Melvin H. Shapiro

America Needs a Competitive Edge

2011-10-11T12:38:00.000-07:00

The key to American success today is a competitive edge. Prior to WW2 America was thriving as the engine of the Industrial Revolution for a couple of reasons: widespread opportunity and access to cheap energy and cheap labor. Today: opportunity has been strangled with a maze of government red tape; highly regulated labor; very costly energy. An American success plan should start with reduction of regulations, especially in the development of energy. Energy development in North Dakota has created a '49ers Gold Rush environment for job seekers in the Bakken area oil fields. More high paying jobs than job seekers!

A Federal Government program subsidizing America's rolling stock to CNG would drastically reduce the demand for imported oil, driving down the cost of that resource which is used in virtually everything Americans consume. Imported oil is in effect a tax upon all Americans that goes off-shore, into the pockets of those opposed to our style of government and freedom, and unlike a legitimate tax is never returned as a government service! Development of CNG, clean coal, our own oil, and new nuclear energy would further drive down the cost of energy. Top-off this plan with the elimination of all taxes on all energy and suddenly you'd have very cheap energy costs, attracting manufacturers from around the world. Jobs: building and re-fitting CNG facilities across the country; building new nuke and clean coal plants, jobs developing our own oil resources - not allowed to be exported! Opportunities for the development of ancillary businesses surrounding these industries wouls spring-up across the country.

That's an American Recovery plan. Not wasted money kicking the can down the road. Not an ideology with a hidden agenda to "fundamentally change" what was and still has the capacity to be the greatest system ever created. We've already spent so much of our ability to repay that which we've already borrowed and now that scheme is busted. Proven, BUSTED! Time to go to work. Real work that makes stuff the world needs.

Let's begin with energy! That's an edge the rest of the wold cannot beat. That's the edge we've still got. We've got the talent, we've got the resources, we've got the people. Let's unleash them - - let's compete!

Cheers,

Mel

Fed Budget Deficit Made Simple

2011-09-03T14:30:00.000-07:00

From Bill Teitelbaum:

Numbers and political information can be so confusing....
I think this simple analogy will be helpful to gain an understanding whether we should be concerned or not...


U.S. Tax revenue: $2,170,000,000,000
Fed budget: $3,820,000,000,000
New debt: $ 1,650,000,000,000
National debt: $14,271,000,000,000
Recent budget cut: $ 38,500,000,000


Let's remove 8 zeros and pretend it's a household budget:

Annual family income: $21,700
Money the family spent: $38,200
New debt on the credit card: $16,500
Outstanding balance on the credit card: $142,710
Total budget cuts: $385

Understand those "deep" cuts now?

Cheers, Mel

I Love Stuart Varney, BUT......

2011-08-16T14:42:00.000-07:00

Stuart, you proudly proclaim how you love America and want her to remain as she is - vis a vis Britain and the EU. But you just can't resist your genes. You have the tint, if not the color, of the socialist when you express the idea that a law requiring a key lockbox on the front door of ones home, allowing entry to cops and firemen (and who knows who else - what's wrong with just using a battering ram?) as okay! This is UNAmerican. I know it is because I come from a long line of folks born and raised here with American ideals.

I'm an oldster, I and my parents were born and raised in the West of yore. We have witnessed the slow but inexorable and lamentable march of East Coast ideas destroy Western values. Like the folks that move to the desert, love it, but then can't help themselves and are impelled to plant a lawn - because lawns are in their genes - and thus destroy the desert climate they loved so much. Lawns may be a stretch but it's an analogy that works.

Please Stuart, don't plant a lawn..... they are so English.

Cheers, Mel

An American Solution to Stagnation

2011-08-12T13:07:00.000-07:00

We have to get busy and work for a replacement to Obama and all those stifling energy development. One has to ask, is he and his supporters purposely trying to destroy the country? There is no other explanation for an administration and its cohorts: the Senate majority, and various special interest lobbyists, that have refused to develop energy, which is the life-blood of our civilization. Not just refused to develop it but work actively to shut-down development!

That's not hyperbole, that's a fact. Energy, or lack thereof, was the prime mover of Japan's attack in 1941. It was the reason Adolph and Co. attempted to take-over Europe. Thanks to our abundant energy resources prior to WW2, and of course our distance from the front, we were able to prevail. Since then America has depleted the "low hanging fruit" - we have used-up much of our easy to get oil. But natural gas (NG/CNG) is abundant and available for the taking right here in the US and Canada.

Energy is what has gotten humans to their current high standard of living.

Without reasonably priced energy America cannot compete on the world industrial stage what with competitors like China, who have no EPA, OSHA, Dept of Energy, etc. to shackle and hinder growth and production. In China, a projects are identified, discussed, and if given the go, construction begins within days. At trip to China is absolutely mind-blowing!

I'm not suggesting that we become the dictatorship/oligarchy the likes of China, but we have to develop energy if we are to preserve our strength and our wealth, or we will fall under the control this type of government.

Just imagine where we would be if energy was all but free! We have vast resources of NG. Many pipelines are already in place; every major city has them supplying most of the population now. Supply pipelines already criss-cross the country. Our government should offer tax incentives, and outright cash, to convert gas stations to CNG stations. Unlike Cash for Clunkers, a costly and complete failure, Cash for Conversion would yield a payoff every time one used their car or truck! Converting the USA rolling stock to CNG would all but shutdown the use of oil for transportation - our biggest use of the product. The money spent on oil, by the way, is essentially exported.... it's a tax without a return in the form of returned government services. A complete loss! Ironically, most of that money goes toward those at odds with our way of life.

The side benefit, and not a minor one, would be the radical drop in the cost of oil. Add to that scenario: the elimination of all taxes on energy. With these two ideas working together suddenly Made in America would have real meaning..... our products would be far more competitive in the world marketplace. In the EU gasoline/diesel/avgas costs range from $8 a gal on up to $16 a gal and more! In terms of costs of industrial production, we could beat them on every front. China uses coal for industry, but still must ship their finished product around the world, not a cheap enterprise. America, manufacturing locally - customers available localyl - both right where goods could be produced with cheap energy; that spells, what Charlie Sheen calls WINNING!

Add to that: American Cost Of Living would drop drastically. Heating/AC, cooking, traveling - all living costs are tied directly to energy costs - all would be a lot less expensive. This would in turn free-up cash for other uses improving American's lives. Farm products too would drop in cost, since fertilizer, tractor fuel, shipping, and refining costs would all drop - drastically.

Think of the jobs that would be created immediately, today, building systems and converting every service station to offer CNG; and every car and truck to run on CNG. This is the kind of government sponsored infrastructure that would actually pay returns back to citizens for generations.

If energy was a lot less expensive, maybe we could actually afford to get sick! We have to put those in favor of developing NG into the driver's seat.

Cheers, Mel

Taking Easy Money

2011-03-01T10:48:00.000-08:00

The Seniors of America are the last bastion of confiscatable wealth. In practical terms they can't leave the country; they can't sell their assets in a bad economy; they have children and grandchildren they can't leave. Their income, for the most part comes in the form of Social Security and Medicare. It just so happens that those two items are the largest part of the Federal budget.

Now the best part; it's easy to take: 1) stop COLAs - done, 2) pare back Medicare coverage - underway; 3) demonize those two funds as, "The biggest part of the problem is not discretionary spending, it's entitlement spending," read: Social Security and Medicare. Also know that the discretionary spending is the source of pet project money of nearly every elected official. And lastly 4) Inflation, which is the ultimate theft from Seniors; they don't work, have limited ability to earn enough to keep-up, and survive by an ever lowering standard of living. 5) Easy to TAX. They are the largest group of individuals in our society with paid for homes. Seniors do not use credit and are not a threat to the banking system.

A weak and immediately identifiable group: Seniors are America's last bastion of hard earned and saved wealth.

Cheers, Mel

Frank View of the Big Picture

2011-01-24T18:08:00.000-08:00

The following is from friend, NYU Stern School of Economics Economist, Price Waterhouse Accountant, Fortune 500 Co. Comptroller, entrepreneur, and now retired, Frank Fischer. This is his response to an ongoing email exchange concerning the future of America.

Hi Mel...

I think you already know some/most of my big picture suggested spending cuts to the Federal budget. Getting rid of entire agencies and departments, like the Dept of Education, EPA, Dept of Energy, Dept of Commerce and as big a hawk as I am, big cuts in the military/Pentagon. I'm sure there are others that could be eliminated. All other departments and agencies should take a 25% budget hit, bar none except veterans programs. I also believe the Feds should cut 25-40% of all Federal employees and implement wage, bonus and COLA pay increase freezes until the budget is balanced. I also believe it's an opportune time to get a balaced budget amendment passed.

Also, no more defined benefit pensions. Stop them all right now and immediately switch all Federal employees to defined contribution plans like 401ks. No more Cadillac health care programs either. Stick them all into Obamacare insurance pools, if Obamacare doesn't get repealed. Congress and Federal employees are exempt from Obamacare. WTF!!

I also believe we need term limits for all Congressmen/women (3 years) and Senators (6 years). Cut the hell out of their pay, or don't pay them at all, like it used to be. Or pay them something similar to what the military pays for a low-ranking officer. Same for their staff. Give them some frugal expense reimbursement plan. No pensions, no health care they take with them. No more per diem, that they just pocket for personal use. Build a decent barracks-type residence for all reps, or just convert one of the many unused buildings in DC to a residence hall type thing for when Congress is in session. Staff are on their own like the rest of us. Eliminate perks like paying off their school loans for them too.

Get rid of all the BS money-draining subsidy programs like Ethanol and money sucking things like Amtrak and the Post Office. Privatize these things with no subsidies from the taxpayers. If they fail, they fail. If prices go up, tough shit. Pay the going rate or use something else.

That would reduce federal taxes for the folks which would help our 70% consumer spending based economy and set an example for frugality for state and local government. State and local gov'ts need to cut the fat and get rid of all of the money sucking union pensions, health care and big paychecks. The lower taxes that would result will also help the 70% consumer based economy. Privatizing a lot of what state and local govt's do will cut costs and make things much more efficient. Case in point - NYC Sanitation Dept. Why have a city run sanitation dept? Sub-contract the work out, including snow removal. There certainly wouldn't have been any slow-down in snow removal with that last storm that hit NYC. Waste Management does a great job. They've been picking up my trash for years at a very low cost and I don't know if they provide pensions or health care to their employees. Frankly, I don't care.

We need a national energy plan and as you know, I recommend CNG, nuclear and clean coal. Plus we need to drill for more domestic oil in the meantime and send these OPEC and other dictatorial financial rapists back to the stone age. This would probably be the biggest contributor to putting money into consumers pockets, thus helping the 70% consumer spending based economy.

Those are some of my "big picture" actions I'd like to see take place. I don't consider them small or insignificant.

As far as all of the smaller things I, and you, become aware of and bitch about all the time, a $ billion or two here, a few $ billion more there....it all adds up to tens or hundreds of $ billions. It's just like eliminating earmarks. Sure, they don't add up too much in the big picture scheme, but taken as a cumulative whole with everything else, they add up to a ton of money. Plus, it helps eliminate corruption. Corruption always starts small and grows from there as politicians become bolder and bolder and steal/waste more and more of our money. Case in point is the ethanol scam and the proposed cap & trade fraud.

As far as our economy goes, I still believe we're in the midst of our fist lost decade. And it may continue to another decade, not unlike Japan. Obama and Congress aren't going to get us out of this mess. Only the private sector can do this. Regretfully, I don't see any clear way out. I don't see any clear way to reduce unemployment, other than through attrition as folks fall off the unemployment roles. But then they're on welfare, food stamps, etc. The housing market has crushed us. The US economy has been riding on fictitious, non-existent wealth in the form of bogus home equity for the past 10 years.

For years, folks have been pulling this bogus equity out of their homes to buy cars, big screen TVs, take vacations, remodel their homes, buy 2nd homes, etc, etc, etc. Then there were the house flippers taking quick profits of bogus equity. It was all BS. Look at what happened when the bubble burst. IMO this is the main cause of unemployment in this country. All of the lost jobs including contractors/builders, sub-contractors, building suppliers, realtors, mortgage brokers, bankers, title companies, etc, etc, etc, plus all of the government related jobs, like those in building depts, inspectors, etc. Then the effect it had on the rest of the economy. Severely reduced auto/trucks sales, mall closings, restaurants closings, retail shops out of business.... you name it, it's gone. Then the foreclosures....well over a million, maybe 2 million and an estimated 3 million more coming. This has touched every part of our economy.

So the big question is: in what sector of the economy will jobs be created? I have no idea. Neither does anyone else, including Obama and Congress. The truth is I don't believe a significant number of jobs will, or can be created in any sector. Hence my forecast of 2 lost decades. Until such time as all of the millions of baby boomers (1946-1964) are finally out of the work force, we'll continue with 9-10% or higher unemployment. It's the norm now and may get worse. We need to create 140K jobs a month just to keep up with normal growth. Where are all the kids graduating high school and college getting jobs? They're not. They're moving back in with their parents or other family members. Folks that have lost their job and their houses are moving in with friends and relatives. It's a mess. All of this causing a lack of contribution to our 70% consumer spending based economy.Yet the population continues to grow.....with illegal aliens and babies from single parent mothers living in projects and ghettos. All needing entitlement support, further stressing out the financial situation in the country.

Sure, the stock market is doing better, but it's all BS. Most companies are recording increases in their bottom line profits, but little to no growth in their top line, revenues. This is all because they cut the hell out of expenses, mainly with headcount reductions. Productivity is way up. Wall St banks are making a killing since they're able to borrow money from the Fed at zero % interest and turn quick, daily profits by lending it to other banks on short terms. Business and consumer credit is still tight and tough to get. All of this Wall St and stock market crappola does nothing for our 70% consumer spending based economy. Consumers that do have an income aren't spending. Those that don't, can't. Many are terrified and either saving or paying down debt. Many are helping to support other family members, just to help them get by with the basic needs to survive. Bankruptcies are at a record high. Foreclosures the same. Huge numbers of unsold homes are out there and the numbers are growing. Home values are dropping like a rock and continue to do so.

That is the big picture. We're screwed. The truth is guys like you and me DO get it. It's the rest of them that don't.

Frank

Affordable Health Care..... Now

2011-01-22T23:43:00.000-08:00

Just saw an ad on TV selling the Silver Sonic XL by Bell and Howell. This little baby looks just like a bluetooth cell phone ear piece you see mounted on dopes at Costco. Here's the deal. My dad and Rebecca's mom wore hearing aids. Their vanity wouldn't let them wear any device, let alone a honkin' wasp's nest on their ear, until science and engineering had invented a completely invisible device worn entirely inside the ear. The problem here was that these elegant tiny marvels of sound amplification were expensive - - $Thousands!

But the Silver Sonic XL shows how humans adapt. And how we'll move forward into our brave new world - - cheaply, putting function before fashion. To wit: Now, you can get a fully featured audio enhancement device..... for only $19.95. And if you call right now you get 2 for the price of one!! One for each ear or one for you and one for your partner!

So there you go.... what cost Bernie and Becky four grand every year or so.... trying to get one that really worked.... is now available, functionally anyway, for only ten bucks!

Your future at work, bringing costs down! Aren't we creative funny creatures?

