Wednesday, April 29, 2009

100 days-only 1360 left!

Fox has decided not to air Obama's primetime infomercial and instead run it's scheduled program called "lie to me".Sure sounds like the other networks will be airing the same show!

I wonder if any serious injuries or deaths were caused by the fly-over jamming the 911 lines?If I got a busy signal,I'd make my next call to Geoffrey Fieger.Can we get the $328,000 wasted on this debacle deducted from the Presidents budget?

The picture of the White House intent for the automakers is certainly becoming clear now.The legacy costs for VEBA are being transferred to the taxpayers in an effort to relieve both the Big 3 and the UAW from the burden and thus allow them to be cost competitive with the foreign automakers going forward.The price tag for this is caving in to the Feds on product selection as we will now be producing the "green" small cars the climate change crowd demands even if they don't sell.Wagoneer wouldn't play ball by focusing on the SUV's that were profitable and the public demanded so he's out.Ford will be forced into compliance thru the back door as the UAW writes the labor contracts for all the Big 3 and they are about to become the primary owner of GM and Chrysler.Even though Ford looks good today because they didn't take any bailout money,they will be pressured into adherence thru the threat of labor.

How important did the Ted Stevens travesty just become?Or Norm Coleman?Even though Specter was a psuedo Republican like the Maine Senators and John McCain,it's still a big deal for the liberal agenda.If anyone didn't think Obama was in hard left mode before,just sit back and watch now.Can he get cap and trade and health care in his first year now?What will he do for an encore?

Janet says we can't call it swine flu now.That's okay.I considered swine flu anytime Congress passes a spending bill!More to come...

Tuesday, April 28, 2009

Fly-by debacle-why no global warming outrage?

A photo-op for Air Force One?Why?For brochures for prospective passengers?I can't seem to come up with a legitimate reason as to why this is in anyway necessary.And the bigger question?Why aren't the climate change freaks screaming bloody murder over the carbon footprint from this waste of fuel,the corresponding pollution,un-necessary warming of the atmosphere,etc.?And what about the logistics required to accomplish this seemingly innocent little flight?The manpower required to arrange it?What about the lost productivity from the un-necessary evacuations from the traumatized New Yorkers watching in horror?

We could go on and on about the detrimental fallout from such a huge PR gaffe.I do have one question.Who will be fired first,the fall guy in the White House responsible for the fly-by or the doomed techno-geek who allowed the Obama tele-prompter to screw up and make him look bad?I vote for the latter as that is far more egregious offense.More to come...

Monday, April 27, 2009

The real unemployment number-15.6%

The Bureau of Labor Statistics uses an alternative number to report unemployment which is almost never reported.It includes the total civilians unemployed plus discouraged workers plus marginally attached workers plus the total employed part-time for economic reasons.It's not an official number because the subjective results are somewhat based on surveys of these workers and is not simply a hard fact.

As of March,2009,it stands at 15.6%.Discount it if you wish,but I think it's safe to say the official number of 8.5% is too low.Obviously,the number of illegal workers,self-employed and those working for cash would also raise this number to some point that can't be calculated fairly.Again,the true number is always higher than what is officially reported.No administration will use any high end estimate,however,as it's a reflection on the effectiveness of their policies.Obama has actually come the closest as the threat of high unemployment was used as a tool to ram thru the stimulus package as an emergency.More to come...

What is a certain level of taxation?

There have been several mediums lately where I have heard that we should pay a certain level of taxes or a fair amount of taxes.This leads to the general misunderstanding with the intent of the tea parties.Are there those involved with the tea parties with a greater agenda?Of course.But the genesis behind the movement remains the same.Outrage over excessive,wasteful Government spending.I don't hear any fair thinking people stating that we should rescind all taxes.Only that accountability and restraint must be vastly improved and that Government must live with-in the means that we provide.

What is the certain level of taxes Americans should pay?I see people confusing two different areas of concern into this question.What is a fair level of taxes we all should pay in total and what is a fair amount for each person.These are two different animals.You must also address the issue of the legitimacy of an income tax at all.Where is it written and why is it fair that our personal income is taxed?16th Amendment,I know,but what is the reason for taxing personal income you earned with your hard work?Government requires a certain level of revenue in which to provide the services we require of it.We want schools ,infrastructure,national defense of course.The seemingly limitless list of other Government programs is a pandora's box of debate on which is required,which is nice to have,which is in place for political purposes,etc.It's safe to say that whatever level of funding we provide our Government to utilize,it will be spent.So the question cannot be how much does Government need,because the amount has no limit.Take any Government agency such as a school system and ask them if they have adequate funding.Of course the answer is no as they will provide a laundry list of critical items necessary for the program in which they don't have the money.

