Tag: economics

Faux Conservative Arlan Spector “Republicans Support Stimulus, Don’t Want ‘Fingerprints’ On It”

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Oh Please, this is about the lamest damn thing ever….

Sen. Arlen Specter (R-PA), who broke with his party to support President Obama’s stimulus package last week, said before the final vote Friday that more of his colleagues would have joined were they not afraid of the political consequences.

“When I came back to the cloak room after coming to the agreement a week ago today,” said Specter, “one of my colleagues said, ‘Arlen, I’m proud of you.’ My Republican colleague said, ‘Arlen, I’m proud of you.’ I said, ‘Are you going to vote with me?’ And he said, ‘No, I might have a primary.’ And I said, ‘Well, you know very well I’m going to have a primary.'”

Specter, along with centrist Maine Republican Senators Susan Collins and Olympia Snowe, joined with Democrats last week to move the stimulus bill forward. Specter said he doubted there would be any more Republican votes than those three Friday night.

“I think there are a lot of people in the Republican caucus who are glad to see this action taken without their fingerprints, without their participation,” he said.

Specter was asked, How many of your colleagues?

“I think a sizable number,” he said. “I think a good part of the caucus agrees with the person I quoted, but I wouldn’t want to begin to speculate on numbers.”

via HuffPo Says: Republicans Support Stimulus, Don’t Want ‘Fingerprints’ On It.

Name one, Arlan, name just one. I dare you. Truth is, there were no other supporters, nobody self-loving Republican, Conservative or Libertarian would ever vote for a bill of this sort. This bill is nothing more than watered down, and in some places; not-so-watered down communism!

I find it absolutely amazing that Sen. Arlan Specter would stoop to outright lying about something as paramount as this bill.

Others: Gateway Pundit

The Stimulus Package explained…

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Over at The Big Picture:

Q. What is an Economic Stimulus Payment?
A. It is money that the federal government will send to taxpayers.

Q. Where will the government get this money?
A. From taxpayers.

Q. So the government is giving me back my own money?
A. No, they are borrowing it from China. Your children are expected to repay the Chinese.

Q. What is the purpose of this payment?
A. The plan is that you will use the money to purchase a high-definition TV set, thus stimulating the economy.

Q. But isn’t that stimulating the economy of China ?
A. Shut up.

Ha! Too Funny….. 😆

Feeling stimulated yet? 😛 😀 😉

(via Freedom’s Phoenix)

The Washington Post Promotes Communism

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They’re not even trying to hide it anymore.

Via the Washington Post:

The U.S. banking system is close to being insolvent, and unless we want to become like Japan in the 1990s — or the United States in the 1930s — the only way to save it is nationalization.

As free-market economists teaching at a business school in the heart of the world’s financial capital, we feel downright blasphemous proposing an all-out government takeover of the banking system. But the U.S. financial system has reached such a dangerous tipping point that little choice remains. And while Treasury Secretary Timothy Geithner’s recent plan to save it has many of the right elements, it’s basically too late.

The subprime mortgage mess alone does not force our hand; the $1.2 trillion it involves is just the beginning of the problem. Another $7 trillion — including commercial real estate loans, consumer credit-card debt and high-yield bonds and leveraged loans — is at risk of losing much of its value. Then there are trillions more in high-grade corporate bonds and loans and jumbo prime mortgages, whose worth will also drop precipitously as the recession deepens and more firms and households default on their loans and mortgages.

Last year we predicted that losses by U.S. financial institutions would hit $1 trillion and possibly go as high as $2 trillion. We were accused of exaggerating. But since then, write-downs by U.S. banks have passed the $1 trillion mark, and now institutions such as the International Monetary Fund and Goldman Sachs predict losses of more than $2 trillion.

But if you think that $2 trillion is high, consider our latest estimates at RGE Monitor, the financial Web site we run: They suggest that total losses on loans made by U.S. banks and the fall in the market value of the assets they are holding will reach about $3.6 trillion. The U.S. banking sector is exposed to half of that figure, or $1.8 trillion. Even with the original federal bailout funds from last fall, the capital backing the banks’ assets was only $1.4 trillion, leaving the U.S. banking system about $400 billion in the hole.

Nationalization is Federal Ownership of a private industry; which is what Communist Russia did during the soviet era. It is Communism. This is the agenda of the Liberal left, the Federal ownership of the banking system. It also sets the United States up for the Biblical Mark of the Beast.

We are living in dangerous times.