The next thing you know that same world of hi-tech will bring us cheap knee replacements...... a simple amputation of the lower leg - above the faulty joint - and the ware-it-home replacement! A fully featured wooden-leg, but modern..... and much better; with - get these features: super light weight super tough kevlar "leg," no-rust titanium joints at both knee and heel!, super-stick silicone custom-fit breathable "cup" at the stump.

To make it a real winner it will be available with any number of shoe styles..... including slippers. One hell of a lot cheaper than the current "invisible" but very expensive "knee replacement procedure!"

Cheers, Mel

www.melvinshapiro.blogspot.com

Tea Party Redux

2010-11-04T20:39:00.000-07:00

The TEA Party, named after the Boston Tea Party, the forerunner to the American Revolution that began in 1773, is nothing less than a Citizen rebellion against a government felt to be dictatorial and unfair.

That first revolution began on December 16^th 1773, and soon spawned all out war against government that did not end until 1783 when the Treaty of Paris recognized the sovereignty of the United States.

But make no mistake, the revolution was war against the citizen’s own government - - British citizens, “Colonists,” living in British America, against a British government, a government that had grown ever more hungry for tax revenue and ever less responsive to citizens. Thus the famous phrase: No Taxation Without Representation.

Today we have a similar struggle: The Government has grown ever more hungry for citizens' wealth and ever less responsive to those paying taxes. Taxes for unpopular wars; for bloated and needless bureaucracies; for overpaid government employees; for unpopular entitlements; for outrageous government employee pensions; etc., etc. When taxes could not be raised to fund these unpopular adventures and entitlements, the money was simply “borrowed.” Borrowed without the approval of the citizenry and expended primarily for constituents’ of powerful lobbies, in return for political support -- i.e. the sale and purchase of votes.

When the Constitution was originally conceived, the House of Representatives was designed to allow for a single Representative to “represent” 30,000 citizens - a population, in today’s terms, of a small American town.

Over the years the number of citizens represented by each Representative has grown from that reasonable figure of 30,000, to now 750,000+ folks. How does a Representative represent nearly a million people (750,000+/-)? Well they don’t. They represent a few special interests. This huge number of 750,000+ citizens has turned Representatives into a kind of “short-term” Senator, but free of State accountability. Members of the House have grown very powerful, commandeering huge entourages, enjoying foreign junkets, and even providing some with private government-paid-for jetliners, wherein they travel like kings and queens!

Article. I.

Section 2.

Clause 3: Representatives and direct Taxes shall be apportioned among the several States which may be included within this Union, according to their respective Numbers, which shall be determined by adding to the whole Number of free Persons, including those bound to Service for a Term of Years, and excluding Indians not taxed, three fifths of all other Persons. (See Note 2) The actual Enumeration shall be made within three Years after the first Meeting of the Congress of the United States, and within every subsequent Term of ten Years, in such Manner as they shall by Law direct. The Number of Representatives shall not exceed one for every thirty Thousand, ………”

Perhaps it’s time to return to the original concept of “representation” as spelled-out in the Constitution. With modern technology there is no need for Representatives to congregate in D.C., a computer at a home town office will do just fine. With electronic conferencing and voting and with direct input to and from constituents a more perfect union could be had.

Here’s the problem with the current Representative arrangement:

1) Anonymity. A small town Mayor or a County Sherriff has much greater accountability to the voters. They are widely known as are their views, and they nearly always reflect the character and political position of their electorate. Representatives, having an electorate of 750,000+ souls can take just about any position they chose!

2) Arrogance. Representatives somehow feel that they are elected to exercise their own views, totally contrary to the actual reason for their existence, which is to represent the political views, within the framework of the Constitution, of their immediate electorate. They are not elected to represent a position that they think is best, the arrogant elitist position – “I know what’s best for …you!” No, this is not their job. And lastly,

3) Corruption. When Representatives vote for positions paid for by lobbyists they have become corrupt. When they “trade” votes to satisfy a fellow Representative, in return for who knows what, they are corrupt. Their job, their only job, is to vote the will of their immediate electorate -- again, within the framework of the Constitution.

In 2012 there will be another TEA Party “wave.” As a matter of fact there may be a succession “waves” until Representatives “get it.” I fear they will never get it until the system is fixed. The best way to largely fix all of the above is to:

1) Cap the number of constituents within a congressional district to 30,000. Representatives will then have to answer to a small group and will be out the first time they fail to represent the views of their constituents. In this past cycle, Representatives voted in direct opposition to the wishes of the majority of voters, from deficit spending to entitlement broadening to health care. They ignored the voter’s wishes to effect tort reform which would reduce the cost of virtually everything, change health insurance company operating rules, thus making their product more competitive, and eliminating State Mandates that force insurance companies to cover idiocy like sex change, and a plethora of other issues.

2) Remain in their home districts. They do not have to be in DC. If there are hearings held, Committees can be assembled to hear testimony. Interested house members and the public can view them via TV or on the Net.

3) Term limits. Serving is an honor… not a career. Serve, do you job and get out of the way.

I think we should go back to the original percentage of Representatives spelled-out in the Constitution --one per 30,000. No assembly in Washington; the new Representative, one of 10,000, would vote with computers from Representatives’ home offices. Then a citizen will truly have representation. Representatives should never have become potentates. Today, just as in 1773, there is once again Taxtation Without Representation. One Representative per 750,000+ people is no representation at all, and allows Representatives to act capriciously without care of citizens' wants. Not good. Let them be locals, and answer directly to their hometown constituents.

Cheers, Mel

Melting Down

2010-09-16T20:30:00.000-07:00

We are witnessing historic American Political times. The 1st non-white President. The 1st American President attempting to mollify long-time historic enemies (since the Jefferson Presidency) with bows and American deprecation. The most serious economy crises since the Great Depression. And now the first major breakdown of one of our major parties.

Founded in 1854, when The Whig Party lost touch with the American public and the Democrats continued to support slavery, the GOP is at it's end. Are we seeing the demise of a party that too has lost contact with its prime supporters? The Republican Party, for some time, and especially so since the Bush 41 administration, has steadily drifted to the left and has finally joined-up with the Elite Power Structure, the Political-Media /Government-Union Complex. The Complex, consisting of - starting at the bottom, SEIU (and all big unions), ACORN, Government employees, the Mainstream Media (including it's propaganda arm - Hollywood) and at the very top Elected Officials (both Dem and GOP), is our ruling class.

All of these folks have become fat and happy living off the wealth of America, created largely since the end of WWII. Today, Union and Government employees earn incomes nearly double that of the "civilian" population, enjoy broad job security and generous early retirements. They are our Greece! Those that pay for these excesses have finally had it. That 15% of the population living below the poverty line, have decided that they'll not take it anymore either.

All the moves coming out of Washington, for decades, have steadily increased the cost of living, made life more difficult, more complex; have created the fallout of the Nanny State; have created the Entitlement Mentality.... well known in Europe, newer to our shores.

And the trend may well have continued until, like the frog immersed for cooking in a cool pot of water, when finally feeling the heat discovers he's too "cooked" to jump free, the U.S. was so deep in the paradigm it was all but too late to climb-out. But then Candidate and then President, Mr. Obama promised Fundamental Change. Little did he, or The Complex, imagine the story now unfolding.

The Change is less "Change You Can Believe In" and more; Obama, The Agent of Change. Change is happening, and the off-hand remark of Rick Santelli on CNBC, that recent outrageous government actions begged for "a new (Boston) Tea Party," was Change the public really did believe in! Rick, you got one. The Ruling Class is on the run, Change is a comin', but it ain't Obama style and it ain't Establishment style.

Below is a picture of just a tiny corner of the coming meltdown.....

Cheers, Mel

www.melvinshapiro.blogspot.com

Is Karl Rove the Architect of His Own Political Demise?

Power Elites have been exposed as never before, the Far Left came out of the closet like defiant gay extroverts, and RINOs are stampeding

By Jim O'Neill on Thursday for CFP; September 16, 2010

Last night I watched Karl Rove drive the final nails into his political coffin, as he double-downed his attacks against Christine O’Donnell, on Greta Van Susteren’s show “On The Record

.” It may be awhile before the “funeral” takes place, but the coffin is finished, no doubt.

The night before I had watched as Rove began his public self-immolation, on The Sean Hannity Show. Hannity, to his credit, defended O’Donnell against Rove’s surprising (to me, at least) and graceless attack, after her win against Power Elite insider, Mike Castle, in the Delaware Republican primary. (Link)

(Kudos to Sean Hannity for standing up to Rove, however, I hope he won’t mind a bit of friendly advice: lose the UN-blue power tie. It’s a bit of sartorial style that was first popularized by “the anointed one” himself, Obama—besides, well…it’s UN-blue). (Link)

Response to Rove’s rant by true conservatives was immediate

, and almost unanimously, negative.

Rush Limbaugh said

, ““Everyone I know that saw this was just—they were perplexed and said, ‘What’s going on?”

Michelle Malkin noted

that, “Rove came across as an effete sore loser instead of the supposedly brilliant and grounded GOP strategist that he’s supposed to be.”

Last night when Van Susteren had Rove on her show, I fully expected to see some fancy damage-control back-pedaling. Nope.

Figuratively speaking, Rove took out hammer and nails, and went about sealing his political coffin, with a will. If you’ll permit me to mix metaphors, his aim was unerring, when it came to shooting himself in the foot. His performance was stunningly tone deaf, arrogant, and elitist.

When Greta responded to some derogatory comments about O’Donnell’s student loans, by saying that perhaps a lot of people, in this economy, could relate to her troubles, Rove failed to take the hint, and carried on with his tirade.

Has Rove never heard the old saying “When you find yourself in a hole, stop digging?” Apparently not.

There’s one thing “we the people” can thank Obama for—a lot of previously well-disguised “wolves in sheep’s clothing,” have been shown for who they are. The Lame Stream Media has been irredeemably discredited as a source of unbiased news, Power Elites have been exposed as never before, the Far Left came out of the closet like defiant gay extroverts, and RINOs are stampeding.

All of which is, in its way, good news for “we the people,” as it has given us a much clearer view of the “lay of the land.” It may be an unsettling view, but as we wake up and get our bearings, it’s a much needed view, nonetheless.

The Republicans have strayed too far away from their conservative roots, and the Democrats have wandered off to…only God and George Soros

know where—Lenin Land, or another planet, it would seem.

As for Karl Rove

—he’ll be moving on to greener pastures, with the rest of the RINO herd. Well, maybe the pastures won’t be greener, but he and the herd will definitely be moving on.

Laus Deo.

Health Care Cost Reduction? NOT!

2010-04-01T20:27:00.000-07:00

It's not a matter of NEEDING health care. We all need health care. The problem with health care is its cost! With the Obamacare Bill, Congress has not done a single thing to lower the cost of health care.... which is the public's number 1 "health care" concern. As a matter of fact, they have just raised that cost!

Think about it for a minute, without emotion, but with common sense. The Administration claimed that this new law will cover 31 million Americans, heretofore uninsured. The US Census Bureau estimated that in 2006 there were 116 million households in the US. Each household has approximately 2.6 members. That means the uninsured represents about 12 million households. Subtracting those 12 million uninsured from the total of 116 million leaves 104 million insured households to pay for all those uninsured. Simply speaking, if 104 million households picks up the tab for 12 million uninsured ones, the 104 million will have to pay at least 11.5% more in insurance costs every year!

Now some will say, "No, business will pay!" Or, "No, the government will pay!" Or, "No, insurance companies will have to pay!" Of course, but getting back to the emotion free state of logic, we all know that in the first instance businesses will simply raise the price of their goods or services to cover those new taxes/expenses, which means that the end user will pay... that's us. In the second instance, we know that the government has no money, other than that collected in taxes from... us. In the third instance, the insurance companies, if not permitted to raise premiums will simply go out of business.... they can't run on air! That leaves... us! In other words a single-payer system funded by.... us!

So no matter how one slices and dices it, raw insurance premiums will have to go up by at least 11.5%. As they say on TV commercials, "But wait, there's more!" There's more here too because now the government will have to hire tens of thousands of folks to administer the program. The Bill calls for 16,000 new IRS "inforcer/collectors" immediately. That's right now, while the private insurance companies are still in business. As they fold their tents and vanish, more and more government workers, like those at the DMV or the Post Office, will be required to do the underwriting/administrating those insurance companies had been doing, competitively I might add.

All that may not sound so bad until you figure that, hey, those private insurance companies used to make money and pay taxes and their newly out of work employees will be in the unemployment lines.... pulling even more money out of the system! What will all these unintended consequences cost... us? Another 10%? Or more? One last note about expenses.... you can just forget about the "fraud and abuse savings." Those savings will never be found... as a matter of fact they will only increase. Costing another 10%!

There are solutions to many of the problems that have increased the cost of care and the cost of insurance, but none of these have even been considered by the elected officials currently running the show. Here's a few:

Insurance should be 100% portable. When we moved from CA to HA we could not take our California Blue Cross policy with us. The same thing happened again when we moved abroad, yet again when we moved to Washington. Moving abroad we discovered that outside the US there are Insurance Companies that sell policies good anywhere in the world!
State mandates put upon insurance companies should be eliminated. Why should one have to buy an insurance policy that provides for sex-change operations? Or plastic surgery? Or, or, or? My family wanted and needed only major medical insurance. We were middle aged, had no intention of having children or a sex change!
State lines for the purchase of Health Insurance should be erased. Some States allow a variety of policies to be issued; some at far cheaper premiums than others, but neither you nor I can shop across State lines to buy them - this should be changed.
Employees should own their own policies. If it's a job-perk, fine... the employer could simply give the employee a cash credit to purchase their own policy, fully portable. If the job is lost, or the individual changes career, or whatever the reason for change... the policy travels with the "owner."
Tort reform for everything!.... would bring down - way down - the costs of everything. From food to fuel to especially medical care, drugs, and expensive items like Auto Insurance! We've lived where it's happened, in both New Zealand and Australia. But Congress, where too many are lawyers, won't do it. Billions of dollars are wasted on high insurance premiums and cover-your-ass expenses in every industry, all of which are passed on to the final consumer..... us!
Mandatory Physical Education and mandatory nutrition courses, K thru College 4 - with mandatory weigh-ins! When we were kids we rode a bike or walked to school. Once in school we were required to exercise - in Physical Education class - every school day! My high school graduation class had nearly 800 seniors in it; I can't remember a single fatso let alone a third of the class being "two-ton-tubbies!"

These are the issues that have driven-up health care, none - NONE - of which have been addressed by Obamacare. Your family's health care costs will continue to rise, as will all American's until these problems are fixed. By then private medical insurance companies will be out of business, we will have "single payer," your doctor may well be foreign born, you will go to a "clinic" for services, you will wait all day to see.... not a doctor but a Physician Assistant. There will be no other choice. Payment for the government plan will be mandatory. If you want private services you'll have to pay extra for them yourself. Better health services may well be found in Costa Rica. This, by the way, will further us down the road to the two-class system. The privileged and the rest of..... us.

Body parts: knees, shoulders, hips, etc., will be denied unless you are young enough to "pay-back" the cost through future taxes. Your option? Go get them on your own in Brazil or Switzerland, or wherever. That's a fact. In New Zealand and Australia they have a simple age cut-off, re-determined each year, that sets eligibility based upon cash in the system. Oldsters either come here to the US for those parts, or go to Asia, or stay home... use a cane, a walker or sit in a wheelchair.