We paid in over $1.2 trillion in personal income taxes in 2008,about half of all revenues.Roughly $900 billion came in from payroll withholding taxes and about $350 billion in corporate taxes.Obama just submitted his budget for $3.6 trillion.Rather than Government looking for ways to trim expenditures down to match receipts,they look for ways to make up the shortfall.You end up with pathetic token gestures like the $100 million cut out of his budget proposal as a political move.The $1.2 trillion we paid in personal income taxes equates to a little over $7,000 per taxpayer.This becomes the magic number.What should it be for each American,on average,to be paying this mythical certain level of taxes that the majority would qualify as adequate?

Much of the Liberal argument is based on those with means paying a larger share.If your true goal is a scenario in which the tax burden is fairly spread out amongst all taxpayers,shouldn't each taxpayer pay the same amount regardless of income?We each get only one vote.We each have the opportunity America provides for financial success.We can't even visit the notion of equality here as the disclaimers for race,sex,ethnicity,religion,physical impairment,etc. are far too vast to weigh each one fairly against a baseline.I simply don't agree with any argument that any one person should pay a greater or lesser share than his or her neighbor.A persons net worth simply shouldn't be a factor if we are truly looking at just the fact that each American taxpayer is equal to the next.We all utilize Government provided functions in a widely ranging manner.For example,I may drive thousands more miles than my neighbor,but he may use the library daily when I never go there.So you can't base it on your own unique needs.

We are about $1.15 trillion short of the amount Obama has budgeted for in 2010 if the other taxes collected remained unchanged.We took in $1.2 trillion in 2008 so the average amount for each taxpayer would have to nearly double to almost $14,000.Is this fair?Is this enough to pay for good roads and schools and have a strong military?Is it enough to also cover all of the other programs in Government regardless of their merit?

Let's say the average personal income is $30,000.The current average number collected is $7,000,or about 23%.If you use the shortfall make-up number of $14,000 in Obama's budget,it's about 46%.Remember,this is just the Federal budget,not including state and local.

We have a progressive income tax system with 5 different rates.This is in theory to overcome the penalty paid by lower wage earners.Even with a flat percentage of income going toward taxes,the lower wage earner is penalized more because they spend a greater amount of their total income on the cost of living.If I make $30,000 and spend the 23% on taxes,I only have $23,000 left.If I make $300,000,I would have $230,000 left after taxes and this is the logic of unfairness.Here is where the debate opens on if it's fair for one person to achieve more financial success than another,assuming equal work productivity.

So many questions to answer.Is it fair for one to have more than another?Should one be taxed more than another?You must answer to ever get to the question of what is a fair certain level of taxes to be paid.I say we must determine what functions our Government should provide as determined by the Constitution.Decide that and then you set a budget for those functions that Government must live under.This is the magic number used to answer all of these questions and would be contested forever.Next,if it's decided that a personal income tax is the primary funding method of choice,set the percentage.Each taxpayer should then pay an equal share.Period.That is ultimately the only fair way for each individual American taxpayer with one vote to be equally burdened.The key is reducing spending to only what is required which will greatly reduce the average amount per taxpayer.If you earn more than average,good for you,you get to enjoy the fruits of your labors.Could this ever happen?Highly unlikely.Yet,if people want to keep throwing around the argument of a certain minimum level of taxation,it must be determined in a manner fair to all.More to come...

Swine flu hysteria?Why not Liberal hysteria?

It's just amazing to me the speed with which the latest pandemic craze is sweeping the globe.Don't go out in public,wear a mask,wash your hands.Great stuff,hopefully most people comply and this will go the way of the dodo bird soon.

Why can't people get as excited about their freedoms and childrens futures being flushed down the toilet for a politicians ideology?This has been a perfect storm as Obama came on the scene at just the right time with the country craving change in any form.We are now putting in place policies for which we will pay a heavy price for who knows how long.

When you examine the damage taking place in just 100 days,can you imagine what will occur after 1 year?Or 4 years?Or 8 years?We've seen a few chinks in the Obama armor,but nothing to reverse course.We need the swift and bold action that Obama loves to speak of,only it's needed to stop him before it's too late.Many will say that is crazy talk,that Obama can't do that much as he's only one man,that the American economy is resilient and always recovers.Do you think that kind of thinking was prevelant in some of the dynasties of the past?Aztecs,Incans,Romans,Egyptians to name a few.Certainly they did not see the end of their empires in front of them until it was too late.

The American success story draws many reactions around the globe.Jealousy,hatred,admiration.The fact is no one on the planet can say they have experienced what we have in the last 232+ years,and there is no shortage of enemies who would love to see our reign come to an end.Obama is opening doors and encouraging them to walk right in with some of the policies he's implementing.It's not a global conspiracy theory,simply human nature.I would hope that vastly more people will take this seriously soon,in time to still stop it.More to come...

