Tuesday, 30 September 2008
Cato Institute and the Viking Utopia of Edward H. Crane
I’m fed up of listening to the US Cato Institute mantra, “pull Government out of Government,” and “free market—free market,” repeated by the US and UK Conservatives and other so-called Libertarian capitalists throughout the Western financial circles. It’s an invitation to anarchism where hooligan Bankers thrive, discarding the shackles of normal regulatory controls and then risking other people’s money in a Cavalier manner. Laissez-faire economics is economics Viking style: bash, grab and run—eminently suitable for the NINJA Mortgage Bankers who then fob off their toxic waste onto others less prudent and financially aware, backed by useless unregulated Credit Rating Agencies.
In a civilised society, we have police to prevent hooligans on the streets from mugging the innocents, and in financial circles, we need the same sort of police to regulate the hoodlum Banker from mugging the innocents with worthless toxic papers. The only policeman the Bankers will listen to is Government regulators. That is why we elect a Government—to put order into society—to regulate and prevent anarchy. Minimising Government suits those with money—not society as a whole.
The “free market” mantra is espoused by those who really want to loosen all Government controls and be allowed to do what they can get away with on the financial stage. Edward H. Crane hid behind Cato the Younger’s venerable name in imitation of John Trenchard and Thomas Gordon, who had good reason to hide their identity from the Hanging Judges of the day—but Edward H. Crane hid for PR reasons, judging that Cato’s name would give his modern Viking ambitions, respectability. This so called “libertarian think tank” wishes to limit government [regulation], promote individual liberty [to buy more guns and set up survivalist camps], encourage [Viking style] free markets, and sponsor peace [a piece of the action]. The devious Institute advocates diminished government intervention in domestic, social, and economic policies and decreased military and political intervention worldwide.
Before WWII, the latter was called “isolationism,” and made this Ostrich stance highly unpalatable at home and to the rest of Europe. It created Pearl Harbour because the Japanese didn’t think the US would react. Head-in-the-sand means you get your arse kicked without knowing who’s doing the kicking. With the current TEN super aircraft carriers, the US is a worldwide power, and withdrawing into isolation, as the Cato Institute advocates, means others will fill the void at the US’s expense. THE CLOCK CANNOT BE TURNED BACK—or don’t they know that? You can’t go back to 50BC or 1755. Grow up and live with the present day complexities! Stop trying to look for “idealised” solutions.
Libertarian dogma is just as bad as Liberal dogma. Both suck! Both are bipolar rigid forms of thinking and counter survivalist. Survival of the fittest, Darwinian style, means you get stuck in and battle it out—not become an isolationist idealist. Cato Institute “expert scholars” blame “Government” again-and-again in differing tedious language promising that if only Governments would stop being Governments, all would be well in the “libertarian free market.” Don’t they understand that each problem has its individual solution and in a complex world, the solutions are complex? So live with it! Stop looking for nonsense ideals and the easy ways out.
That Penn & Teller are also Fellows of the Cato Institute, may give an indicator as to where its libertarian policies originate—in illusionism? Another “honoured” follower is Thomas Szasz, whose views on special treatments follow from classical “liberal roots” based on the principles that each person has the “right to bodily and mental self-ownership.” Szasz believes that suicide, the practice of medicine, use and sale of drugs and sexual relations should be private, contractual, and outside of state jurisdiction. [Doctor Kevorkian for President? Mass murdering GPs? Quacks? Heroine? Cocaine? Paedophilia? Rape? All out of state control? Is he totally irresponsible?] Szasz also thought schizophrenics were just normal people and should be accepted as such. He claimed that “mental illness was a myth.” 99.5% of Psychiatrists disagree.
Worse than the above and most damning of all, for me, is the Institutes constant harping back to 1787, as if they were incapable of moving on, or living in the present. In David Boaz’s Libertarianism: a primer (1977), Boaz ends his “primer” with the paragraph heading: “Toward a Framework for Utopia,” with the following crass sentence: “I'm pretty sure we will be freer 100 years from now, and I'm confident that our descendants 1000 years from now will live in a freer world. The third millennium will be the millennium of the free individual.” I’ve rarely come across such awful drivel as claiming to predict what we will be like in a 1000 years, and another Utopia at that. Look back a 1000 years and compare it to now—would anyone have predicted in 1000 AD what we have now? Predictions of such a time scale are sheer nonsense—which condemns the “primer” as no better than that French apothecary, Nostradamus's Les Propheties.
Furthermore, the type of people the Cato Institute attracts is people who want to do as they please without any interference from societal norms. Anarchism by another name while hiding behind Cato the Younger (95–46 B.C.), who may have championed liberty and republican principles, but that was TWO THOUSAND YEARS AGO, when slavery was the norm. Maybe Edward H. Crane hopes to be installed as a new magister populi if he can convince the US to reinstall the old Roman Republican ethos? I suggest Crane has more in common with Julius Caesar than Cato the Younger! What about renaming his baby, the “Caesar Institute?”
Saturday, 27 September 2008
Stop Taxpayer Bail-out of Fat-Cat Bankers—NO $700bn for Bankers
Last Friday, 19/9/08, President George W. Bush, flanked by Treasury Secretary Henry Paulson, Federal Reserve Board Chairman Ben Bernanke and Exchange Commission Chairman Christopher Cox, called for a government bailout of Wall Street in the name of “our system of free enterprise,” to the tune of $700bn of taxpayers money. Once again, Bush shows his aphasia by using “bailout” and “free enterprise” in the same sentence. A bailout is anathema to free enterprise—or has his Haliburton experience totally undermined that notion.
