Sen. Elizabeth Warren Gets Ben Bernanke to Admit Government Still Helps Big Banks Be Too Big to Fail

Keynesian Economics is on Life Support and I wish it would die

In less than two weeks on November 3rd, the Federal Reserve next policy committee will end. It is suspected, if Chairman Ben Bernanke is true to his word, the central bank will attempt to drive down interest rates even lower. This if true, since traditionally the Federal Reserve bank usually cuts short term interest rates to spur economic activity, will show their traditional advocacy of Keynesian approach to economic growth. Unfortunately this is also problematic if trying to avoid inflation is of any importance.

John Maynard Keynes is the father if what many refer to as Keynesian Economic Theory. Keynesian economics is a theory that promotes the view that total spending or aggregate demand is essential to dealing with improving economic outputs and inflation. Its premise is based on the assumption that economic activity is influenced mainly by public sector decisions – mainly monetary and tax policy. The main output from this perspective is employment and not prices. This since monetary and tax policy cannot impact employment if prices or cost are not rigid entities. One reason why KET is obsolete, for if wages, if measured in terms of dollars, will not be able to define real or actual purchasing power at the individual consumer level.

Another unfortunate aspect of KET is that all economic solutions are designed and targeted directly to deal with the business cycle versus the individual worker or wage owner. Mostly due to the observation that there will always be a delay between when economic policy takes effect and when the individuals in charge, like the government actually recognize that an economic problem exists and the time it will really takes to impact the economy.

These methods are opposite to the prior approaches to economics that pushed for more of a Laissez-fair capitalism, which in its simple nature excludes the public sector in the market unlike Keynes. In fact, Keynes advocated for a central bank to be used to expand money supply, which assumes that putting more loot in folks hands would result in an increase of consumer confidence, which would result in people spending more since Keynes believed that putting money into the hands of the people would eventually go to the wage earnings of another.
But history has proven this wrong, although Bernanke, Obama and all the presidents and Fed Chairmen before both of the aforementioned act otherwise. First history is not equal to theory, which it is obvious Keynes could not comprehend. Second, the belief that massive deficit spending will flood the economy with money is equal to accepting that the Easter Bunny is a real creature that lays colored chicken eggs. The truth is that the economy is not starved for money. Thanks to the bailout, Tarp and prior bank rescues, their reserves have actually increased via the structurally built-in deficit spending under the guise of Keynes. Subsequently, allowing the Federal Reserve to release as much loot as they want for them to use to buy up unlimited amounts of bonds, commodities and securities unlike we the common person. That is now since the government can’t print money but rather have to borrow it from the Central bank.

This all with the applause of the Rothschild’s, Rockefellers and Warburg’s and the forced yet illegal Federal Reserve Act of 1913 – but that’s another story.

I mean tell me if I am wrong, but all the US Central bank does is lend loot interest free to banks that gamble, I mean invest it on Wall Street without any risk – cab you say savings and loan? Because all the banks they lend to is not for them to lend to others or extend and free up the flow of credit, but used to buy up all the assets and infrastructure in America. They got money they just don’t lend it or provide credit – they instead use it to make themselves rich – an assumption that Keynes never considered in his public sector government central bank spending to help the economy models. After all TARP, with the approval of congress gave banks the unfettered authority to seize all the property they desire, while at the same time decreasing the value of the dollar, making all that us regular folk buy more expensive.

All I am saying is that KET as has been practiced historically and currently promulgated by Obama and Bernanke has a troubling impact on mostly us main street folk who lived on fixed incomes. The stimulus to be honest about it was too little too late, not to mention the folks it was designed to help were the banks that CAUSED this recession. The fact still remains that the Federal Reserve Bank is a private corporation and no more apart of the US Government than Waffle House.

Thomas Jefferson spoke of such and said it best when he wrote: "If the America people ever allow private banks to control the issuance of their currencies, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their prosperity until their children will wake up homeless on the continent their fathers conquered."

Mr. President, Keynesian economics doesn’t work and is on life support due the idiot Wall Street bankers you take economic advice from. Please do not necessitate it.

money in the bank?

