Friday, October 30, 2009

And the Tea Parties are Organized Arms of the Republican Party?

I get the occasional e-mail from the remaining arm of Obama's campaign in that I signed up for it when he was running. What this shows is how it's "bad" when people organize to protest the government taking working people's money away from them, but if it's of a socialist stripe AND OBVIOUSLY ORCHESTRATED by the administration, then it's OK. Just like Bush's deficits are BAD and Obama's deficits are GOOD. Here you go;

Anonymous --

It's late; I know you've gotten a lot of messages from us recently, and everyone here at OFA headquarters is pretty tired. But the last reports of calls and commitments are just coming in from events on the West Coast, and I wanted to share the news with you.

As you know, we set a big goal: 100,000 calls to Congress placed or committed to in a single day by OFA supporters and allied organizations. By 2:30 p.m., you had crushed it. So, we gulped and said let's go for 200,000, not knowing what would happen. But the calls just kept pouring in -- keeping phones ringing off the hook in congressional offices in D.C. and your representatives' district offices around the country.

Then, OFA supporters gathered in over 1,000 living rooms and community centers from Macon, Georgia to Missoula, Montana. You called hundreds of thousands of key voters in your community and got them to agree to call Congress and speak out for reform, too. President Obama joined in at a call party in New York -- and he had some amazing words of support for the folks like you who make this movement possible.

I'm looking at the numbers, and with almost all of the reports now in, the tally wasn't 200,000 calls placed or pledged -- it was 315,023. You did it.

Take a moment to watch the President's inspiring words to OFA volunteers on this incredible day.

http://my.barackobama.com/page/m/55c103cc/506a9e4d/d1f4f0ef/1188608c/2445921390/VEsE/http://my.barackobama.com/page/m/55c103cc/506a9e4d/d1f4f0ef/1188608c/2445921390/VEsE/
Your voice was overwhelming -- with reports in the media of congressional offices "completely crushed with calls." CBS News described your effort as an "onslaught." And a congressional aide was quoted with a common response, saying their office was deluged by "pretty much non-stop health care calls from OFA."

You set a new OFA record, you caught the national media's attention, and you certainly put Congress on notice. But you know that's not what really matters.

The message I sent earlier talked about a woman, Jenny U., whose insurance company cut off her coverage because they decided her kidney donation to her sick daughter counted as a "pre-existing condition." What really matters is that today you brought America one giant, irreversible step closer to being a place where no one will ever have to suffer that kind of injustice again. That's what all the messages, late nights, and phone calls ultimately add up to. It's what makes everything we do together worthwhile -- and it's why we'll keep fighting together until the job is done.

Watch President Obama's special message to you from a call party in New York:

http://my.barackobama.com/TTDreport

Thank you, so much, for being part of the team.

Sincerely,

Mitch

Mitch Stewart
Director
Organizing for America

Thursday, October 29, 2009

"Real Real" Gross Domestic Product

Because of all the federal stimulus money, Real Gross Domestic Product is no longer quite a reliable measure as to how much the economy is growing. Sure we adjust for inflation to get RGDP, but do we adjust for temporary stimulus spending from the government? Here's a break down of RGDP growth by category.


Notice the government alone accounted for .5% of that economic growth, but if you factor in cash for clunkers, home purchasing credits, not to mention ditch-digging-then-filling projects like this, RRGDP is more like 1.8%. Recovery? Yes. Booming? No. Enough growth to create jobs for the increasing population? Certainly not.

Alas, leave it to the bubble-addicted markets to drive stock prices up by 150 points on the DJIA on the nominal 3.5% growth rate and not the RRGDP.

Wednesday, October 28, 2009

I Think I Had the Pig Flu

Actually, I'm being half-serious about this.

I got a HORRENDOUS cold last month, took three weeks to fully recover, a worse cold than the typical cold I normally get during the cooling months, but still not the "worst" cold I've ever had.