From the Bible:

And I stood upon the sand of the sea, and saw a beast rise up out of the sea, having seven heads and ten horns, and upon his horns ten crowns, and upon his heads the name of blasphemy. And the beast which I saw was like unto a leopard, and his feet were as the feet of a bear, and his mouth as the mouth of a lion: and the dragon gave him his power, and his seat, and great authority. And I saw one of his heads as it were wounded to death; and his deadly wound was healed: and all the world wondered after the beast. And they worshipped the dragon which gave power unto the beast: and they worshipped the beast, saying, Who is like unto the beast? who is able to make war with him? And there was given unto him a mouth speaking great things and blasphemies; and power was given unto him to continue forty and two months. And he opened his mouth in blasphemy against God, to blaspheme his name, and his tabernacle, and them that dwell in heaven. And it was given unto him to make war with the saints, and to overcome them: and power was given him over all kindreds, and tongues, and nations. And all that dwell upon the earth shall worship him, whose names are not written in the book of life of the Lamb slain from the foundation of the world. If any man have an ear, let him hear. He that leadeth into captivity shall go into captivity: he that killeth with the sword must be killed with the sword. Here is the patience and the faith of the saints. And I beheld another beast coming up out of the earth; and he had two horns like a lamb, and he spake as a dragon. And he exerciseth all the power of the first beast before him, and causeth the earth and them which dwell therein to worship the first beast, whose deadly wound was healed. And he doeth great wonders, so that he maketh fire come down from heaven on the earth in the sight of men, And deceiveth them that dwell on the earth by the means of those miracles which he had power to do in the sight of the beast; saying to them that dwell on the earth, that they should make an image to the beast, which had the wound by a sword, and did live. And he had power to give life unto the image of the beast, that the image of the beast should both speak, and cause that as many as would not worship the image of the beast should be killed. And he causeth all, both small and great, rich and poor, free and bond, to receive a mark in their right hand, or in their foreheads: And that no man might buy or sell, save he that had the mark, or the name of the beast, or the number of his name. Here is wisdom. Let him that hath understanding count the number of the beast: for it is the number of a man; and his number is Six hundred threescore and six. (Revelation 13:1-18 KJV)

Others: The Corner, Vox Popoli

D’oh! Obama Says “Stimulus Bill will let Caterpillar rehire people”; Caterpillar Says, No, it won’t

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A rather snort worthy blurb!

President Obama today repeated the claim we asked about yesterday at the press briefing that Jim Owens, the CEO of Caterpillar, Inc., “said that if Congress passes our plan, this company will be able to rehire some of the folks who were just laid off.”

Caterpillar announced 22,000 layoffs last month.

But after the president left the event, Owens said the exact opposite.

Asked if the stimulus package would be able to stop the 22,000 layoffs or not, Owens said, “I think realistically no. The truth is we’re going to have more layoffs before we start hiring again”

“It is going to take some time before that stimulus bill” means re-hiring, he said.

via Political Punch: D’oh! Caterpillar CEO Contradicts President on Whether Stimulus Will Allow Him to Re-Hire Laid Off Workers.

You’d think Obama would learn them supporters to stick to the script!

HotAir.com’s AllahPundit Snarks:

Exit question: How soon before Tapper gets kicked off Air Force One?

Ha! That’s just too funny. 😆

I do believe however that many people in America are thinking, “How long until President Obama get’s his shit together?”

It’s a very valid question.

Others:RedState and Stop The ACLU

Red State Update on Obama’s Stimulus News Conference

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Jackie and Dunlap on Obama’s first prime-time news conference. Stimulus pimpin’ and Elkhart bashin’ ensue.

As Geithner rolls out Bailout Plans and Stimulus passes senate, stocks plummet

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So much for reviving the economy. No sooner does Obama’s Treasury secretary roll out his plan for bailing out the banks and Obama’s “stimulus plan” passes muster in the Senate; the stock market drops and drops quite hard.

Here are the charts (as of 1:34 PM EST):

Dow Jones:

image

New York Stock Exchange:

image

The rest of the numbers:

image

So much for Stimulus eh?

I think Barry needs to try again… Badly.

(Charts by Think or Swim)

Former Lieutenant Governor of New York says Stimulus contains rationed medicine

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This is President Barack Obama’s idea of economic revival?

The former lieutenant governor of New York is warning that the $50 billion that President Obama expects to spend in the next few years on a nationwide digital health records system for every individual easily could, and probably will, result in rationed medical care.

WND recently reported on a little-discussed provision in Obama’s plan that would demand every American submit to a government program for electronic medical records without a choice to opt out, raising alarms for privacy advocates.

Privacy advocates said patients might be startled to discover personal information could be shared electronically with, perhaps, millions of people, including documentation on abortions, mental health problems, patient non-compliance, lawsuits against doctors and sexual problems.

Sue A. Blevins, president of the Institute for Health Freedom, said unless people have the right to decide “if and when” their health information is shared, there is no real privacy.

Now Betsy McCaughey, former lieutenant governor of New York and an adjunct senior fellow at the Hudson Institute, has released a commentary warning about the likelihood of rationed care – or a health care system that simply provides treatment when it determines the cost-benefit ratio for the treatment and the patient meets its guidelines.

Obama plans to spend $50 billion “over five years” to create a system of electronic health records for every person who sees a doctor.

