After reading the latest and greatest on the financial front (can you believe we're finally talking about Sovereign Defaults? Who knew? ;/), I started thinking about ways to protect myself and my family/friends... and as usual, my tiny brain circled right back around to...
Russia.
No, no, not Russia as in 'failed democratic experiment now run by mafia-type business thugs'; not 'Glasnost' Russia; not Soviet Russia.
Russia the unconquerable. Russia the Great Bear, as in so damn big you'll never take it over unless they send you an invitation. And, maybe, not even then. As a student of Russian history (I liked it at first 'cuz they had a history of blowing each other up, then there was Rasputin, and they kicked Napoleon's ass before that), I find myself reaching back to the days BEFORE the history books were written. How in hell did they survive? No Central Planning, no uniform currency - the ruble is recent, in historic terms - a capitol that got re-located and re-named on a regular basis... and yet, this huge mass of people, spread across one of the largest land masses on the globe, well, did all right. How?
Village Rule. And, yes, I'm over-simplifying to make a point. But think of it: all of our lives we've been told that "Bigger is Better". Bigger cars, bigger companies, bigger houses, bigger credit limits... bigger banks, bigger government, bigger taxes, bigger cities...
To paraphrase: "How's all that Bigger Stuff workin' for ya?"
My hopeful synopsis: not really well at all. Big Agra. Monsanto. Citi. Bank of America. Any government that needs a "czar" for anything. Seriously? Drug czar, crime czar, car czar - speaking of Russian history (!)...
Okay, so the Hippies tried the commune thing... we now call it Planned Community, but the difference seems to be how much bed-hopping goes on. But my thought is that they were onto something, although I'd probably spin it a little differently. Which brings me to my point: Who would you want in your village?
Recent events within my extended family made me regret living so far away in a time of trouble. I would definitely want my family close. If someone needs help, I want to be less than a long plane ride away. Much as I love where I live, I'd have felt a lot better - and slept more easily - if I'd known I could do something to help. <sigh>...
So, what do we need from "outside" the village? Well, that's up to the members, I guess. Gasoline. Coffee. Water, if we're not self-sufficient. We need a farmer. Or two. A mechanic; a doctor. A builder. Electricity? Maybe. Heat? Not so much where I live, but hot water's a plus, and prevents all sorts of bacteria from spreading. Sewer? Septic?
Which leads me back to the beginning: Is it time to pull the plug? Leave the suburbs? Leave the cities? Food shortages, water shortages, supply lines too long to maintain... what about oil and fuel? Oil's up another $3.00 a barrel as of Friday morning.
And the last, most important thing to think about this weekend: what do I bring to the village? What is my value? How can I help? In a time of shortages and inflated prices, how much dead weight can a village take on?
This is a rare, morning post. I'm off to my day. I'd like to hear from any or all of you: who would you want in your village? And, how can we make it work?
Till then,
Brutal Truth
Saturday, November 13, 2010
Saturday, November 6, 2010
Inflation Isn't Coming... It's HERE.
And it HAS been, since 2009. Quick review: the CPI - Consumer Price Index, published quarterly, monthly, or whenever they feel like it, is a measure of how much things cost. Which raises the fundamental question: "What things?" The gist:
You've tumbled to it, though, haven't you? Everything's cheap... as long as you don't drive, heat your home, turn on the lights, or say, EAT.
If you're like me, you keep your grocery store receipts. I do this because I live on a budget that is occasionally so tight the "Indian rides the buffalo" in old speak. Though there have been times when the Indian didn't just ride the buffalo, they picked out china patterns and registered at Wal-Mart. 'Nuff said.
If you don't keep your receipts, you're stuck with a nagging feeling; could be gas, could be you're burning through more money than last time, but you're not sure how long ago, or by how much.
In 2008, there was rice rationing - remember? I was stunned... not that I'm a great fan of rice - it's okay, right? But the idea of any food being rationed in the US struck home. That same year, you had people dying in food riots from Haiti to Egypt. There just wasn't enough to go around...
TWO YEARS AGO.
Fast forward to spring of 2010 - in Russia, the leading grower and exporter of wheat. Record heat, record drought, and wildfires - remember? You may also remember this little nugget: President Vladimir Putin has BANNED export of ALL Russian wheat until AFTER next year's harvest. They will send some reserves, but it's not gonna be near what they generally ship to the world.
As of September 3, 2010, according to Bloomberg News, Wheat futures are up 74% year over year. They have also reported 7 deaths and numerous injuries during new food riots taking place NOW in Mozambique.
Aside from Russia's "problem" - this being one of the few things I will understate - there is a greater issue at hand: what is commonly being called "QE2" - Bernanke's latest round of Quantitative Easing. It has already begun - in fact, began in 2009, but apparently there were marketing problems that delayed the publication of it. According to Mr. Bernanke, somewhere in the neighborhood of $600 billion dollars will be henceforth printed and used to buy bonds. What bonds? Well, you know, whatever bonds they feel like buying. Through 2Q2011. Or longer. Depending. My friends at ZeroHedge.com have taken to calling it "QEXXXXX", since it seems endless.
According to Meredith Whitney, part of the program - again, begun in 2009 - equates to state bail-outs. Build America Bonds from California, Illinois, and Nevada are being underwritten by the Fed. If you buy a Califonia bond (it's debt), Uncle Sam underwrote 20% of the interest payment in 2009, and underwrites 30% of the interest this year. In Illinois, 30%. In Nevada, 40%.
So, now, Ben prints money so Cally can print money, only Ben will print 20-40% of the interest money on top of the Cally money just to make sure you get some of those wet-ink bills in your pocket if you're lucky enough to own a piece of the debt pie. Does this sound like a financial circle jerk?
It is, and I wouldn't even go into it, except that, being the circle jerk that it is, it undermines faith in the valuation of the dollar. Remember, we're on the hook for more money now than at ANY time in the history of America. COMBINED. Even with inflation adjustments. We're spending and inflating our way to the bottom, and the only reason we haven't hit it yet is because every other currency is in the same race. So, what do you, the prudent investor, do while all this crap is going on?
