Given enough rope

December 29, 2009

… they’ll hang us all.

I know, I know, it’s Faux News, but once in a great while genuine verisimilitude pokes through, validating the “Even a broken clock is right twice a day unless it’s digital” proof.

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Rise of the beancounters, who displaced engineers

December 29, 2009

Steve Keen elaborates.


Retail, a different picture

December 28, 2009

Detroit’s present is the nation’s future?

December 28, 2009

Watch out America, this could be your future in just a few short years if you continue to let the socialists from Wall Street and Washington sell you down the river:

It’s happening now, boys and girls. My only quibble is with the reporters use of the tired old (and obsolete) left-right paradigm which equates left with Democrats… conveniently ignoring collective Republican guilt for their socialist largess (cough, Halliburton, cough).  Steven Crowder, you need to download a new paradigm (e.g. freeman vs. totalitarian). Start with Repulicrat.

Mish expands on this video with some excellent added perceptions.

This article by James Turk, Will Sovereign Debt Defaults Bring the End of Socialism?, adds some fresh perspectives on our road ahead, and contains some killer quotes (a peculiar past-time of mine is collecting pithy bon mots). Let’s start with one from the author:

Even in the United States – long reigning as the bastion of capitalism, free-markets and limited government – 58% of the population derives their income from government at some level.
James Turk

Below are some great additional quotes from that article. I highly recommend you read it, for the valuable nutrients it contains are very healthy for the mind, e.g.:

Socialism is workable only in heaven where it isn’t needed, and in hell where they’ve got it
-Cecil Palmer

The inherent vice of capitalism is the unequal sharing of blessings; the inherent virtue of socialism is the equal sharing of miseries.
-Winston Churchill

Emergencies have always been the pretext on which the safeguards of individual liberty have eroded.
-Friedrich von Hayek

The State is that great fiction by which everyone tries to live at the expense of everyone else.
-economist Frederic Bastiat

The problem with socialism is that you eventually run out of other people’s money.
-Maggie Thatcher

I never thought the day would arrive that I would agree with and post something Maggie Thatcher said. Or Newt Gingrich fer that matter. It is indeed the wierdest of times.

The best thing I read all day was how manufacturing in the US was forced to close up shop and move overseas. The Long Decline of the American Economy by John Kozy

I was involved in ISO standard implementations in three companies. It was obvious to me that none would work, and the first company went bust within three years of acquiring certification, the second company also no longer exists, having had its assets sold off in a bankruptcy proceeding, and the third is currently in the process of being sold. During this last implementation, I asked to be relieved of my work on it because the project was so shoddy, I didn’t want to be associated with it.

Today TQM talk has almost entirely disappeared from popular literature. It has disappeared along with factories and jobs. TQM citations in the business literature began a continuous long-term decline in 1992. There has also been a marked decline in TQM consulting firms. “Commitment to TQM appears to have been only skin deep.”

To ensure that American consumers would buy this junk, a number of other policies were advanced—declining employee wages so that consumers could not afford to buy more expensive imported produces, unenforcement of immigration laws and the introduction of special visas such as H1B1s so that the workforce would expand putting even further downward pressure on wages, restrictions on the ability of American workers to organize, and finally the offshoring of production. None of these policies could have succeeded without the complicit cooperation of America’s orthodox economists and government.

And there you have it ladies and germs; one gun, warm, and still smoking.


“If they can get you to ask the wrong questions then the answers don’t matter.” -Thomas Pynchon


Strategic default: Morgan Stanley shows you the way forward

December 17, 2009

Morgan Stanley to Give Up 5 San Francisco Towers Bought at Peak [ Bloomers ]

Morgan Stanley “bought” (mortgaged- and with all their money too, tsk, tsk) 5 office buildings in San Fran two years ago for more than eight BILLION dollars. Let’s see, that would be waaaaay back in 2007… after the bubble peaked.

Guess somebody didn’t see that coming.

MS is actually current on the loan and is not in foreclosure. They are simply “walking away” (MS prefers the term “orderly transfer” so they can feel better about themselves) because the buildings are worth less than the amount owed.

I think more and more homedebtors, upside down in their own homes, after they hear about Morgan Stanley’s very own “orderly transfer” will turn to their significant other and say “Hon, maybe we would should get out from under and arrange our very own ‘orderly transfer’. After all, if Morgan Stanley thinks it’s a good idea…”

It’s just a business decision, right, MS? Lookie-heah, if a million contracts get broken every day how can contracts be considered sacrosanct?

If they are, then obviously this only applies to suckers homedebtors in the Fox News and CNBS (a.k.a. Minstry of Propoganda) fantasy space, where corporations get a free pass to do as they please and applauded for their ‘boldness’; but if you and I act in consort we are considered by them to be douchebags.


“A credit default swap is like a passenger on the Titanic selling insurance on the Titanic. If the guarantor drowns, who pays the policy holder?” -Nassim Taleb


Another inconvenient question

December 16, 2009

An inconvenient question

December 12, 2009