My argument does not oppose health care for all.... all already get it. For example, a couple (unrelated) friends of ours were stricken with breast cancer.... neither had insurance. They had money for the latest and greatest Apple computers, cell phones, tattoos, one even enjoyed Cuban Cigars (really! - $10 each!) and to drive new cars but nary a dime to spare for insurance! Although never a dime was paid, they both were guided to a California community "program" that paid for all their needs. Not only paid for everything including surgery, all meds and follow-up therapy but also for "reconstructive" surgery; new breasts to match and lipo to go with them! Another acquaintance, a middle aged gentleman, not a citizen but living in Washington, suffered from a massive heart attack. Likewise, not insured. His bypass surgery, all follow-up and post surgery meds (some of which will be needed the rest of his life) were/are all paid for by...... us!

We've all seen off-ramp-beggar's with signs saying they needed money for food (although I've never seen one that looked starved), but I've never seen a sign that said.... Need Money for Surgery (or even medicine).

With Obamacare, everyone (that has two cents to rub together) will have to pay more for health insurance. An ARMY of public employees will be hired to administer the soon to be National Health Care Agency (or some such) in a - I guarantee you! - half-ass manner. If you don't think that costs will skyrocket beyond our atmosphere and into the stratosphere then you're living on the Moon. It has to go way up. Health care will become the biggest expense this country has ever seen. To cover the costs the US will have to change the Pentagon from a defense military organization into an international police force. A Standing Army, Air Force, and Navy will not be affordable.... without sucking every dollar out of the atmosphere. And speaking of atmostphere.... no more NASA exploration either, every farthing will be sucked-into the giant government maw, just to accommodate "health care" expenses.

Welcome to the Fundamentally Changed America!

Cheers, Mel

IS THE END NEAR?

2010-03-15T10:06:00.000-07:00

Bernie Madoff might just be emblematic of a worldwide meltdown as the Ponzi scheme of all Ponzis raises it's ugly head..... that of the US Social Security end game! And yet our "leaders" continue to spend as if there's no tomorrow..... but tomorrow is now on the horizon.

One would think that a little saving would be in order, but no. Every Governmental Agency, be it local school boards, County Councils, City and State officials, all the way up to the White House, just keeps on creating "programs," spending money on virtually every imaginable ridiculous scheme from robot-bees to bridges to nowhere; from Nancy Palousi's coast to coast 767 flights, to Obama's travel in our 747..... even when the distance is as short as 150 miles!

Now I know this is all waved away as "just peanuts" when the problem is as huge as it is, but we have to start somewhere, there are no trillion dollar items we can just slash.... it all consists of the billion here and the billion there Senator Everett Dirkson spoke of.

Someone has to say enough! It's not, obviously, going to come from our elected leaders.... we citizens that care are going to have to get more active and more vocal than ever before.... and say loud and clear... "NO MORE SPENDING - START CUTTING! We're mad as hell and we won't take it anymore!!!"

With virtually every municipality, county, State and even the Federal Government economically upside down, and now SS on the brink, can you imagine the taxes we are facing? RE Taxes will have to go up... in spite of the fact values are going down! Payroll taxes, sales taxes, much higher gas taxes, a new energy tax, new excise taxes, soda taxes, sin taxes, Internet login taxes, Internet sales taxes, Texting taxes, higher income taxes on city, state, and Federal levels, watch for Net Worth Taxes.... and the granddaddy of all....a National Sales Tax of anywhere from 10 to 20% on every purchase.... all on top of every tax already in place!

Who's going to pay all these taxes? Where does the money come from? The 15 million undocumented aliens? Coming Amnesty will legalize and thus bring those folks into the Scheme, and their 30 to 50 million immediate family members! These folks will all want entitlements too, in spite of the fact that they come without portfolio!

We are in a crises unlike anything since the 1930s, but no true Jobs are being created! The TARP money went to the already rich, the stimulus money is nothing more than a political slush fund. Ask yourself this, what happened to all those "shovel-ready projects" that were all around the country? Remember the Interstates in deplorable condition? Bridges, over and under passes falling down? Reservoirs on the brink of failing? The list of horror stories went on, yet I don't see the money flowing into these projects. If they ever existed.... Money is going to the States however, where it's spent on: maintaining government payrolls and rich union and government pensions, i.e. on the privileged class.

What happens when these funds are gone? What has set America apart from every other country on earth has been the willingness of its citizens to work hard, to take risks and thereby fulfill that burning desire to succeed - on one's own! What has helped fuel these dreams has been an abundant source of cheap energy, from our forests to our coal to our oil.

Energy is the key to all human advancement. Without it it's back to the caves......

If this Administration was really interested in creating jobs and getting America moving again they would be issuing "sue proof" permits to build nuclear reactors from coast to coast.... one in everyone's backyard. They'd be letting leases on offshore drilling. The Fed would be offering tax credits for the conversion of auto and truck engines to run on CNG and putting up the cash to build-out CNG filling stations coast to coast. This makes way more sense than offering "cash for clunkers," or "cash for caulking," and it would mean millions of good jobs!

Plentiful cheap energy puts the US back in the game. With jobs vanishing to robotization, costs of living is reduced to the cost of energy. With cheap energy we can compete with anyone including the Chinese.

But what are our elected folks doing? Spending all their energy and all our futures on yet another huge entitlement program.... the biggest entitlement of all... "Free Medical Care for Everyone!"

The Ponzi is close to the end, as all Ponzis eventually come to. We've found every last "investor" on earth when we've found the Chinese. There are no more "investors!" As the attempt to collect ever more taxes fails, watch for the Federal Government to require everyone with an IRA or a 401K to become an "investor." A significant part of those savings, in order to continue their special tax status, will be required to purchase US Bonds.... to be paid back not in a lump sum, but as an annuity. It's coming... the confiscation of money. Madoff was just a trailer of coming attractions.

Social Security to start cashing Uncle Sam's IOUs

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By STEPHEN OHLEMACHER, Associated Press Writer – Mon Mar 15, 12:00 am ET

PARKERSBURG, W.Va. – The retirement nest egg of an entire generation is stashed away in this small town along the Ohio River: $2.5 trillion in IOUs from the federal government, payable to theSocial Security Administration.

It's time to start cashing them in.

For more than two decades, Social Security collected more money inpayroll taxes than it paid out in benefits — billions more each year.

Not anymore. This year, for the first time since the 1980s, when Congress last overhauled Social Security, the retirement program is projected to pay out more in benefits than it collects in taxes — nearly $29 billion more.

Sounds like a good time to start tapping the nest egg. Too bad the federal government already spent that money over the years on other programs, preferring to borrow from Social Security rather than foreign creditors. In return, the Treasury Department issued a stack of IOUs — in the form of Treasury bonds — which are kept in a nondescript office building just down the street from Parkersburg's municipal offices.

Now the government will have to borrow even more money, much of it abroad, to start paying back the IOUs, and the timing couldn't be worse. The government is projected to post a record $1.5 trillion budget deficit this year, followed by trillion dollar deficits for years to come.

Social Security's shortfall will not affect current benefits. As long as the IOUs last, benefits will keep flowing. But experts say it is a warning sign that the program's finances are deteriorating. Social Security is projected to drain its trust funds by 2037 unless Congress acts, and there's concern that the looming crisis will lead to reduced benefits.

"This is not just a wake-up call, this is it. We're here," said Mary Johnson, a policy analyst with The Senior Citizens League, an advocacy group. "We are not going to be able to put it off any more."

For more than two decades, regardless of which political party was in power, Congress has been accused of raiding the Social Security trust funds to pay for other programs, masking the size of the budget deficit.

Remember Al Gore's "lockbox," the one he was going to use to protect Social Security? The former vice president talked about it so much during the 2000 presidential campaign that he was parodied on "Saturday Night Live."

Gore lost the election and never got his lockbox. But to illustrate the government's commitment to repaying Social Security, the Treasury Department has been issuing special bonds that earn interest for the retirement program. The bonds are unique because they are actually printed on paper, while othergovernment bonds exist only in electronic form.

They are stored in a three-ring binder, locked in the bottom drawer of a white metal filing cabinet in the Parkersburg offices of Bureau of Public Debt. The agency, which is part of the Treasury Department, opened offices in Parkersburg in the 1950s as part of a plan to locate important government functions away from Washington, D.C., in case of an attack during the Cold War.

One bond is worth a little more than $15.1 billion and another is valued at just under $10.7 billion. In all, the agency has about $2.5 trillion in bonds, all backed by the full faith and credit of the U.S. government. But don't bother trying to steal them; they're nonnegotiable, which means they are worthless on the open market.

More than 52 million people receive old age or disability benefits from Social Security. The average benefit for retirees is a little under $1,200 a month. Disabled workers get an average of $1,100 a month.

Social Security is financed by payroll taxes — employers and employees must each pay a 6.2 percent tax on workers' earnings up to $106,800. Retirees can start getting early, reduced benefits at age 62. They get full benefits if they wait until they turn 66. Those born after 1960 will have to wait until they turn 67.

Social Security's financial problems have been looming for years as the nation's 78 million baby boomersapproached retirement age. The oldest are already there. As that huge group of people starts collecting benefits — and stops paying payroll taxes — Social Security's trust funds will shrink, running out of money by 2037, according to the latest projection from the trustees who oversee the program.

The recession is making things worse, at least in the short term. Tax receipts are down from the loss of more than 8 million jobs, and applications for early retirement benefits have spiked from older workers who were laid off and forced to retire.

Stephen C. Goss, chief actuary for the Social Security Administration, says the crisis has been years in the making. "If this helps get people to look more seriously at that in the nearer term, that's probably a good thing. But it's only really a punctuation mark on the fact that we have longer-term financial issues that need to be addressed."

In the short term, the nonpartisan Congressional Budget Office projects that Social Security will continue to pay out more in benefits than it collects in taxes for the next three years. It is projected to post small surpluses of $6 billion each in 2014 and 2015, before returning to indefinite deficits in 2016.

For the budget year that ends in September, Social Security is projected to collect $677 million in taxes and spend $706 million on benefits and expenses.

Social Security will also collect about $120 billion in interest on the trust funds, according to the CBO projections, meaning its overall balance sheet will continue to grow. The interest, however, is paid by the government, adding even more to the budget deficit.

While Congress must shore up the program, action is unlikely this year, said Rep. Earl Pomeroy, D-N.D., who just took over last week as chairman of the House subcommittee that oversees Social Security.

"The issues required to address the long-term solvency needs of Social Security can be done in a careful, thoughtful and orderly way and they don't need to be done in the next few months," Pomeroy said.

The national debt — the amount of money the government owes its creditors — is about $12.5 trillion, or nearly $42,000 for every man, woman and child in the country. About $8 trillion has been borrowed in publicdebt markets, much of it from foreign creditors. The rest came from various government trust funds, including retirement funds for civil servants and the military. About $2.5 trillion is owed to Social Security.

Good luck to the politician who reneges on that debt, said Barbara Kennelly, a former Democratic congresswoman from Connecticut who is now president of the National Committee to Preserve Social Security and Medicare.

"Those bonds are protected by the full faith and credit of the United States of America," Kennelly said. "They're as solid as what we owe China and Japan."

The End of Jobs?

2010-02-16T18:30:00.000-08:00

10%! The New Normal?

Is 10% unemployment the new normal? The numbers the USA enjoyed during the Bush years are not likely to be seen again because they were the result of an unsustainable nationwide/worldwide building boom. All during those years and prior, jobs, real sustainable jobs, had been shrinking due to the efficiency needs of industry. Not only have those jobs been outsourced to cheaper labor abroad but in many cases they have been eliminated altogether due to robotization, even in countries with abundant cheap labor.

Need a Formula?

AP Economic Writer, Jeannine Aversa, presents an interesting formula, described here, that shows just why high unemployment numbers may be with us for a long time to come. But even this mathematical figuring does not take into account the extreme shift from human labor to robots. Now that we can "manufacture" slaves, in the form of machines, that can even replicate themselves, a new way of thinking about "employment" has to be explored.

Auto Making: Going, going, Gone!

This video of a modern VW plant speaks volumes, as does this video of a new Ford factory in Brazil.

As you watch these videos, as fascinating as the factories are, pay close attention to the workers manning these plants… or the startling lack thereof!

Electronics

How much of the stuff we buy and use everyday no longer employs human workers… at all!? The Sharp TV Company in Japan recently opened an LCD TV screen manufacturing plant that uses not a single worker, yet will, by the end of this year, produce scores of thousands of large flat screen TVs!

Cell Phones

Hundreds of millions of cell phones are manufactured worldwide every year….. by a handful of employees as seen here.

Building Material

How about something as mundane as concrete blocks? Check out this factory in Belgium.

Food Shelter and Clothing

The list of products we use daily are, for the most part, made without much human labor. Even farming has been automated, from wheat production to egg production.

Here at Fair Oaks dairy farm in Indiana 32,000 cows are milked every day…. Essentially by machines with the help of the cows themselves!

Another example, this one of robots cutting complex shapes from materials as diverse as denim, felt and foam.

What else is there? Well, how about surgery?

What once required a team of highly skilled surgeons is now routinely done by machines.

Wanna Fly-Away from it all?

In the recent past, when passengers were whisked from city to city and country to country via air transport, their route was plotted by an onboard crewman: Navigator, instruments were monitored by another: the Flight Engineer, the plane was flown by yet a third: the Pilot and for a fourth: his back-up, the Co-Pilot.

Satellites and today’s GPS mapping and broadcasting has eliminated the need for navigators. Electronic monitors keep an unblinking eye on the instruments and many flights forego a co-pilot altogether.

Are pilots the next to go? Unmanned Ariel Vehicles are already being used around the world in surveillance, war, and law enforcement. When will we be boarding the equivalent of the UAV 747? It’s just a matter of time.

The Labor Free World!

Have we finally reached the point of the labor-free world? Most things the modern world uses are made by machines. Need more production? No need to hire more workers…. More production can be obtained by simply turning a dial!

Well, what’s the point of all this? Aside from the fantastic advances man has made in the evolution of machines and artificial intelligence, the part of the equation left out is literally that of the human being.

What are 7, 10, or 20 Billion Humans going to do to earn a living when only a couple billion are a billion too many? The English and French are trying The Dole. But unless the Americans, the EU or the Chinese are willing to pick-up the slack, providing a free lunch, the basic Laws of Thermodynamics tells us this scheme too is unsustainable. The Law of Thermodynamics is currently being tested in Greece where legions of bureaucrats are highly paid but produce nothing. The Germans or the EU will have to pay the freight for the Greeks just to avert Euro-disaster. Even this will play-out as only a short term solution….. Kick the can down the road. But it’s not a road; it’s a Blind Alley.

Even if The Dole could somehow be made to work, there’s always the axiom, “Idle hands are the Devils workshop,” to deal with. In France those hands are used nightly to burn cars. In other places they are used in the pursuit of other forms of social ills demonstration.

Man has the mental capacity to invent and develop fantastic machines to create a labor free world of lazy pursuits, yet he lacks the vision to see the true and complete product of his work. Is 10% the new normal or is it just the prelude to even bigger numbers?

Where are the Solutions?

These are problems that our elected representatives were hired to solve. But instead they have chosen to curry favor with a block of voters through: numerous entitlement programs, promises of "health" through expensive government schemes, rich paying government jobs, payoffs to unions, and other either non-productive individuals and entities, earmarks and other wasteful spending "projects." They have latched on to complete idiocy, like Global Warming, to gain even more wealth and control over the lives of human beings, but without even an inkling of how wealth is actually created, all the while living like Potentates, a class apart. One harkens back to Orwell's Animal Farm, where all the animals are equal, except some are more equal than others. How is it that so many politicians, most whom have never had a real job, never hired a real employee that made a real widget, born into a middle-class family, wins an election, travels to Washington then returns home a few years or a career later multi-millionaires?