“Tragically, no one from either party is objecting to the health provisions slipped in without discussion,” wrote McCaughey. “These provisions reflect the handiwork of Tom Daschle, until recently the nominee to head the Health and Human Services Department.”

“If the Obama administration’s economic stimulus bill passes … in its current form, seniors in the U.S. will face … rationing. Defenders of the system say that individuals benefit in younger years and sacrifice later.”

Other nations that utilize such programs typically deny costly treatments to patients who are senior citizens, and McCaughey warns that would be the case in the United States, too.

via Stimulus contains rationed medicine —- WorldNetDaily.

If this report is even remotely true; this would be the same thing as what happened in Germany during World War II and to certain extent here in the United States as well. The very idea of rationing medicine to children who need it most, is about the most despicable thing I ever heard.  I think that this would be good time to stand up and call your senators and demand that this provision be removed from the bill.

I will also say this, that if this stimulus bill fails to deliver all the “Pie in the Sky” promises that Obama is say that it will. He will be a one term President. The people will not be lied to, as I blogged about last night, the far left is already angry over the Obama continued use of Bush tactics, when it comes to trials of the terrorists. So, watch what happens with this Stimulus, if it flops, so will Obama’s approval ratings.

Congression Budget Office says the Economic Slump will end mid-2009

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This is quite interesting:

The non-partisan Congression Budget Office reports the current economic slump will end sometime around mid-2009.

Keep in mind Obama himself admits any effect he thinks his government expansion will have on the economy won’t take place until 2010 — well after the slump will end anyway.

Between that, and the CBO’s research last week showing Obama plan will cause long-term damage to the economy, and that the economy will bounce back faster without the package, why is the Senate even considering a $1,100,000,000,000.00 Frankenstein’s moster of wealth transfers and fatter government?

It probably has much to do with the fact much of the money lines the pockets of groups that deliver votes to Democrats, and much of that borrowed taxpayer money could even end up in Democrat campaign accounts by way of funneling through labor unions, ACORN and such.

The only thing the package appears to be stimulating are government growth and Democrat vote-delivering mechanisms.

via CBO: Economic slump will end mid-2009 | Libertarian Party.

You can read this for yourself here. (It’s a PDF file, requires Adobe Reader)

So, basically all this money is being wasted for no reason. So typical for Washington D.C.

(Via IPR)

The Road to European Socialism just got a bit shorter

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Via the New York Times, it seems that the economic socialist stimulus plan has passed a procedural vote:

Senate Democrats on Monday advanced the $838 billion economic stimulus bill, clearing a major procedural hurdle by a razor thin margin with the help of just three Republicans. A vote on final passage of the bill is expected on Tuesday.

The Senate vote, by 61 to 36, to close debate on the stimulus, symbolized the partisanship that still grips Congress despite President Obama’s call for new cooperation. It also highlighted the rising power of the centrist Republicans who cast the critical votes. Under Senate rules, it takes 60 votes to invoke cloture and usher a bill to a vote.

Those votes, by Senators Susan Collins and Olympia J. Snowe of Maine and Arlen Specter of Pennsylvania, along with the 56 Democrats and two Independents who regularly vote with them, followed a succession of floor speeches by Republicans criticizing the stimulus as a bloated, wasteful spending bill.

But supporters of the measure said that a good, bipartisan effort had been made at drafting a compromise bill.

“I am proud of the bipartisan work that we have done during the last 10 days,” said Ms. Collins, who supplied one of the three crucial Republican votes. “As with any major legislation, this bill is not perfect, but it can go a long way toward creating jobs and addressing the dire economic crisis facing our nation.”

The majority leader, Senator Harry Reid of Nevada, said: “The United States senators from both parties met the seriousness of the economic crisis with an earnest approach to solving this emergency.”

Well, as you can see, the Republican Party, the part that is supposed to be the party of small Government and low taxes, has once again capitulated to “The One.” Remember this come election time.

Communist Leader says “Obama working to nationalize U.S. economy”

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Just as I suspected….:

President Obama is “considering” a radical agenda to nationalize the U.S. financial system, the Federal Reserve Bank, and private industries such as energy and other sectors whose future is “problematic” in private hands, claims the leader of the Communist Party USA.

In a major speech focused on Obama titled “Off and running: Opportunity of a lifetime,” CPUSA leader Sam Webb also alleges Obama’s administration is considering turning education, childcare, and health care into “no profit zones;” rerouting investment capital from military infrastructure

to “green economy” projects and public infrastructure; and waging a “full scale” assault on global warming.

“We now have not simply a friend, but a people’s advocate in the White House,” declared Webb at a recent speech in Ohio for People’s Weekly World Communist newspaper.

“An era of progressive change is within reach, no longer an idle dream. Just look at the new lay of the land: a friend of labor and its allies sits in the White House,” Webb proclaimed.

via Communist: Obama working to nationalize U.S. economy — WorldNetDaily.com.