You invest in something else. Something... concrete. You could put your hands on it, if you wanted to.
Like oil. Or wheat. Or soy. Or corn.
Unfortunately, the whole world is full of people like you, watching the debasement, looking for something "solid" to invest in, something people need, and will continue to need...
And this is how, according to Drovers.com, corn, milk and dairy, meat, coffee, and cocoa are being driven by lots of interested buyers.
According to CNBC's Brian Shactman (10/25/10), eggs are up 11%, meat up 6% year over year. Apparently, due to competition issues, retailers have been absorbing most of this increase. Since mid 2009.
How much longer do you think they'll continue to do that? Remember also, that corn and soy are far more prevalent in our food supply - and FUEL supply - than you would immediately think. Got mayo? Main ingredient: soybean oil. Got bread? Made with soy milk. Got bread crumbs? Progresso: partially hydrogenated soybean oil.
Beer drinker? Check for corn. Yup, corn. Most lagers are now brewed with some combination of wheat and corn. Don't forget corn syrup: depending on how much packaged crap you eat, you'll find it in a LOT of places. Just like I found soy milk and high fructose corn syrup in my "all natural" whole wheat bread.
Okay, I've made my case; feel free to check my sources, and any others that pop up - it's the beauty of the internet in our modern world. Soooo...
What to do?
There are two things that inflation should always drive you to do:
1. Spend more now. Not as in, cheap plastic crap; as in staples. See above. Think about 3 months' worth of rice, flour, corn meal. Ever use honey as a sweetener? Get some. Get a lot. Turns out, we're running low on honeybees, too. Hell, think about 6 months' worth. Get some air- and water-tight containers. Store that stuff, and if the prices don't shoot through the roof, worst case scenario is you eat it all. If they DO go through the roof, your dollars then won't be worth near what they're worth now.
2. Get your money out of the banks. Do I need to remind you that 143 banks have failed this year? That the FDIC has been drawing on credit lines from the Fed to meet its obligations as bank after bank has failed? At this point, are you really earning any interest anyway? Do you want to have to wait for 6 months for your insured deposit to be returned to you if your bank should fail? Prepare for the worst (to be fair to the FDIC, this has NOT happened. Yet.).
And, finally - I say this as the smell of fresh whole wheat bread wafts from my oven - it's time to get "back to the kitchen". I can say two things about my ability as a baker: First, I'm not very good at it; my first two loaves of bread could have easily been used as wheel chocks for my truck. Second, I know, to the gnat's behind, exactly what's IN that bread, and I'm determined to get better at making it.
I'm happy to watch out for you, and warn you, whenever I can. But this is one of many situations where you can take the wheel, and drive yourselves around the obstacles I'm pointing out. Be prepared. Be smart. I'll keep you posted.
Brutal Truth
- Cars
- Electronics
- Appliances
- Car Repairs
- Home Depot stuff
You've tumbled to it, though, haven't you? Everything's cheap... as long as you don't drive, heat your home, turn on the lights, or say, EAT.
If you're like me, you keep your grocery store receipts. I do this because I live on a budget that is occasionally so tight the "Indian rides the buffalo" in old speak. Though there have been times when the Indian didn't just ride the buffalo, they picked out china patterns and registered at Wal-Mart. 'Nuff said.
If you don't keep your receipts, you're stuck with a nagging feeling; could be gas, could be you're burning through more money than last time, but you're not sure how long ago, or by how much.
In 2008, there was rice rationing - remember? I was stunned... not that I'm a great fan of rice - it's okay, right? But the idea of any food being rationed in the US struck home. That same year, you had people dying in food riots from Haiti to Egypt. There just wasn't enough to go around...
TWO YEARS AGO.
Fast forward to spring of 2010 - in Russia, the leading grower and exporter of wheat. Record heat, record drought, and wildfires - remember? You may also remember this little nugget: President Vladimir Putin has BANNED export of ALL Russian wheat until AFTER next year's harvest. They will send some reserves, but it's not gonna be near what they generally ship to the world.
As of September 3, 2010, according to Bloomberg News, Wheat futures are up 74% year over year. They have also reported 7 deaths and numerous injuries during new food riots taking place NOW in Mozambique.
Aside from Russia's "problem" - this being one of the few things I will understate - there is a greater issue at hand: what is commonly being called "QE2" - Bernanke's latest round of Quantitative Easing. It has already begun - in fact, began in 2009, but apparently there were marketing problems that delayed the publication of it. According to Mr. Bernanke, somewhere in the neighborhood of $600 billion dollars will be henceforth printed and used to buy bonds. What bonds? Well, you know, whatever bonds they feel like buying. Through 2Q2011. Or longer. Depending. My friends at ZeroHedge.com have taken to calling it "QEXXXXX", since it seems endless.
According to Meredith Whitney, part of the program - again, begun in 2009 - equates to state bail-outs. Build America Bonds from California, Illinois, and Nevada are being underwritten by the Fed. If you buy a Califonia bond (it's debt), Uncle Sam underwrote 20% of the interest payment in 2009, and underwrites 30% of the interest this year. In Illinois, 30%. In Nevada, 40%.
So, now, Ben prints money so Cally can print money, only Ben will print 20-40% of the interest money on top of the Cally money just to make sure you get some of those wet-ink bills in your pocket if you're lucky enough to own a piece of the debt pie. Does this sound like a financial circle jerk?
It is, and I wouldn't even go into it, except that, being the circle jerk that it is, it undermines faith in the valuation of the dollar. Remember, we're on the hook for more money now than at ANY time in the history of America. COMBINED. Even with inflation adjustments. We're spending and inflating our way to the bottom, and the only reason we haven't hit it yet is because every other currency is in the same race. So, what do you, the prudent investor, do while all this crap is going on?
You invest in something else. Something... concrete. You could put your hands on it, if you wanted to.
Like oil. Or wheat. Or soy. Or corn.
Unfortunately, the whole world is full of people like you, watching the debasement, looking for something "solid" to invest in, something people need, and will continue to need...