Cheers, Mel

Post Script: This morning Feb. 17, 2010, from Bulletin News:

Two Million-Plus Manufacturing Jobs Lost During Recession The CBS Evening News reported, "As the US economy struggles, we're not just losing jobs, we're losing manufacturing jobs, the kind that pay well, have benefits and provide a comfortable middle-class lifestyle. Of the nearly 8.5 million jobs lost since the recession began, more than a quarter were in manufacturing and getting them back may require a big change in attitude about working with our hands." CBS went to say that "America has largely stopped making things," and noted that "in the year 2000, more than 17 million Americans were employed in manufacturing," but "by last year, that had dropped to fewer than 12 million."

Hockey Stick Shenanigans

2009-12-11T08:53:00.000-08:00

Hockey stick observed in NOAA ice core data
Hockey stick observed in NOAA ice core data

My previous post contains details that show weather data has been "altered" to fit the need of those seeking money, power, and control over virtually every aspect of life on the planet. My gosh, these people have powerful government agencies working to that end. Take as an example the EPA which has, in all its wisdom, decided that the air we breath (all air breathing creatures) is a pollutant! My granddaddy used to wonder when the government would figure out a way of taxing the very air we breath... Well Baba, if you can hear me, they have..... it's called Cap and Trade.

The link above displays the famous "hockey stick" data that scientists hang their hat on, as proof that we are indeed in a warming period, never-mind the alternative, which is a cooling period - read Ice Age - because the weather NEVER stays the same for long. Click on the link, it's an easy short read with some very interesting graphs - including the vaunted Hockey Stick. It's an eye-opener and explains why the Jim Rogers of the world are busy buying-up prime agriculture properties in the subtropical regions of the world..... they are betting big on a broken Hockey Stick!

Cheers, Mel Shapiro

The Greatest Hoax On Earth...EVER!

2009-11-24T12:53:00.000-08:00

If, after reading this link, you have any faith left in science, you are the personification of the "cockeyed optimist!" "EXPOSED" is what the headline of the New York Times should read, but strangely, it's quiet on this hugely important story. The entire world's wealth hinges on what governments do in regard to "carbon footprint," "Cap and Trade," oil exploration, electricity development and distribution, food production, jobs and ultimately world prosperity.

Shoot the Messenger, Control the World!

Instead, to the Times and others, it's: Shoot The Messenger! This, after Global Warming is exposed as a gigantic, perhaps the world's greatest, hoax! It's a HOAX, but Obama and company will push further in a headlong rush to destroy all that makes America, America! This crew and their minions are not interested in the fable of "alternative energy," they want NO energy. They talk about "Clean Coal," an oxymoron. They talk about wind and solar energy, terribly inefficient. What they are after is the total CONTROL of all energy. Control of energy is the ultimate control of humanity. The weather, or Climate Change, or Global Warming, has been the fear tool used thus far. If you are in the camp that wants to live in the TV Series, "The Prisoner," or the English movie, "Brazil," or Orwell's "1984" or "Animal Farm," stop reading.

Prosperity Now!

What the USA should be doing right now is seeking prosperity. Forget the rest of the world because when the USA is prosperous, the rest of the world is prosperous too. Instead, our dear leaders are offering tax increases upon the country's very job creation engine: small business! Instead our dear leaders are hiring bureaucrats to regulate (sort of, like they did the Banks? or the Insurance Companies? or Wall Street?) or should I say to sit and knit, take home a check and look to purchase a new car with taxpayers money or buy a house with taxpayers money?

Not one of these government jobs, "saved or created," produces a single widget. No economic multiplier effect, unless the laws of physics have been part of the "Change" in Washington D.C.

It's EASY!

There is an easy way to get the engine of prosperity chugging again. I'll get to that, but first a little history. What made America great was: 1) a vast country of what appeared to be unlimited energy resources, and 2) a population free to exploit it. It's that simple. Two World Wars quickly depleted America's easy to get oil, converting that vital resource into freedom for Asia and Europe, but still America moved forward because we were still far richer in these vital resources than all the other developed nations.

Energy = Wealth

As oil's cost increased, America's wealth waned. When oil reached nearly $150 a barrel last year, the US economy ground to a near halt. The world's engine of prosperity was literally choked-off. Greedy fraudsters, selling bogus nonsensical products like "Carbon Offsets," aided and abetted by government "leaders," and a fraudulent scientific community, contributed mightily to the near demise of the greatest economy, while personally obtaining grants, some getting rich, others false fame, with little or no regard for the greater good.

Vast energy is still within our reach, as is full employment. Here's what we can do right now: 1) Instead of programs like "Cash for Clunkers," that actually exacerbate our problems, the government should offer tax credits for motor vehicle conversions to allow cars and trucks to run on compressed natural gas (CNG). America has huge natural gas reserves, often compared to the oil reserves of Saudi Arabia. 2) Build 1000 pocket-sized nuclear power plants.... in everyones backyard. Want electricity? Live with a nuclear power plant! This would apply to the Kennedy's and Bill Koch. This simple axiom has worked well for the French where 75% of electrical production comes from nuclear fission.

Jobs right NOW!

Imagine the jobs created by these two "programs!" Millions of good high-tech jobs, that not only employ men and women right now, but jobs that create infrastructure that goes on paying back for generations. America, once again, would lead the world to greater prosperity. The cost of oil would plummet; The use of electric vehicles would soar on the fuel of cheap electricity; CNG and electric "fill-up" stations in every business and home garage. The most expensive part of this energy distribution system is already, literally, in the ground. Every home and business has electricity and millions of home and businesses have natural gas lines.

Time will run-out....

It's long past time to get off the dime and get moving toward growth and prosperity again. This should be done before America falls further into the stultifying slumber of our forefathers homeland: England. Here's the other bright-side to this equation: Laurie David, the The Satchsquatch of Carbon Foot Print, could, without guilt, enjoy her 26 foot long bar-b-que and her 24,000 square foot house on Martha's Vineyard. She would also be free of the title: Hypocrite Queen.

Tempus Fugit

2009-11-20T10:40:00.000-08:00

This year I've experienced a couple of firsts having to do with my age:

On the 4th of July, while at a large birthday party, I had occasion to look around and notice that there wasn't another soul in the room my age. The closest was Rebecca; born in 1943, she is nearly 3 years younger. I was, by at least - not counting Rebecca - a half decade or more older than the next oldest person present.

A couple days ago, I had need for some advice from an Apple Store tech regarding my computer. Having no appointment, I went to the "Genius Bar" and awaited my turn in line with the others that had no appointment. Soon it was my turn next. But just as I was about to be called an attractive young lady stepped in front of me - to the front of the line. I (gently) tapped her on the shoulder and mentioned that we - I and all those behind me - were waiting our turn in line and that I was next! "Well." she said, "I have an 11:15 appointment, and it's 11:15 now. Do you have an appointment?" Well no I stammered, and dropped the subject. A moment later the techie behind the bar motioned to the next in line, where upon the young woman stepped-up with, "I have an 11:15 appointment." The techie, a young man, perhaps 35, looked at her with a smile and then, much to my surprise, said, "Do you mind if I take this gentleman next? After all age before beauty." I was floored.

While walking Skipper this morning, a fellow, perhaps in his late forties, riding a golf cart slowed to a stop in front of us and said, "There's no sight more serene than watching an old man walk his dog in the morning."

I'm going to have to turn on some bright lights and take a closer look in the mirror, because, really, I don't see that old guy!

Cheers, Mel

Love Lost

2009-11-12T09:33:00.000-08:00

An open Dear John Letter to Levi-Strauss, an old love affair.

Dear John, (oh I know your real name is Levi-Strauss 501 but bear with me) there's someone new in my life. I have loved you since I was a small boy. I have never cheated on you, never dated another, never gone without many of your clones in my closet. I love'd you. When I was a kid I'd pick you up at the store, take you home, get together with you (at first you were as stiff as a board and really blue) - but we, together, would climb into my hot-tub of soapy water and get to really know one another. In that tub we'd get to know one another is such intimate ways that I knew you would always be MINE!

The first time you disappointed me was when I discovered that you had changed your name! Well, not really your name, but the way you signed it, and your stationary was no longer... leather..... but cardboard?! What a loss! But I adapted, I toughed it out and we stayed together. Actually I loved your pre-washed/preshrunk idea and took you home too. Recently, in need of yet another dose of your particular brand of love, I headed off for the Mall.

What a disappointment! You are, finally and definitely, no longer you! 501s are no longer 501s, you've changed -- again! First I noticed that you are weird looking. Your warp or weave or something, gave your look a "vertical" line running through you. Next your basic fabric seemed, oh, I don't know, maybe I could describe it as "weak." I went ahead though and took you home again - the "original" dark blue color.

Now it has to be said, one of the reasons I love'd you is that I could do virtually anything while with you..... work on my car or go out for dinner and a movie. Anything. But this time you weren't "right." Your color came off in copious amounts in areas of any abrasion, like the knees, (which is usual but not like this!) and in other less appropriate areas where almost any rubbing removed color and left whitish blotches, and the vertical lines in your fabric are more apparent.

This past week, having lost a little weight, I decided to revisit you again, so I headed off for Macys. But what a let-down! I found you but your watch pocket was on crooked! I tried another pair and your seam ran down one leg crooked! Yet another pair.... but those I couldn't even button because the button holes were too small! And you all, even your not 501 brethren, all had that ugly "vertical" weave or warp or whatever to the material. I was so bummed.... I'd reached the end of my very long love affair, Acceptance/Tolerance. Love has its limits. I was no longer in love!

On a trip to Costco I spotted the Kirkland brand jeans. Wow! Only 13 bucks AND made of the genuine article denim I loved. Now they are cut a trifle differently and no button fly, but hey, whats my choice? I bought 2 pair, they fit great and felt good too, Today I'm gonna get two more pair before they too become a cheap date.

So John, this is good bye. I loved you unstintingly for over 60, yes, sixty! years. But I have a new love in my life. Good bye and good luck.

Cheers, Mel

The following is Levi's response:

From: Levi-MBXLevis <levistrauss@levi.com>
To: melvinshapiro@yahoo.com
Sent: Fri, November 13, 2009 2:03:26 PM
Subject: RE: Your Comment/Question

Hi Melvin,

Celina here from Levi's(r). Thanks for checking in with us.

We are sorry to hear about your experience. We take great pride in our company, our products and the loyalty of our consumers. We take your feedback very seriously and assure you that your comments will be passed along to the appropriate management.

If there's anything else we can help you with, just email us back or give us a call at 1-800-USA-LEVI. We're available Monday - Friday, 6:00am - 4:30pm Pacific Time.

Thanks again,

Celina
Levi Strauss & Co.
Consumer Relations
celher3531634

Health Care Solution

2009-09-17T12:39:00.000-07:00

Change the Way you Think

In spite of what one thinks, there may be a solution to the health-care "problem." Unfortunately, the solution means thinking about and doing things differently than the way we currently are. The thinking part of the two is the bigger hurdle.

Tort Reform

Every aspect of life in America is affected by Tort Law. Every time you turn around, there's mean ol' Mr.Tort looking at you. In your own home, to the car and street that gets you to work and to the store, even the kids Saturday ball game is ruled by Mr. Tort. From the grocer's shiny floor, to every product we use, including the cart you push, to even the structure of the building, to even the discourse between customers, all aspects of life in America are ruled by Mr.Tort. And he is a nasty and expensive guy.

In 1978 Piper Aircraft employed in excess of 8,000 men and women and sold over 5000 airplanes. By 1987 half of all their revenues went to cover Liability Insurance; by 1991 the company went bankrupt. This same scenario was playing itself out at all US based General Aviation (GA) plants. While some of our citizens had Sued Their Way to Wealth others had been sued to death. In 1994 the General Aviation Revitalization Act of 1994 put a lid on Tort Law as it related to GA; that piece of legislation had a singular effect on GA manufacturing in America: in 1997 GA manufacturers logged a record $4.7 billion in sales soaring over the previous years sales by a whopping 66%! More details regarding the Act are here.

I mention GARA simply to highlight the difference a day can make. GA was going broke, down the tubes of litigation hell, but was saved by tort reform. Today the entire Health Industry, something like 20% of the economy, is going down those same tubes, bankrupting not a handful of airplane makers but the whole country. Our political parties and elected officials are in the firm grip of the trial lawyers who are literally suing their way to wealth while breaking the backs of American middle class earners. Big pharma, hospitals, virtually all health-care providers, pay huge liability insurance premiums just to stay alive. Of course all costs are borne by the final user and in this case that's John Q. Public; in the form of expensive service, high insurance premiums and a dwindling supply of providers. The Health Care System, if it is to survive to provide service to the entire citizenry, must have Tort Reform.... NOW.

Ownership

Insurance is something we can all relate to. Most of us have car and home insurance, we pay for it ourselves and we are covered by it from coast to coast. We purchase and "own" our insurance. Most States require drivers to have insurance, yet we aren't screaming for government provided home and auto insurance. We shop around for it and try to get the best deal we can. Some buy more extensive coverage than others but a basic policy is required to own and drive car. But when it comes to health insurance, most of us do not "own" our policies but enjoy the coverage that is mostly provided by insurance that is "owned" by our employers. We don't even think about it, other than we want it and employers provide it. Employers purchase insurance and it covers their employees. The insurance company can not pick and choose which employees are covered... it's a package deal. Unfortunately when a worker quits or is fired or simply takes a work "break," the insurance coverage (eventually) is lost. Once one is on ones own the rules change. When an individual applies for coverage, pesky items like preexisting conditions, age and other health related issues come into play determining the cost and quality or even the availability of coverage. This should change.

Mandated

People buy cell phones and cell phone plans, they purchase flat screen TVs and Xboxes; they buy beer and cigarettes and chips and gadgets of every ilk... but they won't buy health insurance, if not covered by work many just chance it. What this really means is that someone else will pick-up the expense through ER service or failure to pay the providing doctor or hospital. We all pay through more costly services. Because, again, the final user pays all the expenses. This has to change, personal responsibility has to play a role, even if it is mandated.

Clinics

Everyone must be required to carry health insurance. The whole idea of insurance dissolves if only those that incur losses are covered. If that were the case premiums would be all but unaffordable. The insurance pool must include everyone, the young, the old, the healthy the sick... everyone must pay into the pool. That's the way insurance works. All health insurance should be available nationally, not restricted by State borders, and all policies should be "owned" and paid for by the individual. Employers, relieved of insurance premiums would be required to pass on the insurance savings to employees. Employers would gladly relinquish this onerous responsibility and other savings, beyond the cost of premiums, would accrue to the employer. A basic health insurance policy, perhaps along the lines of "major-med" should be required of all citizens/residents. A "proof of coverage" can be easily devised, but everyone must be insured. Some individuals will fall through the cracks, as do some drivers. They would have to be insured by the state, and provided with the minimum coverage, service delivered by State supported public clinics. This service would be available to all those that fall below the poverty line, which would be adjusted to include the cost of medical insurance.

That leaves the illegals. As long as we allow them to enter the country, to stay, to work, and to raise families, we have no choice but to include them in State provided policies. This is just the practicality of the situation. We will not deny medical service to anyone. That's not who we are.

