October 9, 2013

Bits Bucket for October 9, 2013

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Comment by 2banana
2013-10-09 05:07:44

But if this federal program helps just one person - it is worth it!

Can’t wait until the same people are running obamacare…

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Meet The Disability-Industrial-Complex: Up To 45% On Disability Insurance Are Frauds
Tyler Durden - 10/08/2013 - zerohedge

If the American public knew what was going on in our system, half would be outraged and the other half would apply for benefits.

I’ve known about the “disability” scam for many years now, but I had never read a report that details the racket until I checked out the following from CBS’ 60 Minutes. As usual, the real money being made in the whole scheme is not centered around the people collecting the checks, but rather attorneys, doctors and even judges who grease the wheels of the $135 billion “disability-industrial-complex.”

For example, in the economically depressed border area of Kentucky and West Virginia we find 10%-15% of the population on disability, or three times the national average. The regional disability racket is essentially run by attorney Eric Conn, who’s clients for disability enjoy a 100% success rate thanks to Mr. Conn’s relationship with doctors and a local judge named David Daugherty.

Comment by P.T. Barnum
2013-10-09 05:32:20

“Up to 45% on disability insurance are frauds.”

Reminds me of the RE boom days in that those who sign the falsified papers take the greatest risks while those who provide the falsified papers get to cash in on most of the gains.

Present a dotted line in front of a sucker and most likely he will sign it. Do this enough times to enough suckers and you’ll get to live a life of ease at the expense of the suckers who get to endure the pain.

The beat goes on.

 
Comment by Suite Joey Blue Eyes
2013-10-09 07:09:43

Conn’s going to do a lot of time in prison. Yes, the disability system needs reworking and frauds should go to jail. News at 11. This does not mean there should be no disability system, but rather that we should be vigilent about ensuring it is really only people who truly couldn’t find work based on a serious disability.

Comment by Strawberrypicker
2013-10-09 07:18:00

Will all those he “helped” to obtain fraudulent benefits be kicked off?

Comment by Suite Joey Blue Eyes
2013-10-09 07:20:21

They should probably be reevaluated. I don’t know anything about the mechanics of SSDI. I do know that, as far as “small law” goes, SSDI is a profitable practice area that requires little interaction with the masses. The lawyers interact with the people at SS and with doctors moreso than the masses. Not surprising to me that the lawyers kick back big chunks of fees to their judge/doctor buddies. Conn made it too obvious, though.

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Comment by aNYCdj
2013-10-09 07:26:44

straw:

They deserve due process…have the SS set up small hearing rooms so that everyone gets a new hearing in 60 days and 30 days for the decision, …then let the judge decide…and they can appeal in 30days and another decision in 30 days…that’s It 2 denials in 5-6 months and its over that gives them some time to figure out what to do next

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Comment by aNYCdj
2013-10-09 07:20:07

joey:

Brings up an interesting point would a 600lb woman who cant drive or even get out of the house, be disabled if she had a profitable website she operated from home?

Comment by Ethan in Norfolk VA
2013-10-09 09:53:23

Have you seen the movie “Feed”? First thing that came to mind with your comment. If not, it’s a pretty decent cyber thriller.

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Comment by rms
2013-10-09 08:09:33

“Conn’s going to do a lot of time in prison.”

He doesn’t look like the fluffer type.

 
Comment by mathguy
2013-10-09 12:00:52

@Suite Joey Blue Eyes :

The thing you fail to take away from your own viewpoint is that the more localized the program, the less subject to abuse it is. If a county or city is running disability, they don’t have a national funding pool to abuse. I don’t think anyone is saying we should just leave people on the street to die. Just bring it back to the local level and use the federal government for oversight, auditing, equal protection under the law enforcement, and assistance with efficiency programs if needed. Take the money out of federal hands and put it back in local hands.

Comment by (Neo-) Jetfixr
2013-10-09 12:21:40

But nobody at the local level wants “oversight, auditing, etc”

That’s the whole point. The Feds got involved because there was none of this before, and wouldn’t be now, if it was left up to state and local politicos.

Same with Medicare. We got Medicare because (surprise!) the insurance business doesn’t want to write policies on people who might actually file claims.

As far as “forcing someone to pay into the system”? Watched TOSH.0 a while back. Had a kid on the show who smashed his face into the back bumper of a car at 35mph, while trying to do something stupid. $800K in medical bills to put his face back together. Insurance doesn’t want to pay the bills, because he was an idiot. So who ends up paying for that?

(For starters, if I was running a “single-payer” system, he’d only get enough health care to keep him alive. No sense in making someone that stupid pretty again, so he has the chance of breeding. Of course, that’s me talking, not the medico-insurance complex).

He’re the trick…….we already have a “single payer” system. JoeQ6pack. With no cost controls on the doctors and insurance companies, because we love the idea of a “free market”.

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Comment by mathguy
2013-10-09 14:53:37

if you are a business, you don’t let the auditors run the company.

Then there is this:

Had a kid on the show who smashed his face into the back bumper of a car at 35mph, while trying to do something stupid. $800K in medical bills to put his face back together.

So now we as society get to cover the cost of this kid being a jackass? Yay for us? There are those of us who actually try to save some money, not gamble everything on overpriced houses, not “car surf”, don’t have unprotected sex, don’t do IV drugs and snort coke off hookers asses, don’t smoke, and actually occassionally exercise. Screw us people right? Since we are responsible, we can afford a bit more for all the idiots out there. It’s for the children.

 
Comment by Biggvs Richardvs
2013-10-09 15:44:37

Ok, I was with you up until “snort coke off hookers asses.”

Don’t knock it till you’ve tried it. ;-)

 
 
 
 
Comment by Bill, just South of Irvine, CA
2013-10-09 07:23:51

“Up to 45% on Disability Insurance are Frauds” - yep, I believe it. Much the same people who hate “big business” and love the nanny state.

Comment by Suite Joey Blue Eyes
2013-10-09 07:26:39

I don’t think people hate big business, per se. They hate that Big Business a) owns the political system via contributions and b) uses the system to get itself subsidized/bailed out.

Comment by RioAmericanInBrasil
2013-10-09 07:41:30

They hate that Big Business a) owns the political system via contributions and b) uses the system to get itself subsidized/bailed out.

You’re going to need to simplify that concept a lot and get back to him.

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Comment by mathguy
2013-10-09 12:08:49

Wait, so a system that is subject to abuse is fine, it’s the abusers who should just magically change? If you take away the money that is available for bailouts you take away the bailouts. Why is the fed allowed by law to magically “buy” worthless crap to the tune of 45 billion per month? I have some sand in my back yard, why don’t they buy that for a few million?

“Oh but it’s ok, they have the best interest of the economy in mind.”

This country is supposed to be about letting the individual decide/do what is best for them, not about privatizing gains and socializing losses. Step 1 to returning to that is neutering the Fed at *least* back to only setting interest rates, instead of buying this asset crap business. Step 2 is drastically moving tax dollars back to control at the state and local levels and neutering the federal welfare system. If we want welfare/SSI/disability, it should be at the state level…

 
Comment by Bill, just south of Irvine, CA
2013-10-09 19:08:45

Too logical for Rio’s Hilary/Pelosi/Reid mind to grasp Math guy.

 
 
 
Comment by oxide
2013-10-09 09:02:12

Yeah, all those nanny state lovers in Kentucky and West Virginia. :roll: I was recently in Tennessee and Georgia and saw and heard a lot of ads for disability lawyers who would make sure your rights were not denied.

If they hate big business, it’s because big business offshored the jobs that they used to have. They are trying to get disability because there is no other income.

 
 
Comment by mo money mo problem
2013-10-09 07:51:21

but rather attorneys, doctors and even judges who grease the wheels of the $135 billion “disability-industrial-complex.”

I knew it….lawyers are at the forefront of every scheme there is in ‘Merica.

Comment by Suite Joey Blue Eyes
2013-10-09 09:08:22

All 3 branches of the gov’t are dominated by lawyers, broseph.Wouldn’t have changed one bit if Mittens had been elected, either.

Comment by mo money mo problem
2013-10-09 09:59:15

Who said it would?

Don’t need to bring Romney or Republicans are so bad in every point you make. If you have any dignity, just own up to the fact that you have $hit for brains and you voted for people with $hit brains and you are at some level responsible for the $hitstorm.
And your profession is the biggest $hit of all in ‘Merca.

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Comment by United States of Moral Hazard
2013-10-09 13:55:50

So eloquent and profound…

 
 
 
Comment by Housing Analyst
2013-10-09 09:51:16

“I knew it….lawyers are at the forefront of every scheme there is in ‘Merica.”

BINGO

 
 
Comment by rms
2013-10-09 08:11:51

“As usual, the real money being made in the whole scheme is not centered around the people collecting the checks, but rather attorneys, doctors and even judges who grease the wheels of the $135 billion “disability-industrial-complex.”

+1 That’s what I absorbed from the story.

 
Comment by In Colorado
2013-10-09 09:38:17

Can’t wait until the same people are running obamacare…

I’ll bet that once you’re eligible you’ll be the first in line to sign up for Medicare.

 
 
Comment by Housing Analyst
2013-10-09 05:13:09

Houses are depreciating assets no different than cars or refrigerators.

Correct. Except the losses on a house are massive. And they’re magnified tremendously at current inflated asking prices of resale housing.

Comment by goon squad
2013-10-09 06:47:49

“People have learned that a highly leveraged, illiquid, high-transaction cost “asset” requiring regular annual maintenance of thousands of dollars is not worth the risk”

You better believe it.

 
Comment by Suite Joey Blue Eyes
 
Comment by inchbyinch
2013-10-09 16:36:55

HA
You might have more credibility if you didn’t reply to your own comment.
And btw, that’s just plain dumb. A car and a refrigerator are disposable and a home is real property that can usually be sold for more than you paid. Before all this housing shenanigans, selling your home made you $, as long as you didn’t borrow against it. Us “hill’ers” (as you call us)have been around a little longer than you. We profited from real estate, my dear. Now, go take a nap and get your nappy changed.

Comment by Housing Analyst
2013-10-09 16:43:35

Guess again Donkey. Houses depreciate. Always have and always will. And you’re finding out the hard way.

 
 
 
Comment by scdave
2013-10-09 05:18:07

Comment by the golden boy
2013-09-16 07:16:36

Yellen will not get it.

It will be a Goldman alumn….take it to the bank.

Comment by Whac-a-Bubble™
2013-10-09 05:32:57

It’s not over yet. Suppose the Republicans decide to attack Yellen as “Obama’s pick”?

Comment by scdave
2013-10-09 05:38:38

Suppose the Republicans decide to attack Yellen ??

Well, I guess you can always dig the hole deeper if you choose to do so…

Comment by Whac-a-Bubble™
2013-10-09 05:40:06

They are very good at digging themselves into holes.

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Comment by Ben Jones
2013-10-09 06:48:02

‘They are very good at digging themselves into holes’

Man, everybody is so concerned for these Republicans and their popularity. One would think that if they were digging their own political grave, the other side would sit back and do nothing.

Napoleon said, when your opponent is making a mistake, don’t interrupt him.

Or could it be you are worried?

 
Comment by Oxide
2013-10-09 07:18:44

Ben, nobody is “doing” anything except talking. but Obama and Reid are the ones doing nothing and letting the grave digging go on. The only action Obama and Reid have taken is to — rumor has it — shut Biden out of the process. imo a good thing. Last time, Biden gave away the store.

 
Comment by mo money mo problem
2013-10-09 07:41:20

It’s the democrats who are digging the graves if you are anything but a non-essential government employee. The government shutdown or 10% shutdown of the government is nothing but a sham and it doesn’t and won’t affect the masses. The elites and riches will be the ones taking the hit more so than the poors. Poors and Middleclass won’t feel a difference, the US government has stopped working for them long long ago.

 
Comment by Ben Jones
2013-10-09 07:44:40

‘nobody is “doing” anything’

“It’s a cheap way to deal with the situation,” an angry Park Service ranger in Washington says of the harassment. “We’ve been told to make life as difficult for people as we can. It’s disgusting.”

Yeah, let’s put these people in charge of the health care system.

 
Comment by RioAmericanInBrasil
2013-10-09 07:53:56

Yeah, let’s put these people in charge of the health care system.

We should never put Park Rangers in charge of health-care.

We can see what that did to France.

 
Comment by Rental Watch
2013-10-09 11:18:38

“Man, everybody is so concerned for these Republicans and their popularity. One would think that if they were digging their own political grave, the other side would sit back and do nothing.”

People seem to forget that the very reason the Tea Party members of the House got INTO the House in the first place was a response to Obama’s legislative actions (including Obamacare).

Said another way;

Obama lost the House in large part because of Obamacare…the Tea Partiers are at greater risk of losing their seats if they roll over on Obamacare, than if they continue to be obstructionist.

 
Comment by mathguy
2013-10-09 14:59:24

Ben and rental watch: How come these points are never addressed?

1) Unifying power/control in a single source ties you directly to the success/failure of that source.

2) Half the country is against centralizing control of our health/wealth.

All we seem to get is, 1) don’t worry it will be fine, and 2) nuh uh, everybody wants it.

 
Comment by Ben Jones
2013-10-09 15:53:25

‘ties you directly to the success/failure of that source’

Which is the aim, as I’ve said here before. That’s why I don’t play along with this compassion crap. This is about power. What really bothers me is, I shouldn’t have to buy something I don’t want. Other than that, it isn’t going to work. Or not well, anyway. I’ve experienced this stuff south of the border and it’s a disaster.

 
Comment by Rental Watch
2013-10-09 16:03:33

You forgot 3) Other countries do it that way, and everybody loves it

And mathguy, the other thing that irks me is that people frequently tout the government at being far more efficient in delivering healthcare (using percentage of overall $ going to healthcare as the metric). In other words, insurance companies make profit, so therefore they MUST be less efficient, since the government makes no profit.

However, this metric misses an important piece…without profit motive, there is no incentive to spend less money on healthcare…you can get to the same metric by dramatically overspending on healthcare…hook up someone with a body that is shutting down on a ventilator for a week on Medicare’s dime, and you get to increase the numerator and denominator in that calculation. Is that actually the right medical decision, or the easy, politically expedient, non-confrontational decision?

The other piece that people have ignored is that there is less and less competition in the world of health insurance. And it’s not getting any better…and Obamacare won’t help. Mega insurance companies get to negotiate sweetheart deals with healthcare providers because they have bulk. This is why the man on the street pays a HUGE amount more than Blue Cross for the same procedure.

If you want to add competition into the mix, you need to alter these arrangements (that are the result of near-monopoly situations). The only idea that I could come up with (that some people will scream and yell about) is to make it illegal to charge different amounts for the same procedure with different payors. So, if the man on the street is charged $1,000 for a test, that’s the same price every insurance company pays.

If this were to happen, there would instantly be more competition in the insurance markets, driving profits down.

 
Comment by MightyMike
2013-10-09 18:15:17

hook up someone with a body that is shutting down on a ventilator for a week on Medicare’s dime, and you get to increase the numerator and denominator in that calculation. Is that actually the right medical decision, or the easy, politically expedient, non-confrontational decision?

So is that an argument in favor of the death panels that Sarah Palin was worried about?

 
Comment by Rental Watch
2013-10-09 22:15:20

If you look at the difference in healthcare cost in the US vs other countries, the main difference is in end of life care. “Death panels” (also known as doctors making decisions) are a major reason why other countries spend less on healthcare than the US.

According to a Kaiser website, 28% of all Medicare expenditures are spent in the last 6 months of someone’s life. In the year it was studied, that was $170 Billion.

$170 Billion out of $554 Billion.

http://www.upi.com/Health_News/2013/09/11/Study-Futile-end-of-life-care-costs-millions-not-warranted/UPI-79531378928697/

http://www.nytimes.com/2013/01/11/opinion/costs-of-medical-care-at-the-end-of-life.html?_r=0

http://graphics.eiu.com/upload/QOD_main_final_edition_Jul12_toprint.pdf

Look at page 14 of the Economist White Paper on end of life care…this ranks cost of end of life treatment. Notice those at the top (the cheapest)? Netherlands, Norway, Denmark, France, Germany, Sweden are all in the top 5 (there are some ties). The US is WAY down near the bottom at #31. Few countries spend more than us per patient at the end of life.

The unspoken truth is that if we went the way of any number of European Countries for healthcare, we would find that doctors would be making decisions for end-of-life treatments, and the spending for EOL would go down considerably. People would hail this as the success of single-payer, but it is really the success of allowing doctors to curtail treatment when it is actually time to say goodbye to the loved one.

That was why the GOP “death panel” fear tactic was so unbelievably frustrating to me…it reduced/eliminated the possibility of having an adult conversation about why massive resources should NOT be spent on EOL care, so they can be put to more beneficial, cost effective health matters (prenatal care, preventative medicine, vaccinations, etc.).

I haven’t seen a study done on it, but based on what I’ve read, I’m willing to wager that if you bring end of life care more in line with the rest of the world (ie. reform how Medicare deals with this issue primarily), you would find that our cost per patient would go down considerably, and our outcomes would not get much worse (and even better of these resources were shifted to some very basic health programs–vaccination programs and prenatal care for the uninsured).

And this would be independent of going to a “single-payer” system–in fact, it would be fixing the thing that we have that is closest to “single payer” right now (Medicare).

 
 
 
 
Comment by Whac-a-Bubble™
2013-10-09 05:49:44

Mr Market is perking up in anticipation of QE3-to-infinity-and-beyond.

Comment by Whac-a-Bubble™
2013-10-09 05:50:45

Yellen props stocks, Apple’s back at it and H-P faces the music
October 9, 2013, 6:59 AM
By Shawn Langlois

Just when all this selling started to feel like it might turn into something more than a painless reminder that stocks don’t keep going up forever, in floats Janet Yellen — “the Queen of the Doves”, a bone thrown by His Majesty, the “most powerful woman in American history” — and off we go.

 
Comment by Combotechie
2013-10-09 05:54:46

Or …

Mr. Market has completed his shake-’em-out stage and is now ready to begin his suck-’em-in stage.

Comment by Whac-a-Bubble™
2013-10-09 06:02:52

It’s the Yellen anticipation bounce, soon to be trumped by our regularly-scheduled programming on the debt ceiling and budget battle.

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Comment by Combotechie
2013-10-09 06:15:27

This may be the explanation but it may not be the reason.

The reason may be that the market became oversold and now it is time to cause it to become overbought.

 
Comment by Whac-a-Bubble™
2013-10-09 06:18:44

The market also tends to bounce up and down during periods of volatility. In the present episode, the bounces up are a lot smaller and less frequent than the drops.

 
Comment by Combotechie
2013-10-09 06:34:56

Spin the news properly and you’ll spin the actions of thousands - millions - of “investors”.

(”Investors”?)

Lol.

 
Comment by Bobby Mac
2013-10-09 07:10:32

Yellen…….ZIRP until 2020……yes…..Obama keeping the middle class alive!

