Storyline: On June 19th if some act in greed, en masse, the global economy will totally tank. What is special about June 19th is that in the financial realm it is known as the quadruple witching hour. The final hour of the stock market trading session on the third Friday of March, June, September, and December, when in addition to the expiration of option contracts and futures contracts, which indicates a triple witching hour, the expiration of single stock futures (SSFs) also occurs.
What is extra special about this June 19th is that by raising the H1N1 Virus to level 6 in an emergency secret meeting today, establishing a global Pandemic status, it triggers the force majeure clauses in contracts. Force majeure or “act of God” is somewhat ironic because if there are acts out of greed then the very system that permitted it will collapse by an act of God. Normally a force majeure clause removes the obligation to honor a contract, due to natural events beyond one’s control. So while in reality the somewhat mild H1N1 (swine flu) virus which is hardly a threat or cause for alarm could be used as a legal excuse to not honor contracts. However the real reason the contracts cannot be honored is not a result of the virus but rather the greed and corruption of those that had been running the system which failed because of imbalance due to greed and corruption. Of course if certain numbers can resist temptation, acting from a holistic perspective, then the system, as a result of collaboration, could be reconstructed without a total failure, or maybe not.
This could really get interesting and I am starting to see that the truth may be making a play to bring certain things to light and triggering a major systems evolution, and in fact a realization is coming that will bring change. It is a bit like a game of chess.
See it does and is happening in reality; check out this Google news search for force majeure.
http://news.google.com/news?pz=1&ned=us&hl=en&q=force+majeure+
At one link we find this good question, what is the answer?
--->
Economic Force Majeure
Source: Blake, Cassels & Graydon LLP - Does a severe downturn in the economy constitute an event of force majeure? If you can no longer get financing because banks do not have the money to lend, can you claim force majeure because events are beyond your control?
<---
The answer could be yes and no, depending on the role one is playing and in what context.
Here are some perspectives I proffer.
The Global Accounting System (monetary systems) are a man made creation it is not natural. If the Global Accounting System were based on natural principles we might say it was then beyond our control, however it is not at this time. The Economic System is actually manipulated and some things are contrived by independent agency attempting to produce effect, in other words unnatural cause. We have an economic system where there are some natural market forces at work but it is really dominated by human nature. Of course there are events that influence the system both natural and man made. In this context we might say the answer is “no”.
We also have the economic participants who must in order to live and sustain themselves utilize a system that is beyond their control, it is controlled by others sometimes to the controllers benefit and not that of the economic system participants as a whole. Therefore the inability to obtain financing to allow continued value creation could be considered beyond their control. In this context we might say the answer is “yes”.
One could also open up a can of worms with something I have pointed out long before, man is a part of nature, so any thing man does is an act of nature in a greater context, of course that also means that man is subject to the laws of nature, and if doing something that causes imbalance, threatens life or creates suffering, it will be corrected or if that is no possible destroyed by the natural forces of nature. In other words when an element in nature stops listening to the signals from the rest of the elements in the system it may cause dissonance and disruption in the system and threaten the whole body and therefore for the body to survive, if it cannot be corrected it must be destroyed.
There will be much greater understanding and realizations as one completes the articulation of economics in an easy to understand manner from a scientific and natural perspective and disseminates it. This will highlight the flaws of the current systems design and destroy the illusions that it is based upon that lead to detriment not benefit.
I also note that many in executive management may not intend detriment however when seeking guidance from those with vested interests one is getting distorted or inferior advice which results in detriment to the majority and the system as a whole. Management’s key deliverable is the correct choosing of individuals or entities to play support roles which include the ability for discernment of the truth and reality behind appearances and the ability to detect a compromised agent or those lacking in capacity.
Look GM is saddled with this huge pension plan and that seems to be weighing down these old venerable companies. If they go bankrupt, then the pensions go out the window. That is a lose-lose situation.
Suppose instead of pouring billions into propping up these companies we put that money to use beefing up social security instead. Then we could offer to take the pension plans off the hands of the companies in question and perhaps other ailing institutions, and tell the pensioners that instead of completely losing their pension they will be transitioned into a higher paying social security program.
Then the companies are off the hook for all that money they previously owed and the people still get some kind of a pension. That sounds more like a win-win situation to me! Obama, can you hear me?
Video interview: Kucinich outraged over $3.7 billion in bonuses paid by Merrill Lynch Today at 12:27am
Kucinich focuses attention on bailouts given to big banks.
Let’s see if I’ve got this straight. We bail out AIG and they use the money to make good on the credit default swaps they insured. (Although they didn’t call it insurance!) A lot of this money has gone to banks in foreign countries.
When it comes to GM, we want to force them into bankruptcy, which means a massive loss of jobs for blue and white collar workers, losses for bond holders and retirees, not to mention loss of market share.
Was Rick Wagoner, now GM’s ex-president and ex-CEO, guilty of risky practices, skirting the law, in order to make more money? No.
I’ve lived in the Detroit area for 38 years, and for as long as I can remember, the Big Three have been the favorite whipping boy of the liberal elite, with Al Gore being the number one “whipper“.
Sure, the Big Three didn’t adapt, and they and the unions negotiated contracts with big legacy costs, but ask yourself. Who suffers the most if they go under? Answer: The workers on the assembly line and automotive engineers. Not the likes of Rick Wagoner.
But hey, most of these people live in the Middle-West, which used to be America’s heartland, but is fast becoming a wasteland.
How can we be socialists if at the same time we are doing away with the proletariat?
