Tailo Talks: Politics & Economy

Fact Check Barack.

2009-08-11T12:04:00.000-07:00

Here is a very nice and short list of ten reasons why obamacare will not succeed:

http://www.heritage.org/Press/FactSheet/fs0036.cfm

I also just watched Obamas town hall meeting. First of all, he is the most arrogant and cocky man I have seen. Second, why was this meeting so calm compared to the meeting with Alen Specter held only hours prior. And third, maybe next time the white house staff shouldn't stack the crowd with pro-0bama drones. Such is politics. I still see right through this man and his ridiculous plan.

Pelosi's Op-Ed in USA Today

2009-08-10T22:39:00.000-07:00

Nancy Pelosi and Steny Hoyer combined in this very interesting article that was published in USA Today's Op-Ed section. Obviously, Pelosi and Hoyer discuss the health care reform, and how it has been the focus of the US economy and political agenda for nearly a century now, and especially how important it is to debate it to make sure we get it right. She argues for lower costs and better care, not quite divulging the fact that we and our children have to pay for this reform.

Pelosi continues on, mocking the behavior of Americans at recent town hall meetings with representatives. I, for one, am very encouraged and optimistic when I see people learning the facts, standing up to their representatives, and asking the right questions. Doesn't the Obama administration understand what's going on? People are seeing right through their nonsense, their whimsical claims, and "happily ever after" reform. So what if people yell and point their fingers at these representatives? These people have been elected to represent the people, to answer questions, pass on information, to act in the best interest of the people. They don't get paid six figure salaries for sitting around a nice office...

Pelosi also claims, "Drowning out opposing views is simply un-American". Oh I see, but shooting people down because they believe something else that happens to differ from your viewpoint is OK when it benefits you right? Personally, I believe Ms. Pelosi's article not only exemplifies her hypocritical nature, but shows how shallow she truly can be.

Here is the article: http://blogs.usatoday.com/oped/2009/08/unamerican-attacks-cant-derail-health-care-debate-.html?poe=HFMostPopular

HEALTHCARE.

2009-08-07T07:16:00.001-07:00

We've heard it on the news, we've all read it in some form of media print, and now more then ever we are starting to feel the ill effects of a proposed nationalized health care reform. What is nationalized health care? As of now, our health care insurance services are carried out through private companies, which can use employers as a "middle-man", if you will. Mr. Obama's plan is seeking to expand the federal governments role in this sector by offering affordable, comprehensive, and portable coverage which seeks to contain spiraling costs, improving overall quality, and strengthening prevention and overall public health. That sounds absolutely wonderful. Who wouldn't want that!?! Well before you go bowing to our demigod of a president, the chosen one, please understand that Mr. Obamas plan is far from original. In fact, he has recycled and combined initiatives from the 1993 Clinton plan, the 2004 Kerry plan, and the Commonwealth Fund's (which happens to be a liberal think tank) plan. First of all, and most importantly, we really don't know how much this reform is going to cost. It is so ambiguous and its effects so miscalculated, that some economists have pinned its costs at $1 trillion and others at $13 trillion. As you can see, the spectrum is a colorful and widely negotiable one. Yet, it is impossible to deny that this reform is going to give the U.S. Government a MASSIVE expansion of regulatory authority not only over health insurance, but over our daily lives. The government is going to tell me when, where, and with which doctor I can get treated. With which doctor and at what hospital I can have my surgery. Broke your arm? Need surgery? Sorry, get in line and wait. Obama and his team of drones are going to be able to define what exactly "quality care" is and how we are to receive it. But most importantly my friends, is this idea of CENTRALIZED CONTROL.

If this reform bill passes, it will be the biggest blow to U.S. liberty in the last century. The government will posses sole control over your health care. Yeah, yeah, I've heard the robots at the White House suggest that if you're happy with your current plan you can keep it. Pardon my boldness when I say, it's all a bunch of crap. Mr. Obama, how do you expect a private health insurance company to compete with a megalithic government subsidized insurance giant? This inevitable show-down would make David vs. Goliath seem like a cage match between two toddlers. The government will control financing, delivery, and overall management of a multi-faceted and multi-billion dollar industry. Please keep in mind, the government has already demonstrated the extent of their ability to control private sector industries (i.e. Citigroup, AIG, the auto industry). If you think a government that is unable to maintain the auto industry (oh, except for that sensational cash-for-clunkers idea), is going to be able to manage health care insurance for over 280 million people?!

Look, I know a lot of you are uninsured out there. 47 million Americans do not have health care insurance. Some of these people can't afford it, some are illegally in this country, and others (particularly younger Americans) have decided not to buy insurance. Now, you have a government that is going to come in, make private insurance carries obsolete, and OBLIGATE you to become insured. Lets not stop there though, that is only the tip of the tyranny iceberg. The Obama White House Administration has sent out a memo encouraging people to report articles, incidents, and publications in which THEIR health care bill is bad mouthed or misreported. Hey, Obama, last time I checked, I am free to do whatever the hell I please. Whether that is bad mouth you, your administration, or your policies. But I'll save that for another post. Can you believe this guy? He wants us to report other people for expressing their opinions? For acting upon their God given rights to liberty and freedom? FOR EXERCISING THEIR RIGHT TO FREE SPEECH BESTOWED UPON US THROUGH OUR GREAT CONSTITUTION. Our rights, our privacy, our right to expression, to discussion, to the free exchange and influx of ideas and thoughts has been compromised by a tyrannical and inexperienced excuse for commander and chief. But no my friends, that's not the worst of it. Recently, Americans have begun asking questions to local lawmakers and officials. They have started demanding that their voices be heard across the nation. During town-hall style meetings in several states, taxpaying citizens have been extremely vocal and sometimes near violent in requesting information about this health care bill which will cost them and their future generations billions and billions of dollars. And how did these senators and congress representatives handle the situation? They spit out the lines that they were fed by White House advisers, speech writers, and staff. But here's the kicker, and I really cannot believe this was said; The White House sent a memo out to all of these lawmaking representatives and said "don't worry, if you get hit, we will hit back twice as hard". EXCUSE ME. How this president is even still in office is beyond me. The great capitalistic America envisioned by the dozens of Constitution co-signers has been replaced with a Venezuelan style of communism and tyranny. We might as well follow Iran and turn into a Muslim Theocracy, while we're at it. Why not?

There is a reason we are the only major economic power that has not nationalized our health care. There is a reason that we have taken pride in our ability to rely on the private sector to control certain industries, which can be monitored but not interfered with by government. There is a reason that I believe in reduced government that will not have the ability to enact a monopoly on private health insurance carriers. Imagine, if you will, a slippery slope. A nation in which doctor liability is increased and pay is decreased, there will be a mass exodus of American doctors to other countries. Imagine if you will a a government that runs health insurance, but why stop there, Obama is on a spending spree. Why not control my life insurance, my car insurance, my house insurance. I don't need State Farm, I have Barack Hussein Obama, a 48 year old man from Chicago who has been crowned the king of the free world, the second coming of the Messiah. My friends, open your eyes, do your research, read the bill, make your voice known! Half of these law makers haven't even read the bill in its entirety, that's including your president Obama, while they are willing to spend trillions on this unnecessary reformation. Why not shift direct control of the health care system back to the American people, instead of federalizing it in an attempt to secure government power and prestige.

I leave you with a video that was sent to me by Nick Gionfriddo, a friend who shares the same concerns as I regarding our fate in the hands of a tyrant president with an inclination for a spending spree and a checkbook that has no limit:

http://www.breitbart.tv/obama-dont-want-the-folks-who-created-the-mess-to-do-a-lot-of-talking/

Indeed Mr. Obama, you don't really want any of us talking do you? You want us to go silently as you deconstruct everything that this country has built for the last two and a half centuries...Well sir, that isn't going to happen, and you can bet that we will not let YOU ruin our lives.

The first 100 days!!!

2009-04-29T22:10:00.001-07:00

Before I dive into President Obama's first 100 days in office and his press conference earlier this evening, I would like to make a quick observation. I do not believe a single word that comes out of Barack Obama's mouth. In fact, his demeanor is arrogant and borderline insulting. "Wash your hands", was his suggestion for battling the Swine (H1N1 to be politically correct) Flu. You may be able to fool some of the drones that follow you Mr. President, but there is no way you can keep on deceiving the knowledgeable and the informed.

