petyaczar

Time to Bury the Rotting Carcasses of Dead U.S. Banks

The politicians are the root cause of the banking crisis.
The change in accounting rules is the root cause of the banking crisis.

At its heart, this is an accounting crisis, that created a financial crisis.

Dump Mark to Market, eliminate FASB 157, reinstate Glass Steagall, and the uptick rule on short sales, and the "Crisis" will disappear, the banks and financial system and credit will recover and they will be just fine.

and it won't cost a dime! to get back to accounting sanity.

Mark to MArket = an idiotic accounting change that requires a willing owner (unwilling seller) to discount performing assets down to the point where an unwilling buyer might suddenly become interested.- and then pretend this is the true value of these assets. This is half xsss backwards.

THIS IS BEYOND STUPID. ITs the kind of 2+2= 1.3 logic that only a D/A politician could dream up.

IMO

10 Reasons Why We Still Haven't Hit Bottom

1)When the tide is going out, it lowers ALL boats that are still afloat.
2)Wait till the tide turns before betting on which boats will rise with the incoming tide.

To Artful Dodger, from another "old cat" who bought his first stock in the late 60's. just in time to gain enough investing experience - already had the hubris - to position myself for the fiasco of the mid 70's.

IMO we are not staring into the abyss of the Great Depression, No, IMO we are staring into the abyss of the GREATER DEPRESSION. and this will be the legacy of the Obamanation = good intentions, no experience, and lack of competence coupled with plenty of hubris.

Leaving Green to the Free Market - Barron's

What is the difference between the Government and the Mafia?

The mafia believes that when they take your money, they have a moral obligation to provide entertainment or some kind of service.

The government believes only that when they take your money, they have a right to more of your money.

Whatever happened to the U.S. Constitution and the Constitutional Republic for which we stand.?

The Bonus Tax: The Redistribution of Both Wealth And Talent

Look, lets call the confiscatory tax on those who make more than Congressmen what it is. REPARATIONS and be done with it.

Lets pass a law that makes ANY politician who fails to deliver on campaign promises, subject to a CLAWBACK, and said politician(s) would have to repay ALL salaries and benefits, and LOSE their office and ALL pensions, benefits, including healthcare AND the right to act as a political lobbyist for 20 years.

These politicians are the root cause of this problem. We must get rid of them replacing them with real Americans from the real world at the next opportunity.

IMO

Carbon Credits: An Economic Scam

Man made gLobal warming is a hoax, and cap and trade is a Madofff like scheme to make money by trading "rights".. This is OK with the Feds because it results in the largets tax increase in history and transfers power from the people -the market - to the Federal government.

I have forest land in Wisconsin.-nothing but trees. It emits zero Co2. The guy down the street emits 2 tons Co2 per second, He must buy a "right" from me, in order to continue to do what he is currently doing.

Net co2 into the atmosphere is unchanged = 2 tons co2per second, I get some cash for selling a "right" -the Trade- and the govt gets a payment in the form of taxes for both my right to make the trade and the others guys right to mitigate the cap.

A FARCE!!!!!!!!!!!!!!!!!!!!

Gold Bulls Should Stay Away from Gold Stocks

In 1970's when Nixon decoupled the U.S. Dollar from Gold. Turing the Dollar into a Political Fiat currency to pay for the Vietnam War.

1971 : 1 Oz of Gold = $35
2009 : 1 OZ of Gold = $900

SOOOOOOO the 2009 dollar is worth only 4%+/- of the 1971 Dollar as measured against the Gold Standard of 1 oz of Au.

This destruction of the U.S. Dollar has occured over my working lifetime.

In the Obamanation, just wait, going forward the U'S' Dollar will become truly worthless and we will wistfully dream of the days when a "dollar was a Dollar" and worth 4 cents when measured in 1971 dollars.

Watch for a "new currency" and a reverse split on old dallars of at least 1:10 and maybe 1:100 One NEW dollar = 10 old dollars, or one hundred old dollars. Watch for old dollars to be "called in" 6 months or so after NEW dollars are issued.

Watch for hyperinlfation. Borrow LONG and fixed. Buy and take possession of HARD assets such as the metals.

The Obamanation will mark the end of U.S. ascendancy and it will turn real ugly before it finally turns any better.

IMO

The Great American Driving Reduction Continues

Economics, Supply and demand, Demand = f(supply/price), enlightened self interest, NO FEDERAL MANDATES required, no obamanation intervention required, just the free market at work.

AMAZING isn't it?

ROFLMAO = why is this such a startling revelation to so many people?