 
 
 
 
Comment by michael
2013-10-09 07:22:54

irony: republicans shut down the governemnt because of the massive debt.

republicans then approve yellen.

Comment by 2banana
2013-10-09 07:40:14

republicans then approve yellen.

?????

Yellen was nominated by obama and can be approved by the senate without a single republicans vote…

Comment by michael
2013-10-09 08:11:47

republicans vote to approve yellen…even though they can’t really approve her.

how about that?

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Comment by 2banana
2013-10-09 05:19:00

Obamacare: The MOST partisan legislation passed within the last 60 years (and that is saying something), passed on dubious procedures (why did the senate vote for it Christmas Eve again?) and that was passed without ONE vote from the opposition party.

Obamacare: That even the leader of the democrats in congress said “We have pass it to find out what is in it.”

Obamacare: Requires annual funding from congress. Every year.

Obamacare: obama gives exceptions and exemptions to his supporters and cronies. obama delays implementing parts of obamacare until after the 2014 election.

Obamacare: Yet the democrats and obama expect the Republicans to stand at attention, salute and say “Yes Sir!” and follow orders.

Was this debt ceiling standoff NOT predictable?

Comment by Whac-a-Bubble™
2013-10-09 05:41:32

“Obamacare:

Obamacare:

Obamacare:

Obamacare:

Obamacare:
…”

Blah blah blah…

Comment by goon squad
2013-10-09 05:44:03

obamacare will fail and collapse under its own weight.

after which it will be replaced with a nationalized, single-payer health care system that delivers better results at half the costs.

Comment by Whac-a-Bubble™
2013-10-09 05:47:39

“obamacare will fail and collapse under its own weight.”

It’s destined to collapse overnight, just as Social Security, Medicare and Medicaid did.

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Comment by goon squad
2013-10-09 05:57:54

Wall Street Journal - Health Care CEOs Earn Top Pay:

“Sometimes it’s good to be a health-care CEO. Health-care company chief executives had the highest median pay of any industry captured by the recent Wall Street Journal CEO Compensation Study.

The median CEO pay in the industry was $10 million, according to the study, which was done in conjunction with consulting firm Hay Group. That beat out consumer goods at $8.9 million and telecom and oil and gas, both with median CEO pay of $8.6 million. The study looked at total direct compensation, which includes salary, bonuses and the value of long-term incentives, including stock and stock options at the time of the grant.”

 
Comment by jose canusi
2013-10-09 06:11:18

“It’s destined to collapse overnight, just as Social Security, Medicare and Medicaid did.”

I get the point here, but the US is not the same country that it was when those programs were implemented, not even close.

 
Comment by jose canusi
2013-10-09 06:16:56

Besides, Jerry Brown has already ceded California to Mexico. Wonder how the folks in Silicon Valley are going to like it when their kids are kidnapped and mailed back to them in pieces?

 
Comment by 2banana
2013-10-09 06:20:45

They will live like the folks in Mexico and Central America (with any money) do:

In gated communities.
With barbed wire and broken glass on top on very tall walls
With private armed guards.
Send their kids to private schools.
Never venture out at night.

And they will wonder why it all changed.
And other places are not like their home state.

 
Comment by jose canusi
2013-10-09 06:45:54

“And they will wonder why it all changed.
And other places are not like their home state.”

And they can all go look in the mirror, and ponder whether their cheap landscaping, cleaning and cooking was all worth it. They can wonder which of their servants betrayed them. They can ask themselves if they got a good return on their H1B employees. If the campaign contributions and media payoffs balanced the ransom they paid.

It’ll be a good time to be a plastic surgeon in Cali.

 
Comment by MightyMike
2013-10-09 07:33:19

“It’s destined to collapse overnight, just as Social Security, Medicare and Medicaid did.”

I get the point here, but the US is not the same country that it was when those programs were implemented, not even close.

The country was in the middle of the Great Depression when Social Security was implemented. The typical household had a much lower standard of living than today.

 
Comment by michael
2013-10-09 07:35:35

but hey…they will have free healtchare dammit!

 
Comment by RioAmericanInBrasil
2013-10-09 07:39:02

the US is not the same country that it was when (SocSec/Medicare/Medicaid) were implemented

You’re right. Nowadays older people and some poor people can see a doctor and get a little money back every month so they can eat.

As far as not being able to afford it now, if every other industrialized country in the world can afford some form of health-care for all it’s people, than the USA can too.

It’s not like the USA is first to do this and this is all some big crazy concept that we are making up. We are last to do this. And that we are last is a disgrace upon America. And the Repubs fighting America even being last is even more disgraceful.

 
Comment by 2banana
2013-10-09 07:42:01

The country was in the middle of the Great Depression when Social Security was implemented. The typical household had a much lower standard of living than today.

Social Security was also “sold” to the American people as a 1% tax ON THE RICH.

Now it is a 15% tax on everyone.

Funny how that happened.

 
Comment by mo money mo problem
2013-10-09 07:55:08

Social Security was also “sold” to the American people as a 1% tax ON THE RICH.

Now it is a 15% tax on everyone.

They will not rest until it’s 100% tax on everyone.

 
Comment by scdave
2013-10-09 08:09:02

Social Security was also “sold” to the American people as a 1% tax ON THE RICH ??

Didn’t take much selling after the great Depression…Its a safety net pure & simple…Allows people to have a little dignity in old age…

 
Comment by MightyMike
2013-10-09 09:35:57

Social Security was also “sold” to the American people as a 1% tax ON THE RICH.

You should look that up. It sounds highly unlikely. I’m pretty sure that nearly all workers had to pay the tax from the beginning. More specifically, workers had to pay the tax in order to receive the benefits.

Also, you forget that the tax is capped, so it actually works out to be quite tiny (less than 1% in some cases) for the super-rich.

 
Comment by michael
2013-10-09 10:24:22

The best one was when they introduced income tax withholding…they gave some benefit currently to voters and the law was not in effect for some time later.

Talk a generational transfer of wealth.

Hey…everyone will be exempt this year from any income tax only if they support a 90% marginal tax rate on children born 9 months from now.

 
Comment by michael
2013-10-09 14:31:43

“As far as not being able to afford it now, if every other industrialized country in the world can afford some form of health-care for all it’s people, than the USA can too. ”

the military would have to be gutted…not that i give a shit…but it would have to be gutted.

rest of the world who has been enjoying their free healthcare would have to step up.

it’s scarey to think what the bosnian conflict would have been like without the U.S…but should we really give a shit about that either?

 
Comment by rms
2013-10-09 16:35:52

“it’s scarey to think what the bosnian conflict would have been like without the U.S…but should we really give a shit about that either?”

+1 Not having the vast resources of the U.S. to experiment with endless diplomacy, the Europeans would quickly arrive at the genocidal solution if other countries failed to open their immigration doors and welfare spigots.

 
 
Comment by NH Hick
2013-10-09 06:37:52

Obamas objective IS to collapse it, because he wants single payer.
As far as single payer being better, BS. More damn socialism, more
control over everyones behavior; ” Everything you do think and say was in the pill you took today” (Zager and Evans hippie 60’s tune)

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Comment by Suite Joey Blue Eyes
2013-10-09 06:50:03

Yeah, I have awesome insurance but single payer will be better for the country on the whole. It’s ridiculous how hard some people I know work but they get stuck (in the past) with health “insurance” that has all kinds of carve-outs to protect the insurer from really paying if the person gets really sick.

The costs just get shifted to the public and for chronic illnesses it gets shifted to Medicare when people are old enough.

 
Comment by goon squad
2013-10-09 06:52:30

It isn’t enough that health care is 18% of U.S. GDP.

This is America, dammit! USA number one!

It should be at least 30% of GDP.

That’ll show those Euro-socialists who’s boss!

 
Comment by Suite Joey Blue Eyes
2013-10-09 06:59:07

goon = Ted Cruz speechwriter

 
Comment by Ben Jones
2013-10-09 07:01:14

‘I have awesome insurance but single payer will be better for the country’

Here’s a thought; keep your awesome insurance and keep your hand off of my wallet.

 
Comment by Suite Joey Blue Eyes
2013-10-09 07:03:23

How about we have a system that is about spreading risk (which is what insurance is) instead of gaming the system and shifting costs onto the public and onto Medicare/Medicaid?

 
Comment by Ben Jones
2013-10-09 07:05:23

Do whatever you want just don’t ask me to pay for it. I don’t have any spare change, dude. Just what I tell the bum at the supermarket.

 
Comment by michael
2013-10-09 07:37:47

‘I have awesome insurance but single payer will be better for the country’

“Here’s a thought; keep your awesome insurance and keep your hand off of my wallet.”

As soon as A observes something which seems to him wrong, from which X is suffering, A talks it over with B, and A and B then propose to get a law passed to remedy the evil and help X. Their law always proposes to determine what C shall do for X, or, in better case, what A, B, and C shall do for X… What I want to do is to look up C. I want to show you what manner of man he is. I call him the Forgotten Man. perhaps the appellation is not strictly correct. he is the man who never is thought of…. I call him the forgotten man… He works, he votes, generally he prays—but he always pays…” - william graham sumner

 
Comment by Housing Analyst
2013-10-09 08:02:01

Liberace doesn’t seem to mind people sticking their hands in his purse.

 
Comment by mo money mo problem
2013-10-09 09:10:19

He works, he votes, generally he prays—but he always pays…”

I am one out of 3 right now but I am working hard on the paying part. Nirvana is around the corner.

 
Comment by Suite Joey Blue Eyes
2013-10-09 09:13:38

So Ben, are you going to “keep your hands out of my pocket[book]” when it comes time to SS and Medicare? You realize those are PAYGO programs, right? And that they vastly favor those who are older now, who will receive much more than they paid in, right?

Also, if someone is uninsured or has flimsy insurance (like most of what was being sold on the individual market) and has an accident or needs experimental therapies, you would tell them to just not get the care, right? Because otherwise, they will be subsidized by people with my health plan (it’s great insurance, but I never use it) and by the public/taxpayer.

The problem is that insurance is for risk spreading, NOT for enriching special interests or for shifting costs onto the taxpayers. When bad health plans don’t pay, the costs are shifted onto PAYERS. When they’re in accidents or need therapies not covered, they are not left to die, they get the care and we pay.

We’re going to get single payer because our system of job-based insurance has been a joke and because the transfers and subsidies are a blackhole. Profits are privatized, losses are socialized. That has to end.

 
Comment by Ben Jones
2013-10-09 09:17:14

‘when it comes time to SS and Medicare’

I say ditch all the ponzi schemes.

‘We’re going to get single payer because…’

Even the Democrats didn’t support this. Bring it on, the government will just collapse all the faster.

 
Comment by Housing Analyst
2013-10-09 09:42:14

And when they’re lying in the smoldering sh*tpile where they belong, watch these price fixing schemes collapse.

And the best part about it?

The cash I’m forced to throw at these price fixing schemes stays in my wallet.

 
Comment by MightyMike
2013-10-09 09:42:16

Obamacare does include an expansion of Medicaid, so it’s a step in the direction of single payer.

 
Comment by localandlord
2013-10-09 14:47:36

” I don’t have any spare change, dude.”

Is anyone besides me (and I presume Ben) concerned that the banks aren’t paying Ben enough?

If I understand correctly, Ben takes care of foreclosed houses, and thanks to his ministrations banks might get 40-50 cents on the dollar instead of 10 - 20 cents. (my guesstimations).

Ben is smart and appears to be a hard worker. What is wrong with the system that he doesn’t have “spare change”.

 
Comment by Ben Jones
2013-10-09 15:44:10

I appreciate your concern localandlord. I have started 2 businesses in the past 5 years, and that has taken a lot of time and money. This fund is just now starting to pay back some, and the property preservation industry is tough. The mortgage field service companies will be more than glad to work you into the poor house if you let them. So it took a while to figure out how to make that pay.

I’m not complaining. I wouldn’t like to go back to working for someone else and this is part of the trade-off. I just semi-retired my 18 YO 4 wheel drive, and bought a 12 YO hybrid, cash. I look forward to having more spending cash, if fortune shines on me and my endeavors. But now, I don’t have a lot of room in my budget for new line items. I do without enough as it is. And I’d bet I’m not the only one in this country in this boat.

 
 
2013-10-09 07:06:38

Yes, yes, more hope and change and hope and change. We just need to keep smelling that rarefied air.

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Comment by Middle Coaster
2013-10-09 09:10:49

Right on, goonie!

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Comment by goon squad
2013-10-09 09:56:23

Your compliment is noted, but it will not help you get into Onwentsia.

 
Comment by Middle Coaster
2013-10-09 09:57:53

Wait, aren’t you gonna buy it for me?

 
 
 
 
 
Comment by Whac-a-Bubble™
2013-10-09 05:34:25

Would the economic fallout from a default be more or less dire than it was from sequestration?

Comment by Combotechie
2013-10-09 05:38:57

Q. Why should there be a default? Has the massive amount of money that relentlessly comes into the Treasury stopped coming in?

Comment by Whac-a-Bubble™
2013-10-09 05:45:57

I believe the Congress sets limits on how much can be spent, regardless of how much comes in.

So basically, in case of default, it will be due to the Congress acting to not make payment because Obama wouldn’t agree to the extortion ploy to delay Obamacare. (See 2banana’s post above for more on this. :-) )

Comment by 2banana
2013-10-09 06:03:10

The US takes in more than enough money to pay all its debts (T-Bills, etc.) without raising the debt ceiling.

The US takes in about 60% of what it needs to pay its POLITICAL promises. Like the 50% of fraud in disability payments. And free obamacare and obamaphones for everyone.

obama could easily say we are going to prioritize payments so there is no default.

But why let s CRISIS go to waste???? Better to threaten default.

Leadership boyz. America doesn’t have it.

Were any of you expecting anything different from a community organizer?

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Comment by goon squad
2013-10-09 06:06:40

$500,000,000,000 a year to government contractors.

It’s the land of milk and honey up here in Galt Gulch :)

 
Comment by Whac-a-Bubble™
2013-10-09 06:06:52

Better question:

Why would a Democrat president yield to a Republican extortion gambit that was planned months ago?

 
Comment by Whac-a-Bubble™
2013-10-09 06:10:14

If everybody who isn’t an illiterate idiot knows something, it’s not much of a secret.

 
Comment by Whac-a-Bubble™
2013-10-09 06:12:29

Op/Ed 10/01/2013 @ 7:21AM 52,936 views
The Secret Republican Obamacare Shutdown Plan. Have You Heard About It?

Have you heard about the Republican Party’s targeted, proactive and nationwide PR campaign to win the debate over Obamacare and government funding?

That’s right. Anticipating months ago a possible showdown between the GOP-led U.S. House of Representatives and the Democratic-controlled U.S. Senate and White House over the issue of funding the government and funding Obamacare, Republicans did what any responsible large entity does: They secretly and strategically laid out a carefully crafted public relations campaign formed by an internal scenario-planning working group.

 
Comment by Blue Skye
2013-10-09 07:13:52

“…would a Democrat president yield to a Republican extortion gambit that was planned months ago…”

They are terrorists for sure! Secrets, plans, extortion!

 
 
Comment by Hi-Z
2013-10-09 06:07:10

But the administration decides where the money coming in is spent. The interest payment on bonds and treasuries is only a fraction of receipts. The administration can always pay ineterest debt and avoid default.

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Comment by Whac-a-Bubble™
2013-10-09 06:13:29

RNC = looser party

 
Comment by Whac-a-Bubble™
2013-10-09 06:15:06

Poll: GOP gets the blame in shutdown

FILE - In this Oct. 8, 2013, photo Rick Hohensee of Washington holds a “Fire Congress” sign near the House steps on Capitol Hill in Washington. A new poll says Americans are holding Republicans primarily responsible for the partial government shutdown. The Associated Press-GfK survey finds plenty of disdain to go around as people size up the federal impasse. Most now disapprove of the way President Barack Obama is handling his job. And Congress’ approval rating is a perilous 5 percent. (AP Photo/ Evan Vucci)
Associated Press
CALVIN WOODWARD and JENNIFER AGIESTA 4 hours ago

WASHINGTON (AP) — Americans are holding Republicans primarily responsible for the partial government shutdown as public esteem sinks for all players in the impasse, President Barack Obama among them, according to a new poll. It’s a struggle with no heroes.

 
Comment by polly
2013-10-09 06:40:07

No, they can’t. The payment system isn’t set up that way. They payments go out automatically once they are submitted to treasury. The agencies could decide not to submit for a payment, but if they did, they would be violating the law. For example, Social Security could decide to cut all payments to $1000 a month or less. But that would be a violation of the SS law which provides a formula to determine the size of the payments. Also, it might take a while to do the programming to change the amount of all those payments. If you wanted something more complicated (not payments to anyone who had at least $24,000 of other income last year) it would take even longer.

And even if they did decide to break the law to not submit for legally required payments, it would take time to figure out how much each agency would have to cut. And Congress might get a little peeved since they are the ones who are supposed to make those decisions.

The budget of a country isn’t like your household budget.

 
Comment by RioAmericanInBrasil
2013-10-09 07:18:46

Poll: GOP gets the blame in shutdown

I googled Republican Party.

A Plan to Save the Republican Party
Foreign Policy (blog) - ‎14 minutes ago‎
The United States no longer has a two-party political system. As the events of the past few weeks have shown, the Republican Party has split into at least two groups that are no longer just factions. Though it may be hard to believe, this division has ..

Shutdown shines spotlight on rift in Republican Party
Washington Post - ‎19 hours ago‎
One week into the first federal government shutdown since 1996, the Republican Party remains hostage to an unrealistic strategy aimed at an unattainable goal - defunding the nation’s health-care law - that had no obvious path to success.

Republicans fighting back against the tea party
Washington Post (blog) - ‎Oct 8, 2013‎
The Post’s must-read report today by Philip Rucker captures both the frustration and determination of main-street Republicans who are, to be blunt, horrified by the tea party’s tone, irresponsibility and extremism: “Nearly three years after a band of …

Republican Party: Get Rid of the Wackos
Guardian Express-Oct 6, 2013
House of Representatives It’s Sunday, the day of public bashing of both parties in the media. This morning’s hysteria appears to center on two ..

Can business take the Republican Party back from the Tea Party?
Washington Post (blog) - ‎Oct 7, 2013‎
So a big question for the last couple of years has been: At what point could the extremism from this faction of the Republican party cause blowback from the rest of the party? And will the latest confidence-rattling showdown by the source of a new wave …

AP-GfK Poll: Republicans get most blame for shutdown, tea party is potent and …
Washington Post - ‎5 hours ago‎
WASHINGTON - Americans are holding Republicans primarily responsible for the partial government shutdown as public esteem sinks for all players in the impasse, President Barack Obama among them, according to a new poll.

The Republican Party’s Civil War: A House Divided Against Itself Cannot Stand
Forbes - ‎Oct 7, 2013‎
Open warfare has broken out inside the GOP between Tea Party Insurgents and the Republican Party Regulars. It revolves around tactics, more than policy.

