Banking 101 - And The "Truth"?

To break things down to their lowest level, it does not matter how many deposits a bank has - they are all liabilities since they cost the bank money in the form of interest.

Banks make their money by loaning, where the interest rate is significantly higher than the interest rate on the deposits.

BUT ...

In 1995, Bill Clinton pushed Congress to pass a change to the Community Reinvestment Act which basically forced banks to allow those with no down payment, no savings and little to no income to get mortgages. The banks knew that these mortgages were destined to fail, causing them to foreclose. And many of these homes, with their "owners" knowing that they were going to be foreclosed on, trashed the houses before moving out. This left the bank out the money they loaned in the first place and a property that couldn't be resold without investing thousands more dollars to repair the homes.

In 2005, under Dubya, The Federal Deposit Insurance Corporation (FDIC), the Board of Governors of the Federal Reserve System, and the Office of the Comptroller of the Currency tried to put new regulations into effect as of September 2005. The Democrats killed it.

If banks can't make loans, they're guaranteed to go out of business. It was Bill Clinton, not George Bush, who put us in the current position.

And Now For Something Completely Different!

Have you heard of Obama's "Truth Squad"? So far several web sites have been closed down after threats from Obama, and this "Truth Squad" consists mostly of lawyers and prosecutors - something that many would find extremely intimidating if they were thinking of saying anything negative about Obama.

Plug the Hole Before You Bail!

So - Nancy Pelousy gives a speech prior to the vote today, blaming the entire situation on Bush and all the Republicans. Well, she wanted a bi-partisan vote, and she got it - she couldn't even get her own people in line. As one Rep said, you don't poison the well before you drink. And of course after the vote she again blamed the Republicans, even though her own party had the votes to pass it.

And having someone like Obama, who has remained pretty much neutral on this entire fiasco, calling Dems in Washington saying he wasn't going to support the bill but he wanted them to - that kind of crap don't fly in DC.

Bush - along with McCain - tried in 2005 to unscrew what Clinton screwed in 1995, and the Dems basically said for him to piss up a rope. Now they can't figure out why Fannie and Freddie went belly up. And of course, since their thought processes work about as well as my Devil Dog's, everything must be the fault of Bush.

The general American public who have seen the companies they worked for go under with no government bailout are not happy about this whole thing, and I think many of those Dems who voted against the bill heard loud and clear from their constituents - if you want to keep your job, you'd better not vote for this piece of garbage.

Why Our Cash Just Went South

If you want to know the facts about why we are looking at this multi-billion dollar bailout, have a read of this from Wikipedia on the Community Reinvestment Act that Jimmah Carter enacted.

Pay particular attention to Clinton's amendment 0f 1995 - especially about the money going to "Community Organizers", George Bush I's amendment of 1989, and the attempted changes Dubya tried to get introduced in 2005.

After reading it - and checking out how much money Obama got from Freddie Mac, it's execs, etc - If you still believe Obama is the man for the job I pity you.

And just as an aside, Obama claims that, while working as a community organizer in Chicago, he wasn't part of the Chicago Democratic machine. As a former Chicagoan, I can tell you right now that nothing - and I mean NOTHING will get done unless you're part of the machine.

And don't wear a Soldier Bracelet if you don't know who it is or have been specifically asked not to use it politically!

No Bailout, Please?

I was looking at several news sites online, and found out that the CEO of WaMu, who had been on the job for 17 days, is walking away with about TWENTY MILLION DOLLARS!

Alan H. Fishman was hired by WaMu on Sept. 8th, given a $7.5 million bonus and guaranteed a cash severance of $11.6 million. And yes, even though the corporation went belly up, he gets to keep every cent.

Why are we, the small-change taxpayers with our own mortgages and debts to pay, supposed to pitch in to keep companies like this going?

Oh, yeah - because if you're not willing to pay more and more taxes, you're not patriotic.

I forgot.

Doing the Right Thing?

John McCain has gone to Washington (where Harry Reid says he's not welcome) to try to hammer out acceptable legislation relating to the bank and stock market failures (WaMu went under overnight).

Meanwhile, Obama showed up in Washington for a couple of hours - just long enough for a photo - and was basically told that his greatest contribution to the current situation was to get the f'k outta town, which he did as soon as his private plane could be warmed up.

This is a blinding difference between the two. McCain is actually working on his current job - the one he was elected to and is being paid for - and Obama happily accepts his Senatorial paycheck while being too busy working towards the job he wants and ignoring the job he has.

