Perp Walk Paulson

Barry My Liege:

It was a good speech. Some polls show that 91% of us liked the speech.

You have captured our mood; we are happy for that.

I suppose that it was necessary to give a surface treatment to your points since you wanted to include a lot of ideas.

Some may have hoped for a more practical approach where you might have said that you can take executive action in this instance and here is the action you have taken, while other items require Congress to act.

After all, my liege, we do not know all the ins and outs of our political process.

We are hoping that you will implement as many ideas as possible.

One of the actions I especially liked is the action to investigate and prosecute bankers for their crimes during the recent financial meltdown.

This action tells us that you will pursue equal justice for all and not let the Big Money Bastards avoid punishment or jail time.

Here is my suggestion for the first prosecution: Henry Paulson was former CEO of Goldman Sachs and acting United States Secretary of the Treasury when he went before Congress and lied under oath by telling Congress that both Fannie Mae and Freddie Mac were 'well capitalized'.

At that time he knew that both were under serious pressure and would likely fail. We know he knew because shortly after his testimony he held a private meeting composed of 20 hedge fund managers - the Big Money Bastards - and told them that both institutions would fail and be taken over by the Government, wiping out the share value held by private investors.

This is corruption at the highest level of the government. We cannot ignore it.

If you bring Paulson to justice, we will have a lot more faith in your commitment to fairness.

And, bankers will watch their step more carefully in the future.

That would be good for the country.

Your faithful servant,

USA Coup d'Etat 2014

Barry, My Liege:

We can look ahead to 2014.

It is NOT a pretty picture.

You are in a trap, Barry. A big trap.

Here's the trap: Your administration has suspended the Constitution.

This opens the way for a Corporate/Military coup.

Here's the danger: They will come for you and place you under house arrest with your family.

It will be claimed that you have suspended the rights of citizens and the population is clearly in a revolutionary mood.

Therefore, a 'temporary' military dictatorship will be installed to protect the country from your actions.

In case you think this is too far fetched, it is exactly what happened to Gorbachev in Russia. Yeltsin had him placed under house arrest while a dictatorship was installed.

Here's how this comes about: You and the Democrats win a huge plurality in 2012. With that mandate you and the party proceed to address the imbalances in our society.

These actions will infuriate the monied interests and create an emotional imperative within them for action to preserve the status quo.

If you don't try to correct the financial and social imbalances, our country is doomed to a slow decline and third world societal structure.

If you do try to correct the financial and social imbalances, the Corporate/Military power structure will arrest you and install a dictatorship. Today they are pushing the destruction of the Constitution so that tomorrow there will be both an excuse for a coup and a structure to accomplish the coup.

You'll be arrested if you do and villified if you don't correct the imbalances. It's Hobson's Choice and a rock and a hard place, Barry - it's a 50/50 shot.

Here's the only way to avoid this problem: Reverse all the un-Constitutional actions taken recently AND eliminate the Crony Fascism that currently exists between big business executives and top government jobs. But, my liege, these are long shots with uncertain chances of success.

Be careful out there.

Your faithful subject,

US Constitution Dead

Hey Barry:

You know what? I am going to have to give you a very hard time, Barry. And, Barry, I don't care what Mario Puzo said: it is PERSONAL - it's not just business.

Maybe you are doing all this real bad stuff on purpose and maybe you are doing it by accident. And, maybe some bad folks on your staff are pushing all this.

Here's the clear statement, Barry. You took our freedom from us. You took away the Constitution our Founding Fathers died for.

It does not matter who in your government took it or why they took it.

They are bad and they are traitorous and they are cowardly. The taking of these steps constitutes the overthrow of the Constitution of the United States of America.

As an educated man, you surely know that the genius of the Constitution is that it does not trust any man - it trusts only laws and processes.

Only through established processes and laws can Americans be free. Without those processes and laws, then we are simply subjects of a King and slaves to his whims. We are not citizens.

The Founding Fathers knew first hand what it is like to live under a regime with no laws and no controls. They chose to die fighting rather than to live under that system.

And, Barry, your administration has completed the installation of an arbitrary and potentially despotic Kingship in the USA.

You have made us into slaves subject to your whims.

It does not matter at all that these actions were taken in the name of protecting us from terrorists.

The taking of these actions has given victory to the terrorists. And Barry, you did it.

The specific actions you have taken were described by George Washington University Professor Jonathan Turley in a recent article in the Washington post titled “10 reasons the U.S. is no longer the land of the free”.

Here is a list of the actions as taken from a piece by Boris Volkhonsky in the Voice of Russia; read it here: http://english.ruvr.ru/2012/01/19/64179378.html

' 1. Assassination of U.S. citizens – “President Obama has claimed, as President George W. Bush did before him, the right to order the killing of any citizen considered a terrorist or an abettor of terrorism.” He also notes that countries such as Nigeria, Iran and Syria have been routinely criticized by the U.S. for extrajudicial killings of enemies of the state.

2. Indefinite detention – under the National Defense Authorization Act, terrorism suspects are to be held by the military; the president also has the authority to indefinitely detain citizens accused of terrorism. Here the U.S. finds itself in the company of often-criticized Cambodia. Even no less criticized China has recently codified a more limited detention law for its citizens.

3. Arbitrary justice– the president now decides whether a person will receive a trial in the federal courts or in a military tribunal (the way it is done in China and Egypt).

4. Warrantless searches – the president may order warrantless surveillance, including a new capability to force companies and organizations to turn over information on citizens’ finances, communications and associations (similar laws exist in Saudi Arabia and Pakistan).

5. Secret evidence – the government routinely uses secret evidence to detain individuals and employs secret evidence in federal and military courts.

6. War crimes– in 2009, Obama administration said that it would not allow CIA employees to be investigated or prosecuted for such actions as waterboarding terrorism suspects which amounts to torture and crimes against humanity. Other countries that resist independent investigations of similar war crimes include Iran, Syria and China.

7. Secret court – the government has increased its use of the secret Foreign Intelligence Surveillance Court and the administration has asserted the right to ignore congressional limits on such surveillance. Similar Pakistan surveillance under the unchecked powers of the military or intelligence services exists in Pakistan.

8. Immunity from judicial review – the Obama administration has successfully pushed for immunity for companies that assist in warrantless surveillance of citizens, blocking the ability of citizens to challenge the violation of privacy (similar practice is common for China).

9. Continual monitoring of citizens – the Obama administration has the right to monitor every move of targeted citizens without securing any court order or review. Similar massive surveillance systems exist in Saudi Arabia and Cuba.

10. Extraordinary renditions – the government now has the ability to transfer both citizens and noncitizens to another country under a system known as extraordinary rendition, which has been denounced as using other countries, such as Syria, Saudi Arabia, Egypt and Pakistan, to torture suspects.'

The laws which you have enacted give absolute life and death power to the President of the United States over any citizen for any reason.

While I might trust you, I surely do not trust a Newt Gingrich or a Rick Perry or a Mitt Romney with that power.

But, it is not about trust. It is about laws and freedom.

I am willing to die fighting to protect my freedom from the arbitrary power of you, Barry Obama.

I do not support a country where a private company can corrupt a government so that a war is fought to make that private company richer.

Under your laws, that can happen with no challenge. And, if I speak out, you can have me killed in order to protect those profits.

It is NOT acceptable and it IS worth fighting and dying to overthrow, just as we did in 1776.

Your subject, and not liking it.

Bankers Must Take a Haircut

Hey Barry:

In a copyrighted article, economist Michael Hudson suggests a new economic model to correct misperceptions about current trends which can arise from using older models.

Here is his first paragraph:

'Now that the Bubble Economy has given way to debt deflation, the world is discovering the shortcoming of models that fail to explain how most credit creation today (1) inflates asset prices without raising commodity prices or wage levels, and (2) creates a reciprocal flow of debt service. This debt service tends to rise as a proportion of personal and business income, outgrowing the ability of debtors to pay—leading to (3) debt deflation. The only way to prevent this phenomenon from plunging economies into depression and keeping them there is (4) to write down the debts so as to free revenue for spending once again on goods and services.'

