get back to my original point about the alleged barrister, who tried to link me to some sort of call for bloody revolution, people, whether they be colonists or citizens, would rather work things out peacefully. Negotiation is always better than war.

But you can’t negotiate with a thug.

 
Comment by goon squad
2013-01-17 08:24:31

those “huddled masses” are spitting on us these days

Any discussion of this is Racist®.

The Media/Academia Race Hustlers Industrial Complex will determine the “correct” opinion about immigration. You are not permitted to have your own opinion about this.

 
Comment by tresho
2013-01-17 11:45:21

Any discussion of this is Racist®.
History is Racist®, full of nasty formulations & events like ’survival of the fittest’, ‘droit de seigneur,’ the Fort Pillow massacre and the EEEEVILLL N-word.

 
Comment by sfhomowner
2013-01-17 13:10:14

Asian immigrants to California eclipse Latinos in past decade

The face of new Californians – once predominantly Latino – is increasingly Asian American, census data show.

A seismic shift in immigration has occurred in California over the last decade, with Asia replacing Latin America as the primary source of the state’s immigrants.

“For the first time in decades, the number of Asians coming to California exceeded the flow from Latin America, and it exceeds that flow by a lot – 2 1/2 times greater.”

Read more here: http://www.sacbee.com/2013/01/17/5120459/asian-immigrants-to-california.html#storylink=cpy

 
Comment by zee_in_phx
2013-01-17 13:12:15

“But you can’t negotiate with a thug.”

on this, believe it or not, i agree with you. Wake me up when we get to the Wiemar Republic circa 1933.

 
Comment by alpha-sloth
2013-01-17 17:42:28

“But you can’t negotiate with a thug.”

Says the guy trying to pick a fight, out of the blue, (and rally his ‘gang’- right jethro?) with anther poster over some vague thing supposedly said at some time in the unspecified past.

 
 
Comment by rms
2013-01-17 08:24:00

“The shot heard round the world.”

I thought that was the start of WW1.

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Comment by RioAmericanInBrasil
2013-01-17 09:53:52

“The shot heard round the world.”

I thought that was the start of WW1.

Later that too. And then this:

In baseball, it refers to Bobby Thomson’s game-winning home run that clinched the 1951 National League pennant for the New York Giants. wiki

 
Comment by Albuquerquedan
2013-01-17 10:33:45

In many ways, the Revolutionary War should be thought of as the first world war since it triggered world wide conflict and the involvement of many countries in the dispute.

 
Comment by tresho
2013-01-17 12:02:46

The French and Indian War (1754–1763) was a world war that preceded the American Revolution. George Washington actually started that war near modern day Pittsburgh due to his poor understanding of the French language, according to some historians, although George did not realize the significance of his involvement at the time. That war gave future US revolutionaries up close and very personal experience with British military practices and vulnerabilities and how rebellious colonies might play one European power against another. After 1763 the British Empire was a bit squeezed for funds and attempted to tax American colonists directly to pay their fair share of imperial military expenditures while at the same time forbidding future colonization west of the Alleghenies.

 
Comment by Albuquerquedan
2013-01-17 13:05:21

It did not involve nearly as much foreign involvement for example from Hessian mercenaries to numerous people from all over the globe supporting the revolution. The French, of course, were involved in both wars.

 
Comment by tresho
2013-01-17 13:22:56

It did not involve nearly as much foreign involvement
Do you think the USA would exist were it not for French support during the American Revolution?

 
Comment by Albuquerquedan
2013-01-17 14:15:14

Tresho, I am not sure about what you mean by the question. I think that the support of Holland, France and Spain, and volunteers was very critical. Would the U.S. exist in its present form without it, probably not. However, just as Canada exists, I think that it was inevitable that the U.S. would become an independent country. But the borders would probably be somewhat different and there would be differences in our laws. I think without foreign support initially we might only have able to win greater autonomy not full independence.

 
 
 
Comment by polly
2013-01-17 07:35:01

The Declaration of Independence was never about peace. It was a statement of the reasons for (to the extent the representatives were willing to write them down) and the ultimate goal of (independence, not merely fixing the issues declared in the document) the shooting war that already existed.

Oh, and the United States doesn’t have barristers.

And, Rio, the exact start of the war varies depending on where you went to high school. In MA, a few teachers tried to put the start date at the Boston Massacre (absurd, that was 1770 and more of a cause than a beginning). In VA, they are taught that it started when a royal governor moved some rifles owned by the local militia to a different storage location (thank you historical interpreter at Williamsburg). However, the latest anyone could reasonable put it would have to be the start of operations of the Continental Army created by the Continental Congress in June of 1775.

Comment by palmetto
2013-01-17 07:48:06

“Oh, and the United States doesn’t have barristers.”

Sure it does, we just don’t commonly use the term. We do, however, make liberal use of the term “Bar”. And we do have “baristas”. But no barista has seen fit to lecture me on the proprieties, as yet.

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Comment by In Colorado
2013-01-17 09:02:06

I think that Polly is trying to make the point that in the British Commonwealth you have two different and distinct types of lawyers: solicitors and barristers. Both are licensed attorneys at law, but they do different things. It is also my understanding that in the UK you cannot directly retain a barrister, that you must contact a solicitor first, who will then get you in touch with a barrister.

 
Comment by joesmith
2013-01-17 09:37:35

I assume that Palmetto knows that we don’t have barristers here in the U.S. and that his intent is some sort of vaguely insulting connotation.

 
Comment by In Colorado
2013-01-17 10:23:33

I assume that Palmetto knows that we don’t have barristers here in the U.S. and that his intent is some sort of vaguely insulting connotation.

As Horace Rumpole would say, “A barrister, my dear sir, is a taxi plying for hire. That is the fine tradition of our trade.”

 
 
 
Comment by joesmith
2013-01-17 09:20:06

I think it’s pretty clear polly is an attorney. Her personality also seems completely in line with what I see from DOJ attorneys. I mean this as a compliment; government lawyers are far more staid and grounded than many of their private practice counterparts. I disagree with her from time to time but she is a good poster here.

Ultimately I don’t see why you would insult attorneys. You are a Republican, no? Attorneys, both private and government, are the main factor in supporting the “invisible hand of the free market” that you support, via votes for the GOP. Look at how capital formation occurs, look at the importance of contracts and dispute resolution is to the major businesses in this country. And look at how much the House GOP loves lawyers and accountants. They put goodies into every single bill!

Comment by tresho
2013-01-17 12:16:59

Attorneys, both private and government, are the main factor in creating and supporting the current World Financial Crisis. Some support the GOP, some support the Democrats, the others do what-all they can.
A man walks into a bar with an alligator on a leash. He asks the bartender, “Do you serve attorneys?” The bartender answers, “Yes, we do.” “OK, I’ll have a Bud, and an attorney for my alligator.”
Nevertheless we need attorneys and laws.

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Comment by oxide
2013-01-17 07:37:43

If the staffer doesn’t know what Politburo is, then “statist” isn’t going to register at all.

Comment by palmetto
2013-01-17 07:49:16

But you can bet they know what the Knesset is, although I didn’t ask.

Comment by goon squad
2013-01-17 09:05:26

Don’t let Abe Foxman hear you talk like this or you’ll be scheduled for a public shaming and a Jesse/Al-style shakedown.

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Comment by alpha-sloth
2013-01-17 17:59:44

If they know what the Knesset is, then I guarantee they know what the Politburo was.

I bet they knew neither, and I bet it was a GOP congressman’s staffer. (You can be pro-Israel and still not know what the Knesset is, just ask the typical evangelical voter.)

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Comment by AmazingRuss
2013-01-17 08:22:41

Most of the folks screaming ’statist’ don’t know what it means either.

Comment by joesmith
2013-01-17 09:35:01

Good point. How are Sweden and Norway doing under their statist governments?

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Comment by bungabunga
Comment by rms
2013-01-17 08:30:57

“Seasonal vs Non-seasonal”

Probably driven by “when the kids are out of school” rather than the seasons, but on the other hand the “move up” buyer’s kids are likely already out of the house.

 
 
Comment by goon squad
2013-01-17 07:58:02

Washington Post - As manufacturing bounces back from recession, unions are left behind:

“U.S. manufacturers have added a half-million new workers since the end of 2009, making the sector one of the few bright spots in an otherwise weak recovery. And yet there were 4 percent fewer union factory workers in 2012 than there were in 2010, according to federal survey data. On balance, all of the job gains in manufacturing have been non-union.

The typical non-union factory worker earned less in 2011, after adjusting for inflation, than he or she did in 2009.

