Tuesday, March 24, 2009

fundamentals still aint sound

As of late I have become disappointed. Now I am a man who lives at his means, well really below my means in the current economic climate. I just wish the folks in Washington, them in the Whitehouse and them on Capital hill could see such. Now I know many get mad because I hold our leadership to task, but it is what we do given the principle of liberty. And if any of yawl know in 2003, I wrote an essay in my book Dirt Behind My Ears, predicting that Obama would be our first African American President. 4 years before he even ran and 6 years before he was sworn in - so don’t trip.

But what bothers me is the lack of clarity and I hate to say it, transparency. I mean the Democrats won the white house by being very critical of the Bush Approach to the war and the Economy. Not to mention John McCain gave them the Whitehouse when he said the “fundamentals of the Economy were sound.” Particularly, it was how Obama kept hammering at Bush by saying that the deficit spending of his administration was irresponsible – which it was. The problem for me is that although in office briefly, his first proposed budget triples this fiscal year’s current deficit.

This is not an example of the government tightening their belts. As an individual American, I cant triple my debt and expect to survive or be economically responsible without fear of loosing my home or my business. I in fact have had to tighten my economic belt just to make ends meet. Why can’t the current administration and the folks in Congress do the same?

And I am talking as a person who started his own business with $60,000 of my own cash, as a person who pays himself and as a single parent. I am not one who depends on others to write me a check to live on and I don’t expect folk who don’t to really get what I am attempting to say. I mean this budget as well as the bail out place US and tax payers to more exposure and risk than the government, more so now than anytime in history.

Not to mention I am tired of folk giving me the okie doke about the Wall Street financial giants saying they are too big to fail. Folk, this is capitalism, business fail all the time and others take their place. If they to big to fail, to me they too big to exist. Then you talk about Banks and Bank holding companies in one breath as if they are the same. They are not. The FDIC can deal with banks, but can’t go into Bank Holding companies like AIG or Citigroup. So You not putting loot in banks, but rather bank holding companies.

Dumping money in a failing institution aint the way to solve this problem Mr. President, we need to restructure our finical system in concert with giving these folk loot. All around the nation, from the local to state level, governments are reducing their budgets not expanding them. Why can’t the federal government do this? And its not just the Dems, it’s the GOP too. They talk all that mess and don’t even have one constructive suggestion to suggest. They just complain. Now true I said a long time ago Geitner was the wrong man for the job and gave out about 10 others I thought were better to get us out this mess. But he there now so I aint tripping, but for the GOP to say he should leave without offering who they would replace him with, and bich over little nit picking shit borders on stupidity.

So I say April 15th, if you owe some loot tell them folk to suck your private parts and don’t pay. If they aint got the balls to let the banks fail, or tell these mf’s they giving our loot too who still run the companies that got us in this mess to resign, or don’t revisited getting the laws on the book that got us in this mess such as the commodity futures modernization act, they can fail economically too. Cause our fundamentals still aint sound.

38 comments:

Rich Fitzgerald said...

Mane, you already know I ain't buying what they selling. I'm sort of like you, a little disappointed in the way things have been going.

It's time out for fascination with the man.

Soulstress said...

I feel u. I may be wrong bcuz I havent followd this very closely...but it just seems like theres a lack of accountability...its like ok...yall screwed up bad but we still gon help u out..but it just seems like they culd easily get theirselves bak in the same situation/mayb worse evn with this financial help.

I think all these dolla dolla billz culd b allocated elsewhere..to folks who are really strugglin. idk what the solution is...i thnk they shuld get help..just not THAT MUCH help.

nicki nicki tembo said...

Just using the recent history of the Fed under Greenspan and Bernanke as a point of reference. It's apparent that, by nominating/appointing any one of Fed presidents, addressing the fundamentals was not going to be on the menu. Then too is the issue of cronyism within the financial industry. That's a whole 'notha story.

Lovebabz said...

SMILE :)

Sheliza said...

I agree with you there. You made sense to me :)

KevinsTeeTee said...

I know how you feel. It's crazy how the lack of accountability has led to the current state we are in. This doesn't go just for AIG, but the needless spending by a lot of these companies on themselves versus investing it back into the populus.

Yes it doesn't help that Obama feels that by funneling more money into these companies will help them, because bottom line it won't. They should've let those companies go bankrupt IMO. If the everyday person had those type of financial issues, we definitely would not get bailed out because the view would be you got yourself into this mess get yourself out.

I say the same approach should be applied to these companies. Just because you file for bankruptcy doesn't necessarily mean the company will go out of business, but if the company is truly wants to survive force them to change the way they do business. Giving them money without any kind of instruction brings no surprise to me that they used the money for other means.