© Michael Hudson, Oct. 27, 2011

The entire article is available here:
http://discussion.worldeconomicsassociation.org/wp-content/uploads/Hudson-Model.pdf

This is interesting beyond academic economics inasmuch as he draws the conclusion that creditors will have to renegotiate debt levels in order for the world's economies to find growth.

At this moment Greece's creditors are hedging on previous promises to reduce debt levels to manageable amounts. Such a reduction is necessary to prevent further economic and social deterioration in Greece and the entire EU by contagion.

One of Mr. Hudson's points is that most debt is used to purchase previously produced assets like houses and office buildings; so, taking on that debt does not result in any new production added to the GDP.

The resulting debt service simply reduces cash flow available to purchase new products. This is another reduction in Aggregate Demand.

Stated as clearly as possible, unless creditors voluntarily renegotiate debt levels to manageable debt service payment for nations, businesses and individuals, the economy will likely enter a further recession.

It is likely that most citizens and nations will find current debt levels unacceptable and will default, unless some significant adjustments are made to their debt.

Your pal,

Vulture Capitalist Barry Wynn

My Dear Esteemed Mr. Barry Wynn:

It has come to my attention that your peace of mind has been disturbed. Words cannot express how badly I feel that you have been offended.

'Investment fund executive and top GOP donor Barry Wynn "I've been fighting for this cause most of my life," Wynn said. "It's like fingernails on the chalkboard. It just kind of irritated you [sic] to hear those kind of attacks." '

Here is the quote from NBC:[http://www.nbcdfw.com/news/politics/Perry-Loses-Key-SC-Backer-After-Vulture-Capitalist-Attack-on-Romney-137185428.html].

Mr. Wynn, on behalf of everyone, we do sincerely understand how distressing that can be.

Please understand that it is very difficult to find just exactly the right words to describe your behavior and our situation - those magic words that can describe the truth of a situation and not give offense to anyone.

After all, these can be emotional times for some people - what with losing a job and family home, losing a retirement program, losing medical insurance, living on the streets at the same time as seeing the fortunate few like you grow richer and richer. We don't expect you to forgive us our questionable behavior, after all, if you are slightly disturbed it may throw off your concentration and you would be unable to create all those jobs you promised us.

If you can find it in your heart to allow us a little patience, we will work very hard to ensure that your peace of mind is not disturbed any further.

VULTURE CAPITALIST

Perhaps VULTURE CAPITALIST was not the correct phrase. After all, a vulture is a disgusting creature who feeds voraciously on dead carcasses; that is surely an unsettling image.

In order to avoid any possible offense, one is led to look for alternatives to describe a situation where the feeding frenzy of a few disgusting animals makes them well fed while the rest go hungry.

SOCIOPATH

Some other observers have chosen the word SOCIOPATH to describe a behavior where self interest without empathy or consideration of others is the sole motivating force. This is the word used by Thom Hartman in his article 'Profiling CEOs and Their Sociopathic Paychecks', which you can read here: http://www.commondreams.org/view/2009/07/27

Perhaps SOCIOPATHIC BEHAVIOR might suit your refined sensibilities better then VULTURE CAPITALIST?

But of course, this is also a troublesome phrase. Might I suggest that you can actually answer a quiz to see if the phrase is the correct one? You can see the quiz here: http://www.vodahost.com/web-hosting-sociopath-test-sociopath-definition.html/

PSYCHOPATH

Another possiblity is the word PSYCHOPATH as used by Alan Deutschman in his article 'Is Your Boss a Psychopath?', which you can read here: http://www.fastcompany.com/magazine/96/open_boss.html

RICH C...SUCKERS

Perhaps we could approach a comedic perspective like that of comedian George Carlin; after all a little laugh is good for us all. And, George Carlin is dead, so nothing he said should bother anyone.

This is his funny, funny take on the situation: 'forget the politicians ... these rich c...suckers [like Willard Romney] don't give a f... about you.'

You can even watch a video where he creates hilarity here: http://www.youtube.com/watch?feature=player_embedded&v=acLW1vFO-2Q

In conclusion Mr. Wynn, I won't offer an apology. After all, we are just trying to speak the truth. But we do understand that the truth can be a difficult cross to bear.

So we will proceed to deal with our concerns and you with yours and perhaps our paths may cross someday. If they do, then perhaps you may understand a little more about our less than courteous behavior at that time.

Sincerely yours,

Will the USA Collapse?

Hey Barry:

The biggest question we face today is whether the USA will collapse as a society. If we collapse, it will not be pretty, Barry. We really do not want to collapse.

Now, there are some folks who would welcome such a collapse. They view any chaos as an opportunity to make money.

These are the folks who made lots of money in Iraq and Russia during the chaos there. They are bad people, Barry. We don't want to help them in any way.

According to a recent TV show on the collapse of the Egyptian Old Kingdom society in 2200 BC, there was sudden famine and starvation on a large scale. Starving families migrated to the only place there was food, Luxor, and begged the governor for food. They also sold their precious possessions for a measure of grain. When the food available was not sufficient for the hordes of starving people, the starving 'ate their children.' I think that phrase 'ate their children' was meant literally.

Regardless, it is an object lesson in catastrophe that we do not want to explore.

In his excellent book 'THE COLLAPSE OF COMPLEX SOCIETIES', Cambridge University Press 1988, Joseph A. Tainter describes many such collapses, among them: Mesopotamia, the Egyptian Old Kingdom referred to above, the Hittite Empire, Minoa, Mycenaean Civilization, Western Roman Empire and so forth for many civilizations studied.

Of interest is the reason the Egyptian Old Kingdom collapsed. Archeologists and geologists have identified the cause of that collapse as something the Old Kingdom was unable to counteract, even though they knew the cause and were able to literally see its effects.

Egyptian civilizations since the desertification of the Saharah have depended on the yearly flooding of the Nile River to bring both water and the precious black mud to the Nile Delta. The black mud, sediment from up river in modern Ethiopia, provides the rich soil that nourishes crops. Without that annual flood of rich soil, crops do not grow and people starve.

With the annual flood, the Old Kingdom built a complex society with plenty and well being for all its citizens. That society also built the Pyramids we view today.

About 2200 BC there was an approximate 100 year interruption in rainfall. No rain fell in the Nile watershed. Geologists know this because their study of sediments from that time shows only wind blown, fine sand in all the streams and canals the Egyptians built instead of the mud geologists find from water filled courses both before and after that time.

Without water and annual flooding, Egyptian society collapsed with the dire consequences listed above.

This is interesting in the United States of America in the 21st Century AD because we face a similar drought, Barry.

Our Nile Flood has always been the Aggregate Demand of consumers with the ability to spend money beyond food and shelter. That is the force that has lifted our country above others in the world.

Consumer demand is water to the economy: without that water, nothing will grow - all will die.

And, we are witnessing the drying up of Aggregate Demand in our economy today. The water that lifts all boats is drying up and about gone.

If that demand goes away for any length of time, the USA will collapse.

While we don't know exactly why the rain stopped in the Nile basin in 2200 BC, we know exactly why Aggregate Demand in the USA is stagnant or declining. It is stopping because of the accumulation of wealth and income into a few hands and the simultaneous reduction of wealth and income accruing to everyone else.

If we as a society can reverse this trend, perhaps we can avoid the collapse. But if we do not reverse this trend, a societal collapse becomes highly probable.

As previously mentioned, I have identified the government policies which can reverse that trend; you can read them here: http://www.mkeever.com/owsplaneleven.doc

Your pal,

Time to Socialize Medical Insurance

Hey Barry:

Here's evidence that your Healthcare reform did not go far enough: many of the nation's private practice doctors are going broke, especially in rural areas. Doctors are in debt and leaving their practices to take paying jobs.

Private insurance payments are declining and medicare reimbursements are being reduced.

It unlikely that reasonable standards of medical care can continue without socializing the entire system and eliminating private, for-profit insurance.

Read Parija Kavilanz in CNNMoney here: http://money.cnn.com/2012/01/05/smallbusiness/doctors_broke/?npt=NP1

It has been said that a wise leader knows when to follow; in this case, it is time to follow reality, Barry.