Slept in, had girls come over to pamper me (and do electrical work), ate well, and didn't work more than I had to. Sure enough, like all other colds in the history of colds, this one went away as the Captain's T-cells went to battle.

So I was thinking that it was too coincidentally timed with the pig flu epidemic as several cases were reported here in Minnesota (although who knows, maybe it was just the schools shutting down being overworried).

Regardless, I wondered, "Did I have the pig flu?" and so I looked up the symptoms here at the CDC.

Wow, the pig flu is just like the regular flu, BUT!!!! (drum roll)....

IT'S SPELLED DIFFERENTLY!!!!

Seriously, it wouldn't surprise me if I had the pig flu.

Since then Young Joie more or less explains my position of this flu as well as provides some informational links about Pig Flu.

Never let a crisis, real or fabricated, go to waste.

Capitalism vs Socialism Speech - Part 10

You Will Visit Alice the Camel

Alice has been a long time blog-friend and as I slowly update my blogroll (as I recently learned how to program one) I will be putting new folk up there.

Regardless, pay Alice a visit. Also send her pictures of camels.

Tuesday, October 27, 2009

American Labor Takes Too Long to Incubate

A real quick, but very insightful post, then I have to go.

I read this on Mish's blog and it got me thinking, "Dude, you're practically middle age by the time you get your doctorate and are ready to go into the labor force."

And then it got me further thinking as to just how much time we waste when we education our children and college students and how we could considerably shorten the time it takes to bring a kid from kindergarten to an employable adult.

First off a sheer improvement in efficiency by eliminating bad students that do nothing but distract those students with potential would certainly allow a teacher to cover an insanely higher amount of ground and impart an insanely higher amount of education. Along the same line would be getting parents to be real parents and force their students to study, to do well, and to do their homework.

Since both are politically incorrect because we champion losers in this country as well as it is a sin to accuse bad parents of...well...being bad parents, we have to focus on things that don't hurt people's feelings, especially morons at the expense of our future labor force.

This changes the focus to what I believe to be the inordinate amount of worthless "pre-requisite" classes that we force students to take to (put it simply) employ people who would otherwise be unemployable.

Why do we have phy ed?
Why do we mandate students take high school psychology?
How many of you took years of foreign language and never used it to this day?

It is these classes that need to be eliminated at the K-12 education level. They serve no purpose in training children into future workers, but they do employ a lot of people who wouldn't otherwise have jobs in the real world.

Then there is lord knows how much spent on "extra-curricular" activities that serve no purpose in helping a kid's future.

Admittedly, I teach dance. But this is recreational and for adults who have since graduated and are presumably in the working world. They have no illusions about going out and competing professionally. It is a veritable recreation. But I don't know how many women I've ran into who I could tell had previous dance experience. And when I asked them,

"Have you danced before?"

They invariably say,

"Yes, tap, jazz and ballet when I was a child."

"So are you a professional ballet dancer now?"

"Oh, no! *giggle*"

Well how much time, labor, effort, money and taxpayer cash was used teaching kids a dance they will never use? Line dance? Jazz? Ballet?

Music is the same way. Along the same line of sports (as well as I presume ballet), what percentage of students that take music and are in high school band go on to make careers in music? Less than 1% I presume. And this speaks nothing to the psychotic parents that (like my own) force their children at the insanely young age of 3 to take piano or violin or tennis.

Now these are all topics or hobbies kids pursue as kids during their k-12 days. However, when they graduate onto college, the pointless "jumping through hoops" classes do not relent.

Freshman composition is the perfect example.

I don't care how bad people's writing is. If it doesn't cut it, it doesn't cut it. But no matter if you had straight A's through k-12 in English, you still need to take this class. Why? Because a bunch of English majors in COLLEGE need a job.

But forget English, the College of Liberal Arts at the University of Minnesota require you not only take 3 years of a foreign language, but that you PASS A TEST before you can get your degree. I pissed away 2 years of college German that could have been spent on economics and finance which would have made me an even BETTER economist (if you can imagine that). Regardless, this is not for the students' benefit, this is to employ a bunch of people who majored in a foreign language and can't find a job at the UN.

