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Sunday, November 21, 2010

The TSA Intruder Song

They're climbing in your crotches
Snatchin' your raisins up
Tryna pretend their securin
So you better hide your kids, hide your wife and hide your gradmama

Wednesday, November 10, 2010

There Was a Fed Chairman Who Swallowed a Fly

…that eventually led up to a printing press! Unfortunately, I haven’t had the time to respond to a number of things that have been in the news recently. However, Peter Schiff has done my job for me. Yesterday, he published an absolutely brilliant blog on the Fed’s most recent quantitative easing package better known as “QE2.”

Last week, there was an op-ed piece (written by Tim Egan) published in the New York Times depicting how President Obama saved capitalism. The New York Times does employ more than its share of intellectually challenged writers, but this article was pure tripe. It would be ill-mannered for me to suggest that the author really believes what he wrote.

In a nutshell, Peter Schiff’s column puts the falsehoods written in the NYT article into perspective, but I’ll sum up the main points:

Egan touted the growth in the stock market between 2008 and 2010. This extremely ignorant position ignores the declining value of the dollar, as the dollar and stock market have an INVERSE relationship. There is no growth when the market is measured in cheaper dollars. It’s obvious that Bernanke can easily fool leftists into thinking there is positive growth, which has been the exact intention of quantitative easing. I know people easily forget history, but the last two economic crashes came from this type of monetary policy and deception. Also, it’s noteworthy point out that when the exact same policies were the norm under the Bush Administration; the country was going to hell according to the left. Now all of a sudden, it saves capitalism!

In response to the bailout of the auto industry, there is no mention that Ford saw this crisis coming and managed to restructure itself WITHOUT the help of the government. In addition, it is wild speculation to suggest that more than 1 million jobs would have been lost. Perhaps GM and Chrysler should have merged. Some jobs would be lost, but how many jobs are lost or never created due to the propping up of irresponsible companies? If society longs for new opportunities, then it must let go of the past. GM could have dissolved or sold off GMAC, since the company has turned more into a creditor than an automaker. Egan also neglected to mention the opportunity cost of such a decision as well as the high labor costs that have had a negative impact on the competitiveness of these companies.

Perhaps the most ignorant statement in the column is when Egan suggests that record low interest rates are good for capitalism; and this should end all serious-minded discussions about Obama’s ideology being that of a socialist. This tells me that Egan doesn’t know the definition of capitalism or socialism. Egan doesn’t realize that free market capitalism has been DEAD for over a century. Economic policy steered by a central bank/planning committee is the type of market steering that is NOT present in free market capitalism. Government interference does not occur. Egan, like most leftists, does not understand the difference between “capitalism” and “crony capitalism,” or “statism” – the latter being a form of socialism. In this case, former President George W. Bush was just as much of a socialist as Obama.

Egan also mentioned record corporate profits in his column. While it’s true that the earnings outlook is very optimistic, the bigger picture reveals a bleak outlook. These profits are being derived from cheap money and the Fed’s influx of cash. None of it is real. There are some companies with record revenues, but eroding profit margins. I wouldn’t suggest that Egan doesn’t know the difference between revenue, profit and profit margin. Perhaps he ran out of time or felt an illustration of this point wasn’t necessary. Peter Schiff took the time, and I quote the following:

“In the 16 months since Bernanke assured us that QE1 would not jeopardize price stability, oats prices are up 40%, concentrated orange juice up 45%, gold and rice up 50%, corn up 55%, coffee up 60%, copper up 70%, sugar up 90%, and cotton and silver up 100%! (The sluggish Dow Jones Industrials are “only” up 30%.)”

I do think it is safe to say that Egan hasn’t followed the CRB index, which spells out inflation better than anything. Has anyone noticed that their grocery bills are rising? I anticipate that crude oil prices will be climbing into the mid $90 range very soon.

Cheap money doesn’t translate into growth. Cheap money doesn’t allow innovation. Growth and innovation are what creates jobs, and neither is currently present. The actions taken by the Federal Reserve will not allow companies to take risks, and it suggests that businesses know that the economy is much sicker than the lies being told. That’s why jobs have not come back, and they will not come back until the Fed reverses course.

The CRB index indicates inflation and a guarantee of eroding profit margins, which will eventually send the stock market into a downward spiral. Ben Bernanke and leftists devoid of business and economic intellect can pretend that companies are just “sitting on piles of cash.” Businesses are seeing their hiring costs rise and their purchasing power weakened. Egan missed the fact that healthcare costs have gone up at least 10 percent since Obamacare was passed since he still thinks it will lower costs. Businesses are having difficulty dealing with the increases in benefit costs and payroll taxes – specifically SUTA liability (State unemployment tax).

