- Liberals want more Social Security.
- Social Security gives people numbers instead of names.
- Names makes people different.
- Liberals want everyone to be the same.
- Communists wants everyone to be the same.
- Liberals are Communists.
33.6 million people are much stronger than I am, that being the number of people able to watch Obama’s infomercial last Wednesday. Of course, some of those people didn’t have the amazing self control that I lack, but rather were completely brainwashed. At any rate, I have been doing my best to avoid the tape, but Fox finally caught me unaware…just in time for me to hear Obama say that the rich needed more taxes, and for me to hear the audience erupt in applause. I ran for cover.
The New Conservatives blog has much more grit than I do, and sat through the entire thing. You can read his analysis here.
If you think you can keep your lunch down, you can also watch the whole cursed thing here.
A final note…doesn’t appearing on most major channels at once have an oddly...1984 touch to it? Two minutes of hate style? No? Okay…maybe I’m just paranoid…but imagine waking up to a world with Obama on every channel! Big Brother is watching…and smiling….***SCREAM!!!***
Wayne Huizenga, one of the richest men in America, creator of three fortune 1000 companies and 6 NYSE companies, is planning on selling the Miami Dolphins. Barack Obama has given him a reason to speed up the sale because, “he wants to double the capital-gains tax, or almost double it…(so) if [I] do it this year or [I] do it next year, the difference is humongous because of the taxes.” Of the money he would lose making the deal after Obama is elected, Wayne says, “…I’d rather give it to charity than to him.”
Turns out not all filthy rich capitalists are self hating…*cough* Warren Buffet *cough*…some of them actually want to keep their money, instead of handing it over to god knows who via Barack Obama.
Vote for Wayne!
I have just seen yet another attack ad berating McCain for saying “the fundamentals of the economy are strong”, and for believing that we are in a “mental recession” and that we are a “nation of whiners.”
First of all, it was Phil Gramm who said, “You’ve heard of mental depression; this is a mental recession,” and, “we have sort of become a nation of whiners, you just hear this constant whining, complaining about a loss of competitiveness, America in decline.” While Gramm is admittedly one of McCain’s campaign co chairs, McCain never said that he agrees with Phil on everything. McCain has since changed his line and continues to say, with everyone else, that the economy is just plain DOOMED.
Secondly, McCain is right. The fundamentals of the economy are strong, and were it not for the irrational market that we’re in, we would be doing just fine. Of course, an irrational market can do a lot of damage.
The economic crisis started because of low interest rates, which were originally in place because the tech stock bubble burst, continued because of 9/11 and then because of the light recession in the early 2000’s. All of this served to keep interest rates low for an extended period of time. Low interest rates mean cheap money, and cheap money means more borrowing, as cheap money makes it easy to borrow.
Cheap money also means new investors.
New investors leaves an open market for someone to provide something to invest in, and because of the easy borrowing, Frannie Mae and Freddie Mac, among others, could provide just that. Fannie and Freddie bought mortgage loans from banks and packaged them into mortgage backed securities, because you can trade or buy a mortgage backed security, but not a given person’s mortgage. This provided a way for investors to capitalize on the housing market.
This, along with speculation that housing prices would keep increasing, led to the housing bubble. However, before it was known as a bubble, it was just a booming home market. This meant that everyone wanted houses, as they saw how fast their value accumulated. Consequently, the percentage of homeowners jumped from 64 percent, the usual average, to an all time peak of 69 percent in 2004. Unfortunately, the usual average of homeowners is what people can actually afford. The jump meant that people were buying homes way above their pay grade.
Subprime mortgages (or mortgages made to borrowers with poor credit ratings) also got bundled into mortgage backed securities. As these were much riskier investments, there was a much larger opportunity for gain. The bonds were rated, so people knew exactly how likely it was that their investment would fail, and how much money they stood to make if it didn’t.
Some investors, noting the high likelihood of failure, bought credit default swaps, which are essentially insurance policies that guarantee that an investment is safe. If the investment fails, the policy pays the loss…or doesn’t. AIG, the largest issuer of credit default swaps in the world, went bankrupt, because it didn’t have enough money to pay for all of the policies it had issued. You could call it a ‘run on the credit default swaps’ because as mortgage backed securities started to go toxic, everyone was suddenly interest on getting out of their housing market investments. Democrats enjoy pointing out that the credit default swaps were completely unregulated.
Now, here’s why the fundamentals of the economy are strong. Not every single person’s mortgage within a mortgage backed security foreclosed. The problem is that no one knows exactly how many did foreclose. In a rational market, where people weren’t so darned scared, people would think to themselves, hmm let’s say about 15% foreclosed, and the value of the securities would drop by 15%. In an irrational market like this one everyone panics and decides that all of the loans are toxic and the value drops to 0. If investors would calm down and think, the market would be fine. As they haven’t…
We have a credit crunch. And that is the real problem with today’s market. Businesses pay people with short term loans, or commercial paper. When they can’t get that, people walk out. Our economy runs of commercial paper, and with all of the panic, banks don’t want to lend to each other. So yes, the recession is mental. If people calm down, the crisis will end.