Four Banks to Bank on - Barron's

A sage piece of macroeconomic advice I got from my Harvard Finance Professor, oh so long ago before the U.S. government was running the economy and telling corporations whether hey could own jets, or how their people should be paid, who they must hire, or how they should travel.

"when moving into good times = buy equities, become a partner in good bsinesses, and when moving into bad times, buy hi quality investment grade BONDS,, be a creditor to good businesses, but not their partner"

My old Northwestern Finance Professor also had sage financial advice.
He said, "When it comes to finance and investing there are only 8 considerations- everything else is mousenuts"

1)Ilegal/ethical Is it ok? -what would mom & dad say if they found out ?
2)How much will my profit be how much?
3)When will I get my return (capital + profit) how soon?
4)How safe my return and my money? how certain?
5)In what form will I get it (cash,equity,goods,ser... how?
6)Tax considerations what's the govt's take?
7) Does it sound too good to be true? how credible?
does it pass the "smell test?"
8)Do you really understand the deal? can you explain it to mom & dad?

He also said, "Never entrust your funds to an individual, better to rely on organizations, as individuals may come and go - Madoff - but the organization remains in place and responsible - Vanguard,Fidelity etc.

How true these words were. They ring more true today than ever. AND we didn't need computers to understand or figure out these financial and economic axioms.

IMO, on this basis I wouldn't touch the banks with a 10 foot poll or a 5% depreciated dollar,

The Economic Benefits of Climate Legislation

Coal is burned to create electricity, electricity losses in transmission and distribution can amount to as much as 90% wasted. (not used for productive purpose, lost in line etc)
The electric car is charged up with the residual remaining available 10% of the electricity originally produced.

You need to reduce your elec efficiency numbers by some 90%.

Also I refer you to the 2nd Law of Thermodynamics that states there are NO perfect 100% efficient processes. That is why perpetual motion machines are impossible, Every step in the production chain has its losses, the fewer steps,the fewr losses.

combustion,centralized distribution, then battery charging, then driving the NET cost represents the true efficiency of the system, not the gross numbers of a mere sliver of the system repesented by your numbers.

PS there is no man made global warming. merely luddite lunacy and a con game to come up with new bxllshxt ways to tax us and make money out of fear, uncertainty, and doubt. FUD strikes again.



On Oct 24 08:49 AM Dave Marsh wrote:

> "electric cars in those states at the moment probably result in as
> many greenhouse gases as regular cars because of power plant emissions.
> " This is an incorrect statement, and surprising, coming from an
> entity call "Greentech Media". Electric motors using in EVs have
> a mechanical (thermal) conversion efficiency of greater than 95%,
> vs, combustion engine efficiencies around 25%. This inherent higher
> efficiency means that even powered by 100% fossil fuel power, an
> electric car will result in at least three times less CO2 per car-mile;
> the ratio just gets better and better as the percentage of source
> power from fossil fuel decreases.

Why the Dow Is Headed to 6000

PRoblem is = in the words of Martha and the Vandellas = "There's no where to run to baby, no where to hide"

1)What to do in an environment (global and U.S.) in which the U.S. $$$ will not be worth squat, most all currencies are U.S. Dollar pegged one way or another and so paper money won't be worth squat.

2)Hyperinflation and a "new U.S. Dollar = $100 Old U.S. Dollars, and possession of Gold in all forms and hardmetals once more outlawed.

3)All leverage collapses down to 1:1

4)All municipalities go bnakrupt as RE Taxes fall by 80%

5)No payroll taxes to speak of coming into treasury

6)Social Security and Medicare Bankrupt as we speak.

7)Mass starvation and food riots as the infrastructure falls apart and can no longer support the population = only politicians get to eat.

Other than a store of basic commodities = guns and bullets.
Where do you invest to preserve capital (financially and from the political theives) on Mars?'

Answers would be welcome please. IMO

The Mark-to-Market Myth

Couldn't disagree with you more!

M2MKT is the root cause of the current economic problems/
M2MKT created an accounting changem that caused an accounting balance sheet problem, that turned into a financial problem, resulting in a financial panic and tightening of credit that brought the U.S. economy to its knees.

You do know that MArk to MArket existed prior to and during the Depression of the 1930's.

MArk to Market is beyond stupid. M2Mkt is really mark to a model, call the model = Mark to last sale.

Mark to Market requires a willing owner (unwilling seller) to discount the value of his assets to the point that a disinterested (unwilling potential buyer) person would sit up, take norice and maybe decide to buy at fire sale prices.

How anyone can defend this stupid M2M accounting requirement is beyond me! It is beyond stupid to attempt to defend M2M/

Kill M2Mkt, drive a stake thru its heart, dismember its head and burn the corpus delecti.