Business school is just as guilty as any other college.

Why, if you are majoring in accounting, do you need to take HR or marketing? Again, it is not to make you "well-rounded" it's to employ otherwise unemployable "doctorates" in marketing.

And though I did not attend engineering school, there is no doubt a plethora of worthless and pointless pre-requisites in the arts and humanities you must have suffered that only postponed your graduation by a full year.

Now you may be asking "Captain, why are you so hard on people? Why can't you just let people enjoy life a little bit? Life is not all about math and science and engineering and economics."

You're right, that's what you do on your free time. But when you go to school, let us not kid ourselves, it's not for entertainment. It's to train you for a real job in the real world. It's to give you the skills so that you may work up enough money in a successful career so that you may afford pursue your hobbies in the future. Arguing otherwise is putting the cart before the horse, and no doubt you wish to make a living out of your hobby which is almost a guaranteed way to become a rent-seeker.

But there is a larger consequence, or perhaps "opportunity cost" for being so lackadaisical in the education and training of our future labor, and that is foregone production.

Consider this - it is in my estimation that a full 3 years could be cut out from the K-12 education by simply eliminating the worthless classes and activities as well as forcing our students to work harder. I also believe that if you get rid of all of fluff and forced-pre-requisite classes at the college level, you could scale an engineering degree down to 3 years and a liberal arts degree to 3 months (just kidding!). I also believe most masters degrees could be done in 4 years and doctorates (unless in a REALLY advanced field) could be done in 6. And in focusing our efforts on studying as well as eliminating the unnecessary classes, you could have online fully trained and qualified, labor ready to go to work.

Bringing this labor online 4-5 years ahead of schedule and you have some amazing benefits.

Most notably 4-5 years of additional production per graduating class. This alone would (assuming near full employment) more than pay for Obama's spending binge.

You worried about collecting social security when you're older? Well, if people were allowed to get to work earlier instead of rotting in a mandatory "Global-Warming and Why Bush is Hitler Sociology' class, the tax revenues might be there to actually shore up the SS fund.

And, of course, lest we forget, how about all the extra money those students make for themselves (assuming we don't tax them to death) with that extra 4-5 years income? Let alone less student loan debt they might have. Less debt and an extra 4-5 years of income, who knows, all those Gen-X'ers and Gen Y'ers could have actually AFFORDED the houses they tried to buy 3 years ago.

In short you would have a HUGE increase in generational production, GDP, tax revenues and wealth and the country would be immeasurably off.

But of course, there is one thing standing in the way of this;

Big Education.

For you see, such a streamlined educational system would mean a LOT less money for that industry, and no matter how noble and how prosperous a faster, more focused educational system would be for this nation, society must suffer a lower standard of living so we can employ some more theater professors and German teachers.

Enjoy Freshman Comp!

The End Game of Leftist Policies

This is what happens when leftist policies are enacted. This is not hyperbole, nor rhetoric. This is just the truth.

The simple reason why is that you destroy any incentive to work. You do not promote nor protect the productive people. You punish investment and profit. And all you are left with are the degenerates of society living off of government hand outs TO THE POINT THAT LAND HAS A NEGATIVE VALUE.

Pig Flu Ala Charts

I like charts. Charts make things simple and provide relativity. From Herr Mueller.
OMG! AN EPIDEMIC!!!! RUN FOR THE HILLS!!!! SAVE YOURSELF!!!!!!

Monday, October 26, 2009

Recession Medicine - Hogan's Heroes


Hogan's Heroes is hands down the best show ever made. Certainly will get you out of those recessionary blues (of which you shouldn't have because you don't really control this economy anyway). Here is an episode that is bound to make your day go better.

