Fed FEMA and the FDA, should we fire them all?

The Federal Reserve admits little control over the economy and seems to exist completely to facilitate the transport of wealth into the hands of fewer and fewer. It has been able to offer no security to this nations people despite spending untold billions of our tax dollars.

FEMA, as reported by CNN not only failed to help victims of Katrina wholly and completely, much of the help it did attempt to supply went to prisons and other government agencies instead of the people who desperately needed it. The devastation of this catastrophic failure is still felt today.

The FDA not only has no clue what's behind the Salmonella outbreak it's looking like hundreds of thousands of tomatoes and a like amount of money was essential destroyed because, they simply don't have a clue. Some are questioning now if they even know what Salmonella is. Do we need to fire all of these guys?

Lets not forget our Senators who have been so busy with there pork barrels that they have only now begun to really make any ground at rescuing our economy at it's most fundamental level, it's citizens losing there homes because of bankers lies. Lies that is seems at least one judge agrees need to be looked at by the courts of this nation.

When the man next to me loses his home, or his job because he got sick eating food, or his home is wiped out by a flood or a tornado, his loss has a negative impact on my life, not because he is necessarily my friend, but because he is an American.

United we stand? Perhaps we should fire all of the people who decided it was OK to take money out of our retirement plan to pay for their wars and their pet projects.

As the shareholders of this economic catastrophe perhaps we should follow Icahn's advice to Yahoo shareholders and fire the board of directors. Both McCain and Obama are members of this board.

High oil and the open road-A rememberance day of reflection

Big fuel bills kept some drivers off the road this holiday weekend, for us that meant a longer vacation and less time behind the wheel.

Once again this 4th of July was a time for reflection, as my wife and I packed up the dogs and headed out to the desert to 5 acres of private land and a small round house made of mud and straw. We're not roughing it, there is a stove and a fridge and a fully functioning bathroom. But it's a simpler life style, there is no TV and there are no phones--cell phones of course, but mine was turned off--and no internet at all.

For the dogs it's Disneyland and they run around hunting all day and night until the pass out. For us it's just some quality time we rarely spend together. We mostly read and eat at the same table and go for walks.

But as always, I find myself considering the constitution and the men who wrote it on the fourth. It's such a simple document, but it's always been one that has been hotly debated. Anyone arguing about the intent of the constitution has to consider the context it was written in as well as the context of present day, or the words can be--as is true of most--twisted to anyones intent.

It's unfortunate then that this countries educational system leaves most of our nations history out of the picture when it shapes the minds of our future.

Because much of this context is outlined in great detail and, though controversial at the time, the Federalist Papers contain much of this context. Documents written in serial by three of the founders of this nation. James Madison, John Jay and Alexander Hamilton.

The Federalist Papers are a series of 85 articles advocating the ratification of the United States Constitution. Seventy-seven of the essays were published serially in The Independent Journal and The New York Packet between October 1787 and August 1788. A compilation of these and eight others, called The Federalist, was published in 1788 by J. and A. McLean.^[1]

One of the most important ones to consider, when considering the deteriorating condition of the republic is Federalist No. 10
The Utility of the Union as a Safeguard Against Domestic Factions and Insurrection - Thursday, November 22, 1787 (James Madison)

"It will be found, indeed, on a candid review of our situation, that
some of the distresses under which we labor have been erroneously charged on the
operation of our governments; but it will be found, at the same time, that other
causes will not alone account for many of our heaviest misfortunes; and,
particularly, for that prevailing and increasing distrust of public engagements,
and alarm for private rights, which are echoed from one end of the continent to
the other. These must be chiefly, if not wholly, effects of the unsteadiness and
injustice with which a factious spirit has tainted our public administrations."

It strikes me as I re-read these words how well the cover our current situation today. For while many of us--including myself--hold the Bush administration to blame for our most current problems it must be conceded there are two sides to every story. We have been doing this for a long time.

Stocks tumble farther as Oil prices fall

Signaling ever increasing instability in the markets as oil and commodities prices fall. As the hard hit financial sectors lead off quarterly reports selling in financial shares accelerates.

"The advent of earnings season this week has investors on the defensive, especially as the beleaguered financial sector leads off," analysts at Action Economics said in a note. "Big declines in commodities today have also weighed on commodity based shares."

Micro contagion begins to sweep across all sectors as instability, that can largely be contributed to American economic policies, growing national debt and reduced spending power by a debt ladened economic power have begun to ripple throughout global markets.

As gold prices fall traditional hedges against a bear market become less resilient. G-8 has failed to come out with anything close to a proposal and many believe this is simply because the situation is now beyond there control.

The Federal Reserve policies have and continue to fail.

Jamie Dimon to Charlie Rose, "I think the economy is virtually unfathomable. It’s so complex."