The American people are totally against this bailout. Citizen taxpayers of America are emailing their Congressmen to put a stop to this handout—so much so, that the email servers in Congress crashed with the amount of traffic. They are outraged that bankers, of all people, NEED a bailout. They certainly do if they are to keep their ill gotten gains after splashing around the toxic mortgages—but why should each taxpayer in the US be forced to hand them $2,000 per person just so the bankers don’t suffer. "Tax Payers Against a Wall Street and Mortgage Bailout"
If we go into a recession then that is the price that’s paid for artificially pushing up the stock market for over 20 years. It may even encourage a little fiscal probity and belt tightening, instead of media encouraged unfettered spending. The bull needs castrating. A new financial world order with proper fiscal regulation to stop short selling, among other things, needs to be put in place, and Banks need to be properly regulated (Holding Co’s) and the regulations enforced.
If Bankers don’t suffer for their manufactured fiasco—then how are they to learn that they too can get burned? If we go into a recession, we will know whom to blame and maybe the merry bull market will be finally corrected. Want to blame somebody—blame the Mortgage Bankers and Mortgage Brokers wherever mortgage mis-selling has occurred. Oh—and don’t buy what you can’t afford!
Monday, 22 September 2008
The Ambulance Chasing Media in the Soft West is Out of Control
It is with a profound deep regret that I find myself denouncing the Western media’s addiction to negative calamity reporting. It seems clear to me that every facet of our media industry is dedicated to finding the nastiest story, uncovering the most banal concoctions, purveying the worst dirt and determinedly undermining the beleaguered institutions of our society. “That is what sells the papers,” used to be their excuse for trawling through the sewers. The fact is that the media is “Out of Control.”
The consequences of decades of pounding the public with their inane drivel, is a harassed nervous population who are undoubtedly impressionable to their message. The constant pointless “news” barrages online and on TV to justify their fat-cat media jobs, backed up by the oft-repeated supplication: “You must have an opinion on ………..” whatever they are pushing at that moment, must be declared as simply brainwashing. People who ignore or dismiss their mouldy sensationalist news are implied to be somehow stupid or not with it. This type of continual indoctrination in the name of freedom of speech and liberalism is obviously supported by the Advertising Industry for whom a malleable public is a bonanza—and by the sordid politicians who employ the media and advertising industry at election time. Not only have the media brainwashed the public, but even themselves into believing they are doing a worthwhile job. Out of Control.
If an example was needed, then the current US Presidential elections are apt. The only message “donkey” Obama has for his campaign is: “change,” and what kind of silly message is that? McCain’s message isn’t much better—both contenders relying heavily on their financial support to buy the media coverage (Plutocracy not Democracy). Another example was the Western media’s single-handed destruction of the US war effort in Vietnam, supported by the lefty loons. Look at Vietnam now—corrupt and poor. Compare it with the situation where the media behaved impeccably in support of it armed forces and the US won the war in 1953 in Korea. Look at South Korea and compare it with North Korea. These are hard examples of cause and effect. A third example was where the media unquestionably was the single cause of death of Princess Diana. The pros and cons of her behaviour is not the point—the cause of her death is. Not only do they report tatty news, but also they chase the tat in the most aggressive and intrusive way. What was the point of such reckless paparazzi behaviour? A few lousy pictures and a column in a scandal sheet. Out of Control.
I’m certainly no supporter of Putin or his KGB Government, but I do applaud his suppression of an out-of-control media and it has my support. The Russian media was even worse that the Western media with its continual outrageous gossip on non-existent “conspiracy theories.” The Russians and other ex-communist state populations are more susceptible to media brainwashing and consequently their media should have been more sensitive to what it published—yet it wasn’t; they dived into imitating the worst of the Western media. They were entirely Out of Control.
Were the media more responsible, I would be writing in support of their “freedom” to “publish and be damned.” However, it must be pointed out that the current liberalist-publishing regime is corrupting and destroying the West. Most of Asia, Africa, and the Middle East rigidly control their media, knowing the power the media has at its command.
Our media acts as a propaganda tool for Al Qaeda, every time Bin Dustbin (Laden) issues a pronouncement, our media rushes to inform us of what he says. Out of Control. It acts as a voice of the illegal immigrant, taking their side as opposed to the law-abiding majority in the country. BBC pushes the gays, C4 and ITV push the Muslims, and most of the rags lean to the left, some more reluctant than others. All the Media Department in Britain are staffed by left leaning lecturers—producing lefty journalists. (From personal experience). The ordinary person in the street is portrayed as being Asian or black, at least the camera searches that particular type out to interview—marginalising the majority White Anglo Saxon Protestant for PC dogma. The Western media is Out of Control. Unless governments begin to clamp down—and I can hear the phoney outraged screams already—the West is going to go down to the new Muslim and immigrant invasion and they will impose Sharia and the like on our Out of Control media. Gadaffi got rid of his programme of Weapons of Mass Destruction in anticipation of this future outcome—with this sneaky takeover attempt, he didn’t need them.
Wake up people of the West—you and your values are about to become extinct with your soft “oh!” PC mentality. Get off your couches. Toughen up—bring your kids under control and think for yourselves. Lobby your politicians to impose a restraint on the media. Save Western values. They are worth fighting for.
The consequences of decades of pounding the public with their inane drivel, is a harassed nervous population who are undoubtedly impressionable to their message. The constant pointless “news” barrages online and on TV to justify their fat-cat media jobs, backed up by the oft-repeated supplication: “You must have an opinion on ………..” whatever they are pushing at that moment, must be declared as simply brainwashing. People who ignore or dismiss their mouldy sensationalist news are implied to be somehow stupid or not with it. This type of continual indoctrination in the name of freedom of speech and liberalism is obviously supported by the Advertising Industry for whom a malleable public is a bonanza—and by the sordid politicians who employ the media and advertising industry at election time. Not only have the media brainwashed the public, but even themselves into believing they are doing a worthwhile job. Out of Control.