You can bet your sweet royal behind that if this “economic stimulus” fails, the doors will be opened to nationalization of our Banks, Businesses, Oil companies and everything else eventually.  We as Americans must stand up and fight against this sort of tyranny!

A great video

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Here Milton Freeman schools Communist liberal asshat Phil Donahue:

Reaction in the Blogsophere has been postive, except for some Communist Liberal Idiot, that just does not get it. (she writes at my hometown paper, which says quite a bit.)

Others: Macsmind, TigerHawk, Dr. Melissa Clouthier, Wizbang, Sister Toldjah, Scared Monkeys

(via Memeorandum)

Quote of the Day

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This week President Obama claimed that failure to pass his economic stimulus bill will have catastrophic consequences for the U.S economy. The reality is the catastrophe will be far greater with his plan then without it. If the trends of January and early February of 2009 continue, the rug will be completely pulled out from beneath the U.S. economy, and the full cost of the President’s “economic depressant package” will be apparent to all.

If foreign capital does not continue to pour into Treasuries, interest rates and consumer prices in the U.S. will soar. At that point, we will finally be confronted with the real crises that I have long predicted. When the day of reckoning arrives our policy response will be critical. If we continue on the course our new President has mapped out, the catastrophe will far exceed the scope of any he hoped to avoid.

Frum makes a good point

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For a change, I agree with this guy. (Mark your calendars, it does not happen often!)

The first is that the social and cultural basis of American conservatism remains very much alive and active. Conservatives may have lost their majority, but that is not the same thing as disappearing outright.

The second is that conservative ideas continue to be relevant – and will soon re-emerge more relevant than ever. The current US administration and congressional majority seem determined to forget every economic lesson learned in the years since 1966. They are rapidly expanding social spending in the name of “stimulus.” They are redirecting investment from high productivity to low productivity uses in pursuit of “green jobs.” They are toying with “buy American” protectionism while repudiating “hire American” enforcement of immigration laws. They are so eager to restore the dominant liberalism of the 1930s that they cannot see that they are repeating their own errors of the 1970s.

via The New Majority.

I hate to say it. But Frum’s right on the money there.

Japan could serve as a lesson to the United States

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Barack Obama could learn a lesson from Japan. There’s a very good article in the New York Times today, on the mistakes made by the country of Japan in the 1990’s to fix their failing economy:

The Hamada Marine Bridge soars majestically over this small fishing harbor, so much larger than the squid boats anchored below that it seems out of place.

And it is not just the bridge. Two decades of generous public works spending have showered this city of 61,000 mostly graying residents with a highway, a two-lane bypass, a university, a prison, a children’s art museum, the Sun Village Hamada sports center, a bright red welcome center, a ski resort and an aquarium featuring three ring-blowing Beluga whales.

Nor is this remote port in western Japan unusual. Japan’s rural areas have been paved over and filled in with roads, dams and other big infrastructure projects, the legacy of trillions of dollars spent to lift the economy from a severe downturn caused by the bursting of a real estate bubble in the late 1980s. During those nearly two decades, Japan accumulated the largest public debt in the developed world — totaling 180 percent of its $5.5 trillion economy — while failing to generate a convincing recovery.

Now, as the Obama administration embarks on a similar path, proposing to spend more than $820 billion to stimulate the sagging American economy, many economists are taking a fresh look at Japan’s troubled experience. While Japan is not exactly comparable to the United States — especially as a late developer with a history of heavy state investment in infrastructure — economists say it can still offer important lessons about the pitfalls, and chances for success, of a stimulus package in an advanced economy.

The Lesson to be learned here is:

“It is not enough just to hire workers to dig holes and then fill them in again,” said Toshihiro Ihori, an economics professor at the University of Tokyo. “One lesson from Japan is that public works get the best results when they create something useful for the future.

But the real lesson to be learned here is the follow and pay special close attention to what is said here:

In the end, say economists, it was not public works but an expensive cleanup of the debt-ridden banking system, combined with growing exports to China and the United States, that brought a close to Japan’s Lost Decade. This has led many to conclude that spending did little more than sink Japan deeply into debt, leaving an enormous tax burden for future generations.

Gee, is that not what Ron Paul said ALL ALONG, while he was running for President of the United States? For Ron Paul’s troubles and hard work he was slandered, maligned  and marginalized by the Neo-Conservatives who hated him and the Liberal Democrats who were sacred to death of him.

I highly suggest that you read the rest of this article. The United States could learn much from this lesson that Japan had to learn. We could very well end up causing more harm than good to our economy.

Others: Glenn Thrush’s Blogs, Hot Air, A Blog For All, Cafe Hayek, Weekly Standard and QandO

The Politics of fear again

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It seems that President Obama is taking a cue from now former President Bush. Seeing that his so-called and very much pork laden “Stimulus Package” is losing support, Obama took a cue from President Bush and proceeded to publish his speech that he gave yesterday, about the stimulus.