We use the milestone of 100 days as a general measuring stick of how a president is doing policy wise, popularity wise, etc. The overly balanced media (and I say that with a grin from ear to ear), suggests Obama is doing a better job in his first 100 days then both George W. Bush and Bill Clinton. And how do you figure that? What has Mr. Obama really accomplished in his first 100 days? Change? Yes we can? Please. He has managed to close Guantanamo Bay, expose and condemn top secret intelligence gathering methods that aid in national security, incur on behalf of the American people a $3.6 trillion national debt, has ok'ed public funding for stem cell research, what else? What has this president done that is so unbelievably mesmerizing? When will we stop treating this president as a candidate and as a historical achievement, but instead as a leader of this nation, not as savior but as the most influential and powerful man in this country and arguably in this world. What bothers me the most is how some of the younger generation has reacted to Obama's term thus far. I can understand why they voted for him, they were looking for change, it was trendy, Obama was the way to go. But what about now? A 20 year old today, who is planning on retiring at age 70, is going to pay over $114,000 in interest incurred in their lifetime. I am going to pay $114,000 to President Obama and the government that he claims he is shrinking and does not want to expand. See the common drone may believe this. But I don't.

President Obama, the way your administration and policies are laid out, you will have increased the size and scope of the U.S. Government by 25%. But hey, there is some good news (not really) because the U.S. economy has decreased in productivity by 6.1%. The United States economy has shrunk by 6.1% under Barack Obama's watch. That's the most lost productivity in over 50 years. Change. Yes we can. But, of course, it was George's fault, right? That's what the propaganda media has implanted into the heads of every drone programed to spit out senseless facts and nonsense. While we are on this note, I can't believe some of the media I have seen lately, both conservative but more so liberal. It's disgusting. So we have a debt created by a one president that is larger than all 43 previous presidents who preceded Mr. Obama. He has increased our taxes. He has expanded government, which is now invading the private sector and corporate realm. And last, but most certainly not least, he is changing the gear on the United States steamboat, he's moved it from free capitalism to a socialist agenda. Are the United State's best days behind her? Sadly, I think they may be.

I listened to the Presidential press conference today on the radio. I turned it off after about 25 minutes. I found myself in awe. Not because of Mr. Obama's verbatim or his "enchanting" diction and suave, but at how this man is actually our President. He was dodging more questions than Ben Stiller was in Dodgeball the movie. He was consistently beating around the bush, and deviating from the main focus of the question by rambling on some tangent or making a little joke. Haha. Well played sir. And I want you all to know something, I don't write this or think this way to spite Obama or because I hold a grudge. No. I would write this exact same thing if George Bush or Ronald Regan were doing the same thing. I think the way I do because I disagree with this mans mentality, with his policies, with his values, and I truly believe he is putting this country on the wrong track.

Lastly, Obama appeared at a town meeting just after the tax-day tea parties in order to discuss the health care reform plan and the current economic situation. He mentioned how there were certain media outlets that did not like him very much (fox news), and that there may be certain "folks" who are waving around tea bags (which induced some laughter among the crowd), but that he was open to having a discussion with anyone regarding his reform and his fiscal policy. You know what, I have one wish, just one wish. I wish President Obama would show up on the fox news channel and debate either Rush Limbaugh or healthcare Mark Levin. Just for one hour. Open forum debate. Live. Nationally televised. That would be epic. There is no way Rham Emmanuel and the rest of the administration will let Obama speak anywhere outside of CNN or where their teleprompters can reach. Also, Mr. Obama has one heck of a surprise heading his way, because this grass roots movement is the biggest we have seen in decades, and people are pissed off and really beginning to see the direction Obama is taking this country.

All hail the chief.

The coming of a second plague???

2009-04-28T22:39:00.000-07:00

Well, there are two ways you can look at this current "swine flu", either it is the next global pandemic or nothing more than a media frenzied common cold. The swine flu seems to be originating from a particular farm, "ground-zero" if you will, in Mexico. This flu strain is a mixture of three types of influenza: bird, pig, and human strains. Although the swine flu may have originated in Mexico, they have spread to the United States as well as several other countries around the world. Cases are popping up all over Texas, California, New York, and other states. It is an easily forgotten fact that the flu kills tens of thousands of people in the United States every year. Despite having the medical advances and vaccination treatments, the flu still claims thousands of lives annually. Granted a majority of these victims are either the elderly or young infants, it still seems rather odd that we cannot seem to impede this deadly illness.

I heard a rather interesting theory the other day while listening to the radio. Entertain the notion for a few minutes if you will. What is so very odd about this particular strain of influenza is the unlikely mixture of bird, swine, and human strains. Is this just a simple coincidence that has spread to several countries, including the United States, or is this an act of bio-terrorism. Is it that much of a stretch of the imagination to think that terrorism would eventually use biochemicals and disease as weapon forms? Why not use the flu? In fact it makes the perfect criminal, its a quite and common killer that won't raise a hint of suspicion in the global community...unless of course it begins to spread like wildfire. Is it that unlikely that terrorist organizations have used infectious disease as a weapon to combat the United States and global community? Well it may be a stretch, but is a drastically more fascinating hypothesis then say claiming this flu outbreak originated from a pig farm.

Many have died, mainly in Mexico, and many have suffered from mild symptoms, however the question remains: is this disease outbreak containable and treatable? I personally think the media has blown this way out of proportion. I think this just creates unnecessary panic, especially when the Director of Homeland Security is on T.V. declaring a state of emergency. However, I could be very very wrong. Maybe all of this craziness is warranted and this influenza strain is a legitimate concern...how can we really be sure. However, if the government and Ms. Janet Napolitano is so concerned that she has recommended U.S. citizens stay out of Mexico and we wash our hands constantly, why have we not taken initiatives to protect our country's borders? Why are we not enforcing the law on the borders, why are we treating illegal (keyword illegal) aliens as victims. I, myself, am an immigrant and came to this country when I was five years old, and my parents couldn't speak a word of English. But, nevertheless, they gained their citizenship legally and passed it down to their children. That's how it works. And what are we doing? We are asking people if they have been sick in the last few days or weeks when they immigrate into America. And if they say "yes", then we run further tests, and if they say "no" then we let them in. Ladies and gentlemen, that is Homeland Security's brilliant plan to protect the United States from further exposure to the swine flu (which you apparently cannot get from eating pig, which is great, because I really do enjoy the occasional bacon).

Why not adopt a process like Seoul, in which a temperature scanning is conducted on every immigrants (in airports, etc) to make sure they do not have an elevated core body, which could be swine flu exposure. Some European countries even have a patch that you temperature can put on a person's neck and get a quick and accurate reading as to any possible flu exposure. The technology is out there!!! Why are we not using it!!!! Ms. Napolitano, I look forward to an answer soon...unless of course I die from the swine flu tomorrow. God forbid.

Contemporary American Idiocy

2009-04-21T17:38:00.000-07:00

I'm fairly certain everyone has been exposed to the recent scandal involving gay celebrity blogger Perez Hilton and Ms. USA runner-up Carrie Prejean. First of all, I would like to state, that in my humble opinion, Perez Hilton is a semi-retarded menace. He is not funny, he's not kind nor polite, and the guy spends his time making fun of other people...maybe he should take a look at his nasty self first and foremost. Below, is a transcript of the alleged "controversial" exchange with Carrie Prejean (total babe):

Perez Hilton: “Vermont recently became the 4th state to legalize same-sex marriage. Do you think every state should follow suit. Why or why not?”

Prejean: “Well I think its great that Americans are able to choose one or the other. We live in a land where you can choose same-sex marriage or opposite marriage. And you know what, in my country, in my family, I think that I believe that a marriage should be between a man and a woman. No offense to anybody out there, but that’s how I was raised and that’s how I think it should be between a man and a woman. Thank you very much.”

(source: http://celebrity.rightpundits.com/?p=5866)

I don't understand what is so unacceptable about this? He asked a question and he received a response. Usually a proposed question receives an opinion, its either this or that. See, why I think this is so hypocritical, of not only Perez Hilton but also others, is because I constantly hear of being open-minded and accept others opinions and views on how they want to live their lives. Fine. But don't shut someone down, and not award her a Ms. USA title, just because she defers on a view (which she presented in a reasonable and respectful manner). In some parts of the world, homosexuality is punishable by death. That's the reality of the world we live in. Although I do not agree with that in the slightest, I most certainly can not agree with the punishment of freedom of speech. But it gets better. Perez Hilton records a video of himself claiming Ms. Prejean didn't take the crown because she is a "bitch". Is that wonderful. If I were her, I would launch a class action suit against this moron for slander (I'm not sure whether it its a class action suit or civil suit, you lawyers will have to fill me in!).

This country was founded on the principles of freedom, liberty, and the pursuit of happiness. That is what makes America the greatest country to live in and to build a future in. I discussed this exact situation in a previous post, the fact that the media has created an environment in which people who hold certain opinions are put-down and regarded as bigots. It's not like this girl is running for President, or suggested that we incarcerate all homosexuals just for kicks. She said that she holds a certain view, meant no disrespect, and held this view for a certain reason, whether it be religious, personal, family, etc. I for one do not agree with gay marriage, however I fully respect all gay people, because it's their life not mine. But I hold my beliefs based on religious reasons and also how federally legalizing gay marriage would effect society.

