Archive for August, 2010
Damn Musicians’ Union
For those of you who missed this year’s Pops on the River, you missed one of the really great guest conductor performances in the history of the event. Our own Laura Herring bid $2500 to conduct the Sousa March. She did so with such zest that the standing ovation exceeded any other applause that evening.
Here’s an abbreviated look to which the YouTube detail states: “Laura Herring bid on and won the chance to conduct. She did so with such enthusiasm. (We had to cut this video short. The musicians’ union prevents us from publicly showing videos of the RPO longer than 2 minutes. The applause Laura Herring received was amazing!)”
So here’s a quick look at Miss Personality, er Miss Enthusiam!
Union rules may have a place……………but to cut this short?
Obama Economy
Posted by Tom in Centrally Managed Economy, Employment, Government Regulation, Statism on August 8, 2010
Interesting video on unemployment growth in the era of Obama big government statism. Note that this dose not include those who have given up looking for work. (Click on the full screen icon for larger view.)
Geithner: Transfer Payments Create Wealth!
Posted by Tom in Centrally Managed Economy, Economics, Taxation on August 5, 2010
Larry Kudlow calls it “The Washington War on Investment.” Taxpayer Tim Geithner said that extending tax cuts for the wealthiness Americans would imperil the fragile economic recovery, would harm growth; this because the wealthy save more of their tax breaks than do others.
So, according to Geithner, savings and investment are bad; and the corollary, transfer payments from the government to the unemployed are good. Let’s take a simple case of the dollar in question, the one that winds up as investment or tax. The dollar of tax goes through the government collection machine and comes out at 80 cents, then it goes to the state in need (most of ‘em) so that it can be distributed to the long term unemployed worker or about to be unemployed teacher (bloated administrative bureaucracies don’t get laid off) who receives about 70 cents. He or she spend that 70 cents at the supermarket producing 70 cents of revenue and a penny of profit. The penny of profit nets a half penny of income for the market, half of which as dividends may get invested by the market’s shareholders. Note that none of that dollar went to reducing the deficit and debt that Hussein and Taxpayer Tim loaded on our children and grandchildren.
Alternatively, the dollar not taxed is either saved as Taxpayer Tim would argue or spent. On the save side, that dollar is invested for an economic return. It may go to stocks, bonds, real estate, start-ups, small businesses, etc. But it is invested in expectation of an economic return. It produces, technological advancement, new business, growth, and yes indeed, taxable income! It goes into expected productive investment at best case 100 cents or worst case 92 cents covering transaction costs. So here for growth we have 92 cents versus one-quarter of one cent!
If the dollar is spent instead of invested by the wealthy American, and this is contrary to Taxpayer Tim’s hypothesis, it produces 100 cents of revenue, that is GDP. So here the comparison is 100 cents versus 70 cents for the tax and transfer case. In either case, Hussein Obama and Taxpayer Tim are wrong. And their position will drive this country into ruin.
Larry Kudlow says it better and I recommend a full read of the article: “The great flaw in the thinking of the Democrats is that they are ignorant of the economic power of saving and investment. Saving is a good thing. Stocks, bonds, bank deposits, money-market funds, commercial paper, venture capital, private equity, real estate partnerships — all that saving is channeled into business investment. And whether that capital goes into new start-ups or small businessesor large firms, it finances the kind of new investment in plants and equipment and software and buildings that ultimately creates jobs and family incomes. And that, in turn, spurs consumption.
“But pulling out just one dollar from the private sector and rechanneling it through the government as a transfer to someone else creates nothing. At best it’s a safety net. At worst it may damage private-business activity and actually reduce employment. Without saving there can be no investment. And without investment there can be no enhanced productivity, which is the ultimate source of long-term prosperity and wealth.”
Would that there were there just some modicum of economic intelligence in Hussein Obama’s administration!
Irresponsibility of Leftist Press-Treason
Posted by Tom in Defense, Military Policy, Press, Terrorism on August 5, 2010
WikiLeaks is anonymous. No identified founders. No manager. No nuthin! Oh, there the is that cute little fop, Julian Asuange who describes himself as being on the WikiLeaks advisory board. He recently released Pentagon files, heretofore secret, on the war in Afghanistan. As a result according to Defense Secretary Gates, the lives of our troops and our Afghan partners are in danger.
This is not a case of “loose lips sink ships;” this an intentional broadcast of secret information while the country is at war. The military traitor should get military justice.
But the rub is the self important Julian Assnage and his co-conspirators in the New York Time, the Guardian and Der Spiegel, the so-called responsible press. In the NYT case, it’s printing all the news “fit to print”
As Tony Blankley points out in his “Wiki Espionage” post their conduct is a clear violation of the Espionage Act (Title 18 U.S. Code, Section 794). Opposition to the war cannot justify treason.