Jindal Urges Other GOP Governors To Take The Republican Party’s Message …
Reason (blog) - ‎20 hours ago‎
Bobby Jindal said Tuesday it’s time for Republican governors to take back the party’s messaging from Washington, saying the states are where the real action is.
Columbus Ledger-Enquirer

Supreme Court To Hear The Republican Party’s Bid To Inject Even More Money …
ThinkProgress
Oct 7, 2013
Though the bulk of the federal government remains shutdown, the Supreme Court will convene Monday for the opening of its next term - a term that features major campaign finance, abortion, race, religion and environmental cases and which could …
Washington Post (blog)

Wisconsin professor tells students Tea Party, Republicans at fault for slimdown
Fox News 12 hours ago
Written by perry chiaramonte
A Wisconsin college professor warned her students they wouldn’t be able to get all of their homework done because of the partial government shutdown, and put a partisan spin on the bad news.

Republican disapproval grows in budget battle, Post-ABC poll finds
Washington Post (blog) - ‎22 hours ago‎
The poll finds Democrats and Republicans have become convinced that the opposite party is in the wrong on budget negotiations, but are far less united in support of their own leaders.

Slimdown battle emphasizes cracks in the Republican party
Fox News - ‎Oct 6, 2013‎
Slimdown battle emphasizes cracks in the Republican party. Advertisement. Details. Description. Reps. Nunes, Gohmert debate clean CR.

Obama cousin, a Tea Party Republican, to challenge Kansas US Senator
Reuters - ‎15 hours ago‎
KANSAS CITY, Kansas (Reuters) - Martin Wolf, a Tea Party activist and distant cousin of President Barack Obama, will challenge three-term Kansas U.S.

The decline and fall of the Republican party
Washington Times - ‎Oct 3, 2013‎
WASHINGTON. October 3, 2013 - One of the most open secrets in Washington is that the House Republican Leadership and House Speaker John Boehner did not want the fight they are currently in over Obamacare.
Raw Story

Ted Cruz: Anti-Obamacare Filibuster Didn’t ‘Remotely’ Harm Republican Party
International Business Times - ‎Oct 6, 2013‎
U.S. Senator Ted Cruz (C) departs after speaking to reporters about his opposition after the Senate passed a spending bill to avoid a government shutdown, sending the issue back to the House of Representatives, at the U.S.
Guardian Express

John Bohner and the Republican Party’s Shutdown Doesn’t Mean Anything
Guardian Express

5 hours agoThe government shut down does not really mean anything. We are simply witnessing the death of old fear and old patterns, releasing us into a higher state of awareness and consciousness.
WTSP 10 News

The Fractionalization of the Republican Party
Huffington Post (blog) - ‎Oct 7, 2013‎
The Republican Party is fractionalizing before our eyes. Conservative Republicans, led by Senator Ted Cruz of Texas, are calling moderate conservatives not true Republicans, or “RINO’s” (Republicans In Name Only).
Keystone Politics

Everybody Knows the Shutdown is the Republican Party’s Fault
Keystone Politics - ‎Oct 8, 2013‎
You know, if were president I’d very seriously consider charging the reactionaries, who are moving more and more towards being anarchists, with treason

 
Comment by oxide
2013-10-09 13:01:23

Rio, what if you googled for for the Dems? I bet you’d get similar finger pointing. Especially if you google for “Democrat Party.”

 
Comment by Hi-Z
2013-10-09 14:48:20

From Polly:

“No, they can’t. ”

BS!
Obama has shown that no rules really apply; law means nothing (I submit providing waivers to ACA provisions, delaying employer mandate by a year). This administration has done many things that in the past was considered in the “No, they can’t” category.
You continually fall back on bureacracy being fixed and firm; you must be a lawyer. Payments CAN be prioritized if the administration desires or at least stays out of the way.

 
Comment by polly
2013-10-09 20:40:39

It isn’t just that they “can’t” because it is illegal. They can’t because the computers aren’t set up that way. It is done automatically. There aren’t a bunch of little old guys with green eye shades writing in ledgers. If you don’t program a computer to do something, it can’t do it. Can’t. Not won’t. Can’t.

 
 
Comment by Strawberrypicker
2013-10-09 07:28:29

And also default means nothing. It is all a sham. What’s someone going to do, repossess a national park? We are the cleanest dirty shirt in the laundry, if there were an alternative it would have been chosen already.

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Comment by RioAmericanInBrasil
2013-10-09 07:50:16

And also default means nothing.

That’s the newest meme being pushed by the Koch Brother backed, ultra-right-wing, AM radio propaganda machine.

Why are they pushing that now? Because they are scared that Obama is winning the PR war. (He is) The threat of default gives Obama leverage and they want to reduce his leverage.

Thus the above meme coming out now more and more.

 
Comment by Ben Jones
2013-10-09 08:04:09

‘the newest meme being pushed by the Koch Brother backed, ultra-right-wing…’

The old fall back position when you are losing. No one here has an original idea or thinks for themselves. You all get “talking points” from a secret radio station.

 
Comment by RioAmericanInBrasil
2013-10-09 08:11:45

The old fall back position when you are losing.

But Obama is winning. And “default won’t be bad” is the new AM radio/GOP propaganda meme. It’s just recently all over the news. Don’t blame the messenger.

News: Many in GOP Offer Theory: Default Wouldn’t Be That Bad New York Times ‎- 2 hours ago
WASHINGTON — Senator Richard Burr, Republican of North Carolina, a reliable friend of … But a lot of Republicans simply do not believe it.

Debt limit breach no big deal, some GOP lawmakers say USA TODAY‎ - by Gregory Korte‎ - 1 day ago

Analysis: What default? Republicans downplay impact of U.S. debt …
news.yahoo.com/analysis-default-republicans-downplay-impact-u-debt-li…‎
1 day ago - “We are not going to default on the public debt. … … however, the prospect of the world’s lone superpower juggling its bills doesn’t seem so bad.

As Obama Holds the Line; Republicans Claim Default Wouldn’t Be …
news.firedoglake.com/…/as-obama-holds-line-republicans-claim-default-wo…
1 hour ago - The Republicans are not only sticking to their initial demands for … Obama Holds the Line; Republicans Claim Default Wouldn’t Be That Bad”.

The Default Deniers Are Back
- Allie Jones - The Atlantic Wire
http://www.theatlanticwire.com/politics/2013/10/default-deniers-are…/70256/
2 days ago - But some Republican lawmakers think default wouldn’t be so bad. … Yoho told The Washington Post his plans on Friday: “I’m not going to raise …

Debt Ceiling: Senate Republicans Flirt With Default - Huffington Post
http://www.huffingtonpost.com/…/debt-ceiling-default_n_4060536.ht...‎
by Michael McAuliff - in 197 Google+ circles
2 days ago - There’s no reason for the U.S. to default on its debt at all.” … The idea did not seem to be getting support from Republicans. ….. it was clear to every reporter inside the Beltway that Grassley was intentionally acting in bad faith.

Republicans Downplay ‘Default,‘ Dismiss Debt Deadline …
http://www.nationaljournal.com/…/republicans-downplay-default-dis...‎
by Tim Alberta - in 21 Google+ circles
3 days ago - You may not get the full experience here on National Journal. … Republicans Downplay ‘Default,’ Dismiss Debt Deadline Republicans … “The government shutdown is bad enough, but failure to raise the debt ceiling would be …

 
Comment by Ben Jones
2013-10-09 08:18:43

‘the new AM radio/GOP propaganda meme’

I haven’t listened to any radio for several days. Hmmm, are you saying they broadcast this straight into our heads? No one can think for themselves except you and people who think like you, right? Say it out loud, and you’ll realize how ridiculous it is.

F- the federal government. Those spying, murdering bastards. I don’t care if they have to pick up their own towels.

‘The most damage is to the morale of the [NSA] workforce,” Alexander said of the shutdown. The general extolled the expertise and dedication of NSA employees and said it is unfair to ask people living paycheck to paycheck to forgo their salary indefinitely. “We’re making it hard for them to stay with the government, and that’s wrong. That’s absolutely wrong,” Alexander said.

And, he cautioned, future NSA recruits may be taking note. “How do you get good people to come into government when you treat them like that?” Alexander asked.

Despite the dire mood in Washington, Alexander managed some levity. When questions shifted from the shutdown to NSA leaker Edward Snowden, the general quipped, “Shutdown Snowden? I’m with you on that one.”

 
Comment by tresho
2013-10-09 08:24:08

“We’re making it hard for them to stay with the government, and that’s wrong. That’s absolutely wrong,” Alexander said.
Plenty US intelligence agents have switched sides, even though they never missed a US paycheck. They just augmented their income by accepting checks from foreign powers. It is more than likely than retired agents/traitors have died of old age after collecting US pensions for their “service.”

 
Comment by RioAmericanInBrasil
2013-10-09 08:28:24

No one can think for themselves except you and people who think like you, right?

That is a straw man. And when a person is spouting the newest meme, he may or may not be able to think for him/herself. But neither of those possibilities negate the fact that he or her is spouting the meme. I convey talking points too when they are true and factual but I certainly think for myself and many on the right do too.

I simply pointed out that what the person was saying was the newest meme being pushed by the GOP propaganda machine.

I also explained why the GOP propaganda machine was pushing this newest “Default won’t be so bad” talking point.

are you saying (AM radio propaganda) broadcast this straight into our heads?

Not yours but yea, for many on this blog it seems.

 
Comment by Blue Skye
2013-10-09 10:51:29

“spouting the meme…”

Consider the possibility that what you are hearing is full of obvious simple truth. I have been asking here for days why all the Democratists are screaming the word “default” and I didn’t hear this on TV or radio. There is no TV or radio.

 
Comment by RioAmericanInBrasil
2013-10-09 11:00:01

Consider the possibility that what you are hearing is full of obvious simple truth.

I have considered it. Really. And I do think it is full of something. But not the “obvious simple truth”.

Playing with default in a world the you describe as over leveraged? Where we can currently borrow at the lowest interest rates in the world? When we own the world’s reserve currency that we alone can “print”?? And risking default for political reasons only?

You gotta be kidding me. This is one of dumbest political moves we’d ever, ever see.

 
Comment by Blue Skye
2013-10-09 11:59:54

You clearly do not understand the difference between not borrowing more and not paying what is already borrowed. They are different.

Believing they are the same is debt mania thinking.

 
Comment by Middle Coaster
2013-10-09 12:02:58

The Koch brothers scared? Doubtful. They are plotting to make tons of money off of this manufactured crisis no matter what happens. In fact there are opinions out there in medialand that a default is exactly what they want. Then they swoop in and buy up bonds, companies & commodities at the ensuing fire sale.

 
Comment by mathguy
2013-10-09 17:13:31

If its so dumb, why dont the dems just cave, and regroup on Obamacare in 2014 when all these teabillies get thrown out for causing such a ruckus?

 
Comment by Strawberrypicker
2013-10-09 17:43:23

Just to let you know, my comment was 100 % my own thinking. I don’t listen to daytime AM radio, mostly just Adam Carolla’s podcast, and that just during commute time. I was also in a cabin in the woods for the last 4 days with no tv or radio or newspaper. I just got up and read this blog and posted. No Koch brothers help needed. Maybe I should send them an application. Apparently they are paying millions for the same kind of thoughts I come up with on the commode.

Responding now because I don’t post from work.

 
Comment by Blue Skye
2013-10-09 19:15:53

The other possibility then is that the person who thinks everyone else is brainwashed is just projecting.

 
 
 
 
Comment by Whac-a-Bubble™
2013-10-09 05:39:06

Many in G.O.P. Offer Theory: Default Wouldn’t Be That Bad
By JONATHAN WEISMAN
Published: October 8, 2013

WASHINGTON — Senator Richard Burr, Republican of North Carolina, a reliable friend of business on Capitol Hill and no one’s idea of a bomb thrower, isn’t buying the apocalyptic warnings that a default on United States government debt would lead to a global economic cataclysm.

“We always have enough money to pay our debt service,” said Mr. Burr, who pointed to a stream of tax revenue flowing into the Treasury as he shrugged off fears of a cascading financial crisis. “You’ve had the federal government out of work for close to two weeks; that’s about $24 billion a month. Every month, you have enough saved in salaries alone that you’re covering three-fifths, four-fifths of the total debt service, about $35 billion a month. That’s manageable for some time.”

As President Obama steps up his declarations about the dire consequences of not raising the debt limit, increasing numbers of Congressional Republicans are disputing that forecast, as well as the timing of when the Treasury might run out of money and the implications of a default, further complicating the negotiating situation for both Mr. Obama and Speaker John A. Boehner, who must find a way out of the impasse.

Both men were counting on the prospect of a global economic meltdown to help pull restive Republicans into line. On Wall Street, among business leaders and in a vast majority of university economics departments, the threat of significant instability resulting from a debt default is not in question. But a lot of Republicans simply do not believe it.

Comment by Happy2bHeard
2013-10-09 10:56:06

If a default won’t be that bad, then it is not a very good lever.

Comment by oxide
2013-10-09 13:10:07

Looks like Burr wants to:

1. Fire all the Federal workers and use the money to keep making minimum payments on the debt credit cards. Just enough to keep away the repo man.

2. Pay only the minimum payment first and put Medicare Medicaid SS at the back of the line.

How is this not throwing granny out into the street?

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Comment by Whac-a-Bubble™
2013-10-09 06:00:45

Oct. 8, 2013, 10:23 p.m. EDT
Obama presses Boehner to open government
Clean debt-limit bill on deck in Senate; Boehner says Obama wants ‘surrender’
By Robert Schroeder, MarketWatch

President Barack Obama speaks about the government shutdown during a news conference on Tuesday.

WASHINGTON (MarketWatch) — President Barack Obama on Tuesday pressed House Republicans to reopen the government and raise the U.S. debt ceiling, insisting he wouldn’t talk with his political opponents until after those two disputes are settled.

“Let’s stop the excuses. Let’s take a vote in the House,” Obama said at the White House.

Obama said he is happy to talk with House Speaker John Boehner and other Republicans about ”anything.” And he did offer a small olive branch, saying a “process” could be attached to a budget- or debt-ceiling deal. Obama also suggested he could begin talks with even a short extension of the debt ceiling and of government funding.

But Obama said he told Boehner that having a conversation or talks “shouldn’t require hanging the threats of a government shutdown or economic chaos over the heads of the American people.”

“I’m ready to head up to the Hill and try,” Obama said. “I’ll even spring for dinner again. But I’m not going to do it until the more extreme parts of the Republican Party stop forcing John Boehner to issue threats about our economy.”

 
 
Comment by Blue Skye
2013-10-09 05:47:13

Why is not raising the debt ceiling called “default”?

Comment by Whac-a-Bubble™
2013-10-09 05:53:40

I believe a failure to raise the debt ceiling would trigger a delay in payming at least some of Uncle Sam’s obligations.

For a household analogy, suppose you were running a little short this month, and had to figure out whether to not make payment on your credit card, your mortgage, your car loan or your student loan. Not making payment on one of these obligations would constitute a default on the payment agreement.

Comment by 2banana
2013-10-09 06:06:44

And still going on that Disney Cruise. A still getting that boob job for the wife. And we can not live without granite countertops and SS appliances, etc.

The US takes in more than enough money to pay all its debts (T-Bills, etc.) without raising the debt ceiling.

The US takes in about 60% of what it needs to pay its POLITICAL promises. Like the 50% of fraud in disability payments. And free obamacare and obamaphones for everyone.

obama could easily say we are going to prioritize payments so there is no default.

But why let s CRISIS go to waste???? Better to threaten default.

Leadership boyz. America doesn’t have it.

Were any of you expecting anything different from a community organizer?

Comment by Professorlocknload
2013-10-09 10:32:27

“Leadership boyz. America doesn’t have it.”

Leadership boyz. America has too much of it.

Fixed it.

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Comment by Blue Skye
2013-10-09 07:26:50

“Not making payment on one of these obligations would constitute a default…”

Yes, where all the monthly bills are debt payments. Reducing social contract payments is not a default. Ending wars is not a default. Stopping farm subsidy is not a default. Firing a million “not needed” FedGov workers is not a default. Ending Federal aid to states and countries is not a default.

Besides, they already shut down Ben’s Panda Cam. What could be worse?

Comment by Ben Jones
2013-10-09 07:35:08

‘What could be worse?’

‘House lawmakers are picking up their own towels at their private gym, which has remained open during the government shutdown. Members don’t only have to pick up their towels — they have to reuse them for their showers, because there is no more laundering service. Senators across the dome face a similar situation.’

Oh, the huge manatee!

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Comment by Housing Analyst
2013-10-09 08:04:24

Don’t make the panda saaaaaaaaaaad!

Boo hoo hoo…..

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Comment by oxide
2013-10-09 13:12:19

Now too worried about the panda. She is being cared for better than the Fed employees.

 
 
Comment by mo money mo problem
2013-10-09 09:05:55

It needs repeating again against all the lies by the usual suspects.


Yes, where all the monthly bills are debt payments. Reducing social contract payments is not a default. Ending wars is not a default. Stopping farm subsidy is not a default. Firing a million “not needed” FedGov workers is not a default. Ending Federal aid to states and countries is not a default.

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Comment by Housing Analyst
2013-10-09 09:30:58

No that that sums it up. Great post!

 
Comment by RioAmericanInBrasil
2013-10-09 10:17:12

Reducing social contract payments is not a default

Wrong. It is a default on the contracts that Americans voted for, paid for, support, need and want. It is a default until legislation changes the terms of the contract.

Firing a million “not needed” FedGov workers is not a default.

That is subjective therefor it is a subjective default. Who’s going to judge who’s not needed, you or me?

Ending Federal aid to states and countries is not a default.

Total hogwash. It is absolutely a default on The USA being The United States of America.

We already fought the Civil War amigo. “States Rights” rebels got their head handed to them on a Blue plate special.

 
Comment by Housing Analyst
2013-10-09 10:36:05

‘ It is absolutely a default on The USA being The United States of America.’

Because a fraudster like you makes another incredulous claim?

Get help. Quickly.

 
Comment by RioAmericanInBrasil
2013-10-09 10:45:38

a fraudster like you makes another incredulous claim?

Incredulous claim? That the USA is literally The United States of America? Do you even know what “United” means? How can USA fit the definition of “united” if there is no Federal money flowing to the states? How would we be a country? You defy logic on so many points it borders on the insane.

Dude, what country do you think you are from?

 
Comment by Blue Skye
2013-10-09 11:03:14

“How would we be a country?”

How could we even consider ourselves people?

 
Comment by Housing Analyst
2013-10-09 11:23:12

Look at the fraudster duck and weave.. lolz!

 
Comment by RioAmericanInBrasil
2013-10-09 11:33:25

Look at the fraudster duck and weave.. with the actual meanings of words and stuff.

 
Comment by Housing Analyst
2013-10-09 14:37:13

….. pulled directly from your a$$.

 
 
Comment by MightyMike
2013-10-09 09:50:21

Yes, where all the monthly bills are debt payments. Reducing social contract payments is not a default. Ending wars is not a default. Stopping farm subsidy is not a default. Firing a million “not needed” FedGov workers is not a default. Ending Federal aid to states and countries is not a default.

