coolhand's Account Talk

Make sure you click this link and check out the photograph of Gov. Charlie Crist along with the caption below the photograph. :rolleyes:

http://latimesblogs.latimes.com/was...aign=Feed:+topoftheticket+(Top+of+the+Ticket)

For all his reputation as the nation's Top Talker, Barack Obama took his sweet time giving a maiden Oval Office address to the country. And waiting another nearly 60 days to speak nationally about the oil spill that’s become the worst environmental disaster in the nation’s history.

Obama, the first modern president to pass his first full year in office without addressing the country from his historic desk, had the setting right. Just back from a day-and-a-half on the gulf coast listening, reassuring, talking tourism, eating seafood. He wore the proper suit, had the requisite flags and family photos in the background.

For 18 minutes he delivered the words crisply and forthrightly, though too often distracting anxious viewers with his fidgeting hands like the lecturing professor he once was. Or wait! Was Mr. Cool nervous? (See video below.)

Obama had the firmness down OK: Make no mistake etc. We will hold BP accountable etc. He....

...had the God references. The talk of real live shrimpers devastated. An American way of life threatened. And though he likened the spill more to an epidemic, he also brought in the requisite battle metaphors. And, has Obama ever mentioned, there's another Nobel Prize winner in his cabinet, Stephen Chu, who hasn't been able to stop the oil leak either?

But there was something wrong. The first two-thirds of the president's remarks read just fine (Full text over here on The Ticket as usual). By golly, we’ll get the money, we’ll clean it up, no matter how long it takes.

But watching the president and hearing him was a little creepy; that early portion of the address was robotic, lacked real energy, enthusiasm. And worst of all specifics. He was virtually detail-less.

After almost two months of waiting through continuously contradictory reports, an anxious American public wanted to know, HOW are you going to accomplish all this?

Even Obama's cheerleaders over at MSNBC were complaining. "Where was the How in this speech?" demanded Keith Olbermann. Seriously.

Everyone's assumed that fixing the leak was a given since Day Four, which was still five days before the Democrat got his big plane and presidential entourage down there.

Local gulf coast officials are tearing out their hair trying to comprehend and comply with seventeen (as in seven more than 10) federal agencies falling all over themselves to do The Boss’ bidding and help and impose and superimpose their visions and regulations on what is a war zone with hundreds of ships and some 30,000 people involved, many of them frightened. And all of them inexperienced on a disaster of this scale.

Trust me, the president said, tomorrow I'm going to give those BP execs what-for. As CBS' Mark Knoller noted on his Twitter account, the president has allotted exactly 20 whole minutes this morning -- 1,200 fleeting seconds -- to his first-ever conversation with the corporation responsible for the disaster.

Then, he's got an important lunch with Joe "I Witnessed the World Cup's First Tie" Biden.

Well, just-believe-in-my-change-to-believe-in may have been good enough to win Obama's party primaries and the general election in 2008 and drag along into office enormous congressional majorities of fellow party travelers.

But after yelling "JOBS!" for a year and getting a protracted Democratic intra-party fight over Obama's beloved healthcare instead, Americans wanted some Oval Office specifics Tuesday evening on stopping the uncontrolled undersea oil escape.

Instead, Obama was like a Harvard-trained nurse talking vacation to a new patient bleeding all over the ER floor. Hello, could we please stop the blood flow here before we discuss the long-term recovery?

Obama’s delivery did not really come alive until the end when the ex-community organizer got into his favorite Big Picture stuff. Memo to American Homeowners: Do not call Obama over to fix your leaking roof – or pipe. Have him design a new house, no, better yet an entire neighborhood or city from scratch.

Following the advice of his chief of staff, Rahm "I Got a Rent-Free Apartment from a BP Adviser" Emanuel, Obama is determined to leave no crisis unused. When he got into the decades-long fossil fuel addiction rehab stuff, his eyes shone. His delivery punched up.

Now, that is an issue that requires greatness. Another galactic reform out of Hyde Park. It sounds swell unless mega-trillion-dollar federal deficits are on your mind, which voter polls now show ranks with terrorism as Americans' top fears.

Obama’s historic presidential campaign was not only big in terms of an unprecedented three-quarters of a billion dollars to win. It was about Big Promises. He was going to change America, radically reform the entire education system, healthcare, comb the entire federal budget line-by-line, oh, and change the 200-year-old partisan ways of the capitol. About the only big change the White Sox fan didn't promise was getting the Cubs a World Series ring.

It was all impractical, of course. But the country wanted to believe....