And this is how, according to Drovers.com, corn, milk and dairy, meat, coffee, and cocoa are being driven by lots of interested buyers.
According to CNBC's Brian Shactman (10/25/10), eggs are up 11%, meat up 6% year over year. Apparently, due to competition issues, retailers have been absorbing most of this increase. Since mid 2009.
How much longer do you think they'll continue to do that? Remember also, that corn and soy are far more prevalent in our food supply - and FUEL supply - than you would immediately think. Got mayo? Main ingredient: soybean oil. Got bread? Made with soy milk. Got bread crumbs? Progresso: partially hydrogenated soybean oil.
Beer drinker? Check for corn. Yup, corn. Most lagers are now brewed with some combination of wheat and corn. Don't forget corn syrup: depending on how much packaged crap you eat, you'll find it in a LOT of places. Just like I found soy milk and high fructose corn syrup in my "all natural" whole wheat bread.
Okay, I've made my case; feel free to check my sources, and any others that pop up - it's the beauty of the internet in our modern world. Soooo...
What to do?
There are two things that inflation should always drive you to do:
1. Spend more now. Not as in, cheap plastic crap; as in staples. See above. Think about 3 months' worth of rice, flour, corn meal. Ever use honey as a sweetener? Get some. Get a lot. Turns out, we're running low on honeybees, too. Hell, think about 6 months' worth. Get some air- and water-tight containers. Store that stuff, and if the prices don't shoot through the roof, worst case scenario is you eat it all. If they DO go through the roof, your dollars then won't be worth near what they're worth now.
2. Get your money out of the banks. Do I need to remind you that 143 banks have failed this year? That the FDIC has been drawing on credit lines from the Fed to meet its obligations as bank after bank has failed? At this point, are you really earning any interest anyway? Do you want to have to wait for 6 months for your insured deposit to be returned to you if your bank should fail? Prepare for the worst (to be fair to the FDIC, this has NOT happened. Yet.).
And, finally - I say this as the smell of fresh whole wheat bread wafts from my oven - it's time to get "back to the kitchen". I can say two things about my ability as a baker: First, I'm not very good at it; my first two loaves of bread could have easily been used as wheel chocks for my truck. Second, I know, to the gnat's behind, exactly what's IN that bread, and I'm determined to get better at making it.
I'm happy to watch out for you, and warn you, whenever I can. But this is one of many situations where you can take the wheel, and drive yourselves around the obstacles I'm pointing out. Be prepared. Be smart. I'll keep you posted.
Brutal Truth
Friday, November 5, 2010
This Might Be Important... THIRSTY??
Hat Tip to Beth, and Maude Barlow. Beth because she's brilliant, and points me in the right direction on things I should know, and Maude, because she's been following this particularly important topic for years. Try Ms. Barlow's book, Blue Gold, dealing with the privatization and commoditization of water around the globe. If this doesn't scare you, you're dead.
A dear friend and mentor pointed out to me a few years ago her theory: the next "world conflict" would be about water. I would have laughed, but she already had a history of being right about a scary amount of topics. I studied. I researched...
And figured she was probably right, but maybe about a decade ahead of her time. Not unusual with really smart people; they see the trends while the rest of us grope around in the dark. I kept up with the latest and greatest, and didn't worry overmuch about it...
Until Beth found this interview on Alternet.org. And, yes, it's about WATER. Plain old drinking water. That stuff out of your tap, or your Dasani bottle...
And we're running out of it, at a dangerous pace. Like, next 2-3 years kind of pace. I have a lot of choices here, so I'm gonna start with what you should know, no matter what you are told by anybody else:
You - you personally - need to drink 1/2 ounce of water for every pound of body weight that you weigh. Every Day. No fail; this is what will keep you hydrated. You can up it a bit if you want to lose weight, but the hard and fast rule is 1/2 ounce per pound of body weight. DO NOT let anyone tell you otherwise. Lately I've seen several articles published - by fairly reputable, or at least widely-read publications - saying you don't need all that.
They LIE, to paraphrase Joe Wilson. They lie, and they're wrong. Go ahead, Google it. If it doesn't scare you, you're not listening yet. Pay attention. I'm gonna leave all the "black helicopter/conspiracy" crap out of it; but think how useful it would be to get people used to drinking less of what you KNOW DAMN WELL we're running out of? Okay, here's what I know:
California is planning no less than THIRTY desalination plants for the state - right NOW; that would be the "shovel-ready" type of planning. They know they're on the cusp of running short of water for basic life-support.
Michigan, in an ever-deeper drilling effort to reach the Olagalla aquifer (one of the biggest in the northern hemisphere, now vastly depleted), has started pulling up Lake water... as in Lake Michigan. As in, they're now drinking Lake Michigan, and the Olagalla is depleted near the empty point. And Michigan, from a population standpoint, is declining.
Wanna know if we're "over-drilling" for water? Google "sink holes". Water is what holds up the crust of the earth, and keeps us from falling down into it - water. Everywhere we've depleted, in the name of expanding population (see Mexico, Germany, etc.), there are sink-holes. BIG ones.
The Pentagon has assembled a brain trust to study the future of water; their results are titled "Global Water Futures", and involve such notables as Sandia Labs, Lockheed Martin, Coca Cola, Proctor and Gamble, and the Center for International Studies. These guys KNOW we're gonna get thirsty.
What's GE doing about it? Dow Chemical? They've focused a boat-ton of money and time on recovering and cleaning used water. These folks don't invest unless there's a very good - read, profitable - reason.
Last point: remember T. Boone Pickens? Made a fortune in natural gas, right? For the last 15 years, he's been buying water rights, anywhere he can get 'em. Worth a thought - this is a rich guy who follows his gut, and it's been right for a couple generations now. When this guy buys stuff, I research.
So should you.
Remember the "tap water" campaign? Tap water is okay to drink! Really! It's safe! You don't know what those bottlers are doing!
Try salmonella. Try cholera. Try recent outbreaks of both diseases in major cities (google Glendale, Arizona, for a recent rash). Try living in Chandler, Arizona, where the water literally comes out of the tap in chunks. Bottled water is WAY okay compared to that crap. Floaties in my water? Thanks, but no.
