OldNavySailor

Microsoft Wins, Yahoo Folds, Google Reigns

Carol Bartz clearly deceived shareholders about accepting ANY offer from Microsoft without a capital outlay as part of the deal (a.k.a. "boatload of cash"). She has a responsibility to the investing public to be truthful and she was just the opposite. Her comment about money upfront was not rhetorical, but a statement of fact that ultimately mislead the investment community to purchase shares/call options of Yahoo.

This deception is grounds for a class action suit against her and the board of directors of Yahoo.

Wall Street Breakfast: Must-Know News

I second my fellow Alpha Mate's request. We used to receive one email with all the articles we were interested in reading/commenting. The new process is too cumbersome and unwieldy.


On Jul 07 10:21 AM axelrod608 wrote:

> PLEASE return to the old format listing SA articles.

How the Internet Is Wreaking Havoc on Media Companies

I disagree with the negative posts concerning the Internet trouncing competition that results in havoc for the American worker. The Internet stimulates competition and does not reduce it. Yes, there is local employment loss, but it's not because of "unfair competition"; it's because of rigid government regulations and taxation policies that muck up the marketplace.

First of all, what is the "Internet"? It is am evolutionary mass marketing electronic platform for consumers, political activists, investors, etc. linking people with producers of goods and services as well as a vast library of historical and contemporary knowledge worldwide. Although it touches many industries, it does not affect all of them. For example, if I need to research a provider of professional services (e.g., doctor, lawyer, etc.), I'm able to do research the creditability of that person because of the World Wide Web. I still receive the service (generally speaking) locally.

Yes, I can purchase many products cheaper online and not avail myself of the local "brick and mortar" store. But I pay shipping and handling charges, which brings the cost closer to what I can buy it for locally. Instead of government maintaining the taxation rates on local business, it should reduce the consumer sales tax rate, thereby spurring competition. But does government do that? No, it doesn't.

Government is the beast that restricts the free market through its socialist programs and failed monetary policies, not the Internet/World Wide Web.

Leave the Internet and the World Wide Web free and unfettered from the clutches of government!

Wall Street Breakfast: Must-Know News

They just don't get it. Not the money lenders, not Congress, not the media.

The Federal Reserve cartel thinks that liquidity is the problem; that reducing borrowing rates of interest for banks and printing more money will induce banks to start lending again. Businesses will be able to finance their operations and consumer credit lines will open up so Mary and Joe can begin purchasing imported goods again. But it still comes down to the average citizen and the reality of their pocket books.

The American people may not be sophisticated when it comes to arcane financial discussion, but they do have a sense of impending strife at the personal level.

They look at their earned income, their monthly bills, their check book and for homeowners, their shrinking home equity lines of credit. They see the deteriorating value of their financial investments and they are reducing their exposure by selling their stocks, bonds, mutual funds, etc. to raise cash. They are not going to spend much beyond their capability to repay because they're beginning to understand how the debt economy works and their individual role in this ruse of a monetary shell game.

Layoffs and pay reductions are accelerating, which means people have less disposable income. Local, state and the federal government income and property tax revenues are shrinking as well.

This economic debacle will not end by printing more money. It will not end with taxpayer stimulus packages. It will not end with government forcing the lowering of mortgage interest. It will not end with selling more debt to other countries. It will not end by making more credit available to citizens.

It will only turnaround when government understands that a consumer economy works when people have sufficient earned and investment income to participate as capitalists. Washington must stop listening to the creators of debt and start listening to the builders of wealth.

Government must focus on reducing business taxes and burdensome regulation to induce a re-growth of manufacturing here in the U.S. It is imperative that energy be directed towards marketing America as the global center of commerce. Jobs will grow, banks will have an increase in demand deposits which means more money to loan; people will begin spending again and so on and so on.

Again, it’s all about putting people back to work to create wealth, not about the availability of debt.

Wall Street Breakfast: Must-Know News

It's my limited understanding that credit (loans to industry/citizens) will shrink to unsustainable levels for the economy if the Congress doesn't fund the Paulson/Bernanke tag team proposal. Major lenders/investors will go bankrupt and their assets sold off to the private sector. Is this correct so far?

Now, I believe the US treasury will still have the capacity to print inflated fiat dollars, unlike the depression of the '30's which limited the printing due to the gold standard. So inflation will rise, but money will still be available to the rest of the lenders who are not part of the problem. That means regional banks as an example, through their state charters potentially could receive federal treasury loans to offer to industry/citizens.

I am suggesting all is not loss for the world economy due to a credit 'freeze', but only that high profile financial companies will suffer the consequences of their own actions.

I would like to explore this scenario, if only to educated myself as to other options the Congress could consider instead of trusting what the former CEO of Goldman Sachs is saying.