Archive for October, 2008
I admitted when I thought Palin had lost her debate, but I think McCain won this one. McCain may have started slow, because everyone wants to blame the Republicans when something goes wrong with the economy. You know, the real government body that is able to pass regulations and make laws is Congress. Hasn’t this body been majority Democratic since 2006? Shouldn’t over 2 years be enough time to fix things? Aren’t the big players in Congress that are in charge of our financial situations Democrats?
By the end McCain had proved himself and his position. He doesn’t speak as well as Obama, but Obama couldn’t use his classy rhetoric to win it tonight.
I loved how Obama contradicted himself several times, but one major case was with Iraq and genocide. Obama criticizes McCain for supporting the attacks on Iraq. He said we should have never gone there. Later when asked what we should do with global issues of genocide and cruel leaders that didn’t affect our national security, he said we have a moral responsibility to take on these leaders and prevent another Holocaust. Now if we look back at Hussein, wasn’t he sentenced to death because of genocide? So this case was not one of those that we should have prevented apparently!
McCain is going to prevail. Obama can’t pick a position, and all of the things Biden said last week were not carried over to this debate. Does that mean Obama doesn’t have a clue, or Biden has his own agendas? I think Obama is lost and can’t find the right thing to say now…
Obama also wants to impose tax hikes on small businesses over $250,000. He tells us that is only a small percentage of small businesses, but we know 50% of small businesses are above this line. Let’s put this in perspective: If you have 3 employees who make $50,000, by the time you pay salaries, taxes, insurance (which Obama wants to enforce small business employers to provide better insurance instead of supporting their employee’s individual plans), offie expenses, rent, etc., you will have to make well over $250,000 in revenue. Now I don’t know about you, but 3 employees is a pretty small business, and for Obama to make it out like his tax hikes won’t affect many small businesses, he is wrong!
As I have stated before, the treasury department has shown through several analyses that tax cuts on everyone, including those over $250,000 has resulted in more taxes paid by the top 1% and then top 10%, and the government collected $780 Billion more dollars in tax revenue after our last series of tax cuts. Taxing the rich, as Obama wants to do, is only going to hurt middle America. Do you think someone who makes millions and millions is going to suffer from a $200,000 tax increase? NO!!! But placing tax increases on small businesses over $250,000, which are 50% of all small businesses, will destroy our economy!
I apologize for the format of this post, but this information was sent to me in an email, and I wanted to forward this everyone.
> > Here is a quick look into 3 former Fannie
> > Mae executives who have brought down Wall Street.
> > Franklin Raines was a Chairman and Chief
> > Executive Officer at Fannie Mae. Raines was forced to retire
> > from his position with Fannie Mae when auditing discovered
> > severe irregularities in Fannie Mae’s accounting
> > activities. At the time of his departure The Wall Street
> > Journal noted, ” Raines, who long defended the
> > company’s accounting despite mounting evidence that it
> > wasn’t proper, issued a statement late Tuesday conceding
> > that “mistakes were made” and saying he would
> > assume responsibility as he had earlier promised. News
> > reports indicate the company was under growing pressure from
> > regulators to shake up its management in the wake of
> > findings that the company’s books ran afoul of generally
> > accepted accounting principles for four years.” Fannie
> > Mae had to reduce its surplus by $9 billion.
> > Raines left with a “golden parachute
> > valued at $240 Million in benefits. The Government filed
> > suit against Raines when the depth of the accounting scandal
> > became clear.
> > (
> > http://housingdoom.com/2006/12/18/fannie-charges/ )
> > The Government noted, “The 101 charges
> > reveal how the individuals improperly manipulated earnings
> > to maximize their bonuses, while knowingly neglecting
> > accounting systems and internal controls, misapplying over
> > twenty accounting principles and misleading the regulator
> > and the public. The Notice explains how they submitted six
> > years of misleading and inaccurate accounting statements and
> > inaccurate capital reports that enabled them to grow Fannie
> > Mae in an unsafe and unsound manner.” These charges
> > were made in 2006. The Court ordered Raines to return $50
> > Million Dollars he received in bonuses based on the
> > miss-stated Fannie Mae profits.