That would be a way to avoid default without raising the debt ceiling, but no one in Congress is proposing that.

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Comment by Al
2013-10-09 12:29:36

“That would be a way to avoid default without raising the debt ceiling, but no one in Congress is proposing that.”

Assuming Polly is correct about the 17th not being a hard and fast drop dead date for default, which seems reasonable, then there might be a month or so. That means the Dems and Repubs have plenty of time to come up with a plan to cut spending and raise taxes to eliminate the deficit.

They should probably start no later than the end of the week.

 
Comment by MightyMike
2013-10-09 13:32:59

That means the Dems and Repubs have plenty of time to come up with a plan to cut spending and raise taxes to eliminate the deficit.

That’s not going to happen. One party refuses to raise taxes by even a penny. The other party will agree to only small spending cuts.

But this is an issue that journalists on Capitol Hill should definitely keep in mind. They should all look up the total amount of spending cuts and/or tax increases that would be required. Any time a member of Congress suggests that the debt ceiling not be increased, they should immediately be told the amount of the gap that would have to be closed and asked how they think that that should be done.

 
Comment by Whac-a-Bubble™
2013-10-09 18:00:27

“That means the Dems and Repubs have plenty of time to come up with a plan to cut spending and raise taxes to eliminate the deficit.”

I’ve never seen a lick of evidence that anyone in Congress is even willing to talk about the real scope of the deficit. The food fight over the ACA is a meaningless food fight compared to war on multiple continents plus entitlement commitments.

 
 
 
Comment by rms
2013-10-09 08:31:57

Not making payment on one of these obligations would constitute a default on the payment agreement.

+1 And the credit card’s “universal default” clause kicks in regardless of which account goes over thirty, so skip on the credit card.

 
Comment by mathguy
2013-10-09 17:20:07

“For a household analogy, suppose you were running a little short this month, and had to figure out whether to not make payment on your credit card, your mortgage, your car loan or your student loan. Not making payment on one of these obligations would constitute a default on the payment agreement.”

False. The real analogy is something more along the lines of you only pay your loans and your private security, and spies, but stop eating sushi and tell the housekeeper she is on furlough until you get your credit card limit raised. You don’t actually change next month’s budget, you just say you’re going to hold off on the sushi until you raise your credit card limit.

Comment by mathguy
2013-10-09 17:22:32

Also, in the background, your bitchy wife is telling you that if you shut off the housekeeper she WILL stop sending money to your sick grandma because you asked her to be in charge of that, and if housekeepers don’t get paid, neither does grandma…

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Comment by Whac-a-Bubble™
2013-10-09 18:02:07

“…your bitchy wife is telling you that if you shut off the housekeeper she WILL stop…”

putting out.

I’m starting to get your point.

 
 
 
 
Comment by oxide
2013-10-09 06:05:00

Because there simply isn’t enough money to pay ALL the bills. Even if the tax money coming into Treasury is enough to pay bondholders, it’s not enough to pay both bondholders and Medicare and Social Security and employees and contractors, etc. So the US will be defaulting on somebody, somewhere. As long as there is non-payment of even one bill, the ratings agencies effectively lower the US FICO score, so the US can’t get any more credit to pay the other bills.

Which makes me wonder, is there “universal default” for countries? Years ago, I missed one credit card payment. Because of universal default, every other credit card had the right to raise my rates up the wazoo, even though I was paying the other cards just fine and had nothing to do with the card that I missed. Universal Default for consumers, but what about countries?

[for the record, I didn't miss the payment because I was broke. I had written the check but dropped the envelope into the file cabinet instead of the mailbox and didn't find it until a month later. I was amazed at the number of nastygrams that just one little bit of forgetfulness could generate. In protest, I paid everything off at once, lived cash-only, and dropped off the credit radar for the next two years.]

Comment by polly
2013-10-09 06:42:18

“so the US can’t get any more credit to pay the other bills.”

This statement is absurd. It would increase borrowing costs. It wouldn’t halt all borrowing by the US completely.

Comment by Oxide
2013-10-09 07:29:35

Ok thanks Polly; I wasn’t sure whether a default would simply raise rates or deny credit altogether. I’m only familiar with household credit.

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Comment by polly
2013-10-09 07:59:56

You are welcome. More specifically, it would raise rates on very short term borrowing a lot (on a percentage basis, might still look like a low rate compared to a person wanting to borrow on a credit card). Impact on interest rates on other terms (medium and long term) would be harder to predict.

Most importantly, October 17th isn’t magic. That is the day that Jack Lew thinks there would only be the ability to pay out $30 billion. Some days the government pays out as much as $60 billion so that is the day they predict to be likely for some default, but they made that prediction a while ago. I’ve read credible people who are digging down deeper on the payment and income streams and think that there wouldn’t be an actual bill that can’t be paid on the day it is scheduled until October 23rd, 25th or even the 30th. Not sure what assumptions the various people are using so I can’t evaluate how accurate they are.

Oh, and that “universal default” thing you faced was probably written down in the agreements you had with your credit card companies. You know, those absurdly long things you get once a year or so in 4 point type on ultra thin paper. I’m sure your didn’t read it. I don’t read them either. Senator Warren has said that she has tried to read them and realizes that it is basically impossible for a person who didn’t draft it to understand it.

 
Comment by tresho
2013-10-09 08:16:19

it is basically impossible for a person who didn’t draft it to understand it.
Papers like that are easy to understand. They all mean “Heads I win, Tails you lose.”

 
Comment by Oxide
2013-10-09 08:36:42

Oh I’m sure the universal default was in a cc contract. But I remember reading that cc’s are no longer allowed to put it in the contract.

 
Comment by Prime_Is_Contained
2013-10-09 08:45:09

I’ve read credible people who are digging down deeper on the payment and income streams and think that there wouldn’t be an actual bill that can’t be paid on the day it is scheduled until October 23rd, 25th or even the 30th.

Wouldn’t it also be true that if they stopped all payments except for debt-service, then they could presumably service just the debt payments for a LONG time?

Sure, they’d be in default on many payment contracts, but since no one can sue the government anyway, that seems like a pretty safe thing to do.

The debt markets shouldn’t be all that roiled if the debt will still be serviced.

 
Comment by Whac-a-Bubble™
2013-10-09 09:12:17

“…it would raise rates on very short term borrowing a lot (on a percentage basis, might still look like a low rate compared to a person wanting to borrow on a credit card)…”

Short-Term Interest Rates Are Blowing Out Again This Morning As Debt Ceiling Tensions Get Worse

Matthew Boesler Oct. 8, 2013, 8:58 AM

Treasury bill yield curve.

Yields on the front end of the Treasury bill curve are blowing out this morning as markets price in higher odds that the disagreement in Congress over raising the debt ceiling will not be resolved in a timely manner.

“The Treasury bill market is clearly indicating concern about upcoming debt ceiling deadlines,” said Goldman Sachs economist Alec Phillips in a note last week, when the curve was significantly lower. “In our view this is the direct result of the increasing acrimony in Washington. Starting with the bill maturing on October 17―the day the Treasury Department has suggested it would exhaust its borrowing authority―bill rates are elevated, suggesting lower investor appetite for holding these securities. The distortion in the bill curve is most apparent in the security maturing on October 31, just after Treasury is likely to have depleted its cash balance. This unusual ‘humped’ pattern is similar to that seen in late July 2011 during the last debt ceiling standoff.”

The chart below shows the spike in T-bill yields.

 
Comment by Whac-a-Bubble™
2013-10-09 10:05:22

Oct. 8, 2013, 3:19 p.m. EDT
The market is starting to panic
By Anthony Mirhaydari

For weeks, investors and traders have been remarkably complacent. In the lead up and immediate aftermath of the first government shutdown in 17 years, the sellers were held at bay by the idea at compromise deal would surely happen. Anytime now.

But that’s changing Tuesday as short-term Treasury bill yields surge to levels not seen since 2008 — in the midst of the financial crisis — as investors worry about upcoming interest and principal payments that might not be made on time. The CBOE Volatility Index has returned to the highs seen in December and June. The S&P 500 has lost its 50-day moving average — a level that held stocks aloft all last week. And money is flowing into safe-haven assets like precious metals.

In fact, the situation has become so unsettled that banks can now borrow short-term funds at a lower cost than the U.S. government can: The 1-month LIBOR is at 0.17% while the one-month Treasury bill is trading at 0.26%.

It’s easy to see why the panic was slow in coming.

 
Comment by RioAmericanInBrasil
2013-10-09 10:19:11

Short-Term Interest Rates Are Blowing Out Again This Morning As Debt Ceiling Tensions Get Worse

Thus raising the debt/deficit Repubs act like they want to reduce.

 
 
Comment by michael
2013-10-09 07:43:47

apparently treasury is rolling over $ 7 trillion annually…we are fooked.

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Comment by rms
2013-10-09 08:37:01

“for the record, I didn’t miss the payment because I was broke. I had written the check but dropped the envelope into the file cabinet instead of the mailbox and didn’t find it until a month later.”

A co-worker put his bills in his back pack along with the laptop, and then he forgot about them. Yikes! His wife does the bills now.

Comment by Prime_Is_Contained
2013-10-09 08:46:08

A co-worker put his bills in his back pack along with the laptop,

I did that once… :-P

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Comment by jane
2013-10-09 19:15:09

Not true. The temporary, fully funded furlough has the effect of postponing cash outflow, by postponing payment on 800,000 fedgov salaries. There is a lot more dough available to pay others.

I pray that the furlough goes on long enough that the prospect of honoring the back pay ram-up-the-*ss (for the rest of us) becomes impossible without triggering an actual default to our landlords and lienholders, the Chinese.

What’re you going to choose, Mr. Senator? Paying off our lienholders in China or paying off 800,000 non-essential workers? Without whom we’ve done just fine? ALL making more than 50% of the rest of us (referring to the meme here, which I have verified, that 50% of the nation’s population makes less than $500/week).

My stomach turns at the entitlement in this area, and I LIVE HERE. Thankfully, if it comes to that, I can also live anywhere else. I’ve got first world, second world and third world skillz, lol!

I do sincerely believe the fedgov is entirely too bloated, has evolved into a jobs program for the arrogant and ignorant, and therefore incompetents flock to it. For that reason, Congress and the House MUST increase regulation. Each newly enacted rule justifies a new branch, with a score of nasty, pouty civil servants who treat the rest of us like sh*t. And a manager who cites policy while we watch the fat rolls oozing up from under his neckband.

To maintain a loyal base of D-voting sheep, the C and HOR have got to keep throttling the nation with more surveillance, control, military materiel showmanship, and taxes. It’s a virtuous cycle.

Pray for a crash. I want to see crying in the grocery stores. It’ll be two years of pain and drama. The area will gradually lose its non-welfare illegal alien population (the ones on welfare we’ll have with us forever. True story - they just keep changing names - the identity proofing hurdles are lower for them than they are for us). We’ll have relative prosperity for another generation, before the fedgov gets this bloated again and the new generation of illegal aliens home back like cockroaches.

Bloat endures - it’s the fedgov DNA.

Comment by rms
2013-10-09 23:41:06

“I’ve got first world, second world and third world skillz, lol!”

+1 You got my attention. :)

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Comment by phony scandals
2013-10-09 05:47:30

‘Sir, you are recreating,’ and her tone became very aggressive,”
———————————————————————————-
Park Ranger: “We’ve been told to make life as difficult for people as we can.”

Guy Benson | Oct 04, 2013

The feds closed access to the parking lots this week, even though the lots are jointly owned with the Mount Vernon ladies. The rangers are from the government, and they’re only here to help. “It’s a cheap way to deal with the situation,” an angry Park Service ranger in Washington says of the harassment. “We’ve been told to make life as difficult for people as we can. It’s disgusting.”

http://townhall.com/tipsheet/guybenson/2013/10/04/park-ranger-weve-been-told-to-make-life-as-difficult-for-people-as-we-can-n1717297 - 75k -

‘Gestapo’ tactics meet senior citizens at Yellowstone

John Macone
Newburyport Daily News The Daily News of Newburyport
Tue Oct 08, 2013, 10:13 AM EDT

NEWBURYPORT — Pat Vaillancourt went on a trip last week that was intended to showcase some of America’s greatest treasures.

Instead, the Salisbury resident said she and others on her tour bus witnessed an ugly spectacle that made her embarrassed, angry and heartbroken for her country.

Vaillancourt was one of thousands of people who found themselves in a national park as the federal government shutdown went into effect on Oct. 1. For many hours her tour group, which included senior citizen visitors from Japan, Australia, Canada and the United States, were locked in a Yellowstone National Park hotel under armed guard.

The tourists were treated harshly by armed park employees, she said, so much so that some of the foreign tourists with limited English skills thought they were under arrest.

When finally allowed to leave, the bus was not allowed to halt at all along the 2.5-hour trip out of the park, not even to stop at private bathrooms that were open along the route.

“We’ve become a country of fear, guns and control,” said Vaillancourt, who grew up in Lawrence. “It was like they brought out the armed forces. Nobody was saying, ‘we’re sorry,’ it was all like — ” as she clenched her fist and banged it against her forearm.

The bus stopped along a road when a large herd of bison passed nearby, and seniors filed out to take photos. Almost immediately, an armed ranger came by and ordered them to get back in, saying they couldn’t “recreate.” The tour guide, who had paid a $300 fee the day before to bring the group into the park, argued that the seniors weren’t “recreating,” just taking photos.

“She responded and said, ‘Sir, you are recreating,’ and her tone became very aggressive,” Vaillancourt said.

The seniors quickly filed back onboard and the bus went to the Old Faithful Inn, the park’s premier lodge located adjacent to the park’s most famous site, Old Faithful geyser. That was as close as they could get to the famous site — barricades were erected around Old Faithful, and the seniors were locked inside the hotel, where armed rangers stayed at the door.

“They looked like Hulk Hogans, armed. They told us you can’t go outside,” she said. “Some of the Asians who were on the tour said, ‘Oh my God, are we under arrest?’ They felt like they were criminals.”

By Oct. 3 the park, which sees an average of 4,500 visitors a day, was nearly empty. The remaining hotel visitors were required to leave.

As the bus made its 2.5-hour journey out of Yellowstone, the tour guide made arrangements to stop at a full-service bathroom at an in-park dude ranch he had done business with in the past. Though the bus had its own small bathroom, Vaillancourt said seniors were looking for a more comfortable place to stop. But no stop was made — Vaillancourt said the dude ranch had been warned that its license to operate would be revoked if it allowed the bus to stop. So the bus continued on to Livingston, Mont., a gateway city to the park.

http://www.newburyportnews.com/local/x1442580373/Gestapo-tactics-meet-senior-citizens-at-Yellowstone - 114k -

Comment by mathguy
2013-10-09 17:30:36

Now I wonder.. why do those senior citizens keep seeming to vote for limited government?

 
Comment by jane
2013-10-09 18:46:56

Think on this.

The administrative incompetence displayed during the non-shutdown times — vs. the supremely efficient execution of harassment tactics during shutdown times.

The studied incompetence during normal times must be rehearsed, no?

We have too many fedgov employees.

As a fedgov contractor, I’ll take my chances. I actually know how to do useful stuff and I’m at the point of angst with the bloat in DC that I actually do not give a flying f*ck.

PS - I left my white shoe, privileged, not-for-profit environment six months ago and am back in a world where profits count. Guess what? It is a refreshing change, and the bar for ethics in action is a dam*ned sight higher than it was in the fedgovvy space. Of course, I am not in the upper tier policy making circle, where it is entirely conceivable that backscratching is a way of life.

I still need another six months to complete the not-for profit detox. I still get the dry heaves when I see those scummy shills at professional society meetings, kissing ass.

It’s about CLASS. The not-for-profit sector does not understand the concept. I am not an apologist for the Koch brothers. The concept of professional courtesy is understood in the private sector. It doesn’t matter in the public sector. Since there are too many heads chasing too little work, people revert to arcane stratagems of backbiting and manipulation to keep themselves busy. These public sector people are not dumb - they simply don’t have anything more meaningful to do.

Comment by Whac-a-Bubble™
2013-10-09 19:07:38

“I still get the dry heaves when I see those scummy shills at professional society meetings, kissing ass.”

Everybody either has to try to make a living or count on charity or welfare to keep themselves afloat.

 
 
 
Comment by 2banana
2013-10-09 05:52:47

Housing Bubble v2.1 just booting up…

Elections have consequences.

No complaining when gas is at $6/gallon.

———————-

Rejoice: the Yellen Fed will print money forever to create jobs
The Telegraph | October 9, 2013 | Ambrose Evans-Pritchard

We now know where we stand. Janet Yellen is to take over the US Federal Reserve, the world’s monetary hegemon, the master of all our lives.

The Fed will be looser for longer. The FOMC will continue to print money until the US economy creates enough jobs to reignite wage pressures and inflation, regardless of asset bubbles, or collateral damage along the way.

So there we have it. The next chairman of the Fed is going to track the labour participation rate. Money will stay loose. Markets have been spared again. The Brics can breathe easier.

Comment by scdave
2013-10-09 06:22:25

Elections have consequences ??

Yes they do and we are witnessing the effects right now….You were riding high in the saddle with the decider until September 2008…

 
 
Comment by 2banana
2013-10-09 05:55:33

Credit checks to redline for housing - bad!

Credit checks to redline for obamacare - good!

——————-

Credit Scores Impact new Affordable Care Act Premiums
http://www.clickorlando.com | October 3, 2013 | Louis Bolden

Many people signing up for health care in Florida through the Affordable Care Act have been shocked when they have to give proof of their credit score before they finish the process.

Comment by Whac-a-Bubble™
2013-10-09 06:04:44

Is anyone keeping track of how many ACA bitch posts 2banana makes today?

I’ve already lost count.

Comment by goon squad
2013-10-09 06:09:23

Barack Hussein Obama

Think about it

Comment by Whac-a-Bubble™
2013-10-09 06:17:26

Is it the President’s middle name, or the color of his skin, which so incenses 2banana?

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Comment by goon squad
2013-10-09 06:30:47

No, that’s just red meat for the slack-jawed mouth-breathers.

2ban’s criticisms of Bathhouse Barry the Chicago Jesus are valid, but he continually fails to provide any viable strategy for the GOP (or another party) to win elections on a platform of taking free sh*t away from the Free Sh*t Army.

Permanent Democrat Supermajority is demographic destiny.

 
Comment by scdave
2013-10-09 06:50:33

provide any viable strategy for the GOP (or another party) to win elections on a platform of taking free sh*t away from the Free Sh*t Army ??