I have often wondered if it was in the best interest of America for our President or any President to bite off or do more than they can chew. I say this not to point fingers but rather because I feel as if we have not really addressed the seriousness of our current economic conundrum. Last year I made a prediction that about 100 more banks would fail this year, so fare more than 80 have and there are four more months left until 2010. This past Friday, two banks and one thrift failed. These included Bradford Bank of Baltimore, Main Street Bank of Forest Lake, Minn. and Affinity Bank of Ventura, Calif. Just the week before four banks failed including ebank of Atlanta, First Coweta Bank of Newnan, Ga., CapitalSouth Bank of Birmingham, Ala. Guaranty Bank of Austin, Texas (which the FDIC sold all of the bank's retail deposits to the main U.S. subsidiary of Banco Bilbao Vizcaya Argentaria).

This is somewhat unsettling, especially given all this spending of a so-called stimulus that only seems to get allocated in New York on Wall Street as well as the suggestion that over the next 2 years maybe an additional 1000 banking institutions are anticipated to fail. The issue for me is that it appears that none of the Bear Stearns folk like Sumner, or the current Fed Chairman are interested in Main Street as much as they say. It is obvious giving loot to New York Banks ain’t helping anyone since most failed banks tend to be smaller and private, which makes things even worse for small business owners such as me.

It makes me think that the current administration, the Federal Reserve and the FDIC are all in this together to stump out small business and engender the death of we the people for big corporations and the K street lobby. The Federal Insurance Deposit Corporation recently just implemented new restrictions on private equity firms that are trying to purchase failed institutions. It may be a little to late since they no longer have the funds available in insure all of the account holders in America and because they have allowed the over zealous and aggressive practices to occur unmitigated with respect to buying failed institutions.

What I can see is that even with all this, things will only get worse and that the FDIC and Federal Reserve are still not ready, prepared or able to deal with the impending wave of bank failures to come. Not to mention that they still aint figured out what to do with the billions of dollars of troubled assets it has stuck some where on its books. Plus the fact that its pockets have been depleted with reports of the $52.8 billion it had on hand last year has been reduced to about $13 billion.

The future of our economic system is only getting bleaker unlike what is reported in our media. The market is artificially inflated with the help of crooks the likes of Lawrence Summers, Robert Rubin and Ben Shalom Bernanke will be the death of America and main street and Obama cant even see it coming, but I know they do for the got money in the bank and will be sitting pretty living high off the hog as the rest of us suffer. Maybe this is why they are pushing for control of the internet, so folk like me cant spread the word they way things did in Iran during their recent election - just a guess.

$3 a gallon by July 4th

Was re-reading the great Gatsby again last night for the umpteenth time. And while reading the part that describes Cody, the Copper millionaire, I got side tracked to thinking about the economy again. Specifically how we keep spending money we don’t have and need to borrow from other nations and the impact it will have for poor folk the likes of you and me.

It seems to get worse, I mean the State of California and major cities within its borders such as Los Angeles don’t have a budget but still wasting money left and right – like giving a $2 million dollar victory parade for the NBA Champion Lakers when they closing schools left and right and classrooms have 50 or more students. True the NBA will pay half of the $2million but still is another example of wasteful government spending.

My concern is that folk keep on doing things just to do them, not because they will work. All of them, Obama, Bush, Congress, the senate and the Federal Reserve Bank. Seems as if they do not know what we are dealing with, whether if this is a structural recession or a cyclic recession. As such, the stock markets may be artificially inflated and short term. I mean I know Tim Geithner is a smart man, but his approach to the economy is contradictive to Obama’s and seems more inline with that of Ronald Regan. After all, I remember when he was a Republican and worked for Kissinger and Associates .

I personally think that he and Summers may be setting Obama up for the Okie Doke, waiting until unemployment gets to near or above 11% nationwide before they actually start the real work on fixing the economy. And I will not be misled by their talk saying the dollar is getting stronger for to me, a weaker Euro doesn’t mean that the dollar is really stronger. The bigger part of the problem remains with Ben Bernanke, for I can’t tell if he will adjust interest rates in terms of current commodity values or the housing market? What ever the case this July 4^th, don’t trip if gas is $3.00 a gallon in south - $5.50 or more on the west coast). Just my 2 cents, thanks F. Scott for making me see straight again.