Listen carefully to all the pundits and very quickly it will be seen that the "old guard" is working overtime to try to impede the progress that the President envisaged. It is very interesting that whenever one talks about helping poor people afford an education for their children, afford health care, afford a home or provide a nest egg for retirement, there is an outcry from the wealthier members of our society.
Former President, George W. Bush gave away $700B to the banks without any conditions and all these same people were silent. Now, everyone is on President Obama about $161M. While in principle, it is outrageous that these people that caused the most catathropic financial disaster in modern times, should grant themselves bonuses; it is hipocritical to now be bawking about a meagre $161M. Do the math $161M vs. $700B, there is no comparison.
Hands off President, Obama - he was handed an economy in complete shambles and he has to figure out what to do with all these messes. How can you give him all these problems and now want to tell him how, when, what and where he should do with them? If he wasn't around when these were created, now that they are his responsibility then he has to be given an opportunity to right them.
One word of advice for our President - there will be serious road blocks put up by the "old guard" those that are so fixed in the way of the past (the way Washington worked in the past) that there will be resisting all attempts at changing anything but please press on with it because we are behind you all the way.
The epidemic proportions of the drug problem in younger people are in direct correlation of the strict laws against alcohol. Alcohol is sold only by licensed merchants that require strict identification to purchase their products. When is the last time you saw an alcohol "dealer" on the corner? I'll give you a hint, it was just before prohibition was repealed. Young people who no longer have access to alcohol are turning to other more accessible drugs. The so called drug problem in this country is not because of the drugs themselves, but the laws that make them so lucrative to unscrupulous persons who are willing to do anything to sell their product. If drugs were legalized they would be regulated, keeping them out of the hands of children. PS A's could be aired on the dangers of harder drugs. Not to mention they could be taxed! Imagine this, a pack of cigarettes cost under a dollar to produce but often cost over $5 to purchase. Where does the extra $4+ go? TAXES! If drugs were legalized it would take drug dealers off the streets, squash dangerous gangs that thrive on illegal drug money, take them out of the hands of kids, and could pay for this "bail out" with the tax revenue in under 5 years. Not to mention creating jobs to make, distribute, and advertize different products. To me Sir it really seems like a no brainer. The likes of Al Capone in the 30's, Frank Lucas in the 70's, and Pablo Escobar in the 80's, made millions due to illegal drugs. I'm quite positive there are drug dealers still making millions that just haven't been caught yet. Prohibition didn't work then and it obviously doesn't work now. I hope that one day there won't be a drug problem in this country, but unfortunately that wont happen until it is properly distributed by licensed merchants.
"Marijuana" is NOT the proper name for Cannabis. Marijuana is a Mexican slang word for "weed". The use of the term was widely popularized in the 30's during the attempts to oust Mexican laborers who were taking American jobs in the depression. Please take note of this and stop using this derogatory term.
I am fortunate. At this moment I have a job and my mortgage is above water. However, the state of the economy gives me pause and I am concerned about the future of my job and my retirement savings. I am at the age where 100% of my retirement is in stocks.
Those big screen TVs sure look nice. I'd love to have one of those 120Hz 1080p sets. I have the money, but spending it just doesn't seem prudent. What if I am laid off? I'd be looking for work in a very difficult job market. I feel like I need to forego the big ticket items. My 4 year old computer will have to do for a while.
Some of my friends are not in as good of shape. They have both mortgages that are upside down and employment issues that are preventing them from making payments. Still others have upside down mortgages and are working multiple jobs to make each payment.
So, who do we bail out and how does it help the economy? Apparently, one must be at least 60 days behind on mortgage payments to qualify for help. Help may take the form of extended terms, principle adjustment to current market rates, or another form to help prevent foreclosure.
If I were the person working 2 or 3 jobs to assure I could make my payments, I would not feel very good about the guy across the street, who may only be working one job, getting a deal where the bank reduces the principle on his loan while mine stays upside down. That would not be equitable and it would likely not help the economy either. That guy across the street will only be able to pay his mortgage; he won’t have any extra money to help revive the economy.
If anything good id going to come from loan program adjustments, they must be made available to all homeowners. This will be both equitable and allow those meeting current payments to feel more confident and freer to spend. Those not currently making payments will get to keep their house, and that will be their contribution.
Since I am above water, I won’t feel cheated, providing this help does not extend to real estate speculators. The fact that my house is above water is a simple combination of my market and when I bought. I could just as easily bought at the top of a fragile market had I needed a home in any of the hot-spots at the time. I feel very fortunate, but I also feel very guarded against worse days to come. Helping those in worse situations should help the economy turn around and will in turn give me the confidence to buy that high definition TV I’ve been drooling over for months.
This will only work if we help everyone that is upside down on their primary residence due to market shifts beyond their control. We can’t just bail those who are late.
