Escape from Minneapolis

I love watching Minneapolis slowly turn into (as Jason Lewis says) a "cold Detroit." It is vindication or prediction of several things;

1. I was right and had foresight to escape from Minneapolis.
2. It's juicy watching the leftists in the town do it to themselves by continually voting to tax themselves higher and higher as they are unable to link their high property taxes to bike paths, $50,000 drinking fountains and green roofs while they lay off cops).
3. Proof on a municipal level that the free market is not a theory, but is reality
4. "Micro" capital and intellectual flight.
5. Property prices will continue to drop in the area
6. Neighborhoods such as Seward, Longfellow, Linden Hills, and Kenwood where the trust fund baby limosuine liberals live in Minneapolis will pay the most for their ignorance of basic economics as they finance more and more of the city's impossible and unsustainable finances

But the latest is something that you just can't make up and shows you the liberals who all reside in Minneapolis are actually the frogs in the frying pan where the heat is forever being turned up.

A friend of mine who was unable to unload his property in Minneapolis got this in the mail;

In short there is a municipal sales tax of .5% the city of Minneapolis charges. The city, now so desperate for money, has sent out letters telling residents that (get ready for this)

THAT THEY NOW HAVE TO ACCOUNT FOR ANY PURCHASES MADE OUTSIDE THE CITY LIMITS AND PAY SALES TAXES TO THE CITY ON ANY PURCHASES ABOVE $770 A YEAR.

They are so desperate, as well as totalitarian, they find nothing wrong with forcing their citizens with the onerous task of tracking their purchases from anywhere outside Minneapolis and then adding them up and then paying .5% on all purchases come April 15th. It's like having to file now another tax return that is even more onerous than filing a federal tax return.

Now, of course the question is this;

Will all the hippies in Minneapolis who voted this tyranny upon themselves will even bother to pay this tax - not out of a desire NOT to pay, but rather because they don't even know about it?

Regardless, as time goes on, I'm progressively happier and happier I escaped Minneapolis. It's kind of like escaping the Death Star in Return of the Jedi. I hope the rest of my Minneapolis bretheren don't get caught in the explosion. Sadly, too many are taken in by the Walker Art Center, uptown coffee shops and other dying "cultural" remnants of the 1990's grunge era to escape with me and Wedge.

Obama vs. Bush

Contrast that with the half booing/half cheering crowd when Obama threw a pitch.

ht

The Captain's Agate Production

As many of you know, your Captain has many and varied hobbies and interests. He is the only ballroom dancing, salsa dancing, economist in the Twin Cities, but he is also a fossil hunter extraordinaire, a motorcyclist, an author (ahem), runner, gold-panner and all around cool guy. However, because I don't care to bore you, I have left my agate cutting and polishing out of the Capposphere on account I deem it one of the more nerdy hobbies I have. Only if I find an elusive and valuable "fairburn" agate do I mention it, otherwise (since agates are quite common) I leave my stone cutting and jewelry making out of the economics world.

However, the illustrious Natasha, after seeing a batch of agates I have made for a local jeweler DEMANDED I put these on the blog. I started to contest I shouldn't and on top of which I really didn't want to because I want to play Kane and Lynch 2, which then resulted in an argument that I knew I wasn't going to win and so I've decided to just put them here to make everybody happy (and to go the path of least resistance).



In the mean time click on Natasha to the right and donate some money to her heels and ammo fund.

The Role Alcohol Plays in the American Conservative Movement

Understand that arguably the most important lesson you can learn in life is that it ends. And since it ends, why waste it worrying about things outside of your control.

Not to sound too macabre about the prospects of the country or the prospects of conservatism or the prospects of just plain and simple people who wish to excel instead of parasite during their finite lives, but basically, in the long term it doesn't look good. If you are a conservative you face a population that is increasingly spoiled, lazy, slothful, and worst of all, ignorant. They do not understand how the real world works, how the economy works and elect soothe sayers like the likes of Barack Obama or any other nickle and dime democrat that comes along and promises them puppies and money and flowers and the always available unicorn. Try as you might to convince them other wise and instill a milligram of sense or reality into them, they are too wedded to their "something for nothing" ideology and you are relegated to sit and watch the US collapse.

This is where the alcohol comes in.

Remember, the most important lesson you can learn in life is that it ends. This forces a choice upon you which I believe is the foundation to Dennis Prager's "Happiness Hour." You can either enjoy life or worry about it.

This is harder than it sounds, especially for conservatives. The reason why is that conservatives by and large care more about the country, their fellow man and society than their leftist counterparts do. Instead of just "saying" they want to do good things and do what's best for their children, and then go protest because they're bored and looking for something to do, they actually go the extra step and dedicate the through and "think-through-it-ness" that is required to determine whether certain policies will improve or worsen society. They don't just regurgitate bumper stickers such as "the rich get richer and the poor get poorer," they actually study economics and history to find out how to make everybody richer. The don't just go with their "feeling" or what they "think," they go out and actually find out the statistics, data and facts so that they KNOW.