....in his change to believe in. And it did, handing complete control of the federal government over to Obama and his Democratic party. And today, after 17 months of lop-sided Democratic majorities now nervously confronting midterm elections Nov. 2, about 60% of Americans would like the new healthcare bill repealed. And they're hinting they'd probably like some more Republicans in Congress too.

President Obama has said he doesn’t sense an appetite to address something as large as the illegal immigrant issue this year. But suddenly – watch the left hand over here because he wants you to not focus on how long it’s taken him to take charge of the spill – he thinks there’s a compelling need to spend a motorcade full of moola that the federal government doesn’t have in order to change the country’s energy habits.

And we've gotta start that right now because of an underwater leaking pipe 40 miles off Louisiana that we haven't plugged and don't really understand how it broke in the first place. So let's do the electric car thing and build more windmills now.

And if, by chance, the nation’s politicians end up fighting over an energy plan during the next five months until the voting, maybe the politically damaging healthcare regrets and hidden costs will drown in all the words like so many thousands of seabirds in all the gulf’s still-surging oil.

-- Andrew Malcolm
 
http://www.politico.com/news/stories/0610/38609.html

President Barack Obama’s Oval Office address on the Gulf Coast catastrophe is being greeted with a barrage of criticism from commentators and political analysts across the ideological spectrum — the most intense negative reaction to any major public appearance he has given as president.

If the goal was to change the widespread Washington storyline that Obama is not rising to the occasion for the BP debacle, it became clear within moments that the 18-minute speech was an emphatic failure — and not just among conservatives who predictably root for the president to fail.

“Junk Shot,” blared the headline at Huffington Post. Salon took a similar theme: “Just words: Oval Office speech fizzles.”

Generally sympathetic commentators Keith Olbermann and Chris Matthews likewise honked with critical reviews on MSNBC. Voices on the right, not surprisingly, were even more critical.

The White House said before the speech the president’s goal was to speak more broadly to the American people and frame the oil spill in a larger context about the need for a new national energy policy. There was scant polling by Wednesday morning to measure his success.

But the withering reviews from the commenting class were so widespread that they created a new problem for a White House that already has a plateful. Common themes were that Obama did not project a sense of executive command and was too light on details about both the cleanup and the energy legislation he is pushing in the wake of the disaster.

“It was a great speech if you were on another planet for the last 57 days,” said Olbermann on his show’s recap of the speech.

He noted that there was “not even much of a pitch for his own energy bill which, as he mentioned, was passed by the House, which he did not mention was stalled in the Senate and still sits there.”

“Nothing specific,” he added. “Nothing specific at all.”

Appearing with Olbermann, “Hardball” host Matthews said Obama fell short in showing the American public that he is in charge.

“I don’t sense executive command,” Matthews said.

Huffington Post, underneath a picture of Obama, linked to stories from its own writers on what he was “overlooking” and asking “what was the point of that terrible speech?”
 
Don't know if you saw this info I found last nite while surfing around.

http://www.tsptalk.com/mb/showthread.php?p=275971&post=275971

Gold today...
http://finance.yahoo.com/q?s=GCM10.CMX

Dated, but why change a good thing?
http://www.tsptalk.com/mb/showthread.php?p=275965&post=275965

Gold by its very nature and role in the economic fabric of the global economy has long been a target of manipulation. The gold boards have no shortage of screaming bugs. :D

Even high profile, well-connected and staunch deniers of market manipulation conspiracies are beginning to admit something stinks in Denmark.
 
Robo posted a link in Bear Den to his Blog where I was immediately called out as ignorant and the gold/link post was discredited as fraud.
All I know is that all 3 congressmen in OR are enacting some sort of immediate legislation to protect the Chetco River in Southern OR from dredge mining after it was banned in California.
http://news.opb.org/article/group-lists-oregons-chetco-river-among-most-endangered-us/
Group Lists Oregon's Chetco River Among Most Endangered In U.S.

BY AMELIA TEMPLETON
Portland, OR June 2, 2010 9:03 a.m.