I don’t know what planet Egan and other leftists live on, but it’s certainly not Earth. The business world does not suffer from the amnesia that seems to have taken hold of leftists and establishment politicians who applaud the current economic policy and Ben Bernanke. I’m certain that the chief economists in the business world understand the fact that the Fed only knows how to blow two asset bubbles 1) a stock market bubble and 2) a housing market bubble. The economy has suffered from both of these bubbles popping in the same decade. The attempts are now being made to recreate the stock market bubble of the late 1990’s. Commodities speculation is running wild, and soon will come the crash. If Obama wants a second term, he had better hope the crash comes after 2012. Either way, the economy will be worse in 2012 than what it is now if the insanity is not put to a stop.

On a lighter note, I finished Peter Schiff’s parity on the classic nursery rhyme. Do consider that I’m poetically challenged! However, this simple tale will allow children and some commentators on the left to understand my point!

There was a Fed Chairman who swallowed a dime
I don't know why he swallowed a dime - perhaps he'll die!
There was a Fed Chairman swallowed a quarter,
Would have been better if it were mortar;
He swallowed the quarter to inflate the dime;
I don't know why he swallowed a dime - Perhaps he'll die!
There was a Fed Chairman who swallowed a dollar;
He didn’t holler after swallowing the dollar.
He swallowed the dollar to inflate the quarter,
He swallowed the quarter to inflate the dime;
I don't know why he swallowed the dime - Perhaps he'll die!
There was a Fed Chairman who swallowed a bond;
Too bad it wasn’t a magic wand!
He swallowed the bond to inflate the dollar,
He swallowed the dollar to inflate the quarter,
He swallowed the quarter to inflate the dime;
I don't know why he swallowed the dime - Perhaps he'll die!
There was a Fed Chairman that swallowed a stock;
as the health of the market goes tick tock!
He swallowed the stock to inflate the bond,
He swallowed the bond to inflate the dollar,
He swallowed the dollar to inflate the quarter,
He swallowed the quarter to inflate the dime;
I don't know why he swallowed the dime - Perhaps he'll die!
There was a Fed Chairman who swallowed a house,
Why not a mouse?
He swallowed the house to inflate the stock,
He swallowed the stock to inflate the bond,
He swallowed the bond to inflate the dollar,
He swallowed the dollar to inflate the quarter,
He swallowed the quarter to inflate the dime;
I don't know why he swallowed the dime - Perhaps he'll die!
There was a Fed Chairman who swallowed a printing press...
He’s dead, I guess!

Thursday, November 4, 2010

Bloody Optimism

What should be hanging over the front door of Congress:
Abandon hope all ye who enter here

The GOP took the House. Great.

Are they going to do what's necessary?

Probably not.

But thank God that there isn't a rubber stamp Democratic Congress anymore.

But that doesn't mean the Republicans won't screw it up. Tea Party congressmen don't make up enough of the new Republican majority to matter. It will be up to the establishment GOP, specifically the Speaker-elect, to realize the road were on is not paved with the Fed, bailouts or half measures.

He needs to put up that sign. He needs to tell his people that all they might have is one term. One term to do great things and save a country. One term to turn around decades of wrong.

But I doubt he'll do that.

But at least the Dems aren't in full control anymore.

That's optimistic, right?

The Class-Filled Classless Utopia

To the left...

Whites = white skin regardless of ethnic background
African-Americans = black skin regardless of ethnic background
Asian-Americans = slanted eyes regardless of ethnic background
Latinos = Spanish speaking regardless of ethnic background

and now it just hit me that...

LGBT = anyone who isn't straight regardless of sexual orientation

It's all about broad class, isn't it? I thought gay was men, lesbians women, etc, but apparently if you're anything but straight you're part of the LGBT class. Politically, it works wonders to get people organized. Individual rights-wise... it destroys people's individuality through mass peer pressure. That's why if you tell a lefty that you're gay and conservative, they look shocked. Same goes for black and GOP or any other combination that doesn't equal minority and Democrat. Like ethnicity, the left fail to realize there are lines between gays, lesbians, bis and transgenders. Human nature is to be tribal and these tribal lines appear in all things.

That's why I read GayPatriot. You get a non-party directed view of gay conservatives and their issues with both sides. Read it. You'll love it if you love freedom.