Obama Bernake & Bush Greenspan

I am not quick to second guess folks, but I am astute enough to use reason to figure out stuff. Case in point is this bailout. I know have harped on this and the economic recovery act and these artificial efforts to stimulate an economy with no production or manufacturing base both for the current and pass administrations, but I still just don’t get it. It is like they do not or have never run a business as I do.

The way I figure we should as a nation, produce more and consume less. This is simple supply side and cost revenue accounting, they way most small business folks and family keep their books at home. It is just hard for me to see any difference economically from the methods of Obama Bernanke and Bush Greenspan. Yep they both need to be one person since both are connected to the hip with their Federal Reserve namesakes.

The problem is that these pair of two headed Cyclops thinks that it is ok for Americans to go around, at the expense of our own loot, with foreign money. This is some of the backwardsist azz shit I have ever heard. Hello, credit got us into this problem. It seems that all we care about is credit, from the administration to the common man. On the top end, it will most likely lead to some sort of hyperinflation and on the other – we just want a credit card where we can put a pic of or children or cats and dogs on.

Obama said that credit was the life blood of our economy. I would like to disagree. Credit is just what got us into this mess, servicing debt, complex financial instruments that go unregulated and the reckless Federal Reserve Bank that is just borrowing more and more money while making the fake ass artificial interest rates that seem to only benefit Wall Street. I say this because every where I look I see declining wages as well as declining competition because that’s what bailouts do. I just don’t get it, I mean albeit I wrote my name in on the presidential ballot, I did believe Obama mantra of change, but unfortunately it is more of the same, for I can see no difference between Obama Bernanke and Bush Greespan. Please folk; don’t confuse the policy with popularity.

Nipping at our Nose

Since the season to be jolly is over, I just want to say a few tings, economically that is. For the past 16 months I have been trying to prepare folks for the impending economic “dark ages” that may be on our door step, or even nipping at our nose. I say this for what we have experience thus far, may be very small in comparison to what waits ahead for these United States of America financially.

As history has shown, most of our problems are man made and as such our days as a world dominant leader of nations are numbered for we are now basically broke, with an economyripped apart and entirely dependent on loot borrowed from other nations. Businesses will find it hard to survive. Not just Wall streets and banks but any and even the small. What has happened is that America has turned from a producer to a consumer. And as such all of us are going to have to do some serious re-evaluation of our lives and life styles for the impending implosion of what we used to take for granted. The main problem is that politicians will not be able to solve what the have let happen on their watch. Not to mention they always desire a quick fix and or the easy way out – which normally ends up being a short term fix if that.

Yep we aint even seen the start of this mess. States like Illinois, Minnesota, New York, and Massachusetts are in the process of selling and privatizing parks, and lotteries just to make ends meet. Even cities doing what they can to stay a float. Chicago is trying to lease Midway Airport for $2.5 billion, if the feds approve the deal and has already inked a deal with a company regarding parking meters. But as I said, these are merely short term fixes and may even make these municipalities loose money in the long run.

It would surprise me none if states like California, Ohio, Michigan, and Florida will be bankrupt before the end of next year. Strange aint it, that Federal municipal bankruptcy laws came about in 1934 during the Great Depression. California's unemployment rate is more than 8.4%. Michigan’s is more than 9.6% Rhode Island is above 9.3%.

Yep the shit is about to hit the fan even with the Treasury and Federal reserve throwing all but the kitchen sink at the financial markets to fight deflation while not even noticing how folk like me taking a hit. And we don’t know how many more folk like Madoff are still on the loose thanks to the Chris Cox SEC. Not to mention that we are currently experiencing asset price deflation in an econonmy that seems tto be grinding to a halt.