A national conservation group has named the Chetco river in southwest Oregon one of the country's 10 most endangered rivers this year.
Amelia Templeton reports.
060210_chetco_river_350.jpg

Checto River near Boulder Creek

The American Rivers group says that salmon and other wildlife in the Chetco river are under immediate threat due to dredging for gold that's supposed to start on July 15.
Kavita Hein is with American Rivers.
Kavita Hein: "So we basically want an emergency mining withdrawal for the Chetco river."
The corporation Chetco River Mining and Exploration LLC holds mining claims on about 20 miles of the river, some in a wilderness area. Dave Rutan founded the corporation.
Dave Rutan: "The amount of gold we're anticipating is confidential."
The corporation plans to use suction dredges to mine for gold. Local environmentalist Barbara Ullian says the river bed is critical habitat for salmon, almost like a womb.
Barbara Ullian: "The females lay their eggs in these gravels and they're fertilized there. They have real specific requirements."
State biologists say disruption in the river has the least impact on fish in thesummer months. That's when Dave Rutan plans to mine for gold.
Dave Rutan: "A six inch dredge is about eight feet long. And about six feet wide. It's less than the footprint of a car. And its very precise. "
Harvey Young is a fishing guide based in Brookings Oregon. He worries that mining could hurt the local economy. And says the Salmon runs in the Chetco are unique.
Harvey Young: "If you've ever have come to the Chetco and stand on the side like in October and you see 20, 30, 40 pound kings returning to the clear water from the ocean like they did eons ago. It's really an awe inspiring sight."
Senators Ron Wyden and Jeff Merkley and Congressman Peter Defazio are concerned that high prices for gold and a ban on suction mining in California have led to a gold rush in Southern Oregon.
They have already asked the Obama administration for a partial mining withdrawal for the Chetco and two nearby rivers.

The comments are always revealing of local sentiment:
Comments

June 2, 2010
10:43 a.m.

Suction dredging does not kill fish - fishing guides kill fish. — Posted by fallrun



June 2, 2010
7:12 p.m.

Interesting the Chetco River has made it to be the 7th most endangered river in the NATION, and yet CRME has yet to even dredge a single cubic yard. The size of its dredge is less than the foot print of a Mazda Miata and weighs less than 500 lbs. The amount of gravel it can process is less than a small swimming pool per day. I've sat on the bank of the Chetco during a flash flood (fall 2008) and witnessed large car sized boulders and trees 2 feet thick flood past below me. Shouldn't there be no more fish as a result? The drinking water threat of Brookings is a farce. Its 40 miles downstream and the intake...isn't it submerged in deep gravel and then treated. Wouldn't the floods cause a bigger threat? If this was really about fish and habitat protection, I submit the solution is to stop all fishing and let the runs be free of their slaughter for what has been admitted as a 'sport'. If the sediment flow were to be measured and calculated from natural erosion (lets not forget that is how the Siskiyous were formed), then how is it possible it traveling the Chetco to the ocean yet there still are fish in the river? Why are there still fish after the claims were mined for over a decade by the previous owner? No one complained then. Stop all fishing, use of lead & hooks and harassment of the species and let them live, then work on the lessor of the evils. — Posted by daverutan



June 2, 2010
11 p.m.

Actually, quite the opposite. Without healthy fish populations, a fishing guide has no job. So it is in the fishing guides interest to keep our rivers and fish in good health. Sure, fishing guides and their customers catch and kill fish, but if they don't do so in a responsible and sustainable way, they'll be unemployed. On the other hand, a mining company such as Chetco River Mining Exploration LLC, which attains a profit by extracting minerals from the river, is not effected by the ecological prosperity of the river. In fact, the interests of the mining company are in conflict with the river ecosystem upon which our salmon and other fish populations depend. In the long run, destroying spawning grounds and critical habitat will have a much more severe and long term impact on salmon populations than will hooking a few fish. — Posted by Salmonella



June 3, 2010
2:12 a.m.

Suction dredging does not kill fish or hurt the enviroment. Fishing guides, indians, and fisherman kill fish. — Posted by chickenlipwillie



June 3, 2010
5:22 p.m.

Dear Dave - The dredge is the size of Miata. That's relevant only if you take only one scoop and then quit. You can cover the Rockies with feet of snow even if a single snowflake is only the size of a thumbnail. It's also irrelevant to compare a steady dredging of the river with infrequent flood events. Take some basic earth science and biology classes. Also some basic history. You might realize that mining, logging, and a host of other activities have, in fact, drastically changed the sediment load of the rivers along the West coast with severe consequences for the fish populations. Does any particular activity in the river automatically kill every single fish? Probably not, and I doubt very many people are suggesting it does. Do these activities, especially in aggregate, damage the fishery, decrease the fish population, damage the habitat? Yes. And, just curious, what is the great benefit that dredging will provide to anyone other than the owners, employees, and shareholders of CRME? What is the great benefit to the people of Brookings, if you don't care about the fish? — Posted by xxx



June 9, 2010
11:14 p.m.