I think it was a wrong question to ask at a beauty pageant, and I think it was unfair how the contestant was treated, and DISCRIMINATED against for holding a certain view that didn't bring bodily harm to anyone. The liberal media has taken its pleasure in nailing this girl on the cross, and making an example of her. That, "if your not with us, and don't agree with us...then your the enemy". I specifically am gearing my criticism towards CNN. There is a reason Fox News and its subsequent programming is consistently ranked #1. I, for one, love arguing and playing devil's advocates. And I am not afraid to share my views nor my reasons for thinking the way I do with anyone. That is my right, that is Carrie Prejean's right, and it's Perez Hilton's right. As long as you keep it classy and respectful, conversation and disagreement is at the root of learning and sharing ideas. I hope to hear some opinions from people on the matter, as it is one of the (if not the most) hotly contested and controversial matters in American society.

Susan Boyle. I dream.

2009-04-16T10:52:00.000-07:00

This doesn't really have anything to do with politics or economics, but this was just too amazing not to share. This woman is an example of what you can do if just given a chance, and ALSO don't ever judge a book by its cover...because you may very well be surprised, just like these judges were.

Enjoy: Britain's Got Talent: Susan Boyle

America>Socialism

2009-04-15T22:30:00.000-07:00

Today, was a great day for America. And it was a very bad day for Barack Obama and his administration. Tens of thousands of people rallied at 500 tax day tea parties across the United States (I heard between 15,000-20,000 in Atlanta, Georgia). Despite efforts by MSNBC and CNN to demonize these people for peacefully and legally voicing their disappointment and anger over Barack Obama's spending spree, our point was made. We are not your ATM Mr. Obama, our children and their children are not going to sit around and pay for your shopping spree. The leftist media spun these tax day rallies as republican propaganda aimed at bashing Obama. News-flash morons: these rallies were filled with democrats, conservatives, black people, Asian people, white people. They tried to play this event down, as they will continue to look down upon anyone with any mere conservative opinions. If you oppose gay marriage you are homophobic and ignorant, if you are pro-life your a religious extremist, if you are republican you are marked as an ultra conservative. You just can't win with these guys can you? Well it doesn't matter, because I cannot wait (literally on the edge of my seat) for 2010 to roll around and for us to elect a new Congress into office (Lord knows 2012 can't come soon enough).

I think today was a very important day for a few reasons. It shows the Obama administration that Americans are not going to sit back and get taxed for things they do not believe in. A $3.6 trillion spending budget is unacceptable, even if a supposed $1.7 trillion is going towards tax breaks for middle class Americans. Why is it so difficult to understand the illogical results of raising taxes during a recession will only further hurt the economy. Why don't we cut federal taxes, cut capital gain taxes, and cut state taxes. This will automatically induce an economic stimulus through small businesses, in areas of job creation, consumer spending, etc. Why do you think Texas has the most employed citizens out of any other state in the United States? Because they have no state income taxes. Thus, jobs are created through small businesses. It is a very simple formula. I think people are finally starting to realize Barack Obama is human, and everyone is starting to move out of the honeymoon phase and back to to reality. Yes, I said it, Barack Hussein Obama is just a normal guy. Not a savior. Not a financial genius. Not a very effective or savvy international diplomat. He is just a normal guy. And normal guys...make mistakes.

Mission: Destroy Somali Pirates

2009-04-14T23:05:00.000-07:00

If for some reason anyone has empathy for these semi-automatic packin' Somalian pirates, I suggest you turn on your local news station and keep up with the current reports. Pirates (every-time I say that word I have visions of Johnny Depp and Kira Knightley...love her) have once again attacked a US cargo ship off the Somalian coast. Oh and by the way, these pirates don't use cannon fire and swords, oh no, they fire rocket propelled grenades and heavy automatic weapons. The most current attack was geared towards the Liberty Sun, however, the pirates were unsuccessful in hijacking the ship and taking the crew as hostage. OK, so what do we do? Lets go about this in a logical manner. The United States has the most advanced and capable military and weapon technology on Earth. These Somalian pirates have bases, ships, and your run-of-the-mill ((rocket propelled and automatic) weaponry. My suggestion: send a couple of our fighter planes to bomb the hell out of these pirate ships and bases. Problem solved. So, has anyone in the White House thought about this? Or are we going to try and extend a peaceful hand to these pirates, maybe even bow to em, or hey maybe even give them an iPod or DVD collection as a peace offering. I apologize, that was as far as my sarcasm is going to go, because this is indeed a very serious situation.

Piracy used to be punishable by death. And here we are, as a global community, sitting by and watching these barbarians raid our cargo ships and threaten us for ransom money. Are you kidding me? And of course, the world looks to the US to solve the matter, but we have yet to make a move. Here you have these pirates swearing vengeance for their slain associates (at least you have to commend their loyalty and valor), and then we have Obama promising to halt the rise of piracy on Monday. Tuesday=attack on cargo ship. Well Mr. President, you sure have done quite a bit of promising, how about we quit playing with Bo the dog, and get to fixing this pirate issue. Oh and while you're at it, lets cut down this deficit too, so Narsai Jr. Jr. doesn't have to pay for it. Many thanks, good night ya'll.

By the way, I am very excited to see how these tax day tea parties will go tomorrow, I wish I could attend, but I'm sure they will be a huge success!

I always love a good laugh...

2009-04-14T17:14:00.000-07:00

Well, I did some research as to how much it would cost to have a personalized plate in California. It is a $41 initial fee, and a $30 annual renewal fee. This lady wastes $30 a year.

Took a little break...but its back to business

2009-04-13T21:40:00.000-07:00

I took a couple of weeks off to get my life in order slash absorb all of the dramatics of the financial and political worlds. There are definitely a few key things that have been edging their way to the front of my mind. Firstly, I was very pleased to see the swift and perfectly executed rescue of Captain Richard Philips. I am so very thankful to be a citizen of a country that has the most talented military command in the world (and I say this with great confidence). Those Navy SEALS were remarkable in their tactical approach to accomplishing their mission, rescuing the captain. But here is where I am encountering a wall of giant frustration. This crisis lasted 5 days. Correct me if I am wrong, but we didn't hear anything from Mr. Obama through the first 4 3/4 days. Well, we heard Emanuel and Gibbs conveying how troubled the President was and how he was doing everything in his power to handle the crisis, and that he had given authority to Naval Commands in order to dissolve the situation. And all of a sudden, once the captain was rescued, you have the associated press (de-pressed as Mark Lavin so eloquently puts it) blowing trumpets and honoring Obama for his first international crisis well handled. (Applause). This wouldn't have anything to do with Joe Biden famous line of "Obama will be tested internationally in the first six months of his presidency"? Would it? Or it wouldn't have any correlation to the AP's school-boy crush and border line infatuation with Barack Obama...would it?

Anyways, enough about fantasized conspiracy theories and our "fair and balanced" media. Lets move on to some recent events that are extremely note-worthy. First off, I am excited to see how these Tax Day Tea Parties end up on Wednesday (You can find more information at Tax Day Tea Party). I love civil disobedience, and I enjoy it even more when its something I agree with and something I can identify with. This tax issue has reached a point of absurdity. You have a president who promised not to tax people making less that $250,000, and economists see that number dropping down to around $90,000-$100,000. Quite a difference huh? I don't like paying more taxes then I have to, whether it be capital gains or income. People get on George Bush for leaving us in debt, his online debt was around $680 billion, well those same people are so quick to forget that Obama's online debt will be $1.8 trillion by the end of 2009. Mr. Obama will also spend more in the next 4 years then all of his 43 predecessors combined. I heard an interesting point made on the radio today. Lets relate this economic situation to our personal lives, if we were in debt and trying to recover our losses and stimulate or income, etc...would we be ordering new credit cards and credit lines or trying to spend more and more money? No, you would save, spend wisely, look for growth in investments, etc. So why is our President spending trillions of dollars and increasing the tax burden on this generation and the debt burden on generations to come. Quick side note, I found this interesting and extremely troubling: Standard and Poors has projected U.S. treasury bonds to be rated as B bonds by 2020 and Junk bonds by 2030. That is the bread and butter of foreign investment into the U.S., turned into Junk bonds?!?!? Scary.

Anyways, thats it for now, I'm sure something interesting will pop up in my head tomorrow. Until then, I would like to extend my sincere (ha, ya right) condolences to Caroline Kennedy...She not only got denied from the Hilary's old senate seat, but she also just got denied by the Vatican (she was Obama's nominee for ambassador to Vatican). Better luck next time Caroline.