Contact: Alex.Karoub@gmail.com
This post is a brief overview of the Automotive Industry which describes some of the fundamental problems that are rarely spoken of. In addition, you will learn of a few of my personal experiences growing up, an environment where I was surrounded by the industry; you will learn of a few perspectives that are shocking and that even only a few within the industry know of. At the end of the post, you will better understand what happened to American Manufacturing and where it stands. The Auto Industry is at the heart of all of American Manufacturing. It is an industry that laid the groundwork for many other types of industries to follow, deemed at one point in history to be the highest of successes. But now, it sheds light on what can become warning signs for other businesses that mistakenly try to imitate it.This months hot topic is whether to bailout/rescue the regressing American Auto Industry. The original owners and their successors abandoned that industry long ago. The auto industry was ravaged and plundered by the wealthiest Americans a half century ago and has been in decline ever since. Shortsighted greed from one generation to the next has been the culprit. Since autos were first mass-produced and America monopolized the world, it was only natural that the American percentage/share of the market would eventually be reduced. However, total growth was enormous and total size of the market continues to grow even through today. Therefore, American growth of exports should have continued to grow, but does not significantly due to pillage and poorly planted roots. In simpler terms, we originally owned the entire pie. The pie was split up. Since the entire pie has grown dramatically, our piece should have grown too. However, the Big 4, 3, 2, … have been loosing market dominance and lead since the end of World War Two. Here we are years later in crisis, and the real question remains whether or not to rescue the real victims of the auto industry, the workers. People were not retrained or re-educated; most were never afforded real education's to start. People are now in despair and hopelessness. From my vantage point now living in Colorado for the last two decades, I have seen the high tech industry follow the auto industry, but at a learned and accelerated rate. Other industries are also copying the auto industry and are laying similar foundations also headed for disaster. Going back to a brief history, the misguided roots show how the decay started and why it spread.Although I did not grow-up during the inception of the Auto Industry, its roots surrounded me. I spoke with a few who were there in the earliest days, and spoke with many who were of the following generation. I absorbed its history by studying it while attending school in Motown (Motor Town), by natural osmosis, and in my earliest career dealing with the car makers.Growing up as a kid I lived less than a mile from Henry Ford's first moving assembly line factory, with GM’s World Headquarters’ just three miles away, and with Chryslers World Headquarters at the end of our street. The first Ford plant (in Highland Park, a city now surrounded by Detroit) and the first of GM's plants were built on the importation of the next generation of former black slaves and white share crop workers from the south (whites similar to former slaves whose white necks were red from working in the sunny fields, hence the mean spirited term 'Redneck'). The joke that Henry Ford must have laughed at and that went around town was "each worker would get paid enough to buy a Ford" (Of course using infamous 'Ford Credit' which was a primary direct withdrawal from their pay checks.) Henry manipulated a built-in guaranteed customer base and tapped double profits, being profits on the cars and the profitable bonded interest. Those were scams that he copied from sharecropping. The remains of their wages were so low that they had to live in shacks; but after all Henry felt, they came from shacks near the fields in the south. So much bigotry and repeated methods from sharecrop economic slavery. Instead of updating and rebuilding the original plants and without regard for the people who were the workers, the emerging auto giants left to go further to the suburbs. So, as they moved and grew they imported shipload after shipload of immigrant economic slaves from Poland (to Hamtramck, MI) and more economic slaves from the Middle East (to Dearborn, MI). There were other minorities imported as well, also imported for economic servitude to supporting industries such as mining, iron works, steel fabrication, glass works, textile, …. Astonishing how easily the game of 'divide and conquer' worked upon the variety of minorities; a game of keeping the workers pitted against each other using race and ethnicity; all to hold back the power of the people from truly uniting. WW2 caused the Automakers not only to retool but also to reevaluate their future directions.Soon, after the victory of WW2, came the Auto Giants grand visions for economically conquering the world via expansion outside the U.S. They quietly boasted that that would leave mainly world headquarters executives, designers, and engineers in the U.S. with the prestigious white-collar jobs. It was felt then (and these are not my bigoted opinions, not from me, yikes) that after all even 'the weaker sex' could do factory labor jobs as seen during WW2 (i.e. Rosie the Riveter). So why not have the 'stupid foreign workers' do the labor outside the U.S. What also gave way to the idea that manufacturing could succeed outside the U.S. was Mexico; since Mexican workers were also imported, but only temporarily during WW2. (By the way, the temporary Mexican workers were never fully paid back as promised during WW2.) A tremendous wave of pride about white-collar jobs became very popular in Detroit and in other automotive communities during the 50's. That vision sat poised on the back burner, but a pre-planted seed was already in place, which was Canada (Windsor) just across the Detroit River. Canada was a much-desired orchestrated precedence for the automakers; it set the stage for grace given by the government as an easily set up protocol for off-shoring jobs. Soon after, the automakers made a migration south to other states, then further south to Mexico, and finally overseas and on to economic slavery in China.Today we see the results of the destructive path the industry has taken. Layoffs, instead of being temporary situations reserved for pauses during new model changeovers, eventually became the mark of permanent labor plant closures. Obvious abandonment of people soon became the name of the automakers game. Along the swathed trail are - Highland Park, Detroit, Pontiac, Flint, Marquette, Gary Indiana, Pittsburgh, Toledo, Cleveland, …, which became known in the early 80’s as 'The Rust Bowl’. Sort of a rape, pillage, and burn mentality, which continues to today. Amazing how well the reasoning of "that's the way it's always been" persists and grows from one generation to the next. Excuse after excuse gave temporary reasoning to incremental geographic movements for global conquer. Temporary excuses ranged from the need to originally amass large workforces, to the hindrance of union pressures, to American workers are lazy, to 'over' government regulation, to …, all straw obstacles as to why the auto industry needed to move as it did. No! Greed is not good. We see how those at the top of the industry have each come in, grabbed with their greed, and left. Now today, we see how greed has caused "what once was, no longer is". So in short, now we see the results of greed, poorly planted roots, and disregard, taking its toll on America. Equally, is the toll on the myriad of unrelated businesses, old and new, that have adopted the auto industries infectious habits of having