By the end of last year, barely one in 10 U.S. manufacturing workers belonged to a union or was represented by one. Thirty years ago, that number was one in three.”

http://m.washingtonpost.com/business/economy/as-manufacturing-bounces-back-from-recession-unions-are-left-behind/2013/01/16/4b4a7368-5e88-11e2-90a0-73c8343c6d61_story.html

Global wage arbitrage = the future belongs to Lucky Ducky.

Welcome to the recoveryless recovery.

Comment by WT Economist
2013-01-17 10:14:36

“The typical non-union factory worker earned less in 2011, after adjusting for inflation, than he or she did in 2009.”

The typical American is earning less, adjusted for inflation, than they did 30 years ago. That’s 40 years ago for the working class, and perhaps 20 years ago for the college educated.

That has happened since 2009 is that the part of the 1.0% not in the 0.1% is earning less too. Which is why they feel like they have been cheated all of a sudden, and are so mad at those working their ass off for the minimum wage.

 
Comment by Happy2bHeard
2013-01-17 18:33:02

In another 30 years, there will be even fewer factory workers as more jobs are automated.

 
 
Comment by frankie
2013-01-17 07:58:09

Fracking: A Boom or Bust Decision for New York
by Chris Faulkner, President and CEO Breitling Oil and Gas
New York NY (SPX) Jan 15, 2013

Debate over whether New York should allow hydraulic fracturing has heated up in the past month, fueled by a 30-day public comment period before Governor Andrew Cuomo decides whether to lift the moratorium on the practice and the Department of Environmental Conservation (DEC) meets its deadline for finalizing fracking regulations in mid-February

http://www.spacedaily.com/reports/Fracking_A_Boom_or_Bust_Decision_for_New_York_999.html

Coming to a state near you; and me to

The natural gas, which is produced and trapped in rock formations following the breakdown of organic matter, is in such high demand it is known as “energy gold”.

Britain has sizeable resources of shale gas underneath the Pennines, some of the home counties and parts of Wales, Scotland and Northern Ireland, meaning it could be a cheaper alternative to importing fossil fuels.

http://www.telegraph.co.uk/science/science-news/9207396/Fracking-ban-lifted-QandA.html

 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 07:59:09

Jan. 17, 2013, 9:17 a.m. EST
Housing starts jump in December
By Ruth Mantell, MarketWatch

WASHINGTON (MarketWatch) — Construction on new U.S. homes jumped in December to the highest rate in more than four years, with gains across the country, as well as in single-family homes and buildings, the U.S. Department of Commerce reported Thursday.

In the freshest data signaling a strengthening housing market, starts rose 12.1% in December to a seasonally adjusted annual rate of 954,000 — the highest level since June 2008.

“Overall, this report reinforces the current narrative of a positive growth momentum in the housing sector,” said Millan Mulraine, a macro strategist at TD Securities.

Economists polled by MarketWatch had expected U.S. housing starts to increase to a rate of 883,000 from an original estimate of 861,000 for November, on factors such as rising building permits and confidence among home builders, as well as relatively mild weather for the season. See economic calendar.

On Thursday, the government revised November’s rate to 851,000.

Starts rose 24.7% in the Midwest, 21.4% in the Northeast, 18.7% in the West and 3.8% in the South. By structure size, starts for single-family homes rose 8.1%, and increased 20.3% in buildings with at least two units.

While starts in December were up 37% from a year earlier, rates remain far below a bubble peak of almost 2.3 million in 2006.

Comment by Weed Wacker
2013-01-17 13:55:02

Yeah, but what happened with housing stops? Sorry, just hate that term “housing start”. It means that a construction company started to build a house, right? Wouldn’t it just be clearer to say “new housing construction”. Also, I think it would be more important that they finished building the house than that they started to build it. An area where I used to ride bike a couple years ago had fields full of houses that had been started to be built but never completed.

 
 
Comment by goon squad
2013-01-17 08:05:07

Washington Post - In health, we’re not No. 1:

“Anyone interested in health care ought to to digest the findings of a massive new report from the National Research Council and the Institute of Medicine, which compared Americans’ health with that of people in other advanced countries. After spending 18 months examining statistics and studies, the panel reached a damning conclusion: The United States ranks below most advanced countries.

The U.S. health disadvantage is more pronounced among socioeconomically disadvantaged groups, but even advantaged Americans (described as white, insured, college-educated) appear to fare worse than their counterparts in England and some other countries.”

http://m.washingtonpost.com/opinions/robert-samuelson-in-health-were-not-no-1/2013/01/16/9385b72c-602d-11e2-b05a-605528f6b712_story.html

Comment by In Colorado
2013-01-17 09:05:52

but even advantaged Americans (described as white, insured, college-educated) appear to fare worse than their counterparts in England and some other countries

I’m sure that is has nothing to do with the combination of the most expensive healthcare in the world and the increasing proliferation of high deductible insurance plans.

Comment by goon squad
2013-01-17 09:15:05

To quote a recent post on HBB:

“I’d rather live 60 years under freedom than 80 years under tyranny”

Comment by In Colorado
2013-01-17 09:42:20

LOL! All those poor people in the other 1st world countries who don’t have to worry about how they’re going to pay for their healthcare, they live under the jackbooted heel of tyrants.

Meanwhile, in “the land of the free”, our local PD’s are becoming increasingly militarized, including the use of those wonderful drone thingies.

But hey, at least we have the option to file for BK because of medical bills.

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Comment by scdave
2013-01-17 10:04:21

+1 Colorado…

 
Comment by ecofeco
2013-01-17 11:15:11

“But hey, at least we have the option to file for BK because of medical bills.”

For now.

 
Comment by polly
2013-01-17 15:00:30

A lot of people don’t have enough money to file for bankruptcy. Seriously. You have to have a couple of hundred bucks minimum to get started.

 
 
Comment by tresho
2013-01-17 12:20:21

“I’d rather live 60 years under freedom than 80 years under tyranny”
Would you settle for living just 10 years under freedom?

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Comment by sfhomowner
2013-01-17 13:12:50

“I’d rather live 60 years under freedom than 80 years under tyranny”

Sounds good until your 59th birthday

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Comment by goon squad
2013-01-17 13:23:21

Think it was Smithers who may have posted that. Where’s he been lately?

 
Comment by In Colorado
2013-01-17 15:17:36

Maybe he turned 60?

 
Comment by Carl Morris
2013-01-17 17:30:39

Longer life under tyranny might sound better until you and your children actually have to live under it.

 
Comment by Happy2bHeard
2013-01-17 18:35:33

“Longer life under tyranny might sound better until you and your children actually have to live under it.”

I suspect that tyrannies generally produce shorter lifespans.

 
Comment by jane
2013-01-17 22:24:31

I suspect the hidden agenda here is: Obama and the Dems win big time and all the problems go away when the median age of the citizens in this country is lowered by 4.5 years (my back of the envelope calculation).

Unemployment goes away even with a decreasing jobs base and an imploding economy. Social Security and Medicare liquidity crises go away.

So it all makes sense. Import masses of illegal alien breeders to weight the demographics to younger, and pay ‘em to breed. Kill off the elderly faster. They are (after all) the drivers of the bloated health care costs, and the burden of high medicare and SS payouts. Because Lucky Duckies will not get $2500/month payouts on $500/week earnings, replace the $2500/mo SS payouts with $650/mo payouts. For the children of first generation illegal aliens, they can go back “home” at the point they retire since they won’t be able to afford the Medicare co-pays.

For the dumb second generation, they’re screwed on the same hamster wheel as the indigenous Lucky Duckies. They’ll get $650/mo SS payments AND Medicare co-pays, without the option of returning “home” to free health care systems since their parents were not born in the old country.

Steady state will have been achieved when we have the 1%, who are long lived, healthy, wealthy and wise. And the 99%, ignorant, impulsive, drug addicted, hopeless, and with a median age at death that stops just shy of the SS qualification age of 67.

Problem solved. The One has come through for us again.

 
 
 
 
Comment by mesohoney
2013-01-17 09:51:08

I bet we are still # 1 in watching TV and ingesting preservatives and chemicals.

Comment by scdave
2013-01-17 10:05:41

and chemicals ??

You mean the ones from Walgreens/CVS ??

 
 
Comment by frankie
2013-01-17 16:19:10

In England you have to pay £7.66 per prescription, roughly $12 (exceptions apply for the poor and people with certain conditions cancer, diabetes and I few others), you can get a prescription card if you need s lot of pills (£104 for a full year, roughly $166). In Scotland/Wales and Northern all medicines are free.