A Must Read

2009-03-24T09:21:00.000-07:00

I am currently reading this book, and absolutely must recommend it to anyone and everyone who has any interest in America's changing role in the global political environment. The title is "America and the World: Conversations on the Future of American Foreign Policy". The book is in interview and discussion format, questions are posed by the renowned journalist David Ignatious. The two men he is interviewing are Zbigniew Brzezinski and Brent Scowcroft. Zbig Brzezinski is the former National Security Advisor to President Jimmy Carter, and had extensive experience and influence during the Cold War era. Scorcroft served as National Security Advisor to President Gerald Ford and President George H.W. Bush. These men are two of the brightest and most experienced political minds in the United States. Their extensive political positions and experience allow them to share key insights into global politics, and the United States' role in the Cold War, Afghanistan, Iraq, China, Japan, etc. This truly is a must read for every American, you can learn a lot about our country's political position in the world today.

Purchase book here

Have we weathered the storm?

2009-03-23T22:52:00.001-07:00

Stocks soared and markets rallied today on news from the Treasury regarding their toxic asset relief plan. Although we are awaiting details, the news of the plan was more then enough to sending the Dow surging nearly 500 points, which is the largest gain since October 2008! Well, it is extremely encouraging and relieving to see that the markets are responding in a positive manner. Maybe Tim Geithner and Barack Obama are finally comprehending the correlation between their attitude/statements to the financial markets/investor confidence. Banks especially had a solid performing day, including a 20% increase in Citigroup and a 26% increase in Bank of America stock.

Now, what does this all mean? The essential question that we need to ask ourselves, and our economists, is have we seen the worst of this mess? Are we at a turning point as far as the recession is concerned? Well, in my opinion yes and no. I think we have seen the worst of things, regarding financial markets and the economic downturn. Do I think we are recession free? No. We have to be very careful of the road ahead, we could eventually see a stagnant economy leading to elevated risk of inflation. However, I do believe that investor confidence is being restored, and as long as we are able to clean up the bank balance sheets, then we should be in good shape. That is the main purpose of this TARP initiative produced by the U.S. Treasury. It will offer incentives for private investors to purchase up to $1 trillion in bank's troubled assets. This is extremely essential for economic growth for a couple of reasons. Once the banks are able to clean up their balance sheets, and rid themselves of these toxic assets (which they are having trouble pricing), then credit lines should free up. With the banks possessing stronger balance sheets, they will be able to loan more through credit as opposed to trying to remain as liquid as possible. The other thing that will certainly help is the purchasing of foreclosed properties. The worst thing for a bank's balance sheet, besides the so called toxic asset, is a foreclosed home. They are desperate to get them off their hand, and so I believe with a little government incentive (i.e. a $15,000 tax credit), a very low mortgage rate of around 4%, and an excellent bargain, foreclosed properties should start selling soon.

Lets jump to the political arena for a bit. President Obama has been under heavy criticism as of late regarding his demeanor and overall attitude in the past few weeks. You know, I often hear two views, either Obama is too gloom and negative or he is overly joyous and smiling too much. I think that is a bit ridiculous. But I will tell you what I have a problem with. I have a problem with our President showing up on the tonight show with Jay Leno, and then proceeding to imply his bowling score of 129 is "special olympics worthy". You know what's ironic about this? The there is a group trying to eliminate the word "retard" by the end of March, and here you have the President of the United States suggesting his bowling capabilities are comparable to that of a special needs participant in the special olympics. To me, his smiles and jokes are a sign of arrogance. Here we are in the most serious fiscal calamity since the Great Depression, and Mr. Obama is touring Los Angeles and appearing on late night talk shows? Mr. Obama, you are a government employee, you recieve your pay and mandate from the masses, and in-turn you should be spending every single minute of your working day trying to solve this country's economic problems. Not shooting the you know what with Jay Leno.

The real issue for me is I just don't trust the guy. I'm sorry, I just do not believe a word coming out of his mouth. And although I am willing to give him a shot before I judge him and his policies, I refuse to refrain from being critical of policies and things I do not agree with. Every time I see him on TV or listen to him speak it is a flashback to mid 2008 during the campaign trail. And I don't think I'm the only one, one poll has 14% of independents changing their opinion regarding agreeing with Barack Obama's policies. Well, unfortunately time will tell whether he is the right guy for the job. For now, its a reality we must face. I still wish he would debate Bill O'Reily or Sean Hannity, it would be amazing.

AIG: American International Gangstas

2009-03-16T23:34:00.000-07:00

If you have watched TV in the last 6 months, I'm sure you have heard about the debacle going on at AIG. AIG (American International Group) is one of the largest American based insurance companies around. Back in September, when the recession really started hitting home, AIG was one of the first to ask for government bailout funds. Their credit rating was downgraded, and in turn AIG faced a large liquidity crisis because this downgraded rating forced them to put up collateral with their trading counter-parties. So what did the government do? They gave AIG $85 billion fearing that the collapse of this enormous corporation would negatively effect investor confidence and deepen the recession we were entering. The government in turn took an equity stake in AIG, and in reality the U.S. tax-payers became the shareholders...woopdedoo.

In October 2008, AIG received another $37.8 billion in aid money. The company had over $13 billion in losses from January-June 2008, and their stock had dropped from $70 down to a measly $1.25. Then in November, another $40 billion worth of equity was purchased in AIG by the government. Needless to say, this pumping in of cash was just a means of stalling the inevitable. Point of the story is, AIG received over $150 billion in "bailout money", and what are they spending it on you ask? Well it seems the priority for AIG executives is to pay out $165 million in bonuses for themselves. Yes, you heard right, AIG executives will be receiving millions of dollars in bonus.

See, I thought one receives a bonus in turn for doing something good, or performing well over the course of the year. If this was the case, how in God's name are AIG executives deserving of bonuses. It is absolutely enraging to have to hear about this kind of situation. Here we have this corporate giant begging for money in order to run day-to-day operations (or so we thought), and they go off spending our (tax-payer) money in the form of bonuses? Its sickening. And I am glad to see Obama and his administration attempt to block this from happening. I think the New York District Attorneys office, in coordinated efforts with the U.S. Attorney Generals office, should prosecute any of these executives who received the money as well as the genius' behind the whole plan.

We have pumped billions into this company, and it seems that the end is near. AIG continues to post losses, pay off bonuses and high salaries, and then turn around and ask for more. I think we need to let the cycle of free market capitalism take effect, and next time these bastards ask for more money we should give them a bag of coal. I hope some regulation takes effect on this matter, and the people responsible are suitably punished.

Bernard Madoff: The worst human in history

2009-03-12T23:34:00.000-07:00

Yes, worse then Castro, worse then Hitler (maybe tied), even worse then Judas Iscariot himself. For those of you fortunate enough not to know who Bernie is, let me give you a quick explanation. He was a very wealthy private wealth manager, who only took on select clients. He ran the largest ponzi scheme in U.S. history, stealing over $65 billion. Absolutely bizarre. That's not even the best part, the Madoff company was audited and checked on by the SEC over a twenty year period, and yet they never found out about the scheme. But in all seriousness, this is such a sad story, people lost retirement money, college funds, life savings, etc. Even the actor Kevin Bacon lost a chunk of cash because of Madoff. I saw an interview today with a 50-60 year old couple who had invested their life savings with Madoff. They wanted to accumulate money in order to pay for their grand-children's college tuition. They lost everything. Now they both have to work 9-5 jobs just to make ends meet.

Madoff ran the "company" with his wife, brother, and two sons (who were in charge of compliance, ha). After his arrest, Madoff's wife claimed the $70 million in her account was her earned money. You know what? I think you should look up this entire crooked family, a) for being cheats and b) for being morons. The woman hasn't worked a day in her life, and now she suddenly has $70 million? Good one. The 7o year old Madoff has pled guilty to 11 felony counts (except conspiracy), and is facing 150 years in prison. He pretty much knows that his life is over, but he is trying to secure the future of his family. Fat chance.

Bernie has bigger problems then his double life sentence. It is believed that he is involved with the mafia (some claim the Russian mob). And I think we all know the mafia likes to collect their money, one way or another. Sometimes they go for you, and sometimes they target your family, who knows? Mr. Madoff, I would wish you good luck, but you don't deserve it. The last person on Earth that I would want to be at this point in time is Bernard "Bernie" Madoff.

Secretary Timothy Geithner

2009-03-10T10:41:00.000-07:00

This is an awesome video, gives us a chance to relax a little bit and laugh at the current situation we are in, albeit it is at the expense of the secretary of treasury, haha.

Government funded embryonic madness...