With such a mentality, it's hard for conservatives to "let go" and just "enjoy the decline." I myself am guilty of this as I see this nation which once had a glorious past and now must watch it decline simply because its stewards (ie-the people) are spoiled, fat and lazy on our forefathers' success and therefore still write, blog, worry, fret about it today.

However, in the end I (as well as all of you) have to realize the reality of the situation. Too many stupid and ignorant people are in the country and have the right to vote. They don't care to look at the budget. They don't care to study history. They don't care to apply a level of intellectual honesty about them. They just want to say "warm fuzzies for everyone," "more money for schools/health care/the poor," "make the rich pay their fair share," not figure out how to pay for it, and then go back to watching "Glee" or "American Idol" while living off of borrowed money and producing nothing of real economic worth.

Now you can try to change this situation. YOu can try to point out the obvious. And you can try to point out the truth. But in the end you'll just be called a bigot, a racist, a neo-facist, or just a plain ole poopy head because NOBODY WANTS TO HEAR IT.

Ergo, what do you do with your finite life?

Well, starting up the next Standard Oil isn't an option.

Working hard and establishing a career isn't an option.

Working a normal amount and enjoying a normal family isn't even an option.

The only option left is to enjoy what remains of life. To feed off the remaining carcass of the now economically dead and defunct United States. To savor what meat has not spoiled and enjoy life to its fullest. And what better way to do that, while numbing the pain of watching the former greatest nation on the planet destroy itself than drinking?

That is why the Captain endorses the Drunken Conservatives.

The Drunken Conservatives are true economists at heart, because they know to maximize their utility and enjoy life.

They realize that they have an obligation to fight for what is right, to fight for the truth, and to fight for a future in which maybe the US isn't collapsing, but at the same time are not going to sacrifice what precious finite time they have on this planet worrying about something outside of their control. They are going to drink. They are going to enjoy life. They're going to kiss girls and they're not going to hyphenate their names. And there's nothing leftists or liberals can do to lessen that experience.

So visit the Drunken Conservatives.

Oh, and enjoy the decline!

Mandatory Reading for 14 Year Old Boys

It's lengthy, but certainly worth it. I don't necessarily agree with everything listed, but what I do agree with and why I posted it is because this is essentially the "Father Son Talk" that needs to happen today, but doesn't, simply because in the past there was no need for it.

Not to beget pity for the men of my age, but we were the first ones thrown into battle on this one and without a rifle and no intelligence. The above article would certainly arm the young men of today with some armament and therefore some hope of having a much more productive approach to courtship as they age.

Doctorate in English

Ah, majoring in a field where 99% of the population already has mastered the subject;

Facts of Capitalism!

What is amazing is that the first part of this series has 5,500 hits and this only has 1,100 hits.

PEOPLE WATCH THE WHOLE THING. The data is in the later parts like this one;

The Death of Men...Again

This is a long and lengthy analysis here written about another even longer article here. But in short it's one of the now common - "are men men anymore and are women beomcing the new men. And men are so stupid that they aren't earning degrees. How do we get men to work again? If only we knew?" etc. etc.

I will only add these two minor points that people keep failing to observe about this "death of man/mancession" phenomena;

1. PLEASE STOP WITH THE "WOMEN NOW EARN THE MAJORITY OF DEGREES" BS! They earn the majority of (sorry to say it, but it's true) worthless degrees. Yes, fine, wonderful. Masters in Communications. Masters in Social Work. Masters in Nose Picking. Yes, fine, you're all awarded degrees. Warm fuzzies for everyone! We're all winners!!!! Wow, can I get a degree in "Women's Studies?" Oh, no, wait, my brain would explode from the mundacity and idiocy of earning such a worthless degree because you're not learning anything nor will it serve you in searching for employment. Matter of fact all it will do is saddle some poor women with college debt with no increasing prospects for employment in the future.

Men still outrank women 4-1 in engineering and the sciences. Degrees that actually matter and have a practical application outside academia. Please stop with the "women out earning degrees" stuff unless you're going to talk about degree that translate into increased earnings and job prospects.

2. As the economy shifts from a private sector, capitalist based system to a public sector, socialist based system, of course women are going to become more prominent and higher earning than men. They major in the corresponding fields for government work. And given how the country keeps voting in more government spending and veritable socialists, it's going to continue to be a booming industry for women. Ironically, what's great about this is as the goverment grows and crowds out the private sector, it will be more common to see the "mechanic husband" with his highly paid wife who works at the social services department at the state making $80,000 and a pension that dwarfs his non-existent one. THat may sound "bad" for the once glorious male, but to quote Steve Martin from Dirty Rotten Scoundrels;

"I say it's time for a change. I say let them take care of us for a while!"