Okay, two "takeaways" for you. If you get nothing else out of this blog, realize that if you live in the southwest, or in southern Cally, you NEED TO MOVE. Sorry, that's all there is to it. Move out. Get out, while you're still hydrated. Do it soon. Hell, it's not like your home value's gonna come back, is it?? Pack. Go.
If you want to survive this crisis, you have to learn to capture and re-use water. In your home. Period. Google cisterns, water buffaloes, bleaching and boiling. FIND WATER, and keep it. The southwest and other desert-type areas are NOT fit for human habitation - that's why only the Mob would invest in the first place!
If you want to make money, invest in public utilities that actually OWN the water rights they utilize. This is important. Further down that road, if you're gonna homestead, buy a plot that INCLUDES water rights. They're going to be fought over - sooner than you think. If you're gonna break away from a city, and go it on your own (honestly, not a bad idea overall), get the DAMN WATER RIGHTS on your deed. I can't stress this enough.
What happens when you turn on the tap and nothing comes out? Where I live, power outages don't even make the local newspaper; no electricity, no water pump, no water. God love buckets and cisterns. Are you ready?
Brutal Truth
A dear friend and mentor pointed out to me a few years ago her theory: the next "world conflict" would be about water. I would have laughed, but she already had a history of being right about a scary amount of topics. I studied. I researched...
And figured she was probably right, but maybe about a decade ahead of her time. Not unusual with really smart people; they see the trends while the rest of us grope around in the dark. I kept up with the latest and greatest, and didn't worry overmuch about it...
Until Beth found this interview on Alternet.org. And, yes, it's about WATER. Plain old drinking water. That stuff out of your tap, or your Dasani bottle...
And we're running out of it, at a dangerous pace. Like, next 2-3 years kind of pace. I have a lot of choices here, so I'm gonna start with what you should know, no matter what you are told by anybody else:
You - you personally - need to drink 1/2 ounce of water for every pound of body weight that you weigh. Every Day. No fail; this is what will keep you hydrated. You can up it a bit if you want to lose weight, but the hard and fast rule is 1/2 ounce per pound of body weight. DO NOT let anyone tell you otherwise. Lately I've seen several articles published - by fairly reputable, or at least widely-read publications - saying you don't need all that.
They LIE, to paraphrase Joe Wilson. They lie, and they're wrong. Go ahead, Google it. If it doesn't scare you, you're not listening yet. Pay attention. I'm gonna leave all the "black helicopter/conspiracy" crap out of it; but think how useful it would be to get people used to drinking less of what you KNOW DAMN WELL we're running out of? Okay, here's what I know:
California is planning no less than THIRTY desalination plants for the state - right NOW; that would be the "shovel-ready" type of planning. They know they're on the cusp of running short of water for basic life-support.
Michigan, in an ever-deeper drilling effort to reach the Olagalla aquifer (one of the biggest in the northern hemisphere, now vastly depleted), has started pulling up Lake water... as in Lake Michigan. As in, they're now drinking Lake Michigan, and the Olagalla is depleted near the empty point. And Michigan, from a population standpoint, is declining.
Wanna know if we're "over-drilling" for water? Google "sink holes". Water is what holds up the crust of the earth, and keeps us from falling down into it - water. Everywhere we've depleted, in the name of expanding population (see Mexico, Germany, etc.), there are sink-holes. BIG ones.
The Pentagon has assembled a brain trust to study the future of water; their results are titled "Global Water Futures", and involve such notables as Sandia Labs, Lockheed Martin, Coca Cola, Proctor and Gamble, and the Center for International Studies. These guys KNOW we're gonna get thirsty.
What's GE doing about it? Dow Chemical? They've focused a boat-ton of money and time on recovering and cleaning used water. These folks don't invest unless there's a very good - read, profitable - reason.
Last point: remember T. Boone Pickens? Made a fortune in natural gas, right? For the last 15 years, he's been buying water rights, anywhere he can get 'em. Worth a thought - this is a rich guy who follows his gut, and it's been right for a couple generations now. When this guy buys stuff, I research.
So should you.
Remember the "tap water" campaign? Tap water is okay to drink! Really! It's safe! You don't know what those bottlers are doing!
Try salmonella. Try cholera. Try recent outbreaks of both diseases in major cities (google Glendale, Arizona, for a recent rash). Try living in Chandler, Arizona, where the water literally comes out of the tap in chunks. Bottled water is WAY okay compared to that crap. Floaties in my water? Thanks, but no.
Okay, two "takeaways" for you. If you get nothing else out of this blog, realize that if you live in the southwest, or in southern Cally, you NEED TO MOVE. Sorry, that's all there is to it. Move out. Get out, while you're still hydrated. Do it soon. Hell, it's not like your home value's gonna come back, is it?? Pack. Go.
If you want to survive this crisis, you have to learn to capture and re-use water. In your home. Period. Google cisterns, water buffaloes, bleaching and boiling. FIND WATER, and keep it. The southwest and other desert-type areas are NOT fit for human habitation - that's why only the Mob would invest in the first place!
If you want to make money, invest in public utilities that actually OWN the water rights they utilize. This is important. Further down that road, if you're gonna homestead, buy a plot that INCLUDES water rights. They're going to be fought over - sooner than you think. If you're gonna break away from a city, and go it on your own (honestly, not a bad idea overall), get the DAMN WATER RIGHTS on your deed. I can't stress this enough.
What happens when you turn on the tap and nothing comes out? Where I live, power outages don't even make the local newspaper; no electricity, no water pump, no water. God love buckets and cisterns. Are you ready?
Brutal Truth
Friday, October 29, 2010
Take Your Austerity Measures And...
okay, you can guess the rest of that sentence. The whole "austerity", "budget cuts", "runaway spending" thing has gotten itself under my skin, like a sliver you can't see, but feel every time you touch something.
According to Steve Rattner, our former "Car Czar" (who had to step down in a hurry due to an investigations about his hedge fund and "pay to play" with the New York Pension system... hmmm...), "it's going over all right in the UK..."