It's interesting how the uncontrollable market forces continue to shift remarkable profits into CEO's hands while it's the shareholders that get left holding the bill.

As our banks with the support of the federal government are swallowed up by private equity teamed up with global partners. We'll soon be left with very few masters. I for one an not looking forward to the modern slavery of debt. But it seems clearer now more than ever, this deal was done a long time ago.

You are in debt, your child is in debt and it's not entirely your fault

At the end of Bill Clinton's presidency, we had our answer. For the first time in almost thirty years, we enjoyed big budget surpluses and rapidly declining national debt. In fact, Federal Reserve Chairman Alan Greenspan expressed concern that the debt might get paid down too fast, thereby limiting the Reserve System's ability to manage monetary policy. Even after the dot-com bubble burst and the economy was forced to absorb the shock of 9/11, we had the chance to make a down payment on sustained economic growth and broader opportunity for all Americans.

But that's not the path we chose. Instead, we were told by our President that we could fight two wars, increase our military budget by 74 percent, protect the homeland, spend more on education, initiate a new prescription drug plan for seniors, and initiate successive rounds of massive tax cuts, all at the same time. We were told by our congressional leaders that they could make up for lost revenue by cutting out government waste and fraud, even as the number of pork barrel projects increased by an astonishing 64 percent.

The result of this collective denial is the most precarious budget situation that we've seen in years. We now have an annual budget deficit of almost $300 billion, not counting more than $180 billion we borrow every year from the Social Security Trust Fund, all of which adds directly to our national debt. That dept now stands at $9 trillion--approximately $30,000 for every man, woman, and child in the country.

-Barack Obama (2006, The Audacity of Hope)

Our country is in trouble and the people who are supposed to protect us have lined there own pockets, the pockets of the people who put them in power and you never had a choice.

The continued failure, fraud and corruption of this nations governors has destroyed our future and you should be mad as hell.

There was a time when America could afford to dream of a better tomorrow, now we dream of a tomorrow that is no worse than today. Today is starting to really suck.

The media machine will put Obama in power and we can only hope this man will stick to his promise. But he is one of the people who put us here, never forget that, he's pushed through his own pork barrels, his comments remind me of what the pot said to the kettle.

If there's class warfare going on in America, then my class is winning.

-Barack Obama (2006, The Audacity of Hope)

With 24 million dollars of income last year which class is Obama talking about, it's certainly not the class of the average American. Things will not get better unless We the People force them to. What is good for you is good for me, what is good for their "class" is destroying us.

Icahn, the man who would be king of Yahoo

Forget not Yahoo shareholders, while the gap is big Yahoo remains the worlds second biggest search engine. With mounting pressure Icahn again pushes to have his soldiers assume control of the board and sell Yahoo--specifically the search engine section-- to Microsoft.

While it's clear confidence is low in the current board, is an Icahn appointed board really interested in the welfare of the general shareholder, or is he perhaps looking out for his own interests? It doesn't take a degree in economics to understand the wealthiest among us are interested in there own fortunes.

Is this another vestige of the blind faith in 'trickle down economics', do people actually believe Icahn gives a shit about them? He's working for a fast cash out and a dismantling of Yahoo. Microsoft doesn't want to spend billions to acquire Yahoo because it is worthless.

It appears Icahn and Microsoft's chief executive, Steve Ballmer are ready to cash in on peoples stupidity once again. The combined volume of Yahoo and MSN search would drastically close the gap Google currently enjoys.

Clearly Microsoft has not lost interest in acquiring Yahoo. It seems clear also that Icahn is working a lot closer with Microsoft than is safe for the general shareholder.

If Icahn's board is appointed the company will more than likely be dismantled, and while Icahn's and his appointed kings reap the benefits many analysts believe the negative impacts will be dire.

Is the promise of a fast paycheck from a man who would be king worth the price? If the board is to be replaced is Ichan the man to be trusted to look out for your best interests?

Carl Celian Icahn (born February 16, 1936) is an American billionaire financier, corporate raider, and private equity investor. His net worth is US$14 billion as of 2008, making him the 46th richest man in the world.

Very few people will enjoy the profits from this power play, one that many believe has been well scripted.

US Dollar rises, Oil prices drop

"Whenever the dollar strengthens, that makes commodities
more expensive for everyone else in the world,'' said Peter
Beutel, president of energy consultant Cameron Hanover Inc. in
New Canaan, Connecticut. ``It makes them less willing to buy
oil.''

President George W. Bush said
yesterday that "the U.S. believes in a strong-dollar policy.''