Otherwise we will become a truly Third World country.

You pal,

Cordray Appointed

Hey Barry:

Good on you for appointing Consumer Financial Protection Agency chief Richard Cordray.

We need the agency to perform.

And, also, why not think about an alternative political strategy for him?

How about this: Have him announce 20 or 30 actions that will PO the Reps as soon as he is in office - first day.

He could start with Payday lenders who prey on poor folks: http://www.sfgate.com/columns/networth/ [January 5, 2012]

That will get the Reps panties in a bunch and maybe take some attention from you.

It will also let voters see you are serious about protecting the middle class.

Of course, Cordray may well become a sacrifical lamb, but it's for a good cause.

Ooooh, I love thinking dirty.

Your pal,

Time for A Gut Check

OK Barry:

Let's see how brave you really are.

If you're brave and you can really deal with the future of our country, then listen to Chris Hedges' interview: "Brace Yourself! The American Empire Is Over & The Descent Is Going To Be Horrifying!"

Here's the link: http://www.youtube.com/watch?v=7zotYU21qcU&feature=g-wl&context=G2a8c2c7AWAAAAAAABAA

We CAN find a way out, but it will take some real guts, Barry.

We need to take it apart bolt by bolt and screw by screw.

It's a big job.

No surprise here, Barry.

Funny thing is that Hedges says all the same stuff I have been saying.

It's a three hour interview, so give yourself enough time.

We really need you to hear this, Barry. Things are NOT OK.

Your pal,

DC Crony Fascism

Hey Barry:

Just in case you want to know why we don't trust folks in the Beltway, read the Venn Diagrams drawn by Larry Lessig here: http://www.techdirt.com/articles/20111221/17561617164/mapping-out-revolving-door-between-govt-big-business-venn-diagrams.shtml

These diagrams offer clear and convincing evidence of DC revolving doors between the Big Money Bastards and Federal Government top jobs.

We have a crony government, plain and simple.

And, it costs the country a lot.

Cynthia Duncan in her book 'Worlds Apart: Why Poverty Persists in Rural America', [by Cynthia M. Duncan, Yale University Press; New Ed edition (August 11, 2000); ISBN-10: 0300084560; ISBN-13: 978-0300084566] pretty much proved that reserving jobs for cronies pulls down any society.

And Barry, that is exactly what we have here - jobs for cronies.

For example, take a look at a few Goldman Sachs folks: Robert Rubin, John Corzine, Henry Paulson, Rahm Emanuel, Robert Hormats, Stephen Friedman, Diana Farrell, Philip Murphy, Mark Patterson, Adam Storch, Alexander Lasry, Sonal Shah, Gregroy Craig and Gary Gensler.

All these folks are former Goldman Sachs people who have held top government jobs. You can see the same pattern in Big Oil, Comcast, GE, media, Monsanto and so forth.

Here is the smoking gun of how our country is run for the benefit of a few at the expense of the many.

It's bad enough that the few profit at our expense, but what's even worse is that our country would be much better off if we changed that pattern.

We need to open up government service to the best and brightest and not reserve it for the well connected. That's the only way out of this mess, Barry.

This is your challenge Barry, fix this one or we say a final good bye to the America we love.

Your pal,

Crystal Balling 2012

Hey Barry:

It's a natural time to look ahead to see what's on the horizon for 2012.

EUROPE AND THE WORLD

First, there's a high probability of another recession in Europe.

The European debt situation seems to be beyond the capacity of the EU to solve without severe social consequences, regardless of statements to the contrary. Most European economists predict a deeper recession in 2012. Read it here: http://www.thisismoney.co.uk/money/markets/article-2080188/Economists-estimate-30-40-chance-break-euro-2012.html

Additionally, a recession there has the potential to break up the Eurozone. Previous experience has demonstrated that such currency breakdowns have negative consequences. You can read Professor Jayanth R. Varma's comments on several histories here: http://www.iimahd.ernet.in/~jrvarma/blog/index.cgi/Y2011/currency-breakups.html

In the European situation, standard Keynesian policy calls for national government macro intervention to prevent extreme social misery and unrest.

But, the Euro governments appear to be in thrall to bankers; they are installing austerity measures and raising taxes at a time of recession.

Such a course will probably lead to deepening social malaise; it also increases the likelihood of an Arab Spring or Occupy Wall Street movement growing larger and perhaps becoming more violent. Consider the current situations in Syria and Yemen; this may emigrate to Greece.

A broader theme for 2012 is that our worldwide political system appears to be incapable of managing a strong economic crisis. This may be due to the influence of monied interests on the various legislatures.

Part of the cause of our current malaise has been that credit has been so readily available and so cheap that the market system has been distorted. Governments and consumers have come to rely on low interest and readily available capital. Now that GDP growth is slowing down, the accumulated debt is becoming onerous for governments and consumers.

Thus we have a worldwide imbalance where there is too little aggregate demand and too much aggregate supply. It is worthwhile to consider policies which will increase demand and reduce income and wealth disparities. Continuing our current policy of rigid adherence to today's political system in Europe and the USA will only serve to make our governments more vulnerable to an ultimate break up. A better strategy will be to install more flexible policies which address the imbalances we see today. I have proposed just such a policy constellation and it is available here: http://www.mkeever.com/owsplaneleven.doc

UNITED STATES OF AMERICA

A European recession carries the risk of a US recession. Current history shows that the developed countries are intertwined economically - what happens there comes here. This is despite the fact that United States fiscal and monetary policies appear to be ameliorating our recession.

Our FED has been contributing massively to this problem by continuing its quantitative easing and zero bound interest rate policies. At the same time, wages of working people are shrinking while capital formation is increasing.

An example of our inability to address the problem is the recent NDAA where Congress gave our military the right to detain United States citizens without our Constitutional protections. That was precisely the wrong thing to do. Another example is our government deadlock over raising the debt ceiling.

Concerning US elections, it is this observer's opinion that the US electorate is looking for some solutions to the problems outlined above. The Republicans have proven that they are incapable of understanding the situation, much less actually solving the problems. The electorate is looking for candidates who demonstrate they can lead us to a better future.

It is an opportunity for Democrats and for you, Barry Obama. But, at this time I believe the electorate has not seen an adequate response from either the Democratic Party or the President's campaign. The hope is that such a response will be forthcoming in the national campaigns.

Happy New Year!

Your pal,

Economic Policy Analyses Published Today

The Mckeever Institute of Economic Policy Analysis [MIEPA] is pleased to announce the publication on its website [www.mkeever.com] of 22 separate economic analyses of ten individual countries.

Each economic policy analysis is conducted by a native of the country studied in order to ensure as much accuracy as possible. The studies are designed to illuminate those policies which affect economic growth and job creation. Both English language and native language sources are utilized. Each analysis is directly supervised by Mike P. McKeever who has supervised more than 200 previous analyses, although the conclusions and analyses are the work and responsibility of each individual author.

The countries analyzed are listed below in alphabetical order together with the name of each author and a link to the specific country study:

LIST OF ECONOMIC POLICY ANALYSES PUBLISHED DECEMBER 27, 2011 BY MIEPA [www.mkeever.com]:

CHINA, two separate studies by a student who is advised to remain anonymous and Tianyu Ma: http://www.mkeever.com/china.html

FRANCE, a study by Guillaume LaFarge: http://www.mkeever.com/france.html

HONG KONG, a study by Po Ting Wong: http://www.mkeever.com/hongkong.html

GEORGIA, a study by Ia Inadze: http://www.mkeever.com/georgia.html

NEPAL, a study by Manjil Shrestha: http://www.mkeever.com/nepal.html

PHILIPPINES, two separate studies by Sy Kimberly S. Lato and Elaine J. Linsangan: http://www.mkeever.com/philippines.html

RUSSIA, four separate studies by Irina Khakimova, Kristina Zeltser, Alex Shkurko and Zula Hadaeva: http://www.mkeever.com/russia.html

SWITZERLAND, a study by Sandra Joller: http://www.mkeever.com/switzerland.html

UKRAINE, a study by Margaryta Sysenko: http://www.mkeever.com/ukraine.html

UNITED STATES OF AMERICA, eight separate studies by Ruth Torres, Flavia Lake, Nicole Bonifacio, Michael LaLonde, USMC, Ret., Jarrett Moore, Allison Craig, Erinne Grant and Sharon Taporco: http://www.mkeever.com/usa.html

Mike P. McKeever
Founder
McKeever Institute of Economic Policy Analysis [MIEPA]
www.mkeever.com
mckeever.mp@gmail.com

Merry Christmas

Merry Christmas Barry:

This time of year brings out some melancholy for me along with some joy.