little to no regard for individual people that make up the American workforce. People.While being raised in the center of Detroit, I experienced many situations involving the Auto Industry; the following although early was not my earliest, and is an actual example. Around 1963, when I was 11 years old, I remember George Romney visiting our house to exchange political favors. Our 23-room house was a rundown relic of a past era, but it cleaned up well as a phony front for wealth and pretentious power. I remember we kids had to pretend that we were Christian Protestants for the visiting Governor (former Chairman of AMC) who was doing his Christian Mormon tradition of visiting the homes of his new legislators. How ostentatious they both were with fraudulent humility of how they rose from their humble beginnings. But more to the point, I remember Romney sitting at our dinning room table and saying "The Big Four Automakers don't have to worry about giving the Unions what they want, as long as the benefits will not be due for decades. By that time the labor plants will be outside the U.S." That shocked my brother Jimmy and I, as we listened playing in the sunroom just off the dinning room. Later we were once again physically punished (beaten-up), this time for listening to adult talk. Jimmy a year older than I, and intellectually gifted, soon became a Page at the State Capital. The accounts he returned with were shocking as well. Growing up as we did would make your head spin and open your eyes to disgust. We continued living in those surroundings until we grew out of our teens. Then we moved on to make our own adult lives, creating better environments much different from what we were born and raised in.Recalling back to my teens, I realized back then the Detroit riots were not only about race, but was also about economic oppression. It was the minorities who were oppressed the worst, most especially African-Americans. Bad however you measure it is bad. (For a better understanding of the decline of Detroit and to better understand the riots, take a look at my other post: “DETROIT RIOTS OF 1967, A RECOLLECTION OF THE TRUTH.” You will also better understand how very close we came to seeing a nationwide repeat of the riots in the coming Spring of 2009.)Unions, workers, man-hours, laborers, …, are not people, they are burdens to be minimized and eliminated. While watching Lee Iacocca being interviewed on Charley Rose last year, I noticed Iacocca admit that he new all the way back during negotiations with the unions, in the early 80’s, that Chrysler would never have to pay off in full on long term commitments to the unions. As Iacocca danced around the issue he said "now the unions will have to face reality". And, as Rose went on to discuss it more, Iacocca was getting more uncomfortable, and eventually managed to change the subject away from discussing past union negotiations. Iacocca was a bit slicker than George Romney was, since Iacocca was on national TV. It made me ashamed that Chrysler World Headquarters was at the end of our street when I was a kid. And, that as a young adult I had so proudly in my early career returned while working for a couple of electronics companies to Chrysler's World Headquarters R&D operations. I thought it an honor to have paid Iacocca's in-house barbershop to cut my hair, even his same barber. Some honor.Following Chrysler, I moved up to deal with GM, and was puzzled. I listened to upper executives at GM complain that they constantly had to bribe Mexican government officials and border guards for GM plants. I guess they also assumed I already new and accepted that the plants in the late 70's had already begun their exodus to Mexico and other countries. I have always looked at bribery as disgusting and wrong, it was not for me or those who I dealt with, that's among the many good things that a mentor named Jack Bazzy taught me as a young kid. By becoming acquainted with other mentors as an adult, I learned to seek out highly reputable employers and quality knowledgeable friends. I learned how to educate myself, and moved up very high in the scientific and technical industries, all of which I enjoyed.Although I grew up in Highland Park / Detroit, that was not anywhere near my top focus in choosing Obama. But, it is a simple history for me to recall, amazing how many more details I can give, but the main points have been brought forward. In addition, from being a mutt of sorts myself, to being a self made man, be that what it may, I have no illusions of being great. What I do mean here is that I quickly recognize many of Obama's unique insights, although mine are different but a bit similar in nature. Like many Obama supporters, I have personal experiences on most issues Obama has raised. So, above is just one of many examples that I can personally give.To better understand manufacturing in America, you can read my other blog: WHAT SCREWED UP MANUFACTURING FOR AMERICA
Blog members can reply here, anyone is welcome to email me at: Alex.Karoub@gmail.com
One of my bosses has written a seminal work on Charity and it's place in society. His name is Dan Palotta, and the book is "Uncharitable". I'm not plugging his book but I am saying that he has articulated a point that is one of THE most overlooked possibilities in our culture today. And that is invigorating our charitable organizations.
At this point I should say that this anything below is not Dan's idea. He has inspired me to think about these notions and write about them. I apologize to Dan if I have come up with any uneducated ideas. Please read the book if you want educated and experienced thought on this subject. This is my take on what government could do for charities. I see invigorating charitable organizations as one path out of our economic woes. In other words bail out charities.
In the flow of the charitable dollar it takes a series of workers. In that chain when does the first worker fill out a W2? The goal may be to cure a patient's cancer. The pharmaceutical worker gets paid. The organizer of the event gets paid a stipend. The volunteer raising the money is doing it for altruistic reasons.
So why not treat all the worker's positions as "real jobs"? After all these charitable organizations are in many ways the research and development wing of highly profitable industries.
The reason I'm blogging on this site is I think a true path to putting people to work would be to form a Federal Department of Charity. To regulate the Charity Industry and promote it. Just like a Department of Economic Development. Accountability is the key. We want highly successful charities that deliver more dollars to the task. Not more of the dollar to the task. Just like in the commercial world. Do you want to invest in a company the makes more money or makes more pennies per dollar?
Again all of the above are my ideas. The real ideas and educated premises are in Dan's book.
I await the wisdom.
You see I know from personal experience that things often don’t end the way they do in the movies. I did everything right, went to college, worked for over thirty years, had good credit, paid my bills on time etc. Unfortunately I got sick in America. After a freak accident, I almost died, had to have brain surgery, and now have several incurable autoimmune diseases. That was hard enough to deal with, but when I filed a claim to get a government insurance policy (Social Security Disability Insurance) that I paid for every week out of my wages, just like many of you do, my life was permanently destroyed with the stroke of a pen, by a government worker to whom I was just an SS number, and who did not do their job properly. I lost all my life savings, and pension money while fighting for my benefits, and will never be able to recover from the emotional, physical and financial devastation that had on my life.