If an example was needed, then the current US Presidential elections are apt. The only message “donkey” Obama has for his campaign is: “change,” and what kind of silly message is that? McCain’s message isn’t much better—both contenders relying heavily on their financial support to buy the media coverage (Plutocracy not Democracy). Another example was the Western media’s single-handed destruction of the US war effort in Vietnam, supported by the lefty loons. Look at Vietnam now—corrupt and poor. Compare it with the situation where the media behaved impeccably in support of it armed forces and the US won the war in 1953 in Korea. Look at South Korea and compare it with North Korea. These are hard examples of cause and effect. A third example was where the media unquestionably was the single cause of death of Princess Diana. The pros and cons of her behaviour is not the point—the cause of her death is. Not only do they report tatty news, but also they chase the tat in the most aggressive and intrusive way. What was the point of such reckless paparazzi behaviour? A few lousy pictures and a column in a scandal sheet. Out of Control.
I’m certainly no supporter of Putin or his KGB Government, but I do applaud his suppression of an out-of-control media and it has my support. The Russian media was even worse that the Western media with its continual outrageous gossip on non-existent “conspiracy theories.” The Russians and other ex-communist state populations are more susceptible to media brainwashing and consequently their media should have been more sensitive to what it published—yet it wasn’t; they dived into imitating the worst of the Western media. They were entirely Out of Control.
Were the media more responsible, I would be writing in support of their “freedom” to “publish and be damned.” However, it must be pointed out that the current liberalist-publishing regime is corrupting and destroying the West. Most of Asia, Africa, and the Middle East rigidly control their media, knowing the power the media has at its command.
Our media acts as a propaganda tool for Al Qaeda, every time Bin Dustbin (Laden) issues a pronouncement, our media rushes to inform us of what he says. Out of Control. It acts as a voice of the illegal immigrant, taking their side as opposed to the law-abiding majority in the country. BBC pushes the gays, C4 and ITV push the Muslims, and most of the rags lean to the left, some more reluctant than others. All the Media Department in Britain are staffed by left leaning lecturers—producing lefty journalists. (From personal experience). The ordinary person in the street is portrayed as being Asian or black, at least the camera searches that particular type out to interview—marginalising the majority White Anglo Saxon Protestant for PC dogma. The Western media is Out of Control. Unless governments begin to clamp down—and I can hear the phoney outraged screams already—the West is going to go down to the new Muslim and immigrant invasion and they will impose Sharia and the like on our Out of Control media. Gadaffi got rid of his programme of Weapons of Mass Destruction in anticipation of this future outcome—with this sneaky takeover attempt, he didn’t need them.
Wake up people of the West—you and your values are about to become extinct with your soft “oh!” PC mentality. Get off your couches. Toughen up—bring your kids under control and think for yourselves. Lobby your politicians to impose a restraint on the media. Save Western values. They are worth fighting for.
Saturday, 20 September 2008
Prime and Subprime Explained
Prime (ordinary) loan/mortgage—this is the standard type loan usually presented by lenders and brokers to any borrower with the usual standards of probity and security with a standard market interest rate, known on the market as Alt-A bonds and rated as AAA by the credit rating agencies.
Subprime (sub ordinary) loan/mortgage—this is the dodgy loan because of the lack of probity and security thus bearing a higher risk to the lender and attracting a higher (crippling) interest rate, known on the markets as Alt-B, Alt-C or even Alt-D such as the NINJA mortgages (see below for explanation). It was these that were mis-rated as AAA and should have been rated from C to D by the corrupt credit rating agencies. These are the papers being held by many financial institutions and are now considered worthless. “The US Government to buy distressed mortgages at deep discounts from banks and other institutions.” With this announcement on Friday Sept. 2008 Bush et al declared the Fed (taxpayers) was going to buy up these toxic worthless papers and recycle them as toilet paper.
Friday, 19 September 2008
Silly Capitalism and Corrupt Greedy Bankers
My carer is really hot under the collar over this.
What kind of “silly” Capitalism are the Americans running? Is it “adaptive” capitalism or “make-it-up-as-you-go-along” capitalism? I need an adjective to describe this new version they’ve come up with. Any suggestions?
Bush announcing America is abandoning capitalism
I’ve been brought up on “survival of the fittest” capitalism, where if a company does something stupid, the Market punishes the infringement and the Corporation goes under. It imposes a survivalist discipline and obliges a steep but lasting learning curve on the rest. This way, Corporations do behave—or go under. Now, we’ve had some twenty years of an outrageous Bull Market with speculators egging on the Market Makers to push the indexes ever higher, with little hint of a apposite correction—yet when the timely adjustment is in sight, the Fed, spurred on by the fat-cat Mortgage Bankers who have caused the Credit Crunch in the first place, piles in tax-payers money to buy up the toxic mortgages. They correctly allowed Bear Stearns, the second-largest underwriter of U.S. mortgage bonds, and Lehmans, to go to the wall, but seem unable to let the Markets do their job of punishing the corrupt mortgage bankers. The Fed nationalised Freddy and Fannie and AIG, and have now bailed out the other banks holding the worthless subprime papers by underwriting these valueless documents. The greedy have learned that it pays to be greedy and can thus continue on their merry way until the next time.
The question I began to look into was—who was responsible for this Credit Crunch—who invented subprime? There clearly was Congress collusion when it deregulated the financial sector in the mid-1970s leading eventually to the collapsing $1.3 trillion "subprime" mortgage business. I’ve had pathetic US FT journalists trying to blame those bloody French (in 1719) for their current subprime debacle.