Cue the fear mongering!:

By now, it’s clear to everyone that we have inherited an economic crisis as deep and dire as any since the days of the Great Depression. Millions of jobs that Americans relied on just a year ago are gone; millions more of the nest eggs families worked so hard to build have vanished. People everywhere are worried about what tomorrow will bring.

Because each day we wait to begin the work of turning our economy around, more people lose their jobs, their savings and their homes. And if nothing is done, this recession might linger for years. Our economy will lose 5 million more jobs. Unemployment will approach double digits. Our nation will sink deeper into a crisis that, at some point, we may not be able to reverse.

[….]

In recent days, there have been misguided criticisms of this plan that echo the failed theories that helped lead us into this crisis — the notion that tax cuts alone will solve all our problems; that we can meet our enormous tests with half-steps and piecemeal measures; that we can ignore fundamental challenges such as energy independence and the high cost of health care and still expect our economy and our country to thrive.

I reject these theories, and so did the American people when they went to the polls in November and voted resoundingly for change. They know that we have tried it those ways for too long. And because we have, our health-care costs still rise faster than inflation. Our dependence on foreign oil still threatens our economy and our security. Our children still study in schools that put them at a disadvantage. We’ve seen the tragic consequences when our bridges crumble and our levees fail.

Every day, our economy gets sicker — and the time for a remedy that puts Americans back to work, jump-starts our economy and invests in lasting growth is now.


Wow, Hey Barry, how about 43% of tax paying Americans think that your so-called stimulus bill is a steaming pile of crap; Not just the elitists in Washington D.C., but the rest of America! You know, like the one’s in Kentucky, that are freezing to death? You know, the white conservatives, that didn’t vote for you, because they saw through your stupidity, lies and bullshit? You know, the one’s that you have basically ignored?

Nice try Barry, but your imitation of George W. Bush is quite piss poor.

Others: (Colored according to thier politics): PostPartisan, Townhall.com, The Campaign Spot, Michelle Malkin, Washington Monthly, The Opinionator, The Huffington Post, The Swamp, TalkLeft, Boston Globe, Don Surber, Reason, The Hill’s Blog Briefing Room, TIME.com, AMERICAblog News, The Mahablog, Commentary, The Corner, The Foundry, AmSpecBlog, Gateway Pundit, D-Day, Riehl World View, Fox News, Soccer Dad, The Plum Line, EconoPundit, Economist’s View, Conventional Folly, American Power, Bark Bark Woof Woof, Corrente, The Washington Independent and ECHIDNE OF THE SNAKES

(Via Memeorandum)

Rasmussen Poll: Support for Economic Stimulus Support drops to 37%

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It seems that the American people are wising up to the underhanded tricks by the Far left wing of the Democratic Party:

Support for the economic recovery plan working its way through Congress has fallen again this week. For the first time, a plurality of voters nationwide oppose the $800-billion-plus plan.

The latest Rasmussen Reports national telephone survey found that 37% favor the legislation, 43% are opposed, and 20% are not sure.

Two weeks ago, 45% supported the plan. Last week, 42% supported it.

Opposition has grown from 34% two weeks ago to 39% last week and 43% today.

Sixty-four percent (64%) of Democrats still support the plan. That figure is down from 74% a week ago. Just 13% of Republicans and 27% of those not affiliated with either major party agree.

Seventy-two percent (72%) of Republicans oppose the plan along with 50% of unaffiliated voters and 16% of Democrats.

via Support for Stimulus Package Falls to 37% – Rasmussen Reports.

I think it is good to see that media and we lowly bloggers,  are getting the message out that this so called “Stimulus package” was nothing more than a far left socialist crap sandwich. (Sorry Michelle... ;)) The best we can hope for, is that the Senate strips out all the garbage and keeps in the stuff that might actually work.

Others: Power Line, Townhall.com, Hot Air, The Hill’s Blog Briefing Room, Boston Globe and Flopping Aces

(Via Memeorandum)

Panasonic to eliminate 15,000 Jobs

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Another victim of the worldwide economic collapse:

Panasonic on Wednesday said that it was shedding 15,000 jobs, the second significant layoff in Japan’s electronics industry in less than a week, and the latest example of how Japanese companies, exporters in particular, are scrambling to cut costs as demand evaporates.

Panasonic, along with Mitsubishi Motors and Mazda, also joined the rapidly lengthening list of companies to sharply revise their full-year outlooks Wednesday, with Panasonic now projecting a net loss of 380 billion yen or $4.2 billion for the year ending March 31, rather than the 30 billion yen profit it forecast on Nov. 27. Mitsubishi expects a net loss of 60 billion yen and Mazda 13 billion.