Exactly….I mean, we need to keep the priorities straight that are the most crucial for opportunity for all in America like;

Shock & Awe

Overturn Roe V. Wade

Defense of Marriage Act

 
Comment by goon squad
2013-10-09 07:05:45

So go ahead and secede already, and don’t let the door smack your ass on the way out

“In its nihilism, the Tea Party is closer in spirit to the nullifiers of the 1830s, who were willing to put the union at risk to defeat a national law.”

http://www.bloomberg.com/news/2013-10-08/tea-party-tactics-lead-straight-back-to-secession.html

 
Comment by mo money mo problem
2013-10-09 07:46:52

“In its nihilism, the Tea Party is closer in spirit to the nullifiers of the 1830s, who were willing to put the union at risk to defeat a national law.”

Actually tea party are like the slaves of the yesteryear. They are a minority and trying to flee away from the Banker controlled gobmint slaveholder.

 
Comment by goon squad
2013-10-09 07:55:29

“flee away from the Banker controlled gobmint slaveholder”

Flee away from the bankers who pay for their elections?

Oh wait…

http://mobile.bloomberg.com/news/2012-04-30/tea-party-congressmen-accept-cash-from-bailed-out-bankers.html

 
Comment by mo money mo problem
2013-10-09 08:45:29

Flee away from the bankers who pay for their elections?

Why not? Bankers enabled by the gobmint you love so much are the only people with money.

Take banksters money, buy some rope with that money and hang the banksters along with gobmint. What’s not to like about tea party?

Tell me again who’s panicking more with the shutodown? Banksters in NYC or the redneck in Apalachia? The government does work for the people, just tear the $hit down.

 
Comment by mo money mo problem
2013-10-09 09:02:56

The government does NOT work for the people, just tear the $hit down.

 
Comment by RioAmericanInBrasil
2013-10-09 10:23:23

What’s not to like about tea party?

They are damaging the American economy as we speak.

They are damaging America’s credibility throughout the big world out there beyond America’s shores.

Many of them are intolerant.

They speak of violence against their own countrymen.

They forget they lost the Civil War.

Many of the oldsters want to deny others what they already have.

They are the watercarriers of the bankers they say they don’t like.

etc. etc.

Some are cool. Most are not imo.

 
Comment by RioAmericanInBrasil
2013-10-09 10:24:28

just tear the $hit down.

I’m looking for that section in The Constitution.

 
 
 
Comment by michael
2013-10-09 07:46:18

as many as “the GOP is dead” links that RIO posts?

Comment by RioAmericanInBrasil
2013-10-09 07:57:44

as many as “the GOP is dead” links that RIO posts?

I just googled republican party. Don’t blame the messenger.

And the GOP is not “dead”. Maybe they’re just dying. Or maybe they are being reborn. But they are in a type of civil war with themselves and America right now.

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Comment by michael
2013-10-09 08:13:54

my aploigies…just assumed it died after it slashed its own throat.

 
Comment by phony scandals
2013-10-09 08:30:20

“my aploigies…just assumed it died after it slashed its own throat.”

And we’re in good Socialist hands. Just don’t get caught taking pictures of the King’s bison or recreating on the ruling elite’s land.

‘Sir, you are recreating,’ and her tone became very aggressive,”

 
Comment by rms
2013-10-09 10:24:06

“And the GOP is not “dead”. Maybe they’re just dying. Or maybe they are being reborn. But they are in a type of civil war with themselves and America right now.”

They would look modern if they’d dump their Jesus theme, drop the abortion thing, and maybe take a second look at the environment. I’m sure Madison avenue can cook up something that might attract more of the three digit IQ crowd.

 
Comment by RioAmericanInBrasil
2013-10-09 10:28:18

And we’re in good Socialist hands. Just don’t get caught taking pictures of the King’s bison

“Socialist” and “King’s bison”? Really?

What country has ever been truly Socialist that had an all-powerful King who owned all the land?

I think many are confused here.

 
Comment by phony scandals
2013-10-09 10:48:13

Park Ranger: “We’ve been told to make life as difficult for people as we can.”

Guy Benson | Oct 04, 2013

The feds closed access to the parking lots this week, even though the lots are jointly owned with the Mount Vernon ladies. The rangers are from the government, and they’re only here to help. “It’s a cheap way to deal with the situation,” an angry Park Service ranger in Washington says of the harassment. “We’ve been told to make life as difficult for people as we can. It’s disgusting.”

http://townhall.com/tipsheet/guybenson/2013/10/04/park-ranger-weve-been-told-to-make-life-as-difficult-for-people-as-we-can-n1717297 - 75k -

‘Gestapo’ tactics meet senior citizens at Yellowstone

John Macone
Newburyport Daily News The Daily News of Newburyport
Tue Oct 08, 2013, 10:13 AM EDT

NEWBURYPORT — Pat Vaillancourt went on a trip last week that was intended to showcase some of America’s greatest treasures.

Instead, the Salisbury resident said she and others on her tour bus witnessed an ugly spectacle that made her embarrassed, angry and heartbroken for her country.

Vaillancourt was one of thousands of people who found themselves in a national park as the federal government shutdown went into effect on Oct. 1. For many hours her tour group, which included senior citizen visitors from Japan, Australia, Canada and the United States, were locked in a Yellowstone National Park hotel under armed guard.

The tourists were treated harshly by armed park employees, she said, so much so that some of the foreign tourists with limited English skills thought they were under arrest.

When finally allowed to leave, the bus was not allowed to halt at all along the 2.5-hour trip out of the park, not even to stop at private bathrooms that were open along the route.

“We’ve become a country of fear, guns and control,” said Vaillancourt, who grew up in Lawrence. “It was like they brought out the armed forces. Nobody was saying, ‘we’re sorry,’ it was all like — ” as she clenched her fist and banged it against her forearm.

The bus stopped along a road when a large herd of bison passed nearby, and seniors filed out to take photos. Almost immediately, an armed ranger came by and ordered them to get back in, saying they couldn’t “recreate.” The tour guide, who had paid a $300 fee the day before to bring the group into the park, argued that the seniors weren’t “recreating,” just taking photos.

“She responded and said, ‘Sir, you are recreating,’ and her tone became very aggressive,” Vaillancourt said.

The seniors quickly filed back onboard and the bus went to the Old Faithful Inn, the park’s premier lodge located adjacent to the park’s most famous site, Old Faithful geyser. That was as close as they could get to the famous site — barricades were erected around Old Faithful, and the seniors were locked inside the hotel, where armed rangers stayed at the door.

“They looked like Hulk Hogans, armed. They told us you can’t go outside,” she said. “Some of the Asians who were on the tour said, ‘Oh my God, are we under arrest?’ They felt like they were criminals.”

By Oct. 3 the park, which sees an average of 4,500 visitors a day, was nearly empty. The remaining hotel visitors were required to leave.

As the bus made its 2.5-hour journey out of Yellowstone, the tour guide made arrangements to stop at a full-service bathroom at an in-park dude ranch he had done business with in the past. Though the bus had its own small bathroom, Vaillancourt said seniors were looking for a more comfortable place to stop. But no stop was made — Vaillancourt said the dude ranch had been warned that its license to operate would be revoked if it allowed the bus to stop. So the bus continued on to Livingston, Mont., a gateway city to the park.

http://www.newburyportnews.com/local/x1442580373/Gestapo-tactics-meet-senior-citizens-at-Yellowstone - 114k -

 
Comment by al jazeera
2013-10-09 11:53:32

phony scandals wrote:

And we’re in good Socialist hands. Just don’t get caught taking pictures of the King’s bison or recreating on the ruling elite’s land.

RioAmericanInBrasil wrote:

“Socialist” and “King’s bison”? Really?

What country has ever been truly Socialist that had an all-powerful King who owned all the land?

I think many are confused here.”

Prussia, the birthplace of the modern socialist state. If you are going to advocate socialism you should at least learn the history of socialism. You are doing your own cause damage. If you don’t know what you are talking about it would be best to remain silent.

 
Comment by al jazeera
2013-10-09 11:58:00

What’s not to like about tea party?

RioAmericanInBrasil wrote:

“They (The Tea Party) forget they lost the Civil War.”

The Republicans lost the Civil War??? What?

You sir are full of jive and nothing more. Pick up a book and learn some history.

 
Comment by Whac-a-Bubble™
2013-10-09 18:09:14

“…modern socialism…”

NAZI = Nationalsozialistische Deutsche Arbeiterparte = National Socialist German Worker’s Party

CCCR = Сою́з Сове́тских Социалисти́ческих Респу́блик
= USSR = Union of Soviet Socialist Republics

Are you starting to recognize a pattern here?

 
 
Comment by Blue Skye
2013-10-09 10:08:30

“the GOP is dead”

No problem.

Ideas cannot be killed, only ignored or repressed.

Debt is slavery.

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Comment by RioAmericanInBrasil
2013-10-09 10:32:39

Ideas cannot be killed, only ignored or repressed.

They can also be moderated or changed by opposing ideas expressed with reason and logic.

Debt is slavery.

A lot of it is. But our current health-care system makes millions of Americans debt slaves too.

 
Comment by Blue Skye
2013-10-09 10:54:42

No it doesn’t. It may be a lot of awful things but the healthcare system does not turn people into debt slaves.

 
Comment by RioAmericanInBrasil
2013-10-09 11:03:08

the healthcare system does not turn people into debt slaves.

That defies reality.

“Medical debt is an especially notable phenomenon in the United States - the US being the world’s only developed country not to offer universal health care. In less developed nations those on low income in need of treatment will often avail themselves of what ever help they can from either the state or NGOs without going into debt, but in the US medical debt has been found by a 2009 study to be the primary cause of personal bankruptcy.[2]

A 2007 survey had found about 70 million Americans either have difficulty paying for medical treatment or have medical debt.[3] Studies have found people are most likely to accumulate large medical debts when they do not have health insurance to cover the costs of necessary medications, treatments, or procedures – in 2009 about 50 million Americans had no health coverage.[2] However, about 60% of those found to have medical debt were insured.[3] Health insurance plans rarely cover any and all health-related expenses; for insured people, the gap between insurance coverage and the affordability of health care manifests as medical debt. As with any type of debt, medical debt can lead to an array of personal and financial problems - including having to go without food and heat plus a reluctance to seek further medical treatment.[3] [4] Aggressive debt collecting has been highlighted as an aggravating factor.[5] A study has found about 63% of adults with medical debt avoided further medical treatment, compared with only 19% of adults who had no such debt.[6]

According to a study conducted in 2012 by Demos that among indebted households 62% cited out-of-pocket medical expenses as a contribution to their debt.[7]” wiki

 
Comment by Blue Skye
2013-10-09 14:26:10

“including having to go without food and heat…”

Maybe in your country, but that’s not how things work here. Not over a medical bill. The precious house may go by the board. Too ridiculous to be taken seriously.

 
 
 
 
Comment by Combotechie
2013-10-09 06:05:50

People with low credit scores pay more, people with high credit scores pay less.

People with low credit scores have little money and because of this they end up paying higher prices. But they really can’t afford to pay higher prices because … well, they have little money.

Makes sense (snort).

Comment by polly
2013-10-09 06:52:39

The article (all 7 or so sentences of it) does not say that credit score has anything to do with the amount paid. It doesn’t interview anyone who has had the issue. It has one navigator who when posed with the possibility of this happening says it might be something the insurance companies are doing. I would need to see a lot more evidence to believe it - I think the that plans are required to take anyone who gets to the end of the process and chooses their plan.

 
 
 
Comment by phony scandals
2013-10-09 06:26:57

Undercover Cop Among Latest Arrests In Manhattan Motorcycle Melee
Police Also Release New Images Of 4 Bikers Named Persons Of Interest

October 8, 2013 11:30 PM

NEW YORK (CBSNewYork/AP) – An undercover police detective and another man were arrested Tuesday in connection with the motorcycle gang attack on an SUV driver last week in Manhattan.

Detective Wojciech Braszczok, 32, surrendered Tuesday and faces riot and criminal mischief charges, police confirmed. The cop’s attorney hasn’t responded to messages. Braszczok, a 10-year veteran on the force, was one of at least three officers who participated in the ride that made national headlines after it was caught on video and posted to YouTube.

Police announced Tuesday night they’ve arrested Clinton Caldwell, 32, of Brooklyn, who is charged with gang assault, assault and criminal mischief. He is the sixth biker charged in the alleged attack.

Braszczok and Caldwell were in custody at Manhattan Criminal Court on Tuesday night, CBS 2′s Hazel Sanchez reported. They are expected to be arraigned Wednesday.

Braszczok’s lawyer, Phil Karasyk, said Monday that the detective had only witnessed other bikers attacking the vehicle. But investigators discovered video evidence showing him punching an already damaged back window, then twice kicking the side of the SUV before leaving the scene, according to two people familiar with the case. The people weren’t authorized to discuss the inquiry and spoke to The Associated Press on the condition of anonymity.

NYPD Internal Affairs investigators have been looking into Braszczok’s conduct because he didn’t report until three days later that he had been at the rally.

The expectation that officers will act if they witness a crime does not apply for undercover officers.

The Sept. 29 encounter, which was partially captured on video and posted to YouTube, began when one of the bikers cut in front of Lien’s Range Rover on the Henry Hudson Parkway and slowed down, forcing the SUV to bump his motorcycle’s rear tire.

Watch The Full Video Below: WARNING — GRAPHIC IMAGES

After the collision, the bikers stop and surround the SUV. Some of the riders dismounted and approached the vehicle. Police said some began damaging the Range Rover, hitting it with their helmets and slashing its tires, though it’s not clear from the video.

Lien, who was in the car with his wife and 2-year-old child, took off, striking motorcyclist Edwin “Jay” Mieses before heading north. Lien’s wife said they had no other choice but to flee.

After being chased by the bikers for nearly two miles, Lien was pulled out of his car and beaten when he got off the highway around West 178th Street and St. Nicholas Avenue, police said.

http://newyork.cbslocal.com/2013/10/08/another-biker-arrested-in-manhattan-motorcycle-suv-brawl-due-in-court/ - 131k -

Comment by spook
2013-10-09 07:16:42

“began when one of the bikers cut in front of Lien’s Range Rover on the Henry Hudson Parkway and slowed down, forcing the SUV to bump his motorcycle’s rear tire.”
————————————————————————–

No one can force me to bump into the back of their vehicle. Ive been cut of by many vehicles and not one time have I ever been “forced” to run into them.

The only exception I can think of is when a car does it in front of a tractor trailer. And even then, LE would be looking for some skid marks from the tractor as proof an attempt was made to stop; other wise, its possible the driver fell asleep.

In the video of the incident, the SUV driver had plenty of time to increase the distance between himself and the bike. Why didn’t he?

Was he on his cell phone?

Was he texting?

Was he Asian?

The entire event was completely unnecessary and could have been easily avoided.

Comment by michael
2013-10-09 07:57:35

have you watched the video? he cuts him off and then breaks hard.

i don’t think he was “forcing” him to bump him…but it was pretty crazy what he did…and i am not suprised he did get bumped…he was lucky it was just a bump.

his friend on the other hand…was not so lucky.

Comment by rms
2013-10-09 08:53:59

“have you watched the video? he cuts him off and then breaks hard.”

In the Coast Guard there’s a well worn adage, “mass has the right of way.”

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Comment by spook
2013-10-09 09:55:09

Comment by michael
2013-10-09 07:57:35

have you watched the video? he cuts him off and then breaks hard.
———————————————————————–

You must be a steering wheel slave?

that ain’t no hard brake. Please show me a one handed hard brake on a motorcycle?

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Comment by michael
2013-10-09 10:27:34

looked hard and fast to me…but you’re the expert.

jury will decide.

 
 
 
Comment by michael
2013-10-09 08:07:34

btw…i think he was asian.

 
Comment by tresho
2013-10-09 08:21:17

No one can force me to bump into the back of their vehicle. Ive been cut of by many vehicles and not one time have I ever been “forced” to run into them.
You ignore the fact the motorcycles can stop MUCH faster than 4-wheelers, and are far more maneuverable, both without losing control.

Comment by spook
2013-10-09 09:43:17

“You ignore the fact the motorcycles can stop MUCH faster than 4-wheelers”
—————————————————————————No I don’t.

Matter of fact, my knowledge of this law of physics is precisely why I brake immediately when any vehicle cuts in front of me.

I do not wait for any closing distance to occur before I decide to brake.

Go back and view the video and measure the amount of time between the bike cutting over and the impact.

Sure, it was an a-hole move by the biker; but there are plenty of lawful scenarios where a biker needs to brake like that to avoid injury or death.

BTW– police kill people all the time for simply driving in their general direction. If you deliberately run over a cop, you have signed your own death warrant.

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Comment by rms
2013-10-09 08:50:37

“An undercover police detective and another man were arrested Tuesday in connection with the motorcycle gang attack on an SUV driver last week in Manhattan.”

This is a real life Sherman McCoy story that an up-in-coming lawyer dreams about to catapult his/her career.

That photo of Craig Wright, 29, of Brooklyn looks like he missed that last limb and fell out of the proverbial tree on his noggin. :)

 
Comment by sleepless_near_seattle
2013-10-09 11:59:07

began when

I thought you were going to go in a different direction with that quote.

Unless the braking motorcyclist is a friggin moron, why would he cut off the SUV? I hope they throw the book at these guys, but I don’t think the story “began when” they keep saying it began. Something else happened upstream.

Comment by spook
2013-10-09 13:02:29

“but I don’t think the story “began when” they keep saying it began. Something else happened upstream.”

Seattle, That you for reminding us of this because every media report I have seen ignores this issue.

But given my experiences, I already know what happened. Here are the basic ingredients you need for this kind of tragic event:

1. One male biker with too much testosterone and no father to teach him how to handle it.

2. One fearful male driver with limited experience dealing with groups of males engaging in dangerous masculine activities.

What we had here was a fayyyuhh of communication.

BTW, was I the only person NOT surprised cops, plumbers and other “regular Joes” were in the group?

Part of me doubts motorcycle “gangs” even exist anymore? Ive never met any in 20 years of riding?

Its a “club” and you got a day job; most of those guys had to get permission from their woman in order to go on that ride.
LOL

“I don’t know man… ya see… my ol lady… she kinda funny…” — George Thurogood

BTW– we will never find out what really happened now that lawyers are involved.

Comment by sleepless_near_seattle
2013-10-10 00:30:51

I’m guessing the SUV driver was getting impatient waiting behind them and at some point tried to pass, or a bunch of them passed him in a manner he didn’t like and in either case he got a little too close to them…then some taunting and this rider’s braking antics (and perhaps others’ similar moves just before him) happened.

I see it all the time. Someone comes up too close for a bike rider’s comfort and the rider will turn and give a “why don’t ya just hit me” gesture. I certainly understand their concern given how some idiots drive/don’t pay attention, but way too many also have an over-sized chip on their shoulder and pick fights unnecessarily.

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Comment by Suite Joey Blue Eyes
2013-10-09 06:48:05

Fox News moved Megyn Kelly to primetime because MSNBC now beats fox in viewers 24-54 (the demographic that advertisers care about).

Fox has many more total viewers than MSNBC but the vast majority of Fox viewers are retirees/invalids/geriatrics.