We live here, we practice catch and release, we like our fish. What we dont like are machines in the river sucking gold. I thought we learnt a long tine ago about the adverse affects and impacts, it is good to see Ca. studying this topic. — Posted by harveyyoung
 
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aw5XHYjccVN8

The cost of insuring bonds issued by Illinois against default rose to a record high as lawmakers sought to close a $13 billion budget deficit for the year starting July 1.

The cost of a five-year credit-default swap to insure Illinois obligations rose 6 basis points to 308.61 basis points today, or $308,610 to insure $10 million of debt, at 1:10 p.m. in New York, according to CMA DataVision. The gain makes insuring bonds from the fifth-most populous state the most costly among municipal issuers and puts it 66 basis points above Spain. A basis point is 0.01 percentage point.

Illinois lawmakers passed a provisional $25.9 billion fiscal 2011 spending plan that’s about $13 billion short, and are resisting Governor Pat Quinn’s plan to sell $3.7 billion in debt to help close the gap. Legislators recessed last month without providing a plan to make a $3.7 billion pension payment and pay $4.5 billion in bills.

“If the spread is the widest, it says the problem is bigger than it’s ever been before,” said Peter Hayes, who oversees $106 billion of municipal bonds for New York-based BlackRock Inc. “It’s a reaction to the inability to pass a budget. We’ve seen a greater unwillingness from Illinois and the market is reacting to that.”

Illinois’s credit-swap costs surpassed California’s, the largest U.S. municipal borrower, which saw its default-insurance contracts fall 1 basis point to 297 basis points, or $297,000 per $10 million of debt. Illinois is rated A+ by Standard & Poor’s, two levels higher than California. Moody’s Investors Service values both at A1, the fifth-highest, and both are its lowest-rated U.S. states.
 
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=adiv0kLW.rUw

Manufacturing in the Philadelphia region expanded in June at a slower rate than forecast as a measure of factory employment contracted for the first time in seven months.

The Federal Reserve Bank of Philadelphia’s general economic index dropped to 8, a 10-month low, from 21.4 in May. Readings above zero signal growth in the regional gauge, which covers eastern Pennsylvania, southern New Jersey and Delaware. Economists forecast the measure would fall to 20, according to the median projection in a Bloomberg News survey.

Manufacturing, which led the economy out of the worst recession since the 1930s, is easing into a more sustainable pace of growth as the need to replenish inventories becomes less pressing. The figures stand in contrast to a report this week showing New York factories expanded at a faster rate.

“Manufacturing still seems to be in a modest expansion,” said David Sloan, a senior economist at 4Cast Inc. in New York. His forecast of 10 was the lowest in the Bloomberg survey. “The fact that employment dipped suggests manufacturing growth is not that strong.”

Stocks fell after the report, with the Standard & Poor’s 500 Index dropping 0.7 percent to 1,107.29 at 10:27 a.m. in New York. The yield on the 10-year Treasury note declined to 3.2 percent from 3.26 percent late yesterday.
 
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aMJLPDNBWXIw

A coalition of U.S. House Democrats asked their colleagues to remove a derivatives rule from the financial-regulation overhaul bill, intensifying the debate over the provision in the days before its final consideration.

Forty-three members of the New Democrat Coalition, a group of 69 self-described “moderate, pro-growth” lawmakers, sent negotiators a letter today opposing Senator BlancheLincoln’s plan to ban commercial banks from operating swaps-trading desks.

The provision “would increase systemic risk by forcing derivatives transactions into less regulated and less capitalized institutions and impede effective regulatory oversight of the derivatives market,” the group wrote in the letter to congressional leaders and members of the House-Senate panel assigned to merge the two chambers’ versions of the bill.

The New Democrats are now aligned with a group of New York Democrats opposing the provision, which may threaten its inclusion in the final bill. House and Senate Democrats are attempting retain votes needed in each chamber needed to pass the most sweeping regulatory overhaul since the 1930s.

Opponents and supporters of the swaps-desk rule, known by its legislative shorthand Section 716, have mobilized in recent days. Lincoln, an Arkansas Democrat, has gained support from three Federal Reserve Bank regional presidents in the past week and pledged to fight efforts to modify or strip the provision.

Bailouts

“Banks were never intended to perform these activities,” Lincoln said last week in her opening statement to the House- Senate conference committee. “It is this economic activity that contributed to these institutions growing so large that taxpayers had no choice but to bail them out.”