A study argues that the considerable 2003 pullback of government-sponsored financial service corporations Fannie Mae and Freddie Mac from the mortgage credit market and their subsequent replacement by aggressive, private mortgage securities issuers in late 2003 had a significant impact on home prices and was more responsible than subprime lending for the drastic price run-up that peaked in early 2006. The researchers found that rising home prices up to 2003 could be explained by economic fundamentals, such as low unemployment rates, expanding household incomes and population growth. These factors fuelled housing demand and, in turn, increased U.S. home prices. During this time, Fannie Mae and Freddie Mac actively issued and purchased conventional, prime mortgage-backed securities. But in 2003, political, regulatory and economic factors–including accounting irregularities that led to Fannie’s and Freddie’s senior officers’ resignations and the capping of their retained loan portfolios–forced the two entities to significantly slow their lending volume. Private funding in the form of asset-backed securities and residential mortgage-backed securities replaced conventional, conforming mortgage-backed securities as the prevalent source of mortgage capital. The new looser credit environment allowed looser underwriting standards and increased tolerance for riskier, high-yield loan products, the study’s authors said. It also generated a borrowing climate that sought to provide previously marginal borrowers with additional access to credit — a movement that was heartily endorsed by the Bush Administration, who actively pushed its vision of “the Ownership Society” at that time, as well. The spend now pay later attitude worked in the retail sector and bounced out to the housing sector. The credit market bonanza led to a record increase in total mortgage volume, and pushed up home prices even more with a momentum characteristic of a bubble.
To increase business, Mortgage Bankers and the Mortgage Brokers colluded together to lend/sell the subprime mortgages to borrowers who had no business buying a home because they simply couldn’t afford it. The Bankers and Brokers made hundreds of millions out of this scam. Subprime lenders knew the risks they were taking, as did investors, such as hedge funds, who bought securities based on subprime loans. Subprime lenders often paid mortgage brokers commissions two or three times those on prime loans. These predatory lenders pushed high-risk loans on unsuspecting borrowers. The resultant chaos means that it is currently predicted that some two million Americans will lose their homes. Mind you, these same homeowners should never have been able to afford their own homes. Lefty PC style egalitarianism doesn’t sit well in a capitalist society—which is why PC should be dumped in the capitalist West.
Now, all the subprime lenders knew the risks they were taking, as did all the investors, such as the hedge funds that bought securities based on subprime loans. Subprime lenders often paid mortgage brokers commissions two or three times those on prime loans. These predatory lenders pushed high-risk loans on unsuspecting borrowers. Subprime loans, Alt-B, C, and D, were issued to borrowers who would not have qualified for ordinary Alt-A prime mortgages because of low incomes or a tarnished credit, and thus they carried special risks for all those involved. These subprime loans were even called Ninja Mortgages or NINJA loans—NINJA being an acronym standing for "No Income, No Job and No Assets." These bizarre loans required no down payment or proof of the borrower's income, and some even allowed borrowers to decide for themselves how much to pay each month. This is criminal irresponsibility and a recipe for the current disaster. To add to the problem, the credit rating agencies such as Fitch Ratings (e.g. A+), Standard & Poor's, and Moody's Investors Service (e.g. A1) consistently gave these worthless subprime loan bonds with 6 percent coupons backed by 30-year, fixed-rate “jumbo” an AAA rating. It’s like taking electroplated gold jewellery to an assessor and having them pronounced as pure gold—or a Zirconium declared a real diamond. We now know these subprime papers are as worthless as the credit rating agencies, who need to fold up business because they are no good.
Another culprit is Alan Greenspan, who actually encouraged the spread of homeownership during his tenure at the Fed—even when he knew that these homeowners couldn’t afford the mortgage because it was subprime. In a 2005 speech, which was called, “an insane, idiotic recommendation,” Greenspan endorsed subprime loans to help marginal borrowers get into houses. While the gravy was flowing, everybody in the US turned a blind eye to the scams they were participating in, actively or tacitly. However, now the blame game is in full flow.
John Robbins, Chairman of the Mortgage Bankers Association, says he is "mad as hell" at "a ‘few’ unethical actors" that have sullied his profession's reputation. Hang on mate, without your carefully crafted but shoddy mortgage “instruments” these “unethical actors” have nothing to sell—so give your false bluster a rest mate. Nobody believes the Mortgage Bankers are innocent. The Mortgage Bankers and the Brokers were in it together, and they made hundreds of millions out of this scam.
George Hanzimanolis, president of the Mortgage Brokers Group, complains that people are pointing at him and saying, 'It's the brokers. It's the brokers,' when they want someone to blame for the Credit Crunch. Wear it, if the hat fits, is what I say. You’re a big boy now and you knew what you were doing.
With today’s renouncement of capitalist principles, President Bush has effectively brought the Credit Crunch to an end by securitising the circulating worthless subprime paper bonds. This means the US taxpayer is to pick up the fallout from the subprime mortgage scam and the bailout will make Bankers and Brokers more reckless in the future. I’m frankly outraged. However, the worldwide recession isn’t over as Bankers belatedly tighten their lending criteria. The days of cheap credit are over and that will impact on our daily lives. The next two years will still require a tightening of belts and a lot more delayed gratification when it comes to buying those items online or in the shops.
What kind of “silly” Capitalism are the Americans running? Is it “adaptive” capitalism or “make-it-up-as-you-go-along” capitalism? I need an adjective to describe this new version they’ve come up with. Any suggestions?