The downside of this is drugs need to be approved by NICE (I suspect this is where the story of death panels comes from). NICE sets out clinical guidance a summery is available on Wikipedia (other sources and views do exist). Set out below is NICE’s policy on use of new drugs to extend life.

Cost per quality-adjusted life year gained

The following example from NICE explains the QALY principle and the application of the cost per QALY calculation.

A patient has a life threatening condition and is expected to live on average for 1 year receiving the current best treatment which costs the NHS £3,000. A new drug becomes available that will extend the life of the patient by three months and improve his or her quality of life, but the new treatment will cost the NHS more than three times as much at £10,000. Patients score their perceived quality of life on a scale from 0 to 1 with 0 being worst possible health and 1 being best possible health. On the standard treatment, quality of life is rated with a score of 0.4 but it improves to 0.6 with the new treatment. Patients on the new treatment on average live an extra 3 months, so 1.25 years in total. The quality of life gained is the product of life span and quality rating with the new treatment less the same calculation for the old treatment, i.e. (1.25 x 0.6) less (1.0 x 0.4) = 0.35 QALY. The marginal cost of the new treatment to deliver this extra gain is £7,000 so the cost per quality life year gained is £7000/0.35 or £20,000. This is within the £20,000-£30,000 that is suggested by NICE to be the limit for drugs to be cost-effective.[19]

If the patient was expected to live only one month extra and instead of three then NICE would issue a recommendation not to fund. The patient’s Primary Care Trust could still decide to fund the new treatment, but if not, the patient would then have two choices. He or she could opt to take the free NHS standard treatment, or he or she may decide to pay out of pocket to obtain the benefit of the new treatment from a different health care provider. If the person has a private health insurance policy the person could check to see whether the private insurance provider will fund the new treatment. About 8% of the population has some private health insurance from an employer or trade association and 2% pay from their own resources.

http://en.wikipedia.org/wiki/National_Institute_for_Health_and_Clinical_Excellence#Cost_effectiveness

Comment by Happy2bHeard
2013-01-17 18:40:34

This does not sound unreasonable to me. I think the difficulty is determining both quality of life and expected extended lifespan.

Given a choice of taking a drug that would marginally extend life and if I were paying out of pocket, I might make a similar calculation.

 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:06:12

You’ve got talent!

Jan. 16, 2013, 10:51 a.m. EST
America has a talent for selling ‘really bad debt’
Commentary: Throughout history, we’ve left creditors high and dry
By Al Lewis

DENVER (MarketWatch) — Scott Reynolds Nelson, a history professor at the College of William and Mary in Williamsburg, Va., came out with a book last September called “A Nation of Deadbeats.”

Subtitled “An Uncommon History of America’s Financial Disasters,” it chronicles crises as far back as the 1700s. Most of these episodes left the foreign creditors wondering whether Americans would ever pay their debts.

Slave owners in the 1800s, for instance, borrowed heavily from overseas investors, promising higher returns from cotton production. These projections fell short and the slave owners defaulted en masse.

Railroads in the 1850s created what Nelson argues were the first collateralized debt obligations. They sold bonds based on mortgages for homesteads along the tracks. Overseas investors snapped them up and then they went belly up.

History truly repeats. As the lending cycle accelerates, bankers, brokers, money lenders and insurers eventually lose their wits. Greed, if not sheer momentum, overwhelms them, and soon they can no longer tell good loans from bad. When the music stops, they hide from creditors, file bankruptcies and lobby for government rescues.

Comment by rms
2013-01-17 08:39:20

If the fed would quit the playing the role of croupier the investor class could become reacquainted with risk.

Comment by ecofeco
2013-01-17 13:42:01

They are very acquainted with risk, that’s why they make us take it instead of them.

 
 
Comment by Neuromance
2013-01-17 09:44:32

Imagine an industry where you could gather a stack of papers, stamp a dollar value on it, and then sell it to the government for that dollar value. And be completely done with the transaction.

That’s what the debt selling market had become at the peak of the bubble.

 
Comment by ecofeco
2013-01-17 11:16:19

…as I was saying yesterday.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:07:54

Jan. 17, 2013, 10:03 a.m. EST
Philly Fed index turns negative in January
By Steve Goldstein

WASHINGTON (MarketWatch) — The Philadelphia Fed’s manufacturing index went negative in January, slipping to -5.8 in January from +4.6 in December. Economists polled by MarketWatch expected a 5.0 reading. The new-orders index fell to -4.3 from 4.9 in December, and the employment index fell to -5.2 from -0.2 in December. The prices received index decreased 14 points, from 12.4 to -1.1. However, the future general activity index increased from a revised reading of 23.7 to 29.2.

Comment by Weed Wacker
2013-01-17 14:01:41

But stock market is up today, in theory because of great Ebay results. The market actually likes it that we don’t make anything anymore, just sell our old junk to each other over and over again.

 
Comment by Pimp Watch
2013-01-17 17:21:41

And the Empire State index fell too.

The housing price correction in the northeast/mid atlantic/new england areas is in full swing.

 
 
Comment by goon squad
2013-01-17 08:12:47

The Lucky Duck future in Obama and Rahm’s socialist (gun-free) utopia

1 in 3 Illinoisans lives in or near poverty level: report

http://wap.myfoxchicago.com/w/main/story/82844687/

Hope and Change

Forward

Comment by In Colorado
2013-01-17 09:07:44

Isn’t this just the result of the “global wage equilibrium” that we are told is inevitable?

Comment by goon squad
2013-01-17 09:18:03

We found this link on the Drudge Report, so it is a direct result of the policies of Obama, Emmanual, Blagojevich, the Daleys, with a little help from Reverend Wright, Tony Rezko, and Bernadine Dorhn.

When the meme has legs, the meme runs :)

 
Comment by Ryan
2013-01-17 09:37:43

Translation: Bush=Blame

 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:15:44

Federal Workers Union Blasts GOP Pay-Freeze Effort
By Billy House
Updated: January 16, 2013 | 5:57 p.m.
January 16, 2013 | 5:36 p.m.

The largest federal employees union is lashing out at a House Republican plan to again vote to block President Obama’s proposed across-the-board pay increase for federal workers in 2013—and billing it as a way to help rein in Washington spending.

“Federal pay should not be politicized in this way,” declared American Federation of Government Employees National President J. David Cox Sr. in a statement on Wednesday. He was responding to word on Wednesday from Majority Leader Eric Cantor, R-Va., that the House next week will seek to block a 0.5 percent pay raise set in April for all federal employees.

House Minority Whip Steny Hoyer, a Democrat whose Maryland district outside of Washington is home to thousands of federal employees, was also incensed. “Those who execute our laws and provide much-needed services to communities across the nation deserve our gratitude for their diligence during these hard times—not continued disparagement resulting from a partisan agenda,” Hoyer said.

Lawmakers already have denied themselves a cost-of-living increase in 2013 to their current base salaries of $174,000 a year.

But as recently as the evening of Jan. 1, the House voted 287-129 to also prohibit a 0.5 percent pay raise from taking effect in April for all federal employees, as called for by Obama in a Dec. 27 executive order. But the Senate adjourned the session of the 112th Congress without taking up the measure.

Cantor, in his announcement Wednesday, suggested that moving ahead with such a pay hike would be a demonstration that Obama “is not serious about dealing with our debt crisis.”

“This across-the-board pay hike issued by President Obama through executive order will cost hardworking taxpayers $11 billion,” Cantor said. He added that neither members of Congress, the vice president, Cabinet secretaries, nor federal employees need a raise. “It’s time to get serious about reining in Washington’s out-of-control spending and work together to solve the problem, not make it worse. We simply can’t afford it,” he said.

The new bill to be voted on to freeze all federal-worker pay is being sponsored by Rep. Ron DeSantis, R-Fla.

But Cox, whose government employees’ union boasts 670,000 workers in the federal government and that of the District of Columbia, called the proposed upcoming pay hike “modest” and underscored that federal salaries have not been adjusted since January 2010.

“The salary freeze—along with the threat of furloughs, layoffs, and another complete government shutdown—are a punishment in search of a crime,” Cox said. “Federal employees had no part in the financial crisis and the ensuing recession, and they should not be forced into penury to reduce a deficit they had no part in creating.”

Comment by moral hazard
2013-01-17 09:10:17

“But Cox”

“whose government employees’ union boasts 670,000 workers in the federal government and that of the District of Columbia, called the proposed upcoming pay hike “modest” and underscored that federal salaries have not been adjusted since January 2010.”

 
Comment by goon squad
2013-01-17 09:19:33

We are still hiring contractor analyst staff.