So a toast to the Feds, and all them other folks that have lead us to the eventual destruction of the U.S. dollar and the global monetary system upon which it’s based. For the truth is that U.S. government debt is at $10.5 trillion and our government continues to advance a policy of deficit spending. I figure the Fed’s next move will be to push for the all powerfum Amero (new currency). This will drive up oil and gold and all else meaning that investors won’t support the U.S. government’s monetary policies. So I drink again as the U.S. dollar retreats against other currencies and commodities. Wish more folks read John Moorlach, the accountant who predicted the 1994 Orange County bankruptcy. He suggest that maybe Up to 10 Municipal Bankruptcies in 2009. So hold on to your hats because folk needs to be a magic Negro to deal with what I see on the bunson burner. But me no economist, so don’t listen to me mane. Just let jack frost keep on nipping at your nose.

public jones

Point of order: cant wait to chris cox bich azz out of the SEC

Dear Mr. Paulson and Mr. Bernake:

It is both with great pain and pleasure I pen this letter to you. I am extremely disappointed in the manner in which you have brazenly attempted to deal with the economic consternation that confronts us all. It is not as if you two are ill-informed over the subject matter that you attend to on a daily basis, on the contrary, you both are learned men of letters in the disciplines of both finance and economics. With that said, I must advance the premise that your intellectual prowess with respect to problem solving is severely lacking.

As laymen, I have come to the conclusion that all of this is the result of marketing and selling materials/papers that have no value, or if it does, it maintains a negative value – debt. The support you have purported towards the collateralization of debt, mainly as accrued in the financial services section is what seems to be the root of this recessive evil folks such as I are confronted with. In addition, it appears that your math does not take into consideration that this could be obviated when home devaluation stops. Which could be instantly dealt with if the money was given to home owners and mandated fixed rated advocated across the board for all mortgage compaines, holding companies and banks would adopt or be forced to close their door. It says in the constitution we the people and not we the corporation.

Instead, your approach has been abstruse – difficult to understand. First you basically block the short paper exchanges, which from my limited understanding of economics, is how most money markets function, not to mention if you would have injected capital into Lehman Brothers, which you did not, the DOW would still be in double figures. It is bazaar that you said you had no authority to save this financial behemoth, yet when your folk from Bear Stearns and AIG called – you were quick to stick out your necks and my loot without hesitation.

Moreover, your approach never includes a serious evaluation of dealing with fractional banking systems as we have in America, or else you would consider a reduction in the reserve requirements for banks. This may or may not free up credit but it would be an approach that would not require any of my loot. But still, it is housing valuation that is the concern via the mortgage backed securities you seem to so dearly love. Not to mention from my purview, the issue is not going to be solved by massive injections into banks (for which you have no way to tell where the money has been spent) from my louction, but morso with respect to conforming loans. Yet I recant again, I am not an economist.

The aforementioned are intellectual deficiencies that I can understand. What I cannot tolerate is the disdain for the general public for you speak to me as if I am rich and I have money and you don’t. I wonder if you really ever had to struggle a day in your life, or live with friends, or even ever loss a job. In your tone there is no empathy nor compassion for what the average person experiences and lives.

So sirs, I recant, I am very disappointed and even offended by the lack of professionalism, and understanding you evince with respect to economics, the understanding of the problem, problem solving skills and lack of comprehension towards the general public. For slaves would have been lynched for lessor offenses. Yet I bid you a good day.

Respectfully,

Public Jones


Addendum: shouts to Lovebabz for giving me the Uber Amazing Blog Award and Ivory for the post she did on her daughter and mine.

Pay check away from a pink slip

If you dint know, my store for dogs is about three minutes from the Martin Luther King Jr. birth home, and 3 blocks from his grave and the eternal flame that lights his heart and passion. The day after Obama won, I walked around there and just stared, just a few moments. It was like his crypt was talking to me. Nope I aint crazy, but it felt that way. I was reassured and went back to my shop.

I guess yawl know how much King means to me. He was one of many that informed me of the importance of intellect and thinking for yourself and not accepting what people tell you and/or following blindly. I went to the tomb to respect my elder. It made me feel good, and reinforced that I still was challenged to the task such elders engendered in me.

I have said that I did not Vote for Obama or any of them other same ole lame okie dokes. My logic which many of you said was foolish, and self righteous, was neither to me. As I pointed out I voted for not the man, nor the party, but the policy. And if I must accept blame for seeing no difference in word on paper between the two – then so be it. Likewise, If I decided to study in an applied manner what they say they will do in concert with the problem that needs to be addressed, with the economy for example, and it is my conclusion such is far fetched, I will say such.

I particular felt this way about several things. Both he and McCain said the basic: I will lower taxes, I will reduce the deficit, and I will grow the economy. I want jones to be a success, but I will not reduce my penchant to evaluate his suggestions just as rigorously as I did the recent candidates, or past presidents regardless of party affiliation, nor will I give him a past. Unlike many I don’t see jones as the first black president, I see him as a president, who happens to be black.