2009-03-09T22:02:00.000-07:00

President Obama has over-turned a Bush bill which will now allow government funding to be directed to embryo based stem cell research. Well, I have a couple of things to say about this. I personally think we just opened a Pandora's box of moral calamity. How in God's good name are you going to be able to regulate what scientists do with public funded embryo research? Have past results warranted this dramatic change in policy. I saw nothing wrong with the bill passed from the previous administration, which have public funding to adult stem cell research, the point of this was to avoid the moral issues involved with killing embryos for their stem cells (which is a very viable reality). Under Bush, stem cell research was increased dramatically, and all kinds of stem cell research were allowed under privatization, but embryonic based research was not funded by the government. Don't get me wrong, I am all in favor of stem cell research, I think it has wonderful benefits to correct genetic malfunctions and cure diseases that effect a lot of people (a lot of people I know and care about). But I am not willing to sacrifice my morals and values in the name of research, in the name of science, and in the name of Barack Obama wanting to keep top scientists in the U.S. Mr. Obama said that we needed to make this crucial change in the name of science, and in order to keep our top scientists from leaving the country because of the lack of public funding for research. How funny. Because, I recall certain top doctors leaving certain countries (France, Spain, Canada, etc) because of nationalized health care. Quite an interesting double standard that the President and his administration seem to hold.

You know what? I'm actually pretty pissed off. The most powerful man in the world, not the country, the world does not know how to prioritize and organize himself. In case Mr. Obama forgot, we are deepening in a global recession that has yet to bottom out and whose outlook is grim at best. But, here we are signing bills about abortion funding, embryo research funding, nationalized health care, and renewable energy (this one just blows my mind). Is it just me? Does no one else seem to get agitated when we are having a global economic meltdown, in which people are losing homes, jobs, retirement funds, pensions, etc...and here we are talking about renewable energy and abortion funding. Michelle Obama once said, "I have never been so proud to be an American". Well, let me say this, it is a little more difficult to hold my head up these days, especially after seeing how our country's elites have been running things. Even legendary investment guru, Warren Buffet (an Obama supporter), is skeptical, and suggested in an interview this morning that Barack Obama is trying to do too much at once.

Anyways, enough of that, its just upsetting to think that only a few months ago during all of those presidential elections, the economy was the hot topic. And now, all I am hearing is "don't worry", "we inherited this problem", "everything will be fine"...Umm, well I AM worried, and I don't care if you inherited this problem, I inherited it too and I have to deal with it, and NO everything is not going to be peachy. In other news, market was down today (surprise, surprise) and we were ever so close to engaging in wars with the Chinese and the North Koreans. I spoke about the Koreans in my previous post, but apparently we came dangerously close to engaging Chinese ships due to their aggression and breaching of International Waters Law. It is a really scary thought, to think we came that close to a global mess. That would be just what we need on our plate, another conflict with another nation. Anyways, I hope it can be avoided at all costs, and I think that a Chinese ambassador or diplomat of some sort is scheduled to meet with U.S. officials in Washington D.C. tomorrow, so we will see how that goes.

Stay tuned, everyday is just full of headlines.

North Korean lays down the law

2009-03-08T23:43:00.000-07:00

North Korea has ordered their troops to be combat ready and on standby. The country has announced a satellite launch, and has made it very clear that any interference with that launch will be viewed as an act of war. This is very concerning. These launches could actually be missile tests and not satellite launches. Japanese and U.S. officials have suggested that they could and potentially would shoot down any North Korean missiles. Also, South Korean and U.S. troops have launched annual war games, which trains and prepares soldiers for combat. The North Koreans have taken it as an advanced aggressive sign, and between this and the threat of their missiles being shot down they have issued a statement.

"If the enemies recklessly opt for intercepting our satellite, our revolutionary armed forces will launch without hesitation a just retaliatory strike operation not only against all the interceptor means involved but against the strongholds...Shooting our satellite for peaceful purposes will precisely mean a war"

This is potentially a very real and scary situation. North Korea not only has anti-American sentiments, but also believed to have nuclear weapons. Could we see another Korean War? I hope not, because this one would be a lot deadlier then the last. That means South Korea, Japan, the United States, and their allies would get involved along with China and Russia. North Korea has one of the largest and most powerful armies in the world, with over 1.2 million soldiers. Analysts say that this could be a ploy in order to test the Obama administration, since they are in the midst of defining what their relation ship will be with the North Koreans. I personally would take this as a very serious and viable threat, and would have to go about it in a very diplomatic way. The problem is Kim-Jong-il is not the most friendly ruler, and who knows what this Napoleonic-like man is capable of doing. Hopefully this situation is handled in the correct manner, we will just have to wait and see.

I also wanted to make a quick little note since I just read it, the Japanese Nikkei 225 exchange just reached 26 year lows amidst fears of the global economy. Analysts are also discussing an unbelievable situation, the dow reaching 5000 and the s&p reaching 500 levels. This is a complete bearish dream, and a bull nightmare. I don't think we are going to see those levels, because if we do, I don't think there is any coming back from them. Tomorrows trading day will be an interesting one, there isn't any indication that things have been changing or that we have hit a turnaround. Unfortunately I think we are riding a steep slump, and I just can't tell you when its going to be over. Its like being on the roller coaster from hell and not knowing when the ride is over. Just remember, cash is king, as long as you remember that you should make it out just fine.

Webster Tarpley on Barack Obama

2009-03-07T22:48:00.000-08:00

This video is only an opinion, and could be considered conspiracy, however it is interesting to hear some different points of view. Check it out, and let me know your thoughts

The collapse of the financial sector

2009-03-05T17:24:00.000-08:00

Another interesting yet disappointing day of trading on Wall Street. The dow dropped another 281 points, and has reached an unbelievable low level of 6594. It seems like yesterday that we were seeing levels of 1400 and 1500. Financials and nearly all sectors of the market got hit hard today mainly because of Citgroup's seemingly imminent demise. Bullish investors are working hard to keep Citigroup's stock price above the $1 mark, even though it broke that threshold earlier during the trading day. Investors are fearing the worst, the failing of our financial markets. I mean, who can blame them. You have two of the largest companies in the United States (even the world) nearing their end. And here we have Geithner and the rest promising that banks will continue to get funds in order to avoid failure. Take my word for it, 50 years from now people will be studying this crisis and learn about the "AIG Mistake". You know, the one where the government took tax-payer money and pumped it uselessly into AIG, who in turn spent it out on bonuses, office decoration, and corporate getaways. Instead of giving those corporate dogs more money, why don't you give $200 billion back to the people. Let them pay-off debts, house payments, invest, create some wealth...maybe that would be a better "stimulus plan", if only I was born in the U.S., it would be the "Tailo 2028 campaign".

Tomorrow should be an extremely interesting trading day. National unemployment numbers are set to be released, and they are not going to look very pretty. I think the national rate is around 9-10%...which is just silly. So market could react in two way, A) it could cause a substantial increase in markets because of panic or B) it could just be another devastating blow due to lack of confidence. We have either neared the bottom and can expect the bulls to defeat the sell off bears, or we can look forward to another devastating slide in the economy. Tune in tomorrow and find out. As for me, I think I may buy some stock/contracts on the S&P tonight and see how it plays tomorrow morning.

I read a very interesting article today. I often fear that President Obama is one of the most inspiring and public speaking politicians this country has ever seen. I can't say that I don't agree. However, did you know that Obama uses a tele-prompter more than any president in American history. Lets be realistic, presidents have been using a tele-prompter for the last half century, but usually only for very large speeches like the state of the union address, or when they have to address congress, etc. But Obama has taken it to a new level. He uses tele-prompters for nearly everyone of his public addresses (they are just hidden out of camera view), and also he has been coached by some of his staff through several news conferences. Now, you may look at this and say, "whatever, its not a big deal". But I think the American people are long-due some honesty and truth, especially in times like this. Media question sessions are not meant for cue cards and notes from your staff on how to answer questions. Just my opinion though.

I want to talk about something that is driving me absolutely crazy. Why is the democratic party so interested in bringing bad publicity to Rush Limbaugh? Why is this man constantly misquoted and misrepresented. His speeches and words are taken completely out of context. I don't agree with a lot of what he says, and I think he is a very conservative Republican, but I don't doubt the mans love for this country or his talent. You show me another political radio hot who has over 20 million listeners and I'll shut up. There has been recent controversy surrounding Limaugh because of comments he made suggesting he wanted Obama's policies to fail. I think he was saying he was wants the policies to fail because he believes that these policies will hurt our country in the long run. He is entitled to his opinion, and if you don't like it then don't listen to his show. But here you have some liberal politicians who are criticizing Limbaugh and the GOP for having him as their spokesman, etc, etc. Either they are intimidated or they are taking attention away from the failing policies and errors of this administration. I have noticed a trend recently. When backed into a corner, the democratic party has started attacking republicans and conservatives. Since there is no Gingrich, Bush, or Cheney anymore, who do they go after...Limbaugh.

Lastly, I just read about the details of Chris Brown's alleged attack on Rihanna. Man. So disappointed in him, it was such a brutal attack. And it all started because she saw a text message on his phone from another girl. Guys, do yourselves a favor, put a pass-code on your phone. Brown is facing two felony charges (threats to do bodily harm and assault). I just hope Chris "Pretty Boy" Brown can avoid jail time, for his sake...if you catch my drift.

Dow's down again, jobs "created", rescue efforts have ceased.