Here’s a good ratings breakdown.

http://www.mediabistro.com/tvnewser/fox-news-new-primetime-lineup-day-one-ratings_b199446

“Fox News Channel’s primetime lineup debuted last night. The channel’s one new primetime program, “The Kelly File,” debuted to 2.07 million total viewers and 289,000 viewers in the adults 25-54 demo.

That placed the program second in the demo behind MSNBC’s “Rachel Maddow Show,” which averaged 299,000 demo viewers and 997,000 total viewers. CNN’s Piers Morgan averaged 530,000 total viewers and 145,000 demo viewers.”

These numbers don’t even show how big MSNBC’s advantage is among working-age people. Younger people don’t watch TV much, esp. in prime time, and watch more of it on mobile or read the blogs (e.g. MaddowBlog).

Comment by Suite Joey Blue Eyes
2013-10-09 07:02:19

LOL, among 25-54 year olds, Maddow #1.

And over 80% of FNC’s viewers are 55+, hahahaha. The truth laid bare.

Math: Megyn Kelly 2070000 viewers, only 289000 working age. That’s 13.96%.

What more can we say? And if you accounted for household income or IQ, it would get __really__ interesting.

Comment by Housing Analyst
2013-10-09 07:15:47

Liberace has entered the building!

 
Comment by goon squad
2013-10-09 07:17:51

I can’t remember the last time I intentionally watched a network or cable TeeVee news show (being in a waiting room doesn’t count). The only TeeVee I ever watch is C-SPAN, streamed either on my laptop or phone, since I won’t pay for cable TeeVee.

Comment by Suite Joey Blue Eyes
2013-10-09 07:24:30

I cut the cable cord and rarely watch these things either. I’m doing Mr Money Mustache’s “low info”/high circle of influence program.

I still find it funny that FNC’s audience is virtually __all__ boomers. Less than 1 in 7 FNC prime time viewers is working age, or what broadcasters call “in the demographic”.

I like some of the specials that Current (now al jazeera US) did about some social issues. But watching daily news seems like a losing proposition to me. I can’t stand Chris Matthews or Larry O’Donnell so I’m not really an MSNBC booster. Maddow and Chris Hayes are smart bros, I don’t need to actively watch them to realize that. Melissa Harris-Perry is full-on shitlib, I can’t stand her soapbox preaching. I think Alex Wagner is headed down the same road.

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Comment by goon squad
2013-10-09 07:31:58

I need to get one of those internet TeeVee widgets you posted about here, but that would require replacing my 15+ year old TeeVee set.

 
Comment by Suite Joey Blue Eyes
2013-10-09 07:40:41

You can get a good flat screen TV in a normal size for 300 bucks, I think? You don’t need smart TV with chromecast. I was surprised at how well chromecast works, I was expecting it to be a gimmick that has glaring or annoying issues. The only thing you “lose” by doing this is sports.

If you are single/only have 1 TV, I would go with playstation over chromecast, since PS3 has wifi, browser, built-in netflix/hulu/crackle links & a great bluray player.

 
Comment by Housing Analyst
2013-10-09 09:36:31

Not that its meaningful to you Lib but Alex Wagner brings the hotness.-……

 
Comment by Suite Joey Blue Eyes
2013-10-09 10:20:43

She’s just another progressive liberal Ivy-grad of half/half parentage, that’s like a dime a dozen in DC. If you’re a fratty white bro you can bag women like that in any bar in Addams Morgan and they’ll be a bunch younger than Alex. Like shooting fish in a barrel.

The coolest thing about her is that she used to write about music and culture for Fader. Kind of separates her from the other shitlib shrews.

 
Comment by Housing Analyst
2013-10-09 10:30:31

They’re fun to look at Lib but that’s all.

 
Comment by Whac-a-Bubble™
2013-10-09 20:25:27

It’s called “eye candy” for a reason.

 
 
 
Comment by mo money mo problem
2013-10-09 09:01:18

IQ is meaningless if these idiots voted Obama again in 12.

Comment by RioAmericanInBrasil
2013-10-09 10:36:48

IQ is meaningless if these idiots voted Obama again in 12.

Obama is a tool in many regards. I agree with Ben’s opinion on Obama’s war/police state positions and his love for the bankers. They suk.

However, for those who do not like Republican policies, why would they NOT vote for Obama?

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Comment by RioAmericanInBrasil
2013-10-09 08:04:10

the vast majority of Fox viewers are retirees/invalids/geriatrics.

They have their Soc/Sec and Medicare that they want the government to keep their hands off.

They have their “government ran” health-care (that they love) but want to deny people younger than them the ability to buy their own health-care.

They love their “soshaliam”.

Comment by scdave
2013-10-09 08:22:36

LOL…So true….

 
 
Comment by Hi-Z
2013-10-09 14:22:42

From HollyWoodReporter.com

“For the night, Fox News averaged 2.43 million viewers and 508,949 adults 25-54. Closest competition MSNBC, which scored key demo wins on Monday in all hours but 8 p.m., averaged 958,420 viewers and 264,277 adults 25-54. Third-place CNN posted 577,591 viewers and 173,321 adults”

How does this info translate in to your assertion “..MSNBC now beats fox in viewers 24-54..”?

 
 
Comment by AbsoluteBeginner
2013-10-09 06:51:06

Haven’t heard this song in years. Thinking of Roger’s line about getting sick of the whole universe:

http://www.youtube.com/watch?v=yEAdhs9tKv4

Comment by Suite Joey Blue Eyes
2013-10-09 07:04:52

The voice of a generation.

Was that off of Quadraphenia? Or a different later album?

Comment by AbsoluteBeginner
2013-10-09 07:25:28

‘Who Are You’

One of the first LPs I owned. IMHO, the album has improved with time.

Comment by goon squad
2013-10-09 07:40:57

the cover of which has keith moon sitting on a chair with ‘not to be taken away’ written on it

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Comment by AbsoluteBeginner
2013-10-09 07:56:19

This one was nostalgic too. Always thought it was a Pete Townsend solo album single:

http://www.youtube.com/watch?v=APgC6XYcmSY

 
 
Comment by Arizona Slim
2013-10-09 14:04:49

First song on “Who Are You.” That would be side one of the vinyl.

Once a deejay, always a deejay…

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Comment by 2banana
2013-10-09 07:27:32

“takers never giving…”

Comment by AbsoluteBeginner
2013-10-09 07:32:51

Getting sick of this universe.

 
Comment by goon squad
2013-10-09 07:45:44

speaking of takers never giving, this excerpt from bloomberg piece - anti-obamacare lawmakers urged to hold firm by tea party:

‘louisiana receives nearly half of its annual budget from the federal government, second only to mississippi, according to the tax foundation, a washington-based research group.’

Comment by Suite Joey Blue Eyes
2013-10-09 08:06:40

The South also dominates when it comes to measures like highest povery rate, highest HS drop out rates, highest illegitimacy rates, highest SSDI rates, highest EBT rates, and lowest income/wages.

Why? I can’t figure it out? I thought it was all hard work and JOBS down there in McCountry.

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Comment by goon squad
2013-10-09 08:40:31

if 2ban attempts to pervert the lyrical genius of the who to advance some political agenda, he’s gonna smacked down.

and if he was still in high school when that album came out, he would have been listening to disco, not to the who.

 
Comment by AbsoluteBeginner
2013-10-09 08:42:21

Those are embedded legacy carry-overs. Cultural differences aside, Wall Street leaves no serf behind.

 
Comment by mo money mo problem
2013-10-09 09:15:06

The South also dominates when it comes to measures like highest povery rate, highest HS drop out rates, highest illegitimacy rates, highest SSDI rates, highest EBT rates, and lowest income/wages.

They are by largely democrats. Also 100’s of years of absolute democratic control can’t be fixed in a couple of decades. Smart yourself a little bit before regurgitating a mindless talking point.

 
Comment by Suite Joey Blue Eyes
2013-10-09 10:14:27

Are you kidding? Of the 250 highest EBT (food stamp) using counties, over 200 of them went for Romney. These are very white, very GOP friendly areas. I posted the link on here about 2 weeks ago.

The South is poor and has always been poor relative to the northeast. It’s cultural. Much less emphasis on education, starting at the local level. It’s getting worse because immigration from the northeast to the south is adverse selection for the south - they receive Boomers and washouts while the NE gets the college grads. Good luck with that.

 
Comment by Suite Joey Blue Eyes
2013-10-09 11:45:37

“Among the 254 counties where food stamp recipients doubled between 2007 and 2011, Republican Mitt Romney won 213 of them in last year’s presidential election, according to U.S. Department of Agriculture data compiled by Bloomberg. Kentucky’s Owsley County, which backed Romney with 81 percent of its vote, has the largest proportion of food stamp recipients among those that he carried. ”

^^That is a direct quote from here: http://www.bloomberg.com/news/2013-08-14/food-stamp-cut-backed-by-republicans-with-voters-on-rolls.html

 
Comment by Strawberrypicker
2013-10-09 19:20:40

Same old canard debunked many times on this blog. Kentucky’s Owsley County has a population of 4772 residents per that article: “More than half of the Owsley County’s population — 52 percent — received food stamps in 2011, the most recent yearly number available. The county, which in 2012 was 97.6 percent non-Hispanic white and had 4,722 residents, “. This does nothing to touch the millions and millions of free cheesers in counties the Savior won.

This stat is meaningless drivel. Look up the law of small numbers.

The counties with the top number of food stamp recipients are the counties with the most people. Here are the top 20:

LA, CA –Obama, population: 9.9 million
Cook County, Ill – Obama, population: 5.2 million
Harris, TX – Obama, population: 4.2 million
Maricopa, AZ – Romney, population: 3.9 million
San Diego, CA – Obama, population: 3.1 million
Orange County, CA – Romney, population: 3.1 million
Miami-Dade, FLA – Obama, population: 2.5 million
King County, NY – Obama, population: 2.5 million
Dallas, TX – Obama, population: 2.4 million
Queens County, NY – Obama, population: 2.2 million

These amount to 39 million people. 80% of those top 10 counties went for Obama. 2 counties with 7 million for Romney. 8 Counties with 32 million for Obama.

Here is the next 10:

Riverside, CA, Population: 2.2 million- Romney
San Bernardino, CA , Population: 2.1 million - Obama
Clark County, NV, Population: 1.9 million - Obama
King County, Wash, Population: 1.9 million- Obama
Tarrant County, TX, Population: 1.8 million- Romney
Santa Clara, CA, Population: 1.8 million - Obama
Wayne County, Mich, Population: 1.8 million - Obama
Broward County, Fla, Population: 1.8 million -Obama
Bexar County, TX, Population: 1.7 million - Obama
NY County, NY, Population: 1.6 million -Obama

18.6 million total. 4 million for Romney, 14.6 million for Obama

The article you guys keep quoting uses a county with 4722 people total in it as an example of a place that went for Romney.

 
 
 
 
 
Comment by Housing Analyst
2013-10-09 07:13:59

If you take on mortgage debt at current massively inflated housing prices, you’ll enslave yourself for the rest of your life.

,b>“Debt is bondage.”~ Suze Orman, May 11, 2013

Don’t Be A Debt Donkey®

 
Comment by Suite Joey Blue Eyes
2013-10-09 07:36:04

Frontline special on brain injuries in football aired last night. Two hours (no commercials). It was pretty amazing, they showed a good deal of brain dissection and staining with chemicals to look for tau proteins (that indicate brain injuries/scarring). I can’t summarize while doing it justice. It’s amazing how long the NFL knew about the general problem and how aggressively they acted to deny knowledge, even using non-neuro doctors to get papers published in “friendly” medical journals and getting those same journals to publish criticisms alongside unbiased studies on brain injuries.

Comment by Housing Analyst
2013-10-09 08:09:24

Liberace…. check out the last track…. Did you write it yourself?

http://i1220.photobucket.com/albums/dd460/wellens/Album%20Collection/1546376.jpg

 
Comment by AbsoluteBeginner
2013-10-09 08:11:05

Don’t boxers (pugilists) have similar predicaments? Wrestling too?

Comment by tresho
2013-10-09 08:27:07

Don’t boxers (pugilists) have similar predicaments? Wrestling too?
Shhh, don’t interrupt the NFL-owners-evil-conspiracy meme.

Comment by Suite Joey Blue Eyes
2013-10-09 09:17:59

It’s the cover up and the extent the NFL went to try to disprove a growing body of evidence. The people at these brain banks have examined dozens of brains at this point and published many papers. Early on, the NFL went way out of its way to deny the problem rather than deal with it.

Boxing and wrestling did not go out of their way to do this. They don’t have the same political influence or the same TV deals. ESPN pays 2 Billion a year just to air Monday Night Football (17 games a season). That doesn’t even compare to what Fox and CBS pay to air the full Sunday slates and the playoffs.

LOL @ trying to compare boxing or wrestling. Boxing and wrestling have been dealing with these situations on the up and up. I think steeplechase jockeys are the other group that was studied a lot. You have to watch the 2 hr episode to see what I’m talking about re: NFL cover up.

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Comment by (Neo-) Jetfixr
2013-10-09 12:05:06

The agents and NFLPA should have taken this up on their own years ago.

-For starters, the NFLPA should have been funding brain injury research for football players at all levels, including working with the people making/designing helmets. Better yet, fund their own research institute, and buy/start a helmet manufacturer.

- Get the NFL/Team doctors out of the “play/no-play” decision making progress.

- As things stand, you could make the case that living the high life, then dying at 55 of a untreated/uncurable brain injury is better that the alternative that a lot of J6Ps are facing, living on the streets and eating cat food, then freezing to death under a bridge.

If the union and agents didn’t care, the owners sure weren’t.

To me, the solution is to let the whole corrupt, “Socialism for the Rich” business of Professional (both college and pro, as if there’s a difference) die a quick death. But that’s just me.

 
Comment by oxide
2013-10-09 13:26:14

I can’t watch football anymore. It’s all concussions and contracts, not to mention wall-to-wall embedded ads.

 
 
 
 
 
Comment by inchbyinch
2013-10-09 08:18:46

Absolute
Thanks for the case regarding non-citizens practicing law in Ca. Jacoby vs. Rodriquez
I plan to peruse it.

Comment by Housing Analyst
2013-10-09 08:55:37

When the filthy swamp you so willingly dove and wallowed in is drained dry, you’re going to wish you didn’t spend every last dime on a rapidly depreciating house.

Comment by AbsoluteBeginner
Comment by Housing Analyst
2013-10-09 10:08:11

No no….. These fraudulent housing posers are far more dangerous than Baghdad Bob. Deliberately misrepresenting the truth about housing in order to profit is much more than propaganda my friend.

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Comment by AbsoluteBeginner
2013-10-09 09:52:02

‘Jacoby vs. Rodriquez’

I was being racis. It was a play on words of Jacoby and Meyers, but net result is advocacy for illegal immigrant passes. SO I believe ultimately. I mean, with all the chest-beating pride of one group vs. another, illegal immigrants will say that they are rightfully in the right if the have counsel as one of them. I am getting sick of this universe.

Comment by inchbyinch
2013-10-09 17:03:26

Absolute
I think you’re a “hill’er” as well. (HA’s phase)Yeah, I wish we could go back to The Wonderful World Of Disney days (but take medical and general technology w/ us). At least the corruption wasn’t on a 24/7 news cycle.

HA
We didn’t spend “every last dime” you knuckle brain. Interesting that you know our finances.
Is your nappy full?

Comment by AbsoluteBeginner
2013-10-09 21:30:31

‘you knuckle brain’

Guffaw.

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Comment by Housing Analyst
2013-10-10 04:58:55

every.last.dime.

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Comment by Housing Analyst
2013-10-09 08:53:33

What do you do with 25 MILLION excess empty houses?

At this point, they’re simply moved from balance sheet to balance sheet. They’re still empty, still depreciating, still worth half or less of the fantasy prices.

Contractors have a field day with this. Profitable at current inflated asking prices of resale housing. Still profitable at 50% of current inflated asking prices of resale housing.

 
Comment by Housing Analyst
2013-10-09 08:57:34

“If you bought a house 1998 to current, you were set up like a bowling pin.”

And here comes the ball.

Comment by RioAmericanInBrasil
2013-10-09 10:50:42

“If you bought a house 1998 to current, you were set up like a bowling pin.”

If I bought a house in 98 (15 years ago) it would be paid off.

I wouldn’t give a rat’s a$$ about the bowling ball. Proof? My house is paid off in Rio and Rio is probably in a bubble but I don’t give a rat’s a$$.

I hope USA’s house prices go down too but that doesn’t mean everyone who bought since 98 is fooked. Hell, a lot of folks who bought in 98 are already dead. Life goes on.

Comment by Housing Analyst
2013-10-09 11:10:03

Who cares? Your losses mount.

 
 
 
Comment by Neuromance
2013-10-09 08:59:17

So, one school of thought is that the shutdown is selectively putting pressure on Democratic congress critters and senators, while sparing Republicans.

In Maryland, that’s mostly true. In Virginia, the congressional districts surrounding DC are Democratic-controlled.

While there are many individual Republicans who work for government or contractors in this area, they are collateral damage.

Are there any Republican senators or congress critters being pressured by this I wonder? Because if it really is selectively putting pressure on Democratic senators and congress critters, there might be some big concessions by Democrats coming up.

Comment by mo money mo problem
2013-10-09 09:17:49

Republicans will fold like they always do. The elites, rich and banksters still need gobmint teats to suck on.

 
Comment by oxide
2013-10-09 13:29:29

You really think that Montgomery County and Prince George’s County are blaming the Democrats?

Comment by Neuromance
2013-10-09 16:40:38

PG and MoCo are not blaming the Democrats. But if the checks stay stopped for long enough, they’ll demand their leaders do something to get it fixed. Which would probably involve concessions of some sort.

Strategically speaking, what counts in Congress or the Senate are the representatives. Congressional districts containing PG and MoCo are already guaranteed Democratic. If they move from 70% to 80% pro-Democrat, it makes little difference strategically, in Congress. There’s not going to be any Republican losses or Democratic gains regarding the actual power.

The wild card is the debt ceiling. If that starts a broad-based negative impact in Republican and contested districts, that could lead to a retreat.

But if the pain is confined to uncontested heavily Democratic states and districts, that’s going to put pressure on Democrats to fix it.

 
 
 
Comment by Housing Analyst
2013-10-09 08:59:20

25 MILLION excess, empty and defaulted houses CHECK

Housing demand at 14 year lows and falling CHECK

Housing prices inflated by 250% CHECK

Household formation at multi decade lows CHECK

Rampant housing fraud CHECK

Public denial formed and supported by a corrupt media CHECK

Population growth the lowest in US history CHECK

Immigration flat to slightly negative CHECK

Oh my word

 
Comment by Whac-a-Bubble™
2013-10-09 09:36:21

There is a rumor afloat that the government shutdown risks the equivalent of a bank run in parts of the U.S. home mortgage market.

Is there any truth to the matter? If so, how would this happen?

Comment by Whac-a-Bubble™
2013-10-09 09:42:31

The source of the rumor is the IMF’s semiannual report on global financial stability.