Now some may say I need to get a life, for over the past day I have mulled over his economic position papers as well as his speeches on the economy and his latest transcript from his first press conference as the President elect. But it is my life to make certain I am in a stable milieu in which my kids and I can prosper economically.

I still feel that my note selecting either he nor McCain was based on logic. Re-reading I feel vindicated. What Obama has said and has [proposed on paper is just as bad as what Paulson and Bernake suggested with the bailout which he and McCain supported. All he proposes, either the break for 85% of Americans or raising taxes on the rich wont work and is just a tweak on a system that will not have any long term effect on a problem that has been building via debt collaterilization since the 1980s. The system needs to be gutted, not tweaked for our economy is riddled with structural problems – namely that we have a closed economy in a global world. This means he wont be able to raise taxes on the rich or cut taxes for poor folks like me.

Couple this with the fact that the bailout has had the opposite impact that Paulson has desired, the deficit is at about another trillion dollars and we still do not know how the money is being spent with respect to the Troubled Asset Relief Program (TARP), Obama as we have – are sitting on a ticking time bomb. None of his solutions even include the aforementioned.

In two days since his historic victory, the Dow dropped as much as it did in September 1987 although 200 plus points were gained on Friday. For me it is a policy as opposed to an individual issue. He needs to address the volatility (which is a sign of investor confidence (so folk like me put loot back in the market), the housing crisis (which is getting worse) and stabilizing consumption (creating jobs, cause black folks are the only ones spending in a depression for we don’t know how to save anymore). As well as the structural concerns I have sited previously. For if he attempts to raise taxes on the rich – I just have two words - Sarbanes-Oxley, which means folks will move over seas to start new businesses than stay home in the states. Then he has not even addressed or considered revamping value-asset accounting principles nor obviating the Commodity Futures Modernization Act – which are two things that got us in this mess. Let alone accept the premise that folk like me don’t believe we should give banks money to buy other banks – especially when you talk about main street.

True he does mention job creation, but all I have read is the mantra of “new Green Jobs” without any relationship to reformulating the economic conundrum we are in and confronting currently. True, I am no economist, but I read and I try to use reason, but there is a lot more needed. It kills me when I read and hear folks say “freedom”, or “we aint got 40 acres and a mule but we got Obama”, or “Abolition” to describe his historic win, but go out and party and don’t feel as if they have a roll in this, and can see he is just one man, makes me feel that many think things have changed, without asking has America changed? I say no. It will be on us all for there is no such thing as magic. Something must be said with reason over feeling and emotion because although he won, most folks a pay check away from a pink slip.

Jones mane u the real socialist

I keep reading the suggestion that some folks, in particularly when they wanna spread the wealth are socialist. For the record, taxes would be socialism, for they spread the wealth – but im thanking and don’t want to for as any yawl who read jones here on the regular, I write what comes out my brain as most idiot savants do. Socialism from my modicum of reading on the subject is an economic doctrine that calls for public as opposed to private ownership or control of property and natural resources. These mutha fucas say that folk in general live in cooperation and as such, don’t require no LLC. Moreover, all folk who contribute to the production of a got a right to share in all attributes and share in such. What am I saying, well in essence that the control property for the benefit of all mutha fucas.

Now where did I gather this adumbrated view of socialism? Well strangely, I guess the first jones was Nietzsche, who commented on the inhumanity of Aquinas' view suggesting that the privileged will not have pity on the damned. Thomas Aquinas (fuc boy azz ni double G a) asserted that compassion only comes about when folk desire or want the suffering of others to stop, I mean I suggest that is what he meant when he wrote/said "The blessed in the kingdom of heaven will see the punishments of the damned, in order that their bliss be more delightful for them". Now true, I done read most of all the shit Marx done wrote, but I concluded he was a reverse socialist – meaning he just wanted to get paid on his views of capitalism. Now I am writing this because the impetus was via a comment left by the scholar supreme and Mr. well-read himself – Kelso, to one of the post over the last few weeks in which he astutely outlined why Obama was not a socialist. Made me think, well you know if folks would complain about the house and senate bail out bills without reading them, so too would they be likely not to have a general, if any understanding of socialism as opposed to what Sara Palin would tell you. LMBAO.