Comment by ecofeco
2013-01-17 13:43:50

Sometime around 6 years ago, federal contractor employees outnumbered actual federal employees for the first time.

Comment by goon squad
2013-01-17 14:19:01

You got a problem with Invisible Hand Of Free Market?

KNOW. YOUR. MEME.

Federal government employees = lazy, overpaid parasites

Federal government contractors = bootstrapping, producer, Horatio Alger, rugged individualist, Galt Gulch, “makers” and not “takers”, Real American, born in a log cabin, rags to riches, a chicken in every pot, return to normalcy, ask not what your country can do for you, Morning in America, baseball, mom and apple pie, restorers of our future

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Comment by oxide
2013-01-17 14:22:38

For reference, this pay raise will increase the highest paid workers (GS 15-10) salary by $775 dollars. That’s less than a billion total for the civilian workforce.

And excuse me, aren’t these conservatives the ones who said that raising taxes on the rich “isn’t enough to make a dent in the debt” so why bother doing it? Very well, if keeping this billion from the fed employees will make even less of a dent, then why bother doing it?

Comment by alpha-sloth
2013-01-17 18:10:45

Very well, if keeping this billion from the fed employees will make even less of a dent, then why bother doing it?

Good point! We’ve all been well-taught, by the people that defend the historically-low tax rates on the wealthy, that anything that doesn’t completely pay off the deficit shouldn’t even be considered.

It’s ridiculous to even bring it up if it doesn’t pay it off completely, right?!

 
 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 08:18:12

Military services to freeze hiring, lay off temps, prep for furloughs
Jan. 16, 2013 - 06:00PM | By SEAN REILLY

The Defense Department is freezing civilian hiring, laying off temporary workers, considering furloughs for hundreds of thousands of civilian employees, and cutting back on contracts to prepare for the likelihood of severe budget reductions this year.

“If implemented, civilian furloughs will be centrally managed and will be a government-wide effort with limited exceptions,” Rear Admiral J.P. Mulloy, deputy assistant secretary for budget, told Navy commanders in a Jan. 14 memo. He added that the White House will issue future guidance on furloughs.

If carried out, the furloughs would occur one day per week beginning the week of April 16 and lasting through the end of the fiscal year on Sept. 30, he said.

The Defense Logistics Agency on Wednesday formally notified one of its unions that unpaid furloughs of up to 22 days for virtually all civilian staff may be needed between April and the end of the fiscal year.

Likewise, the Army and Air Force are also planning on the possibility of a large furlough.

Comment by rms
2013-01-17 08:42:39

“The Defense Department is freezing civilian hiring, laying off temporary workers, considering furloughs for hundreds of thousands of civilian employees, and cutting back on contracts to prepare for the likelihood of severe budget reductions this year.”

Will this DOD paring drive San Diego RE prices up?

Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:19:34

I don’t see why it would have any effect, so long as the FHA is handing out ‘affordable housing’ loans in denominations up to $729,750.

 
 
Comment by Cantankerous Intellectual Bomb Thrower™
2013-01-17 09:15:50

Hard Choices on Debt if the U.S. Hits the Ceiling
By ANNIE LOWREY
Published: January 17, 2013

WASHINGTON — By mid-February or early March, the United States could face an unprecedented default unless it raises its debt ceiling, the Treasury Department said this week.

Some legislators have theorized that a quick breach in the debt ceiling might cause only a minor disruption to government finances. And some commentators have suggested that the United States could pass legislation to prioritize or guarantee payments to bondholders, thus erasing what they describe as the worst of the financial market reaction and removing the threat of technical default.

But experts in government finance and markets described running up against the debt ceiling as an event that might quickly precipitate a financial crisis and eventually lead to a recession — an event with far greater disruptive potential than the “fiscal cliff” package of tax increases and spending cuts, a government shutdown or even the collapse of Lehman Brothers.

A debt-ceiling crisis would be at its heart a cash-management problem. Every day the government receives millions of bills to pay, to its employees, older Americans, soldiers, bondholders and contractors, among others. Under normal circumstances, it makes payments with new revenue as well as with the proceeds from bond sales. But the country has already run out of authority to issue new debt, as of Dec. 31, and Congress has not yet raised the statutory debt ceiling, currently around $16.4 trillion.

The Treasury Department is undertaking “extraordinary measures,” like suspending the reinvestment of certain government retirement funds, to leave it with more cash on hand. But such measures buy the country only so much time, and in a matter of weeks outflows will overwhelm inflow.

That day might be Feb. 15, for instance. According to a Bipartisan Policy Center analysis, the government expects about $9 billion in revenue to arrive in its coffers that day. But it has $52 billion in committed spending on that day: $30 billion in interest payments, $6.8 billion in tax refunds, $3.5 billion in federal salaries, $2.7 billion in military pay, $2.3 billion in Medicaid and Medicare payments, $1.5 billion owed to military contractors and a smattering of other commitments.

The Treasury would be confronted with paying doctors but not soldiers, Chinese bondholders but not defense companies. Worse, it is not clear whether the Treasury secretary would have the legal latitude or even the technical ability to prioritize some payments over others. Every day the country remained in breach of the ceiling, the problems would be compounded.

The Treasury Department has shed little light on what actions it would take if the country breached the ceiling.

But there are a few clues as to how the Obama administration might react. A Treasury inspector general’s report from last year described some of the planning for the debt ceiling standoff in 2011, which caused a broad slump in the market and raised the country’s borrowing costs by about $1.3 billion in that fiscal year. “Treasury considered asset sales; imposing across-the-board payment reductions; various ways of attempting to prioritize payments; and various ways of delaying payments,” the report said.

It determined that delaying payments might be the least harmful option, but made no decisions about the best route forward. Moreover, “Treasury reached the same conclusion that other administrations had reached about these options — none of them could reasonably protect the full faith and credit of the U.S., the American economy, or individual citizens from very serious harm,” the report said.

 
 
 
Comment by Albuquerquedan
2013-01-17 08:45:30

Link will post soon:

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/0/46e9851a-59cf-11e2-b728-00144feab49a.html#ixzz2IFRa7Uta

The market had hoped for a “Grand Bargain”. Instead, it got a small, ultimately insufficient fiscal deal. The best to be said of the agreement hammered out on New Year’s eve is that it beat the alternative. While investors still cheered, nobody should mistake this for an economic, fiscal, or financial positive. Ideally Washington would have crafted a deal coupling long-term tax and entitlement reform with short-term stimulus. Instead, we got the opposite. The US now faces significant fiscal drag on an already sluggish recovery.

The drag might have been justified had the agreement actually addressed the long-term fiscal outlook. But it failed to tackle the US tax code’s dysfunction or the sustainability of major entitlement programmes. In abdicating any effort to stabilise the national debt, Washington now risks an eventual loss of international confidence in the US. Short term, it is not even clear that this deal does much to address the deficit. With significant fiscal drag still embedded in the deal, the economy is unlikely to grow as fast as current budget estimates assume. If growth disappoints, as it almost surely will, revenue will be below expectations and deficits above.

Comment by scdave
2013-01-17 10:11:23

revenue will be below expectations and deficits above ??

Its a train wreak….The only variable is time…

Comment by Albuquerquedan
2013-01-17 10:21:52

Agreed. It is interesting when the Fitch report came out, the MSM focused on the need to raise the debt ceiling or face a downgrade. Ignored was the part about having a credible plan to reduce the deficits or a downgrade would be coming. This country needed something like Simpson/Bowles six trillion dollars ago, I am not sure the numbers even come close to working now for that plan since we will have to finance the six trillion and counting of new debt since it was proposed.

 
 
 
Comment by Albuquerquedan
2013-01-17 08:57:36

In that case, a poem is not an immigration law. It might be a nice thought, but those “huddled masses” are spitting on us these days.

People seem to forget that the purpose of Ellis Island was to screen and turn away immigrants that might be a burden on the country due to disease, low intelligence etc. The huddled masses better have been able to work where we needed them or they were turned away.

Comment by goon squad
2013-01-17 09:09:51

If you don’t want to live in a neighborhood with 20 people living in 3 bedroom houses with six vehicles parked on the lawn, then you are a Racist®.

 
Comment by joesmith
2013-01-17 09:33:14

If you’re saying we should be selective in who we let immigrate here, I totally agree with that. We should increase *legal* immigration and attempt to eliminate the illegal type. We should also better diversify our immigration so it is not overwhelmingly from any region (Mexico/C America).

Currently legal immigration is a small percentage of total immigration. And we could cut off illegal immigration if *both* parties participated. Currently, neither party really wants to do what is needed (walls in some areas, patrolling in others) because big business loves immigration & they write the checks to the shadowy Super PACs who run US elections.