Saturday, April 25, 2009

100 days-had enough yet?

President Obama is marking his 100 day anniversary with a chest thumping celebration on all the major networks.The fact that the media is giving up an hour of primetime during sweeps for yet another Obama campaign style speech shouldn't surprise.The well documented love affair by the media will certainly continue onward.We'll hear a thorough accounting of his achievements in the face of unprecedented peril most of brought on by the policies of the previous administration.And we'll hear how much more we have to do and that Obama will need our support and patience to help the country recover.You'll hear a not very detailed plan on climate change,healthcare and a few other agenda items on which we'll have to take bold action.It's always bold action,acting swiftly,bi-partisan and the other talking points.And it will sell as Americans eat this stuff up.They crave anything positive at this point.The stock market will go up as will his poll numbers with the gushing media reviews sure to follow.The Conservatives are faced with taking the opposing viewpoint based on principle.While this is the correct thing to do,it will be difficult to garner broad based support.

It's time to ratchet up the opposition anyway.A large portion of the detrimental effects of the Obama policies won't be felt until later.The more severe downturn in the economy doesn't happen until at least 2010 as much of the toxin still hasn't shown it's ugly face.Such as the ARM's that won't adjust until next year causing a new round of foreclosures.The commercial mortgage market and unsecured credit markets still haven't surfaced yet.With the normal lag in the unemployment recovery after a recession,this will align it with the stimulus temporary construction jobs winding down and force another retreat in unemployment.We haven't started to pay the increased interest costs yet for the massive Federal debt expansion which will be a drag on the budget for many decades.Deflation will continue followed by a rapid rise in inflation and then stagflation as the Fed tries to artificially manipulate the market with interest rates.The future costs of military engagements cannot be calculated,however,one can be assured they will come.Factor in the tax increases that Obama won't have any choice about implementing.Also there will be a huge backlash in Medicare as he implements his reforms which will severly limit eligibility and payouts in an effort to control costs.The carbon tax or cap and trade or a combination of both will most likely roll out in FY2010.

All of these factors and the myriad of other agenda items and bailouts and furthur stimulus measures spell a crushing blow to the American economy.Much more drastic measures to counteract his policies are necessary and soon.I wouldn't say anything is on the table yet,but the jury is still out.More to come...

Friday, April 24, 2009

The NASCAR President!

Why you may ask?Because all he can do is turn to the left!

I just read an article from Fox declaring bi-partisanship dead after Obama opened the CIA investigation options.Huh?When were we experiencing this bi-partisanship?I don't think there's any dispute that Obama has gone hard left on virtually every policy decision since taking office.He may throw out rhetoric proclaiming the opposite,but his actions speak otherwise.

The White House is certain to be looking for a way to exit stage left on the CIA issue.It's a hot potato politically with no good outcome possible.Cheney called their bluff and likely has backed them down for now.No way does Obama release all of the documents and open pandora's box.Also,there is no way Obama takes a hit on this either as many would hope.With a one party Government now in place and the media back-up to boot,it's not going to happen.He may throw a sacrificial lamb for slaughter to get the heat off.

I've read that Obama passed his "mettle" test with the pirates.I don't see that as the test,nor was the N. Korea missile launch.That story sure has died without any UN response at all.I would see his test as being Israel bombing Iran.How he handles Israel will be very telling on his true foreign policy initiatives.Or it could easily shift to Pakistan if Israel backs off.Pakistan holds the key to ultimately dealing with Afghanistan.It's hard to imagine that he has the skills to juggle all of these timebombs based on the steady slew of gaffs so far.

Isn't Obama the ultimate insurance scheme?Insurance in any form is usually designed so the healthy pay for the sick,the good drivers pay for the bad,the living pay for the dead,etc.His global vision of equality for all is his wish to simply reboot society and have everyone come out equal on the restart.The human spirit guarantees this will fail.Hitler took a different tact,but failed as have many others over the generations.Will it take 40 years to recover as from the New Deal?We never have fully recovered and his agenda far exceeds Roosevelts in scale.More to come...

Tuesday, April 21, 2009

Why not a revolution?

I think it's high time we get past the stigma that revolution is for extremists only.Will you branded as one if you support this?Of course,but you're branded that simply by attending a tea party or objecting to the Obama agenda in any way.

Is what you've been doing working?Our collective voices against excessive Government spending and high taxation seem fruitless.They inspire us and we feel like we're doing "something" to stop it.We also objected to TARP,to the stimulus,to the budget,etc.What were the results?Zip!Many of the primary enablers have been exposed along the way such as Chris Dodd,Barney Frank,Nancy Pelosi,Harry Reid,Henry Waxman,Timothy Geithner,Henry Paulson,Barack Obama,George Bush and on and on.Tax cheaters?We've exposed them.Bribe takers?Sure,like Dianne Feinstein today.We've all now been told the derivative,sub-prime,CDO mortgage debacle.The Community Re-investment Act.Fannie and Freddie.Moody's AAA ratings scandal.

