Thursday, April 30, 2009

Obama Does Not Like People Who Fund Progress

Yeah. Here is why stocks are not a good investment under Obama's regime.

"While many stakeholders made sacrifices and worked constructively, I have to tell you some did not. In particular, a group of investment firms and hedge funds decided to hold out for the prospect of an unjustified taxpayer-funded bailout. They were hoping that everybody else would make sacrifices, and they would have to make none. Some demanded twice the return that other lenders were getting. I don’t stand with them. I stand with Chrysler’s employees and their families and communities. I stand with Chrysler’s management, its dealers, and its suppliers. I stand with the millions of Americans who own and want to buy Chrysler cars. I don’t stand with those who held out when everybody else is making sacrifices. And that’s why I’m supporting Chrysler’s plans to use our bankruptcy laws to clear away its remaining obligations so the company can get back on its feet and onto a path of success."

If you think it sounds like Chavez, you're probably right. The president of the United States does not stand for the capital providers (lenders, owners = risk-takers) of a business.

1984, Alice in Wonderland, or worse?

A quick swipe from Wikipedia:
"Ministry of Peace (Newspeak: Minipax)

Conducts Oceania's perpetual war.

Ministry of Plenty (Newspeak: Miniplenty)

Responsible for rationing and controlling food and goods, along with all production of all domestic goods. The Ministry of Plenty declares false claims to have increased the standard of living every time by a considerable amount, when in fact the ministry counteracts its own claims.

Ministry of Truth (Newspeak: Minitrue)

The propaganda arm of Oceania's regime, controlling information: news, entertainment, education, and the fine arts. Winston Smith works for the Records Department (RecDep) of Minitrue, "rectifying" historical records and newspaper articles to make them conform to Big Brother's most recent pronouncements, thus making everything that the Party says 'true'.

Ministry of Love (Newspeak: Miniluv)

The agency is responsible for the identification, monitoring, arrest and torture of dissidents, real or imagined. Based on Winston's experience there at the hands of O'Brien, the basic procedure is to wear down the subject with a long series of beatings and electrical torture. Finally, when the subject is near broken, they are sent to "Room 101", where they are exposed to their worst fear, once and for all eradicating any remaining impulse of individuality or resistance, and replacing it with a sincere embrace of the Party. The Ministry of Love differs from the other ministry buildings in that it has no windows in it at all."

Takes us to today's piece from Yahoo news.

Democrats in Congress capped President Barack Obama's 100th day in office by advancing a $3.4 trillion federal budget for next year — a third of it borrowed — that prevents Republicans from blocking his proposed trillion-dollar expansion of government-provided health care over the next decade.

Wednesday's House and Senate votes to adopt the nonbinding budget blueprint were only a first step toward Obama's goal of providing health care coverage for all Americans. The budget plan for the fiscal year that begins Oct. 1 sets the parameters for subsequent tax and spending bills expected to boost clean energy programs and student aid and extend many of former President George W. Bush's tax cuts.

"It's a budget that reduces taxes, lowers the deficit and creates jobs," House Speaker Nancy Pelosi, D-Calif."

No further comments are necessary.

Thursday, April 16, 2009

An Observation

One thing I really do not get is why at almost every TV-broadcast announcement that comes from the NYS government and/or the NYC Mayor's office, there is a huge crowd of bureaucrats in the background. Do these people think this is a rap video? Or a hangout of some sort?

Here's a suggestion, if someone is hanging out in the background but is not talking to the press, please fire them on the spot. Clearly, they have nothing better to do, and are, hence, a waste of taxpayer money.

And while you're at it, ban police, fire, ambulance and garbage truck idling unless the vehicle is actually moving/about to move. My non-scientific fuel savings estimate is 20%.

Wednesday, April 1, 2009

Banana Republic Datapoint #X+2

I really should drop the GM story. I can see how it all makes sense: you register your car at the DMV. Therefore, it makes sense that the companies who make cars should be more like the DMV, right?

The Obama administration will play a key role in reshaping General Motors' board of directors over the next six months, potentially giving it even greater control in the management of the storied American manufacturer.

The president's auto task force plans to consult with the company as it replaces a majority of its board, a White House official said. The board today largely consists of the current and former chiefs of major U.S. corporations such as Coca-Cola, Ernst & Young, Pfizer and Eastman Kodak. It is not known which of the 12 board members will leave.

The president said Monday that "the United States government has no interest in running GM."

lifted from Zero Hedge

Banana Republic Datapoint #X+1

Wow, those keep coming faster than I can keep up. Please consider the latest:
"President Barack Obama believes a quick, negotiated bankruptcy is the most likely way for General Motors Corp. to restructure and become a competitive automaker, people familiar with the matter said."

Let me repeat this:
"President Barack Obama believes a quick, negotiated bankruptcy is the most likely way for General Motors Corp. to restructure and become a competitive automaker, people familiar with the matter said."

The march towards the banana republic continues full speed. After the confiscation of WaMu by the FDIC, the forced Citi-Wachovia merger (remember that the FDIC was pushing the Citi deal with taxpayer guarantees vs. the Wells deal), the transfer of one generation worth of productive capacity to AIGs counterparties, we just had the president firing the CEO of a major industrial corporation, and now the same president thinks that Ch. 11 is best for the two automakers, after having bailed them out recently. I am sure Obama is a smart guy but what made him an expert on corporate business decisions? Probably the "community organizer" experience.

President Obama, shouldn't you focus instead on the insolvent nature of the US federal and state governments?

Just asking. If I wanted to be in any way involved with GM, I would have bought their stock and voted with my proxy. I really do not like seeing my tax dollars going to a financially and morally bankcrupt corporation and its corrupt useless union, and I really do not like seeing my elected representatives meddling with industrial policy.