And I doubt we'll ever see that money considering the fact that a lof of the folks who received those bonuses lived in other countries and they had resigned from their jobs. I'm sure they've already converted that money to a different currency (I would if that were me) and moved it some place to where it could not be reached.

At this point nothing surprises me anymore! Good post Torrance! :)

Leon Basin said...

I love your blog. it's freaking awesomeee;)

4GOTTEN1 said...

I agree which you man it's like taking money and putting it in your pocket and you damn well know you have a hole in it. It's no Point and its quite ignorant to do so.

As far as April 15th i'm telling them they can suck my DICK now. Telling me I owe 1500 but can't tell me why when i have no student loans, No kids and recieve no type of govenrnment assistance shit I even have them take additional cash every week other than what they already take. It would be nice to keep some of the money i'm busting my nutts for.

blackgirlinmaine said...

You know you are speaking truth. I am going to be honest and say I am none too impressed at the moment with the current way this financial mess is being handled.

I'm no Ph.D in economics but continuing to throw money away is not the way to fix the situation. I fear no one in power wants to tell the truth which is that the current way we have been doing things got us into this mess and we have to change the way we do business.

Anyway excellent post!

RunningMom said...

" I in fact have had to tighten my economic belt just to make ends meet. Why can’t the current administration and the folks in Congress do the same?"

Amen, me too. I keep cutting back, cutting back, cutting back. Even though I am working at the same employer, my money just doesn't go as far as it once did. As a single mother, I know how to survive and make it happen. But damn. It's rough out here.

Anonymous said...

How can you tell the administration and congress to tighten there belts, when just the other day I was in the mall and it was pack with people buying things, including myself. People are saying tighten your belts, but the way to get the economy going again is to spend money, unless we turn back the clock to 2001, before the war, and the beginning of the Bush disaster. Many people didn't think about the deficit and where there money was going until everything started to go south, now it's like we woke up, saw the light, and started blaming everyone we see shining. Stop blaming, stop complaining, and start supporting!!! :)

K Ackermann said...

You are exactly right on all accounts.

People like Larry Summers have latched on to Obama like tics. They have taken advantage of a complex and dangerous situation and did so by presenting credentials that really mean nothing.
This is a trick that has been exposed nicely in Naiomi Kline's book, The Shock Doctrine.

When you have someone like Robert Rubin, who can whisper into a phone and destroy a small country, tell you that such and such has to be done because to not do it will result in Americans eating from garbage cans, then you take that as a threat from someone who can make good on the threat.

I don't know how you extricate yourself from money power given the media is on the evil side of the equation.

In one ear is the threat, in the other ear is the sweet voice saying all will be well if he will just trust that the tics and leeches will not kill the host.

They are draining our blood so that when we try and stand up, we fall back down.

The poor helping the rich, and Obama is not even letting us have the choice. I don't think this is what he wanted.

A run on the banks would serve us good.

sistahza@yahoo.com said...

Thank you, Brother. Yeah, I tried to warn my nearest and dearest that with President Obama it would be either a third term for Bush or Clinton. I suggest people learn how the system works and then work on changing the system not the person who campaigns to run it.
Peace,
ZakiyaRox

nomobamadrama said...

"A run on the banks would serve us good."

u just hit da heart right on da head

any1 readin dis & still got a checking/savings in any of the Banks of Morgan Sacks Well Citi Americas must realize that da only way they can continue to rig da game is with your $ that u pay them to hold 4 u.

plenty of other banks out there. it's easy to switch. 2 hours of time may prevent 20 years of hard sufferin for your kids.

think about it, it ain't up to da Man at all, it's up to us.

we lead and God willing,
he will be wise to follow.

KELSO'S NUTS said...

The GOP (outside of libertarians Paul, Flake, Rohrabacher, Bilbray, Porter, and Campbell and responsible public servants Collins, Snowe, and Walter Jones, Jr) is a total irrelevancy. They offer obstruction and inter-ethnic poison.

Whatever that other party is, the one that I used to know as the Democratic Party, is SADLY, FRIGHTENINGLY, RELEVANT.

No need to review the points Torrance has made about "clarity" and "transparency" because the words stand. I also won't ask for what the overriding governing philosophy is because I already know: FRIENDLY FASCISM. By "fascism" I don't mean Hitler's ovens. I mean a corporatist state in which the needs of the very upper echelon of once-successful banks have primacy over the rest of the economy. There exists the greatest expropriation of wealth from the poor to the rich in the nation's history. There is a complete lack of regard for free market principles, personal freedom, and -- surprise surprise -- civil rights and compassion.