Another reason why I will not vote for Obama. Not because he's Black - I couldn't give a damn what color he is - but because he's too f'kin ignorant. Tonight's debate is supposed to be about Foreign Policy, but how much do you want to bet that Obama is going to try to slam McCain about the current financial situation?

OK Folks, Grab Your Ankles

That bailout for AIG - and possibly others with credit card debt, etc, is going to be a severe BOHICA* for the American public. Depending on if the amount is 700 billion or 780 billion, that will hit up everyone in this country for somewhere between $2,300 to $2,600.

Plus, taxing won't get the money in time. Neither will selling bonds. The only way to get that money is either borrow it from another nation or crank up the Bureau of Engraving and start printing money like toilet paper - which would devalue the dollar to the point that the toilet paper analogy might not be that far off.

Why not let AIG divest itself of some of the companies not directly connected to it's core business.

And how about they and others stop mortgaging the unemployed, the illegals, lending to people buying more house than they can afford, and those who are already in debt up to their hairline?

Living on pensions, I do my best to ensure that I can pay all my bills - mortgage, credit card, medical, taxes and others. Can someone PLEASE explain to me - preferably in words of one syllable - why I should be paying for the deadbeats that the banks knew wouldn't repay their loans?

* Bend Over, Here It Comes Again

Election Bits

Our economy has basically tanked ever since we went to an "Information-based" society. Since NAFTA back in the early 90's most of our manufacturing base has moved out of the country. We now have "retrained" our workers, so there's no journeyman base to train apprentices to manufacture goods. Other than the Louisville Slugger, try to find any sporting goods or electronics that are made in the United States. And remember, this all started with NAFTA.

The government is going to rape us for over $700,000,000 to bail out AIG, because the company is "too big to all to fail". I'm sorry, but if it's too big to be allowed to fail, it's too damn big to start with! By buying this out, does that mean that the government will be foreclosing on your home?

According to "common knowledge", Republicans are all fat cats while Democrats are the poor disenfranchised. So how come the Democrats can raise and spend tens of millions (at least) more each month than the Republicans? Oh, right - most of Hollywood, most of the music industry, etc.

And finally, Since his Taxes = Patriotism speech, has anyone seen Joe Biden? Do they have him tied up in a safe house? Did they have him go hunting with Cheney? A friend told me the latest rumor is that immediately after the vice presidential debate, Biden is going to come up with the creeping crud, drop out and Hillary will step in.

That could be a giggle!

Never Underestimate Human Stupidity

So the New York Jewish community is going to hold a protest against Iran. They invite both Hillary and Sarah Palin to the protest, but once Hillary finds out Palin will be there, she turns tail and runs. As a result, the Jewish community "disinvites" Palin. Two things immediately strike me about this.

The Jewish community has always given tons of money and votes to the Democrats at election time - and then the Dems screw them for the next four years. Which party is it that wants us to break our ties to Israel? Secondly, are they really that ignorant that they think that Palin will make it a political event if specifically asked to keep it nonpartisan?

Also, for as long as I can remember (which is about 15 minutes these days), the "people" have been whining that we need someone from outside the Beltway elected - someone who's not part of the Washington party machine. So as soon as one is nominated for Vice President, these same "people" bitch, piss and moan that she doesn't have the "experience".

Will you dumb shits please make up your mind? You can't have it both ways - or haven't you figured that out yet?

The New Patriotism

Thank you, Senator Biden. Here I thought that serving in my country's armed services and holding a deep love of country made me patriotic. Silly me! Apparently I can't be a true patriot unless I'm gladly willing to pay more taxes.

And by saying something like that, I have a feeling that Biden has let the rat out of the bag - if you can't be a true patriot unless you're happy to pay more taxes, it would seem that the so-called "middle class" is going to get hammered as well. You know - that middle class that was going to get a tax cut?

Because tax cut = lack of patriotism. He can kiss my tired shriveled old ass.

But if you happen to be an actual patriot - or just an average American - today is National POW/MIA Recognition Day, and I'd love to see every home flying the flag.

Please?

Boy, Am I Confused!

So – Obamessiah is going to cut taxes for the “Middle Class”. Did you know that his definition of “Middle Class” is those making between $30,000 - $200,000 a year? $30,000 is "Middle Class"? $200,000 is "Middle Class"? Besides raising the taxes on the top earners – the ones who are providing the jobs – he also plans on raising taxes on businesses. Does anyone seriously think that the businesses are going to eat that increase and not pass it on to the consumer, effectively cancelling out the supposed tax break?