IMF warns that U.S. uncertainty could scramble world markets
Shawn Thew/EPA - Jose Vinals, head of the IMF’s monetary and capital markets division (center) responds to a question during a press conference at the IMF-World Bank Annual Meetings in Washington.
By Howard Schneider, Wednesday, October 9, 8:35 AM

Confusion over U.S. economic policy could wipe out trillions of dollars of investments around the world and risk the equivalent of a bank run in parts of the U.S. home mortgage market, the International Monetary Fund said Wednesday.

The warning came in the fund’s semiannual report on global financial stability, a heavily technical document that delves into the risks facing — and sometimes generated by — world banking, insurance, government debt and related markets. And it highlighted the IMF’s growing unease over the deadlock on Capitol Hill.

Topic A: The sudden sense of drift at the top of the world’s largest economy, where the government is shut down, the leadership of the Federal Reserve is changing at a critical time for monetary policy, and it’s uncertain whether one branch of government will allow the other to pay its bills.

“I want to be very clear. What is happening is not good news. It shows some difficulty in the U.S. political establishment, in the U.S. machinery, to produce a good outcome,” said Jose Vinals, head of the IMF’s monetary and capital markets division. “It is completely of the essence that the U.S. political machinery gets its act together and ends this impasse.”

 
 
Comment by Whac-a-Bubble™
2013-10-09 09:44:52

The Indian economy is in a deep mess
India’s current economic problems can’t be explained as cyclical snags that will go away soon
First Published: Tue, Oct 08 2013. 06 31 PM IST
Updated: Wed, Oct 09 2013. 12 20 PM IST
The Indian economy continues to face strong headwinds. A quick look at some of the data published by the International Monetary Fund (IMF) in its latest report on the global economy brings out very clearly that India is perhaps the most vulnerable among its peers. Consider these three data points:

Exhibit one: IMF has indicated that it now expects most major emerging markets to grow at a slower rate in 2013 than what it had earlier predicted in July. The reduction in the Indian growth forecast is by far the steepest: 1.8 percentage points, or more than three times the average reduction in emerging markets as a whole.

Exhibit two: The sharp slowdown has been accompanied by some of the highest rates of consumer price inflation among emerging economies, and about twice the average rate for emerging Asia. There is a similar story on the external front, with India having one of the biggest current account deficits. This unusual combination of a sharp slowdown and macroeconomic imbalances is a definite cause for concern. The previous slowdown during fiscal 2003 was accompanied by low inflation and a current account surplus.

Exhibit three: The potential growth in the BRICS club—Brazil, Russia, India, China and South Africa—has fallen since the crisis. Potential growth is the rate at which an economy can expand with stable inflation. India’s potential growth rate has fallen by 1.6 percentage points since 2011, according to IMF calculations—from 7.3% to 5.7%. None of the other BRICS economies have seen such a steep fall in their potential growth rates. It appears that nearly half of the Indian growth slowdown since 2011 is accounted for by a reduction in potential growth while the other half is from cyclical factors.

All these are worrisome indicators, and need to be heeded by all those who have been taken in by a new sense of optimism over the past few weeks. The prospect of a good harvest will undoubtedly provide a boost to domestic demand and the rupee depreciation could boost exports. But the noxious combination of slowing growth, double-digit consumer inflation and a record current account deficit is a quick indication that at least part of the economic slowdown is structural rather than cyclical. The new IMF estimates of our growth potential only provide heft to this sort of reasoning.

All calculations of the potential growth rate—be they using statistical techniques such as the popular Hodrick-Prescott filter or by estimating production functions—are at best approximations. There are other estimates that seem less glum that those released by IMF on Tuesday. But just about every serious econometric study shows that there is more to the Indian growth slowdown than just temporary cyclical factors, whatever government economists may claim.

 
Comment by Housing Analyst
2013-10-09 09:49:37

Its new boot season. Did you order your Chippewas yet?

Comment by rms
2013-10-09 10:09:01

“Its new boot season. Did you order your Chippewas yet?”

I packed away my denim work clothes and got out the Filson wool stuff about a week ago. The trucks still need their studded tires though.

At home I have already changed out our motor oil for the 5-30 wt, and installed the winter wheels/tires.

Pretty soon I’ll be surfing Redfin’s Scottsdale listings again. :(

 
Comment by Resistor
2013-10-09 17:27:50

The only Chippewa I know is a place in Buffalo where a lot of college-aged vomiting occurred.

 
 
Comment by Whac-a-Bubble™
2013-10-09 09:49:47

Why the drop in gold futures on the Yellen announcement?

‘Tis a puzzlement.

Perhaps explained by that spike in short-term Treasury yields Polly referenced above?

Oct. 9, 2013, 12:37 p.m. EDT
Gold futures fall sharply as U.S. dollar gains
Gold down as traders prefer cash over investing: analyst
By Myra P. Saefong and Victor Reklaitis, MarketWatch

SAN FRANCISCO (MarketWatch) — Gold futures fell sharply on Wednesday on the back of a stronger U.S. dollar, as traders mulled news that Janet Yellen will be nominated to lead the Federal Reserve and awaited minutes from the central bank’s September meeting.

“Gold should have shown some upward bias on the announcement of President Obama’s choice for the new Fed chief, Janet Yellen, who, assuming confirmed, will take over helicopter [Ben Bernanke’s] chair position at the Fed next year,” said Peter Hug, global trading director at Kitco Metals.

 
Comment by Whac-a-Bubble™
2013-10-09 10:00:19

Oct. 9, 2013, 11:52 a.m. EDT
The event to fear the most
Michael’s latest posts
Don’t blame the House, blame the Fed
You’re wrong about 2013 and reflation
The Fed is the last great bubble
By Michael A. Gayed

The only thing we have to fear is fear itself.

—Franklin D. Roosevelt

Major cracks happen in stock markets when they are preceded by complacency, a sense of entitlement, the illusion of stability, and leverage.

In many ways, each of these four have been underway for some time, none of which are due to the incompetency of Washington, and all of which have been built up over the last several months. U.S. stocks have been complacent since January to the obvious and undeniable fact that reflation expectations have failed to confirm the rally.

Entitlement relates to the feeling that money invested in stocks must produce returns in the future with no downside risk, and all reward.

The illusion of stability is the sweeping, emotional feeling that one gets when looking at a “stable” uptrend, assuming that will continue into the future.

It seems to be quickly forgotten that a necessary ingredient to instability is stability and a build up of risks beneath the surface. The most clear way of seeing this build up of risks is leverage. When investors are all in and convinced of their allocations, markets become susceptible to liquidity events driven by margin calls. Selling begets selling as highly leveraged money begins to liquidate, forcing prices lower. Those lower prices result in more collateral needed to maintain leverage, which few often have at the extremes. More market players then sell to raise liquidity, and so on and so forth until a self-inflicted panic in asset values take place.

We appear to be at such a juncture here in the U.S., whereby complacency, entitlement, the illusion of stability, and leverage set us up for a near-term break which could undo much of the gains made this year. Take a look below at NYSE Net Leverage in Margin Accounts dating back to 2003, courtesy of Ryan Detrick at Schaeffer’s Investment Research. Note that Net Leverage is near a historical peak which occurred right before the financial crisis was about the hit.

Comment by Whac-a-Bubble™
2013-10-09 10:14:34

“We appear to be at such a juncture here in the U.S., whereby complacency, entitlement, the illusion of stability, and leverage set us up for a near-term break which could undo much of the gains made this year.”

October has traditionally been the month for such bad breaks to begin.

October. This is one of the peculiarly dangerous months to speculate in stocks.

The others are July, January, September, April, November, May, March, June, December, August, and February.

– Mark Twain’s Pudd’nhead Wilson

 
Comment by Whac-a-Bubble™
2013-10-09 10:17:52

So much for the “flight to quality” bid on Treasurys.

Oct. 9, 2013, 1:11 p.m. EDT
Treasurys holds losses after 10-year note sale
By Ben Eisen

NEW YORK (MarketWatch) — The Treasury Department sold $21 billion in 10-year notes (10_YEAR +0.65%) Wednesday at a yield of 2.657%. Bidders offered to buy 2.58 times the amount of debt sold, compared to an average of 2.65 times at the last six sales. Indirect bidders, a group that includes foreign central banks, bought 38.6%, versus 40.7% in recent sales. Direct bidders, which include domestic money managers, purchased another 21.2%, versus an average of 19.8%. The broader bond market remained lower after the auction. Yields on 10-year notes, which move inversely to prices, rose 2 basis points to 2.658%.

 
Comment by Housing Analyst
2013-10-09 10:20:06

‘Major cracks’ result in massive moon craters.

 
 
Comment by Happy2bHeard
2013-10-09 11:23:44

It looks like a housing bubble in Sweden.

http://www.bloomberg.com/news/2013-10-08/swedish-bidding-wars-fuel-record-debt-politicians-accept.html

The 39-year-old teacher, who needed to move this year after a divorce, lost out on one property after a bidding war sent the price to 2.2 million kronor ($342,000), 70 percent above the starting bid.

Comment by Neuromance
2013-10-09 17:11:22

It’s a glorious world for the bankers where people are desperately fighting to take on more and more debt.

I suppose some may view it as win-win: The debtors happily direct ever larger parts of their income to the lenders, and the lenders are happy to receive it.

Comment by rms
2013-10-09 18:14:00

“It’s a glorious world for the bankers where people are desperately fighting to take on more and more debt.”

+1 And the bankers have a venal government to backstop their losses!

 
 
 
Comment by Housing Analyst
2013-10-09 11:33:09

“Countless homes remain vacant nationwide — but some cities see it as an opportunity to remake themselves”

http://www.salon.com/2013/10/05/abandoned_homes_are_the_future_imaginative_ideas_turn_blight_into_beauty/

The Money Quote:

‘In reality, countless homes remain vacant in both cities and suburbs. Over 10 percent of the 132 million housing units in the U.S. – 14 million homes – were vacant in 2011.

Add another 10 million and we’ll start getting closer to the truth……. with another 35 MILLION that just began to empty as boomers expire.

 
Comment by Housing Analyst
2013-10-09 11:34:53

Oh my word~

Housing Demand Falls 3 Years Straight in Sacramento

http://picpaste.com/pics/f4f10bb710a0cfa21e7b3a95bb0d3ccd.1381273516.png

 
Comment by (Neo-) Jetfixr
2013-10-09 11:43:59

Was going to write a post on how FUBAR this country is, with no hope of being “fixed” for anybody (except maybe the Banksters/1%ers/white collar criminal element). It ended up being too long-winded and disjointed.

All of the Republicans around here are convinced that we need to kill the Federal Government, and put the Socialists/Takers/47%er in their place.
Basically “We need to destroy the country to save it”.

I guess we are going to find out how that works for us. At this point, a deflationary depression, followed up by a Born-Again Christian/Neo-Fascist Banana Republic/Police State seems a highly probable outcome. That, or Norte Mexico.

Guess it’s time to get my resume updated again. Assuming there are any jobs to be had.

I’m getting too old for this $**t……..

Comment by goon squad
2013-10-09 12:11:21

as poet, mystic, and drunk jim morrison once wisely said, ‘i just wanna get my kicks before the whole sh!thouse goes up in flames’

i give it a few more decades before total collapse. we will be fine. your kidz, and their kidz should they choose to breed, will not be.

Comment by Housing Analyst
2013-10-09 12:17:08

We’re much closer than that.

Comment by (Neo-) Jetfixr
2013-10-09 12:32:09

I’m wondering…..

If I kick the bucket suddenly and early, so that the medico-insurance complex doesn’t suck my meager estate dry (by keeping me in the ICU for 4-5 days)…… will my inherited assets be enough to give my daughters a better chance/more options for surviving in “Zombie-land”?

Cash is king. Especially in zombie land.

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Comment by Blue Skye
2013-10-09 14:21:25

fixr,

Ask the girls. Either way they answer you’d be wise not to consider such a thing.

 
Comment by Neuromance
2013-10-09 17:17:04

Having clear instructions for a Do Not Resuscitate is a good idea. Doctors and nurses are trained to do something. If that means applying the paddles when it’s clear you’ll only have a few more days left, make sure they know not to apply the paddles.

 
 
 
Comment by spook
2013-10-09 13:13:38

As poet, mystic and drunk Durante Alighieri once wisely said, “sodomites and usurers share the same circle of hell; one takes something natural and makes it unnatural, the other takes something unnatural and makes it natural.”

 
Comment by Whac-a-Bubble™
2013-10-09 18:17:10

“…should they choose to breed…”

Lots aren’t. Having kids costs a fortune, and plenty of young folks are either deliberately avoiding the costs, or involuntarily forgoing them due to lack of permanent income.

CDC: US Birth Rate Falls to Historic Low
Tuesday, 10 Sep 2013 07:48 AM
By John Morgan

The U.S. birth rate has hit a fresh low, and experts say the poor economy is probably the romance-killing culprit responsible for the decline.

Fresh numbers from the Centers for Disease Control and Prevention (CDC) show the nation’s fertility rate slumped to a record low in 2012, with 63.0 births per 1,000 women of childbearing years. That beat the previous all-time low of 63.2 in 2011.

It takes 2.1 children per woman for a generation to replace itself, or break even in size, and U.S. births have been below replacement level since 2007, according to CNNMoney. American women now give birth to an average of 1.8 children, the CDC estimated.

“If there are fewer younger people in the United States, there may be a shortage of young workers to enter the labor force in 18 to 20 years,” University of New Hampshire demographer Kenneth Johnson told CNNMoney. “A downturn in the birth rate affects the whole economy.”

Read Latest Breaking News from Newsmax.com
Urgent: Should Obamacare Be Repealed? Vote Here Now!

 
 
 
Comment by Suite Joey Blue Eyes
2013-10-09 11:47:44

2Ban, please respond to this data:

Of the highest 254 EBT (food stamp) receiving counties, Mitt Romney won 213.

http://www.bloomberg.com/news/2013-08-14/food-stamp-cut-backed-by-republicans-with-voters-on-rolls.html

Comment by goon squad
2013-10-09 12:17:51

i’ve posted that article in the bits bucket a few times before.

i have never lived in the south (south florida doesn’t count) so i can’t really claim to understand it. i have relatives in pinehurst, nc which is a nice golf community populated mostly by retired northeasterners/midwesterners. driving there from the airport either in raleigh or charlotte feels like crossing a wasteland to arrive at an island of literacy and dentistry.

 
Comment by (Neo-) Jetfixr
2013-10-09 12:51:15

If it’s anything like around here, it correlates more with the percentage of Republicans/Faux News watchers.

Because everybody on these programs are abusing it. Just ask them.

Like all EBT card users have Obamaphones and new Cadillacs. Assuming there is such a thing as an Obamaphone (I’ve never seen/heard of anyone owning one), it never occurs to them that maybe a phone subsidy is worth it, if it means that said phone owner can get/keep a job.

Or that maybe that Cadillac/new SUV was purchased when the guy had a job, or he needs reliable transportation to keep the crappy job he has. It’s like nobody should draw the first cent of government aid unless they are homeless and destitute.

Auditors/Inspectors could investigate abuses. But Republicans aren’t really talking about “investigating” anyway. That would require inspectors to be hired and a budget developed, aka “bigger government”.

Their preference is to do away with the program completely, and let everyone boot-strap their way to prosperity. But you will never get them to say it.

Comment by oxide
2013-10-09 13:39:27

Of course not. Because then they’d have to bootstrap themselves into prosperity, like Dad did in the Good Old Days. They apparently don’t quite understand that the only way that Dad “bootstrapped” was by joining the good old working class union.

Comment by mathguy
2013-10-09 17:41:05

So you’re not saying there is a problem with Walmart, you are saying these jerks working at walmart are the problem for not forming a union.. Oh i see. Problem = low pay, bad working conditions, solution = union, oxide says “more government!”

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Comment by 2banana
2013-10-09 13:37:46

I have responded several times in the past to the same exact question.

Do you have ANY data on those that receive food stamps and how they voted?

Or if they even voted at all?

Or do you just want to post anything that supports you leftist view of the world even if there is no linkage to anything in reality.

He look - more child molesters lives in democrat district therefore all democrats must be child molesters. Gee, such fun with statistics.

And why do liberals whine and cry if ANY inefficient federal government rate of GROWTH get slightly cut???

Can we slightly cut ANYTHING with the calls of hypocrisy (because if a republican who paid 40 years into Social Security dares apply for it he must be a hypocrite) and/or the US turning into Somalia overnight (and starving kids and throwing grandma in the street)?

Or do we just turn into Greece one day and have it cut 100% overnight? And you will be the first to say “no one could have seen this coming.”

Comment by MightyMike
2013-10-09 14:59:16

If anyone claims that a small cut in a federal program is going to turn us in to Somalia, that would be nonsense. However, it’s unlikely that you can find anyone making such a claim in Congress, the left-wing media or this blog.

On the other hand, claims that we’re on a path towards becoming like Greece are equally nonsensical and you and your ilk make them on a regular basis.

Comment by mathguy
2013-10-09 17:45:55

This might be the funniest post I’ve seen all day … ” no , *no one here who is liberal brings up somalia*

totally us vs them… the somalia thing has some ring of truth. so does the greece thing… accept that you’re getting called on a weakness in your argument.

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Comment by MightyMike
2013-10-09 18:09:34

You’re using quotation marks but putting words inside them that I didn’t write. That’s a good one. I didn’t write that no one here brings up Somalia. I wrote that no one brings it up in response to a suggestion to make a small cut to a program. This was in response to banana’s question “Can we slightly cut ANYTHING… US turning into Somalia…? ”

What is the problem? It’s hard to imaging that your reading comprehenstion is that bad. I think that you have a problem distinguishing the world as it exists from the world as you would like it to be.

 
 
 
 
 
Comment by Housing Analyst
2013-10-09 11:53:11

Resale Housing Purchase Applications Crumble Again

http://usfinancepost.com/current-mortgage-rates-of-1092013-refinance-applications-up-new-purchases-down-8205.html

As if housing demand at 1997 levels isn’t enough… it’s going lower.

 
Comment by phony scandals
2013-10-09 13:56:23

Blind man beaten on Philadelphia street, police video showsBy Julia Talanova, CNN

updated 9:36 AM EDT, Wed October 9, 2013

(CNN) — A video showing a blind man being repeatedly kicked and stomped by an unknown assailant was released by the Philadelphia Police Department Tuesday.

The 33-year-old victim was walking down the street around noon on October 2 in Philadelphia’s Southwest Germantown neighborhood when the suspect looked in his direction as he was approaching, according to police.

The grainy police surveillance video shows the suspect laying down his backpack near a corner shop after he spots the victim.

The video goes black, and the next moment shows the victim being pushed to the ground and repeatedly punched, stomped on and then kicked about four times by his attacker as witnesses watched.

One man is seen crossing the street mere steps from the beating, and he continues walking.

After the suspect finishes assaulting the blind man, he picks up his backpack and walks away, leaving the victim helpless on the ground with injuries to his head and face, according to police.