> > Tim Howard was the Chief Financial Officer
> > of Fannie Mae. Howard “was a strong internal proponent
> > of using accounting strategies that would ensure a
> > “stable pattern of earnings” at Fannie. In
> > everyday English – he was cooking the books. The Government
> > Investigation determined that, “Chief Financial
> > Officer, Tim Howard, failed to provide adequate oversight to
> > key control and reporting functions within Fannie Mae,”
> > On June 16, 2006, Rep. Rich ard Baker,
> > R-La., asked the Justice Department to investigate his
> > allegations that two former Fannie Mae executives lied to
> > Congress in October 2004 when they denied manipulating the
> > mortgage-finance giant’s income statement to achieve
> > management pay bonuses. Investigations by federal regulators
> > and the company’s board of directors since concluded
> > that management did manipulate 1998 earnings to trigger
> > bonuses. Raines and Howard resigned under pressure in late
> > 2004.
> > Howard’s Golden Parachute was
> > estimated at $20 Million!
> > Jim Johnson is a former executive at
> > Lehman Brothers who was later forced from his position as
> > Fannie Mae CEO. A look at the Office of Federal Housing
> > Enterprise Oversight’s May 2006 report on mismanagement
> > and corruption inside Fannie Mae, and you’ll see some
> > interesting things about Johnson. Investigators found that
> > Fannie Mae had hidden a substantial amount of Johnson’s
> > 1998 compensation from the public, reporting that it was
> > between $6 million and $7 million when it fact it was $21
> > million.” Johnson is currently under investigation for
> > taking illegal loans from Countrywide while serving as CEO
> > of Fannie Mae.
> > Johnson’s Golden Parachute was
> > estimated at $28 Million.
> > WHERE ARE THEY NOW?
> > FRANKLIN RAINES? Raines works for the
> > Obama Campaign as Chief Economic Advisor
> > TIM HOWARD? Howard is also a Chief
> > Economic Advisor to Obama
> > JIM JOHNSON? Johnson hired as a Senior
> > Obama Finance Advisor and was selected to run Obama’s
> > Vice Presidential Search Committee
> > IF OBAMA PLANS ON CLEANING UP THE MESS,
> > HIS ADVISORS HAVE THE EXPERTISE…THEY MADE THE MESS IN THE
> > FIRST PLACE! Would you trust the men who tore Wall Street
> > down to build the New Wall Street ?
As the debate started, I was rooting for Palin. I want to see her succeed, her and McCain to win, and the world to be a better place. I have watched Palin stumble through questions, especially from Katie Couric, so I was hoping for a better performance.
She did better. In fact, she got better as the debate went on. She did look nervous early, and she tried to address questions out of place, but she gradually found a groove. She did the best she could with her experience. She was fighting an extremely difficult battle with a seasoned politician. I say politician because is just that. He doesn’t belong on the Obama ticket. Obama is talking about change, and here is a guy talking about how he has always done it.
I think that if a winner is declared, it would have to be Biden. He was better spoken, addressed the points better, and stayed on task a little better. He had more concrete responses. I hate to even type this, but I think he did a better job.
Does that mean Obama and Biden should win? Absolutely not. Obama screams change, when Biden is nothing but old politics. Obama can’t tell you how is going to feel today, much less a stance on any issue. Any stance we hear from their ticket comes strictly from Biden. Obama is just a front man. The Democrats knew they needed someone that looked nothing like Bush or McCain, and that is what they got in Obama. They couldn’t have put Hillary out there, because she is too similar. Unfortunately, Obama has no substance, so they had to put Mr. Politician, Biden, on the ticket. This is such a game…
The Republicans will win this election. McCain and Palin will convey their beliefs to the American public, and America will understand that their positive livelihood rides on a Republican win.
This proposal was sent to me. I like the concept, although the math is wrong. It would take 85,000,000,000,000 to accomplish this large figure to every person. We could trim the number to say $100,000, take away the people that are living off of the government, they don’t deserve any more assistance, and we may have a number close to the $700 Billion they were originally talking about.
Bottom line, if there is going to be a bail out, it should be focused at putting money in the public’s hands to increase free capitalism, not taking our money and giving it to some rich, stupid bank. That is socialism.
Here is the miscalculated proposal.
I’m against the $85,000,000,000.00 bailout of AIG. Instead, I’m in favor of giving $85,000,000,000 to America in a We Deserve It Dividend.
To make the math simple, let’s assume there are 200,000,000 bonafide U.S. Citizens 18+. Our population is about 301,000,000 +/- counting every man, woman and child. So 200,000,000 might be a fair stab at adults 18 and up.