There is an avalanche of information available to those who seek it and you don't have to be a conspiracy theorist,a Liberal hater or any other mindset to see what has happened.Yet with the cat out of the bag and the guilty parties exposed,what have we accomplished to stop or reverse it?Nothing.The same people are still pulling the strings.No Congressional oversight investigation.No ethics probes.No suspension of funding for the bailout sponges.I literally don't see any tangible results whatsoever.

Bad publicity doesn't slow this train down.Re-election?The old axiom that it's easier to ask for forgiveness than permission holds true here and the fall of 2010 seems a long way off.All of which brings me back to my point.We absolutely need a real revolution.The states touting secession aren't really serious,just getting some pub.The tea parties are a good start,but will need a massive increase in participation to become effective.If Thomas Paine gets his wish and gets a million man march on Washington on July 4th,that would be another step.But to actually enact legislation changes and reverse policies,the effort must be truly spectacular so as to give the politicians no way out at all.They won't pay attention otherwise as you've seen so far.A revolution needn't be violent,but it must be overwhelming to prevent it.It's not just standing up to the bully.We need a Reagan type nuclear deterrent to give them no alternative.The grassroots efforts to date are great,but the hill is very steep to get all the way up.More to come...

Monday, April 20, 2009

Stress test for banks?How about the Constitution?

It seems the Messiah has got himself into a bit of a pickle on the stress test results for the banks.If too much info is released,it could cause several problems.If the info is bad,the bank stock will take a hit and a confidence issue will result.If the info is good,justification for forcing the banks to take TARP funds for nationalization purposes would be a tough sell.Obama hasn't had a good track record thus far on playing the politics correctly.His public approval ratings aside,he keeps leaving the door open for easy criticism of his decisions.Look no furthur than the pathetic $100 million in budget cuts just announced when we are spending trillions.

The media likes to ask the question "where were these tea partiers the last 8 years"?The problem has been the Obama agenda.Previous administrations tried to take away liberty and grow Government dependence in a step process.Obama is trying to hit the homerun and people are taking notice.He has been going past the tipping point and actually awakening the dead protesters.Usually these people just grumble and complain,but don't act.A liberal would never accept this as a legitimate reason as this will continue to be blamed on losers remorse or even racism from idiots like Garafalo.

I've stated previously in these posts,the best thing that the right can hope for is that Obama continue to over-reach.Protocol usually dictates that a new hire like Obama should press thru the most delicate issues in their first year with his perceived mandate still in place.But most administrations don't have a full plate like Obama does.They might attempt a couple of controversial issues.But try pro-choice,gay rights,climate change,2nd Amendment,massive entitlement expansion,nationalization of multiple industries,anti-military,anti-religion,and on and on.That's a liberal dream,but even the Messiah himself only had a 52.7% majority to use as his mandate qualification.Let's see if the 2nd round of tea parties and a march on Washington is a success,and the revolution just might take hold.More to come...

Friday, April 17, 2009

Michigan school bond rating drops to negative

The Michigan School Bond and Loan Qualification Program has just been downgraded to a Aa3/negative rating outlook by Moody's.The state currently has $13.2 billion in debt obligations to Michigan schools.Currently,all debt issued by the State of Michigan has a negative rating by Moody's.

What does this mean?The vast majority of state school districts rely heavily on state aid under the Proposal A provisions.The state must re-allocate funds from other areas as they are Constitutionaly obligated to provide the school districts debt payment assistance thru the School Loan Revolving Fund (SLRF).This can directly affect the bond ratings for school districts and other municipalities and create credit issues potentially.More to come...

Thursday, April 16, 2009

A smashing success!

How do you determine if the Tea Parties were a success?Simple.You just watch the liberal response.They are in lockstep across the country with talking points in hand trying to show the protests were insignificant only attended by extremists.They say the rich,white people are the organizers and supported by the right wing Fox news crew.Exactly what was predicted prior to the events.When they attack with full venom,you know you've connected and struck a nerve.I would call it a home run based on the level of contempt shown by all on the left.

The more extreme,radical,right wing,minority characterizations that fly,the better in terms of the other side taking you seriously.The fear in their eyes is tough to hide.They know they have no argument,so they can't debate.They are only left with standard attack mode.It really is fun to watch regardless of where you stand politically.Just as Obama is going full steam ahead to implement his social agenda while he still has the political capital to pull it off,the right needs to amplify the momentum from the tea parties.If they take their foot off the gas now in fear of looking like the extremists the liberals are painting them,it will be a huge step backward.More to come...

Wednesday, April 15, 2009

Tea Party Day!