The speed of the demand downturn in recent months has taken manufacturers and economists by surprise, and forced many companies to sharply lower profit warnings made only months or even weeks ago.

via Panasonic to Cut 15,000 Jobs – NYTimes.com.

I hate to sound like I am repeating myself. But this is more damage done by the Clinton Administration and the inaction of the Republican Majority of 2003. The easing of the housing loan regulations is what created all this, thus creating a economic bubble. Which has now burst. Of course, throwing money at it, will not fix it. Now, we have the tech sector taking the hit, because of the downturn in the economy. Expect more of this to come as time goes on.

Senate seeks to Revise Stimulus Bill

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This is an encouraging sign:

Senate Democratic leaders conceded yesterday that they do not have the votes to pass the stimulus bill as currently written and said that to gain bipartisan support, they will seek to cut provisions that would not provide an immediate boost to the economy.

The legislation represents the first major test for President Obama and an expanded Democratic Congress, both of which have made economic recovery the cornerstone of their new political mandate. The stimulus package has now tripled from its post-election estimate of about $300 billion, and in recent days lawmakers in both parties have grown wary of the swelling cost.

Moderate Republicans are trying to trim the bill by as much as $200 billion, although Democrats working with those GOP senators have not agreed to a specific figure.

The Senate’s first vote on a stimulus amendment, a failed effort yesterday to add more infrastructure spending to the package, signaled the change in course. For weeks, the measure has grown to meet a worsening economic crisis with the largest possible infusion of government cash. Despite warnings of dire consequences if Congress does not act boldly, Republicans have become resolute in their opposition to what they view as runaway and unnecessary spending in the legislation. And as the total in the Senate version climbs to $900 billion, unease also is stirring among moderate Democrats.

via Senate Lacks Votes to Pass Stimulus – washingtonpost.com.

I am glad to see that the Republicans and some of the more saner elements of the Democratic Party are ridding this Economic Stimulus Bill of unnecessary pork. I think that it is a shame that the Far left wing of the Democratic Party would use this economic downturn to try and further their socialist agenda.  I think the voters should remember this when they go to the polls in 2010.

Others: Washington Monthly, Matthew Yglesias, Megan McArdle, Marginal Revolution, Balance of Power, Free exchange, LiberalOasis, The Washington Independent, The Plum Line, Associated Press, Reason, USA Today, Wall Street Journal, The Caucus, The Corner, The Plank, D-Day, Gawker, Wonk Room, Outside The Beltway, AMERICAblog News, Wizbang and Shopfloor

(via Memeorandum)

Breaking Local News – G.M. to offer buyout packages to all union employees.

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This is interesting…:


General Motors Corp. will offer buyouts to all of its hourly employees, a spokesman confirmed Tuesday, as the troubled automaker continues to slash costs.

GM spokesman Tony Sapienza said the buyouts will mainly target GM’s 22,000 retirement-eligible hourly employees, though any union employee can take the offer.

News of the buyouts first broke on Monday. A union official told The Associated Press then that GM would offer $20,000 in cash and a $25,000 car voucher for workers who retire early and those who simply leave the company. The official spoke on condition of anonymity because workers were not yet notified of the packages.

via GM To Offer Buyouts To All Hourly Employees — WDIV Detroit.

Just another sign of the times. For the record, G.M. has done this in the past, when times were bad. Hopefully some of the guys that have been with the company and are about ready to retire will take this buy out. Hopefully, this will help the problem and G.M. will become viable.

Should we give incentive bonuses to Wall Street Watchdogs?

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I have fixed feelings about this, and I will explain why a little further down.

An Article in the New York Times Dealbook Column asks a question whether Wall Street Regulators or Watchdogs should get performance bonuses.

Maybe someone deserves a bonus.

Like someone who sniffs out the next Bernie Madoff. Or jousts with tomorrow’s gonzo bankers. Or defuses the Next Big Crisis in whatever Next Big Thing is dreamed up by Wall Street.

Someone, in short, who regulates.

It is clear that the nation’s financial regulators were no match for Wall Street last time. The financiers were always one step ahead. But maybe that isn’t surprising. The financiers, after all, have a big incentive to outsmart the financial police. It is called a bonus. Wall Street lures a lot of bright minds with money. How can federal agencies compete? They can’t.

So, of course, The Government of Singapore’s head honcho says we ought to incentivize watchdog process.

Tony Tan Keng Yam, deputy chairman and executive director of the Government of Singapore Investment Corporation, suggested that one reason American regulators fell down on the job was that they were paid too little.

“You must have as good people working in the government in the regulatory authorities as those that are working in the private sector,” Mr. Tan said. “You do need, particularly in these very difficult times, capable people in central banks, in government, in the Treasury who can effectively supervise.”

Mr. Tan knows about this firsthand. He is a former regulator himself, and Singapore has a different view about compensation.

“We pay our politicians and our government servants very well,” he said. “We lock remuneration to the market.”