Wednesday, November 3, 2010

Rally to Restore Reality

The day after President Obama was elected, I told advocates of the principles of limited government not to despair; as Obama would make the best case for the cause in decades. More (but not nearly enough) people are becoming very attuned to economic policy, but that tends to happen when one in ten people are out of work and the grave threat of our debt exceeding GDP is now a mathematical certainty. Too bad it had to get to this point.

Last night’s elections were historic. Washington has a lot of energetic new faces who have vowed to restore fiscal sanity. I extend major congratulations to Rand Paul of Kentucky, Pat Toomey of Pennsylvania, Marco Rubio of Florida and Nikki Haley of South Carolina. And now for the buzz kill…

History serves an important purpose. If we wish to know where we are going, let’s remember where we’ve been. Once upon a time, it was 1994. A much younger, naïve and idealistic “me” enjoyed the left-wing media drowning in their tears over the election results. For the first time in four decades, Republicans won control over both houses of Congress and had a commanding gubernatorial majority. Who can forget the disenchanted faces of Peter Jennings and Cokie Roberts? Let’s take a twenty minute journey back to 1994…

ABC News Election Coverage - Part 1

It will be interesting to see if Obama’s speech today will mirror former President Clinton’s. Clinton took some of the blame for the defeat, but quickly noted that the results were not a vote against policies. People were simply fed up with the process and feuding in Washington. My money is on Obama repeating most of the tenants of this speech verbatim, along with a reminder for people to continue to be patient with “hope and change.” (Anyone recognize Fox’s Britt Hume reporting in the video?)

The results of 1994 about mirrored last night’s results, as several of the same states had GOP gains.

ABC News Election Coverage - Part 2

This video is worth the watch, as we see a newly elected George W. Bush as Governor of Texas, who ironically asked the federal government to “leave Texas alone.” Too bad he didn’t subscribe to that position as President. Cokie Roberts was quick to point out her opposition to a balanced budget amendment, as she wondered if newly elected GOP governors would give up the siphon of federal funds. Fair and balanced journalism at its best!

Before we warp back to the present, who could forget Rush Limbaugh’s television show?

The Day After: “Thanks for the Memories”

I certainly won’t miss Nancy Pelosi as Speaker of the House, or any of the other “comrades” who were sent packing last night, but now it’s time to get serious …

History has indeed repeated itself. Unfortunately, it is very likely that the ugly part of this history will repeat – the reality that the GOP will fail to deliver just as it did in 1994. Remember the Contract with America? Look at the empty promises for yourselves. Who would have thought at the time that the 104th Congress would have helped Bill Clinton and prominent Democrats devise an asset bubble that would bring the economy to its knees in 2008? Mr. Newt Gingrich was hired as a top consultant to Freddie Mac. Don’t believe me? Allow me to put you on the path.

I referred to myself as being idealistic and naïve in 1994; however, in my shameful defense, at least the 1994 Republicans had a better selling product. The current GOP Pledge is very weak and full of holes, as I pointed out in my recent column. This is largely due to the fact that the establishment leadership survived the brunt of last night’s attack. In 1994, Democratic Speaker of the House, Tom Foley, actually lost his seat. At the time, 134 years passed since a sitting Speaker had lost their seat in an election. However, Nancy Pelosi and Harry Reid (thanks to Sharron Angle shifting the focus OFF the economy) will still be alive and well in Congress although the larger problem lies with establishment Republicans.

John Boehner will presumably take Pelosi’s place as Speaker of the House. However, how can the public be confident in a man to be fiscally responsible whose voting record reeks of fiscal irresponsibility? Let us not forget Boehner’s overwhelming support for the bailouts and TARP.

I believe Boehner’s drunken, emotional speech last night will give Saturday Night Live plenty of much needed comedic material; but the following speech is no laughing matter for those deeply concerned about the country’s economic woes.

Boehner’s Bailout Rally Cry

There he was in 2008 begging for support on the bailout bill - an “imperfect product” by his own admission. Rather than dazzle his listeners with economic know how (which is obviously absent) he suggests that a “mud sandwich” will save the economy. He really believed he put “America first” by pledging support for this bill. Am I supposed to be excited about his recent promotion and confident that he will put the country on the right fiscal path? Give me a break.