Unlike Frank Capra’s character George Bailey, there are no bailouts for me, or others like me. While family and friends have good intentions, they are not much better off either, so they really can’t help like they might want to, and I don’t qualify for Social Service programs. I don’t know how I am going to survive without some miracle like winning the lottery. I am now doomed to spend what’s left of my days here on earth, living in poverty, in addition to all my medical concerns. I will never be able to own a home, or get another car. My current vehicle which is on death’s door, is the only method of transportation I have for survival. Then there is always the struggle of deciding whether I should buy food, or get medicine, that much needed medical test, or see the doctor instead. When things break down now, I cannot fix them and have to do without. This totally unbearable, continuing source of stress and frustration, is killing me. I tell you this not for pity but to warn you that anyone of you reading this could end up just like me, and have your life changed forever by an unfortunate illness, accident, vicious act, service to our country or natural disaster. Remember that disease and tragedy do not discriminate on the basis of age, sex or race, and if you think this could not happen to you – you could be dead wrong, just like over 16,000 Americans in the last two years who did not survive the wait to get their Social Security Disability benefits.
Since most of our elected officials will probably never experience this scenario personally, because they usually have a nice financial cushion to fall back on, I don’t see any hope for change in regards to this problem, no matter who is in office. Let’s be brutally honest here. The first thing to get cut in local, state and federal budgets is always the money to fund programs that help the people who need it most. This problem has festered for decades and nobody is going to convince me that they don’t want us to give up or die. They continually talk about helping the upper class and the middle class. What about the millions of Americans that do not fit either of those categories? Thanks to their neglect of our situations, they continue to prove that they have no class. The only thing that ever trickles down to us is too nasty a word to mention, and the only light at the end of the tunnel is a freight train! Buildings are not built from the top down, and a chain is only as strong as it’s weakest link. You can judge a country by how it treats it’s most vulnerable citizens, and we have been left to die in the streets, and on hospital waiting room floors. Based on what I have seen, heard, and personally experienced, America should hang its head in shame! Unfortunately for myself, and others like me it’s not such a wonderful life. There is no possibility of the American dream, only the reality of the American nightmare. My only hope is that it never happens to you.
Dear Barack,
If you ever read these things, and I highly doubt that you will ever see this, we really need to talk!
The rest of my horror story can be found on my website “A Bump On The Head” at:
http://www.frontiernet.net/~lindaf1/bump.html
LJ Fullerton - Social Security Disability Coalition
There is so much discussion going on in regard to Bailing out the Big 3 Automakers, which really makes no sense when we just got through laying out 700 Billion Dollars for the Housing sector and of those funds that have been released, no one knows where they went, how they are being spent, and what benifits are coming from those dollars.
The fact is that the oversight that was alledgedly put into place, would appear to have been fraudulant or another slight of have by our Corrupt Government under the Leadership of a lieing, murdering, Dictator who has yet to be brought to answer to the crimes he has commited against the Citizens of this Country and of the World.
Big 3 Bailout solution
I call it:"The Working Welfare Act"
With the submitted application by company principles/executive board for working welfare by ANY company, the government will pay 90% current wages without any raises/bonuses to all employees, exempting any principle/executive board members. Federal funds will show as delinquencies on all involved applicant’s PERSONAL credit history until funds are paid in full regardless of future employment. Previous year’s gross wages for all applicants will be the limit for all applicants until funds are paid in full. Any/all earnings above said gross wage will be taxed at 100%.This forces the company’s principles and executive board members to reinvest capital into the company, budget themselves, take personal responsibility for the state of their company, and think hard about their choice to take federal aid. There isn’t one person in the U.S. that would have a problem with the government giving a bailout with these conditions to any company (and others do need it).Thank you,Raymond J. McKinley IVGoose Creek, SC
Hello all,
From what I gather, congress (with a democratic majority)is preparing to discuss a car company bailout package/plan. If this does occur, I cannot see why why there should not be specific terms put on the companies receiving the bailout. If indeed they need money to survive,as they say they do,these companies should be made to produce gas efficient vehicles and vehicles run by alternate power. We do not need them to agree to research this for the future,(We all know that research has been going on for 30 years) but need them now to do it. If they don't believe that it is reasonable for mandates such as these to accompany tax payer money handed to them, then perhaps they should then except the whole idea of the free market and capitalism; that is the idea that the government is not involved in their profits and losses. The idea that if they can't make it that there will be somebody else ready to pick up the market they can't hold on to. Now times are bad and people have less money to buy cars, but the fact is that our society is structured in a way that we all need cars (or transportation). Less people work in their own town that those who work far from home. So it is unlikely that a car company with a clear vision for change and a desire to revamp can't carve out a successful market for themselves.
I hope that President-elect Obama agrees with these points. Although he may have a more clear idea of the specifics of the situation. I know he is not President until January, but I think congress would consider his argument in this intermediate time. Anyway it is possible that the Bush administration will block the GM bailout(for some reason this handout doesn't meet their criteria)
If so, I hope President Obama can influence Congress in January to do it right and push the car industry into a productive place that makes a better, more secure America for all of us.
Most people know the basics of the current economic situation; unregulated risky home loans, housing bubble burst, banks failing because of loan defaults, government bailing them out because they are ‘too big to fail’.
But what I don’t hear anyone asking is, how/why did these banks become ‘too big to fail’?
The argument from the Bush Administration was that if we allowed these banks (and apparently insurance companies like AIG) to fail, it would cause a catastrophic domino effect that would take down the entire economy. How could we have allowed any one company to become a support for the whole economy?