While Singapore’s watchdogs aren’t paid enough to afford private planes, some in top positions make seven-figure salaries.

At first blush, this would seem to be a great idea; however, if you think about it closely, this would not be such a good idea. Because of the following:

Some at Davos thought the bonus idea could work. But anxiety over that approach was palpable. “They already treat us like criminals,” one hedge fund manager said.

A few said giving bonuses to regulators would be like giving bonuses to the police for issuing speeding tickets. Maybe the regulators, like Wall Streeters, would start thinking about the money, rather than what is right. But maybe that’s exactly what Wall Street needs to slow down.

I must say, that I highly disagree with this idea. Why? While I believe that moderate regulation is a good idea on Wall Street; I believe that incentivizing the Wall Street watchdog process will result in a overzealous regulatory process, that will be solely based upon monitory compensation. This would be absolutely disastrous to the free market process in America. As well all know we already law enforcement that borderlines upon a police state. Doing this to Wall Street would cause a fear mentality amongst the financial sector and discourage investment.

We need regulation, not a financial police state.

Recieved via e-mail

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This popped in my in box:

Citizens Against Government Waste

Dear Newsmax Reader,

Democratic congressional leaders and the Obama Administration have hyped the American Recovery and Reinvestment Act of 2009 as an urgent and essential “economic stimulus” package. This bill would be more aptly titled, the Pelosi-Reid Borrow-and-Spend Act!

The Senate is planning to vote on S.1, its version of the “stimulus,” this week. We can defeat it if all of the Republican members of the Senate vote NO, as their Republican colleagues in the House of Representatives did. I urge you to send a powerful message to your U.S. Senators today that you oppose this bloated, ill-conceived plan!

The $819 billion “stimulus” package approved by the House last week and the nearly $900 billion version now under consideration in the Senate would add to a federal deficit already projected to reach a record $1.2 trillion this year. This bill is not only one of the largest spending measures ever to pass through Congress, it will cost more over two years than we’ve spent to date on the wars in Iraq and Afghanistan!

The bill’s ability to fulfill its stated mission of stimulating the economy is also questionable at best. The nonpartisan Congressional Budget Office has concluded that more than half of the hundreds of billions of dollars in infrastructure spending contained in the bill, such as $26 billion of the $30 billion allocated for highways and $15.5 billion of the $18.5 billion for renewable energy projects, will not take place for more than two years — long after economists predict the current recession will have ended.

What’s more, the tax cuts in the package are narrowly targeted, with the largest portion going to more rebate checks, a strategy that failed to reverse our economy’s slide last year.

Even worse, the bill contains all sorts of special-interest and congressional pet spending projects that have virtually nothing to do with economic growth. As just one example, it allocates $335 million to the Centers for Disease Control (CDC) for the prevention of sexually transmitted diseases. Not only will this “healthcare” spending do nothing for the health of our economy, CDC has a track record of using such funds for events like a transgender beauty pageant in San Francisco and a conference, entitled “Got Love? Flirt/Date/Score,” that taught participants how “to flirt with greater finesse.”

Rather than burdening today’s and tomorrow’s taxpayers with this massive government spending spree, Congress should create more incentives and opportunities for private-sector jobs and growth by cutting government spending and enacting across-the-board tax cuts for individuals and businesses, like those that helped reverse economic slumps in the 1960s, 1980s, and earlier this decade.

If the Senate follows the House’s lead and passes this borrow-and-spend “stimulus” bill, it will waste record amounts of tax dollars, provide virtually no benefit to the economy, and only add to our nation’s soaring liabilities.

Please tell your Senators today that you want them to vote NO on the American Recovery and Reinvestment Act!

Sincerely,

Thomas A. Schatz
President

P.S. If the Senate approves the American Recovery and Reinvestment Act, federal lawmakers will have authorized more than $2 trillion in new government spending since February, 2008. While the cost of “jump-starting” the economy is sobering, the coming fiscal mushroom cloud is truly alarming. The national debt currently stands at a mind-numbing $10.6 trillion, and America is sinking into debt at the rate of $3.3 billion per day. Our children and grandchildren simply can’t afford this borrow-and-spend “stimulus” bill. Please deliver that message to your Senators today!

***
The Council for Citizens Against Government Waste (CCAGW) is the lobbying arm of Citizens Against Government Waste (CAGW), the nation’s largest taxpayer watchdog organization with more than one million members and supporters nationwide. CCAGW is a 501(c)(4) nonpartisan, nonprofit organization that lobbies for legislation to eliminate waste, fraud, abuse, and mismanagement in government. Contributions to CCAGW are not tax-deductible for federal income tax purposes. For more information about CCAGW, visit www.ccagw.org. Help CCAGW wage and win this battle to stop the Senate from passing this disastrous ”stimulus” bill and burdening future generations with crippling debt by making a contribution to support our grassroots and lobbying efforts today.