Bush announcing America is abandoning capitalism
I’ve been brought up on “survival of the fittest” capitalism, where if a company does something stupid, the Market punishes the infringement and the Corporation goes under. It imposes a survivalist discipline and obliges a steep but lasting learning curve on the rest. This way, Corporations do behave—or go under. Now, we’ve had some twenty years of an outrageous Bull Market with speculators egging on the Market Makers to push the indexes ever higher, with little hint of a apposite correction—yet when the timely adjustment is in sight, the Fed, spurred on by the fat-cat Mortgage Bankers who have caused the Credit Crunch in the first place, piles in tax-payers money to buy up the toxic mortgages. They correctly allowed Bear Stearns, the second-largest underwriter of U.S. mortgage bonds, and Lehmans, to go to the wall, but seem unable to let the Markets do their job of punishing the corrupt mortgage bankers. The Fed nationalised Freddy and Fannie and AIG, and have now bailed out the other banks holding the worthless subprime papers by underwriting these valueless documents. The greedy have learned that it pays to be greedy and can thus continue on their merry way until the next time.
The question I began to look into was—who was responsible for this Credit Crunch—who invented subprime? There clearly was Congress collusion when it deregulated the financial sector in the mid-1970s leading eventually to the collapsing $1.3 trillion "subprime" mortgage business. I’ve had pathetic US FT journalists trying to blame those bloody French (in 1719) for their current subprime debacle.
A study argues that the considerable 2003 pullback of government-sponsored financial service corporations Fannie Mae and Freddie Mac from the mortgage credit market and their subsequent replacement by aggressive, private mortgage securities issuers in late 2003 had a significant impact on home prices and was more responsible than subprime lending for the drastic price run-up that peaked in early 2006. The researchers found that rising home prices up to 2003 could be explained by economic fundamentals, such as low unemployment rates, expanding household incomes and population growth. These factors fuelled housing demand and, in turn, increased U.S. home prices. During this time, Fannie Mae and Freddie Mac actively issued and purchased conventional, prime mortgage-backed securities. But in 2003, political, regulatory and economic factors–including accounting irregularities that led to Fannie’s and Freddie’s senior officers’ resignations and the capping of their retained loan portfolios–forced the two entities to significantly slow their lending volume. Private funding in the form of asset-backed securities and residential mortgage-backed securities replaced conventional, conforming mortgage-backed securities as the prevalent source of mortgage capital. The new looser credit environment allowed looser underwriting standards and increased tolerance for riskier, high-yield loan products, the study’s authors said. It also generated a borrowing climate that sought to provide previously marginal borrowers with additional access to credit — a movement that was heartily endorsed by the Bush Administration, who actively pushed its vision of “the Ownership Society” at that time, as well. The spend now pay later attitude worked in the retail sector and bounced out to the housing sector. The credit market bonanza led to a record increase in total mortgage volume, and pushed up home prices even more with a momentum characteristic of a bubble.
To increase business, Mortgage Bankers and the Mortgage Brokers colluded together to lend/sell the subprime mortgages to borrowers who had no business buying a home because they simply couldn’t afford it. The Bankers and Brokers made hundreds of millions out of this scam. Subprime lenders knew the risks they were taking, as did investors, such as hedge funds, who bought securities based on subprime loans. Subprime lenders often paid mortgage brokers commissions two or three times those on prime loans. These predatory lenders pushed high-risk loans on unsuspecting borrowers. The resultant chaos means that it is currently predicted that some two million Americans will lose their homes. Mind you, these same homeowners should never have been able to afford their own homes. Lefty PC style egalitarianism doesn’t sit well in a capitalist society—which is why PC should be dumped in the capitalist West.
Now, all the subprime lenders knew the risks they were taking, as did all the investors, such as the hedge funds that bought securities based on subprime loans. Subprime lenders often paid mortgage brokers commissions two or three times those on prime loans. These predatory lenders pushed high-risk loans on unsuspecting borrowers. Subprime loans, Alt-B, C, and D, were issued to borrowers who would not have qualified for ordinary Alt-A prime mortgages because of low incomes or a tarnished credit, and thus they carried special risks for all those involved. These subprime loans were even called Ninja Mortgages or NINJA loans—NINJA being an acronym standing for "No Income, No Job and No Assets." These bizarre loans required no down payment or proof of the borrower's income, and some even allowed borrowers to decide for themselves how much to pay each month. This is criminal irresponsibility and a recipe for the current disaster. To add to the problem, the credit rating agencies such as Fitch Ratings (e.g. A+), Standard & Poor's, and Moody's Investors Service (e.g. A1) consistently gave these worthless subprime loan bonds with 6 percent coupons backed by 30-year, fixed-rate “jumbo” an AAA rating. It’s like taking electroplated gold jewellery to an assessor and having them pronounced as pure gold—or a Zirconium declared a real diamond. We now know these subprime papers are as worthless as the credit rating agencies, who need to fold up business because they are no good.
Another culprit is Alan Greenspan, who actually encouraged the spread of homeownership during his tenure at the Fed—even when he knew that these homeowners couldn’t afford the mortgage because it was subprime. In a 2005 speech, which was called, “an insane, idiotic recommendation,” Greenspan endorsed subprime loans to help marginal borrowers get into houses. While the gravy was flowing, everybody in the US turned a blind eye to the scams they were participating in, actively or tacitly. However, now the blame game is in full flow.
John Robbins, Chairman of the Mortgage Bankers Association, says he is "mad as hell" at "a ‘few’ unethical actors" that have sullied his profession's reputation. Hang on mate, without your carefully crafted but shoddy mortgage “instruments” these “unethical actors” have nothing to sell—so give your false bluster a rest mate. Nobody believes the Mortgage Bankers are innocent. The Mortgage Bankers and the Brokers were in it together, and they made hundreds of millions out of this scam.
George Hanzimanolis, president of the Mortgage Brokers Group, complains that people are pointing at him and saying, 'It's the brokers. It's the brokers,' when they want someone to blame for the Credit Crunch. Wear it, if the hat fits, is what I say. You’re a big boy now and you knew what you were doing.