The New Democrats, who played a leading role in shaping the House legislation passed in December, are joined in opposition by a group of New York House Democrats led by Representatives Michael McMahon and Gary Ackerman.

In their letter, the New Democrats said that another measure in the bill -- a ban on proprietary trading, known as the Volcker rule after its author Paul Volcker, the former Federal Reserve chairman -- would better achieve the goals of the Lincoln provision.

The Volcker rule would allow regulators to separate the riskiest trading activities from commercial banking, while allowing banks to use swaps for customer-driven trading and to hedge their business risk, the group said.
 
http://online.wsj.com/article/SB100...36609374.html?mod=WSJ_Opinion_BelowLEFTSecond

In his brilliant exposition of why sweeping policy changes often have unintended consequences, the late sociologist Robert K. Merton wrote that leaders get things wrong when their "paramount concern with the foreseen immediate consequences excludes the consideration of further or other consequences" of their proposals. This leads policy makers to assert things that are false, wishing them to be true.

Which brings us to President Obama's many claims about his health-care reform. Take his oft-expressed statement that if you like the coverage you have, you can keep it. That sounds good—but perverse incentives in his new law will cause most Americans to lose their existing insurance.

This was brought home to me when I asked the CEO of a major restaurant chain about health reform's effect on his company, which now spends $25 million a year on employee health insurance. That will jump to at least $90 million a year once the new law is phased in. It will be cheaper, he told me, for the company to dump its coverage and pay a fine—$2,000 for each full-time worker—and make sure that no part-time employee accidentally worked 31 hours and thereby incurred the fine.

This reality is settling in at businesses across America. A Midwestern contractor told me he pays $588,000 for health insurance for 70 employees, contributing up to $8,400 a year for a family's coverage. If he stops providing health insurance, he'll pay $2,000 per employee in fines, and the first 40 employees are exempt from fines altogether.

It's also dawning on employees that they will lose their coverage. Some will blame management; many more will blame those who wrote this terrible legislation.

Employees who lose coverage get to select a policy from a government-sponsored insurance marketplace called the "exchange." This will be subsidized by taxpayers. Depending on his income, a worker will have to pay between 8% and 9.8% of the cost.

But there are a few hitches. Employers now pay for employee health plans with pre-tax dollars, but workers who buy into one on the exchange pay with after-tax dollars. Families making less than $30,000 and individuals making less than $15,000 a year will be dumped into Medicaid, widely viewed as second-class health care.

Either Mr. Obama was stunningly blind to these perverse effects when he promised people could keep their coverage, or he felt that admitting his plan would collapse employer-provided health coverage could keep it from passing. Either way—self-deception or deliberate deceit—health reform is going to turn out far differently than was promised. And because more workers will be dumped into subsidized coverage, taxpayers are likely to pay much more than the $1 trillion-plus price tag claimed by ObamaCare advocates for its first 10 years.

It doesn't end there. Another way the new health reform will have consequences that are the opposite of what was promised can be found in new draft regulations (its Interim Final Rule) from the Department of Health and Human Services. The proposed rules could cause as many as half of all workers to lose their existing coverage.

Health-care plans that existed before the new law are "grandfathered" with regard to some of its provisions. The rules released Monday spell out how little these plans can change without losing their protected status.

Health plans would no longer be grandfathered if a business changes insurance companies (a common practice when employers shop for lower prices), raises deductibles more than 5%, drops any existing benefits, or even increases co-pays by as little as $5.

Complying with these new rules would raise costs for companies who provide coverage, reduce competition among health insurance companies, and discourage efforts to make employees more price conscious. The Obama administration itself estimates that these draft rules could cost up to 80% of small employers and 64% of large employers their grandfathered status. This translates to between 87 million and 115 million Americans losing their current coverage. Companies and insurers promise a hardy fight on the proposed regulations, but repeal of the provisions that authorized them are the only guarantee of their defeat.

ObamaCare generates more bad news every month. On top of sluggish job creation, burgeoning deficits, out-of-control spending, and a miserable response to the Gulf oil leak, the Obama presidency may be reaching a tipping point. His competence is being called into question and his credibility undermined. Either one is bad for any president. Both can be politically lethal.
 
http://www.businessinsider.com/san-diego-bankruptcy-2010-6

San Diego is the latest city to consider bankruptcy as a result of burgeoning debt associated with pensions and benefits, according to Bloomberg.
The city currently has a serious funding problem, worth $3.5 billion just in pensions and health care.

San Diego has total deficits of $7 billion, according to the city's report on bankruptcy considerations.