“If Mr. Assange had perpetrated this outrage against Russia, inevitably there would be a news report a few month later announcing the death of Mr. Assange and his loved ones (should he have any) because of an unlikely street accident. Thank goodness we live in nation of laws — not of executive actions.
“But the rule of law will not last long if the law is not used to avenge grievous wrongs committed against our nation.
“It is the high duty of our government not to let Mr. Assange walk free (assuming the evidence in court of his espionage is as convincing as the news accounts suggest). Let the federal prosecutions proceed — wiki, wiki.”
The conceit, self aggrandizement, and above-the-law attitude of the NYT is appalling.
The Past, A Prologue
Posted by Tom in Centrally Managed Economy, Deficit, Democrats, National Debt, Statism on August 3, 2010
My friend Ron Tomsic sent this cartoon from the Chicago Tribune, dated April 20th 1934. Note the plan of action in the lower left hand corner.
Those who forget history are doomed to repeat it!
Deflation, A Self Fulfilling Prophesy?
Posted by Tom in Business, Centrally Managed Economy, Deficit, Fed, Financial Policy, Monetary Policy, National Debt, Nationalized Health Care, Taxation on August 3, 2010
When Bill Gross, the bond guru manager of Pimco Total Return Fund, says “it’s happening,” he brings credibility to the deflation first scenario, that is deflation before inflation. According to yesterday’s WSJ article many fund managers are loading up on US Government bonds and hedging stocks. Others expect the Fed to come to the rescue. The Fed has limited options since it has interest rates near zero. According to another WSJ report these options are “unorthodox!” As the Fed mulls these, it may spook investors and highlight the weakness in the economy. So when the Fed is playing offense in trying to reflate the economy, savvy investors might conclude as Gross did that it’s time to play defense. Typically these “unorthodox” measures mean increasing the money supply by buying bank assets good and bad, bonds and mortgage backed securities. Problem is that there are not too many bullets left in the Fed’s arsenal.
To cap matters off, vis a vis the “self fulfilling prophesy,” today’s WSJ leads the front page with “Fed Mulls Symbolic Shift” that is using cash from maturities to buy additional assets instead of letting its portfolio shrink to a stable economy level. The Fed’s $2.3 Trillion portfolio has nearly tripled in size since 2007!
So, what to do? If prices are going to be lower tomorrow, why buy today? And this, ad infinitum! Couple this with Hussein Obama’s proposed tax increases, the pile on of entitlement deficits from Obamacare, and the great uncertainty posed by the regulatory bureaucracy, and you get a bleak picture.
Hope I’m wrong!
Understand Islam, Fail To At Your Peril
Posted by Tom in Europe, Foreign Policy, Homeland Security, Law, Morality & Religion in the Public Square, Statism, Terrorism on August 2, 2010
I recently received a You Tube video entitled “Three Things About Islam.” It is long but provides good source references at the end. In sum, it makes three points: 1. Islam has not been hijacked. Westerners have been told and assume that it has been hijacked by violent jihadists, how otherwise could a religion be so violent. The Qur’an has both peaceful and jihadist verses often thought contradictory but it provides a rule for resolving apparent conflicts, the last in time governs. Unfortunately, the violent jihadist verses are later in time than the peaceful verces.
2. Sharia Law is a duty for all Muslims. Sharia is the anthesis of separation of church and state, indeed the anthesis of freedom. It combines religion and political aspects into one totalitarian society commanded by the Qur’an. The law is ancient commanding eye for eye justice, stoning, and dismemberment for proscribed offenses. It governs contracts and commerce. The world will not be at peace until all nations are governed by Shria Law. So creeping Shria as in the UK where Shria courts already exist is indeed a danger. At current birth rates Europe will be majority muslim within our children’s lifetimes. So whether through the bed room and creeping Shria or through 911 type jihad, Muslims are installing Shria worldwide.
3. Muslims lie to non-Muslims. The Qur’an sanctions these lies in order to convert infidels and advance Shria Law. This principal is called TAQIYYA. To say one thing to non-Muslims and the exact opposite to Muslims is frequently used in the Arab world today. This is the very means of calling Islam the religion of peace!
Hussein Obama has curried favor in the Arab world bowing to its leaders and apologizing for the United States. He is an advocate of the “religion of peace” view of Islam. He even urged the NASA director to reach out to Muslim countries. Methinks Hussein’s Muslim roots are getting in the way of his job as president!
The YouTube video is long and made for a British audience so I did not embed it in this post. If you are so inclined to further study, the link is here.