Jim Rogers, of Rogers Holdings agrees - it's for the good of the country, ya know.
Pierre LaPointe, global strategist for Brockhouse Cooper, agrees that tax hikes, expenditure cuts, et. al., are necessary to arrest a growing deficit problem... specifically, Social Security "entitlement" programs.
Here's my sticking point with "entitlement programs"... at least Social Security and Medicare. Since the age of 15 - quite a while ago - I've been paying into both programs. Involuntarily. Matched by my employer. Okay, so have an awful lot of other people. Why did we put up with it?
Because we were pre-paying for our old age, that's why. There's not one person who has worked during their adult life who HAS NOT paid into Social Security or Medicare. There have been "contributions". Period. End of sentence. No, none of us in my generation (X) thought we'd get out of it anywhere near what we put in, but we hoped we'd get some supplemental income to make our "useless" years (let's face it, that's what you are when you stop contributing, according to our government) a little less painful.
So, am I entitled? Well, I've paid in... faithfully, whether I wanted to or not. The payoff? Pennies on the dollar, especially when you factor in inflation. What about the Baby Boomers? They made a bunch of money, and now they want what was promised when they paid in during their entire careers.
So, how does that turn into a "Sense of Entitlement"? That's plain old ROI (Return On Investment). I helped the previous generation, now you can help me out. Period. So, how does this become an "entitlement program"? It isn't, plain and simple. This is payback for all the folks that got help from the working population during our most productive years. Fuck you.
Okay, that horse is now dead. Moving on...
This is why "austerity" programs get me even more so... here's what happened, in my denim-blue brain:
A bunch of financial geniuses came up with yet another way to fuck the middle class - faulty loans on houses that went up in value like skyrockets, with the cooperation of surrounding regulatory agencies - our government, btw - and transferred a bunch of wealth way up the ladder. Too bad it was a ponzi scheme, and fell apart. Think 2008.
GW Bush, in a last swipe of a horrible presidency, looted this generation, and at least two others, of their taxpayer dollars, and got approval for TARP.
He left us on the hook for what would turn out to be 12.3 TRILLION dollars in direct and indirect bailouts... wait for it...
Of the same fucks that had raped us in the first place.
Bonuses got paid... that same YEAR... to the gambling crack-heads that got us into this mess. And AGAIN, in 2009...
And THIS year, the bonuses look to blow the lid off the record books.
But I have to adopt "austerity" to pay down the deficits?
I have a plan: it's called, "I'll Adopt Austerity Measures When..." Here's the first of the list; feel free to add your own:
What else have we got to lose?
Brutal Truth
According to Steve Rattner, our former "Car Czar" (who had to step down in a hurry due to an investigations about his hedge fund and "pay to play" with the New York Pension system... hmmm...), "it's going over all right in the UK..."
Jim Rogers, of Rogers Holdings agrees - it's for the good of the country, ya know.
Pierre LaPointe, global strategist for Brockhouse Cooper, agrees that tax hikes, expenditure cuts, et. al., are necessary to arrest a growing deficit problem... specifically, Social Security "entitlement" programs.
Here's my sticking point with "entitlement programs"... at least Social Security and Medicare. Since the age of 15 - quite a while ago - I've been paying into both programs. Involuntarily. Matched by my employer. Okay, so have an awful lot of other people. Why did we put up with it?
Because we were pre-paying for our old age, that's why. There's not one person who has worked during their adult life who HAS NOT paid into Social Security or Medicare. There have been "contributions". Period. End of sentence. No, none of us in my generation (X) thought we'd get out of it anywhere near what we put in, but we hoped we'd get some supplemental income to make our "useless" years (let's face it, that's what you are when you stop contributing, according to our government) a little less painful.
So, am I entitled? Well, I've paid in... faithfully, whether I wanted to or not. The payoff? Pennies on the dollar, especially when you factor in inflation. What about the Baby Boomers? They made a bunch of money, and now they want what was promised when they paid in during their entire careers.
So, how does that turn into a "Sense of Entitlement"? That's plain old ROI (Return On Investment). I helped the previous generation, now you can help me out. Period. So, how does this become an "entitlement program"? It isn't, plain and simple. This is payback for all the folks that got help from the working population during our most productive years. Fuck you.
Okay, that horse is now dead. Moving on...
This is why "austerity" programs get me even more so... here's what happened, in my denim-blue brain:
A bunch of financial geniuses came up with yet another way to fuck the middle class - faulty loans on houses that went up in value like skyrockets, with the cooperation of surrounding regulatory agencies - our government, btw - and transferred a bunch of wealth way up the ladder. Too bad it was a ponzi scheme, and fell apart. Think 2008.
GW Bush, in a last swipe of a horrible presidency, looted this generation, and at least two others, of their taxpayer dollars, and got approval for TARP.
He left us on the hook for what would turn out to be 12.3 TRILLION dollars in direct and indirect bailouts... wait for it...
Of the same fucks that had raped us in the first place.
Bonuses got paid... that same YEAR... to the gambling crack-heads that got us into this mess. And AGAIN, in 2009...
And THIS year, the bonuses look to blow the lid off the record books.
But I have to adopt "austerity" to pay down the deficits?
I have a plan: it's called, "I'll Adopt Austerity Measures When..." Here's the first of the list; feel free to add your own:
- We see "claw-backs" of the bonuses paid out in '08, '09, and stop this crap about records being set in '10.
- We see Jamie Dimon, Ken Lewis, and Lloyd Blankfein do PERP WALKS.
- We see foreclosure moratoria that MEAN something, and last long enough to save families that have done the right things STAY in their homes.
- We see job creation here in the USA, and all incentives to move labor overseas eliminated.
- We see that LESS THAN 41% of all GDP income go to the "Financial Services" sector of the economy.
- We have less than 5% unemployment.
- We pay our teachers to lead our children into the next century of innovation, not just produce a bunch of "good test-takers" that can't do a damn thing if it isn't World of Warcraft. I want "my" teachers focused on opening and filling kids' heads with good knowledge, not sweating over whether the gas and water will be turned off today.
