Seeking Alpha

Dr. John Faessel's  Instablog

Dr. John Faessel
Send Message
Dr. John L. Faessel is a seasoned and respected Wall Street professional with industry-wide recognition for expertise in market strategy and analysis. He is widely recognized for his insights in public companies. For over 20-years Dr. Faessel’s ON THE MARKET reports have been widely distributed... More
  • “Wrath” ― Coming to a City, State and Your Country Soon 0 comments
    Oct 27, 2010 9:50 AM

    10-27-2010

     

    Dr. John L. Faessel

    ON THE MARKET

    Commentary and Insights

    Dr.Faessel@onthemar.com  

     

    “Wrath” ― Coming to a City, State and Your Country Soon

     

    Definition of WRATH – (Merriam-Webster)

    1: strong vengeful anger

    2: retributory punishment for an offense or a crime: divine chastisement

     

    (Dante described vengeance as "love of justice perverted to revenge and spite”)

     

    A Few Items to Chew On:

     

    1.      San Diego City librarian pension: $227k annually plus 401k. * (see below)

               Retired 4 star general pension: $149k.

     

    2.     At 4:30 PST on May 25, 2006 then Mexican President Vicente Fox spoke to the California State Legislature. The Legislature welcomed him by singing the Mexican National anthem in Spanish.

     

    3.      Governor Jerry Brown on His First Stint as Governor: “It’s All a Lie… I Didn’t Have a Plan for California.” In a 1992 interview on CNN, Jerry Brown explained the differences between what a he said to get elected and the realities of what happened when he was in office: "You say you're going to lower taxes, you're going to put people to work, you're gonna improve the schools, you're going to stop crime... (So now) crime is up, schools are worse, taxes are higher." http://www.breitbart.tv/jerry-brown-on-his-first-stint-as-governor-its-all-a-lie-i-didnt-have-a-plan-for-california/

     

    4.     On 4-6-2010 the Los Angeles Times wrote: The state of California's real unfunded pension debt clocks in at more than $500 billion, nearly eight times greater than officially reported.

     

    5.     Yesterday, 10-26-2010, Katie Couric said, it’s great to be traveling America among the “great unwashed”

     

    6.     On 1/4/2007 House Speaker Nancy Pelosi vowed:  “No New Deficit Spending” The National Debt has increased $5 trillion since then. http://www.youtube.com/watch?v=F0CUcnRPSeg&feature=player_embedded

     

    On March 30, 1961 Ronald Reagan said, “Freedom is never more than one generation away from extinction. We didn’t pass it on to our children in the bloodstream. It must be fought for, protected, and handed on for them to do the same, or one day we will spend our sunset years telling our children and our children's children what it was once like in the United States where men were free.”

    ~~~~~~~

     

    I wrote the below in February 2009, now it’s all much, much worse.

     

    * Living in ─ a bankrupt city, a bankrupt state and a bankrupt country.

     

    * I live in La Jolla, California a suburb of San Diego.  San Diego is for all intents and purposes bankrupt; the city is about $3 billion underwater and counting.  The public employees unions run the city, hold it hostage and they've got pensions and benefits that you wouldn't believe. Employees also collect a pension (while still on the payroll) in an account with a guaranteed interest rate of 7.75%. Called “the millionaires club” the unions also just wanted $14 million in pay raises. There's been a big investigation going on about the intractable mess, but the only real solution is bankruptcy.

     

    California is bankrupt too; it's about $42 billion upside down.  Governor Arnold Schwarzenegger got elected some years ago to solve a puny $4 or $5 billion deficit.  Since Arnie arrived in 2003 spending in California is up an incredible 32% in the face of the crisis would you believe?  According to the governor’s weekly radio address, California now faces a $9.5 billion budget shortfall and a projected $41.8 billion budget gap by July of 2010. It's completely nuts.  I can't imagine any company wanting to set up shop here, and if you're already here, I'd be heading out of town ─ASAP!  Taxes are going way up, and they're already the highest in the country.  Turncoat Arnie, is now looking for the big mega $ billion handout from Obama.  The public employees also own the California Legislature who are the goons behind the increase of 32% in spending.  Cutting spending, they say, is out of the question, so it's another all-time mess never to be solved.  Bottom line the US taxpayers/and their children, and children's children, are, and will be paying for the California public employee’ pensions and the crazy spending in perpetuity. The only real solution is bankruptcy.

     

    The government of United States of America is also bankrupt.  When you add up the Medicare/Social Security/Medicaid/existing deficit/gonzo entitlements, plus all the new stimulus/rescue funding, including funding the upside down states ─ etc. etc. etc. the country is inside out, upside down, backwards and ─ bankrupt. Now add national healthcare; good grief. The new baloney is the rescue of the Detroit auto industry.  Taking away from those who, for example, build the prospering competitors cars in the South and giving ‘that’ to the bumbling Detroit automakers (think United Auto Workers [UAW] union) is a disgrace and a opprobrium on a multitude of levels.  What we're doing here in this "Never Allow a Failure" model is the biggest most colossal screw-up of the fantastic and fabulous underpinnings of free market capitalism that built this country.  Saving every failure (you name it) with some loony government give away (Ha!) program is a disgrace and a dishonor to our founding fathers ─ Uncle Sam I am sure is in tears.  Taking this “Saving from Failure” mentality to its logical conclusion you come to an “end of progress;” i.e. NO ─ new technology/service providers /better everything scenario. Once again Lord Woodhouselee’s comment from the late 1700’s become so obvious in its prescient correctness.

     

    From: Lord Woodhouselee, i.e. Alexander Fraser Tytler. Year - about 1790.

     

    • “A democracy is always temporary in nature: it simple cannot exist as a permanent form of government. A democracy will continue to exist up until the voters discover that they can vote themselves generous gifts from the public treasury. From that moment on, the majority will always vote for the candidates who promise the most benefits from the public treasury, with the result that every democracy will finally collapse due to loose fiscal policy, (which is) always followed by a dictatorship.”

     

     

     



    Disclosure: none
Back To Dr. John Faessel's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers
Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.