Capitalism vs. Socialism Speech Part 9

Sunday, October 25, 2009

You Think I Make This Up

Minnesota, despite being flyover country, is honeycombed with incompetent, greedy, pathetic middle aged men posing as bankers. They have no skills, they have no talents, they only wish to "make the deal" no matter how previously-condemned to default and bankruptcy the deal is so they can skim their commission off the top. They then drive German-made cars and large SUV's as they pose as "successful businessmen" whilst behind closed doors beg for a taxpayer bailout like a bum with a cup in their hands. This is not "sour grapes." This is not "revenge." This is just the truth, people, and the future will bear me out (besides which I've had my revenge already).




Now I've said it before, and I'll say it again, Minnesota IS going to be one of the worst states in terms of bank closures and you will see it have its disproportionate share of bank failures compared to other states, adjusting for population. The primary cause is the likes of Riverview Community Bank, which was recently shut down by the Feds. "Community Banks" you must understand are these small town, local "community" banks that are basically the bottom of the barrel when it comes to the hierarchy of banks. While the likes of TCF and Wells Fargo were shooting down questionable real estate deals, there was no shortage of these second rate loser banks to sop up the deals and finance them while they played "imaginary real banker."

What's worse is that there are SCORES of these wanna-be-banks with wanna-be-bankers who financed "multi-million dollar real estate deals" so their impotent, inept middle aged bankers could say to naive 20 something girls, "Why I just finished signing off on a multi-million dollar real estate deal. I'm a multi-million dollar real estate banker!" (Little did the 20 something girls know they probably had a higher net worth as a waitress than these guys did with with their home equity line financed German car and overleveraged house.) Regardless, with so many of these petty, small time faux banks eating up the bad deals larger, more legitimate banks passed up on, you are going to see an increase in the number of Minnesota community banks come begging for a bailout.

But! Don't worry. Everything is going to be fine! The FDIC now assures us that they have the money to ensure our deposits at these Minnesota banks! (ht to Kate)



Of course never mind borrowing $500 billion would put the Federal government WAY over its debt limit already. And never mind we're already in the whole for $1.4 trillion this year anyway. The reason you should never mind is because Barack Obama is president and he's going to take care of everything.

Now you know why I installed my own wood burning stove and enjoy foraging for wood.

Friday, October 23, 2009

Going Galt Makes You Macho

October, it is in my estimation, will officially be henceforth known in my world as "Macho Month." And the reason I will consider it my own personal "Macho Month" is because I, your beloved Captain, has done no less than;

1. Replace a thermostat on my car
2. Replace a radiator in my car
3. Winterize 2 lawnmowers and a motorcycle
4. Install a wood burning stove and chimney at my house
5. Forage for at least 2 chords of free wood

All of which on my own.

Now you might say, "Cappy, I thought you were an economist and taught dance class? What's with all auto repairs and home improvement projects and everything? Shouldn't you adhere to the division of labor and specialize in economics and pay somebody to install a fireplace, fix your cars and store your motorcycle?"

And normally you would be right. But these are not normal times.

Understand that in these socialist times we live in today, it doesn't pay to work. The governments (state, federal and local) are estimated to expend 43% of GDP and this says nothing about the future promises of entitlements they've given to various special interest groups. Therefore if you're one of those working schmoes you're essentially slaving away for about half the year to pay taxes. And if you're one of those HIGH-EARNING schmoes, you're a veritable slave to the government for the majority of your working hours.

This is why you go Galt. Not that you choose to do this, but the government essentially makes any marginal pay you receive so marginal that it isn't worth the marginal time you must expend to earn what meager earnings the government will let you have. Therefore you find out how much you need, scale back your work and enjoy leisure time which (and this really pisses off the left) CAN'T BE TAXED!

Now the Captain has a fair amount of leisure time, but the problem in going Galt is that those who do go Galt are typically of the industrious sort and they soon get stir crazy. They're not the types to sit around and drink coffee at a coffee shop and then read THe Guardian while they talk to their liberal buddies about their manuscript for a play they wrote. They're people who know the value of work, have a strong work ethic and just can't sit still for more than a full day not doing anything.