- I see President Obama have a ceremony on the White House lawn, where he burns his "owned by wall street" collar in effigy.
- We bring home our troops from Iraq and Afghanistan - not to settle civil unrest here, but to actually come home to their families - preferably in one, sane piece.
What else have we got to lose?
Brutal Truth
Wednesday, October 27, 2010
An Open Letter to Hippy Culture...
Dear Hippies, Yippies, and other outgrowth groups and subcultures of the Beat Movement,
I'm here on behalf of the shreds of Middle Class America, to apologize.
You were into Free Love: 40 years later, we still haven't legalized gay marriage, and we're still fighting Don't Ask Don't Tell...you don't even want to KNOW how screwed up that is.
You were against Useless War: I guess Viet Nam wasn't enough for us. Countless American and International soldiers, civilians, and by-standers are so much dust for no discernible reason. We're now carrying on 2 wars, with intercessions into countries that couldn't want us less. Iraq, Afghanistan, Pakistan, and by next week I'm sure: Nomore-istan, Notagain-istan, Pleasestop-istan.
You were "Back To the Land": We've only begun to scratch the surface of what has happened to our food here. Big Agra, hormones, antibiotics, miserable conditions and "manu-farming"... Monsanto-modified foods, soy that isn't quite soy, chemicals no Liberal Arts Major would be able to pronounce, and that's just the "low fat" stuff. The good news: Organic is growing. The bad news: just what makes it "Organic" is now yet another marketing ploy. We're being poisoned by our own food supply.
You were against "The Man": I'm going to define that as corporate interests. We've now witnessed the greatest "transfer of wealth" (read: rip-off of the century) ever known to man. We are, politely put, screwed out of every vestige of the "American Dream" we ever tried to believe in. The top 1% of earners now makes what the ENTIRE bottom 20% makes in a year. Our current unemployment rate rivals that of the Great Depression; far too many 50- and 60-somethings are just waking up to the idea of NEVER being able to get a job again. As in, in life. Young people and people of color lead the unemployment statistics, with rates as high as 27%. The jobs are all in China, Mexico, India.
You didn't trust Government: We did. And they got right into bed with the Corporations, and gave birth to Tim Geithner. And then, they screwed us some more. There is no government; there is, at this late date, only Goldman Sachs.
You were into Mind Altering Drugs: Unfortunately, now, so is Big Pharma. It is their sole desire to have each and every one of us medicated for something, real or imagined. It's the ultimate market saturation technique, and honestly, with the state of the food supply, we'll need a lot of what they're pushing. This ain't Timothy Leary and a little blotter full of fun.
You were right to be outraged; you did your best to change the world, and while it didn't happen the way you wanted it to, you made an indelible mark on our culture. In the end, though, you got pressured, you got tired, you got pregnant and married, and you were forced to "buy in".
I'm sorry. For all of us. Americans owe our Hippies an apology, for turning a blind eye, for scorning and demeaning the only ones who saw the writing on the wall. You were right. Stoned, but right; that should count for something, anyway.
Brutal Truth
I'm here on behalf of the shreds of Middle Class America, to apologize.
You were into Free Love: 40 years later, we still haven't legalized gay marriage, and we're still fighting Don't Ask Don't Tell...you don't even want to KNOW how screwed up that is.
You were against Useless War: I guess Viet Nam wasn't enough for us. Countless American and International soldiers, civilians, and by-standers are so much dust for no discernible reason. We're now carrying on 2 wars, with intercessions into countries that couldn't want us less. Iraq, Afghanistan, Pakistan, and by next week I'm sure: Nomore-istan, Notagain-istan, Pleasestop-istan.
You were "Back To the Land": We've only begun to scratch the surface of what has happened to our food here. Big Agra, hormones, antibiotics, miserable conditions and "manu-farming"... Monsanto-modified foods, soy that isn't quite soy, chemicals no Liberal Arts Major would be able to pronounce, and that's just the "low fat" stuff. The good news: Organic is growing. The bad news: just what makes it "Organic" is now yet another marketing ploy. We're being poisoned by our own food supply.
You were against "The Man": I'm going to define that as corporate interests. We've now witnessed the greatest "transfer of wealth" (read: rip-off of the century) ever known to man. We are, politely put, screwed out of every vestige of the "American Dream" we ever tried to believe in. The top 1% of earners now makes what the ENTIRE bottom 20% makes in a year. Our current unemployment rate rivals that of the Great Depression; far too many 50- and 60-somethings are just waking up to the idea of NEVER being able to get a job again. As in, in life. Young people and people of color lead the unemployment statistics, with rates as high as 27%. The jobs are all in China, Mexico, India.
You didn't trust Government: We did. And they got right into bed with the Corporations, and gave birth to Tim Geithner. And then, they screwed us some more. There is no government; there is, at this late date, only Goldman Sachs.
You were into Mind Altering Drugs: Unfortunately, now, so is Big Pharma. It is their sole desire to have each and every one of us medicated for something, real or imagined. It's the ultimate market saturation technique, and honestly, with the state of the food supply, we'll need a lot of what they're pushing. This ain't Timothy Leary and a little blotter full of fun.
You were right to be outraged; you did your best to change the world, and while it didn't happen the way you wanted it to, you made an indelible mark on our culture. In the end, though, you got pressured, you got tired, you got pregnant and married, and you were forced to "buy in".
I'm sorry. For all of us. Americans owe our Hippies an apology, for turning a blind eye, for scorning and demeaning the only ones who saw the writing on the wall. You were right. Stoned, but right; that should count for something, anyway.
Brutal Truth
Sunday, October 24, 2010
Your Homework Assignment This Week...
Okay, so you're hopefully NOT facing foreclosure... I hope you aren't, although this entry should help you if you are:
I've been thinking, and I think it's time, given the recent discoveries and court cases involving mortgage fraud (and I do mean fraud, not "mishandled paperwork"), for each and every homeowner to become the captain of his or her own fate.