I would guess where we disagree is what to do with immigrants who are currently here. I would favor some combination of giving them a few years to pay fines (fees), get ID’s, and require a non-trivial set of things* in order to become a permanent resident (note: not necessarily citizenship**). After a certain period, then I would favor making a serious effort to remove non-compliant illegals. Since we’d actually be enforcing the border, this would be easier and more efficient, because they wouldn’t just sneak back into Arizona/Texas.

* Basic English ability, no criminal record, etc.

** To become a citizen, I think we should require more. E.g. 3 yrs. enlisted military service, a HS degree and passing a test of English proficiency and civics, etc.

Comment by Albuquerquedan
2013-01-17 10:05:40

Joe, we are getting closer but you ignore the impact of chain migration under existing law. Also, many of this board talk about conservatives not adjusting to changing times. Why do we need a million or more people a year coming into this country when we have high unemployment and in many areas of the country we are exceeding the long term carrying capacity of the environment? This is not 1850 America. Why would a country with around 4% of the world’s accept more people than the rest of world combined? This is from wikipedia:

In 2006 the United States accepted more legal immigrants as permanent residents than all other countries in the world combined.[1] After ethnic quotas on immigration were removed in 1965[2] the number of actual (first-generation) immigrants living in the United States eventually quadrupled,[3] from 9.6 million in 1970 to about 38 million in 2007.[4] Over one million persons were naturalized as U.S. citizens in 2008. The leading countries of origin of immigrants to the United States were Mexico, India, the Philippines, and China.[5] Nearly 14 million immigrants entered the United States from 2000 to 2010.[6]

Comment by Albuquerquedan
2013-01-17 10:53:07

“world’s population”

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Comment by In Colorado
2013-01-17 10:56:19

Why would a country with around 4% of the world’s accept more people than the rest of world combined?

Cheap labor?

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Comment by joesmith
2013-01-17 11:03:32

this

The needs of the Romney Class (the “producers”, LOL) are different than the needs of the population as a whole. Luckily for Mittens & Co., enough of the population can be fooled every few years to head of serious reforms. You may not win the Presidency, but you can win plenty of House seats, which are more important for nuts and bolts issues anyway.

 
Comment by Albuquerquedan
2013-01-17 11:14:26

Cheap labor?

Of course. I know the reason but I do not know why more people are not upset about it. We should not be accepting these huge numbers of people just because there is an immigration myth that we have always accepted people for their benefit and not the benefit of the country as a whole. We have more than enough people in this country. Should we be open to perhaps a few hundred thousand truly gifted people a year, a sound argument can be made for that. However, should we use the immigration policy to drive down wages as it is being used today, including in the high tech world? My answer would be no.

 
Comment by Albuquerquedan
2013-01-17 11:21:48

You may not win the Presidency, but you can win plenty of House seats, which are more important for nuts and bolts issues anyway.

That was true during Reagan’s presidency and is true today. Conservatives were able to pass more welfare reform after winning the house in 1994 under Clinton than they were under Reagan. I wonder how many of Obama’s voters really understand that and will turn out in 2014. The man has great coat tails but he is not going to be on the ballot. Although that will impact the senate races more than the house. We have already seen one democrat ducking a race in WVa, might be related to gun control and the fact that Obama will not be on top of the ticket in 2014.

 
Comment by In Colorado
2013-01-17 12:49:52

However, should we use the immigration policy to drive down wages as it is being used today, including in the high tech world? My answer would be no.

As would mine. But since we are “little people”, no one at the top cares what we think. Thus blue collars will continue to be displaced by illegal immigrants and white collars will be displaced by H1-B’s.

 
 
 
 
 
Comment by moral hazard
2013-01-17 08:58:05

Nine things Biden gun task force will recommend for ban

Ryan Teague Beckwith,
Digital First Mediamercurynews.com

Posted: 01/15/2013 12:53:58 PM PST

Number 1

http://www.youtube.com/watch?v=iU0e3f_TcoU - 153k -

Comment by alpha-sloth
2013-01-17 18:16:23

They better not ban my drone-mounted machine gun!

I need it for hunting, and home protection.

 
 
Comment by Neuromance
2013-01-17 09:46:33

Gonna have to find another teat for the crony sectors, this one’s tapped out.

Fed Concerned About Overheated Markets Amid Record Bond-Buying
By Craig Torres - Jan 17, 2013 12:00 AM ET
Bloomberg

Federal Reserve officials are voicing increased concern that record-low interest rates are overheating markets for assets from farmland to junk bonds, which could heighten risks when they reverse their unprecedented bond purchases.

http://www.bloomberg.com/news/2013-01-17/fed-concerned-about-overheated-markets-amid-record-bond-buying.html

Comment by Albuquerquedan
2013-01-17 11:56:24

Federal Reserve officials are voicing increased concern that record-low interest rates are overheating markets for assets from farmland to junk bonds, which could heighten risks when they reverse their unprecedented bond purchases.

Can’t see how they ever do that. We can’t fund a 16 trillion dollar debt if we have normal interest rates. That is why I think the reset button is going to be high inflation which will reduce the national debt in real terms.

 
 
Comment by Housing Analyst
2013-01-17 09:51:32

“Get what you can get for your house today because it’s going to be much less tomorrow for many years to come.”

Comment by Cantankerous Intellectual Bomb Thrower©
2013-01-17 12:06:54

I promise to heap endless accolades on you if your stopped-clock prediction ever comes to pass…

Comment by Housing Analyst
2013-01-17 14:27:06

Better buy now or be priced out forever.

Happy now?

 
 
 
Comment by Northeastener
2013-01-17 09:54:33

Our esteemed governor of Massachusetts, “Cadilac” Deval Patrick, has released his plan to decrease the sales tax from 6.25% to 4.5%, increase the income tax from 5.25% to 6.25% and increase the standard deduction allowed, while taking away certain tax breaks.

Another liberal democrat attempt at soaking the productive, and most especially the middle class. Let’s examine what is being done:

*Sales tax is regressive and impacts the poor the most, so decrease that.
*Since the poor don’t itemize, taking away some itemized tax breaks won’t hurt them, but will hurt those who do itemize, primarily the upper middle and upper income.
*Increase the income tax. This will impact anyone who earns wage income in MA. The increased standard deduction ensures the poor and lower middle won’t be hurt by the income tax increase while soaking the middle and upper incomes.

By increasing the income tax and lowering the sales tax, the government of Massachusetts is ensuring it gets it’s “fair share” regardless. A tax on consumption won’t hurt those who stop consuming, but a tax on income will hurt anyone who earns income…

Between this farce of a “tax the middle class” plan and Patrick’s attempt at mimicking the NY ban on semi-automatic magazines, it may be time to move the family to NH.

Comment by joesmith
2013-01-17 10:05:04

You would move over a 1% increase in the income tax? After taking deductions, etc., what does that amount to, under 1k?

Then, when you take out the sales taxes you’ll be saving, it reduces it even further.

Yeah, if I was you I’d definitely get moving…

Comment by Albuquerquedan
2013-01-17 10:16:49

Most people on this board agree that the problem with this country is our economy is based too much on consumption and too little on production. Reducing sales taxes just increases consumption. I do not know if the tax breaks are the type that include production incentives or not, too little information. However, the general direction of the changes does not seem to be trying to encourage people to save and invest. Whether the tax changes will result in more tax revenue or not is an interesting question but the incentive to move across the border to Cow Hampshire has increased.

Comment by joesmith
2013-01-17 10:37:32

“based too much on consumption and too little on production. Reducing sales taxes just increases consumption”

This does not happen uniformly across different types of consumption. Demand for food, medical care, and other items have completely different elasticity than demand for Maseratis. It is a fact that the relative poor spend almost all their income, particularly the working poor with children. If we were talking about an overall increase in taxation or a larger change (1% seems very modest) I could see this having an effect on the mix of consumption and production. Threatening to move over this is pure hyperbole.

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Comment by Northeastener
2013-01-17 11:06:00

You would move over a 1% increase in the income tax? After taking deductions, etc., what does that amount to, under 1k?

A combination of an increase on our income tax, removing certain tax deductions that itemized filers are allowed (we itemize), an increase in our local real estate taxes, and a proposed increase in the gas tax, all of which contribute to a higher tax burden with no corresponding increase in “benefits” for us. Combine that with increasingly draconian gun regulation in this state and a housing market that is still ridiculously overpriced, and yes, I will seriously consider moving to New Hampshire.