"I would be very surprised if there's not a reference to
oil prices as a risk to the world economy'' in the summit's final
statement, said Tim Evans an energy analyst for Citi Futures
Perspective in New York. "At the same time, I don't really
expect something substantial to come out of the G-8 meeting in
terms of global energy policy.''

"Obviously, there's some selling pressure here, some profit
taking going on,'' said Addison Armstrong, director of market
research at TFS Energy LLC in Stamford, Connecticut. "The
gasoline and heating oil are pretty weak.''

As the west still pushes blame on OPEC nations for the outrageous oil prices they have failed to address in any public forum the simple truth until now.

"The dollar is responding to happy talk coming out of the
G-8,'' said Michael Fitzpatrick, vice president for energy risk
management at MF Global Ltd. in New York.

All we needed was 'happy talk'.

It's a simple equation. Oil is bought and sold in U.S. dollars. When these dollars devalue the number of dollars required to purchase oil increase. Since Oil futures can be purchased on as little as 10%, when the US economy becomes unstable and the Fed holds down interest rates, weakening the dollar, people rush to put there money in commodities.

JPMorgan Chase CEO Jamie Dimon in an interview with Charlie Rose featured in last week's Aspen Ideas Festival, "We almost deserve $4 gas. We knew in 1974 that we had a serious issue
but we don’t have the political fortitude to do anything about it.
That’s the issue, not Russia."

Current conditions combined with over 30 years of repeated warnings it's coming to an end only fuel the fire. Instead of taking care of the nations future, our leadership has raped us and even our staunchest allies are now waiting for the Bush nightmare to end.

As the dollar fell, instabilities in the worlds major oil producing region and talk of more war fueled the increases caused by a weak US dollar, speculation ran rampant.

The Global economy is transportation based, therefore fuel based. An estimated 63% of the worlds fuel oil is burned up transporting, for example Soy Beans from Argentina to markets in New York?

OPEC nations have come under fire for statements that they are producing sufficient oil to meet world demand, and OPEC's president put a large portion of the blame on the Fed.

Over the last 8 years our President has sold out this nations economic strength to Big Oil and Private equity. The Fed has supported these policies and now the effects have shaken the worlds economies. Mr. Bush is single handedly responsable for putting more Americans in debt and destroying the fiscal health of the worlds most powerful nations.

The US war footing is unsustainable under these economic conditions, conditions that will almost certainly be maintained under a McCain administration.

Frankly I see no proof that Obama is any different, he's big money and he loves the spot light, but perhaps this spot light will force him to get us out of war and back on target.

Iran is the second largest OPEC producer next to Saudi Arabia, Iranian Foreign
Minister Manouchehr Mottaki on CNN yesterday that talks about its
nuclear program are "in a new environment'' and "new
approaches'' with the U.S. are possible.

But as we face increasing oil pressure in the global market place we talk of attacking them? The Israeli's don't attack anyone over our air space without our OK and Iraq is ours. We stand with armies on two sides of Iran and expect them to grovel.

But is it possible they simply want to have enough electricity to function and develop? Instead of issuing threat after threat perhaps we should work towards developing a sustainable and monitorable energy plan for an major oil producing nation. Can we take the sword off of the table for once? No one wants to face our armies on the field, win or lose if we fight on there soil the costs will devastate any nation. But now with global economies tied so closely to each other and market speculation, perhaps the cost to all of us it to high.

While constant press coverage of the power and might of the US military has served to desensitize Americans to war, to the non-aligned worlds it has stood as a warning, do not cross us or you will burn in holy fire. I for one and sick of being viewed by most of the world as evil murdering war mongers, this is not our way, we are the fallen.

Had this nations peoples voice been heard 8 years ago when the 'free' people of American elected Al Gore perhaps all of the worlds people would be suffering just a little less. It's unfortunate 'We the People' have so little say in our own future. That's not how this country was built. Obama was just as much a part of the system that put us on this path as anyone else, his electoral vote was for George Bush.

In order to stabilize the worlds economy we need to stabilize this government and it can not be done through sham elections in a failed two party system. We need real reforms in government and in our economic markets. Removal of private money from public institutions is crucial and this, unfortunately is a truth Obama has walked away from. I fear we are simply in for more of the same. Get used to it. Get used to debt.

Obama TV

From Rock Star to Reality TV star, Has Obama gone to far? Selecting a "protective pool" of reporters to cover his daily life inside and out. Is this really an attempt at openness or a carefully conceived plan to control media coverage.

The press has never had trouble following a candidate around before, they have never needed a permission slip.

Do we as a society really want this kind of exposure on our presidential hopefuls? Obama TV is already the next great reality TV show in the making. But will it detract to much from high office.

It's pretty nice to have your own tamed press core following you around on a schedule. It also makes so a lot of free press.

We need a leader who can restore our much tarnished global image not another Jackass: The Movie.