In their place we find endless war, but no money for veterans. We find the very same command-and-control militarized police state that Bush operated. We find a heartless president who is happy to keep these sadistic marijuana laws in place but has no trouble with whatever effluent Peabody feels it needs to dump in the Ohio River.

That is all a sad preamble. There are two issues more important than any of the foregoing and the foregoing are all very important.

(1) CHINA wants to switch from USD backing to SDR (Special Drawing Rights) backing and use its influence to persuade the G-20 to a tacit acceptance of the SDR (the basket of the biggest world currencies) as the unofficial yet official WORLD RESERVE CURRENCY.

Given that the USD now makes up 60% of the SDR basket, it's a 40% Chinese hedge position not a complete voiding of USD. So, it's a massive hit to the USD but not necessarily the USD's death. It's true that the USD had too much air in it, but it's the job of Bernanke at the Fed and Geithner at Treasury to find ways to let the air out very slowly.

The Chinese move to the SDR plus the contangoed crude oil curve plus the US recession tells me that Buffett and Voelcker are absolutely right and Geithner and Summers are to use the host's term: F*CK BOYS.

If you're lucky you'll get Stagflation, if you're unlucky you'll get Depress-flation.

(2) The world may be closer to nuclear war right now because of Obama's aggressive South Asia policy than at any time during the Soviet era. The shooting war between Pakistani Muslims and Indian Hindus has begun at the modest rate of 20 dead per day. What happens when the Obama Doctrine of South Asia escalation goes into full effect and they have to spread US troops far and wide including into Kashmir from a Pakistani staging area while trying to back both horses in the race? Nothing good. When it comes to Kashmir, Pakistan and India make Israel and Palestine look like kissing cousins. They are also two evenly matched fully nuclear states and are the last two of the nuclear club to run the full battery of live ICBM nuclear delivery tests.

I didn't watch the famous press conference last night because I knew I'd get angry if they didn't mention the SDR or Kashmir and probably more angry if they did.

I'm convinced that Obama is happy to sit back on his "American Exceptionalist" rhetorical and let it all burn f**king down to a cinder. He's a smart guy all right. He just hates the details.

Exquisitely Black said...

I have to agree with you, I'm particularly upset about bailing out companies that had proven they had no idea how to build or run a sustainable business. I think a bailout in the form of grants to business owners such as us, would be a better step towards rebuilding this economy. Small business has and probably will continue to be the backbone of our society. Why not invest in us? And I'm not talking loans - did we lend the banks money? Did we lend AIG money?

Torrance said...

Rich Fitzgerald
yep always when it regards my loot


Soulstress
send them to us

nicki nicki tembo
what he call it, irrational exuberance - lmao

Lovebabz
thanks

Sheliza
i finally did yeaaaaaaa

KevinsTeeTee
well said hon bravo


Leon Basin
thanks folk do come back

4GOTTEN1
can u say boston tea party

blackgirlinmaine
thank u me either i just try and read between the lines

RunningMom
thery dont feel us the the 250k plus folks and really dont care


Anonymous
because we need to save and spending wont get us out this problem, debt is the problem,

K Ackermann
thabnks folks we in the streets get it and feel it they just dont


sistahza@yahoo.com
thanks sister

nomobamadrama
they would get what they deserve and created


KELSO'S NUTS
boy i wanted so bad to talk about china and i bthink i will over the weekend but i must say i love the phrase friendly facism

Exquisitely Black
glad we on the same page

rainywalker said...

There is alot of talk going on but the American people aren't being told what is going on. Those inside the beltway are treating us like a bunch of children. They need to stop telling me how a cow gives milk and start showing us the milk.

Jay Midnyte said...

new post

Law said...

1) I don't think Obama is passing the buck on anything... He didn't create this problem, however, there have been several occasions where he said that he would take the blame if things don't turn around... when was the 1st and last time you ever heard a president of these united states say such...

2) So you're saying that the Fed gov't needs to tighten its pocketbook in terms of spending... Okay, so how to you suggest that the US gets out of the economic situation that its found itself in without spending $$...

You and I both know that in order to make money... you have to spend money...

3) Overall, we all are living a little different... paying a little more attention than we used to... and so on and so forth... perhaps this is the life style that American's should have been living for years instead of spending money that they don't have, keeping up with the Jones' and making fiscally unsound choices that lead to people loosing their shirts, homes and other material property...

The bottomline is simple... this is a new situation that we have found ourselves in... what's good for Bush is proving to not be good for Obama... Obama is clearly not receiving the same type & kind of criticism... While the average worker in America gets 90 days to prove themselves... Obama was held to some sort of Jesus standard before he even took office... He was sworn in with a high mark of achievement to meet... interesting... he's been in office for only 65 days and we can't even try his options out for the hater aid drinkers out there and nay-sayers...