Private Sector

All the above should be provided by the private sector. We know from experience that the government cannot provide cost effecient and competitive service. With-out the profit motive and the efficiencies of the competitive market there are no savings, there is no efficiency... these things are the opposite of all that is embodied in the phrase, "government bureaucracy."

So there it is, by the numbers, five parts to a better system:

1) TORT Reform
2) Ownership
3) Mandated
4) Clinics
5) Private Sector

Cheers, Mel

Asleep

2009-08-28T12:34:00.000-07:00

Cash for Conversion...

The Federal Government should encourage and subsidise the conversion of trucks and automobiles to run on CNG. As proposed by T. Boone Pickens, converting our rolling stock to run on CNG (compressed natural gas) would reach throughout the economy and stimulate industry from the ground up: from the gas fields to the service stations to all the vehicles we drive. Machine shops, fittings, hoses, tanks, contractors and construction equipment would all be employed creating hundreds of thousands of jobs. Think about it..... a lot of the infrastructure is already in place. Every community that offers natural gas to homes and businesses already has the pipelines in the ground. All that would be needed would be compressors, pumps and storage facilities. Mini stations "in a box" could be built and sold or leased for installation wherever a gas pipe lays, even in one's home garage! And, during it all and forever after it would all pay-back in real terms. Jobs, new industries, and savings of every kind. Money would be created and saved as would oil. The cost of oil would dramatically fall too. Profits would soar and the cost of living would fall.

Cheap Energy

Combined with the creation of 1000 nuclear power plants coast to coast, and the effect of the above would be a thousand fold and the pay-off would last hundreds of years. Millions of real jobs created. REAL JOBS! America would be flooded with cheap energy. Cheap energy is the key to the good life. It is the reason America has achieved the highest standards of living on Earth; standards that America alone has endeavored to spread around the world. All this AND a real step towards genuine energy independence!

Fixing the Economy is not the goal!

It won't happen. Many Americans are suffering from a fundamental misunderstanding of what's going on in this economy, in this presidential administration. In my previous posting I used The Peter Principle to define America's current leadership. But I was wrong, these folks are not incompetent. They know exactly what they are doing and they are achieving their long sought goals. Put simply, this administration does not want a solution to the economic condition we now find ourselves in. Any solution that brings us back to the America I grew-up in, any EVOLUTIONARY SOLUTION is unacceptable. That would be antithetical to the whole movement now represented by Washington D.C. They, our elected and appointed leaders, AS OBAMA HIMSELF HAS OPENLY STATED and upon which he based his campaign, want "Fundamental Transformation of America!" "CHANGE!" That means American -- What?; Obama Styled -- Revolution! This revolution has been in the works from the ground-up for forty years, way before Obama came on the scene. This revolution has at its heart the destruction of everything American. Starting with that icon of America, GM. Done!

Forty Years in the works....

It blossomed in the 60's with SDS, Weather Underground, Black Panthers, ACLU, Southern Poverty Law Center, and others. It has insidiously spread its tentacles, preaching "Fundamental Change" throughout the country with systematic attacks on the likes of the Boy Scouts of America, the YMCA, the Church, the Family. ALL values have been turned on their head. It spread its ideology to the PTA, public schools, teachers; all co-opted, as were the Universities, the Courts and Judges, and Legislatures from the town and county council to the State to Washington D.C. One of the prime targets was the School of Journalism, in every major university in the country... from whence the message and the movement was carried into the media: to the Papers, to TV, to the News, to Radio, to Magazines. They... these revolutionaries, now own these voices from the NY Times to NBC and to nearly every organ in between! Solid old line conservative icons of the American press have been "fundamentally changed." From there it has seeped into the consciousness of the citizen. It's been like prostate cancer.... slow moving, painless... until the victim is impotent. It was not a grand plan... it just evolved through slow but steady organized pressure. Its like "The Body Snatchers," fall asleep and you're gone. We've been asleep, we Americans, making a living and trusting to our elected officials and to those guiding our institutions all that we held sacred. We were deep, deep, asleep.

Wake-up!

We are awakening now, but unfortunately we awaken to the realization that a significant number among us have been "snatched." This number has embraced the seduction of the concept of sharing the wealth... of others. Seeing and hearing the vehemence of each side in this now boiling take-over attempt, I fear another civil war..... just as bloody as the first one...... which was the bloodiest war America has ever known. More deadly than all the losses combined, that Americans have suffered in every war since we've been a country. We - YOU and I ARE the new Indians or the new Southerners, we are the new "slave holders" that have to be destroyed. WE are the ones that have to be.... WIPED-OUT, so that the New Dream of a Brighter Tomorrow can emerge.

This is an extreme view... a terrible nightmare. And it can be avoided... through acquiescence..... or it can be averted by taking back, through the polls, our government. Our institutions must be examined. Our children's teachers must have a fundamental understanding of what makes America tick, what makes America unique. When I hear our teachers speak I am appalled. We can no longer sleep. Too much is at stake. Or we can just lay our heads down to sleep and to dream.... A new Dream of Change..... of a new tomorrow, coming soon to a theater near you.....

Cheers, Mel

Peter's Principle at Work

2009-08-17T11:20:00.000-07:00

Well, here's a government "solution!" Real estate Redux!

http://online.wsj.com/article/SB10001424052970204908604574334662183078806.html

Peters in Charge!

Apparently our elected officials, right up to the top, and most that head-up our major public institutions are incompetents. The Peter Principle in full bloom (The Peter Principle is the principle that "In a Hierarchy Every Employee Tends to Rise to His Level of Incompetence." It was formulated by Dr. Laurence J. Peter in the book The Peter Principle). It wasn't so bad when the biggest Government business was the Post Office, but now it's banking, lending, financing, auto making, insurance, and next, "Feeeed MEEEE," the health care industry, and energy!

This morning I sold my meager remaining stock market positions. My anger with AARP, which does not represent the very people who are their customers, Seniors, reached a boiling point last week when I realized that it too has been co-opted by POTUS. I canceled my Supplemental Coverage with them and placed it with another agent, one not so cozy with POTUS. To think that nationalized health care for all, with end of life measures and rationed care based upon one's future economic contribution, will be of benefit to seniors is ludicrous. Let's get real.... nationalized health care is all about finding a way of shifting union/employer health care and ongoing associated legacy costs to the pocketbook of John Q. Public; and seizing for redistribution, the entire health care industry's gross profit. The Health Care Industry represents one fifth of the entire American economy.

The Federal Government now owns and or manages: The World's Largest Automaker... GM; The World's Largest Bank... Citi; The Worlds Largest Insurance Company... AIG. Now they want the Health Care Industry... in toto. What will be left? The Energy Industry; Cap and Trade will take care of that! Once these last two industries have been subsumed by Uncle Sam, the only "industry" left will be the mom and pop corner store.

"Hit Back Twice as Hard!"

This was the message sent by POTUS to political party operatives when Seniors recently heated-up townhall meetings. In Ayn Rand's Atlas Shrugged, the protagonist, John Galt, led a group of "rebels" to overthrow the government via a brain and will strike; a strike by the Captains of Industry. The thought was that without those special few that really make it all happen, the government would eventually fail. American Captains are at this moment either being fired, ignored, co-opted, or actively managed by a POTUS Czar. Populism at work... they are an easy target, like a tottering automaker or failing bank is, or like the Jews of Germany were. Once the profit from all major industry has been seized, where is the last remaining storehouse of wealth? America's oldsters, the Seniors. Representative government, where local concerns are taken to Washington has been turned on its head. Representatives in charge now "represent" POTUS ideology, not the People Of The United States. Representative government has failed.

Strike Back!

Now we need another kind of "Strike." We have evolved since Ayn's treatise from a manufacturing based economy to an empty "consumer" based economy. The real "Captains of Industry" are now Chinese. The emptiness of our economy is obvious as China picks up the world's manufacturing mantel. We need a new kind of strike.... a strike by "consumers." Consumers who Care. Those consumers, the ones that buy the big ticket items are the ones that fuel the "consumer" economy. Those purchases have slowed way down already: autos, homes. A solid Strike of further purchases, where one buys only the essentials..... no discretionary spending, no Big Ticket expenditures, will shut the place down. America needs a real energy plan, as discussed previously. America needs TORT reform. America needs honest health insurance reform. Nationalization will not save the day. Wind mills will not power American factories, solar power will not charge-up an electric car. Outsourcing manufacturing will not create good jobs.

Turn-off the Suspension of Disbelief Machine

We have to pull the plug of the fantasy movie-projector. We need to wake-up America. The economy has to get real again. We have to stop the Suspension of Disbelief, cheer-led by the "news" media receiving Marching Orders from above. A serious consumers strike can stop this fantasy science-fiction "C" movie projected by Washington D.C. The federal government, cannot turn a profit, even with a monopoly. Without income taxes generated by real purchases creating real profits from solid goods to fuel federal coffers, government can't stand; Soviets. Manufacturing has all but vanished.... we can only rub one-another's backs for so long..... someone has to "add value" to the mix. We can't all live off the heat of the "rubbing." We can't all be the prostitute, someone has to bring real money to the party.

Cheers, Mel

Loss of Inheritance

2009-08-04T10:38:00.000-07:00

What a mess we're headed for.

The problem is the schizophrenic state of mind we Americans now find ourselves in. 2009. 233 years ago our freedom was won. America's Federal Election 2008 marks the end of the Rugged Individual as exemplified by Ayn Rand’s John Galt, and the beginning of the Universal Citizen, living in the United Nanny States of America. Election ‘08 marks the end of the American Revolution and the end of the American Ideal. Election ‘08 marks the beginning of a not so new system, but new to the American scene. The experiment in America of, what… I fear to say it… Socialism ... or is it Fascism?

The Dream....

Yet the desire to be the rugged individualists our forefathers were continues in some of our imaginations; the men and women attracted by the freedom and opportunity afforded in this then new country, without the stultifying social caste system that limited one's potential. We admire the mythical Marshal Will Kane of High Noon. A straight shooting cop whose sense of duty and honor prevailed over the easier route… to run. At the same time we want to be the social do-gooder, the "rights" advocate, to be the rich fixer of wrongs, Batman. Or we strive to be the stand-up middle-class white collar guy, Mr. Deeds, the societal fixer. We each want to be all of these characters. Bruce Wayne was good, but took the law into his own hands, a regular one man vigilante team. The way to create the change for this “good” society, within the frame-work of our Constitution and within the spirit of the American way remains blurry. Fictional characters and settings are easy. Real life is very tough, change is of necessity very risky. Our founding fathers literally “found” themselves in a changed position and had but little choice but to accept the risk presented. And they did a wonderful job. Nothing like it had ever existed, it was all like a dream, a utopia in comparison with governments the world over.

Today it‘s different. Change with desired outcome, as in a dream, may seem possible and rational. Right now we are in a sort of dream, a surreal world. In this world everyone has or should have, a nice house. Everyone is well and has the best health care. Everyone is well-fed, no one ever misses a meal. Everyone is educated. Home-life and upbringing are wonderful and the playing field of daily-life defies human behavior; at the end of the day each and everyone gets a golden trophy. In our dream there is plenty of cheap clean energy. In that dream we can even control the weather! But now we are awakening and in the cold hard light of day, the impossible in our dream is truly impossible. Our dreams, as amazing and laudable as they were, were only completely rational while we stayed asleep… and remained in the dream.

Becomes a Nightmare...

Is it possible to create a political system that allows all individuals, from the John J. Astors to the Martin Luther Kings of the world to succeed side by side? The answer is, Yes. Is it possible to build a society of 3 or 4 hundred million souls, make them all fat, rich and happy? Sorry, No.

Our forefathers had a dream. They dreamt of a country where opportunity and freedom reigned supreme - a place where one might try for the brass ring, to succeed at any human endeavor …or to fail, but then free to try again, without the hand of government on their shoulder or in their pocket. Today modern politicians seek to use political power in an attempt to achieve their dream, a different dream, as a reality. This is the most dangerous use of political power; to conjure-up an impossible world, not a chance for success…. That path crushes all in its zeal to achieve social justice through “equality.” Not equality of freedom and opportunity, but equal in the way animals in a herd or fish in a school are. To the outsider they all look alike. To use political power to create Nirvana, is not possible; the equality promised under that system leaves out the very essence of what is uniquely human: the desire to achieve happiness via individual effort and the expression of individual talent. To even attempt to create this dream world is not even reasonable. It's been tried. It does not work. Being a human being means being lots of different things, it is our individual lust for life, it is also our burden as we try to be "fair" to others, but the bottom line will always be: life is not for sissies. We are people, the most difficult animal, but as Americans, at least we are free to fail or to succeed individually. We can live the dream of our founding fathers; can we live the dream embodied in that fateful Election of ‘08?

Too Big To..... Succeed!

I think that the country has grown, not too big to fail... but too big to succeed. Local commonalities that once defined local communities, towns, cities and even our states, and ultimately America have vanished. The result? The American that made America “America” is nearly lost. The idea of an American, as envisioned by the likes of Jefferson and Franklin, is an endangered species. Federalism, Socialism, Fascism can't work here without the destruction of those basic American ideals; those ideals that allow us to identify ourselves, individually and to further identify ourselves as a group. We are stripped of each of our "American" ideals and handed in their place a script written in gobbledygook.

Where's the VALUE?

Years ago I read a book titled Something of Value by Robert Ruark. Ruark depicted a world torn apart by conflicting ideals; those of the Mau Maus' clashed with those of the British. The Western ideal could not supplant the Mau Mau one... for it lacked value recognizable to the Mau Mau, but was clearly recognizable to the colonists. Federalism attempts to replace those original old American values with those of the “International Citizen” but these ideals may not be recognizable to the individual citizen as "something of value." Not when he’s asked to give up what has thus far been the most successful human experience!

One of the cornerstones of our founding father's government was representation. Today, as many as 640,000 citizen/residents have only a single US Representative. Only two US Senators represent over 30,000,000 folks (California). Think about that for a minute.... how many "ideals" do you think two-thirds of a million people, for the most part unrelated, of every: culture, race, religion and nationality, and sexual orientation on earth, share? What kind of representation is that? 545 men and women, Congress, President, and Supreme Court, are too few to rule so many people, when fascism is the rule of the land and if fair representation is the goal. What this thin representation allows is essentially a free-hand to the elected Federal politician who has finally become a kind of Feudal Master, rich, above the laws he has made himself exempt from. This new master and his special interest cronies, have finally brought us to the brink. Thin representation at the Federal level can work; only when the power of that government is limited to original Constitutional Power. That power extended to international trade and national defense. 545 people, whose sole job was the defense of the Constitution. 545 Rulers of… our daily lives…..

It's Broken...

The Federal government is broken in so many ways. Morally, Financially. The tax base shrunken. The Federal Government has set aside the Constitution and now seeks to rule, as opposed to protect. The “new dream,” that not of our fathers’ but of our rulers can not work… that dream is doomed to be a nightmare. There is not enough wealth to accomplish the dreamer’s goal. America’s rich but weak class is in the dreamers’ sights. Watch the dreamers attempt to steal the accumulated wealth of the "Greatest Generation" and their offspring.... today’s Senior Citizen. First by grabbing the half trillion dollars in the Medicare Trust Fund. Then by shrinking paid-for benefits, next by squeezing that population of its hard earned wealth. Watch the dreamers seize more of Corporate America… not possible? The dreamers have our banks, our largest manufacturer, GM, our largest Insurance Co., AIG and now the Federal Reserve. Cap and Trade… and The Entire Energy Industry is on the agenda…. And right now, 20% of the entire economy... The Health Care Industry.