With today’s renouncement of capitalist principles, President Bush has effectively brought the Credit Crunch to an end by securitising the circulating worthless subprime paper bonds. This means the US taxpayer is to pick up the fallout from the subprime mortgage scam and the bailout will make Bankers and Brokers more reckless in the future. I’m frankly outraged. However, the worldwide recession isn’t over as Bankers belatedly tighten their lending criteria. The days of cheap credit are over and that will impact on our daily lives. The next two years will still require a tightening of belts and a lot more delayed gratification when it comes to buying those items online or in the shops.
Wednesday, 17 September 2008
“Respected” Media Adverts for Prostitution = Morality for Sale
Apart from the atrocious morality of dubious virgins offering to sell their questionable virginity to the highest bidder, there is also the sordid morality of presumed “respectable” online media rags publishing these Porn Adverts and pretending they are somehow presenting newsworthy items to the public.
I can accept The People and The Sun doing so because that is their stock in trade, but for The Telegraph, Daily Mail, The Observer and the BBC to get in on the act, and the latter using public funds to do so, is beyond the pale. So, these so-called “respected” online publishers seem to have taken it upon themselves to advertise prostitutes as part of their titillating offers. A further sign, if one was needed, that amorality abounds rampant in society and on the World Wide Web.
Here are just five of the prostitutes offering their questionable virginity up for sale in the online media:—
Virginity 4 Sale from Italy--Raffella Fico
—Italian model plans to sell her dubious virginity for €1 million. This Italian model who “swears” she has never had sex, hopes to sell her virginity for €1 million, or £792,000, to any idiot willing to waste the money.
Showgirl, and would be prostitute, men's magazine model Raffella Fico, 20, told an Italian magazine, "I can't wait to see who's going to pull out the money to have me." Miss Fico, who appeared in the Italian version of Big Brother earlier this year, said she would use the cash to buy a house in Rome and pay for acting classes.
That’s assuming she can convince the foolhardy punter that she is still a virgin. Any doctors in the house? If she’s a virgin, I’m a monkey’s uncle! By the way, would all the males in Italy who’ve had sex with her, please form an orderly queue. Reported by The Telegraph, Daily Mail, and The Sun.
Virginity 4 Sale from Peru--Graciela Yataco
—Peruvian model puts up her virginity for sale for $1.5m. Graciela Yataco, 18, said she offered to sell her virginity to the highest bidder, advertising herself in newspapers, on television and the internet. Some said her actions were nothing short of prostitution. Others said she needed psychological help.
Graciela earns around $60 a month acting or modelling in Lima, Peru’s capital. Her mother is too sick to work and she does not want her 12-year-old brother to miss school, and most important of all, she wants to improve her family's quality of life. (always some fatuitous excuse for immoral behaviour). In the event, a Canadian man offered her $1.5m (£780,000) for sex, but she finally turned him down when her outraged sick mother threatened to disown her.
At least someone in her family had the moral sense to rein in their stray offspring. Reported by The Observer in 2005.
Virginity 4 Sale from London--Rosie Reid
—This University of Bristol student was selling her virginity on the internet and said that she would go ahead, despite police interest. Rosie Reid, 18, a lesbian social policy student from Dulwich, London, said she wanted the cash to avoid graduating with too many debts.
According to her website, Rosie has closed the sale after receiving a £8,400 bid on Sunday 8/2/04.
That was four years ago—and this prostitute I actually believe, when she claims to be a virgin, because she is really someone that any self respecting man would kick out of bed. £8,400 to have sex with a cold lesbian—what was the bidder thinking of? Reported by the lesbian leaning BBC.
Virginity 4 Sale from California--"Natalie Dylan"
—This 22-year-old San Diego student has already earned her BA in women's studies at Sacramento State and now wants to fund a Masters with her virginity.
Natalie attempted to sell her virginity on eBay, but eBay refused. Now her virginity is up for sale online at the infamous Nevada Moonlight Bunny Ranch, the brothel where he sister works. This 22-year-old San Diego student, who goes by the alias "Natalie Dylan," claims she wants to pay for her college education. She says she's already earned her bachelor's degree in women's studies at Sacramento State and that in January 2009, she'll start her master's work in marriage and family therapy there (are you kidding?). She hopes to get a doctorate (in prostitution?). “Why shouldn't I be able to capitalize on my virginity?" Reported by City News, from California.
If this one’s a virgin, I repeat, I’m a monkey’s uncle.
Virginity 4 Sale from Manchester--“Carys Copestake”
— A baby-faced teen, who refuses to have her face photo published, is trying to sell her virginity for £10,000 so she can pay her way through university.
“Carys Copestake” hides behind a false name to advertise her body on a website favoured by prostitutes—and her parents, with whom she still lives in Denton, Manchester, have no idea. Using the come-on: "Virginity For Sale £10,000," she adds, "Hey, I think the title says it all. I'm an 18-year-old virgin with student funds to pay and I'm looking to sell my first time right here. I'm brunette, 34C, green eyes, all in proportion and good looking." She explained she was due to start a four-year physics course at Salford University in September. "I don't know how to prove to you that I'm a virgin. You'll have to trust me."
Is she that stupid or what? For £10,000 I would want proof of her virginity. But wait—what an innovative idea? Why don’t all the other female students do the same? Could it be that they still have some vestigial sense of morality. Reported by The People.