2009-03-03T16:16:00.000-08:00

The Dow was quite volatile today during trading hours. Although I follow the S&P more carefully then the DJI, the Dow definitely impacts the other averages and the general movement of the market. A lot of people don't actually know what the Dow and S&P are, so let me quickly explain what they are. The Dow Jones Industrial Average is an average computed based on the stock prices of 30 of the largest and mostly widely held companies in the U.S. It was created in 1896 by Charles Dow, and the "industrial" portion is more historical then it is reflective of the type of companies in the Dow 30. Some of the companies include: Coca-Cola, General Electric, Bank of America, Citigroup, IBM, JP Morgan & Chase, Walmart, etc. The DJIA gives us a solid and conceptual understanding of the market's movements, because it includes financial, consumer, retail, banking, and pharmaceutical stocks. The S&P 500 (Standard & Poor's 500) is a value weighted average of 500 large cap (overall market valuation of more than $5 billion is the general rule) common stocks traded in the U.S. The S&P is also generally viewed as a significant indicator and benchmark in relation to overall market movement and performance. I hope that helps, but I really must talk about something else that is just eating at me.

Does anyone else ever get sick of leftist media and right wing media outlets (cough, CNN and fox news)? Because I do. Quite often actually. Every time I go to CNN.com all I see is liberal propaganda aimed at persevering and advancing the democratic agenda. Same with FOX. A lot of criticism and conservative babble. Example. The main page of CNN.com's politics page is "'Shovel's hit the ground' on stimulus project, Obama Says". This was in reference to the 60 jobs created recently because the a piece of the infrastructure portion of the $787 billion stimulus bill has been used for Maryland Highway renovations. Look, 60 jobs is a start, its definitely not headline news. Because millions and millions of jobs have been lost, and several hundred thousand of those were in the last two months. I wouldn't poor the champagne and light the cigar quite yet. But I would be very interested to find out how much of that $787 billion was used to create those 60 jobs. I feel that is essential in making projections and analyzing the situation further.

Personally, if I was going to create jobs, I would've gone a different route. I think tax cuts for small businesses (which employ the majority of the country) and money put back into the people's hands may have been the best option. How about decreasing capital gain tax? Maybe even making it zero for a year or two? I mean it couldn't hurt to try these policies, along with a smaller spending/stimulus bill. But I mean $780 billion bill, $410 billion bill, and a $3.6 trillion spending budget??? And all of this is somehow going to cut the national deficit in half by the end of 2013? Call me a skeptic, call me pessimistic, I just don't think you can call me stupid.

Which brings me to my next point. Timothy Geithner. He defended the $3.6 trillion spending budget today, citing the fact that the Obama administration has inherited the worst fiscal situation in American history. Obviously Timothy failed 3rd grade history class, because there was something called the Great Depression, you know 25% unemployment. Also, I am sick and tired of hearing about Obama inheriting this and that from Bush or Paulson. Look, the economy tanking is not a new development, some knew about this back in 2007, and the rest of us fully realized the mammoth proportions of this crisis in the summer of 2008. So if President Obama didn't want to "inherit" this mess, he shouldn't have put his hand on the Lincoln Bible and repeated the blotched oath. It is extremely frustrating to have to listen to this nonsense day in and day out. OKAY, we get it, you came into office during troubled times. The reason you are in office is because you promised change and solutions for these problems. So, Geithner, Mr. President, and all other cabinet members, please quit the political crap and do your jobs.

I, for one, do not think that money poured into education, alternative energy sources, and universal health care is going to solve this economic recession. I don't really know if anything we do as of now can fix it. It might just be a part of the viscous cycle of free market capitalism that we have to accept. I think education and alternative energy research are crucial for our future, (you all know my view on social health care), however, they should not be the center point of our plan to combat this economic calamity. What we need to do is start fixing the foreclosure problem, so that Americans can have home security, create jobs, cut taxes instead of spend our way out of this mess, and lastly I think we absolutely must start valuing troubled assets on banks balance sheets. The problem is that these banks are stuck with troubled assets on their balance sheets that are not being properly valued, therefore they cannot sell them. We need to figure out pricing, sell them or put them in a "bad" bank, and free up some credit. These things are considered stimulus. Not rebuilding highways and roads in Maryland. Or giving more scholarships. I mean these are good things, don't get me wrong. But, barley any jobs are being created.

Maybe I'm being selfish. But I want to know how $787 billion is going to help me and my fellow 2008/2009 college graduates and young generation looking for careers, house investments, a car, etc. How can you help me President Obama?

Lastly, I would like to extend my prayers and thoughts for those three men and their families who are still lost at sea off the coast of Florida. Terrible story, and it seems that coast guard rescue teams have called it quits after covering 24,000 square miles. I think its fair to call of the search. These guys have been missing for a few days now, and there is a very very slim chance they would've survived in the frigid waters, without life vests, and 13 foot waves everywhere. It's a sad story.

Have a good one ya'll and try and stay dry tonight.

Just another manic monday...

2009-03-02T19:52:00.001-08:00

A lot of news today, and if I could, I could talk about everything that happened this weekend and today for pages and pages. But I won't. Firstly, because it would take too long and secondly because I don't want to depress the hell out of you. I mean we've got missing NFL players off the Florida Coast, a 300 point drop in the Dow, AIG asking for more money, and (this one's crazy) an 840 pound emerald found in Brazil worth $400 million. Okay, I'm going to take a deep breath...and go:

1) President Barack Obama has made yet another bad decision. He has chosen former Dallas, Texas Mayor Ron Kirk to be the new U.S. trade representative. Unfortunately, Mr. Kirk is the fourth pick by Mr. Obama that has had tax issues. He owes $10,000 in taxes. Ah, who cares, right? We're used to this by now. By the way, whoever is in charge of vetting these potential government officials should get a swift kick in the you know what and a pink slip.

2) The DOW drops another 300 points. That puts us at below 6800 points, and is the lowest level since April 1997. I was 11 years old the last time the stock market was this low. Banks were battered in a sell off that started in Asia and moved quickly over to the U.S. I really don't have much to say about this. It's very troubling. I am extremely worried. And I think people don't really realize how bad of a sign this is. But, what can you do?

3) AIG wants $30 billion more. Sure. Go ahead guys, its not like our economy's in the toilet or anything. Henry Paulson/Tim Geithner, pat yourself on the back buddy. AIG posted losses in excess of $99 billion in 2008. And, the government has already given $150 billion to this troubled insurance giant. You just have to know when to let things go. I mean honestly, what is $30 billion going to do for AIG? Because, it most certainly will not stop it from asking for more money. If AIG wants to save money, maybe they should stop spending millions of dollars on sponsoring Manchester United. Maybe that might help just a little bit. Morons. Let me put it for you this way. Picture AIG as a terminally-ill patient who is in a vegetative state. Picture Geithner and the Treasury as the medical team responsible for this patient. And picture the billions of dollars being poured in as the oxygen flowing through the life support machine. We're keeping AIG alive, at the tax-payers inconvenience, and for what? In my opinion, we are delaying the inevitable. The fall of AIG.

4) 840 pound Emerald. $400 million. Coolest thing I've heard all day.

5) While millions of Americans struggle with unemployment, home foreclosures, and the worst economy since the Great Depression, Ms. Nancy Pelosi is flying around the country in a private luxury jet. Yes, that's correct. The good people of America have, and are currently, paying to maintain Speaker Pelosi's private plane. Newt Gingrich, who was speaker of the house from 1995-1999, flew commercially. I'm not a seasoned private jet aficionado, but I am guessing this jet costs $5-8 million to keep gassed up and maintain. So why can't Pelosi fly like the rest of us? Why are these politicians getting all of these perks, increased salaries, and pork-filled bills passed while Americans are losing their jobs, homes, and waiting in line for food stamps?

6) I can't say that I am surprised. But, there has been some heavy criticism over President Obama's $3.6 trillion budget for the next few years. It seems as though Mr. Obama and his administration have grossly OVER-estimated the amount of money they will save in ending the war in Iraq, and grossly UNDER-estimated the amount of money budgeted for the wars in Iraq and Afghanistan in the next three years. They have estimated $50 billion per year (starting in 2011) for both the war in Iraq and Afghanistan. While the estimated cost of war in 2009 is $142 billion. Also, Obama's team estimates it will save $1.5 trillion over a 10 year period by cutting back on war spending. But, this price tag would ensure spending $100 billion until 2019. It just doesn't add up. And, by the way, all I have been hearing from this administration is spending, spending, spending, and more spending. Earth to White House, we are in A RECESSION. STOP SPENDING MONEY. I need to stop talking about this, because it is actually raising my blood pressure.