Philadelphia police spokeswoman Officer Tanya Little said it was not clear whether the suspect knew that the victim was blind. The victim told police he did not recognize his attacker’s voice.

http://www.cnn.com/2013/10/08/justice/pennsylvania-blind-man-beaten/ -

Comment by goon squad
2013-10-09 16:48:11

“If I had a son, he’d look like Trayvon” - President Barack Obama

Forward

 
Comment by rms
2013-10-09 16:49:17

Maybe the blind guy didn’t acknowledge his negro assailant and bow with respect? Thus, he got stomped. And good thing there wasn’t an under cover detective there, or he might have had his nutz stomped too. :)

 
 
 
Comment by Whac-a-Bubble™
2013-10-09 18:21:01

Are the Republicans about to cave?

Comment by Whac-a-Bubble™
2013-10-09 18:26:57

It seems like the anti-Obamacare meme meme (e.g. “Not just one of the most insidious laws ever created by America, which has Jim Crow and slavery on its resume of laws, but by man, putting Obamacare up with the Nuremberg laws, the Spanish inquisition and prima nocta.”) is failing abysmally.

 
Comment by Whac-a-Bubble™
2013-10-09 18:27:57

As Pressure Mounts, House G.O.P. Weighs Short-Term Debt Deal
By JONATHAN WEISMAN
Published: October 9, 2013

WASHINGTON — House Republicans, increasingly isolated from even some of their strongest supporters more than a week into a government shutdown, began on Wednesday to consider a path out of the fiscal impasse that would raise the debt ceiling for a few weeks as they press for a broader deficit reduction deal.

That approach could possibly set aside the fight over the new health care law, which prompted the shutdown and which some Republicans will be reluctant to abandon.

In a meeting with the most ardent House conservatives, Representative Paul D. Ryan of Wisconsin, the chairman of the House Budget Committee, laid out a package focused on an overhaul of Medicare and a path toward a comprehensive simplification of the tax code.

“We’re more in the ideas stage right now,” said Representative Jack Kingston, Republican of Georgia and a senior member of the Appropriations Committee. “There is a developing consensus that this is a lot bigger than an Obamacare discussion.”

 
Comment by Whac-a-Bubble™
2013-10-09 18:31:05

It’s gonna be kind of hard to back down from that limb at this point, but that won’t stop the GOP from trying there best.

GOP dropping Obamacare in shutdown debate?
By Tom Cohen, CNN
updated 5:27 PM EDT, Wed October 9, 2013

Washington (CNN) — Forgive President Barack Obama and Democrats if they are getting confused by the tactics of House Speaker John Boehner and his Republican caucus.

After prompting a partial government shutdown by trying to undermine Obama’s signature health care reforms, GOP leaders now are focused on spending cuts elsewhere in their demands for agreeing to fund the government and raise the federal borrowing limit.

Boehner, who earlier this year told his GOP colleagues that he was finished negotiating one-on-one with the president, now pleads for Obama to sit down for what he calls a “conversation” on how to reopen the government and prevent what would be the first-ever U.S. default as soon as next week.

But when Obama invited the entire House Republican caucus to the White House as part of a series of meetings with legislators, Boehner’s office responded that only the GOP leadership and committee chairmen would attend the Thursday gathering.

“It is our hope that this will be a constructive meeting and that the president finally recognizes Americans expect their leaders to be able to sit down and resolve their differences,” said a statement by a Boehner aide.

Obama’s invitation was intended to demonstrate outreach to Republicans on the ninth day of the partial shutdown and just eight days from when the Treasury says Congress must increase the federal debt ceiling or risk default.

 
Comment by Whac-a-Bubble™
2013-10-09 22:03:48

Reporting on Politics and Policy.
Oct. 9 2013 4:59 PM
Signs of a Possible Republican Cave
By David Weigel
Paul Ryan’s here to clear this all up.
Photo by Mark Wilson/Getty Images

The “clean CR” and “clean debt limit” discussions are interlocking and confusing and often misleading. There are not very many Republicans ready to vote, right now, for a continuing resolution or debt limit hike that works the way such things normally work. Most of the members on record for “clean” deals want to create space for a negotiation, while avoiding a crisis. That, I think, is what Dana Bash discovered from this anonymous GOP House member.

The Republicans may be willing to go for a short-term debt ceiling increase as long as the president agrees to use that time to negotiate, the source told CNN Chief Congressional Correspondent Dana Bash. How long is short term? This GOP source said maybe four to six weeks.

 
Comment by Whac-a-Bubble™
2013-10-09 22:07:14

Paul Ryan’s Obamacare omission, and four other morning reads
October 9, 2013, 9:59 AM
Paul Ryan says not a word about Obamacare.

Rep. Paul Ryan lays out in The Wall Street Journal how his fellow Republicans can end the debt-ceiling standoff with Democrats. The House Budget chairman notably leaves out changes to the president’s health-care law, something other Republicans have been clamoring for.

 
Comment by Whac-a-Bubble™
2013-10-09 22:10:30

Money & Politics
End Game: John Boehner Doesn’t Even Have to Cave

October 8, 2013
by Joshua Holland

Seven days into a government shutdown, and 9 days away from a potentially catastrophic breach of the nation’s debt limit, and the question everyone is asking is: who will blink first?

The White House says that it absolutely will not negotiate over a debt limit hike. They see it as imperative to delegitimize the tactic of using the threat of default to squeeze policy concessions out of the majority once and for all. For the administration, this is much more than a partisan spat – they see this series of forced crises as a fundamental threat to our democratic system, an approach that has the potential to permanently alter the balance of power between the White House and Congress, and between the House and the Senate. They believe that if they give anything substantial to House Republicans in exchange for a short-term deal funding the government, we’ll just end up in the same situation a few months from now. Lurching from showdown to showdown will become a new norm in Washington, DC.

The only way to delegitimize nullification-through-brinksmanship is to force the GOP to back down without winning anything (or without winning anything more than a symbolic, face-saving concession that everyone will see as such).

On the other side, Speaker John Boehner (R-OH) can’t get his caucus to vote for anything that doesn’t win them significant policy concessions. “We’re not going to be disrespected,” Rep. Marlin Stutzman (R-IN) said last week in a much cited interview. “We have to get something out of this. And I don’t know what that even is.”

 
Comment by Whac-a-Bubble™
2013-10-10 00:08:17

Domestic Policy
Is Wall Street Dems’ secret weapon in shutdown stalemate?
By James Rosen
Published October 09, 2013

Conversations with a number of Democratic leadership staffers, on both the House and Senate sides, suggest that as the partial shutdown grinds on, Democrats continue to believe that time is on their side — not least because they believe they maintain in reserve a powerful, and somewhat surprising, ally: Wall Street.

“Come October 14, 15, 16 – those days right before the debt ceiling [reaches its expiration, on October 17] – there is going to be intense pressure on Boehner to cut a deal,” said one senior Senate Democratic staffer. “Because his allies on Wall Street and in the Chamber of Commerce are going to be turning on CNBC and Fox Business and seeing how rattled the markets are by the prospect of default.”

Further forcing House Speaker John Boehner’s hand, these Democrats allege, are his own prior statements, both in public and to concerned business groups, that there will not be a default, and the polling to date. Specifically, the Democrats point not only to current polling but to the surveys that accompanied the eventual reaching of a deal on the debt ceiling back in 2011. They say their review of polling data from two years ago shows that as a default becomes more possible, with the passage of crucial time, the public becomes more informed about it and more alarmed by it.

These staffers dismissed the new Moody’s report – which asserts that there is no direct linkage between the expiration of the debt ceiling and “default,” per se, and accordingly no direct linkage between the debt ceiling expiration and the “creditworthiness” of the United States – as “an outlier … not aligned with the consensus position.”

On the House side, Democratic leadership sources said they have done all they could to provide cover for Boehner to cut a deal.

“At this point, we are identifying all mechanisms, vehicles, motions, whatever you want to call it, to bring this to an end and remove all the barriers for House Republicans to play their role in doing so,” said a top House Democratic leadership aide. “But at the end of the day, he’s going to have to find his own way out of the box he’s painted himself into.”

 
 
Comment by Whac-a-Bubble™
2013-10-09 18:32:50

Is a later taper on the table?

Oct. 9, 2013, 2:39 p.m. EDT
Minutes show Fed still sees taper this year
By Greg Robb, MarketWatch

WASHINGTON (MarketWatch) — Most members of the Federal Reserve still thought that it would be appropriate to scale back its stimulus program this year, even as the central bankers decided to hold off moving in mid-September, according to the minutes of the meeting released Wednesday.

A majority of Fed officials arrived at the meeting still thinking that it would be appropriate to begin tapering the $85 billion bond purchase program this year and end it completely by the middle of 2014, the minutes showed.

Ian Shepherdson, chief economist at Pantheon Macroeconomics, said he didn’t think the data would support that timetable.

“FOMC members still expect to taper this year. Good luck,” he said.

Comment by Whac-a-Bubble™
2013-10-09 19:15:08

She’s Obama’s pick, and the Republicans darst not attack her.

ft dot com
Last updated: October 9, 2013 10:26 pm
Fed split highlights Yellen’s tough task
By Robin Harding in Washington

Policy makers at the US Federal Reserve were split over the merits of slowing its $85bn-a-month asset purchases in September, highlighting the difficult task facing Janet Yellen as she prepares to take the chairmanship of the central bank.

Calling her “one of the nation’s foremost economists and policy makers”, Barack Obama nominated Ms Yellen to the most powerful job in the world economy in a ceremony at the White House, just one hour after the release of the minutes.

“She doesn’t have a crystal ball but what she does have is a keen understanding of how the markets and the economy work,” said the president. “She’s tough, and not just because she’s from Brooklyn.”

The minutes showed why Ms Yellen will need that toughness as she seeks to forge consensus at the Fed. It was split down the middle on tapering in September between policy makers who felt the economy was still too weak, and those who felt a decision not to taper would cost their credibility.

“Conditional on their respective economic outlooks, most participants judged that it would likely be appropriate to begin to reduce the pace of the committee’s purchases of longer-term securities this year and to conclude purchases in the middle of 2014,” the minutes said.

But they offered little clarity on what economic conditions would trigger a taper. Mounting concern over gridlock in Washington and the risk of a US default mean that the Fed’s views from mid-September may already be out of date.

Markets were taken by surprise last month when the Fed chose to keep its purchases unchanged, prompting a rally in stocks and bonds, and flows of capital back into emerging markets at the time.

Ms Yellen’s nomination will now go the Senate, where she is expected to be confirmed. She would be the first woman to lead the Fed.

“I’m honoured and humbled by the faith that you’ve placed in me,” a smiling Ms Yellen told Mr Obama. She said the economy had made progress, but still had further to go, and that the Fed could help.

“The Fed has powerful tools to influence the economy and the financial system, but I believe its greatest strength lies in its power to approach important decisions with expertise and objectivity,” she said.

Mr Obama also paid tribute to Ben Bernanke, the outgoing chairman, saying that he had led “the Fed through some of the most daunting economic challenges of our lifetime”.

 
 
Comment by Whac-a-Bubble™
2013-10-09 19:28:36

Hog farmers hope shutdown ends before pigs fly
FREDERIC J. BROWN/AFP/Getty Images
Pigs are seen in a pen.
Interview by Kai Ryssdal
Marketplace for Tuesday, October 8, 2013
Manufacturing work in the shutdown: ‘Like being held hostage’

The government shutdown is tough on all sorts of businesses. Did you know the gridlock in Washington was harming hog farmers?

Brian Duncan raises hogs in Polo, Ill. He says nowadays, the going price for the sale of hogs in America is determined using a formula based on just a sampling of the nation’s pig population.

Without the government data that produces that formula, producers are forced to use private source data to set the rate. And since that data is only based on different cuts of the hog — hams, loins, ribs — packers and producers are having to work backward in order to set prices.

“The value of each of those pieces is compiled and every day we see cut out data which equates back to the price of the hog,” Duncan says. “We don’t have slaughter data available to us. We don’t know how many hogs are being killed a week.”

Duncan says it’s impossible to know whether he’s getting paid too little — or even too much — for his hogs.

“We’re really flying blind here,” he says.

 
Comment by Whac-a-Bubble™
2013-10-09 19:42:56

My wife volunteered me to help somebody move into the home they just purchased this weekend. So rumors the San Diego housing market has shut down are greatly exaggerated.

 
Comment by Whac-a-Bubble™
2013-10-09 19:44:04

Now that the real estate people are complaining about the shutdown, I expect it to end in a matter of hours.

Comment by Whac-a-Bubble™
2013-10-09 19:45:05

How The Shutdown Is Hurting The Housing Market
by Alan Greenblatt
October 09, 201312:15 PM
If interest rates go up due to the fear or reality of a debt default that would have major consequences for real estate sales.

If interest rates go up due to the fear or reality of a debt default that would have major consequences for real estate sales.
Steven Senne/AP

As with so many other types of economic activity, the government shutdown is causing more fear than actual harm in the housing market thus far.

But that doesn’t mean things won’t start going wrong in the very near future.

Various federal agencies play greater or lesser roles in real estate transactions. With most of them sidelined, simple matters such as closing on mortgages are becoming more complicated.

“It’s going to add up pretty quickly, because loans can’t be closed in many cases,” says Mark Zandi, chief economist for Moody’s Analytics, a financial research organization. “The damage is going to start to mount and in a few days it’s going to be a significant problem for the housing market.”

The market, which had grown more robust over the past couple of years, was starting to cool off this fall anyway, due to rising prices and interest rates.

If interest rates go up due to the fear or reality of a debt default — and the costs for short-term treasuries are already starting to spike — that would have major consequences for real estate sales.

“This government shutdown, which is an artificial obstacle to the recovery, is clearly not a good thing,” says Lawrence Yun, chief economist for the National Association of Realtors.

 
 
Comment by Bill, just south of Irvine, CA
2013-10-09 19:59:30

Wow - my stock assets are falling faster than a pair of panties in the Oval office in the late 90s!

Buying opportunity?

Comment by Whac-a-Bubble™
2013-10-09 20:08:00

Any time any asset price drops, it is a buying opportunity.

 
 
Comment by Patrick
2013-10-09 20:07:05

That earlier article about Chippewa - UB ?

If so, what years?

 
Comment by sleepless_near_seattle
2013-10-09 22:19:00

If anyone still follows Schiff, he’s going to have that Hanson guy (from yesterday’s thread predicting -20% gains in the housing market) on his radio show on Thursday.

Comment by AbsoluteBeginner
2013-10-09 22:47:20

Thanks for the heads up. Schiff is now on KFNN:

http://www.moneyradio1510.com/Program-Schedule/379/Peter%20Schiff%20Show

He is less fluff than Kudlow. I think he has self-interests but at least he is not telling me I am a great American.

 
Comment by Whac-a-Bubble™
2013-10-10 00:00:30

Maybe housing is completely different than stocks, but empirical asset pricing research shows that periods with low dividend-price ratio (aka rent-price ratio in the case of housing) portend low future returns (aka losses). Thanks to the recent success of QE3 in driving housing prices up at historically rapid rates of increase, plus rising interest rates driving down mortgage-financed home buyers’ purchase budget constraints, we are currently reentering just such a period of low rent-price ratios.

If I were a betting man, I would bet that housing isn’t much different than stocks, aside from a much slower rate of equilibrium adjustment, and hence that a period of resumed housing losses lies ahead.

History has been unkind to periods of low risk premiums.

– Alan Greenspan

 
Comment by Whac-a-Bubble™
2013-10-10 00:02:19

A Lonely Housing Bear Predicts a Big Tumble
By Lewis Braham - Oct 7, 2013 8:18 AM PT

Talk to Mark Hanson about the housing market for five minutes and you may find yourself wanting to sell your home and park the cash in a suitcase.

The Menlo Park, California, real estate analyst, blogger and founder of consultancy Hanson Advisers predicts a decline of 20 percent in housing prices in the next 12 months. Half the gains since the latest housing bottom in 2011 could be erased in the hot areas — Florida, California, Nevada, Arizona and Georgia — by rising interest rates and a thinner herd of speculative private-equity buyers, he says.

Less bearish real estate experts such as Stan Humphries, chief economist at Zillow and a Hanson fan, also see signs of froth. Existing home sales jumped 6.5 percent to 5.39 million this July, their highest level in three years. In August those sales fell 1.6 percent despite a surge in 30-year mortgage rates — a move Humphries says was healthy because the market needed to cool off, and that relatively mild reaction showed there was still buying in the face of rising rates.

 
 
Comment by Whac-a-Bubble™
2013-10-10 00:03:19

This is a total bummer.

Comment by Whac-a-Bubble™
2013-10-10 00:04:43

Turkey Cracks Down on Cleavage
By Marc Champion Oct 9, 2013 8:29 AM PT

How do you know whether a regime that frees women to wear Islamic headscarves at work is liberal and furthering democracy, or Islamist and restricting it?

The question concerns Turkey’s government, which in the space of a few days has ended a headscarf ban for civil servants (except in the judiciary and security services), but also caused a female TV music-show presenter to be fired for showing too much cleavage.

The headscarf ban was a piece of unabashed social engineering introduced in the 1920s to make Turkey, the rump of the former Ottoman Empire and Islamic Caliphate, secular. If you are liberal and not Islamophobic, ending the ban is a good thing: Women should not be excluded from the workplace just because they are devout and believe this requires covering their hair, period.

 
 
Comment by Whac-a-Bubble™
2013-10-10 00:21:45

ft dot com
October 10, 2013 6:26 am
Chinese premier outlines US debt concerns
By Simon Rabinovitch in Shanghai and Ben Bland in Bandar Seri Begawan, Brunei

Chinese premier Li Keqiang has expressed concern to the US over its debt-ceiling debate, while other Asian leaders have said they are taking steps to deal with the risk of an unprecedented US default.

Mr Li said China – the biggest foreign holder of US government bonds – was paying “great attention to the US debt ceiling issue” in a meeting with John Kerry, US secretary of state, at an Asian summit.

The brief comments, published on the official government website on Thursday, are the highest-level Chinese statement to date about the US debt discussions.

Mr Li’s meeting with Mr Kerry was itself a reminder of the political impasse in the US. President Barack Obama was supposed to attend the conference of southeast Asian nations in Brunei, but remained in Washington because of the budget crisis.

Facing an October 17 deadline to raise the country’s borrowing limit and with large parts of the US government already shut down, Mr Obama has stepped up talks with Congress about crafting a short-term agreement to at least temporarily break the deadlock.

For China, which has roughly 60 per cent of its $3.5tn foreign currency reserves invested in US assets, the debt debate in Washington makes for uncomfortable watching.

The fear is that a default would pummel the value of China’s holdings of US government bonds, cause collateral damage to its other US investments by hurting the dollar, and deal a blow to the fragile global economic recovery.

Earlier this week Zhu Guangyao, China’s vice finance minister, called on politicians in Washington to “ensure the safety of the Chinese investments” in the US. Mr Zhu also said that in the event that the US fails to raise its borrowing limit, Washington should prioritise making interest payments to bond holders.

 
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