The city is considering measures like outsourcing its library system and trash collection services to reduce costs.
 
http://seekingalpha.com/article/210537-the-bad-economic-news-is-just-getting-worse?source=feed

It seems like almost everywhere you turn these days there is bad economic news. Foreclosures are setting records, unemployment remains depressingly high, poverty is exploding, U.S. government debt is wildly out of control and Europe is on the verge of an economic collapse that could send the entire globe into a devastating financial panic. If all that wasn't enough, the oil spill in the Gulf of Mexico has destroyed the seafood and tourism industries along the Gulf coast and threatens to push that entire region into a depression for years to come. The truth is that the more you look at the economic statistics coming in from around the globe, the more it becomes obvious that we are headed for a complete and total economic nightmare.

Just consider some of the most recent economic news....

The number of U.S. home foreclosures set a record for the second consecutive month in May. How can the U.S. housing industry be recovering when the number of Americans being foreclosed on continues to set all-time records?

As of March, U.S. banks had an inventory of approximately 1.1 million foreclosed homes, up 20 percent from a year ago. Instead of working their way through the huge backlog of unsold homes, U.S. banks continue to pile up a massive inventory of foreclosed homes at a staggering pace.

According to figures from the U.S. Commerce Department, housing starts in the United States fell 10 percent in May, the biggest decline since March 2009. The data also revealed that single-family home starts suffered the biggest drop since 1991. There is already a massive glut of unsold homes on the market, so builders simply do not think it is profitable to build many new homes right now.

Officials now tell us that the cost of "fixing" Fannie Mae (FNM) and Freddie Mac (FRE), the government-backed mortgage companies that last year bought or guaranteed the vast majority of all U.S. home loans, will be at least $160 billion and could grow as high as $1 trillion. The twin pillars of the U.S. mortgage industry have become financial black holes that the U.S. government endlessly pours massive amounts of cash into. That is not a good sign.

Fannie Mae and Freddie Mac are to be delisted from the New York Stock Exchange because their stock prices have been trading under $1 per share for more than 30 trading days. The truth is that Fannie Mae and Freddie Mac would have completely imploded by now if the U.S. government had not decided to step in and bail them out.

The average duration of unemployment in the United States has risen to an all-time high. Not only are a ton of Americans out of work, they can't find work for a very, very long time once they are unemployed.

For Americans younger than 25 years of age, the unemployment rate is 18.8%. But even those young Americans that can find employment often find themselves working in very low paying service jobs.

Federal Reserve Chairman Ben Bernanke says that the U.S. unemployment rate is likely to stay "high for a while". Considering how badly Bernanke has been doing his job, it would be really nice if we could add just one more person to the unemployment rolls.

According to one new study, approximately 21 percent of children in the United States are living below the poverty line in 2010 - the highest rate in 20 years. There are hundreds of thousands of American children on the streets each night, and yet we continue to insist that we are the greatest country in the world.

For the first time in U.S. history, more than 40 million Americans are on food stamps, and the U.S. Department of Agriculture projects that number will go up to 43 million Americans in 2011. How many tens of millions of Americans have to be on food stamps before we officially say that we are in a depression?

According to the Wall Street Journal, the debates have begun inside the Fed about what it should do in the event of a "double dip" recession. If they are already debating what to do during the next economic downturn, that means it is probably a foregone conclusion.

If you were alive when Christ was born and spent one million dollars every single day from then until now, you still would not have spent one trillion dollars by now. But somehow the U.S. government is now over 13 trillion dollars in debt. According to a U.S. Treasury Department report to Congress, the U.S. national debt will top $13.6 trillion this year and climb to an estimated $19.6 trillion by 2015.

It is being projected that the U.S. national debt will grow to surpass our gross domestic product in 2012. Needless to say, that is a really, really bad sign.
The total of all government, corporate and consumer debt in the United States is now equal to 360 percent of GDP. At no point during the Great Depression did we ever even come close to such a figure.

But things may be even worse in Europe right now. Unfortunately for the U.S., when Europe experiences an economic collapse it will devastate the American economy as well.

The economic news coming out of Europe lately has been extremely alarming:

George Soros says that a European recession next year is "almost inevitable". Considering how much access George Soros has to inside information, the fact that he is so pessimistic about Europe is a very troubling thing indeed.

A report by the Bank for International Settlements says that the debt crisis hitting southern Europe resembles the 2007 subprime mortgage crisis. Is history about to repeat itself?