Watch the Chavez model as it speeds toward America.

Inherit.... The Wind!

We are a country all about inheritance. We have inherited our freedom. We have inherited our land. We have inherited our values. Inheritance…. Dreamt of and Invented by the risk and hard work of the founder, enjoyed by the son, squandered by the grandson…. Is this where America is?

Cheers, Mel

Finally! The Protection We Need

2009-07-15T16:43:00.000-07:00

Thank God... the Nirvana we've been hoping and praying for, for so long, is finally arriving.

First Bank Protection. We, us, Citizens, finally own the largest Bank in the World. And we have our guys... the guys that wear the white hats, the Democrats... running it. We never have to lose another minute's sleep wandering and worrying if the Bank will still be there when we awake in the morning. That is now assured! We've had Fannie Mae and Freddie Mac for some time, but this is the Jewel in the Crown... Citi Bank is finally ours. And just to put some honey on that Ice Cream, our own government employees are running it!

Next... the World's Largest Insurance Company. No more Fat Cats with their corporate jets and fancy yachts.... AIG is ours. We can do with it as we please... we own it lock, stock and both smoking barrels! Hurray, hurray! Now we can put it to good use. We can sell those derivatives and insure them to boot. No more derivative failures to concern Wall Street... No more rich bastards at the till... our own men in D.C. the Dems, are on top of it.

Thirdly... we are finally the proud possessors of the World's Largest Auto-maker, the dastardly anti-American destroyers of the planet.... GM. "What's Good for General Motors is good for America," finally has true meaning. We no longer have to look at those huge ugly Hummers, those stupid "no haggling" Saturns, and the muscle car icon, Pontiac. And now, once and for all, we can get rid of that single object of affluence and waste... the hated SUV! Thank goodness they they are all history! I for one am looking forward to the day when we can each have our own honest to goodness deluxe huge green golf cart with all the conveniences we'll need. For example, just take refueling...when I want or need a fill-up I can just plug'er in. No more gas stations. No more gas taxes. No more motors that need, ugh.. OIL. Again, a Win for the White Hats... yes, we have our own Car Czar who, at the direct direction of Mr. Obama, is running the place the way a car company should be run!

Fourth, Comprehensive Health Care. Now this is a biggie. Finally, with taxes on soda and Twinkies, I will no longer sweat diabetes. With taxes on Trans-fats I will no longer sweat obesity. With taxes on the Fat Cats, I will no longer sweat the insurance coverage that 50,000,000 plus citizens, and non citizens alike, don't have. These poor bastards have been left out in the cold to fend for themselves for too long. But no more. Our guys in the white hats have got them covered. In addition, and this is a big plus for me, my insurance costs, and all my medical costs for that matter, will go down to..... ZERO! I'll get to choose my own doctor and get all the medical care this wonderful country has to offer... for free! FREE! It's my right and to sweeten the deal, the people at the DMV are at this very moment being interviewed for the prime positions in the management of it!

And now number Five... the BIG DADDY... We are at last protected, by those good souls in Washington D.C., from.... da dah.... The Weather! That's right! We no longer have to fear the weather, i.e. Global Warming, or more popularly, Climate Change. Now the weather will no longer be allowed to change. I don't have the overarching fear, each time I breath in, that the air is going to kill me. That the oceans are going to rise and destroy the inhabited world. That the polar bear will no longer have a home. That hurricanes are going to blow me away. That I'm going to fry! And it was all done with stroke of a pen through the magic of... Taxation! Cap and Trade, just a breath away (for give the pun) from final passage in the God Blessed, filibuster-proof Senate, will tax those S.O.B's that are making our planet unlivable by making stuff! Forget the fact that the weather man can't tell me what the weather will be like for my birthday golf outing a couple months downstream, or even what it'll be like next weekend... but I can now rest assured that it will be good... for my yet unborn great grand kids. AND, it means lifetime employment for Big Al Gore and his G.I.M. Corp.

Hallelujah... we are saved saved, saved at last.

Six.... Now, and I am holding my breath for this one... no pun... I am once again hoping and praying. This time for Energy Independence. I think that it is high time that we go after the Big Oil companies. They and the speculators that are their money grubbing buddies. It is time that we take a page from Saudi Arabia's book, from Hugo Chavez's book, from Iran's book, from North Korea's book... it is time to nationalize Big Oil. Think about it... with just the stroke of that almighty pen, we can own our own oil! The oil put beneath our feet by God. The oil that rightfully belongs to each and everyone of us. Exxon did not invent oil... they just pump it and then charge us an exorbitant fee for the privilege of burning it. Is that fair? I think not. Another benefit... the price of home heating oil, the price of gasoline, the price of everything energetic, will at last be stable. Why? No More Speculators! With Big Oil owned by us, we Citizens, we will be able to plan on the costs of heating our home, and until we get the new Government Motors Chevy Volt, the cost of getting back and forth to work! Of course I'm assuming that Work will still be there.... I HOPE it is, unemployment is not the CHANGE I voted for.

Go Obama... get those S.O.B's while the gettin' is good! Yahoo! Go America!

Cheers, Mel

Sarah Beats 'em Again

2009-07-07T18:44:00.000-07:00

She's Crazy!

Sarah Palin is crazy, like a fox! Early last week I wrote Governor Palin to tell her that I am not a Republican, did not vote for John McCain, but voted for her. I went on to ask her to represent voters like myself and to form a new party.... The New Party. Several days later I was gratified to hear her resignation as Governor of Alaska. Both the Democrats and Republicans are terrified of her, her popularity, her connection with the voter. But more than that they are terrified of her lack of respect for the powers that be.

She Has No Respect!

Sarah Palin knows how these people in positions of power feel about her, she saw it during McCain's run for the Presidency. In preparation for her Biden Debate, the McCain Team actually steered her away from help in attacking Obama! This was ludicrous! Who did they think McCain was running against? Joe Biden? Even at the risk of losing the election, some in the Republican hierarchy were so frightened of her they thought nothing of the potential total loss their utterings might bring about. What could scare them so? Sarah Palin's sense of morality? Her ideas of right and wrong? Or was it, to borrow a phrase from Obama, her clinging to her guns and religion? Both the Democrats and the newly amoral Republicans are afraid of her positions on energy, climate, and America's place in this world. They are afraid of her position on abortion. They are afraid of her family values. They are afraid, above all, of her loyalty to the common man and woman. Or is it her potential to cut her own party, to hurt even fellow Republicans, if principles were put on the chopping block, as they were in Wasilla? As they were in Juneau.

She Confounds!

By stepping down Sarah confounds these detractors. It is without question that her opponents understand her appeal, and see in her something they certainly should fear. As she defeated similar interests in Alaska, first as Mayor and then as Governor, she was on track to present troubles downstream. Sarah could spend the next year gaining national attention, Governorship presents immediate access to the media, and slowly build her case for a run in 2012 appealing to whats left of the true Americans, Conservatives of every stripe, Conservative family values, fiscal Conservatives, international Conservatives. People that do believe that there truly exists good and evil, right and wrong, moral and immoral. These true Americans live all over this country, but are more and more turned-off by the morality of the huge coastal cities.

Upon returning to Alaska she quickly discovered there were people after her. Law suits and false charges were to keep her cornered and bottled-up for the duration of her term in office. By the time Sarah's term had expired they would have drained her of energy, money and would have succeeded in turning her into damaged goods. But now they are left without a handle. How to get hold of her now?

Quitter!

She is not a quitter any more than the hunter that changes positions in order to remain the hunter..... so as not to become the hunted... is a quitter. Sarah's gun is loaded for bear, Alaskan Style. Washington.... she's coming for you.

True Grit!

Sarah Palin is the quintessential American with true grit. Sarah Palin is smart, Sarah Palin is an American to be proud of, she is an American to support as she confounds the nattering nabobs.

Is South America Moving North?

2009-07-02T21:19:00.000-07:00

In 2006 41% and in 2008 49% of the households in America paid no Federal Income Taxes. In 2009 that number will exceed 50%! Think about that for a minute. It means that the rest of us are each paying for one additional household - one beyond our own. The way we are going... fees of every kind and a coming national sales tax that will collect money from virtually every aspect of life..... the States and the Feds will rely less and less on Income Taxes and will concentrate those taxes on those whom Obama pointed-out during his run for office..... those earning over $250 thousand a year. That's an important fact: The 'new' majority electorate will increasingly receive cash entitlements and will therefore continue to vote for the Democrats, leaving the other party with ever fewer voters. I say 'new' because this represents a new class of voter.... the class that pay no income taxes, mostly ardent supporters of Mr. Obama; the new majority voter.

If you've been following what has happened in Honduras you will realize why the above is so important. There, President Zelaya, a close 'friend' of Venezuela's President Chavez, attempted to alter the Honduran Constitutional provision that restricts Presidents to a single term. This was in order to get himself in a position to be elected President for Life. To do this he would have had to call for a Constitutional Convention and have a super majority agree to the alteration, a process that probably would have failed. By the way, this is similar to the method our own Constitution calls for in order to alter it or any of its Amendments.

Zelaya decided to do an 'end run' by having his supporters, a majority of the popular vote, cast a direct vote to alter or amend the Constitution. Since he currently has a situation similar to ours, in that he has a large body of disaffected and under privileged supporters he could probably, with little massaging, get the plurality he'd need to declare himself eligible for another term. This is similar to the move Chavez made. As a matter of fact, when Zelaya announced his intentions, they were met with resistance and he couldn't get the necessary ballots printed locally. Guess what? He was supplied with all the ballots he needed by Chavez! When he was arrested for attempting to subvert the Constitution, those ballots were confiscated by the army and he was escorted to the airport.

I thought it was wonderful that Zelaya failed in this bold move to seize more power and to mimic his prime supporter Chavez. I was dismayed when Mr. Obama apologized for America to the Europeans. I blanched when Mr. Obama bowed-down to the Saudi King. I was left speechless when he failed to condemn the Iraqis for the bloody response to a peaceful "soft" revolution there. I became frightened when Mr. Obama and Mrs. Clinton voiced support for Zelaya and urged his return to power! I fear that once Acorn has completely morphed into an official Federal Agency (it is already nearly totally funded by the Feds, to the tune of Billions), with its name changed into something akin to FDR's WPA (The Works Progress Administration was the largest New Deal agency, employing millions of people and affecting almost every locality in the United States), and dressed-up as a way for people to "serve" their country and in return receive a support entitlement, plus a sweetener like a free year of higher education for each year "served," Obama would have the cadre he'd need to attempt what Zelaya has failed at. All just paranoid musings? Let's hope so.

These be interesting times, Yikes!!

Cheers, Mel

Unintended Consequences.... on the way

2009-06-30T11:25:00.000-07:00

This past Friday the House of Representatives passed the Energy/Climate Bill, otherwise known as the Cap and Trade or Cap and Tax Bill. This bill attempts to deal with "Global Warming" and energy consumption. The bill hopes to alter behaviour by taxing fossil fuel energy, and subsidising "clean" or "green" or "alternate" sources of energy such as wind turbines and solar panels, amongst an array of other "energy saving" initiatives. The bill assumes that domestic jobs will be created, energy independence will be achieved, and planet warming will be stopped or at the very least the USA will set an example for the rest of the world to follow.

Here's a scenario that could result from this kind of economic and weather tinkering. The winds that wrap around the world in the higher latitudes, between 35 and 65 degrees and called Westerlies, blow, in the northern latitudes, from the southwest to the northeast, and in the southern latitudes from the northwest to the southeast. Wind dynamics are discussed at length here: http://userpages.umbc.edu/~tokay/chapter9.html . It is our society's desire to have energy without either fossil fuel pollution or the nuclear solution, hence windmills... and to a lesser degree solar panels.... will proliferate both the land and seascape. Imagine building millions and millions of wind turbines and installing them coast to coast as well as offshore. As an aside, most of them will be built in China.

Here, the Laws of Thermodynamics (http://en.wikipedia.org/wiki/Laws_of_thermodynamics) tell us that the energy "created" by the windmills will simply be energy taken from the wind. In other words, the energy of the wind is less in the lee of the windmill than it is on the windward side. There is only so much wind on Earth and any alteration of wind energy, having been converted to electricity, will eventually be felt in areas we have no or limited understanding of. As the wind to windward passes by our windmill it is converted to heat and electricity, the wind to leeward the turbine is lessened by that same degree. Those winds normally blow obliquely toward the polar regions and carry with them heat picked-up from the warmer latitudes. It can be safely assumed that since it has been agreed, at least by those in the Human Caused Planet Warming Camp, that humanity's quest for power and earthly dominance has and is altering weather patterns, we must assume that those converted warming breezes will to some degree be lessened, thus causing polar regions to cool. Those Westerly winds also push ocean currents in the same direction, toward the poles, bringing with them warm mid-latitude water which further moderates polar cooling. All of that oceanic and atmospheric action will slow down and as it slows we will begin to enjoy even less energy conversion to each windmill. Since the wind will lessen as it moves across the planet, we will need ever more turbines just to stay even!

As we sleep, with our Government Motors Chevy Volts securely parked in our garages and plugged into our trickle chargers, a monster will be slowing growing .... at the Poles. Ice. As the wind and ocean heat is sapped, even ever so slightly, the Polar Regions will react in a directly portionate manner. Our heat, our cooling, our locomotion, our electricity, stolen from the wind, will be replaced by the cold from whence the heat was extracted, at the Poles! The great irony here is that in man's effort to control Planet Warming he will have created the worst of all climates..... a man induced Ice Age.

Now we're not yet finished with our little scenario, it has a way of affecting other vital interests. It is well known that wind farms have an associated bird kill quotient: The National Wind Coordinating Committee (NWCC) in a study of wind farm avian mortality http://www.nationalwind.org/publications/wildlife/avian_collisions.pdf concluded that "data collected outside California" (this last is important because the data did not include one of our largest wind farms, Altamont, which has a very much higher bird kill rate) http://www.wired.com/science/planetearth/news/2005/10/69177 indicates an average bird kill of nearly 2 birds per turbine each year. Multiplication is easy: The USA uses some 5 Trillion kW, roughly half from coal alone. A state of the art turbine in a good turbine location will produce perhaps 1.5 Million kW. Millions of wind turbines will be needed to eliminate just coal powered homes and plants, not even mentioning powering-up all those Chevy Volts! You do the math. You tell me, what impact will the loss of millions of birds - the exponential loss due to the loss of breeding pairs - have on the planet? Similarly bats and insects are adversely impacted. Here is an article addressing Indiana bats and their problem with turbines: http://indianalawblog.com/archives/2009/06/environment_ind_37.html. With the birds, bats, insects, and cold, one can easily see the domino effect taking place.

Where are we so far? Let's see....Ice, Birds, Bats, and Insects. What else is waiting in the wings of the Wind Turbine World of the Future.... coming to a theater near you! Here is a recent article describing the health impact of wind turbines on humans... not to mention farm animals, http://www.theepochtimes.com/n2/content/view/16774 . I personally have tried to sleep with a nearby turbine operating.... forget it. And we have yet to consider the overall impact on food production. With a cooling planet farm production will fall. With encroaching ice arable acreage will shrink. With dying winds, dying birds and dying insects, plant pollination will lessen. To me, that all adds up to the ultimate solution to our problem, that being, no, not a lack of energy, but one of too many human beings. As we shift from a warm and windy place to a cold and still one we will simply die off too...... did I mention the fossil fuel and other natural resources required to manufacture all those turbines?