Just wanted to report on the local tea party just held here in Lapeer,MI.Approx. 400-500 attended according to the mayor.This exceeded everyones estimates without question.There were readings from the Constitution,Declaration of Independence,patriotic songs were sung by a former Miss Lapeer,statements from former Rep. John Stahl,Rep. Kevin Daley,a representative from Candice Millers office and several local businessmen and citizens spoke.

My personal opinion?There was more politicians involved than was advertised.Anti-abortion was promoted as well as prayer with a pastor speaking.Good stuff,but not what this was supposed to be about.There are a great many issues that deserve our attention in forums such as this,but this was really supposed to be about excessive Government spending and giving local citizens a place to vent.There was some of that,but not nearly enough in my opinion.This is due to the fact the American Family Association was the organizer and these items are central to their cause.

They need to be careful when promoting their entire agenda to prevent any backfiring.Even though most attendees will agree with their stance in most cases,you must stay true to the spirit of the event.The lack of transparency is a huge issue with our elected officials despite what they may pledge,so you don't want to even give the appearance of this to have credibility.Again,it's not that the ideas they were promoting weren't in-line with what the crowd subscribes to,it just wasn't what this was promoted to be.More to come...

Tuesday, April 14, 2009

The battle may be turning positive

In many respects,it's nice to see the battle come to a head over our fiscal policy.Those with Conservative beliefs don't want to see the Liberal agenda imposed on us,of course,but this has to happen and escalate as well.If Obama were to stay closer to center,he would be a shoo-in for 8 years and a more gradual implementation of his ideology.The only thing that could slow the slide into the abyss is what he's currently doing.Over-reaching.He's taking Rahm Emanual's cue and running with it.

The basis of a Liberal agenda has to be a gradual introduction of their ideology.You don't make the public dependent on Government overnight without raising suspicion.The only way it can work is for it to occur without the public realizing it until it's too late.The mid-term elections upcoming seemed way too close to hope for a reversal so soon after the Obama euphoria,but it is looking more likely as we go.I wouldn't discount the idea that Obama is aware of this and has no intention of a 2nd term,thus explaining the extreme push left right out of the gate.

I certainly hope all are doing their homework on what's really happening on how to explain it to your circle of people to spread the facts.Use the Cost of Government Day analysis to explain the depth of our Government financial burden.Tax Freedom Day is is the ideal place to research your elected officials spending is great for knowledge of detailed Congressional will give you the background on your states position relative to others on tax structure.

The knowledge is all right there at our fingertips.We simply need to do our part to educate the ignorant.Many will see the light and act prudently once they are presented with the facts.The Liberals are aware of this threat as evident by their actions.They discount the tea parties as extremists and insignificant as they know that knowledge is their greatest enemy.Obama has actually given us more reason for optimism than we have had for generations with his agenda.I certainly have surprised myself as I had only dark thoughts upon his election thinking a slow death was underway.Too dramatic?Maybe so,but not if you value liberty and objectively assess what is really happening to our country.More to come...

Just some ramblings

The headline blares:3 more ships taken by pirates!Obama just declared yesterday that he would stop this so maybe this is an in your face response.It reminds me of Sam Kinison when he joked about the starving people in Africa and said-Why don't you move where the *&#^ing food is?So,why don't the ships quit going where the *&#^ing pirates are?Is charting a different route than the coast of Somalia impossible?Probably would cost extra money to go out of the way.Would it be more than the ransoms the shipping companies are paying out?

Can't wait to see what the Cost of Government Day will be for 2009.If you haven't heard of this,it's the Americans for Tax Reform extension of Tax Freedom Day to include the cost of Government regulation as well as taxes.Federal+State+Local+Regulation.It's usually sometime in July.

Granholm just extended unemployment benefits to a max of 79 weeks.What a number.A year and a half of benefits.And does anyone honestly think even that far out will show improvement in Michigan with the GM bankruptcy coming up?More to come...

Monday, April 13, 2009

Tax revolt?Wrong direction!

Just watched David Buckner pass out on Glenn Beck simply trying to explain the tax problems.We can't even talk about it without getting sick.The alcoholics rule applies here.You must admit you have a problem before you can fix it.The Obama nation is nowhere near that revelation.Tax reform can't even get off the ground without it.It doesn't matter whether we raise or lower taxes.This only changes how much of the spending is debt.You would need a balanced budget amendment for the tax level to have any effect.

This gets to the root of the problem.Spending,spending,spending.This has to become job 1.We talk about it being out of control but don't act.We talk about taxes being too high but our reform aims are at things like a flat tax or fair tax.These only work to more evenly distribute the tax burden across the population.Great stuff,but won't fix the problem.As an analogy for a consumer,let's say I keep eating out at Red Lobster regardless of what my commission check is each week.The only difference is how much I have to put on the credit card.I'm still over-spending because I shouldn't be eating there if I can't afford it.