- Low interest rates –> heavy investing and heavy borrowing
- Extra borrowing and low regulation –> extra subprime mortgages
- Extra subprime mortgages and speculation –> housing bubble
- Housing bubble starts to burst –> Homes are worth less than loans –> more foreclosures
- More foreclosures –> mortgages back securities fail –> Credit default swaps are collected –> banks fail
- Banks fail –> Crisis of Confidence –> banks won’t lend to other banks
- Banks won’t lend to other banks –> Credit Crunch
- Credit Crunch –> Stock market falls –> Crisis of Confidence
- Repeat 6-8 –> Negative feedback loop, “rolling crisis”
And that is what went wrong with our economy. However, this doesn’t mean that you should try to act is rational in an irrational market and keep buying. If everyone else keeps acting irrational, you could get screwed. And that’s why we’re going to be stuck for a while. No one wants to act rationally because if they’re alone, then they’ll end up worse off. We’ll just have to wait for the market to bottom out.
I’d like to thank BBC Research for assisting me with this post.
“We kept running into donors who had maxed out to Obama Victory who wanted to do additional money and had the capacity to do it and were eager to do it they asked if there were vehicles and other ways to do it, and we said yes.” –Alan Kessler, fundraiser for the Committee for Change
So what is the Committee for Change? Well, it’s a nifty little device used to sneak around donor limitations. You can only give $2,300 as an individual, and $28,500 to the Democratic National Committee. Beyond this, you donate to the Committee for Change, and it gives the money to Obama.
It looks like this:
You Limousine Liberal–> Committee–> Obama
Limousine Liberal–> Obama
This is just ridiculous.
The government shouldn’t have to have donor limitations, but if it’s going to, it should actually enforce them. Changing the way the Obama gets the money doesn’t quite cut it. Either have the law or don’t, but don’t pretend you do.
Unfortunately, all of this money from the rich doesn’t make Obama consider not stealing their money, but rather enforces his believe that he has the right to steal it, as they would/should give it to them anyway.
In any case, Obama has already started bending the law, and he hasn’t even settled down into his ultimate power.
Sunday night, addressing a crowd at a fundraiser in Seattle, Biden made some…mistakes, to say the least. Of course, unlike with Sarah, no one is questioning what this says about Obama’s judgment. Old news? Maybe. But it’s also completely hysterical.
“Watch, we’re gonna have an international crisis, a generated crisis, to test the mettle of this guy. And he’s gonna have to make some really tough – I don’t know what the decision’s gonna be, but I promise you it will occur. As a student of history and having served with seven presidents, I guarantee you it’s gonna happen” said Joe Biden. So pretty much, a vote for Obama is a vote for terrorism, and even Biden doesn’t know what Obama’s going to do about it. “Because it’s not gonna be apparent initially, it’s not gonna be apparent that we’re right.” And beyond that, whatever unknown thing Obama decides to do isn’t going to be popular.
“But he’s gonna need your help. Because I promise you, you all are gonna be sitting here a year from now going ‘oh my God, why are they there in the polls, why is the polling so down, why is this thing so tough? We’re gonna have to make some incredibly tough decisions in the first two years. So I’m asking you now, I’m asking you now, be prepared to stick with us. Remember the faith you had at this point because you’re going to have to reinforce us.” And since it isn’t going to be popular, Biden want us to remember how much we used to love Obama and stick with him.
“Let’s not be, for those of a different faith remember St. Peter denied Christ thrice, you know? We don’t need anybody denying us, this is gonna be tough.” Obama and Biden are Jesus, and it would do them a great service if we didn’t deny it.
“There are gonna be a lot of you who want to go ‘whoa, wait a minute, yo, whoa, whoa, I don’t know about that decision.’ Because if you think the decision is sound when they’re made, which I believe you will when they’re made, they’re not likely to be as popular as they are sound. Because if they’re popular, they’re probably not sound.” Oh. I get it. Americans are stupid. They never, ever like sound decisions. Huh. I guess that means Obama isn’t sound, as we all support him.
For more of the transcript, check http://blogs.suntimes.com/sweet/2008/10/joe_biden_seattle_fund_raiser.html
Short version: On Sunday night, Joe Biden compared Obama to Jesus, promised that under Obama the country would see terrorism, that the country wouldn’t like what Obama does about it, and that that would be because the country never likes good decisions.
According to the new statistics from UCLA’s Higher Education Research Institute, most college students become more liberal as they progress through their schools. In fact, on average, the student population becomes 8% more liberal, on issues like abortion, gay marriage, death penalty, and taxes. (I’m just giving you the facts. Let’s steer clear of my social views for now. We can all agree that being liberal on taxes and the death penalty is bad.)
This is caused more by the other students than the teachers, as most conservatives cluster at specific schools, and the conservatives unable to join their political peers are thrown into a boiling, seething, mass of liberals, with few conservative groups to be found. So if you or your child is en route to college, try to keep your Conservatism alive.
On a brighter note, the liberalism sometimes falls back down after college graduation.
You can find a summary of the results of the survey here (USA Today/AP).
On an almost slightly related note, I was reprimanded today for calling Pelosi liberal. =(
Apparently truth is offensive.