Just my opinion...

Jackie E. said...

So Mr. Torrance, how come it is that you can't send a memo to the White House???:-)

Tha BossMack TopSoil said...

Shit is real out there right now.

Black girl with long hair said...

question: what do you think about geithner's proposal today of tighter regulation? think it will help?

i was kind of surprised that he addressed regulations after addressing toxic assets. i think it should have been the other way around.

oh, and how do you think taxpayers will suffer from the toxic asset relief plan? to my understanding, the increased value of the assets over time would produce a return for taxpayers... i thought the auction was a decent idea. but, hey, i'm just watching from the outside.

let me know!

ActsofFaithBlog said...

Wasn't Kennedy assassinated when he tried to "mess" with the Fed? So you already know Obama isn't touching that one. He's going to try to clean up all the poo around the situation and make it look pretty again. Now if enough of us demanded something substantial be done that would be one thing - but it's a mess and none of them really know what they're doing. They're just crossing their fingers, but if it fail it's all on Obama's head. So we'll see....

OG, The Original Glamazon said...

Well, I think the IRS is expecting not to collect less than the normal expected amount of cash from those that owe.

I have mixed feelings about the budget. Its big, but the difference with this budget with the difference of others in a long while is this budget is investing in things that will eventually generate, revenue, and growth for this country, something the goverment hasn't been doing. We've been spending but not insomething with value. You know the difference between taking 60K to buy a car as opposed to opening a business.

However, I do smell what you cooking!

-OG

Princess Tinybutt said...

as someone who runs a biz were one of our practices is a thriving, year round tax practice-personal, corporate, non profit, audits, court stuff,etc.. i too get frustrated with the state that we are in. we can't advise our clients not to pay their taxes. we as a company can't not pay our taxes-especially our local/city biz taxes, they'd shut us down literally...over taxes. we help clients who are in tons of trouble from the government over tax issues day in and day out. and honestly, most of it is bullshyt. just more ways for the gov to continue to squeeze us.

i am all for accountability and am a bit disappointed with the start this administration has gotten off too. yeah, i get that he walked into this mess and probably had know way of knowing the extent of the mess till just after elected. yet he's still the president and its still his team.

as you know i also have an extremely busy life coaching practice where i help folks with their employment and money situations. day in day out, i'm trying to help people find a way through their mortgage crisis, help them figure out how to tighten their belts even more. i am on the front lines of this war against the common folk and i tell you its ugly.

Chanel said...

i would've voted for you for prez

LUKCY (AJ) said...

I agree with you there. You made sense to me :)



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Kofi Bofah said...

Ha!

How bout you don't pay the IRS and let us know how it goes blogging from jail.

Torrance Stephens - All-Mi-T said...

rainywalker
we aint and sad thing is that many of us dont undestand what orwell called NEWSPEAK

Jay Midnyte
good look

Law
its not about words or even who says them, im talking about the problem and how to solve - its like math to me. a problem is not affialiated with a party - it is the people's


as i said before. see here Gimme $785 Billion Jones

nope they just print here, we need to make and sell something produce and not consume - thats what got us in this mess speningd


good opinion. not me. i save during this period, closs to 500k, and my house, 95K, mortgage is 695, and its an 11 acre farm. not to mention i dont have a credit card, and took no loans for my bizz - used my own looty like 90 percent of folks around the world outside of usa.

Jackie E.
i have written at least 4 or 5 letters maam

Tha BossMack TopSoil yea folk and we gotta be readi9ng and listening to each word folk handling our loot say

Black girl with long hair
I think he doesnt have a clue honestly. Each time i see him on CSPAN he cant ans simple questions. The plan doesn't adress any thing regarding restructuring of our fin. system. that will be a major part of long term stability


by debt that we have never seen before and maybe even being owned by another country or individual see deposits and despots




ActsofFaithBlog
yep, but I want him or anyone to suceed, for my business sucess depends on it. i want them to match what is required of me as an individual - to assit job growth not obviate it


OG, The Original Glamazon
first where have u been woman and so true. I hear them talking about creating jobs, but all the describe is putting folks to work, whis is differnt than a job=long term employment


Princess Tinybutt
maam first and foremost u are the truth. and here in GA, they are proposing a yr freeze of corporate tax. That would be a good look but state will take a hit, but they will tighten their belts with the rest of us. drastic times deserve drastic measures - not cosmetic adaptions. well said

Chanel
oh know i cuss to much and may even sleep through an interview

LUKCY (AJ)
Thanks folks. But some will confuse the policy with the leadership


Also feel free to visit my
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Kofi Bofah
LOL im good they owe me loot i just dont want an IOU like cali - they should give banks IOUs

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