Is our economy so fragile that any failure would send it crashing to the floor like crystal vase? I don’t think so. Businesses large and small fail all the time. They let Lehman Brothers fail and the world didn’t come crashing down. So, what is so important about these entities?
Economy no matter whose theory you believe all have one common factor. That common factors is a playing field called the market and actions of supply (businesses) and demand (consumers). Simple statement but it is not so simple for the reason of a phenomenon called equilibrium (balance) in the market.
Most economists have think (by their actions and words) market means businesses. If a free market consists of buyers and sellers then those economists’ thoughts are half-correct.
“Trickle down Theory” does not work and I do not know have to write anymore about it because history has proven it. Which means bailing out certain industries will not work. Banks were given funds to disturbed with the exception that they will give out loans and help will build the economy. Yet before the money was given out, many bankers publicly stated that they will hold on to the cash and do some internal corrections. Call it by a different name but at the core this how the trickle-down theory works.
I can assure you that what I am about to tell you will do more for the economy within one quarter than what it will take one to several years with the big businesses and banks bail out.
Here is the core to for a 3-month relief:
Assumptions:
The plan:
- Divide 200 million adults 18+ into $700 billion that equals $350,000.
- Give $350,000 to every person 18+ as a “We Deserve It Dividend.”
- Every individual 18+ that accepts and receive the funds has to pay a tax rate of 30% on the funds received. That is $105,000.00 in paid taxes.
That sends $21,000,000,000 right back to the US government. However, this means that every adult 18+ has $245,000.00 in their pocket. A husband and wife receive $490,000.00.
The anticipate outcome of what the average citizen will do with the extra funds:
Even if citizens wasted their $$$ that money is going back into the economy faster and will benfit the country as a whole compare to a select few businesses.
Bail out every adult U.S. Citizen 18+ with $700 billion bailout and watch how fast the money is put back into the system. Give the consumers (buyers) the opportunity to decide what is in demand.
Here’s my rationale. Why not?
I trust my fellow adult Americans to know how to use the $700 Billion to benefit this country as a whole.
If being in debt has not work in the past, why would one think it work now? A banker or credit card company will say this plan will not work. Some economist and the people on Wall Street will say this plan will not work. My reply is that it will work for every reason that they say it will not work. I like what Warren Buffet is quoted as saying, “Be suspicious of the motives of people on Wall Streets.”
As for Wall Street and the Banks let them work regain the citizen of this country trust or liquidate it.
Let the private sector bargain hunters cut it up and clean it up.
Most important, it will only the government costs $490 Billion because $210 Billion is returned instantly in taxes.
What is the harm in getting the American citizen out of debt instead of a select few financial institutions who wants the American citizen in debt over their heads?
..... Contact: http://Alex.Karoub@gmail.com
WHO IS THAT GUY BARACK OBAMA? HE IS US.We have made historic headway by together pointing our nation in the right directions. After decades, we have America focused on the issues of fundamental importance. Now, each of us acting in concert can together move our country to lead the world to the fruitfulness of moral goodness. I have no doubts about my abilities and the abilities of fellow Americans to work smart and hard to achieve these goals.Barack Obama has the visions, leadership, and integrity for us to correct and redirect our country to once again lead the world for the fruitions of good. Let's closely listen, learn, and move forward based on that which we know deep inside is good and which we can validate with our hearts. I hope that those who had but a few reasons to support Obama, look further into the other issues more deeply. I found the more I explored, studied, and listened to Obama the more I found us in agreement. The couple of issues that I did not have depth of knowledge of, quickly became obvious in need. This was unusual for me since I have always refused to be any kind of a follower, and still am not. I find Obama to be a deep thinker who is articulate and inspirational; and, of most fundamental importance, Obama makes excellent moral sense.Hopefully, our country has learned lessons from the past of mistakenly following leadership blindly, as was done with Nixon and Bush. There are leaders who are simply in it for themselves and will cater to individuals or groups in order to grab for their own benefit. Corrupt and bad leaders hide at all levels. This is especially true in city government as well as county and state government. The corrupt deals of politicians need to be exposed, and those responsible need to be weeded out in the coming local elections. Others need to be investigated by law enforcement and be prosecuted for illegal dealings; for deals they often make for their hidden personal agendas. Let’s look at the bad experiences of the past as bitter medicines, let’s eliminate the need for such bad medicine in the future. Let us use what we know is good to go forward.I believe we have chosen wisely, not by greed and not by misguided retaliatory anger. I believe this time our country has chosen with open eyes, with each of us listening and examining our choice of leadership closely, driven and validated by our hearts.I hope we can continue to make our efforts even more inclusive (in many more ways than I touch on here). Far right republicans will be stubborn to change, but we will need to include them to change if we are to succeed. Sure a few more will leave our country, but that is not the American way. No, we really don't need their false fronts of power, money, insider knowledge, or other trappings that they have taught many to 'respect?'. Let's recruit as many as we can, that's the American way, evolving and changing together as one nation. Try to be understanding as we move forward; by better understanding each as individuals and people with various desires and needs we will find ways to reach out with friendship and have them join our causes of good.Be on the lookout, and root out bad leadership in government and business. Do not be intimidated by those who use the false fronts of power and give a false sense of security in order to lead. Be extra leery of those who say or imply ‘Trust me’; those who give a sense that they somehow omnipotently know better. No longer will Americans be dazzled by phony displays of brilliance or baffled by baloney. There are government aristocrats and business leaders who still believe in the old adage of: “If you can’t dazzle them with brilliance, then baffle em with bullshit”. We can embrace complexity by demanding true, fundamental, and understandable explanations. We can root out falsehoods by not accepting double speak. We as Americans know how to grow ourselves by first believing in ourselves. Don’t