It really is an amazingly simple solution.Unfortunately,we aren't all seeking a solution.Not if it takes away our power base.Which is an age old problem that the human race has always had to battle.It's great that we'll have the tea parties.But at some point we must direct our efforts at the real problem,our Government.Remember,our Government is by and for the people.We must take it back so it reflects our will.Many can't stomach the thought of real revolution,but if you think that those with the most to lose will take it laying down,then you've already lost.So,if you have the spine to step up to the plate and fight,then step aside and just enjoy what you're given.More to come...

Friday, April 10, 2009

Economists are in love with Obama also!

It must be a personal thing.I can see the stock pickers touting the bear rally as really a bull.They have skin in the game.Of course,the left will latch onto any positive economic nugget regardless of any basis behind it.For example,home sales are up slightly as they should be with the interest rates and values being dragged down by foreclosures in the area.This doesn't justify a homebuyers market rebound,just people taking advantage of the situation,which is great.

But many others,included noted economists,are jumping in with both feet to race to announce the worst is past and the recession will end by the end of fiscal 2009.They also have skin in the game with their reputations,so it's puzzling that they would throw caution to the wind and get on the bandwagon without sound facts to back them up.Does Obama's rockstar appeal even extend to these people?Do they think they can simply will a recovery by hoping and making brash statements?

If they're Keynesian based,they are locked into the false belief that the Obama policies can actually work.So they must simply ignore the facts and get behind Obama.If one takes into account all factors involved in the economy including fiscal,social and political,you can't come to any other conclusion than failure.You can argue how bad and how long,but when an economic policy is based in false premise,failure is certain.The numbers that are released simply re-inforce what you already know.

So,I get the liberals and the Obama faithful following the false prophet as they should.But the supposedly neutral economists?Apparently they can't leave their political bias out of their rationale either.I mean ,the numbers don't add up.It reminds me of a baseball hitter.He is considered a success when he fails 70% of the time.If you hit .300,you are going to make millions and be considered a good hitter.It's in the way it's presented or the eye of the beholder.Obama is doing the same with quadrupling the deficit and cutting in half and calling that a reduction.Like the store that raises the price 50% on Tuesday and has a 30% off sale on the weekend and you think you got a deal.

I sure hope to see a good turnout to tea party day.It has to be a success to springboard the major change in the publics activism required to really tackle the problem.They have to see some positive results before they jump on-board because they don't want to feel like a minority or extremist.Activism requires fair weather fans.More to come...

Thursday, April 9, 2009

G20 framework

The G20 nations released a communique stating their intent to strengthen the financial system dated 4-2-09.In the body they state that all nations will progressively adopt the Basel II capital framework.These are banking regulations designed to insure banks keep adequate capital on hand to guard against risk.

Sheila Bair is the FDIC chairman.In June,2007,she spoke out against Basel II stating:
"There are strong reasons for believing that banks left to their own devices would maintain less capital -- not more -- than would be prudent. The fact is, banks do benefit from implicit and explicit government safety nets. Investing in a bank is perceived as a safe bet. Without proper capital regulation, banks can operate in the marketplace with little or no capital. And governments and deposit insurers end up holding the bag, bearing much of the risk and cost of failure. History shows this problem is very real … as we saw with the U.S. banking and S & L crisis in the late 1980s and 1990s. The final bill for inadequate capital regulation can be very heavy. In short, regulators can't leave capital decisions totally to the banks. We wouldn't be doing our jobs or serving the public interest if we did".

You can be certain that she will now be in lockstep with Obama on promoting this new Financial Stability Board as a positive action in direct conflict with her previous statement.More to come...

Tuesday, April 7, 2009

Obama providing opportunity?

George Soros is the bad guy?Big corporations are evil?The theme seems to be punish success.Spread the wealth.Now is not the time for profits says Obama.The fuzzy logic.

I certainly understand the politics of the Liberals in their quest to secure their voting block of Government dependent sheep.The view of the public is a bit more puzzling.Class envy accounts for many supporters.The haves and have nots.I was jealous of the guy that invented the pet rock as well.Why didn't I think of that?But I've always had the mindset that I wanted to see success out there.In the company I work for,I want those above me to have success because I know those options are out there for me down the road.

Soros is evil now just like any of the hedge fund guys that are profiting on the economic crisis.We really want everyone to share in our pain apparently.These premises are not good news.That means Americans want the dream to be out there,but in hard times we want everyone to go down with us.There goes the free market principles.If businesses can't fail due to mis-management and poor business models,we don't have a free market.We have fascism.

State sponsored capitalism is fascism.The Government over regulating and controlling all aspects of the market.If companies can become too big to fail and Government must backstop every downturn,the incentive for productivity and efficiency fails.Why make fiscally responsible decisions when you have nothing to lose?