If it weren’t for both my family and my in-laws being close to where we are now and helping with the kids, we would have already moved…

Comment by tresho
2013-01-17 12:28:31

I will seriously consider moving to New Hampshire.
I still don’t understand why a huge chunk of Taxachusetts residents haven’t already done so, and why that hasn’t happened a few decades back. The drive from Concord NH to Boston takes less than half the time than to drive from Cleveland OH to Columbus.

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Comment by ahansen
2013-01-18 00:03:36

Maybe they just enjoy whining?

 
 
 
 
Comment by scdave
2013-01-17 10:26:08

By increasing the income tax and lowering the sales tax, the government of Massachusetts is ensuring it gets it’s “fair share” regardless ??

Which is exactly whats going to happen to all of us no matter where you live…Moving to NH is not going to help you…Its just a matter of time before you get it there also…

Bottom line is the P & L statement throughout the country is a basket case particularly when you throw in that unfunded liability thingy…

Deficit spending and government programs that have gotten so big that they are imploding on themselves…

 
Comment by WT Economist
2013-01-17 11:11:51

“It may be time to move the family to NH.”

Where you shop because of the lower sales taxes?

Comment by Northeastener
2013-01-17 12:28:57

Where you shop because of the lower sales taxes?

I’m south of Boston, so no… but I do regularly see RI license plates in our shopping areas. Funny that the RI sales tax is higher than MA.

Honestly, if I can, I purchase it online from businesses that don’t have a presence in MA. Any opportunity to stick it to MA tax collectors…

Comment by WT Economist
2013-01-17 12:52:31

You do realize that Mass taxes as a percent of the income of Mass residents has been near or below the U.S. average for at least a decade or two?

Meanwhile, I read that provide the services people want with the taxes they are willing to pay, the state has been borrowing for capital expenditures such as — restriping highway markings and mowing the sides or roads. That’s right; Mass has been borrowing to mow the lawn.

If you haven’t left, it may be because you’ve been getting that deal. If it’s time to go, it may be because the clock is about to strike midnight. (And not just in Mass).

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Comment by joesmith
2013-01-17 13:21:17

High income states (e.g. Maryland, New Jersey, Massachusetts) often collect less in total taxes as a % of individual income than states with low incomes (e.g. Texas, Florida, Arizona). The key words are “as a % of individual income”.

Now, municipal taxes can vary and I’m not sure how that measures up. But then it’s foolish to compare taxes based on municipalities because of real estate price differences anyway.

 
Comment by tresho
2013-01-17 13:27:00

Now, municipal taxes can vary and I’m not sure how that measures up.
The basic measure is then what %-age of taxpayers’ income paid to both state & city levels. I smell manipulation of data whenever discussions veer off on who pays what to whom, and do not start off with a basic measure.
The other basic measure is what portion of government spending is made possible by debt vs. revenues. This is also seldom mentioned.

 
Comment by joesmith
2013-01-17 13:30:47

Fair enough. Another part of my point is… if you could make the same salary in NH as MA, then fine, move to NH. However, in reality, for the vast majority of people, moving to a less expensive state would also mean less job opportunities and less income. So it is foolish to just say “I’ll just move to [X state]” without owning up to the fact that wages in [X state] are likely lower.

 
Comment by tresho
2013-01-17 13:35:48

moving to a less expensive state would also mean less job opportunities and less income
You can say that again. This needs mentioning in every discussion about RE costs, cost of living, standards of living, etc.

 
Comment by mathguy
2013-01-17 14:07:15

Doesn’t it seem counter intuitive that state with higher average incomes would have higher tax rates? At the same tax rates, shouldn’t the state have a higher tax base at a lower rate? At economies of scale, shouldn’t this mean they can be more efficient with the larger amount of money they collect and actually charge LOWER tax rates? Why is Massachusetts failing in this regard. Why is California failing in this regard?

 
Comment by Northeastener
2013-01-17 14:35:43

At economies of scale, shouldn’t this mean they can be more efficient with the larger amount of money they collect and actually charge LOWER tax rates? Why is Massachusetts failing in this regard. Why is California failing in this regard?

The only thing I can think of is “cost of living”, i.e. a higher income state like MA or CA has a higher cost of living because of the higher wages paid, so it must collect more money to pay for the services it provides.

 
Comment by Northeastener
2013-01-17 14:40:08

if you could make the same salary in NH as MA, then fine, move to NH.

It’s an interesting dynamic. Southern NH is full of MA transplants and many commute to MA, and specifically Boston, for jobs. The problem with working in MA and living in NH is that NH doesn’t collect income tax or sales tax, but has significantly higher real estate tax. If you own a residence in NH and work in MA you pay MA state income tax and NH real estate tax.

The ideal scenario is moving to NH and working in NH, where you benefit from the lower sales and income tax and maintain a similar salary. Renting would be the most ideal scenario, as then you don’t deal (directly) with the higher NH real estate taxes.

 
 
 
 
 
Comment by joesmith
2013-01-17 09:57:34

I didn’t realize I might be a “BoBo” until I skimmed some reviews of David Brooks’ book after seeing it mentioned above.

I just ordered the book from Amazon to find out for sure.

Comment by mesohoney
2013-01-17 10:00:29

Bobos and Yuppies….what’s the difference?

Comment by joesmith
2013-01-17 10:09:06

Yuppies were driven by making money and conspicuous consumption. BoBos hate conspicuous consumption.

BoBo is a combination of Bohemian and bourgeois.

Bobos have money but prefer to act like hipsters (or reformed hipsters once they grow up and have kids).

Comment by goon squad
2013-01-17 11:07:19

We think you’re too cynical to truly be a BoBo. Real BoBos think they’re going to “change the world” with re-usable shopping bags and COEXIST stickers.

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Comment by joesmith
2013-01-17 11:52:25

Fair point. Given that it’s a David Brooks book I’m sure there are nuances and reading the book might change my evaluation.

 
Comment by In Purgatory
2013-01-17 12:44:53

But his constant bragging about HYP and his position, plus his utter disdain for the people with less money than him, makes him a bona fide yuppy.

 
Comment by joesmith
2013-01-17 13:25:12

“utter disdain for the people with less money than him”

Not really, if anything I’ve been trying to wake up people to realize that our society is rigged in favor of the asset owners. We can argue to what extent owning assets should be preferenced, but rational people generally agree changes should be made. What changes? Focus on infrastructure and K-12 education, reduced spending on military and b.s. law enforcement (war on drugs), single payer health care, a workable plan for bringing fed budget in line with revenues, and so forth.

I fail to see how pointing out the absurd, self-defeating political preferences of teabillies = disdain for all people with less money.

 
Comment by tresho
2013-01-17 13:28:46

rational people generally agree changes should be made
All 2 dozen of them.

 
Comment by ecofeco
2013-01-17 13:47:00

“All 2 dozen of them.”

There’s THAT many?!

 
 
Comment by Cantankerous Intellectual Bomb Thrower©
2013-01-17 12:05:26

Thanks. Now I realize I am neither a Yuppie (to old, not upwardly mobile) nor a BoBo (not hip enough), although I do share Thorstein Veblen’s disdain for conspicuous consumption.

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Comment by tresho
2013-01-17 12:45:40

although I do share Thorstein Veblen’s disdain for conspicuous consumption
As do I.

 
Comment by joesmith
2013-01-17 13:33:47

“Theory of the Leisure Class”… a great book, but only Veblen’s 2nd best.

 
 
Comment by Happy2bHeard
2013-01-17 23:06:02

“BoBo is a combination of Bohemian and bourgeois.

Bobos have money but prefer to act like hipsters (or reformed hipsters once they grow up and have kids).”

If I had any money, I might be a bobo - if I preferred to act like a hipster.

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Comment by michael
2013-01-17 12:45:05

this 32 year old know:

- father is a big time JP Morgan exec.
- went to very expensive private schools.
- takes the bus to work to “maintain perspective”.
- made a few million bucks as young exectuve when the company he worked for was bought yet fought to escalate the closing before the fiscal cliff.
- spent a vacation sometime back in africa.

that…that’s a Bobo?

conspicuous consumer or douchebaggery…not much of a choice.

Comment by michael
2013-01-17 12:47:47

oh yeah…i forgot…he’s a democrat.

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Comment by In Purgatory
2013-01-17 12:52:04

I know few young “democrats” like this..bunch of hypocrites. On the other had it just tells a sad state of affair the war party is.

 
Comment by joesmith
2013-01-17 14:50:18

A lot of us aren’t democrats but are just appalled at the state of the GOP. I’m unaffiliated and voted for a hodgepodge of independents, a Republican congressional candidate (lost to Sarbanes), and only one Dem. The Dem was Obama, who I supported because Mittens was just so awful. Otherwise, Ron Paul or Gary J all the way.