be a follower. Don’t be a follower of followers.However, when we find leaders who are good; a leader that thinks, speaks, and acts from their heart; one that is honest, has integrity, and leads by sincere examples; then we need to in a big way, join them, support them, and promote their causes of good. From much research, investigation, and scrutiny, I believe Barack Obama is such a person. I hope we search for and find many more who are similar, who we can add to service at all levels of government. We need to add/replace leaders in business with ones that have honesty, integrity, and show quality in leadership. We need more people in leadership roles who are moral, like Barack Obama.Remember, we are not fighting a battle, we are the artisans and sculptors of the future for ourselves and generations to come. Rarely do societies have opportunities to make such dramatic moves forward as we now have in this opportunity of today. Take pride and practice in being inclusive as we stride forward. In moving forward, create opportunity not only for yourself, but also for all. Hope is a wonderful thing to behold; but without opportunity, hope can become but a dream never achievable. We can, will, and must, create opportunity.In the coming year I hope that we do not lose our spiritedness, but instead continue to build and make headway. I hope we all continue our campaign for change in government and business. We will succeed in moving forward once again, it will take much effort and good oversight on the part of each of us. We will make great strides in the months and years ahead in order to achieve the fruitions of good. Let's keep our enthusiasm progressing through these coming toughest of times. Let us use the light of goodness and love to motivate us with historic momentum.I have chosen Barack Obama because he best represents my deepest beliefs in America. Please take time to read the issues that Barack Obama has published on this website. Also, give your attention to see how he leads us to move our nation forward in the time ahead. Most importantly, be part of America's great future, participate in the greatness that together we will make. Participate!We will each and all flourish, if we think, speak, and act, by using the love in our hearts.
Your reply is welcome. Contact: Alex.Karoub@gmail.com
THE FIERCE URGENCY OF NOW*
Mother Wit... Just Plain Common Sense
By Cynthia A. Williams
Don't let the title of this message deceive you. This article is about the state of our country and the upcoming election. The title implies that this article will appeal to your intellect, your mother wit, and your common sense.
Some might ask what gives me the authority and right to write an article of this nature. I am writing this article under the auspices that the world through the American and International biographical associations recognizes me as one of the Great Minds of the 21st Century, 2000 Outstanding Intellectuals, and selected as 2007 Woman of the Year (Globally) in the Field of Theology (The study of God) and Spiritual Healing. It is on that note, spiritual healing, that I am writing this article.
I am almost certain when I say no one likes to be lied to. Anyone who lies is a liar, and one not to be trusted. That is a common sense statement, and requires no explanation. The Word of God says satan is the father of lies and the author of confusion and there is no good in him. Consequently, by deduction those who lie are servants of satan, evil, bad, and there is no good in them. Their only intent is to cause confusion, bring division and ultimately destroy whatever is in the midst or making.
With all that said, let’s take a look at the Presidential campaign. With no many days left, this message is crucial to appeal to your sense of good-will, truth, integrity, and unity.
This is about making a decision to believe a lie or the truth, life or death, hope or despair, ignorance or intelligence. You choose because we all have the God given right to choose what we believe and I pray it is based on the truth.
We have twelve qualified candidates running for the office of President /Vice President. They are competing for the highest office in this country. The office of President represents the United States as a people. This office should reflect excellence; the highest morals and values, the ultimate sense of honesty and integrity, and intelligence and wisdom. In this office decisions reflect how we as a people will live and survive for their term and maybe longer depending how much good or bad was done. We can see from the state of this country right now, somewhere, we failed in our judgment of character. It is assured we cannot do this again and survive the ramifications of a bad decision.
So let’s look at what we have in front of us. The way I see it the decision is too easy. We have the Republican candidates who have campaigned negatively from the inception of the race. Now we are at the end and their tone has changed only it has changed to outright lies, causing confusion and division. If this were a regular dispute, the things that are happening would be short of slander and libel. They have blatantly lied to the people, in speeches, on their website, in the debates, in their advertisements, all lies. The media which has twisted the news quite a bit doesn't have to do that for them because they make up their own mayhem. I can say they are lies because if you take the time to research what is being said the evidence is there, and it is clear. They know they are lying and think its okay to lie to the American people.
My thoughts are this, if they lie to you now, blatant and in your face, what makes you think they are going to do anything less when they get in office. You cannot trust a liar, and why should a person have to lie unless they have nothing to stand on to win. They really think the American people are stupid. For instance, Governor Palin get the results of her investigation which finds her guilty of unethical practices and she swears over and over again the report does not say that when the press shows you the written report... are we the people stupid?
Now let's look at the Democratic Party candidates. Senator Obama and Senator Biden, have only had one negative ad in their entire campaign, an ad, which Senator Obama apologized for and never ran another. They dispute the difference in the Republican Party’s platform and ideas but never attack the person and definitely no lies. They speak on what they plan to do versus what their opponents have done that have nothing to do with the campaign or the race for President. They spend much of their resources answering the lies that are being told and proving the other party to be exactly what I described in the beginning of this article.
As for the other eight candidates, they are soft spoken and almost unheard of. That’s just something to throw the numbers off. There are two other women of the Presidential ballot, so Palin is not the only making history.
If this was a game, the Republican Party candidates would have been thrown out of the game for unsportsmanlike conduct. If it was school they would have been expelled. If this was a family, they would have been punished. If this was a job they would have been fired. If this was court they would have been found guilty of perjury and sentenced to confinement.