My very close relative is in her last days and it's hard to witness the decay and the pain.

I would hope that all my relatives would support each other, but self centerdness and attorneys rule the day.

The Caliifornia Community College System - the place where hundreds of thousands of people in every conceivable situation try to find a foothold on the American Dream - is rationing classes because the cash is just not there. No more welcome to the USA, now it's just get ready to get some money by transferring to university in two years flat or get out. Tough luck for vocational programs and immigrants. Read it here: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/12/24/MN3U1MD0L6.DTL&tsp=1

Some 50 million Americans are mired in poverty and misery. Some 25 million are unemployed or underemployed.

Some of the rich among us actively work to increase that number while they grow obscenely richer. Our American experiment was founded in hope and respect. I think it was Ben Franklin who replied when asked what kind of government the Constitutional Convention had given the country, replied: "A republic, if you can keep it".

But, finally we all get it and we are walking the streets and we are really p..o..'d, but very polite. But Barry, we are not going away. We insist on transparent processes and we will not accept corruption and back room deals. The future looks like a better place because of that.

Middle East regimes are tottering because their subjects would rather die than take the conditions. Talk about Hope and Change, that's where it is, Barry.

UPDATE YEMEN 12.28.11

Yemeni crowds are showing us a method by surrounding an agency until the corrupt manager leaves.

Read here: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/12/28/international/i034241S48.DTL

"There's somethin happening here, what it is ain't exactly clear" Barry. [Buffalo Springfield]

You are at the top of the system, but that system WILL change; it will change. I just hope that only a few more people die to make the change.

Keep your eyes and ears open; be prepared.

My parents grew up in the Great Depression. That's the time where many families were torn apart by poverty, violence and despair.

My parents would choose a time or event and decide to be happy, regardless of how they felt or what was happening. For that time and in that place, they enjoyed their life.

Take a moment and enjoy your life. Your kids will grow up and your situation will change. But, life is what happens while you're waiting for the next event.

Listen to Fats Domino sing Jingle Bells and have a glass of champagne with Michele. http://www.youtube.com/watch?v=RKpihFvJpY8

Your pal,

UPDATE: NDAA Signing Statement

Hey Barry:

UPDATE 1.1.12

AP: Congress changes the law under White House pressure. Lawmakers eventually dropped the military custody requirement for U.S. citizens or lawful U.S. residents.

"My administration will not authorize the indefinite military detention without trial of American citizens," Obama said in the signing statement. "Indeed, I believe that doing so would break with our most important traditions and values as a nation."

http://content.usatoday.com/communities/theoval/post/2012/01/obama-signs-defense-bill-with-serious-reservations/1

Thanks Barry, it's something.

*******************************

Hanlon's Razor is an eponymous adage that reads: Never attribute to malice what can adequately be explained by stupidity. [Wikipedia]

When considering the National Defense Authorization Act of 2012 with its suspension of habeus corpus for American citizens, Hanlon's Razor is good to keep in mind.

Was that act written from malice or stupidity? Good question.

Let's start with the idea that it is unconsitutional since it violates the Fourth Amendment, as suggested by Jon Stewart on his Daily Show of December 7, 2011.

Here's the text of the Fourth Amendment: 'The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no warrants shall issue, but upon probable cause, supported by oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.'

Well I'll grant you that quoting constitutional law from a TV talk show is kinda weird. But, where is the debate about this act by legal scholars?

Is anyone working on a suit to challenge this law?

What about reducing its impact on Americans?

Mark Udall says this: 'The [bill] .... would also expand the military’s role in domestic law enforcement operations by requiring that the Department of Defense assume responsibility for holding terrorism suspects, even if they are captured within the United States and held by the FBI, CIA or others.'

There is some further disagreement about this in the Senate. Dianne Feinstein introduced a bill to 'To clarify that an authorization to use military force, a declaration of war, or any similar authority shall not authorize the detention without charge or trial of a citizen or lawful permanent resident of the United States and for other purposes.' Her bill is titled: 'Due Process Guarantee Act of 2011' and was introduced on December 15.

We can hope that something like the Feinstein bill becomes law. Or, we can hope that someone mounts a legal challenge to this bill very soon.

Here's a question: why does the NDAA specify that the military shall hold Americans?

Now I have never held a security clearance which is a great advantage since I have never agreed to refrain from disclosing secret information. It's also a disadvantge since I don't have any secret information.

All I can do is look at situations and hypothecate about possible facts.

And, in this case, that theorizing leads directly into conspiracy theories and paranoid fantasies.

Just because you're paranoid does not mean that nobody is out to get you.

The situation is this: the US military has supported a law which will give it powers to detain and hold United States' citizens whom it suspects of terrorism without any due process or constitutional rights.

I don't think that is a paranoid fantasy - it is a law.

Is the law driven by stupidity or malice?

Both are possible.

Of whom are they afraid?

The persons or person whom they fear must be very powerful; after all, Al Queda and that ilk are already decimated and under constant watch by existing civil law enforcement here and military watch overseas.

So, what has changed that drives this new law?

The only answer is that the Occupy Wall Street folks are now exercising their rights to protest government policies which favor rich people over poor people.

That is the most likely answer - the military is afraid of Americans.

OK, Barry, that is positively depressing.

I would like to be a rabble rouser and rouse some rabble to affect United States policies.

But now, I must fear that the US military will take offense to some action or posting of mine. If they do, then I can be placed in military detention with no due process or notification of family.

And, I'll probably be water boarded.

Let me save you guys some time - I confess, it is all my fault. I did it all. You name it, I did it. Shoot me now.

I am a chicken - you can have anything you want. Except I don't do gay sex, period.

But I will say this: you folks who want this law are cowards and traitors.

You are cowards because you are afraid of Americans and you are traitors because you are destroying the foundations of the USA.

Prove me wrong, Barry, please prove me wrong.


Your pal,

Hope, Change

Hey Barry:

Seems that the 60 Minute piece is sticking with me a little, even at 3.00 AM.

So, one of the things you said was that changing the economy will take a long time, maybe even through another President, after your second term.

Now Barry, we love you a lot, but that there thing about change taking a long time is just wrong.

Y'all gonna have to up your game a little bit. Cuz if'n you don't, we is truly cooked.

Here's the thing about changing the economy: it just takes a few well placed laws and policies to start the process.

When FDR finally got off his chair, he put into law a lot of the things we count on today: SEC, FDIC, Glass-Steagall, just to name a few.

It took no time at all to pass the laws, but changing the country's behavior took a long time.

Actually seeing the results is what takes the time Barry, but changing the laws and policies can be done quick. The change you're thinking of happens when folks' behavior is actually changed by enforcing the new laws. That's the thing that takes the time: changing behavior.

In fact, if the new laws are not passed quickly, they probably won't get passed at all. So, your strategy has to be to flood the floor of Congress with ALL your wishes as soon as you have the votes to pass them.

Now, I did actually write a list of the laws that should be adopted and y'all can read them here: http://www.mkeever.com/owsplaneleven.doc

To that list we should add: finish health care so it's completely nationalized with zero for-profit insurance and veto the plan to detain Americans without habeus corpus. Oh, one more thing: Congress has to kill the Citizen's United decision with a law.

As to why the new laws have a short fuse, it's because them greedy big money bastards will scream bloody murder if they think y'all gonna ask them for another cent.