Sunday, 14 September 2008
Chaos in English Society with a PC agenda
‘Creationism should be discussed in school science lessons,’ says the director of education at the Royal Society in Britain. He added that with increasing numbers of children holding alternative beliefs, creationism should be viewed not as a “misconception” but a “world view”. Sometimes, some science teachers think that because creationism and intelligent design are scientifically invalid, that means anybody holding them is being a bit stupid. That is something I would not want to convey,” Reiss said. He continued, “I don’t think that Richard Dawkins would probably at the moment be an ideal teacher (in Reiss’s piss-poor opinion) for teaching classrooms where a high proportion of the children come from families that hold creationism beliefs……And that about says it all “Professor,” thank you and kindly leave the room.
Zoologist Professor Richard Dawkins, a Royal Society fellow, said, ‘A clergyman in charge of education for the country’s leading scientific organisation—surely it’s a Monty Python sketch.’
Kids hold “alternative beliefs” because of people like “Professor” Michael Reiss who is keen on confusing them for his own agenda. One moment he declares that creationism is scientifically invalid, the next he wants to explain it in science classes. Typical double talk by a priest cum teacher.
Science education in the UK is in crisis with the Government allowing the building of a swathe of religious backed academies—and this so-called Professor of Science Education suggests that Science Masters waste Science classroom time on “world views” and alternative “beliefs” that he admits are scientifically invalid. What fantasy world is he living in? If you must address creationism, or the PR version of it—“Intelligent Design,” then do it in religious classes and leave science classes to teach bona fide science.
UK teachers push Trotskyism, liberalism, and now religion; anything but what the kids needs to be taught. France leads the European Space Agency but Britain can’t even afford a national space programme. Science is NOT a priority in the UK—however, Brown’s ego is. China, Japan and India are blossoming with hard-headed Science and science students who are eager to innovate while this muddle headed fool of a “Professor” invites more chaos into UK science classes. This chaotic British approach has lead to UK Universities having a decaying science base staffed by disillusioned science lecturers churning out poorly qualified scientists, and even then there is a short fall of these new scientists. Oh how the mighty British Empire has fallen!
Other Fellows of the Royal Society, including a number of Nobel Prize winners, complained about the financial links between the Royal Society and the Templeton Foundation, a conservative US organisation that seeks to establish links between science and religion. The latter funded a lecture course at the society as a direct result of Professor Reiss, a biologist and Church of England minister, making a mockery of its founding fathers.
A (idiot) spokesman for the Royal Society rejected the principle that it was inappropriate for a clergyman to hold a senior post at the organisation. ‘Michael Reiss’s views are completely in keeping with those of the Royal Society,’ he said. (Are you kidding?)
Professor Michael Reiss MA, PhD, PGCE, MBA, FIBiol, Anglican priest and journalist, Professor of Science Education, Faculty of Culture and Pedagogy, Dept. of Geography, Enterprise, Mathematics & Science, Institute of Education, University of London.
This professor has his fingers in many distinguished pies, which suggests he’s energetically following his aggrandisement, much in the manner of his pastoral leader, Rowan Williams, while disseminating chaos wherever he goes.
Friday, 12 September 2008
Saturday, 6 September 2008
“Paris Match” — Media Prostitutes —"abject voyeurs"
Olivier Royant, what the hell were you thinking of? How much did the Taliban pay you to publish their propaganda for them? You are a filthy traitor to France and its long history!
“3 Septembre 2008
Exclusif : nos journalistes ont retrouvé les talibans qui ont abattu les dix soldats français---L'événement. Eric de Lavarène a rencontré un des assaillants qui ont tendu un piège fatal aux hommes du 8e RPIMa le 18 août dernier en Afghanistan.”
And below is one of the offending photos where you see a Taliban killer wearing the uniform of one of the 10 dead French soldiers while Véronique de Viguerie snaps away oblivious of the pain she will cause to the dead soldiers families.Joel Lepahun, the father of one of the killed soldiers said, "It's a terrible shock to see our children's killers parading their uniforms, their weapons." The eight-page Paris Match spread included images of insurgents holding guns, walkie-talkies, helmets and even a wrist-watch which had belonged to some of the ten French troops who died in an ambush 30 miles from Kabul on August 18. Following the photo shoot, Eric de Lavarène callously proceeded to interview the killers as if it were the aftermath of a football game.
French Defence Minister Herve Morin said the magazine had scored a great victory for the Taliban in their propaganda war. "Should we really be doing the Taliban's PR for them?" he added. "The Taliban are waging a PR war with this kind of stunt. They know that public opinion is probably the Achilles' heel of the international community fighting in Afghanistan."
There was outrage across France on Thursday when Paris Match magazine chose to display full colour photographs of the Taliban showing off uniforms, guns, helmets, radios and even wristwatches belonging to the dead soldiers. 21 soldiers were also badly injured in the ambush.
As a matter of fact, you can’t entirely blame the stupid journalists, Eric de la Varenne and Véronique de Viguerie, although they should have known better, because the final blame rests with the Editor, as Alain Genestar found out. Maybe, Olivier Royant, you should have stayed at Radio Gilda because you didn’t learn any ethics or morality in you Columbia MBA course.
PS The good news is that both Ahmad Shah and Mullah Rohoullah, the commanders of the Taliban ambush, were killed along with six others in air strikes in Nijrab district on August 30, only 12 days after the ambush.
Olivier Royant is named editorial director at Paris Match
“3 Septembre 2008
Exclusif : nos journalistes ont retrouvé les talibans qui ont abattu les dix soldats français---L'événement. Eric de Lavarène a rencontré un des assaillants qui ont tendu un piège fatal aux hommes du 8e RPIMa le 18 août dernier en Afghanistan.”