7) I was thinking today about why the government isn't panicking so much during this economic downfall. Don't you think the deeper we fall into this recession and economic mayhem, the more power the government gets? I'm not a conspiracy theorist, nor am I a radical Conservative. However, just entertain the notion. Think about it. The worse our economy gets, the more we "need" the government. Soon, we will have an invasion into the private sector starting with nationalized banks, corporations, health care...All of these things will be controlled by the U.S. government. Is THIS what the majority of Americans voted for? I totally respect that Obama has made history, and I truly am proud that our country has evolved so much in the last few decades. Going from oppression and open racism to having the first black President. But, people, we are in a deep deep recession. Nonetheless, historic events are no excuse for bad decisions, ill-advised spending, and a lack of action during times like this.

Well, that about wraps up a very annoying and frustrating Monday. I apologize if I forgot anything, but there was quite a bit to discuss. All I can say is lets see what tomorrow brings us. I'm gonna go ahead and anticipate another sell off on the market, but who really knows these days. Have a good one my friends.

More and more soldiers dying in Afghanistan

2009-02-28T18:26:00.000-08:00

Reality check. U.S. fatalities have increased three-fold in the first two months of 2009, compared to January and February of 2008. A contributing factor to this increase in 2009 is the fact that we have more troops stationed in Afghanistan compared to a year ago. In 2008, the U.S. had 27,000 troops in Afghanistan. We currently have 38,000 troops, along with another 17,000 on the way soon. In a statement to the Pentagon, Mr. Obama stated "I think that because you are going to see that additional engagement, there is a risk of greater additional casualties in the short-term, just as there were in Iraq". However, these casualties we are seeing are not only U.S. soldiers, but also innocent Afghan civilians. Unfortunately, these are the perils of war. Yet, I have failed to see the logic of Obama's policies thus far given we are engaged in Afghanistan. I think it is an established fact that we are at war with the Taliban. Now, if our country is at war, it is a potential target. So, that being said, why would Obama cut defense spending by 10%? A 10% cut is over $73.4 billion per year in national defense and security.

It is a difficult enough war to fight, a war on foreign ground against a hidden enemy. The Taliban uses the mountainous terrain of Afghanistan as a key advantage over the invading U.S. troops. Also, their artillery consists of IEDs and rockets targeting U.S. convoys. I strongly believe in the protection and security of America, both on our soil and on any enemy's that threatens our well-being. I think cutting defense spending is an enormous mistake, with real consequences. The Taliban is a strong enemy, and to defeat them (especially in Afghanistan) is going to require tremendous financial contributions towards war/defense and manpower. It saddens me to think that we have only begun to see the ill-effects of this war.

I am also very interested to hear what any democrats/liberals/Bush antipathetics think about this war and its potential consequences...

I can't believe this is real...

2009-02-26T22:25:00.001-08:00

I'm sorry, I just read this. Apparently, Nadya Suleman (the octuplet mom/Angelina Jolie creep) is considering doing a porn movie with Vivid Entertainment for $1 million. I only have a few comments as to what should happen to this woman and the twisted doctor who implanted the embryos in her womb.

She should be imprisoned, and the hospital and L.A. Child Protective Services should take those children and put them in a more suitable environment.
Dr. Michael Kamrava should have his license removed and should be imprisoned.
I can't believe this lady had eight children through IVF, although she already had six kids and was on food stamps.

Here is a copy of the letter (courtesy of TMZ.com) from Vivid to Ms. Suleman asking her to consider pornography:

click here for letter

My sincere apologies, I know this has nothing to do with politics or the economy, but I am just so disgusted with this woman and the amount of media attention she is getting.

$3,600,000,000,000.

2009-02-26T14:44:00.000-08:00

Three trillion and six hundred billion dollars. President Obama just got a spending account worth three trillion and six hundred billion dollars. The aim of the spending is to halve the federal deficit by the end of his first term in office through expanded government activism, tax increases for wealthy families and businesses, and spending cuts targeted at those "who profited from an era of profound irresponsibility". Let me put this in perspective for you. The publicly held debt - which is the money owed to domestic and foreign creditors - was 40.8% of the GDP in 2008. In 2008, the gross domestic product was $14.22 trillion, of which $5.8 trillion was debt. In 2009 and 2010, under the President's proposed spending plan, the GDP is estimated to be $14.4 trillion and $14.7 trillion, respectively. Here's the scary part, the projections for national debt as a percentage of GDP for 2009 and 2010 are 58.7% and 64.6%, respectively. That's $8.3 trillion in 2009 and $9.5 trillion in 2010 for public debt.

This unprecedented spending bill is going to fund education projects, nationalized health care, and the shifting of energy sources away from gas and oil. All this will be done in the name of a massive reordering of the federal government. So lets recap what we have so far, $780 billion spending bill, $410 billion pork-barrel spending bill, and now this. Lets not forget that $200 billion has been budgeted for the war in Afghanistan. And, on top of all this, Mr. Obama is blaming all of this on the Bush Administration and criticizing past war budgeting stating, "and that kind of dishonest accounting is not how you run your family budgets at home; its not how your government should run its budgets, either". I'm sorry Mr. President, did I hear your right? Your talking about dishonest accounting and fiscal responsibility? A) you want to spend 3.55 trillion dollars on God knows what, B) Tim Geitner, Hilda Solis, Tom Daschle, Bill Richardson...enough said. You've elected members to your cabinet, to sit in positions that hold tremendous power, yet half of these members can't even pay their taxes. And here he is blasting the Bush administration. President Bush had his good days and bad, but you cannot possibly blast him for this economic crisis. This crisis was created because of greedy banks, naive homeowners, and a lack of regulation by the SEC and FED...not by public policy. Bush spent $600 billion on the war, and here Obama is spending in excess of trillions of dollars, don't forget the interest due.

Why should you care? Because taxing households and businesses making $250,000 or more is not going to fund all of this mayhem. Top economists agree that he will most likely have to begin lowering that number to $150,000, maybe even $75,000. Someone has to pay for this, and that someone is the American people. Obama is basing his optimistic, and in my opinion unrealistic, projections on the fact that he believes the economy will recover and growth will be established at a faster pace then most economists and scholars are willing to accept.

I'm not only frustrated, but sadly disheartened, as our country moves in a direction so far skewed from its roots. As Margaret Thatcher once said, "the problem with socialism is that you eventually run out of other people's money". Call it socialism, call it fiscal responsibility, call it payback even. I don't care what you call it. Obama is going on a massive spending spree on our tab and on our children's tab. His Robin Hood mentality of stealing from the rich to fund the poor is wrong. His massive spending in times of economic hardship is wrong. His criticism of past administrations, and accusations of accountability and irresponsibility are wrong. I'm a Republican, but don't get me wrong, I am all for Obama doing well and succeeding, and I think anyone who is not doesn't love this country. But when I see wrong, I am required to point it out. The best thing everyone can do, is read up on these spending bills, contact your local representatives and let them know what you think. Government is supposed to work for us, not the other way around. I don't mean to end on a pessimistic note, but I really can't see the light at the end of this tunnel, and its very troubling.

How did we get into this economic meltdown?

2009-02-25T18:48:00.000-08:00

First off, I would like to thank everyone not only for their positive comments, but also for their interactions period. I think we all have a lot to learn from one another, and constructive arguments and disagreements definitely aide in the transfer of information and knowledge. Lets get to today's main points.

When discussing the current economic situation here in the U.S., and also on a global basis, a lot of people just don't know what went wrong. How did we get to this point? What are we doing about it? What are "stress tests"? What's the TARP?? Well I think its worth discussing and trying to make sure everyone knows what's going on, because it definitely effects you or at least someone you know.

Lets start with how we got ourselves into this whole mess. Some people say the seeds to this economic disaster were sowed back in the late 90's during the tech boom. This may be so, but I think we entered this mess a few years later through the sub-prime mortgage crisis. What is sup-prime lending? Sub-prime lending is basically when financial institutions (like Fannie Mae and Freddy Mac) who provide credit to buyers who do not meet the prime underwriting guidelines. Now you ask, "why would someone loan money through credit to someone who can't afford it?". Greed. Lenders are supposed to make sure a borrower has enough income, good credit, and assets before they are able to loan money from financial institutions and banks. However, these lenders signed off on mortgages and loans that borrowers could not pay. I think it is a combination of greed, stupidity, and lack of regulation that really accelerated our downward spiral into this recession. So now you have people defaulting on their loans and mortgages, leading to foreclosures which are seized by the lender or bank. Real estate markets are starting to decline, banks are starting to accumulate bad debt on their balance sheets, and the snowball is quickly turning into an avalanche.