So divide 200 million adults 18+ into $85 billon that equals $425,000.00. My plan is to give $425,000 to every person 18+ as a We Deserve It Dividend.
Of course, it would NOT be tax free.
So let’s assume a tax rate of 30%. Every individual 18+ has to pay $127,500.00 in taxes. That sends $25,500,000,000 right back to Uncle Sam, but it means that every adult 18+ has $297,500.00 in their pocket; a husband and wife has $595,000.00.
What would you do with $297,500.00 to $595,000.
00 in your family?
Pay off your mortgage – housing crisis solved.
Repay college loans – what a great boost to new grads
Put away money for college – it’ll be there
Save in a bank – create money to loan to entrepreneurs
Buy a new car – create jobs
Invest in the market – capital drives growth
Pay for your parent’s medical insurance – health care improves
Enable Deadbeat Dads to come clean – or else
Remember this is for every adult U S Citizen 18+, including the folks who lost their jobs at Lehman Brothers and every other company that is cutting back. And of course, for those serving in our Armed Forces.
If we’re going to re-distribute wealth let’s really do it…instead of trickling out a puny $1000.00 (“vote buy”) economic incentive that is being proposed by one of our candidates for President.
If we’re going to do an $85 billion bailout, let’s bail out every adult U S Citizen 18+!
As for AIG – liquidate it. Sell off its parts. Let American General go back to being American General. Sell off the real estate. Let the private sector bargain hunters cut it up and clean it up.
Here’s my rationale. We deserve it and AIG doesn’t. Sure it’s a crazy idea that can “never work.
” But can you imagine the Coast-To-Coast Block Party!? How do you spell Economic Boom?
I trust my fellow adult Americans to know how to use the $85 Billion We Deserve It Dividend more than I do the geniuses at AIG or in Washington DC. And remember, The Birk plan only really costs $59.5 billion because $25.5 billion is returned instantly in taxes to Uncle Sam.
Dave Ramsey has offered this common sense fix to the bailout problem our wonderful congress is talking about.
Years of bad decisions and stupid mistakes have created an economic nightmare in this country, but $700 billion in new debt is not the answer. As a tax-paying American citizen, I will not support any congressperson who votes to implement such a policy. Instead, I submit the following three steps:
Common Sense Plan.
A. Insure the subprime bonds/mortgages with an underlying FHA-type insurance. Government-insured and backed loans would have an instant market all over the world, creating immediate and needed liquidity.
B. In order for a company to accept the government-backed insurance, they must do two things:
1. Rewrite any mortgage that is more than three months delinquent to a 6% fixed-rate mortgage.
a. Roll all back payments with no late fees or legal costs into the balance. This brings homeowners current and allows them a chance to keep their homes.
b. Cancel all prepayment penalties to encourage refinancing or the sale of the property to pay off the bad loan. In the event of foreclosure or short sale, the borrower will not be held liable for any deficit balance. FHA does this now, and that encourages mortgage companies to go the extra mile while
working with the borrower—again limiting foreclosures and ruined lives.
2. Cancel ALL golden parachutes of EXISTING and FUTURE CEOs and executive team members as long as the company holds these government-insured bonds/mortgages. This keeps underperforming executives from being paid when they don’t do their jobs.
C. This backstop will cost less than $50 billion—a small fraction of the current proposal.
II. MARK TO MARKET
A. Remove mark to market accounting rules for two years on only subprime Tier III bonds/mortgages. This keeps companies from being forced to artificially mark down bonds/mortgages below the value of the underlying mortgages and real estate.
B. This move creates patience in the market and has an immediate stabilizing effect on failing and ailing banks—and it costs the taxpayer nothing.
III. CAPITAL GAINS TAX
A. Remove the capital gains tax completely. Investors will flood the real estate and stock market in search of tax-free profits, creating tremendous—and immediate—liquidity in the markets. Again, this costs the taxpayer nothing.
B. This move will be seen as a lightning rod politically because many will say it is helping the rich. The truth is the rich will benefit, but it will be their money that stimulates the economy. This will enable all Americans to have more stable jobs and retirement investments that go up instead of down. This is not a time for envy, and it’s not a time for politics. It’s time for all of us, as Americans, to
stand up, speak out, and fix this mess.