Saturday, March 28, 2009

Gietner and Bernanke on Capitol Hill

This past week the crooks Tim Geitner and Ben Bernanke answered questions during congressional testimony. They both should be in jail. But One of the better questions of the day was, When the american taxpayers have lost up to 50% of their retirement pensions why are they funding a bailout of AIG so that AIG can in turn pay those who insured their retirement losses. 

Of course you should be payed if you insured your retirement investments. Buts its ironic that when the company cant pay, and should be declaring bankrupcy, thus no insurance is payed out, the taxpayer is tasked with helping someone recoup their lost retirement investment, when the taxpayer themselves have no such help and must suffer the losses.

Oh, and when asked is this the case, niether Geitner no Bernanke would say yes. In fact Bernanke had the gaul to say if the taxpayer did not step up to help AIG they would have suffered up to 70% losses in their retirement accounts instead of only 50%. 

What a cocky SOB.

Monday, March 16, 2009

Republicans vs Democrats

Robert Reich has a good article on his blog about the different economic ideas of republicans and democrats.

Reagon is the classic symbol of republican ideals. Cut taxes for the rich, and they will invest more in the country, thus more jobs will be created. This was called trickle down economics.

Obama's program increases taxes on the top, and uses the proceeds to raise the living standards of average Americans by giving them lower taxes, better schools, and more affordable health insurance.

But Obamanomics is a commited to these forms of public investment. And there's good reason: In a global economy, capital moves to wherever it can get the best deal around the globe. That means capital and jobs go to nations that can promise high returns either because labor is cheap and taxes and regulations low, or because labor is highly productive -- well educated, healthy, and supported by modern infrastructure.

The only resource that's uniquely rooted in a national economy is its people -- their skills, insights, capacities to collaborate, and the transportation and communication systems that link them together. Everything else -- including capital, technology, designs, even plant and equipment -- can move around the globe with increasing ease.

This is a great point. In todays global economy we can cut taxes on the wealthy from her to 3009 but there is not gaurantee that they will build, and manufacture in our country. In fact if you read the rest of Reichs argument he goes on to prove how trickle down has not worked. US corporations that have been given takes breaks have not reinvested them into the company. The blue color workers salary has stagnated or gone down while the executive salary has climbed higher and higher for the past 30 years.

Yet the Left's approach is more sound. If we invest in transportation infastructure we can lure companies here. If we invest in education we lure companies here. If we invest in universal health care we take a burden off the company, and lure companies here.

Its odd that this last one is not more important for the right. They are extremely pro business. They dont support unions because unions can cost a corporation more money. Corporations go overseas to find cheaper labor, and less strict regulations to save money. A large part of corporate strategy is to cut cost. So one would conclude, following our line of reasoning that every major US corporation would be as supportive for Universal health care as they are anti union. Yet they are mostly quiet.

Maybe they are trying to protect one of their own, the healthcare corporations. But i doubt it. It seems like an avenue worth pursuing, "corporate america turns on the health care industry and supports obama's universal health care plan, and brings america back into the developed world."

Sounds sweet.
So which side are you one,
do you beleive we need to get more money into the hands of the wealthy elite of the nation to spur manufacturing and economic boom, or
do you beleive we need to rebuild the foundation of the economy, infastructure, health, and education, things that will stay here for many years to come.

Thursday, March 12, 2009


Government bails out banks, market goes down.
Madoff, wall street crook goes to jail, markets go up.

See the pattern?

My plan-enough with the bailouts, start throwing crooks in jail.
And by throw crooks in jail i mean throw crooks in jail.

Its all the homeowners fault

Another popular myth about the economic mess we are in is that its the fault of those individuals who took out loans they couldnt afford. But two facts do not support this popular myth.

1.A study has came out saying just as many prime mortgage are foreclosing as subprime.

2.State Attorney generals are about to launch a large number of criminal prosecutions against the mortgage industry for fraud.
Go check out Columbia Journal Review the audit for more.