I just wanna say the only creeping socialism is proffered by Paulson and Bernake and McCain and all the bich azz folk who see Wall street as their idol. Yep, even Bush, Paulson Bich azz couldn’t even tell the folk on Capital Hill how much a dollar figure would be needed for another stimulus plan, but he could jump from make believe to 700 billion for his folk.And why, cause we regular people aint his folk.

He don’t cut his grass, or change his oil, believe that.Obama aint no socialist and it shows me more than ever that McCain isn’t well read and got PTSD - Bush, and yawl folk who got the dicks of Wall street and big business in your mouth, Jones mane u the real socialist. Using federal loot to buy banks, and bank stock – not to mention..., well let me stop, will talk about fed rserve bank later.

Fk the VP, who gone be your Treasury Secretary

Ok back on the grind but first two things I have noticed: 1] I have noticed how Obama is saying all that I wrote in my post called slacking on your macking now. 2] My Titans 3 – 0; 3] Aint no gas in GA – there is a shortage in most places except where I live. LMBAO.

Back to the task at hand. I was trying to stay away from the economy. Seems that folks don’t have worries no more. Well I don’t wanna scare anyone, but I do desire for folks to have a semi objective and non biased opinion of things the way this single distorted, sordid and diabolic mind perceives such. I mean Wall Street over the past three Sundays, that’s right Sundays has gone over a dramatic facial. Now Goldman Sachs (as I said) and Morgan Stanley (as I said) are no longer investment houses but rather regular old banks now thanks to you guessed it, basically unilateral decisions of the Feds. Yep regular banks – which have stiffer regulations when compared to investment houses.

I don’t know about you, but I would hope that I am not the only one kind of leery of having basically one man in control of making financial decisions with my tax loot. Secretary of Treasury Henry Paulson. And add to that Ben Bernanke, it makes me a bit more concerned. If it was like it was back in the day I wouldn’t be so worried. The old fed maintained T-Bills as most of its asset base. The typically matured in increments of 90, 180 or 360 days and sold at a minimum value of 10 stacks.

I know Paulson think he is doing the right thing and maybe he is, but to compare the value of a MBS to a T-Bill from the historical vantage point I maintain is feculent. Add to that, doing all of this decision making in essence to hand over a black check to these folk with out consulting congress before hand borders on treason to me. Shit, today the Dow dropped almost 400 points and Oil prices posted a record one-day gain today, going over $25 per barrel. I aint buy no oil futures, but Gold, just as the aforementioned is a commodity also [note to self last week u could get 68.78 oz of gold for 50K, today 50K gets you 58.8 oz] . Add to that the knowledge that P. Morgan Chase and American Express fell 13 and 8 percent alone today respectively.

I just say, I feel that we are bailing out folks for stupidity or even worse for making poorly thought out investment decisions. And the plan as I have just finished reviewing, I mean the planned bailout, still leaves it wide open for these institutions to load even hedge funds to dump these distressed assets on the tax payer, I mean the government.

I think we need to dig in for the last 7 weeks before the election and ask these folks some serious questions. Dang man, we know who the VP is, but on the really real, fk the VP, I wanna know who they gone pick as the next secretary of the Treasury. We got it all wrong up in this camp.

he hate me (#500)

This is my 500th post. So Thought amnesty. u dont have to think - let me entertain u.

Just tell me what u like or dislike about my blog and most memorable post - i think its the people blog, and what the heck, ask me what u want - i may or may not answer. Good day. see u thursday. And excuse the comment below, its for my folks No Slappz regarding the prior post.


Now slappz
McCain believes in enforce existing financial market regulations and not enacting new ones. The there is McCain’s record and involvement in the Keating five - the last big collapse of US financial institutions, that cost taxpayers over $200 billion (in today’s dollars.)

And what is the evidence that it is self correcting? And that is my point, if I don’t like your rating, I can pay someone whose rating I like. THE MBSs were never solid securities, im certain u can agree on that C+ if that.