Cheers, Mel

Who Died Today?

2009-06-28T10:29:00.000-07:00

I think I need another TV channel...... The Death Channel. It would specialize in covering the lives of recently dead celebrities and those long boring rehashings of The Year that show-up around New Years. The Death Channel would allow me to continue to watch the shows I look forward to each day and week without fear of preemption just because a famous person has left us.

Ed McMahon, Farrah Fawcett, Michael Jackson, and today the famous huckster Billy Mays. With the number and age of celebrities around these days pretty soon ALL the regular channels will be nothing but death stories. We need a whole channel just for those folks, and their fans so the rest of us can enjoy our regular choice of entertainment and information.

It's just another push forward for the net.... where one can choose the info one needs/wants. Remember when Princess Di died? .... was it continuous coverage on every channel for what? a week? or was it a month? God help us when Obama goes, or even gets sick.... it'll be bedside 24/7 coverage and if he dies, oh my God! it'll be at least a month or a year? of 24/7 mausoleum coverage!

Cheers, Mel

P.S. Also today, "My Little Margie," Gale Storm Passed.

A State of Fear and Loathing

2009-06-21T15:51:00.000-07:00

This a Chart of Fear. It describes in stark graphics what happens to an economy when it's government is first gripped by fear, changes direction and concurrently has a desire to create social revolution reordering the laws of physics: Thermodyamics and Gravity. The government puts its citizens into a state of fear and its business leaders into a state of loathing.

The Chart speaks volumes. How did this happen and where are we going? It happened because the government has capriciously changed Contract Law, seized major businesses: private, publicly held, and quasi-public; and seized control of nearly every area of finance.

The result is that it is impossible to operate within this changing system with any certainty. It's like being at sea in a storm with both wind and waves rough and confused. The best tactic? Reef-down, lower sail, go slow and keep damage to a minimum. To survive that means: take no risk, make no unnecessary expense, hire no unnecessary employees, make no plans other than to await a sea state one can sail upon. Unemployment will continue to rise, businesses will continue to fail, homes will continue to fall into foreclosure. Nothing has been "fixed" by government leaders. Much of what got us into this mess is being rekindled by those very soles charged with fixing "it": government giveaways, easy credit to those least deserving and least likely to repay, The Fourth Estate in bed with the regulators, business people caught like deer in the headlights, the rest watching it all ravel and unravel like a comic horror show in which we are all playing a real-life role.

Dietrius From Around the Web

2009-05-07T11:22:00.000-07:00

George Soros

Burt Prelutsky reports that George Soros' sorry behavior as a Jew in Hungary during WWII, as detailed on Wikipedia has been erased...

"....About a month ago, I looked up George Soros at Wikipedia and read about his helping the Nazis confiscate the property of his fellow Hungarian Jews when he was a teenager. At the same time and place, I read that in response to a Steve Croft question on “60 Minutes,” Soros claimed that he had never regretted doing it or felt any shame or remorse afterwards because, as he explained, if he hadn’t done it, someone else would have. The other day, I re-visited the site and the entire episode had vanished. There still remained the mention of his having been convicted by a French court of insider trading. I am now wondering if billionaire Soros will make certain that it, too, disappears..." Read the entire posting here: http://bighollywood.breitbart.com/bprelutsky/2009/05/06/a-matter-of-opinion/

Islam Day in Hawaii

This is a little strange in a State where the indigenous people are treated as 3rd Class Citizens, kept barefoot, pregnant and ignorant in order to provide the necessary lawn-mowers and bed-makers for the tourist industry. Just a cynical cloying ploy to attract wealthy sheiks? The desperation of recession?
http://www.capitol.hawaii.gov/session2009/Bills/HCR100_HD1_.HTM

Happy Talk

The Headline reads: "New jobless claims plunge, retail sales improve!" But the small type buried in the story reads: "But the total number of people receiving jobless benefits climbed to 6.35 million, a 14th straight record." When we get to the point that the last working person is finally laid-off will the headline read?: Hurray, we've turned the corner at last.... Only ONE person Laid-Off last Week!
http://news.yahoo.com/s/ap/20090507/ap_on_bi_ge/us_economy;_ylt=Aqsh7XkrdJDYqlWBAjaW.tyyBhIF

Finally, a question.....

What has changed in the past 3 or 4 or 6 or 12 months? What has happened to: imploding mortgage market, chronic energy shortage, job creation, shovel ready projects, broken banks, non-competitive automakers, rapid transit, the war in Iraq, nukes in Iran and South Korea, the Taliban? To all the above... nothing. In the meantime... Texas and Oklahoma are heating-up over secession:
http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=67229

Are we having fun yet?

Obama's First 100 Days

2009-04-27T12:48:00.000-07:00

100 Days, and counting….

“Mel, in regard to President Obama’s first 100 days, isn’t there anything you agree with?”

The short answer is no. The full answer is here:

- No, I do not agree with "transparency" of Top Secret documents during an ongoing war.
- No, I do not think it is smart to attack the previous administration‘s conduct safeguarding the U.S. in the middle of a war. Following 9/11, we all wanted to do what was required to restore safety to our country. Attacking the preceding administration sets a dangerous precedent. Show Trials were reserved for the Soviets in the 1950s! We watched them with amazement and amusement; now we'll watch them tear apart America.
- No, I do not agree with the greatest spending spree civilization has ever seen: http://www.safehaven.com/article-12175.htm .
- No, I do not believe the Feds should run the car companies -- even arrogantly appointing a "Car Czar" that knows nothing more about cars than that they should have a comfortable rear seat -- nor the Banks, nor the Brokerages, nor the Newspapers. If these outfits can't make it under the rules of capitalism let them fail. If they are "saved" their saving will be the destruction of their honest competition.
- No, the president should not aid the Unions -- Unions broke the railroads, then the steel mills, next the airlines, and now the auto industry, and along the way most of the rest of the industrial base of America, our bed-rock bottom line strength. The real story behind out-sourcing is an attempt of American industry to remain competitive and that means finding cheap labor. And now the unions have a stranglehold on State and Federal Government! France!
- No, the President should not bail-out the thieving bankers and stock brokerages, and struggling auto makers, newspapers or any other individual business. These companies should be allowed go bankrupt and not be refinanced by higher taxes, high inflation, and devaluation of our hard earned money!
- No, I do not believe that it is Obama's job to go around the world proclaiming what a terrible place America is and to apologise .... to our detractors! Who then, behind his back, laugh! The President represents Americans… his job is to Protect and Defend Americans.
- No, I am not in favor of ratcheting-up yet another war. Afghanistan this time. Afghanistan is not Iraq. Iraq at least had a central government and an organized society, more easily conquerable. Afghanistan is a piece of the earth more accurately defined by the borders of the countries that abut it than by it's own sense of self. The President of Afghanistan is no more than the mayor of Kabul, the only "city" there and whose limits define the ends of civilization. History in replete with the bones of those who have attempted to conquer Afghanistan, from Alexander the Great in AD 320's to the Russians who pulled-out, defeated, in AD 1989. That is precisely why Afghanistan is called "The Land of Bones." And now it will be our young men's and women's bones. This foray sounds just like Kennedy's into Vietnam. ....just 5000 advisers.... we all know what happened there. I'll predict right now... this is going to be the Democrats undoing. Afghanistan.

Demobamas...

The no-nothings are in charge and will remain so ... even if we go bankrupt or succumb to totalitarian government. Here is why: take a look at Obama's supporters and you will see that his popularity is due solely to three things, none of which I consider qualifications for Presidency: his speaking style, his color and his appeal to base populist sentiment. This last is dangerous. Those pitchforks Obama threatened the financial/banking/brokerage industry with several weeks ago spring from populist rule. His popularity will remain in the 55% range for a very long time. Take a look at these numbers, they all add-up to a solid block of Demobamas: Hardcore Democrats = 35%, Jews = 1.5%, Muslims = 2%, Blacks = 12%, Hispanics 15%. This voting block represents more than 65% of the total vote. All Obama needs is 80% of these to maintain a plus popularity. By the way I'm not even counting the no-nothing youngsters that have the right to vote, nor the ACORN enrolled illiterate and dead, nor the 40+ million Hispanic family members that are waiting to flood into America once the existing 12 - 20 million illegals are granted citizenship.

Worry. Be very very worried.

My biggest three are inflation and devaluation, taxes, and loss of freedom, which will turn us into a much poorer nation. Print and pass-out $3,600,000,000,000.00 dollars and guess what... each one isn't going to be worth much. As the economy rebounds inflation is going to go nuts. The cost of everything will explode. The USA will owe most of those still wet new 3.6 trillion bucks to foreign governments like the Chinese and Japanese. Here’s our debt now, unbelievable: http://brillig.com/debt_clock/ . The Obama administration hopes to use this devalued inflated money to retire this crazy debt. Will the Chinese go along? I think they will take those dollars and use them to buy and stockpile natural resources. I'm betting on commodities!

The Mexican Solution

2009-03-24T05:37:00.000-07:00

I see that there is an outrage over the fact that the firefighters of California and Oregon are essentially non-english speaking Hispanics and that the job bosses are non-spanish speaking Americanos. Really, no American, at least not enough to fill the available job-slots, wants those jobs. No American: educated, fat and happy, and somewhat committed to home, wife, kids and that $250K mortgage, wants to handle a shovel in high temperatures with the risk of serious injury and loss of life for a double digit hourly salary without benefits. That leaves the slave population, read - Mexicans, to do the job. They are willing to leave their native digs, head-off to the fire fields of a foreign country and risk their necks for, what? 10 -12 bucks an hour? It's a shame really, but hey, it's the end result (same as obesity) of a rich society. Like the Egyptians, Greeks, Romans, Portuguese, Spanish, English (and others) of yore.

Here is the solution; it's called Manifest Destiny. We already believe in it, it has been tried successfully, we are ready to roll with it now, and the idea is protected by the Monroe Doctrine. http://en.wikipedia.org/wiki/Manifest_Destiny . This solution, at least, kicks-the-can of a myriad number of problems a hundred years down the road. We should: invade, conquer and colonize Mexico: 1) The Mexicans all become instant American citizens; something a large number seem to want. 2) Mexican territories are rich in natural resources and fertile soil. 3) The population is mostly subservient and will not, for the most part, resist; especially when the option is better than the current government. 4) They have no great ideological differences with America: they are Catholic and hard workers and have a built-in affinity with the American population which is already 15% Hispanic.

Additional benefits?: 1) The border "problem" is resolved instantly. 2) The Mexican drug problem would be taken-in-hand and the violence largely quelled. 3) The country is beautiful, with white-sand beaches and and towering mountains, and ripe for American style development. 4) Most of the current illegal population of the States would return to the State of Mexico to work and develop the country along the lines of America to the north. 5) 105,000,000 million new Americans that all want cars, trucks, homes, businesses, tractors, farms, credit, flat-screen TVs and Direct TV, AND are willing to work hard to get them. 6) Last but not least..... 105,000,000 new members to sign-up for the Ponzi scheme called Social Security; kicking that can down the road at least another 75 years! We have the men, women, and machines, the territory is very close-by and the current long list of problems beg for a solution.

Mel

Warren's Dilemma

2009-03-10T15:31:00.000-07:00

Warren Buffett supported Obama, but now with considerable financial blood in the street he seems to be backing-off, or is he just in a corner? He said that he does not support "cap and trade" nor the raising of taxes, nor the prohibition of private jets, nor "card-check." There are other "ideas" he does not support either, like the vilification of the "captains of business" and "caps on salaries." What parts of the administration's policy does he support?

Obama is clever and recognizes people's weaknesses - that is how his speeches are directed, how he has climbed the ladder of political success; one hears what one wants to hear. Truly charismatic and dangerous. He appeals to an ego like Buffett's and says, "I respect your success, would you be one of my advisers?" The “Messiah” gets the “Oracle” on board (a winning combination?!) and then ignores advise. Having publicly committed to Obama, Buffett now does not want to look foolish and remains - sort-of - committed.

Eventually (1), anyone with any money left will disclaim Obama. But his majority support will not diminish – it will actually grow. Obama has co-opted, through a cult of "believers" and "tax relief" promises, 50% of the voters, who will now receive either outright IRS welfare checks or minor income tax relief. He is rapidly creating more followers needing entitlements as a result of the destruction of the capitalistic system. Obama will continue to appeal to many voters: most Blacks, many Hispanics, traditionally liberal Jews, and rising Islamists, the very poor, and all those who can't bring themselves to vote for anyone without the (D) after their name. This absolute block, of perhaps 50% of voters, will be his... no matter what. A solid block. Classic Bolshevism. Read A Peoples Tragedy by Orland Figes. The conservative Democrat has vanished, as has the traditional Republican.

http://www.amazon.com/s/?ie=UTF8&keywords=a+peoples+tragedy&tag=googhydr-20&index=stripbooks&hvadid=1500914441&ref=pd_sl_4yh92q1kjm_e

Eventually 2 (soon) taxes will have to be raised or the dollar will collapse. A country just can't print money forever! The so-called rich are really the nation's Income Class. These folks have cash flow, these citizens are the only ones left to pay, and are ripe taxable targets. This large middle class will have to pay nearly all required taxes. The truly rich, the Equity Class are already off-shore and pay few taxes. Corporations pass ALL taxes on to their customers and pay NO taxes themselves. Sticking with his pledge, Obama won't raise income tax brackets on any but the truly rich. Instead a broad range of tax collecting measures will be put into place: taxes on cell phone use and texting (just pennies); taxes on web access (just pennies); a national sales tax (sales tax or Value Added Tax, or Gross Excise Tax) which will tax every single transaction in America including transactions on the likes of eBay; fossil fuel tax; carbon foot-print tax; water use tax; interstate highway use tax; mileage driven tax; luxury taxes; etc. In LA a new tax - a super tax - is under discussion (perhaps passed by now) on those with houses larger than 3500 sq.ft. Could this sort of tax be re-modeled and applied nationally by the Feds?

Eventually (3) a huge underground black market will spring-up. This has happened in every economy where the population feels put upon. The taxpayer is not a stationary target, he/she can step aside....

One more note: Additional proof that the "catastrophe" is being allowed to continue and “not going to waste” (as stated by Obama illuminaries: Akelrod, Raahm and Clinton), is that there is no apparent rush in D.C. to fix the collapsing economy... if there was, a fully functioning Treasury would be in effect NOW!

http://www.nytimes.com/2009/03/09/business/economy/09treasury.html?hp

Considering that the banking system began its sudden descent just before the election, and Obama started speaking to it then, before the election, and that he stated, immediately after the election that he and his team "were prepared to hit the ground running," to fix it, nothing has been done to staunch the decline in either stock market or real estate values, not even an uplifting speech.

There's trouble ahead...

Eight Ideas that would work right now to get America into the 21st Century….

