Monday, August 25, 2008

SAR #8238

It's not the loss of money that is so troubling;
it is the loss of democracy.

Define 'Lead': The MSM is full of reports that McCain leads the other guy in the polls. Yet, the WaPo has Obama ahead by 6 points (49 - 43) among registered voters, while 'likely voters' prefer Obama by 4 points (49 - 45). Rasmussen polls are Obama by 3%. Even Fox shows it as Obama by 3 points....

Bitch, Bitch Bitch: My son says I'm a pessimist. I told him to go read Ilargi's latest.

Space Warp: Petroleum tea-leaf specialists report (1) OPEC is increasing the supply of crude oil, while (2) the rates for leasing oil tankers to ship the oil are dropping significantly. The explanation is (3) a disturbance in the continuum or (4) the difference between theory and reality or (5) OPEC producers are using more oil at home.

Planning Ahead: The capitalists have done such a fine job with the US economy that Bernanke wants the Fed to begin centrally managing "the entire system" in a series of five-year-plans. It will not be called 'central planning'; the working title is "macroprudential oversight".

Points: Biden stuttered as a child. Michelle doesn't wear panty hose. Republican Chuck Hagel of Nebraska wasn't picked as the Democratic VP. Besides, McCain says Obama has dissed Hillary by not picking her! Why would anyone vote for Obama, who is not even US born!

For Example : The Latin American Organization of Small and Medium Companies reports that the high price of oil has driven at least 100,000 small Mexican companies out of business. It is called demand destruction; leaves more for the rest of us, drives down prices.

Inquiring Minds: Recession or not, it obvious that things are less than good and are headed further south, so what's the difference between a downturn and a recession? Mainly this: a downturn turns back up fairly soon. Recession is a snake that swallows itself.

Out-Sourcing: Election officials are now hiring the makers of electronic voting machines to count the votes, even where their machines are not used. Some localities, short of tax revenues, are investigating the possibility of simply submitting the names of candidates to these companies and having them generate the entire process, including results, thus freeing up the funds that have previously been squandered on actual elections and voting.

Tumbling Exhibition: When Fannie and Freddie cross the finish line into federal bailout, those who bought credit insurance against their default get to collect. The question isn't will Uncle swoop in - or be dragged in more likely - but will those who issued the insurance actually have enough money (north of $2 trillion on a nominal $62 trillion issuance) to pay off any significant part of the claims?

Giant Meets David: Mexico's Cantarell, one of the largest oilfields ever found, is crashing. Production is down 36% from last year. As a whole, Pemex's output is down 10% and exports are down accordingly. Blame it on the speculators.


mitten said...

Wait a minute, wait a minute.John McCain, who did not attain citizenship until after his first birthday and is thus questionably a 'natural born' citizen, is accusing Obama of not being a citizen? That's outrageous.

Wikipedia entry (take with grain of salt, as always with Wikipedia):

tooearly said...

hope you saw this:

kwark said...

". . . but will those who issued the insurance actually have enough money (north of $2 trillion on a nominal $62 trillion issuance) to pay off any significant part of the claims?" I can see it now! Another bail-out to help those poor souls who bet on the bail-out! If this keeps up we'll need to find some fool to bail-out the Government . . . oh, right, that'd be us.

Anonymous said...

The purpose of the bailout is so that credit default swaps expire worthless.

The Tsy (i .e., you, me and other taxpayers) will make Fannie/Freddie debt holders whole so there will be no default.

I'm sure Lehman, JPM, BAC, et al will remember us at holiday time for our genorosity.