Soon as they hear y'all even thinking about real change, they will call in all the markers they gave to their lap dogs and throw a gigantic hissy fit on the floor of Congress to shut the place down for awhile.

They are willing to kill the country to save their tax breaks.

It's just unspeakable, Barry.

But, it is what it is.

Now, you're gonna go all: 'But I need a Dem majority in both houses to do that and even then, there are some Dems who won't go along with all my laws. I sure as hell won't get any help from any Reps.'

OK, you got me there. You will need a majority in both houses. Yep.

Well, I have Ten Thousand Dollars in borowed cash from Mitt which says that you will have that majority, Barry.

And, here's the Hope and Change part. It'll be the last tango for the Good Ol U S of A.

If you, Barry Obama, don't get off your chair and pass all the laws you can when you have the chance, we are jes cooked.

We may be cooked already, Barry; I'm just hoping we are not finished yet.

Here's the good news in all this, Barry: all the voters in the country will love you to death if you succeed in passing these laws. We all know what the real story is, Barry. We get it. You will be a true hero if you act boldly.

It's up to you.

Merry Christmas.

Your pal,

Jailing Big Money Bastards

Hey Barry:

I'm takin issue with a comment you made on 60 minutes the other day.

In response to a question about why the big money bastards who caused all this mess are not in jail, you replied [more or less, may not be an exact quote]: 'Well, it may be a surprise, but most of what they did was not against the law.'

So Barry, here's the deal: we both agree that they are scum and that they harmed the country in a big way.

It don't matter that their harmful actions were technically legal. They need to be watched and charged for anything illegal they do because once a thief, always a thief.

Y'all changin the laws to slow them down next time, and that's the first step.

For the next step, here's what y'all need to do: open an investigation file on each of 'em for everything they do. Don't care if it's a parking ticket. Follow 'em around and prosecute them for everything.

Course that's gonna mean y'all need to hire some more legals.

Go ahead. It will do the country good. We don't have enough legals now to keep track of all the mischief they causin. And, it's just a guess, but chances are you don't have to ask Congress for permission to hire more gumshoes or legals for Eric Holder.

Al Capone went to jail for income tax problems, not for the murders and extortions he did.

We need to make sure these crooks feel the heat.

If they up and leave the country, well, we'll be better off without them.

Time to get tough on the criminals, Barry, forget about splitting hairs on any individual crime.


Your pal,

Osawatomie - Line in the Sand

Hey Barry:

I aint gonna lie.

It was a great speech.

You laid down a line in the sand and dared the big money bastards to do right by the country.

Here's a link to the text:
http://www.guardian.co.uk/world/2011/dec/07/full-text-barack-obama-speech?intcmp=239

So Barry, now the rubber's got to meet the road.

My bet is that most voters will turn on the Reps and that you'll have a Dem majority in both houses in 2012.

That'll mean that it's just you and the lobbyists and a few crooked folks in Congress fighting over that line.

We need you to hold that line, Barry.

It's for your grandchildren.

Let me know how I can help.

Your pal,

Cry For the Greeks, Italians, Spanish and Americans

Hey Barry:

Wanna see what happens when the bankers take over?

Just read below.

It's Greece today, Italy tomorrow and our turn is coming, Barry.

Our turn is coming.

Excerpts from "GREECE IN CHAOS" by, Noëlle Burgi, Le Monde diplomatique, December 2011
http://mondediplo.com/2011/12/03greece


'Salaries are falling (by 35-40% in some sectors) while new taxes are invented, some backdated to the beginning of the calendar year. Net incomes have fallen drastically, in many cases by 50% or more. Since the summer, a solidarity tax (1-2% of annual income) and an energy tax (calculated on the consumption of petrol and natural gas) have been levied. Further novelties include the lowering of the tax threshold from € 5,000 to € 2,000, and a property tax of € 0.5 to € 20 per square metre levied as part of electricity bills, payable in two or three instalments (failure to pay results in power cuts and penalties).

Since the start of November, pensioners and public and private employees cannot anticipate their monthly earnings. Many workers go without pay altogether. The state is reducing its workforce drastically as part of its restructuring programme. Between now and 2015, 120,000 public employees over the age of 53 have been earmarked for “semi-retirement”, the precursor to full mandatory retirement after 33 years of service, during which employees are obliged to stay at home, and only receive 60% of their basic salaries. Once fully retired, many public employees will be reduced to living on very little. A group of ex-railwaymen, aged 50 and above, said they used to earn between € 1,800 and € 2,000 a month, a relatively comfortable salary in Greece. They have now been posted to jobs as museum guards as part of a “voluntary transition” package (2) and their basic monthly income fluctuates between € 1,100 and € 1,300; semi-retirees are restricted to € 600. All are barred from taking on extra paid work to supplement their income — the penalty, immediate loss of revenue, is enforced.

The loss of income is tearing society apart. Bills are not paid, consumption is down, stores are closing and unemployment rising. In May the official unemployment rate was 16.6% (10 points higher than in 2008) and 40% among the young. The actual rate is likely to be much higher. The social, economic and political crisis has shaken the national health service. Hospital and public health care centre budgets have been cut by 40% on average. More patients are admitted to the emergency room, others go to Doctors of the World health centres, and many choose to do without medical care altogether. People report being denied access to crucial medicine. One journalist said her father suffers from Parkinson’s disease: “His medication costs € 500 a month. The pharmacy told us it will stop supplying him, because insurance payments have stopped.”

Physical ailments (notably heart conditions) and mental illnesses are increasing at a worrying rate. Recent epidemiological studies have shown that heightened stress, exacerbated by high debt and prolonged unemployment, is generating “major depressive disorders, disruptions and generalised anxiety” (3), which account for a dramatic rise in suicides. According to unofficial figures discussed in parliament, the suicide rate increased by 25% from 2009 to 2010, with a further rise of 40% in the first half of 2011, compared to last year, according to health ministry sources. Figures published in The Lancet (4) reveal an alarming increase in prostitution, as well as infection rates of HIV and other sexually transmitted diseases (5). There are unprecedented numbers of homeless people, and they are no longer limited to alcoholics, drug addicts or the mentally ill. A recent study demonstrates that the middle class, the young and the moderately poor are now more likely to end up on the street (6).'

So, Barry, we in the USA are seeing the beginnings of the Greek style breakdown already.

Run fast for your mothers, the horses are coming........

Your pal,

Here Come the Clowns

Hey Barry:

One writer I read occasionally suggests that bloggers like me are performing in a theater.

In his analysis, we create a story arc over numerous postings that provides an online persona - which may or may not reflect our real selves.

Holy Cow! Ya think?

Jeezo peezo.

We are in the middle of an EFFIN TRAIN WRECK here in the good ol U S of A.

But, NOBODY NOTICES THE WRECK AROUND THEM.

I've been putting on a whole bunch of costumes and yelling about the wreck as loud as I can since 2007.

BUT NOBODY'S LISTENING.

Here's the train wreck in Greece, now!: http://mondediplo.com/2011/12/03greece

Crap, wish I was lucky enough to be in a theater with a few folks paying attention.

First costume, put on a political volunteer, Hillary surrogate costume and yell like crazy.

Nobody notices the train wreck.

Then, dress in O'Henry grunge clothes and use bad grammar - same message, same result.

Result: Zip. More wreckage.

Dress up like John Adams with breeches and leggings and pull out the patriotic music.

Result: Nada. More wreck.

Don professor's garb of tweeds and identify specific systemic problems and proffer specific solutions.

Result: Zilch. Bigger wreck.

Haul my cousin's Kingly crown and scepter out of the closet and demand that things change.

Result: Nothing. Continuing wreckage.

The only people paying attention to the wreck are the Occupy people.

But, the wreck is gonna get us all. Soon.

A whole lotta people know about all this wreck, but nobody with any power is changing a damn thing.

I'll keep on yelling, Barry.

Sure hope somebody's out there.

Your pal,

Where are we going?

Hey Barry:

The OWS guys have shown us that we are at a tipping point, maybe we're even way beyond the point.

Unless we completely and dramatically overhaul our economic structure, we face a declining future.