2009-02-23T17:31:00.000-08:00

If I were King here are a few things I’d do to revive the U.S. economy and propel it into the future. Of course as King I’d need no consensus, no votes, no Congress, just my own very good judgment and the love of the people or a large group of thugs to enforce my will…. . Here they are, without any particular order:
1) Energy. We are tapped-out. Proof lies in the fact that every year there are brown and black-outs across the country. Hydro has been maxed-out; most rivers have been harnessed; cheap and easy oil is gone; alternative energy is a cruel hoax. There is no such thing as alternative energy. Energy and its use is subject to the Laws of Thermo Dynamics. Any power source, other than that provided nearly free by the planet, in other words, fossil fuel, requires more energy to get and produces less efficient energy in return than that obtained by just using oil directly. Ethanol, hydrogen, wind and solar are all costly fuels, in terms of energy in versus energy out. The only truly viable source of energy left is nuclear. Vast amounts of nuclear energy, providing relatively clean power is ours for the developing. We need it, unless we plan on eliminating a lot of people. Let’s put tens of thousands of highly skilled folks to work building Nuclear Power Plants. And hundreds of thousands more building the stuff that goes into those plants from valves to distribution networks.
2) Transportation. Airplane travel is relatively inefficient, whereas trains are very efficient. Modern high speed trains are an almost off-the-shelf ready to run technology now in use in Japan and Europe. We know how to make them, we know how to make them better. Their use is non existent in America. A system of Hub-To-Hub high speed trains is a must. Under my Kingship, nonstop routes would be built connecting the Airline Hubs already scattered about the country. I believe there are 35 or 40 of these airline hubs operating right now in the USA and Canada. The Airline Hubs are used less and less as Airlines consolidate and shrink. These hubs are ready right now to accept high speed rail lines. These existing hubs have facilities already in place to service large numbers of travelers: auto rental fleets, hotels, restaurants, freeway access, etc. Currently there are many unused terminals at many of these hubs. These terminals are ready now to receive and redistribute millions of travelers. Another beauty of train transport is that travelers could take their RVs and autos with them at relatively low cost. These trains should be powered by either nuclear engines such as those currently used on ships or by electricity. Plentiful electricity would be available from #1 above.
3) Banking. Not enough cash you say? Take the caps off of FDIC. Money would flow out of treasuries and into banks. Banks have to lend out money to make money. Currently CDs are insured to $250,000 and that higher number expires at the end of this year. This no way of inspiring trust or stability in the banking system. It does not allow long range planning by savers and investors. Get the money back into the banks now. Apparently the Federal government wants to inspire trust in banks... or why else are they forcing consolidation, flooding these banks with cash and forestalling bankruptcy? This being the case it's time to tell depositors that their cash is safe. All bank deposits, from checking accounts to CDs would be covered all the way up...no limits.
4) Education. In my Kingdom, High Schools as we know them would stop at the end of the ninth grade. At that point students would have to choose an education that shapes their future in a more positive manner. High schools are essentially large baby sitting institutions housing people not yet ready for the adult world, not fully mentally developed but near fully physically developed. Sex is topic number one on most of their minds and only the truly studious serious students have much to learn beyond the ninth grade. The learning is marginal in any case. A better system would allow students to choose either a trade school or professional and academic schooling for the 10th, 11th , and 12th grades. High schools have become giant baby sitting institutions, a place to warehouse vast numbers of young people not yet ready to become productive members of an advanced society. Our society has no established apprenticeship system as was in effect in the pre-industrial world, but there is a need to train individuals in all the trades our society currently needs. It’s time to bring back “Shop.”
5) Service to America. Upon graduation from “New” high school, every able bodied graduate would be required to serve this country for minimally two years. This service can be in virtually any field from the likes of the Peace Corp, Job Corp, Military Service or to new services to be devised. This would allow those “graduates” time to develop their skills and to prepare for adulthood. It would give these people a chance to contribute to the country they live in, to have a stake, or equity in the country.
6) A New GI Bill. After a stint of say at least 2 years service to America an equal amount of free schooling toward a specific advanced trade or degree would be made available. At the conclusion of this period of training the New GI Bill would make home ownership available through low fixed interest rate long term loans.
7) Water. Tax it and distribute it. Right now water is still taken for granted. We all see water running down the gutters, misuse is widespread. I’d not punish those who wish to use it as a broom or to flood their gardens, but the price of this behavior would be enough to push one to conserve it. This goes for areas of the country that have plenty of it too. A Federal tax collected on water would be used to develop and distribute this precious resource to areas less blessed. Desalination plants, powered by nuclear energy would immediately be built in areas where saltwater is available and fresh water is in short supply.
8) Transportation Fuel. Since we do not have the electricity to power the long awaited electric vehicle of the future, CNG as a transportation fuel, would be immediately developed. Natural gas is widely available and current technology is available right now to convert our truck and automotive fleet to its use with minimal expense. With currently available hardware one could even fill-up at home in areas that supply natural gas to homes. This one is a no-brainer.
That’s it. This plan could be implemented quickly and comprehensively. It covers many areas of immediate and future concern. Let’s go, let’s build a new America, not with dole programs, not with make-work jobs, but with real solutions to real problems. All it requires is a Great King Mel!

Our Future

2009-02-19T11:52:00.000-08:00

This comment is from my brother Jerry. I think his analysis is accurate.

This rant is not about politics, it is about prudence. Please try and read this, it may make a huge difference in our lives and that of our families.
This government bailout/ stimulus plan is an unmitigated disaster. One of two things is going to happen. We're going to become a doomed-to-fail socialist nation or we're going into some economic out-of-body experience that will result in mind boggling stagflation (sluggish economic growth coupled with a high rate of inflation and unemployment).
I don't know about you but everyone that pays taxes and is prudent with their money, and that represents more than 60% of homeowners and most likely 75% of renters, should be livid with outrage. This administration and Congress is asking this group of people - you and me - to pay the freight for all of these irresponsible people. Right now, it shouldn't matter what your politics are (unless you truly believe that socialism is the path for the USA), you should simply say enough! We have a process, it's called foreclosure and bankruptcy. When the market forces clear out those individuals that should never have been homeowners the ridiculous run-up in house prices will be reversed and many of the more responsible non-owners may now opt to buy those vacated properties at prices and terms that they can responsibly manage. It's ridiculous to think that this problem was caused by unemployment & a poor business environment. The situation is just the opposite... too many people got caught up in the frenzy to get a home because "everyone was doing it" and the lenders & regulators had gone crazy. You cannot confuse wants with needs. People need housing, a place to live... they want a house. Hey, I need a vacation, I want to go to Europe, but a trip to Lake Tahoe will do for now. That's responsible, even though my credit card company says I can go to Europe right now... and pay later and later and later. Did you go crazy and get yourself jammed up this way? If not, why should you shoulder the consequences? And, no, it's not the American way. America is a capitalistic free market society. Should we track down the scoundrels, crooks and bad actors that perpetrated this fraud on those that were legitimately duped or conned? Absolutely! Should we take pity on all those that took a gamble (bought at sky high prices with unrealistic loans) that turned out to be a loser? This event is not without precedent. For the uninitiated I refer you to the "tulip mania" of the Dutch in 1636-1637 http://en.wikipedia.org/wiki/Tulip_mania. Close to 400 years ago people got caught up in the chase for gains by speculating on a flower. Crazy!
Regarding these bailout plans, I can draw a counter analogy that the average person would most likely call outrageous on its face: How about have the government compensate every stockholder (including their IRA and 401 accounts) for the sharp losses they have suffered as a consequence of these irresponsible "home buyers, lenders, and regulators? This group has actually lost REAL money, upwards of 50% is common, whereas these underwater homeowners in most cases never had ANY equity in these houses. These "home occupiers didn't lose anything other the the title of "homeowner." What a cruel joke. Many of these delinquent mortgages were for 100% - 125% of the absurd bogus appraised sale value. Let's not forget, many of these failing homeowners refinanced their homes (some multiple times) as the prices skyrocketed. They actually took money out of their house and spent it. Remember my want of a European vacation? Some fools actually did it. The banks actually loaned them more money than the house was worth!! The lenders that made these loans should be allowed to go out of business. The government can stand behind newly formed and well capitalized banks and we can get back to doing business in the US and around the world. You cannot REWARD bad behavior. There is one rule that governs all of life, not just business... Behavior that gets rewarded get repeated!

If you want America to get back on its feet and get the economy rolling, I suggest that you contact every elected official you can and tell them to stop this insane solution and let the losers go. It's good for you and your responsible friends. And forward this to like minded individuals.

Jerry Shapiro

A Fix That Isn't

2009-02-10T13:03:00.000-08:00

No doubt we have a problem, but is the Government plan the one to fix it? The idea that cheap money, via sharp reductions in interest rates, and flooding failing banks and brokerage houses with capital will fix the problem is plain wrong. Here's why: In this steep economic decline, who wants to borrow money? Who wants to take a gamble on a new idea, a business expansion or a new large purchase? Especially in a recession that President Obama says puts the country, or the world, on the brink of catastrophe? At any interest rate! Only the desperate want this money, and we all know that the desperate don't get loans.... unless it's from their local pawnshop. The problem is not one of "credit liquidity" as we hear repeatedly. Cheaper interest rates will play a role, but that role is still down stream. Easy credit was part of the problem that got us here and is not a good policy to continue.

The problem is lack of money; money in the hands of consumers. The problem is fear. Fear of losing a job, fear of losing a business. In short, there is no confidence in the governments ability to deal with a problem they have incorrectly identified. The solution lies in getting money in the hands of consumers. A cessation of the payroll tax would be a step in the right direction. Stopping the payroll tax gives an immediate pay raise of approximately 7.5% to every worker... overnight. A cessation of payroll taxes gives every business a "raise" of the the same size... overnight. With a pay raise a worker "feels" better, feels wealthier, and has an immediate increase in confidence. With a lower cost of doing business, an employer is less likely to lay-off an employee and more likely to improve operating efficiencies with new capital investment. With a pay raise in every worker's pocket, every worker has an instantaneous improvement in credit scores, and more spendable dollars at the end of everyday. This is the moment that lower interest rates plays its part, this is when large purchases and plant expansions and the introduction of greater efficiencies become feasible. And here's the best part: The plan can be put into effect without long drawn-out congressional hearings and studies. This plan can be put into effect with the stroke of a pen, and without the creation of a single new bureaucracy.

This leads one to ask why this is not done? Certainly its been thought of. As Rahm Emmanuel said, this economic disaster is really an "opportunity" for social "change." If the problem gets deep enough the government will have free hand in introducing sociatial change, and this was President Obama's singular promise... "Change."

Until institutions that have gone astray are allowed to fail and their assets are bought by those that have not, or newly formed ones taking advantage of liquidation prices, until homeowners, who should have never purchased a home on poor, or nonexistent, credit have lost their homes through foreclosure thus allowing a new buyer to acquire that asset at a favorable and affordable price, we will never know the true value of those assets or the depth of the problem. Putting ones finger in the hole in the dike will work only so long. The dike is going to break, it's just a question of when. When the "fix" of a finger in the dike takes place it simply allows the water behind the dike to rise higher. When it gets to the next hole the problem starts again, only this time there is even more pressure behind the dike; when the pressure gets too great the dike will burst. Are we nearing the bursting point or just reaching with another finger?

A Second Shoe

2009-01-14T12:17:00.000-08:00

Roubini is right. http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aUy55wEBqrB8 There is yet another shoe to drop. Not a small part of the problem is that the world has become globalized: the banking system has become homogenized; there is no systemic division between brokerage houses, banks, and insurance companies. Government meddling, in the form of social engineering, has not helped the financial world. Not too long ago banks were local institutions; not even interstate let alone international. Regulation dealt primarily with reserves and reach. Additionally the risk assessment criteria used by large investment institutions has become homogenized - with every institution measuring risk against the same yardstick. A single "miss" can wipe-out the whole system. It's like a gene-pool that has been reduced to a single set of reproducing individuals where one "bad" gene can surface to destroy the entire species.

Deleveraging of the system is wreaking havoc with every government and every major industry, due in no small part to overlapping and interlocking of financial activities. Globalization has failed to act as a buffer; has instead created one giant world-wide system, subject to a case of flu that could be deadly. There are no alternate players to put in the game. There are no firewalls protecting one institution from another. Take a look at General Electric, just as a single example. GE stock and bonds is held in large quantities by every major financial institution. GE is primarily a financial institution. 60% of GE's revenue comes from financial investment deals.... loans. GEF holds the paper on commercial properties around the world. As retail contraction spreads, shopping centers and malls and strip centers are sick; they have holes in them (even vaunted anchor tenants are folding tent), vacancy ratios are terrific and cash-flow to GE's portfolio is in trouble. GE could well go under taking additional institutions with it. Think about this: In 40 years the S&P 500 has lost 425 of its members. There are only 75 original members in the current S&P 500.

When that second shoe drops there will be an earthquake. This is the kind of stress to a system that leads to war. The world's population has left the farm. The industrialized cities have too much capacity, and people and industry have combined to put severe strain on energy and other natural resources. In Roubini's words, "The worst is yet to come." I still believe that oil (DXO)and agriculture (DBA) will be winners. Oil is not being made as fast as we use it and people continue to eat. Speaking of food.... the world's ag industry looks a lot like the financial one: intertwined, globalized, homogenized.

The future: Oil and Inflation

2008-12-26T16:21:00.000-08:00

Some investors think that a Treasury bubble is forming. As you know, investors around the globe are placing huge amounts of money in U.S. Treasuries, some of which have a negative return! Eventually, with global governmental economic stimulation in the form of cash subsidies to nearly every industry, bailouts and forgiveness of everything from mortgages to credit card debt to student loans, we will have inflation. Actually, in an effort to stave-off deflation, governments around the world are trying hard to create inflation! Inflation....deflation.... as we can see these forces are not easy to control.

How does one deal with the specter of hyper-inflation? Investment in commodities is the old standby. As the threat of inflation looms the Fed will raise interest rates in an effort to contain it. Here's an investment to consider: RRPIX. RRPIX is an ETF that bets on rising interest rates. As interest rates rise RRPIX goes up disproportionately.

Once economies start to roar the price of oil will spike-up.... the incoming U.S. administration has taken a stance opposing drilling, against atomic power, against coal. That means, without a major energy break-thru, not currently on the radar screen, we are stuck with known oil reserves.

At today's price of gasoline, U.S. consumers are spending - get this - ONE BILLION DOLLARS A DAY LESS than they were over the previous 6 months! That is a huge number. On the back of recovery, with inflation nipping at our heels, the price of oil will come back with a vengeance. And a return to high oil prices will plunge us back into recession - that billion dollar a day tax will take its toll again. Remember, this billion dollar a day "gas tax" figure is only the amount levied on U.S. users, the "tax" is actually levied world-wide!

Think of the world's available pool of oil as a giant lake, say a thousand miles across. Now imagine that that lake is only 6 inches deep and the dam at the end of it is only 6 inches high. The oil is trickling in on one end and, in spite of all attempts, it can't be stopped (the countries that produce it must keep-up production or face insolvency and political unrest)..... and it can't be increased significantly (peak production problems). Any unused oil spills over the dam onto the world market and forcefully drives the price down. Conversely, any increase in its use dramatically reduces the lake's level and the the stuff zooms-up in price. Right now the dam is overflowing... some say the price of oil may drop to $25 a barrel. But when world-wide economies turn positive... watch-out! All this... with the added certainty that it will take decades to develop an "alternative" source of energy, even if we turned to the nuclear option today.

What does all this mean? It may portend a new historic world-wide trend to Whip-Sawn economies. Sharp inflation followed by dramatic recessions - one on the heels of the other. This oscillation will only get worse with every cycle. In spite of Al Gore and Co., mankind will, for the foreseeable future, continue to use fossil fuel as humanity's primary source of energy.

Happy New Year!

Mel