The good news is that there are many things you can do that will not result in a paycheck, but will still improve your standards of living and essentially make it as if you have a tax free job. The most notable of these things are repairs and improvements.

If your car breaks down, you now face a problem. You have to give up some of your hard earned money to pay a mechanic to fix your car. The problem is doubled when the mechanic has to forfeit 43% of that money to the governments to pay taxes. In other words an exchange between you, the mechanic and the suppliers of any materials you might need, is now interrupted by a mafioso like government that insists you guys need "protection."

But if you've gone Galt, you have the one thing you need to avoid paying this unecessary protection money; time.

Oh, you may not be a great automechanic now, but just go on You Tube, look up what you want to repair or replace and usually there is a how to video ready and willing to hand hold you through the process. And in the end you've not only saved yourself a $400 repair bill, you also denied the government a $400 transaction which it cannot tax for it never happened.

There are also improvements to your household. The Captain is cheap. I have no problems letting the temperature in my basement go down to 32 degrees. I do this not to save the environment, I do this to save money. But as I thought about it, a nice wood burning stove would be nice to have. Not only would the basement stay warm, I'd save a LOT of money on gas, the pipes wouldn't freeze, AND I'd be emitting more carbon.

Again, I have a choice, do I spend the $5,200 I was quoted by the fireplace installation outfit? Or do I drop $1,500 on materials and do it myself? Sure, it took a week to properly install the flue, but in the end I saved myself $3,700 in labor therefore denying the governments the opportunity to tax that $3,700.

Now we could go on about how you can save money doing your own auto repair, improving your house, or doing your own computer repair, but the larger point is that to still produce while you "go Galt" the vast majority of your production is going to be in repairs and maintenance as these are things you can do on your own. You don't need the "double coincidence of wants" that is required for a barter exchange (besides which the government actually taxes you on the estimated barter transaction, not kidding, look it up). So while it is difficult for me to find say a dentist willing to trade dental work for dance lessons, I need no one to repair my house but me.

Now, since the majority of "Going Galt Work" is repairs and maintenance this practically forces you to become a macho guy. It's bumpy at first, repairing tires, changing oil, replacing a timing belt, but soon you're pulling out radiators, alternators, jerry-rigging things that were never meant to be but still work, installing fireplaces and cleaning out the carbs on your own motorcycle. You'll have grease and grit on your hands and under your finger nails. Women will look at you while you're dancing with them on the floor and say to themselves, "My goodness, not only is he a ballroom dancer, he repairs his own motorcycle and re-supported his house AND moded his own X-Box!" And soon not only will you be a rebel for going Galt and sticking it to the system, you'll be a macho Galt-Going rebel who will be able to do macho guy stuff with cars, the house, and the computer. And if they weren't already smothering you before, WOO HOO!!! Look out! THere's nothing more a lady likes and that going-Galt rebel who does auto repair, especially if he's an aspiring, junior, deputy or official economist.

Capitalism vs. Socialism Part 8

Economics Under a Democrat Senate

I am not a big fan of blaming one person or a small group of people for large economic issues that are obviously triggered by society. For example I do not blame GW for the current recession, just as I don't blame Barack Obama for the current recession or Bill Clinton for the previous recession (though the lethargic, painfully slow recovery circi 1990 Japan I will blame Barak and Bush for).

Regardless, I do believe congress is more powerful than the president as it is primarily their policies that are submitted to be voted on and implemented into law and therefore have more sway over a country, but I'm still not blaming democrats for all problems. Still, this chart suggests SOME correlation. I would prefer to see this going back to 1947 though.



Thank you Mr. Brown.

Thursday, October 22, 2009

Deaths in Iraq vs. Afghanistan

I just found the data interesting in that you "hear" Afghanistan is going worse, but you never really see the data.

I also like how the "surge" "didn't work."