And two of Obamessiah’s programs are universal health care and alternative energy. Where is the money for these programs going to come from?

Yeah, I know: everything, up to and including the bombing of Hiroshima, is the fault of Bush. But what did Clinton do about alternative energy? And, other than Hillary’s fiasco, what did he do about health care?

Now Obamessiah isn’t going to be allowed out of his cage without a teleprompter, since several videos have surfaced showing him trying to think on his feet. No wonder he doesn’t want a Town Hall style debate! And it’s going to make the other debates interesting if he has to have his teleprompter. Watching him trying to ad lib has shown me that the man is absolutely clueless. Unless his every word is scripted Obamessiah is completely lost.

People are screaming that as a nation, we can’t afford to have an inexperienced, unqualified political tyro one heartbeat from the Oval Office. I guess we need an inexperienced, unqualified political tyro IN the Oval Office!

And now for something completely different.

Can someone define biofuel for me? Last I looked, coal and petroleum were biofuels, just not manufactured this week.

Biodiesel relies on the filtering of the oils from restaurants – lots of filtering. This process throws pollutants into the atmosphere. And converting crops such as corn into ethanol does the same. Somehow, that part of the process is conveniently ignored.

And a few questions I have. With both wind and solar power, what are the storage systems like for that energy to cover the periods when there’s no wind or no sun? How long will that last before everything goes dark? And, using Teddy Kennedy as an example, who didn’t want any windmills within sight of where he goes yachting, what is the NIMBY effect going to be of having acres upon acres of windmills or solar panels in your neighborhood?

Two Things on my Mind

First, to my mate Cityslicker in Houston, and all those along the Texas coast, our prayers are with you and I hope you have the brains to get the hell outta Dodge!

Now - the Large Hadron Collider, a 17 mile circle under France and Switzerland, is up and being tested. The physicists who've built this are hoping to accelerate photons to near light speed and by having them collide they might see what the universe was like mere nanoseconds after The Big Bang.

One thing that's been mentioned by scaremongers is the fear that this will create a Black Hole that will devour the planet - almost impossible. My worry is a little different.

According to current theory, right after the Big Bang, the universe was filled with matter and anti-matter. As they collided with each other, they were both annihilated, giving off incredible amounts of energy. That by itself is, to me, worth thinking about. But if particles of anti-matter happen to hit he sides of the collider, the results could be massive destruction - almost on the scale of a bomb.

I could be wrong - I hope to hell that I am - but I haven't heard anything from the collider operators that even takes this into consideration.

Besides, we don't need France anyway, do we?

Jerry Reed, R.I.P.

Best known as Cledus, or "The Snowman" in Smokey and the Bandit - driving the semi full of Coors along with his Basset Hound Fred, Jerry Reed passed away yesterday at the age of 71.

Jerry Reed was best known for his music - such songs as "Amos Moses", "When You're Hot, You're Hot", "She Got The Goldmine (I Got the Shaft)", and of course the theme of the movie, "Eastbound and Down".

He also wrote "U.S. Mail" for Elvis, along as songs for such a diverse group as Johnny Cash, Dean Martin, The Oak Ridge Boys and Nat King Cole.

His music always put a smile on my face, and although he's gone, as long as I have his "Greatest Hits" CD, I can remember him fondly and always.

Thoughts on Left-Wing MSN

These guys have really been hammering Sarah Palin. I guess they haven't noticed that, as a Mayor and Governor, along with being head of Alaska's National Guard, she's got more command time (any) then the Dem's pick for Prez (none).

One thing they've picked up on is that Todd Palin, Sarah's husband, had a DUI 22 years ago. At the time he was 22 years old and was pulled over - there was no accident and no injuries to anyone. And by the way, this happened two years before Todd and Sarah Palin got married. At the same time, according to his own book, Barack Obama was spending most of his spare time snorting up nose candy.

It's going to be an interesting election. McCain has the dry, quick sense of humor that pretty much comes with serving in the military, and since the media ain't all that quick, they try to portray him at stodgy and boring. But he's excellent at thinking on his feet, which is why he likes the Town Hall formats. Obama, on the other hand, seems to go into shut down mode when he doesn't have his teleprompters in front of him.

While there's no way I'd ever vote for Obama - not because he's Black but because of who he is - My personal jury is still out on McCain. And I'm doing my damnedest to avoid watching any Convention broadcasts!