I got thinking about all the crap coming down the pike, and part of what I'm gleaning from the blogosphere is anecdotal evidence that several lenders are literally racing to re-finance people to clean up their dirty paper trails. How cool, right? You're paying on time, still working, doing all the right things, and all of a sudden you have your lender's full attention? Reeeeeaaaallllyyyy??
Thing is, when they issue a new loan on your property, the most recent paperwork supercedes all prior paperwork. They do the new one all neat and tidy, and all of a sudden your note isn't part of the mess they've got on their hands, that may cost them a boat-ton of money.
I think it just became a homeowner's market, folks. Here's your assignment:
Dig out your purchase paperwork. Find out your plot number, loan number, all that good relevant stuff. Once you've got it in hand, get online, and go to your county recorder's website. We're looking, in particular, for not just the assignment of the note, but the assignment of title. Remember in another article I mentioned "splitting the baby"? Quick review: the mortgage holder MUST also have the Deed of Trust in order to enforce foreclosure proceedings. Without it, they're f*cked, and what I'm hearing out there in Internet-land is that the "baby" has been split, diced, sliced, and tranched into oblivion.
Go into the county recorder's website; hell, if they're not online, take half a day and go to the office; pay the fees, and get a title search done on the property you own. Check all the signatures on the certified copies; chances are you will find MERS as the recording agent. If you do, this is PAYDIRT, folks. There are no less than FOUR court cases recorded in different states as of this writing denying MERS any rights as a title and/or note assignee.
Next, you want to check all the notaries, dates, and lender's representatives. You may very well find duplications. That is, simply put, a GOTCHA of the highest order: it spells FRAUD, and you just bought yourself a whole lot of bargaining power with your lender. Don't forget to check dates on Lis Pendens filings; they cloud title, and may have been filed BEFORE your note was filed - another no-no.
Note for the rulebooks: I am NOT a lawyer, and this ain't legal advice.
Okay, having said that, if your certified copies don't make sense to you, and/or you spot at least one of the things I've noted, talk to a legal eagle or a paralegal - just make sure you're ready, because the next thing you're gonna do is pick up the phone...
...And call your lender. I don't care if you're 3 months behind, or if you pay on the dot without fail. If your credit score is 300 or 800 has now become immaterial. It's negotiating time, and you want to come at them from a position of KNOWING that they've made legal errors that could cost them BIG.
So, before you call, make yourself a list of demands. Lower interest rate? Haircut on the value if you're underwater? 90 day deferment of payments so you can catch up a bit? And of course, you'll be paying no closing costs, no early payment penalties, and they can bring the paperwork to YOU for signature. How can you do all this? Simple: "Hi, there, Mr. or Mrs. Lender, this is So and So with Loan # X. I've got some certified copies of my recorded deeds that I've had my lawyer review, and apparently we've got a problem..."
The first cubicle-bot will not be able to help you; take it up the chain, until you can ask the person on the other end of the phone, "are you the decision-maker?" When you get to the one who says, "yes", the game is on, and it's all YOURS to lose.
The most likely scenario is that your loan is assigned to "blank"... this does NOT fly in a court of law. Nor does it give your original lender any power to collect from you, if what I'm reading is correct. Hmmm...
Be polite; you'll feel better when it's over. Be patient, but only to a degree.
My few readers, you have just been granted the keys to the kingdom: you can negotiate your way out of an "underwater" situation, a foreclosure situation, a financial cramp that won't go away.
The seeds of revolution - with nary a shot fired - are lying dormant in county recorders' offices all across the country.
I suggest you grab the keys, and run like hell, before they get too lawyered up to deal with individuals. I'd love to know how you make out; comments are always welcome at any rate.
And, rock ON.
Brutal Truth
I've been thinking, and I think it's time, given the recent discoveries and court cases involving mortgage fraud (and I do mean fraud, not "mishandled paperwork"), for each and every homeowner to become the captain of his or her own fate.
I got thinking about all the crap coming down the pike, and part of what I'm gleaning from the blogosphere is anecdotal evidence that several lenders are literally racing to re-finance people to clean up their dirty paper trails. How cool, right? You're paying on time, still working, doing all the right things, and all of a sudden you have your lender's full attention? Reeeeeaaaallllyyyy??
Thing is, when they issue a new loan on your property, the most recent paperwork supercedes all prior paperwork. They do the new one all neat and tidy, and all of a sudden your note isn't part of the mess they've got on their hands, that may cost them a boat-ton of money.
I think it just became a homeowner's market, folks. Here's your assignment:
Dig out your purchase paperwork. Find out your plot number, loan number, all that good relevant stuff. Once you've got it in hand, get online, and go to your county recorder's website. We're looking, in particular, for not just the assignment of the note, but the assignment of title. Remember in another article I mentioned "splitting the baby"? Quick review: the mortgage holder MUST also have the Deed of Trust in order to enforce foreclosure proceedings. Without it, they're f*cked, and what I'm hearing out there in Internet-land is that the "baby" has been split, diced, sliced, and tranched into oblivion.
Go into the county recorder's website; hell, if they're not online, take half a day and go to the office; pay the fees, and get a title search done on the property you own. Check all the signatures on the certified copies; chances are you will find MERS as the recording agent. If you do, this is PAYDIRT, folks. There are no less than FOUR court cases recorded in different states as of this writing denying MERS any rights as a title and/or note assignee.
Next, you want to check all the notaries, dates, and lender's representatives. You may very well find duplications. That is, simply put, a GOTCHA of the highest order: it spells FRAUD, and you just bought yourself a whole lot of bargaining power with your lender. Don't forget to check dates on Lis Pendens filings; they cloud title, and may have been filed BEFORE your note was filed - another no-no.
Note for the rulebooks: I am NOT a lawyer, and this ain't legal advice.
Okay, having said that, if your certified copies don't make sense to you, and/or you spot at least one of the things I've noted, talk to a legal eagle or a paralegal - just make sure you're ready, because the next thing you're gonna do is pick up the phone...
...And call your lender. I don't care if you're 3 months behind, or if you pay on the dot without fail. If your credit score is 300 or 800 has now become immaterial. It's negotiating time, and you want to come at them from a position of KNOWING that they've made legal errors that could cost them BIG.