Please help us put a stop to this so-called “economic stimulus” bill by contacting your friends and neighbors and urging them to write to their Senators.

The Simulus and the Republicans

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An interesting question to be asked.

Will the Republicans opt to do this, given the gravity of the recession? They are in no mind to allow the bill to go through without substantial changes. The Senate Republicans, just like the House ones, believe that the stimulus bill is something of a Trojan horse. While no one disputes that a big fiscal punch is needed, many items in the current plan (which has been hastily thrown together) will take too long to deliver; at least a third of the House’s $819 billion package will not have been spent 19 months from now, according to an analysis by the Congressional Budget Office.

The Republicans prefer tax cuts, which have the advantage of delivering their punch almost instantly. The problem is that in tough times like these, people are likely to save rather than spend their tax gains especially if—as in this case—the cuts are strictly temporary. Extra saving does nothing to boost demand in an economy that is suffering from a shortage of it. Republicans also object to some of the protectionist “Buy American” provisions attached to some of the money, and to inanities such as a $200m plan to returf the Mall in Washington, DC, (this last has now been removed from the House bill).

A party with a majority can usually pass whatever it likes in the House, but the same is not true in the Senate. Debates in the Senate are not rigidly time-limited as they are in the House, and in order to end discussion and move to a substantive vote, a motion of “clôture”, or closure, has to pass. The snag is that 60 votes are needed to pass such a motion; and the Democrats have only 58 senators. In theory, if the Republicans hang firm—and they held absolutely firm in the House—they could prevent the stimulus bill from ever being put to a full vote.

BARACK OBAMA’S gargantuan stimulus bill moves to the Senate on Monday February 2nd, after passing through the House of Representatives without a single Republican vote in favour. That means that it is in trouble.

via How Senate Republicans will respond to the stimulus bill | Stimulus and the Senate | The Economist.

Hopefully, the Senate Republicans will strip out all of the special interest pork that is within that bill and will pass a bill that will help the economy. Instead of further the socialist agenda of the far left.  But I do not look for any huge sweeping changes. As Michelle Malkin has reported, the Republicans want to play Democrat-lite and go along with Obama’s plans. Wonderful. So much for the loyal opposition guys. 🙄

How about just letting the economy run it’s course and taking the Government’s hands off of it? Instead, they want to play communist-lite and prop up everyone. Yeah, it will work, until China cuts us off, as well as the other Nation’s that are buying our debt.

Sometimes, I really think that the psychos are running the “nuthouse” in Washington D.C. 😮

Japan’s Economy on the verge of collapse as well.

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Russia is not the only one. Japan now is on the verge of collapse as well.

A reader chided me for not making note of the truly dreadful factory output figures released last Thursday, which showed a fall of 9.6%.

I have to confess that I have fallen into “Japan bad news” syndrome, in that I expect bad news out of Japan and therefore did not focus enough on the details. And while I do not aspire to covering every financial news story (that’s what the MSM is for), the latest figures paint a grim picture, even by our new, desensitized standards.

It wasn’t simply that December was truly awful, but it came on top of a nearly-as-bad November

via naked capitalism: Veneroso: Japan on the Edge of the Abyss.

Again, this is what happens when you inflate a money supply and create a bubble.

Yves continues:

Yves here. I only get the privilege of reading Veneroso now and again, but I cannot recall him taking a tone remotely like what follows:

I have been writing about an Asian black hole for almost two months now. I have been crying from the rooftops about an emerging depression in Japan. It has been as though a neutron bomb had gone off in the world. There was no one who seemed to notice, no one who seemed to listen.

Every week it gets worse and worse and worse. Today it was Japan….

THERE HAS NEVER BEEN DATA THIS BAD FOR ANY MAJOR ECONOMY – EVEN IN THE GREAT DEPRESSION. December industrial production came in down 9.6%, worse than the METI forecast. It is now down almost 21% year over year. METI forecasts a further 4.7% decline in February. The inventory to production ratio soared again. Maybe METI will be correct.

If it is, Japan industrial production will have fallen 28% (non annualized) in four months. It will have fallen by a third in about a year. Nothing in the history of major nations compares. A 28% decline in four months would be more than half of the entire decline in U.S. industrial production over the 3 years and nine months of the U.S. Great Depression.

It would be a greater decline in four months than in any 12 month period in the Great Depression in the U.S. We are literally looking at the unimaginable. (I am attaching the U.S. industrial production index from the Great Depression for comparison).

IT’S A DEPRESSION IN JAPAN – ALREADY – PURE AND SIMPLE.

If this is true, unless President Obama can pull some sort of a miracle out of his rather skinny ass. We are in deep trouble. The reason I say this is because we are in a Globalist Economy, whether we like it or not, and Japan’s failures are our failures as well.

I think it will get much worse, before it gets any better. 🙁

(Via Freedom’s Phoenix)