If we have the same philosophy with success,we fail.If you can't succeed without being publicly scorned,would you invest and take risks that are required?If someone is sharp enough to make money off reading markets and trends to spot opportunities,I commend them,not shame them.There were plenty of warning signs and people who did sound the alarm on the housing crisis and all of it's related drama.It was ignored by most.

If we have slipped to the point where you can no longer achieve without guilt,then it's over.We might as well make Obama dictator and go sit in the corner.Let's hope that it's other factors.Blind loyalty,ignorance,defiance,drinking the kool-aid.All are preferable to the previous because you have hope of changing these.

Obama is providing a continuous stream of examples for people to rise up and revolt.As the stripping of our liberty continues,we either get to a tipping point and it all backfires on him,or there will be no turning back.For years,we have had policies that don't reflect our Constitution or our countries citizens best interests.Regardless of which party is in power.So,with Obama trying to hit the grand slam with his power grab,he may be doing us a favor by finally triggering action.

A recession is your neighbor losing his job.A depression is you losing your job.Tyranny is your Government providing your job.More to come...

Sunday, April 5, 2009

Liberty-too big to fail!

With all of the discussion of late about which companies should be allowed to fail,where is the furor over the most important crime taking place?Our Government is stealing our liberty at an alarming pace.This argument used to belong to the conspiracy theorists.Today,you hear the New World Order spoken of matter of factly all over the media,one world currency is under consideration,industries are being nationalized.The Government is grabbing power as never before.

The tea parties will make their splash on tax day.After that,the budget will be passed and the loss of freedom will march on.I'd like to see as much attention paid to this.Why not a march on Washington on July 4th?Why not a freedom march?We do it for the planet or minority rights.Why not for the most important issue facing this country,bar none?We send an avalanche of e-mails and phone calls to our elected officials.The results are minimal.Congress still follows their own agendas regardless of what their constituents want.It could be largely solved at the ballot box,however,too many ignorant voters or party line voters make that impractical.

Rick Santelli of CNBC gets credit for starting the tea party revolution.It will probably take a spur of the moment type event to spark a liberty revolt.There is no limit to the information available to those who seek it describing the liberty theft.Bits and pieces are now mixed in with the nightly news.But it's still generally treated as an anomaly like UFO's or the next ice age coming.We are too many generations removed from the masses having reason to mistrust Government to the level required.

We seem to be victims of our own success.Americans have had it so good for so long,we naturally just take it for granted.When you ask someone why they have optimism for the economy to recover,the answer is usually just because it always has.I certainly understand not buying into any extremist conspiracy theories without evidence to back it up.Why ignore the evidence when it supports the alternative?

We haven't bottomed on mortgage values.Commercial mortgages and unsecured credit haven't hit yet.Employers will continue to shed workers for some time.Inflation awaits when the Fed must start raising the interest rates.You hear the Federal debt numbers thrown around.The interest will be an anchor for generations.I don't think people realize the magnitude of this.Even with the stimulus,some would throw out a total number including interest.That's only good if you can guarantee the yields on treasury securities and for how long?We pay no principal on the debt,just interest so it is in theory limitless.The fact is nobody can accurately forecast the interest payments,who will buy new debt or cash in the old,or any other factors globally which may require more debt to be added.Sure,we can print the money for the debt we can't sell,but the deflation of the dollar insures a limit on this as well.

What will hit first?The destruction of the dollar?The debt interest overwhelming the GDP?Depression?Nobody knows.Many have an agenda on how they want events to transpire.Will the trigger event take place to cause a revolution and delay this assault on liberty for another time?More to come...

Friday, April 3, 2009

Fair tax-an oxymoron?

Here's a favorite topic.How to reform the tax system.Fair tax.Flat tax.Or a million other variations proposed.I don't like either.

The flat tax is not flat or fair.It's still progressive with exemptions and credits.We only have one example of a flat tax in use today.The medicare payroll tax withholding at 1.45% of your income.The employer must match that 1.45%,however,so it's not exactly fair.If you're self-employed,you pay the whole thing.The social security tax has a cap so it is not flat.So,different tax brackets,withholding,credits,etc.Sounds just like what we have,doesn't it?

The fair tax is a national retail sales tax on all goods and services of 23% supposedly.It also is not fair or flat.It includes a "pre-bate" as an offset.It's a consumption tax that imposes a tax on you for drawing breath.Of course,when you exhale and emit carbon dioxide,Obama will tax you on cap and trade but that's another issue.What about the person with a large garden at home that consumes much of what they eat at home?Don't they still drive on the roads as much as the apartment dweller who can't grow their food but must pay taxes on all of the food they consume?It's a slippery slope to attempt to determine the "fair" amount of taxes each person should pay as we all consume at different levels even though we may equally utilize public services,or vica-versa.