I still laugh that the True Patriot Party (TM) nominated a guy who made a business model out of f**cking over American workers, required Mass. residents to buy private health insurance, and kept vast sums of money overseas because his already-low taxes aren’t low enough for him.

 
Comment by alpha-sloth
2013-01-17 18:26:33

and kept vast sums of money overseas because his already-low taxes aren’t low enough for him

Since ‘all taxes are theft’, cheating on your taxes (or legally avoiding them like a .1%er) makes you a freedom fighter.

 
 
Comment by In Purgatory
2013-01-17 12:49:06

Perfect bobo pretender.

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Comment by ahansen
2013-01-18 00:07:33

You’ll end up hating David Brooks. He’s a wienie — and he’s the only one who thinks he’s funny.

 
 
Comment by Cantankerous Intellectual Bomb Thrower©
2013-01-17 12:02:36

Jan. 17, 2013, 11:27 a.m. EST
Bank of America and Citi reports are junk
Commentary: Another quarter of surprises isn’t surprising
By MarketWatch

SAN FRANCISCO (MarketWatch) — Sugarcoat it all you want. Let the analysts try to make sense of it. Buy the story you’re being fed. The reality is, Bank of America Corp. and Citigroup Inc. turned in garbage reports parading as fourth-quarter earnings Thursday.

Special and one-time charges, unforeseen costs, settlements, legacy costs, foreclosure legal fees — it was a junkfest. But that’s not even the worst of it.

These types of quarters happen with such regularity for banks these days that to suggest they’re year-end, “kitchen sink” quarters is an insult to sinks, kitchens, quarters and, mostly, investors.

At Charlotte, N.C.-based Bank of America (BAC -4.69%), Chief Executive Brian Moynihan said the bank would take $2.7 billion in one kind of mortgage-related charge and another $2.5 billion tied to a separate charge. Still, he wrote with a straight face, the bank is “strong and well positioned for further growth.” See full story on B. of A. profits .

Meanwhile, up in New York, Citigroup (C -3.20%) posted a 25% increase in quarterly profit. But lo and behold — there was a $1.3 billion surprise in the form of legal costs, another $305 million charge, more losses at Citi Holdings, and a charge for an increase in the value of its own debt (a confusing and questionable rule that’s on the accountants, not the bank). Read report on Citigroup’s results .

More alarming, Michael Corbat, Citi’s new CEO, had the audacity to blame regulatory costs for the bank’s performance — as if it were operating under some especially onerous rules that others weren’t.

Even with these “special” and “one-time” circumstances stripped out, these banks continue to be black boxes. Investors’ only choice is whether to trust the junk they spew forth.

Comment by joesmith
2013-01-17 13:28:11

“there was a $1.3 billion surprise in the form of legal costs”

SURPRISE LEGAL COSTS

Hahaha, amazing.

 
Comment by ecofeco
2013-01-17 13:50:00

It’s GOOD to be the Banksta!

 
 
Comment by goon squad
2013-01-17 12:17:45

Piece from commie/anarchist website Counterpunch discusses the failings of the capitalist ideology of growth for growth’s sake:

http://www.counterpunch.org/2013/01/17/what-is-wrong-with-america/

Comment by michael
2013-01-17 12:51:22

commie/anarchist ?

 
Comment by tresho
2013-01-17 12:54:53

Issues like those raised by Counterpunch hinge on assumptions, premises, presuppositions. Focus discussions on those.

 
Comment by In Colorado
2013-01-17 13:00:21

It has become clear that the imperative of ever more growth, the ethos and driving force of modern corporate capitalism, is leading to the destruction of the very biosphere that sustains life on this planet.

Especially in that nation we are constantly being told that we must emulate to be “successful”: China.

Maybe Soylent Green wasn’t scifi.

 
 
Comment by Albuquerquedan
2013-01-17 13:41:17
Comment by ProperBostonian
2013-01-17 16:58:47

From the article:
1. The real-estate recovery is now in full effect in most areas, and that means more of you are hopping off the fence to buy or list a home.
2. Inventory is bottoming out.
3. After so many years of decline, American real estate remains quite the bargain.

More unbiased reporting by Melinda Fulmer of MSN Real Estate.

Comment by Pimp Watch
2013-01-17 17:18:27

Yet inventory is in the 20+million excess empty houses. And rising.

 
 
 
Comment by Rental Watch
2013-01-17 13:47:08

So, per a Bloomberg article, Buffett has 10-year warrants to buy BofA stock at $7.14 per share (700 million shares).

This is on an investment of $5 billion at 6%.

At today’s stock price, the warrants are worth approximately $3 billion.

He has about 8 years left before he MUST exercise the warrants.

I wonder, when it’s all said and done, how much he’ll make on the warrant part of the investment…$10 billion? That relies on the stock going back to about $21 per share by 2021.

 
Comment by X-GSfixr
2013-01-17 14:01:32

Translation/Analysis of the Boeing 787 story
By X-GSfixer

(For educational/entertainment purposes only…..not intended as an endorsement to some of Boeingz stupid-azz decisions)

Battery in question is used to start the aircraft’s “APU” (this is what you hear running when you board an aircraft at the gate……it’s a little turbine engine in the tail, that turns a generator to supply electrical power, and supplies bleed air to run the air conditioning “PAC”s (or whatever Boeing calls them) and start the main engines.

As far as aviation is concerned, the lithium-ion battery (so far) doesn’t live up to the hype. Engineers like them because they pack more power in a smaller, lighter package. But, (IMO) what minor advantages they have over a Ni-Cad are more than offset by the problems…. Mainly to do with the fact that the battery cells burst into flame when ruptured and exposed to air. The FAA has a real Jones for things that burst into flames in flight.

NiCads can burn/overheat, usually by being overcharged. They have temp monitors in them for this reason. the drill with an overheating Nicad is to electrically isolate it, then see if the temperature starts going down, and if not, get on the ground ASAP.

As I understand it, the lithium ion burns once a cell is ruptured, the heat/fire ruptures more cells…… Even if you put it out, it will burst into flames again if damaged/overheated cells continue to rupture. The only way to put it out, is to put it in a fireproof enclosure, and cool it off.

Cessna tried using one as the main battery on their newest model, the Citation C-510. At least until the first one burst into flames. The Feds immediately issued an AD, and the aircraft couldn’t fly until the battery was replaced with a NiCad.

In Cessna’s case, putting in a NiCad wasn’t that big a deal. I’m guessing that it won’t be on the 787 either; From the pictures I’ve seen, it looks like a Ni-Cad, but they put a Lithium-Ion in it……to make it easier to retrofit a Nicad, in case their were problems.

As far as the rest of the “problems” the reporters are screeching about……typical new airplane stuff. Nothing insurmountable.

Now whether these things can be fixed cheaply/rapidly is another question.

As someone mentioned the other day, Boeing has decided to become the Dell computers of the aerospace industry. All they want to do is let the subcontractors build (and now design) the components, and they do the final assembly/systems integration.

This works on PCs (depending on who you ask), but airliners? As Boeing has been finding out (repeatedly) some of their subcontractors don’t have the expertise they say they had. Many times, the sales guys get the contract, THEN hire the engineers to design it.

(They’ve said that their next major project will NOT have vendors scattered worldwide……they will design/assemble subassemblies close to the Boeing facility, probably in South Carolina. Mainly so Boeing can do the oversight on the new airplane that they didn’t do on the 787……..now whether they can find Lucky Duck-type, qualified engineers to move/live in Bubba-ville is another question).

And as we all know, when it comes to sales people, talk is cheap. I’ve never heard a salesman say….. “Gee, we’d like to do this, but it’s beyond our capabilities/training/expertise/experience……”

As the saying goes, “There’s never money or time to do it right; but there’s always money/time to do it over.”

Comment by joesmith
2013-01-17 14:28:48

“Boeing has decided to become the Dell computers of the aerospace industry”

Yes, I know intellectually that prime contractors do a great deal of work coordinating and integrating the systems. It’s just unclear whether subbing out so much creates insurmountable problems and cost overruns that outweigh the benefits of contracting out work to specialists.

What is clear is how much this arrangement jacks up all the legal fees and accounting issues. Subs and primes litigate all the time and it’s hard to get work done when one side is threatening to cease work and/or withold funds from the other.

The way gov contracts are structured, all of this is compounded because everyone *knows* they’ll get their money eventually, so everything else is posturing and trying to get *more* money out of the deal.