And, you know what Barry, I don't think we have the balls to make those changes.

The big money bastards just have too much power and are just too greedy for any real changes to happen.

I'd like to be more optimistic Barry, I really would. But, I just don't see any good news out there.

The changes we need are so drastic, will damage the selfish interests of so many really rich people and our system is so corrupted by money that I'm afraid real changes are dead in the water.

Y'all can see the changes I am talking about here: http://www.mkeever.com/owsplaneleven.doc

So, if we can't make the changes, what's that future look like for the good ol U S of A?

And, yes I know that predicting the future is dicy at best. But, the military does it all the time as contingency plans. Bout time a civvy did it.

There are a few possibilities and Barry, none of them is any good.

Future Number 1: We continue on the present path with a declining middle class and an increasing lower class; that will include expanding the social misery that created the New Deal: homeless, no medical care, elderly begging and dying in the streets, rampant gangs, no safety found in public or private places, etc., etc.

The big money bastards build huge compounds with elaborate security because they are afraid of poor people.

In other words - we become the Third World.

Future Number 2: The OWS guys lose their patience, attract vast numbers of desperately poor people and increase violence. This prompts a militaristic reaction and we degenerate into a Syrian scenario with troops shooting and killing Americans in the streets. The only good news here is that such a reality will be a prelude to a real revolution.

Future Number 3: Superman swoops down and confiscates all the big fortunes and installs the sweeping structural changes we really need.

HAHAHAHAHAHA..............

Future Number 4: The US military loses patience with the social misery and lawlessness and installs a military dictatorship.

I don't think this is likely because our military are mostly professional people who do not also own monopolies in essential services that would be jeopardized by lawlessness. That is the situation in Egypt where the military does not want to lose control.

I'd really like to be more optimistic Barry.

Anyway, Happy Holidays to you and yours.

Your pal,

Banks Con Homeowners

Hey Barry:

Q: What do you call a con job when a banker does it?

A: Dual Tracking.

That's where a bank sends out a counselor to work with a homewoner on a loan modification while at the same time the foreclosure department is selling the house on the courthouse steps.

If you don't believe me, y'all can read about California Attorney General Kamela Harris here: http://www.sfgate.com/columns/bottomline/

My mind don't work that way and I could not dream that up in a million years.

It's just unspeakable.

Where's the pepper spray?

Your pal,

Now, It's Spain

Hey Barry:

This is not a good time.

International bankers depose elected governments in Italy and Greece to impose austerity, the US Super Committee appears unable to make a decision which may collapse US' ability to sell T-Bills and it seems that the European situation faces even another problem: Spain.

Spain may be too big to rescue - AND its government followed the rules.

But, Spaniards borrowed and built houses which drove up its wages. Now the construction boom has collapsed, unemployment has hit 21% and households cannot pay their bills.

It is looking like the only way out is to leave the Eurozone and let the Spanish Central bank bail out the economy. But, the ECB does not want that to happen because it would probably destroy the Eurozone.

read about it here; http://www.bbc.co.uk/news/business-15734280

Holy cow, Barry, the hits just keep on coming.

Your pal,

Corporate Pledge of Allegiance

Hey Barry:

Robert Reich offers a voluntary corporate pledge of allegiance to the United States.

It's a great idea.

Maybe y'all can push it from your bully pulpit.

Here is the pledge:


The Corporate Pledge of Allegiance to the United States

The (fill in the blank) corporation pledges allegiance to the United States of America. To that end:

We pledge to create more jobs in the United States than we create outside the United States, either directly or in our foreign subsidiaries and subcontractors.

We further pledge that no more than 20 percent of our total labor costs will be outsourced abroad.

If we have to lay off American workers at a time when we're profitable, we will give those workers severance payments equal to their weekly wage times the number of months they've worked for us.

We pledge to keep a lid on executive pay so no executive is paid more than 50 times the median pay of American workers. We define "pay" to include salary, bonuses, health benefits, pension benefits, deferred salary, stock options and every other form of compensation.

We pledge to pay at least 30 percent of money earned in the United States in taxes to the United States. We won't shift our money to offshore tax havens and won't use accounting gimmicks to fake how much we earn.

We pledge not to use our money to influence elections.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/11/19/INJO1LVD3R.DTL#ixzz1eFqxwXBF

Your pal,

Bankers Trump Democracy

Hey Barry:

It's looking like bankers really do run the world. They caused the mess we're in now and their solution is to appoint bankers, 'technocrats', to solve it.

Bankers appoint prime ministers in Italy and Greece because they bought Italian and Greek bonds and don't want to lose 'too' much.

Read it here: http://www.huffingtonpost.com/david-coates/banker-power-trumping-dem_b_1101305.html

Here's a quote from the article by David Coates, Worrell Professor of Anglo-American Studies, Wake Forest University, Department of Politics:

'The problem of sovereign debt is currently being compounded by the terms which financial institutions inside and outside the Eurozone are now demanding as proof of the ultimate reliability of the loans they have made/are making. The terms are austerity terms - demands for huge and immediate cuts in public spending of the sort normally only inflicted on third world economies in receipt of an IMF bailout. The casualties of those requirements are not bankers. They are European workers and the European poor. By hitting both, so lowering consumer demand, the terms set as new loan guarantees will inevitably push economy after economy into stagnation/recession, lowering the level of GDP and perversely increasing the debt burden. As Martin Wolf put it, "the Eurozone has decided that the losses of private sector creditors should be socialized and the ultimate burden fall on the taxpayers of deficit countries. The latter will then suffer first a slump and then years of fiscal austerity." How then can we be surprised that Eurozone unemployment is now at record heights - some 15.7 million people were out of work across the zone as a whole in September - and that sane voices, in the European labor movement and beyond, are now arguing strongly for a jobs and growth strategy rather than an austerity one, begging European leaders not to compound a banking crisis with a self-inflicted recession. It is a call that major European political leaders - particularly those in Berlin and Frankfurt - are not yet heeding, to their immediate discredit and to our future discomfort. '

Holy cow, Barry, it's really scary.

Maybe we should burn a few bankers at the stake, just like Philip IV of France did to Jacques de Molay and the Knights Templar in 1314.

What goes around comes around.

Your pal,

War With Iran Coming

Hey Barry:

One of the former CIA guys - Michael Scheuer - gives a realistic view of our policy in the Middle East.

See it here: http://www.youtube.com/watch?v=cLjZoA3GaVE&feature=player_embedded#!

Bottom line: we'll be there for a long time, but we should try to stop creating more enemies while we're there. Our idea of putting more troops on the Arabian peninsula, even after leaving Iraq and Afghanistan, gives the radicals ammunition to hate America.

That means we need to be more realistic about Israel and about democracy.

Democracy probably will not take over there, despite the Arab Spring. Their histories argue against it in Tunisia, Libya and other places.

And, there's a good chance we will be at war with Iran.

Here's something new about that: 'ISRAEL has refused to reassure President Barack Obama that it would warn him of a pre-emptive strike on Iran's nuclear infrastructure, raising fears that it may be planning an attack as early as the next northern summer.' [http://www.smh.com.au/world/israel-refuses-to-alert-us-over-iran-attack-20111113-1ndq4.html]

Holy cow, Barry, I hope Scheuer is wrong. Right or wrong, it's a thought provoking discussion from a man who knows his way around.

Hillary has her work cut out.

Your pal,

UPDATE 12.7.11 CORZINE: Hold Bankers Financially Responsible

Hey Barry:

A NYT writer has called for an end to bonuses for bankers.

http://www.nytimes.com/2011/11/08/opinion/end-bonuses-for-bankers.html

It's a good idea but it does not go far enough.

Here's a better idea: Require that bank executives personally guarantee that their decisions won't harm any shareholders or depositers.

I know that we can pursue corporate officers after they are convicted of a crime, but with a direct indemnification, I am pretty sure we can recover money more quickly.

Of course the FDIC already protects depositors, but nobody protects the poor bank shareholders.

Sob.

Itsa little tongue-in-cheek idea, but it has a point.