Another Reason Not to Buy The Economist

OK, it seems my former magazine flame has not only decided to change politics on me, but has now decided to get fat as well. Does any aspiring economist see what egregious error The Economist did here?
The answer is: "What does a country's GDP per capita have to do with time off?"
What they should have correlated it with is RGDP GROWTH. Just because previous generations busted their asses off for their spoiled children to enjoy high standards of living and take vacation has NOTHING to do with what they're implying. Economic GROWTH is what matters, not the nominal GDP per capita people pre-establishedly enjoy.

I Love How they Choose to Live in Europe

We want to make to make the countries we escaped to just as crappy as the ones we escaped from.

Enjoy the 72 virgins.

Oh, sorry, almost forgot the HT!

Wednesday, October 21, 2009

Marriage is the New Fad

I've often said today marriage is like being engaged back in the 1940's. And being engaged today is like going steady in the 1940's. And dating today is like being friends back in the 1940's. There is no severity or seriousness we apply to courting anymore and just like you could break off an engagement back in the 1940's without much hoopla, you can get a divorce today quite the same. Of course that means there is no modern day equivalent of a 1940's marriage because the seriousness and commitment that existed back then just doesn't exist today, but I digress.

Ice Cream for Breakfast

I can't believe I have to write this post, but here it goes.

I AM AN ADULT.

AND IN BEING AN ADULT I CAN DO WHAT I WANT!

Remember back when we were kids and our parents would say,

"Well, when you pay for your own food, and pay your own bills, and pay your own rent, then you can stay up will 4AM and do whatever you want?"

Remember that?

Yeah? Well guess what!

I

BUY MY OWN FOOD

I

PAY MY OWN MORTGAGE

I

PAY MY OWN BILLS

ERGO!!!!

I CAN EAT ICE CREAM FOR BREAKFAST!

Don't you remember that as kids? You wanting to do all this stuff that your parents would not allow you to do, simply because you were a kid?

Well, now that you are no longer a kid and now that you are supporting yourself (unless of course daddy is still subsidizing your college tuition, and paying for your car or insurance) YOU CAN DO ALL THESE THINGS YOU WANTED TO DO BACK WHEN YOU WERE A KID!

But what do I get instead?

I get my NOW-ADULT FRIENDS saying I "can't do this!"

It's like they got nabbed and brainwashed and turned into those old-stodigy adults we so feared becoming and traitored on me. No, no, I have to have "breakfast food" for breakfast. I need to eat muffins and eggs and tofu and bark and leaves.

So, let me explain to those of you who are my age and somehow think there's something wrong with me having ice cream for breakfast.

1. I can have ice cream for breakfast. There is no way you can stop me. I can go to the store, buy ice cream, come back home and you have no legal means or forcible means to stop me. Ergo it's not a question of "can" I have ice cream for breakfast, it's a question of "SHOULD" I have ice cream for breakfast.

2. YES I SHOULD HAVE ICE CREAM FOR BREAKFAST. This has been a communist plot of our elders to keep us ignorant as children. Studies show that ice cream for breakfast increases your IQ by 40 points. It also has immeasurable health benefits such as strong bones due to the calcium in the ice cream, endorphins are released early on in your day, and it's a well-known fact that ice cream cures the common cold and attracts members of the opposite sex. A whole plethora of health benefits come with eating ice cream. Ergo it is a moral imperative that you eat it during the morning hours.

3. Who are you to tell me what I can and cannot do? Joseph Stalin? Mao Zedong? Barack Obama? And what do you care if I do these things? Not only do I have ice cream for breakfast, I have been known to have Rumpleminze for lunch AND stay up till 4AM playing video games on a school night (of course I didn't have school the next day, but I still stick my tongue out at you regardless).

So, the lesson we all need to learn from this is that it is OK for full grown adults to have ice cream for breakfast. If somebody can engage in vices where they smoke till they get cancer, drink till they have liver failure or marry so they lose half their net worth, then I can CERTAINLY have ice cream for breakfast.