ATTENTION… ATTENTION… This is neither, this is the Presidency of the United States and if we allow such conduct then whatever we get we deserve.
What are we looking at if we elect a liar? We are looking at more years of what we already have with escalated confusion, poverty, unemployment, the rich getting richer and more families on the streets. Are you ready for that? We can't afford more of what we have endured up to the present.
So let me deal with a few issues that I have had to explain to many that have been confused by those who are telling lies.
Pro-Choice vs. Pro-Life: The Pro-Life suggested by the Republicans is Pro-Death. It is going back to butchers in the back yard. However, both democratic candidates are against abortion but they more so against the government taking away an individual’s right to choose who they do with their own body. Freedom of choice is a God given and a constitutional right. When an individual makes the wrong choice they have to live with it. And no one knows the circumstances that might present in this evil world.
Gay Rights: Neither party upholds same sex marriage, and again the democrats uphold an individual right to choose what who they live with and ultimately who they share their personal property with in the legal sense of the matter.
Gun Rights: Both parties basically believe the same thing. They both defend the 2nd Amendment with the right to bear arms, only the Democratic Party has stressed the need for more patrolling on illegal, unregistered assault weapons especially in the hands of criminal, gangs etc.
Military Issues: If the Republican Party had its way our children would be overseas in a useless occupation (we are not in a war), spending money we don’t have, having soldiers come home wounded and without proper treatment and rehabilitation and families are being shattered by long deployments and PTSD. Whereas, the democrats want the troops to be downsized and brought home responsibly to realign them in places where our presence is necessary. To spend appropriately and support those coming home and the veterans who need rehabilitating. They intend to beef up military spending to ensure the equipment is in the highest state of readiness as well as the troops.
Health Care: The Republican party want to give people Money but not enough to cover the whole amount needed to maintain their insurance, and in turn tax the companies they work for so they drop coverage and leave the people hanging with nothing. Note getting health insurance with pre-existing illness is almost impossible and if so it will be much more than $5000. However, the Democrats look to subsidize those who have insurance and those who don’t ensure they get in a plan much like the ones the Senate has. It’s not social medicine but it is health care for everyone.
Taxes: You should all read the Intelligence Report. It breaks down what each party proposes and although it is not said McCain can’t so what he says without taxing the poor people oops the middle class heavy, while still giving taxes break to his class of people, the 5%. Obama plan, though many think it is impossible, will give tax break to those making less than $250,000 and spread the tax burden proportionately amongst those who have more to give. We all must remember before you start griping, to whom much is given much is required and we are the United States, all for one and one for all. Then we must not forget that when the monies are aligned properly, much like working a budget, some expenses will take care of itself.
Last but not least, and this is my opinion. I think the Bail out was more of the rich taking care of their own at the tax payers expense. While the Executives and CEO still have their Golden Parachutes and Million dollar salaries, many people are still unemployed, homeless and hungry. It was a smack in the face for the execs of AIG to go on a vacation after taking the taxpayers money. I think the taxpayers ought to get some dividends or stock in these companies, or at least a say in the adjustment of those balloon salaries.
My thought was if they were going to give up money they should have bailed the people out. They all knew who was down (in foreclosure, pending bankruptcy) on their books and cleared them of their outstanding debt, attached that debt onto their mortgages, refinanced them at 30 year fixed, and they would be in their homes, the businesses would have the money to stay afloat, and we wouldn’t be deepen than ever in history in a hole while the rich are laughing going to the bank.
* Excerpt from Martin Luther King Jr. speech 40 years ago
“One of Those Women” by Cynthia Williams
Buy the book at www.amazon.com
NEW FACE Model for Model Productions
2007 WOMAN OF THE YEAR & 2007 AMBASSADOR OF POETRY
About The Author: Mother, Grandmother, Ambassador, Prophetess, Ordained Minister, Advocate, Author, Mentor, Nurse, Retired Army War Veteran, Businesswoman, President- It’s A New Day Productions, Founder- Free-Will Fellowship Ministry, Distributor Millennium Plus GPS, Independent Owner NSE, Notary Public, Life Fellow Biographical Association, Deputy Director General of America, Life Fellow American Biographical Institute, Host of the One of Those Women BLOG Talk Show, 2008 Outstanding People, Great Women of the 21st Century, Marquis Who’s Who of American Women, of America, of Health Care Professionals, of Business and Finance; International Biographical Centre: Order of Excellence, One Thousand Great Americans, 21st Century Award for Achievement in Theology and Spiritual Healing, 21st Century 2000 Outstanding Intellectuals, Cambridge Blue Book; American Biographical Institute 2004 Female Executive Award for Theology and Spiritual Healing, Great Minds of the 21st Century, Universal Award of Achievement. Ministry Partner, Most of ALL Ambassador for Christ, and Child of the Most High God. BLESSED!
Lots of print on how the global economy has spun out of control with plenty of finger pointing. There is the argument that those that could not really afford to buy a home were taking out risky loans with little or no down payment and low monthly payments (originally]. I do not agree. Surely, the mortgage lenders that would offer such risky loans are equally if more culpable. Why offer such risky loans? Why money of course. The no down payment & pay only the adjustable interest rate would bring in huge amounts of money for the mortgage lender. Then Wall Street got involved with hugely complex investment instruments utilizing the risky sub-prime loans. It is a rather complex procedure that was simplified by 60 Minutes. This video will give you the low down in just ten minutes, and make no mistake this economic recession is directly the result of Wall Street and not Main Street. It is just Main Street that has been left holding the bag for Wall Street
http://www.cbsnews.com/video/watch/?id=4502673n