So, before you call, make yourself a list of demands. Lower interest rate? Haircut on the value if you're underwater? 90 day deferment of payments so you can catch up a bit? And of course, you'll be paying no closing costs, no early payment penalties, and they can bring the paperwork to YOU for signature. How can you do all this? Simple: "Hi, there, Mr. or Mrs. Lender, this is So and So with Loan # X. I've got some certified copies of my recorded deeds that I've had my lawyer review, and apparently we've got a problem..."
The first cubicle-bot will not be able to help you; take it up the chain, until you can ask the person on the other end of the phone, "are you the decision-maker?" When you get to the one who says, "yes", the game is on, and it's all YOURS to lose.
The most likely scenario is that your loan is assigned to "blank"... this does NOT fly in a court of law. Nor does it give your original lender any power to collect from you, if what I'm reading is correct. Hmmm...
Be polite; you'll feel better when it's over. Be patient, but only to a degree.
My few readers, you have just been granted the keys to the kingdom: you can negotiate your way out of an "underwater" situation, a foreclosure situation, a financial cramp that won't go away.
The seeds of revolution - with nary a shot fired - are lying dormant in county recorders' offices all across the country.
I suggest you grab the keys, and run like hell, before they get too lawyered up to deal with individuals. I'd love to know how you make out; comments are always welcome at any rate.
And, rock ON.
Brutal Truth
Thursday, October 21, 2010
About That Whole DADT Thing...
And if you think that our military policies don't effect our overall Economy, picture $2.6 BILLION dollars a WEEK blowing out the door and into the countries of Iraq and Afghanistan.
Just recently, US District Judge Virginia Phillips ruled the Don't Ask, Don't Tell Policy of our military unconstitutional. According to Judge Phillips, the policy violates the constitutionally protected rights of Freedom of Speech, Freedom to Petition, and the right to Due Process. Cool, huh? Especially in an era that has heralded the witch-hunting and dismissal of a large number of Arabic speaking translators and cryptologists at a time when, you know, we could REALLY use some help in that area...
So, in living up to his campaign promise to abolish DADT, President Obama seized this golden opportunity to...
APPEAL AND GET A FREEZE from the 9th Circuit Court of Appeals, effectively bitch-slapping Judge Phillips, and reversing course AFTER the Pentagon had already told recruiters they had to accept openly gay candidates for the armed services.
The list of things that make me go "WTF?" keeps getting longer and longer....
So, according to our President, he still stands by his promise that DADT will be repealed 'on his watch', but, "It has to be done in a way that is orderly, because we are involved in a war right now."
Umm, that would be TWO wars, Sherlock, but whatever. Apparently, repealing this POS piece of legislation can only be done if it's Congress' idea. Does this sound like a sick second date to you yet?
And, honestly, do you think Congress, the new and improved, completely partisan, 75 IQ generation of representatives bought and paid for by the banking cartels and big oil, can spell DADT, and I do mean the initials??
What a cop-out.
Got me thinking: When Roe V Wade was handed down by the Supreme Court, citing violation of the 9th Amendment, a multitude of abortion-restricting laws were nullified.
Then, when Brown V Board of Education was handed down by the Supreme Court, citing violation of the 14th Amendment, a multitude of segregation laws were nullified.
Neither of these cases "began and ended" with the Supremes; I'm simplifying for the reason that it literally "doesn't take an act of Congress" to do the right thing - for our military, for our individual soldiers who choose to serve.
Meanwhile, President Obama wishes upon a star. Take the f-ing case up the ladder to the Supremes, you Log Cabin Republicans, and then we'll see how many "acts of Congress" we need to get this ill-conceived bitch-slap piece of crap legislation off our books.
This would be a great day to email your representative, but they really don't give a shit what any of the rest of us think.
Brutal Truth
Just recently, US District Judge Virginia Phillips ruled the Don't Ask, Don't Tell Policy of our military unconstitutional. According to Judge Phillips, the policy violates the constitutionally protected rights of Freedom of Speech, Freedom to Petition, and the right to Due Process. Cool, huh? Especially in an era that has heralded the witch-hunting and dismissal of a large number of Arabic speaking translators and cryptologists at a time when, you know, we could REALLY use some help in that area...
So, in living up to his campaign promise to abolish DADT, President Obama seized this golden opportunity to...
APPEAL AND GET A FREEZE from the 9th Circuit Court of Appeals, effectively bitch-slapping Judge Phillips, and reversing course AFTER the Pentagon had already told recruiters they had to accept openly gay candidates for the armed services.
The list of things that make me go "WTF?" keeps getting longer and longer....
So, according to our President, he still stands by his promise that DADT will be repealed 'on his watch', but, "It has to be done in a way that is orderly, because we are involved in a war right now."
Umm, that would be TWO wars, Sherlock, but whatever. Apparently, repealing this POS piece of legislation can only be done if it's Congress' idea. Does this sound like a sick second date to you yet?
And, honestly, do you think Congress, the new and improved, completely partisan, 75 IQ generation of representatives bought and paid for by the banking cartels and big oil, can spell DADT, and I do mean the initials??
What a cop-out.
Got me thinking: When Roe V Wade was handed down by the Supreme Court, citing violation of the 9th Amendment, a multitude of abortion-restricting laws were nullified.
Then, when Brown V Board of Education was handed down by the Supreme Court, citing violation of the 14th Amendment, a multitude of segregation laws were nullified.
Neither of these cases "began and ended" with the Supremes; I'm simplifying for the reason that it literally "doesn't take an act of Congress" to do the right thing - for our military, for our individual soldiers who choose to serve.
Meanwhile, President Obama wishes upon a star. Take the f-ing case up the ladder to the Supremes, you Log Cabin Republicans, and then we'll see how many "acts of Congress" we need to get this ill-conceived bitch-slap piece of crap legislation off our books.
This would be a great day to email your representative, but they really don't give a shit what any of the rest of us think.
Brutal Truth
Subscribe to:
Posts (Atom)