Hopefully, the history I have provided here will jog the memories of those who were dancing in the streets last night looking just as foolish as the “Obamabots” did in 2008. Some inroads have been made, but we need to see a lot more before I’ll be sipping champagne. While I’m excited about the victorious candidates I mentioned earlier; at the same time, I’m deeply concerned that their efforts will either be blocked by the establishment or they will BECOME the establishment. However, if these dedicated folks follow the current path of New Jersey Governor, Chris Christie, it will be possible for America to be put back on the path to prosperity. Christie has shown it can be done, even in the most impossible areas. Their success will give way to more like-minded candidates in 2012, but their task will not be easy.

If the GOP is to gain any kind of steam, then their members need the political courage to have an adult conversation of the following nature with the American public. It begins with a revelation that the entitlement days are over, which includes but is not limited to the following:

• Raising the retirement age for social security as well as introducing private investment options
• Discontinue extending unemployment benefits, as it RAISES hiring costs
• Eliminate thousands of government jobs and modify government employee retirement plans to emulate a defined contribution plan
• Require federal and state governments to balance their budgets
• Enact REAL healthcare reform, which goes far beyond the repeal of Obamacare. Americans need to be told that insurance as access to healthcare is severely flawed and is directly responsible for costs spiraling out of control. Reducing the role of insurance companies through high-deductible plans along with tort reform are the places to begin.
• Eliminate the current severely progressive income tax in favor of the Fair Tax. The days of punishing success, innovation and investment need to come to an end.

Who can honestly say that they are confident in the GOP to bring forth this message? Most of these measures are not even listed in their “Pledge.” Who will have to political guts to tell people out of work that their unemployment benefits are being cut off, that they need to pay for their OWN healthcare and work LONGER before they receive any social security benefits? (Anyone follow France’s news lately?) Who has the economic knowledge to ward off the predictable leftist backlash, when they chant their tired, silly rants such as “tax cuts for the wealthy,” and “people will die in the street?”

Do people know and fully understand what needs to be done? Will all who claim that they want the size of government shrunk and entitlements reformed continue to hold this view if it affects them personally? Can the government worker, who voted to eliminate their own job, really understand that their skills can be better used in the private sector; or will they regret their vote? Does the CPA understand that there is more to life than the tax code if they lose their job explaining the tax code to people? How about all of you in the financial sector who are making a fine living off of complex, job inhibiting government regulations – are you ready for a different job description? There are a vast number of people who have relied on big government to make their living, many of whom don’t even realize this reality. Are we ready for REAL change, or do we get scared when this change affects us directly? Are we as a country done eroding our liberties by running to the government for safety in uncertain times; and worse, RELYING on the government to provide economic prosperity? The latter is something the government will NEVER be able to do, as the opposite occurs in each instance it tries. Yet it doesn’t stop elected officials from talking about how they will “create” jobs with their magic wand.

When I am convinced that most of the country will answer “yes,” without a shadow of a doubt, to the aforementioned questions, then I’ll have something to celebrate. More people have begun to open their eyes, as I predicted in 2008, but we are not yet there as a society. Until then, I’m afraid that the efforts of our new, energetic faces will not be enough to overthrow the status quo. The voices of our select few will be overshadowed by the words “work together,” “compromise,” “avoid gridlock” – the very words that got Republicans in so much trouble the last time around. I’m afraid the GOP still doesn’t get it and perhaps never will…

Jerry Brown's Victory Rally

Congratulations, California!

Tuesday, November 2, 2010

Brain Dead Voting Bloc Now Reality

WASHINGTON (GP News) – In an unprecedented move by President Obama, those voters previously disenfranchised by their inability to be conscious now have the right to vote through proxies by new executive order.

“No longer will those in vegetative states, comas and various other debilitating states be discriminated against,” said the President in a prepared statement to an empty press room. “Just because someone doesn't have the brains to vote doesn't mean they can't vote.”

Paul Dane, Chairman of the Committee For The Lucidly Impaired, hailed the move as President Obama's contribution to the Civil Rights Movement. Speaking for his comatose mother-in-law, “Free at last! Oh my God, we are free at last!” Dane, a resident of Oregon, then left the hospital to vote for Proposition 45, a law that would allow for immediate euthanasia of elderly patients in vegetative states.

Surprisingly, the Republicans have responded quite tamely. RNC Chairman Micheal Steele told GP News that he “supported the expansion of freedom” to those who previously could not vote. While questioning the legality of using an executive order, Steele reminded the reporter that he was black, so he knew everything about being oppressed, especially by those in his own party. After that statement, Steele then asked if the interview was off the record.

GP News called several new voters in an attempt to get a more broad sampling of opinions, but no calls were returned.