“Keating used Senator McCain to lobby the Reagan administration successfully to appoint not only Lee Henkel (who then served as Keating’s “mole” on the FHLBB until I blew the whistle on him), but also another individual chosen by Keating. The FHLBB was run by three presidential appointees, so this would have given Keating majority control over the agency regulating S&Ls. The Reagan administration was set to make these recess appointments over the objections of the White House director of personnel, who opposed the appointments because when he called Arizona Republicans to vet the proposed appointments he learned that Keating “had a reputation for buying politicians.”

The only Fallacy of Composition I have observed is malignant McCain saying the fundamentals of our economy are strong yesterday in FL.

McCain promised to ``replace the outdated, patchwork quilt of regulatory oversight.'' During his 26-year career in Congress, McCain has supported proposals to cut, not increase, federal financial regulations.

In 1999, McCain voted in favor of the Gramm-Leach-Bliley banking deregulation act that let commercial banks and investment firms merge for the first time since the Great Depression. And, while he supported the Bush administration's takeover of Fannie Mae and Freddie Mac, McCain says he wants to sell the mortgage finance companies to private buyers.

And it is true, where did JP Morgan get the loot – US tax payers. Y do I say this? Because JPMorgan Chase and the federal governmentt teamed up on the bailout of Bear Stearns, a last-ditch move to save the investment bank. It calmed the market for a few – but such intervention aint SELF CORRECTING JONES.

The FEDS lent (is that a word) JPMorgan $29 billion as an enticement to buy the troubled Bear and its liabilities. As collateral, JPMorgan put u[p $30 billion worth of WORTHLESS mortgage-backed securities and other complex investments, which are basically the most problematic assets on Bear's books. JPMorgan has to repay the Fed loan with interest at the "discount rate," which is currently 2.5 percent.

The risk to the Fed—and to taxpayers—is IF these MBS turn out to b completely worthless, then the Fed would be out the whole $29 billion. Under the terms of the deal, JPMorgan would pony up the first $1 billion in losses.

And about Mr. Chairman Bernanke: He defended this shit, and in April this year folk said "Given the exceptional pressures on the global economy and financial system, the damage caused by a default by Bear Stearns could have been severe and extremely difficult to contain," that is what he told the Senate Banking Committee.

I would go on and wont even touch Cox because he was being considered. Tell me if I am wrong jones? vote

where dem dollars at

Boy oh, boy, I’m glad my broker honored my request to put a quarter of my account in pounds and Euro’s each. Im certain by now you have heard that the dollar dropped to $1.40 against euro.This slide has been goin on for about 3 or 4 years now, but never has the change against other currencies been so dramatic. This was after the Federal Reserve cut interest rates in the beginning of last week.

The query is multifold, inclusive of asking what does it say about Greenspan's successor, Ben Bernanke. Not only do we have to worry about the decline in the greenback, but add to that the bust in the housing market and a reduction in manufacturing, this should have a major impact on the U.S. economy.

My concern is that politicians are not even talking about the importance of having a strong currency for the country during the current political dialogue. Especially since it has been reported that China has stocked piled about $200 billion US dollars. Then there is the Arab move to confound all of this. Borse Dubai has just secured 28 per cent of the LSE as part of a wider deal with the US-based Nasdaq designed to settle their long-running battle for control of the Nordic exchanges and telecommunications operator OMX. The Dubai group bought most of Nasdaq’s 31 per cent stake in the LSE for £14.40 a share in cash. In return, it will take a 19.9 per cent stake on the combined Nasdaq/OMX group and receive cash.

Now days the dollar is equal to the Canadian dollar, which places the “loonie" at its highest point in about 30 years. This is important to me since see first had via my travels abroad how the value of the dollar is shrinking. If the dollar keeps dropping, it makes imports more expensive and maybe even increasing the likelihood of inflation.

As I mentioned last week about China, the US trade deficit in goods and service was $726 billion, as we had way more imports than exports. True, a lot of this is a consequence of the increasing price of oil; we may be seeing the beginning of a larger pain that will come in all of our pockets. So yawl keep track of your investments and it might be wise to start looking a forex exchanges and funds to make sure you hold on to your loot. So when Gangtsa Boo ask wher dem dollars at, we can answer china and Dubai. I take my investment seriously, this is America, and yawl can see some of where my money is in my portfolio on the side. And like Paul Harvey- Good Day.