Here's the point:

The current system gives bankers incentives to create great fortunes by stealing from their depositors and shareholders.

That's just not right.

UPDATE 12.7.11: Y'all can watch Jon Stewart eviscerate Jon Corzine and the whole 'gimme, gimme' culture that is our financial system:

http://dealbook.nytimes.com/2011/11/09/the-daily-show-addresses-the-walking-debt/?WT.mc_id=MO-PS-E-PS-TXT-DBOOK-ROS-1211-NA&WT.mc_ev=click

So, let's take away that incentive to steal by requiring bankers to pledge their personal assets as performance guarantees.

'Put your money where your mouth is.'

Whattya say Barry, it makes sense don't it?

That way we can sue 'em when they screw up with our money.

Your pal,

The Real Problem With Banks

Hey Barry:

Since I'm always talking trash about bankers, I thought I should explain exactly what the problem is.

So, here's the deal. Way back in the middle ages, bankers set up a system where there are endless opportunities for crooked behavior - money is actually lying around for their taking - and yet we assume and expect them to act like saints and not take anything that is not theirs.

See, the world used to be a scary place back in the 1100's when bankers got started - you had a good chance of being robbed if you carried any cash at all. So, you did the sensible thing and put it in a bank.

And, as long as you were sure you could get it whenever you wanted, you just left it there. You used the banker's receipts for your cash instead of carrying around all the metal.

So there are the bankers with huge vaults filled with cash that is just lying there not doing anything. On top of that, the case can be made that the gold and stuff belongs to the bank anyway. Even further, it is their job to use some of that cash to help the bank make a profit. And on top of all that, they don't have to tell anyone about it except other bankers.

That is just too much for the average human. I don't care how good a person you are, when you find a $100 bill on the sidewalk where no one is watching, you are gonna pick it up and you are gonna keep it.

Nobody even notices that some money is missing until the bank is about to go under.

Y'all can read about Jon Corzine and MF Global here: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/11/05/national/w063614D05.DTL

Holy cow! What do you expect?

Well, I expect that some of those bankers will succumb to temptation and TAKE THE MONEY.

It is not rocket science, after all.

If no one is watching and loose money is lying around - some of it is gonna go missing.

Now, I could 'splain the fractional reserve system and its interactions with both the repeal of the Glass-Steagall act and the continuing bank de-regulation philosophy in the good 'ol U S of A - and I could even throw in the FED and its commitment to bail out the banks which get into trouble from stealing too much money.

If anyone is interested, I'll be happy to do all that - just let me know.

Or, you could read Wikipedia here: http://en.wikipedia.org/wiki/Fractional_reserve_banking

But, the point is this: Bankers are human and some of them are crooks.

If we let them alone, they will steal.

They will steal your money and they will steal my money until our money is gone. Then they will ask the FED for more money.

We have seen it before and we will see it again.

It's just a stupid system.

So, we can't leave them alone. And we gotta change the system.

Duh.

Your pal,

Fighting Banks for 700 Years

Hey Barry:

I know it seems like I rag on the banks a lot.

You know what, I do.

And, the thing is that they deserve it, big time.

But, turns out that I am genetically predisposed to criticize banks - if y'all believe that sort of thing.

My ancient ancestor was Philip IV of France. He was the King who took down the Knights Templar. The Knights were the original international bankers.

Y'all can read the basic history here:

http://www.history.com/news/2011/07/26/who-were-the-knights-templar/


And, y'all can read the Templar's point of view here - they really did not like Philip:

http://blog.templarhistory.com/2010/03/philip-iv-1268-1314/

So, Barry, the banks have been fighting governments and people for about 700 years.

Imagine that: This fight began in 1314 AD when Philip condemned Jacques de Molay and burned him at the stake.
And, the fight will be around for some time.

It's bankers against the rest of us. I know which side I'm on Barry. It's the same side as FDR was on - the Glass-Steagall side.

Which side are you on, Barry?

You gotta choose one.

No fence sittin on this fight.

Your pal,

Who's Really in the Shadows on Halloween

Hey Barry:

Wanna be really scared?

Wanna have a sleepless night?

Read about the shadow reps plotting to sell out the rest of the country here:

http://www.nytimes.com/2011/10/30/us/politics/outside-groups-eclipsing-gop-as-hub-of-campaigns-next-year.html

Words fail.

Your pal,

Another Gift from Banks

Hey Barry:

To a large degree the overall wealth of the country is based on clear title to real property. Clear title means you can prove that you own your house.

But, if the legal basis for real estate ownership is unclear, it will be difficult to create ANY new wealth in the economy.

And, if there is no new wealth, then there will be no economic growth.

Further, without economic growth, we will continue the vicious cycle of unemployment and shrinking wealth we see today.

Just another gift from the criminal bankers.

Read it here: www.ritholtz.com/blog/2011/10/mers-has-broken-or-diluted-chain-of-title/

So Barry, fix it first, then jail the SOB's.

Your pal,

Take Down the Banks - Pass Glass-Steagall

Hey Barry:

Turns out that banks really do run the world.

See the science here:

http://www.newscientist.com/article/mg21228354.500-revealed--the-capitalist-network-that-runs-the-world.html

We gotta take them down Barry.

Take them down.

It ain't right that a tiny group of greedy, crooked big money bastards can ruin our lives.

That's why we had that discussion in 1776.

Since then, the same group has moved over here.

Time to take em down, Barry. We don't need them.

Just pass Glass-Steagall, nothing to it.

Your pal,

Leaving Iraq at Last

Hey Barry:

Good news that we are leaving Iraq. We will pray that the Iraqi people can fnd some peace.

Meantime, our State Department will muddle through with billions of dollars of private security to protect our embassies and consulates.

Please ask Hilary to get a better handle on controlling those folks - we've had problems before.

Details here: http://www.wired.com/dangerroom/2011/10/obama-iraq-eternal/#more-60838

Your pal

Gadafi Dead - Now What?

Big congrats Barry

Y'all did it right and Libya's free.

The good ol U S of A is on the right side of history here.

Feels good.

But, we need to look ahead, Barry.

Here's what we gotta do next.

We gotta put on a dark cape of humility and offer the Transitional Council some help and some advice.

Why humility, Barry?

Simple - we caint do doodly at home, so we don't get to mouth off to the Libyans, or anybody else for that matter. We are corrupt, broken and humbled, so we need to speak softly.

We can offer the help they ask for - lock down all the guns, clean up the water, build some schools, rebuild the power, and so on.

As to advice, well, 'bout the only advice they gonna need is the advice I been tryin to give you and the OWS folks on how to restructure our economy.

Here it is: www.mkeever.com/owsplaneleven.doc

Please, please do NOT send in American corps, bankers and Ivy League Econs - they'll just screw it up. Like they did in Russia and Iraq.

Thanks, Barry.

Your pal,

OWS - Plan Eleven

Hey Barry:

This is for the OWS folks, but y'all can read.

Although I cannot speak for or represent the protests in any capacity, I hereby offer a proposal to restructure our economic system to create more justice in the hope that it will be considered by OWS.

PLAN ELEVEN

There are eleven policies which will create a new and more just society if enacted in the United States.

Enacting any one or two particular policies will improve the situation, but the maximum justice will be achieved when all eleven are adopted.

SPECIFIC POLICIES TO ENACT PLAN ELEVEN

1. Enact laws which make it easier for unions to organize workers. Enacting this policy will require enacting number 5, Withdraw from Free Trade Agreements, at the same time to prevent job loss from companies unable to compete with cheap imports.

2. Hire more Justice Department regulators to prosecute companies which break laws which encourage workers to form unions.

3. Enforce all anti-monopoly laws and pass more. The Justice Department has formulas which define monopolies.

4. Make oil, gas, electricity, water, sewer and telephone services into Public Utilities and regulate them with a Public Utility Commission.

5. Cancel all Free Trade agreements and replace them with tariffs that protect American jobs and companies.

6. Create a national industrial policy which identifies those industries we want and protects them.

7. Tax away the great fortunes and incomes for they drain resources away from job creation.

8. Restore Glass-Steagall so that commercial, lending banks can NOT buy assets - fix the biggest mistake we have made since 1789.