Moody's has downgraded Greece government bond ratings into junk territory, citing the risks inherent in the rescue package that the rest of the eurozone has put together for them. Soon Spain, Portugal, Italy, Ireland, Romania and a number of other European nations could have their debt downgraded as well.
The U.K.'s new Office for Budget Responsibility has announced that the U.K. economy was more damaged by the recent financial crisis than previously admitted, and that it may never fully recover. But the same could be said for many other nations across the world as well.

21.5% of all working-age people in the U.K. do not have a job. It seems like almost every country has a shortage of jobs these days.

New U.K. Prime Minister David Cameron is warning that Britain's "whole way of life" is about to be significantly disrupted for years by the most drastic public spending cuts in a generation. In fact, severe austerity measures being implemented all across Europe could make this one of the most "interesting" European summers in ages.

Spanish banks are borrowing record amounts of money from the European Central Bank as Spain's financial institutions are finding it increasingly difficult to acquire funds in international capital markets. But the truth is that it isn't just Spanish banks that are facing a liquidity squeeze - the entire world is heading for a massive credit crunch.

But the biggest piece of bad economic news of all is the nightmare that is unfolding in the Gulf of Mexico. There is no way that the southeast United States is going to be the same after this. Hordes of businesses and entire industries have been literally destroyed over the past two months. The total economic damage from this unprecedented disaster will easily run into the hundreds of billions of dollars. This is an economic blow that the teetering U.S. economy simply could not afford right now. Once the oil finally stops flowing the crisis will not be over. In fact, the aftermath from this oil spill could end up echoing for decades.

So are things bad out there? Yes, things are incredibly bad and they are about to get a whole lot worse. In fact, there are so many cancers eating away at the U.S. economy that it would take an entire book to detail them all.

What we are dealing with is not "just another recession" or "just another economic downturn". What we are witnessing is the fundamental unraveling of the monstrous debt spiral that our economy is based upon. Any economy that is built on a foundation of debt and paper money is inevitably doomed.

So yes, the bad economic news is going to continue. Things may get better for a while here and there, but the truth is that we are caught in a long-term spiral of economic decline from which there is no escape.
 
http://uk.reuters.com/article/idUKN...ews+/+UK+/+Financial+Services+and+Real+Estate)

N.C., June 16 (Reuters) - More than 90 U.S. banks and thrifts missed making a May 17 payment to the U.S. government under its main bank bailout program, signaling a rising number of lenders are struggling to meet their obligations.

The statistics, compiled by SNL Financial LC from U.S. Treasury data, showed 91 banks and thrifts skipped the May dividend payment under the Troubled Asset Relief Program, or TARP. It was the first missed payment for 23 of the banks; for the others, it was at least their second miss.

The number of banks missing their TARP payments rose for the third straight quarter. In February, 74 banks deferred their payments; 55 deferred last November.

SNL Financial's analysis found 20 banks have missed four or more payments since the program began in 2008, while eight banks have missed five payments.

Under the TARP program, the U.S. Treasury invested in preferred shares issued banks looking for funds. The banks were to make regular dividend payments to the Treasury, and have the right to repurchase the shares at some point in the future.

While many of the largest U.S. banks easily repaid billions in TARP aid, more than 600 smaller banks still hold $130 billion from the program, created at the height of the financial crisis.

In some cases, small banks are renegotiating the repayment terms.

Midwest Banc Holdings Inc MBHI.O, for example, agreed to swap $84.8 million in preferred shares issued under the TARP program in 2008 for $15.5 million in common shares. That would have meant an 80 percent loss for the government -- and the U.S. taxpayer -- on the initial investment. [ID:nN03108978] But the swap was contingent on the bank raising more private capital, which it failed to do. Regulators seized the bank in May.

The next quarterly TARP payments to the U.S. Treasury are due by Aug. 16.
 
http://www.businessinsider.com/san-diego-bankruptcy-2010-6

San Diego is the latest city to consider bankruptcy as a result of burgeoning debt associated with pensions and benefits, according to Bloomberg.
The city currently has a serious funding problem, worth $3.5 billion just in pensions and health care.

San Diego has total deficits of $7 billion, according to the city's report on bankruptcy considerations.

The city is considering measures like outsourcing its library system and trash collection services to reduce costs.

CH,

Can't you give me some good news? :worried:

Here is some. While the city has been owned by the public service unions for over a decade the current mayor is great. We have stong leadership at the top. We actually recalled a completely ineffectual mayor when it became obvious "America's Finest City" had become "ENRON by the Sea".