The whole premise is flawed.Taxing our income.Allowing the Government to confiscate wealth just because.When you earn income,you are contributing to the GDP of the country by adding goods or services as fruits of your labor.If you manufacture something such as a car,for example,you increase the GDP of the country.If you give a customer a haircut,you increase the GDP of the country by adding services.You are paid for your contribution to the economy as a wage.Why should the Government be privy to any portion of this?This is why the IRS is Socialism,because they are redistributing wealth.

The question is how to raise money to provide services the Government provides.Much of what the Government is providing,it shouldn't be.It's unconstitutional.They are operating outside the parameters of the powers expressly provided for in the Constitution.People are simply so accustomed to these things,it's not even questioned.Which was the goal all along,to get people dependent on the Government to justify their existence and give them the power.

The biggest flaw in the entire argument is we are arguing about ways to "fairly" distribute the tax burden amongst all taxpayers.It doesn't address the total level of taxation at all.The Government is too big and spends too much.To have real tax reform,we must address the proper role the Government has.Relying on politicians to police themselves and reduce unnecessary functions is a real lesson in futility.The same effort in futility would be asking the people what their needs are as they vary widely and "fairness" would be out of reach.

The only thing you have to fall back on "fairly" is what is written in our Constitution and it's Amendments.Unless we address the 16th Amendment giving Congress the authority to impose taxes,no real resolution is possible.The fight to equally tax is fine except it doesn't account for Government spending,only how to pay for it.Some would even argue that taxes applied equally should be on every American citizen.Not everyone has earned income,yet they still utilize public services and infrastructure.Should there be a citizenship tax?That brings in the moral and ethical issues of taxing those without any means.Should taxes be the way we force wealth redistribution?The Constitution state in the preamble 6 reasons for why it was written.Number 5 is to promote the general welfare.This is the basis of all taxation power and wealth redistribution.A little vague,perhaps?It also provided that all direct taxes be apportioned equally amongst the states based on population.The 16th Amendment provided the loophole allowing Congress to tax income unequally.

This is where tax reform must start,by Amending the Constitution.By limiting the powers of Government and take away their carte blanche on spending.It will take the largest citizen effort since the Revolutionary War to pull it off because it would specifically take power away from Government and they won't do it without a fight we have never seen.The rest of what we're debating is moot.More to come...

Wednesday, April 1, 2009

The master plan

Is this the big one?The 13 families in motion?Illuminati?2012 doomsday at little early?Communism?Marxism?Socialism?How far do we go down the conspiracy theory road?

I believe we have had Socialism for decades.One only needs to look at the IRS for proof of that.It seems more appropriate that we are now in a state of fascism.Fascism is state run capitalism.When the Government is running private companies,you have fascism.Whether it's banks,insurance companies,auto companies,mortgage lenders,etc.,we are now there.

What does this mean?We still need to see how far Obama takes it.Will he take the dollar standard off the table and convert to a world currency?How about the civil service program being expanded for the youth?Will it stop at 250,000?The national security militia that he proposes as large and well funded as the military?Nationalized healthcare?Geithner will now set salary structures for private companies.How far will that extend?

If he is able to continue the suicidal spending to the point of no return,our options will be gone.Whatever his ultimate global vision is would be on the table.China is rapidly gaining influence with the keys to the piggybank.Israel is an unknown.Can Obama keep them in check while standing by and allowing Iran to run wild?Pakistan will decide the outcome of Afghanistan.

He must push hard enough,but not past the tipping point until it's too late.If he goes too fast he runs the risk of the American people actually rising up en masse rather than the trendy tea parties.That is still way off.Of course the right is talking continually,but that generally just re-inforces the base.To actually scare the middle,or God forbid,even some of the lost Liberals would be a major faux pas.He has great latitude with these people to still blame Bush,to promote his social agenda under the guise of helping them,and the kool-aid drinkers that just can't believe he is capable of these things.

It's hard to imagine a mistake that large.Clinton was impeached and only gained sympathy more than scorn.The unimaginable debt numbers are meaningless to the average person,so I don't see it as a deal breaker.If he can't appease the debt buyers and has to print money strictly,the inflation would be inevitable.Stagflation would follow along with high commodity prices,high unemployment,furthur housing corrections,banking failures,etc.The depression would be astounding in scale.Harry Dent has been on record predicting it for years.

The other scenario is just cumulative.Paying off labor with the card check and organizing reforms pending,the Fairness Doctrine,Gitmo,cap and trade and the whole laundry list of agenda items underway to undermine the Constitution and remove liberty and free markets.Rather than one big mistake,maybe the lightbulb will go off when enough people have been negatively affected to start the revolution.I think there are too many variables to say even though many will claim to know.More to come...