9. Keep Social Security and Medicare as high as possible.

10. Manage our debt so that we borrow when we need stimulus. We can keep the average annual fiscal deficit around 3% of GDP over time with a little work, but with high unemployment, it is the time to stimulate, not contract.

11. Require that broadcasters provide free access to qualified political parties as a condition of their FCC license.

Respectfully submitted by your supporter. I am happy to expand on any or all of these at your convenience. Email is: mckeever.mp@gmail.com

Volcker Rule Proposal - Impossible

Hey Barry:

I was looking for ways to improve the proposal to help our country. Given the political system realities we face today, it is my opinion that the Volcker proposal will fail to help the country.

A reasonably careful reading of the Draft proposal provides clear evidence of numerous exceptions, qualifiers, definitions and other obfuscatory statements which may well compromise the Rule's efficacy or, alternatively, provide ample work for litigation attorneys and financial industry lobbyists.

We do not need that.

We need financial industry stability.

The Glass-Steagall act provided that stability for fifty years.

The Volcker rule will not provide stability.

Drop the Volcker rule and reinstate the Glass-Steagall Act.

Please.

Your pal,

Sensible Plan for Bank Failures

Hey Barry:

We know that we will see even more major bank failures very soon, probably as a result of the European situation as a proximate cause, but primarily due to underlying conditions of corruption and greed.

We need a plan of what to do when it happens.

Here is the plan:

1. Fire Timothy Geithner now. He will be unwilling or unable to implement any sensible solutions since his loyalties seem to lie elswehere than what is good for the country.

2. Upon a request for financial assistance from the Treasury or the FED beyond normal requests for short term loans by any bank of any size, or upon clear evidence of insolvency, immediately seize all the bank's assets and properties.

3. Close the bank for ten days.

4. Fire all managers.

5. During that time, liquidate all operations and assets involved in non-lending and non-depositor operations.

6. Ensure that the FDIC makes depositors whole.

7. Immediately begin a criminal investigation of bank management to locate which persons committed crimes or extra poor judgment.

8. Sue any bank manager found guilty of a crime to recover bank assets.

9. Re-open the bank under strict Glass-Steagall rules. Until Glass-Steagall is reimplemented by Congress and aggresively enforced by appropriate authorities, station a federal marshall in the bank to ensure that those rules are followed.

10. Under no circumstances allow the FED or the Treasury to rescue the bank without these changes.

These actions will ensure the stability of the country's money supply and prevent widespread catastrophes.

It is NOT throwing good money after bad.

Time for a change, Barry.

Your pal,

OWS - A New Way

Hey Barry:

Occupy Wall Street taps into all our frustrations about our country - the good ol U S of A.

We are broken.

The old ways don't work.

The new way has been developed by the Occupy Wall Street folks.

It is very different.

It has the potential to change the country.

I hope it does so, Lord knows we need changing.

Here's a report on how it looks from the inside:

http://www.truthdig.com/report/item/why_the_elites_are_in_trouble_20111009/

Pay attention to what they're saying Barry.

Your pal,

Volcker Rule Proposal: Problems 1, 2 & 3

Hey Barry:

I see some problems with the Volcker rule proposal.

PROBLEM ONE: CLARIFY STATUS OF 'NONBANK FINANCIAL COMPANIES'

While the proposal 'generally prohibits any banking entity from engaging in proprietary trading or from acquiring or retaining an ownership interest in, sponsoring, or having certain relationships with a hedge fund or private equity fund (“covered fund”), the language that may extend this coverage to 'nonbank financial companies' is unclear.

It should be made clear that all the provisions of the proposed rule apply to all nonbank financial companies as well as any banking entity.

It should also be made clear that any institution which accepts deposits from the public or other institutions and/or lends money to any person or entity is considered a 'banking entity' or 'nonbank financial company' and is subject to the rules.


PROBLEM TWO: Section 13 of the BHC Act.

While 'Section 13 of the BHC Act generally prohibits banking entities from engaging in proprietary trading or from acquiring or retaining any ownership interest in, or sponsoring, a covered fund,' the rule does not specify 'nonbank financial companies'.

This should be amended so that the rule applies to all 'banking entities' and 'nonbank financial companies'.

PROBLEM THREE: EXEMPTIONS

Section 13(d)(1) of the BHC Act includes exemptions from these prohibitions for certain permitted activities, including:

'Trading in certain government obligations;

Underwriting and market making-related activities;

Risk-mitigating hedging activity;

Trading on behalf of customers;

Investments in Small Business Investment Companies (“SBICs”) and public interest investments;

Trading for the general account of insurance companies;

Organizing and offering a covered fund (including limited investments in such funds);

Foreign trading by non-U.S. banking entities; and

Foreign covered fund activities by non-U.S. banking entities.'


All these exemptions should be removed so that the rules apply to all 'banking entities' and 'nonbank financial companies'.


Allowing these exemptions will allow some 'banking entities' and 'nonbank financial companies' to circumvent its provisions and render the rule impotent. Such rendering of the rule will place the entire financial system at risk.

These should be fixed, otherwise the rule will be useless.

Your pal,

Speak Truth to a Bank

Hey Barry:

Well - we can make comments on the Volcker rule proposal.

My comment is this: It's too weak. Make it stronger.

It was passed as part of Dodd-Frank. I thought it was already adopted; but it seems that it is just now available for comment.

Please go to the site and tell them what you think - a chance to tell the bankers directly and exactly what you think.

Find the site here: http://cdn.americanbanker.com/media/pdfs/093011VolckerRulePreamble_FINAL_DRAFT.pdf

Then follow links to post your comment.

Go for it - don't be shy or pull punches.

The banks got us into this mess and a strong Volcker rule can help prevent another mess.

We can postpone some future crisis if we restore the Glass-Steagall law so that commercial banks can NOT buy assets. Killing this law was the single biggest mistake we have ever made as a country; now commercial banks can now speculate in the stock and commodity markets with free money from the FED. Not only does it create the mega-fortunes we see, but it also kills any effective monetary policy. Monetary policy cannot work when banks have no incentive to make low profit loans and every incentive to gamble. Further, the BMB's keep bribing Congress and regulators so the situation won't change.

The Volcker rule proposal is a weak attempt to address this. Banks will try to water it down.

Don't let them.

Your pal,

Revisiting Bank Regulation

Hey Barry:

One of the biggest problems we face today and one which contributes to unemployment, destroys jobs and generally is bad for the country is the current state of bank regulation.

Bankers caused this mess around the world. So far we have not developed a way to prevent further problems caused by banks. The Dodd-Frank bill is just a start toward effective regulation, but even it has been gutted to impotence by our corrupt legislature.

I will outline the McKeever Method of regulating banks below.

If put in place, our world would be better for all.

You can read a paper I wrote on bank regulation in 2009 here: www.mkeever.com/bank_regulation_usa.doc

Here's a simplistic view of how bank structure would work in a McKeever world:

COMMERCIAL BANKS

Commercial banks can lend money for businesses, houses, commercial property and cars. They may not be the beneficial owner of those assets, I think that is the correct term. They cannot sell stocks, insurance or any other products.

They may own real estate that they occupy only - no investment property.

Commercial banks can receive money from the public for demand deposits, CD's, time deposits and any other instrument backed by the FDIC. They may not receive money from the sale of any asset unless they sell it as result of foreclosure.

Commercial banks will be monitored closely by the FED for good financial structure, management, loan portfolio soundness, etc.

Failing commercial banks, since they possess part of the country's money supply, should be wound down slowly and absorbed where possible, after making depositors whole.

INVESTMENT BANKS

Investment banks can buy shares of stock in any company or any asset they choose. They may not borrow funds from the FED.

Any security or product sold by an investment bank must be approved by the SEC - there are NO black boxes. All is disclosed.

Investment banks can go bankrupt regardless of size.

Of course, making these changes is difficult and politically charged. And, even if all these were implemented tomorrow, they would not solve our current mess, but the changes would help prevent future problems, IMHO.

Your pal,