How many times do the stupid politicians have to repeat their mistakes? They caused this problem by meddling with the accounting system. The politicians pulled of a Coup deTAT of the capitilist free enterprize system and now the politicians own control of the banks, autos,insurance companies and we are marching down the road to socialism and hyperinflation.

Also get rid of Sarbanes/Oaxley, reinstitute the uptick rule on short sales, increase margin requirements on commodity futures trading to 50% - same as for stocks- and bring back Glass Steagall Act separating commercial and investment banking.

In other words bring back the reforms put in place to get us out of the Great depression of the 1930's BEFORE we face the GREATER DEPRESSION of the 2010's.

IMO your article and assertions are NONSENSE

How the U.S. Banking System Was Madoffed by the FASB

Sarbanes Oaxley begat Mark to Market in response to Enron.
The U.S. Congress begat Enron when they deregulated essential gas and electricity and opened it up to speculators.
The politicians are the handmaidens of FASB 157
The Politicians are the root cause of this accounting crisis (FASB 157) that created a financial panic and the subsequent credit squeeze.

At its core, Mark to Market requires someone who has no interest in selling a performing asset (A willing owner and jence an unwilling seller) to discount said asset to the point at which an unwilling disinterested party (buyer) MIGHT become interested.

THIS IS BEYOND STUPID.

Kill Mark to Market and FASB 157, drive a stake thru its heart, cut off its head,burn the corpus delecti.
The politicians have used Mark to Market to pull off a Coup de Tat and destroy the capitalist free market system.

The politicians are using this "crisis" to expand government power as they bring America into a socialist state.

Never allow politicians to mess with the accounting system, else before you know it 2+2 is redefined as equaling 1.3 - or some such.

Never confuse accounting with reality.

Solve the root cause of this problem and the economy will be restored as the financial system is restored and markets will soar as credit begins to flow when confidence in balance sheets is restored

1)Get rid of Sarbanes Oaxley = Mark to Market
2)Get rid of FASB 157
3)Reinstate Glass Steagall Act
4)Reinstate the uptick rule on short sales
5)Increase margin on commodity futures trading to 50%
6)Make it illegsal for politicians to mess with the accounting system.

IMO

Welcome to Salvation (aka Mark to Myth)

Mark 2 Market should actually be called our for what it is
Mark to Model where the model is based on the last sale
Ergo M2M is really mark to lasat sale.

Mark to Market is beyond Stupid. Its a theoretical construct that requires a willing owner (Unwilling seller) to mark down his assets to the point that a disinterested (unwilling potential buyer) might consider buying the asset.

Show me where - in the real world - An willing owner/unwilling seller is required to mark down assets to the point where an unwilling buyer might consider a purchase of said assets.

Only in Bizarro World. Never confuse accounting with reality.

Dump Mark to Market as they did in the 1930's when they determined Mark to Market contributed greatly to the Great Depression as it sets up a cyclical feedback loop, the worse things get, the greater the mark downs and so the worse things get.

Destroy Sarbanes/Oaxley, get rid of FASB 157.
Reinstate Glass Steagall ACT separating commercial and iinvestment banks
Reinstate the uptick rule on short sales
Up margin requirements on commodities trading to 50%
GET ALL POLITICIANS out of attempting to run U.S. companies.
Make it illegal for politicians to interefere with U.S. copmany operations.

IMO

Time to Bury the Rotting Carcasses of Dead U.S. Banks

InnocentsAbroad, LOL

Nor do monkeys have opposing views.
Don't let Congress know, some of them, like Barney Frank and Pelosi may sense a corollation and earmark funds to study the relationship between lack of opposing thumbs AND lack of opposing views in monkeys.

$1,0000000000000000000...

or so should do for starters.

Give Bernie a Break

Latest News on Bernie Madoff.

Heard that Obama Administration has submitted a plea for a work-release prgoram for Bernie Madoff.

Madoff, acknowledged as the most proficient Ponzi Schemer of all time, will put his ability to manipulate financial statements and numbers to good use for the public good.

Bernis Madoff will become administrator/chief of Obams's Basic Economic Recovery Program (BERP) and as such he will replace Geithner at Treausry. Madoff will also be in charge of the Social Security Administration, Medicare programs, the Congrssional Budget Office, and of course the Nntional Debt.

Obama was purpoted to have said "Finally we have someone who has never cheated on his income taxes, in the Administration. I am confident, that confidence shall be restored as the best confidence man in the world - next to me - is put in charge of financial reporting for this Administration.

Happy Days are Here Again! As our 401k statements and the Government budget office will soon show.

IMO