This sub-prime crisis began to effect the financial markets, and when markets are effected it means that investor confidence has been rattled. We started seeing 600, 700, and even 800 point drops in the DJIA (Dow Jones Industrial Average). Bad debt had been packaged together and quickly sold into the financial markets, and once it hit the markets there was no turning back. Because so many people were defaulting on loans, banks were stuck with all of these foreclosed properties, and that is the worst possible thing a bank can have on its balance sheet. In response, banks had no other choice but to cut their lending and lines of credit. You could have five cars, an 800 credit score, and a hefty in come and even then it was tough to get a loan. Next we began to see the ripple effect, the global financial sector was stopped right in its tracks. Northern Rock, a British bank, was nationalized by the government because it was hit so hard by the sub-prime mortgages. The Japanese, Middle Eastern, and European markets went ballistic, they were reacting off of the U.S. markets. Places like Dubai had a real estate market collapse and a number of economic problems. Banks stopped lending to one another, which started to lower the LIBOR rate. And so we found ourselves quickly going into crisis mode.

Corporate giants like AIG, Merrill Lynch, Citigroup, Bear Sterns, and Lehman Brothers were on the verge of bankruptcy and destruction. If you would of told me a year ago that Lehman Brothers was going to declare chapter 11 bankruptcy, I would of told you that you were an ignoramus. But, surprisingly, on September 15 the unimaginable happened. Next was Merrill Lynch, who was saved because they were acquired by Bank Of America in December 2008. Citigroup and AIG are on the verge of collapse, even though both have received billions of dollars in bailout money. In my opinion, either the government has to take a larger equity stake in these companies or they have to just let them collapse. That's the vicious yet necessary cycle of capitalism. It's Darwinian evolution, the survival of the fittest. If AIG receives $85 billion in bailout money, and they are still flying corporate jets and throwing parties in Vegas, I say you let them crumble.

This whole crisis is really a difficult thing to summarize and explain. I have listened to Harvard economists and financial experts try to explain it in layman's terms and its near impossible. There are just so many contributing factors that served as catalysts to this economic breakdown. And now, we have to deal with, and our children have to deal with it...

The good news is that we are not going to dive into a depression, and this seems to be a U shaped recession. We won't go into a depression because we have to many economic and financial mechanisms that prevent us from falling back into an era of 25-30% unemployment. Also, back in the 1930's they didn't have the Federal Reserve. The FED has enough cash and power to control this situation, although it does take a lot of time to heal the wounds, we should get out of it eventually. Also, quickly, Nouriel Roubini (an economist I have come to very much respect) believes we will have a U shaped recession lasting 12-18 months. There are different kinds of recessions, V, W, L, U, etc...but a U shaped recession is a shallow drop followed by a stagnant period of no economic growth, and then finally an increase in productivity and a freeing of the credit markets. Its tough to say, most analysts see it as a V or U shaped recession.

What are we doing about this? When the crisis hit, and markets started destabilizing, the Emergency Economic Stabilization Act of 2008 was conjured up by Secretary Henry Paulson. The "Paulson Plan" pretty much allowed the U.S. Treasury to acquire up to $700 billion in mortgage backed securities. This didn't seem to do the trick, it only really stalled in the inevitable. Next, we saw the largest spending (and yes I call it a spending bill, and not an economic stimulus) in U.S. history. President Obama signed a "stimulus" package worth $787 billion (over $1 trillion once you factor in interest paid). So now we have to sit and wait to see how this money will be distributed and how jobs will be created.

I personally think we need to target the banks, we need to be able to free up credit and get investor confidence back to normal levels. Tim Geitner, who I have my reservations about, has suggested we conduct Bank "stress tests". Roughly 20 different banks with assets of over $100 billion will subjected to this stress test to see if their financials are strong enough to weather the storm. Reuters gives a good description of some of the ways in which banks will be tested, I have listed some of these points bellow:

-"The tests will analyze banks' potential firm-wide losses, including in their loan securities portfolios, as well as from any off-balance sheet commitments and contingent liabilities/exposures over a 2-year period beginning in 2009"

-"The banks' conditions will be tested under two economic scenarios: a baseline scenario and a more adverse scenario."

-"Banks will forecast internal resources available to absorb losses, including pre-provision net revenue and allowance for loan losses."

-"Supervisors will determine whether the institution has a capital buffer sufficient to ensure the bank can preform its vital role in the economy."

The government will not publicly disclose the results of these stress tests. Naturally. But who really knows if this will work, we haven't seen a recession of this magnitude in decades, so we really are just firing into the dark. However, a margin of error is very very very small. Could we see the Swedish model in effect? In which the smallest banks are nationalized, their trouble assets cleaned up on the balance sheet, and then sold over a period of time? Could Obama's spending/stimulus plan create jobs and save the economy? Will we get out of this mess anytime soon!?! I hope so. Stay tuned.

Obama Addresses Congress

2009-02-24T23:23:00.000-08:00

President Obama received several rounds of applause before and during his lengthy address to the members of congress, supreme court justices, and other officials. My main concern with his address was what his tone was going to be, whether it was going to be the usual negative "crisis mode" tone or a positive one. He seemed more positive tonight, which is a good sign, however his ambiguous comments might not help the markets too much tomorrow, we will just have to wait and see.

The biggest issues discussed were alternative energy sources, health care reform, education improvements, and the ECONOMY. I don't have much to say about alternative energy sources, I'm all for them and I think the more we decrease foreign oil dependency the better it is for our children and children's children. Reformed health care to me means nationalized health care, similar to systems seen in France, UK, Australia, etc. I oppose this for several reasons. Firstly, nationalizing health care is a long and difficult process, and its not like its free, someone has to pay for it...and who is that someone? Taxpayers. Also, doctors around the world are fleeing countries with nationalized health care and coming to the United States because they just don't get paid that well. Well, if we start nationalizing our health care system, we will start loosing some of the best doctors around, making our service/health care mediocre. Instead of this "reform", why don't we decrease our welfare rates and try employing people, creating job opportunities, and giving corporate tax breaks for companies that increase health care benefits for employees? I think there are numerous ways of dealing with healthcare, using socialism fundamentals and nationalization policies is not one of them.

I was on a plane recently and sat next to a woman who works in health care. She told me we spend nearly 99% of health care funds on treatment, rather than on prevention. Imagine how much "change" you can bring about by dedication 10, 20, even 30 percent of funding towards disease/illness prevention and research rather then just treatment. Anyways, on to the next topic.

Education. I think this is definitely an area we can improve upon. We need to get more kids through high school, more enrolled into college programs, and we need to be able to help them pay for this kind of education. I wonder if there is some sort of federal scholarship program, if not, maybe some of the bailout money should be used for that. However, there are two things that really bothered me regarding President Obama's speech this evening, and those are the closing of GITMO and the promise "to create 3.5 million jobs in two years". I don't want to sound like a pessimist, but that's roughly 150,000 new jobs created per month for the next 24 months. Let me put that in perspective for you. Last month, we lost 598,000 jobs. In order for Obama to create new jobs we would need economic growth. Growth is not predicted to occur until at least the third quarter, if not the fourth quarter, of this year. Meaning, he would realistically have about 12-16 months to create 3.5 million jobs. Again, call me a pessimist, but I just don't see that happening.

Lets move on to Guantanamo Bay. I have had several discussions with people regarding the closing of gitmo, and am yet to hear a valid reason as to why we should shut it down. It is a known fact that suspected terrorists and/or know terrorists return to terrorist activity once released from being detained. If you think somehow that they can be deterred, then you are in for one hell of a surprise. These people are programmed to do one thing, and that is follow a chain of command in a fantasized Jihad that they have played out in their heads. Now lets walk through the logic. Say we close gitmo. Lets say Osama Bin Laden is walking around Union Square and gets caught, arrested, the whole nine yards. What happens? He gets a lawyer, and the right to a fair trial? If he is imprisoned, do we (taxpayers) have to pay for his jail accommodations? I just don't get it. I know the man loves America and wants to protect us, but when you want to close gitmo, let terrorists go free, and cut defense spending by 10%, I start to question some things.

Overall, I would give his speech today a C, maybe a C+ (unlike CNN's report card of straight A's). I think the President brought up the main topics of concern that the country is dealing with, and I think he explained the issues in a manner in which the public could relate to and understand. However, as usual, he was very vague and ambiguous and did not offer many details, which is a troubling and frustrating habit of his.

Lastly, has the republican party just completely given up? Because I'm pretty sure I could have delivered a better answer speech tonight then Bobby Jindal did. I actually felt sorry for the guy, following up Obama with a speech is not an easy thing to do. But please don't tell me he is the new face of the GOP...otherwise I'm voting independent next time.

Inaugural Post

2009-02-24T18:33:00.000-08:00

This blog was created for the sole purpose of informing and educating friends and family about the current economic and political situations that not only our country faces, but the global community must face. Too often I hear people ask "what is really going on in the economy?" or "what happened in the credit crisis?". This blog will discuss, summarize, and answer questions regarding numerous facets of both the current economic situation, political policies, and anything and everything that may be of relation.

We are facing one of the worst economic downturns in history, and it is important for people not only to understand why, but to understand what is being done about it. The next post is going to be a recap and evaluation of President Obama's address to Congress.