Comment by X-GSfixr
2013-01-17 15:10:33

Sometimes this arrangement works.

The risk you run, is that you (as a prime) can be at the mercy of one of your subcontractors, whose motivation/priorities may be significantly different than your own.

Being a “prime” can be lots of fun. Once upon a time, a green field/start from scratch/new paradigm company started designing and building a plane to compete directly with one of the Bizjet OEMs.

The old school OEM has a meeting with their vendors who were working on components for the startup. It was explained to them that if the startup was getting a break on pricing (compared to the old-school OEM), or if they were some kind of “partner” with them, the old school guys would take it personally.

 
 
Comment by polly
2013-01-17 15:15:35

Thank you for this, fixer. I’ve been meaning to ask for your analysis of the 787 stuff.

 
Comment by Arizona Slim
2013-01-17 15:31:16

As someone mentioned the other day, Boeing has decided to become the Dell computers of the aerospace industry. All they want to do is let the subcontractors build (and now design) the components, and they do the final assembly/systems integration.

This works on PCs (depending on who you ask), but airliners? As Boeing has been finding out (repeatedly) some of their subcontractors don’t have the expertise they say they had. Many times, the sales guys get the contract, THEN hire the engineers to design it.

(They’ve said that their next major project will NOT have vendors scattered worldwide……they will design/assemble subassemblies close to the Boeing facility, probably in South Carolina. Mainly so Boeing can do the oversight on the new airplane that they didn’t do on the 787……..now whether they can find Lucky Duck-type, qualified engineers to move/live in Bubba-ville is another question).

And as we all know, when it comes to sales people, talk is cheap. I’ve never heard a salesman say….. “Gee, we’d like to do this, but it’s beyond our capabilities/training/expertise/experience……”

As the saying goes, “There’s never money or time to do it right; but there’s always money/time to do it over.”

Remember the above. And thanks to our Fixer for posting it.

 
Comment by ahansen
2013-01-18 00:15:35

Thanks for this, Gulfie.

 
 
Comment by Phoenix Investor
2013-01-17 14:31:17

Nothing is selling here without 15% price reductions and even then, there is so much inventory available that forces even deeper price reductions.

 
Comment by Northeastener
2013-01-17 15:08:32

Channeling goon…

LOLZ to NY State. Your recently enacted affront to the 2nd amendment forgot to exclude law enforcement from magazine limits and such.

Here are comments by NY Assemblyman Graf on the issue:
“My daughter is a New York City police officer, and under this legislation, we’ll be taking bullets out of her gun while the bad guys have no such limitations,” said Graf. “This is what happens when you circumvent the legal, responsible legislative process: you end up with a well-intentioned bill that completely misses its mark and ends up putting the safety of our children and families at risk.”

What is that saying in Animal Farm? Some animals are created more equal than others, I guess…

Comment by Bluestar
2013-01-17 19:14:08

Officers of the NYPD are issued a 9mm Service pistol that fires in DAO (Double Action Only). Currently authorized pistols for new officers to select from include the SIG P226 (DAO), Smith & Wesson 5946 (DAO), and Glock 19. Was there specific legislation on how they were going to confiscate the banned weapons and magazines? Was there nothing in the new proposed law about a grandfather clause?

 
 
Comment by Rental Watch
Comment by Resistor
2013-01-17 18:15:05

That’s great news. I look forward to deflation, cascading defaults, chaos, and the chance to purchase a place to raise my family at 3x our DUAL income.

Comment by Rental Watch
2013-01-17 18:19:03

You’ve got to have some laws changed or relaxed to get the foreclosures onto the market…until then, the distress will trickle out onto the market. While they note Florida markets have lagged the rest of the country, values would fall if they actually pushed the foreclosures through.

 
 
 
Comment by Resistor
2013-01-17 17:48:08

My neighborhood is 97% white.

Comment by rms
2013-01-17 19:28:18

“My neighborhood is 97% white.”

My town is probably 97% white, but easily 30% of ‘em are trash too. ;)

 
 
Comment by Happy2bHeard
2013-01-17 18:47:45

I haven’t seen this posted yet today. The concept just floors me.

http://seattletimes.com/html/health/2020149085_fecaltransplantxml.html

Fecal transplants succeeding at curing intestinal infections

The treatment may sound appalling, but it works.

Transplanting feces from a healthy person into the gut of one who is sick can quickly cure severe intestinal infections caused by a dangerous type of bacteria that antibiotics often cannot control.

A new study finds that such transplants cured 15 of 16 people who had recurring infections with Clostridium difficile bacteria, or C. difficile, whereas antibiotics cured only three of 13 and four of 13 patients in two comparison groups. The treatment appears to work by restoring the gut’s normal balance of bacteria, which fight off C. difficile.

The study is the first to compare the transplants with standard antibiotic therapy. The research, conducted in The Netherlands, was published in The New England Journal of Medicine.

There has got to be a political joke in there.

Comment by rms
2013-01-17 22:53:02

“The concept just floors me.”

+1 Yeah, difficult to stomach. :)

 
 
Comment by Neuromance
2013-01-17 19:32:13

Bastards.

On 9 January, just two days before Aaron committed suicide, his request for a plea deal was turned down by federal prosecutors. Elliot Peters, Swartz’s lawyer spoke to the Massachusetts attorney’s office to see if a plea bargain could be reached that would reduce the prison time and $1million fines that his client was facing for allegedly stealing academic papers.

Aaron’s genuis has been recognised by some of the most revered in his field. Speaking at Aaron’s funeral, internet inventor Sir Tim Berners-Lee said: ‘World wanderers we have lost a wise elder. Hackers for right, we are one down. Parents all we have lost a child, let us weep.’

http://www.dailymail.co.uk/news/article-2264177/EXCLUSIVE-Girlfriend-Reddit-founder-hanged-tells-moment-body-hounded-vindictive-legal-system.html

Comment by tresho
2013-01-17 19:48:26

Jerry Pournelle, who has a vested interest in copyright law, had this to say about Aaron, and the legal issues he was caught in.

One power was explicitly given [in the Constitution]:

“The Congress shall have power … To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.”

Note that nothing was said about intellectual property.

Note also that nothing was said about who owns the rights to intellectual property created through grants of public money.

My – sympathy, affection, agreement, whatever you care to make it – with Aaron Swartz has to do with his challenge to ITHAKA’s monopoly of access to journal accounts and the high prices it charges. I think someone ought to challenge that monopoly, and I think Mr. Swartz performed a public service in doing so. I think a public trial of Mr. Swartz, which probably would have resulted in a conviction although jury nullification is always possible, would have been a healthy thing for all. As I say, it probably would have resulted in a conviction of Mr. Swartz, and his sentence to something under a year of imprisonment, and perhaps a fine (which would undoubtedly have been paid by public subscription). Instead the US Attorney sought 35 years of imprisonment, offering no alternative other than a plea of guilty – and thus no trial, and no challenge to the ITHAKA monopoly.

It seems as if the goal of that prosecution was not enforcement of laws against stealing, but prevention of a trial that would have exposed the ITHAKA monopoly.

I remain of that opinion.

Comment by Neuromance
2013-01-17 21:29:54

Swartz was given every reason to believe he was going to spend several decades in jail.

Bastards.

What a waste.

 
Comment by ahansen
2013-01-18 00:23:34

One sincerely hopes Anonymous will have more to say about this than simply hacking MIT’s website. Meanwhile Bradley Manning is “supposed” to go to trial in June. After three years….

Absolutely shameful.

 
 
 
Comment by tresho
2013-01-17 19:51:30

The mean streets of the wealthiest metropolitan area in the country:

The fragile peace of Ogden Street, of the houses facing Washington Park, of the families along Brooks and Stillman and Arctic, is interrupted night after night by gunfire and sirens and the shouting of young men.

In the past six months, nine residents of Bridgeport’s East Side neighborhood were gunned down, many at random, four before their 16th birthday. In two separate incidents last summer, 15-year-olds were killed after leaving “sweet 16″ parties, police say, by boys ejected for fighting. But the boys came back.

“They just drive up and open up on a house,” said a woman from Ogden Street whose neighbor lost her daughter in one of the murders. “It’s children killing children; they got nothing better to do.”

Asked for her name, she added, “What, so they can come shoot me down? Hell, no!”

Welcome to Fairfield County, Conn., the wealthiest metropolitan area in the country, according to the Labor Department’s Bureau of Economic Analysis, but also among the most unequal in terms in income distribution.

Comment by Pimp Watch
2013-01-17 20:05:13

Bridgeport….. heh.

 
 
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