Some bad news. San Diego, like all cities in Kalefornea, doesn't control its tax assets. All - maybe most - taxes are collected by the State and handed back out via Politburo 5-Year Plans. We are the Peoples Republic of Kaleforea.

Finally, that trash thing is a canard. It would take a change of city charter to change it. That would require a vote. Ain't going to happen. Probably more likely that Orange County, San Diego, Riverside, and the Imperial Valley would succeed from Kalefornea to make its own state. Also, not bloody likely:laugh:

Anyway, since we are all watching soccer (???), for many cities in Kalefornea and Illinois and New York it ain't a good thing when the game ending horn goes off and you are counting on the time left on some odd ball referee's watch.

Yowser...
 
Ahem.......sorry, don't believe a word- call me Left Coast:D:D
By KARL ROVE

http://online.wsj.com/article/SB100...36609374.html?mod=WSJ_Opinion_BelowLEFTSecond

In his brilliant exposition of why sweeping policy changes often have unintended consequences, the late sociologist Robert K. Merton wrote that leaders get things wrong when their "paramount concern with the foreseen immediate consequences excludes the consideration of further or other consequences" of their proposals. This leads policy makers to assert things that are false, wishing them to be true.

Which brings us to President Obama's many claims about his health-care reform. Take his oft-expressed statement that if you like the coverage you have, you can keep it. That sounds good—but perverse incentives in his new law will cause most Americans to lose their existing insurance.Both can be politically lethal.
 
I thought there was that homeless floating trash colony that was looking for a territorial waters donor....
lol
Gotcher big screen on?
bryant_1658777c.jpg


CH,

Can't you give me some good news? :worried:

Here is some. While the city has been owned by the public service unions for over a decade the current mayor is great. We have stong leadership at the top. We actually recalled a completely ineffectual mayor when it became obvious "America's Finest City" had become "ENRON by the Sea".

Some bad news. San Diego, like all cities in Kalefornea, doesn't control its tax assets. All - maybe most - taxes are collected by the State and handed back out via Politburo 5-Year Plans. We are the Peoples Republic of Kaleforea.

Finally, that trash thing is a canard. It would take a change of city charter to change it. That would require a vote. Ain't going to happen. Probably more likely that Orange County, San Diego, Riverside, and the Imperial Valley would succeed from Kalefornea to make its own state. Also, not bloody likely:laugh:

Anyway, since we are all watching soccer (???), for many cities in Kalefornea and Illinois and New York it ain't a good thing when the game ending horn goes off and you are counting on the time left on some odd ball referee's watch.

Yowser...
 
Ahem.......sorry, don't believe a word- call me Left Coast:D:D
By KARL ROVE

Dude,

The negative effect of:
  • Higher income taxes
  • Higher capital gains taxes
  • Negative dividend tax treatment
  • Current regulatory 'enhancement'
  • Expected higher medical insurance rates
is a given.

Anyone holding stock and/or equities mutual funds will be hit by capital gains and dividend tax code changes. Additionally, folks will NOT want dividends once they are taxed as ordinary income. What does that mean? ENRON accounting, baby - ENRON accounting. We all pay for increased regulatory expenses. And, guess what, have you heard anything about any decrease in the cost of health care - anything at all:(.

What individual or business is going to aggressively invest in growth when there are so many financial expenditures (known and unknown) projected within six months from now.
 
CH,

Can't you give me some good news? :worried:

Here is some. While the city has been owned by the public service unions for over a decade the current mayor is great. We have stong leadership at the top. We actually recalled a completely ineffectual mayor when it became obvious "America's Finest City" had become "ENRON by the Sea".

Some bad news. San Diego, like all cities in Kalefornea, doesn't control its tax assets. All - maybe most - taxes are collected by the State and handed back out via Politburo 5-Year Plans. We are the Peoples Republic of Kaleforea.

Finally, that trash thing is a canard. It would take a change of city charter to change it. That would require a vote. Ain't going to happen. Probably more likely that Orange County, San Diego, Riverside, and the Imperial Valley would succeed from Kalefornea to make its own state. Also, not bloody likely:laugh:

Anyway, since we are all watching soccer (???), for many cities in Kalefornea and Illinois and New York it ain't a good thing when the game ending horn goes off and you are counting on the time left on some odd ball referee's watch.

Yowser...

I'm not specifically looking for bad news, it's just that the sources I go to seem to focus on it. But it's main stream stuff for the most part.

Besides, if you want good news, stop by BT's thread. ;)
 
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