And below is one of the offending photos where you see a Taliban killer wearing the uniform of one of the 10 dead French soldiers while Véronique de Viguerie snaps away oblivious of the pain she will cause to the dead soldiers families.Joel Lepahun, the father of one of the killed soldiers said, "It's a terrible shock to see our children's killers parading their uniforms, their weapons." The eight-page Paris Match spread included images of insurgents holding guns, walkie-talkies, helmets and even a wrist-watch which had belonged to some of the ten French troops who died in an ambush 30 miles from Kabul on August 18. Following the photo shoot, Eric de Lavarène callously proceeded to interview the killers as if it were the aftermath of a football game.
French Defence Minister Herve Morin said the magazine had scored a great victory for the Taliban in their propaganda war. "Should we really be doing the Taliban's PR for them?" he added. "The Taliban are waging a PR war with this kind of stunt. They know that public opinion is probably the Achilles' heel of the international community fighting in Afghanistan."
There was outrage across France on Thursday when Paris Match magazine chose to display full colour photographs of the Taliban showing off uniforms, guns, helmets, radios and even wristwatches belonging to the dead soldiers. 21 soldiers were also badly injured in the ambush.
As a matter of fact, you can’t entirely blame the stupid journalists, Eric de la Varenne and Véronique de Viguerie, although they should have known better, because the final blame rests with the Editor, as Alain Genestar found out. Maybe, Olivier Royant, you should have stayed at Radio Gilda because you didn’t learn any ethics or morality in you Columbia MBA course.
PS The good news is that both Ahmad Shah and Mullah Rohoullah, the commanders of the Taliban ambush, were killed along with six others in air strikes in Nijrab district on August 30, only 12 days after the ambush.
Olivier Royant is named editorial director at Paris Match
Thursday, 4 September 2008
Yulia Tymoshenko’s “high treason” plays to Kremlin’s divide-and-rule scenario
I’m absolutely disgusted by the rapaciousness of Yulia Tymoshenko’s obsession with power. This “gas industry” oligarch wasn’t so much pro an independent Ukraine, as more vehemently anti Kuchma, when she joined the Orange Revolution. Kuchma seemed to have prevented her from grabbing more of the energy sector—putting her into the realms of a real kleptocrat. Both she and her key Russian adviser, Vitaly Gayduk, have
amassed fortunes in gas companies while she became one of the wealthiest oligarchs in the Ukraine, exporting metals during the 1990s.
Yulia Tymoshenko is a latter day convert to the Ukrainian language from the Russian city of Dnipropetrovs’k, her maiden name was Grigean, half Armenian, and she currently seems to be doing everything Moscow would want of her in their divide-and-rule scenario. Latest reports are that Tymoshenko’s Block and Yanukovich’s Party of Regions is preparing to form a coalition to unseat Yushchenko—which would be the final betrayal of the Orange Revolution by the Tymoshenko turncoat.
To vote with that Moscow stooge, Viktor Yanukovych, in the Ukrainian Parliament in an attempt to reduce Yushchenko's Presidential powers, and in the process destroy the anti Moscow coalition, is to dance to Moscow’s tune. This is the same tune that destroyed the Ukraine in the seventeenth century with the ego-tripping Hetman disputes. The current coalition is extremely fragile to say the least and requires a determined cohesion in the face of Russian predation, yet the Tymoshenko ego-tripper, with her false hair style, is all about herself and she really can’t be bothered with NATO or the European Union—SHE WANTS POWER above all else. SHE wants to be President so she can practice her kleptomania.
Ukraine has 8 years to consolidate its independence from the Kremlin before the 2017 Sevastopol treaty is challenged by Moscow in a manner, which will be reminiscent of Georgia. Crimea is already an Autonomous Republic readying itself to follow Abkhazia. Half of Ukraine in a line NE to SW is Russian and these Russians listen to Moscow not Kyiv. They’re eager and ready to suppress any Ukrainian national aspirations with the Kremlin’s help. Yet the bickering still goes on as if the leadership in Kyiv were frozen in the year 1667, a year of infamy in which the Treaty of Andrusovo divided the Ukraine between Russia and Poland. I can see why Yushchenko called Tymoshenko a traitor—with her silence on Georgia and her tacit backing from the Kremlin. Tymoshenko is the prime reason why I firmly back Yushchenko with his push towards NATO and EU membership, which would put the Ukraine beyond the Kremlin’s suffocating embrace. Much like the toffs of Britain who eye Scotland, Wales, and Ireland, as if it were their private property, so the Kremlin thugs eye Belarus and Ukraine as being an integral part of Imperial Russia—and to hell with what the populations of those countries think. Time they grew up!
Wednesday, 3 September 2008
Russia’s Lower House, the Duma, formally recognises the breakaway province of Disneyland
The Russian Duma yesterday recognised the breakaway region of Disneyland in Florida as a newly independent state, and immediately sent an open invitation for the premier elect, Cruella De Ville, to visit Moscow on a state visit to purchase arms. The spiritual leader of Disneyland, Mickey Mouse, said he hoped to meet his counterpart, Patriarch Aleksei II and compare notes.
On a more solemn note, Andrei Piontkovsky, an independent political expert and a researcher at the Russian Academy of Sciences, claimed that a near civil war had broken out in the Kremlin between Russia's global and national kleptocrats over who grabs the rest of the World. They’re going at it like cats and dogs, he added.
On a more solemn note, Andrei Piontkovsky, an independent political expert and a researcher at the Russian Academy of Sciences, claimed that a near civil war had broken out in the Kremlin between Russia's global and national kleptocrats over who grabs the rest of the World. They’re going at it like cats and dogs, he added.
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All contents of The Cat Talks copyright © 2007 The Cat Talks. unless otherwise noted.
All characters appearing in this work are fictitious. Any resemblance to real persons, living or dead, is purely coincidental. That's our story and we're sticking to it.
All characters appearing in this work are fictitious. Any resemblance to real persons, living or dead, is purely coincidental. That's our story and we're sticking to it.