In the end, though ultimately, the economy will have to return to men or at least "manly" things because society cannot live off of an economy where everybody is a social worker or an elementary school teacher. People still want food, clothing, shelter, cars, Ipods, computers and electronics and protection. Gee, I wonder who specializes in the production of those things?

In the meantime, you know what to do;

Enjoy the decline, gentlemen. Enjoy that decline!

When Liberals Try to Establish a Free Market

Wow, that's some kick ass liquidity there guys!

Just more proof it's never really been about "global warming" as much as it is a scam and a means to bring down the US. If people WERE serious about global warming then the above screenshot would be filled with historical data and price changes. Alas it is not and ergo economic proof global warming (at least the carbon credits aspect of it) was a scam.

hat tip

Can't Figure Out Why Newsweak is Losing Money

Cripes

Minneapolis, San Francisco, and Any Other Major Cities

I have said it before and I shall say it again;

Property taxes is the single largest unidentified threat to property prices and will undermine the housing and commercial property markets.

The reason is simple;

Cash flow appraisal techniques.

Understand what gives an asset (be it a house, a stock or whatever) value is the profits it generates. The cash flow it generates.

That's the ONLY reason any asset has value -because it can generate profits.

If your profits are slowly, but surely eroded away through taxation, you are eroding the one thing that gives the asset value. And ergo why, when the appraiser (or potential buyers) comes by to appraise your house, your rental property or your commercial property and sees property taxes lop off 60% AND INCREASING of your profits the remaining pittance of cash flow will not rationalize a highly valued price.

The ramifications go beyond the poor owner who gets less and less of the rental income.

Imagine what will happen to the bank's collateral.

Banks would be wise to start looking at the municipal government's budgets before accepting certain properties as collateral.

Enjoy the decline!

Absolutely Brilliant

HAR!!!

Good Thing Guns are Outlawed in Sweden

Otherwise they'd have shootings...oh, wait!

Recession Medicine

A savvy Captain in his 20 something lieutenant youth would have plagiarized the lyrics from this song to make it look like he wrote a poem for a fair lass who was the object of his affection.




Now I just play video games.

People Who Will Never Save a Miner

Cripes.

Nor will they ever contribute an ounce of genuine real production to society, because, it's all about the crusade people. It's all about the crusade.

"I Read The Economist"

As older readers know I once religiously subscribed to and supported The Economist.

That is until they endorsed Barack Obama.

It was such an appalling display of a once great magazine aiming to boost their subscribership by sacrificing their standards so they could appeal to a fad and a brainwashed mass that I ended my then 11 year subscription to the magazine. It called into question the entire purpose and integrity of The Economist. Why would anybody, who was at least intellectually honest and cared about economic reality, subscribe to what had ultimately and quickly become tripe?

Well, if you look at an old post I had, it once again shows you the ole Captain might know what he's talking about.

The Economist is nothing but a biased, albeit, highly dressed up, left wing rag. Their readership is not about advancing economies and increasing standards of living and helping out humanity, it's about purchasing "The Economist" so they can say to their other UN diplomats and dignitaries that "they read "The Economist"" and sound intelligent. It's for liberal arts students to avoid real debate and say, "they read the economist" which then makes them the smartest person in the room. It's for middle aged people who decide to "upgrade" from the local paper and buck for a promotion when their manager realizes "Hey, he's reading THe Economist!"

Understand The Economist is NOT a legitimate publication. It is simply a "badge of honor" somebody can buy to make themselves sound intellectual. It's like buying a degree from a degree mill. You are better served reading various independent blogs and getting your economic data from economic databases than you are reading The Economist because "The Economist" (despite its name) isn't anything approaching what a real economist would do.

To remind you of this, I need not do anything else than post this chart;



Thus is the typical "Economist" subscriber and why you might as well not even bother ever subscribing to it. Because if you couldn't predict Obama would be bad for the US, then what kind of "economist" were you?

Answer - a shill

Recession Medicine

Left Wing Labor Economics

Because to them 0 jobs that pay $100,000 a year is better than 75 jobs that pay $25,000 per year.

Because There's No Faith in the Future

I love this chart.


You couldn't have a bigger stimulus than this to prompt investment and economic growth. Interest rates have never been lower (since the Fed started tracking 30 year mortgage rates) and housing prices are a mere fraction of what they were a year ago.

The problem is why isn't this translating into economic growth or at least a stabilizing factor in the housing market? I'll give you the answer;

There's no real hope.

You see, in order for a person to take on a large purchase such as a house and a large responsibility such as a 30 year mortgage, they have to have faith that their investment is going to pay off in the end. Not that the house is going to go up in value, but that it doesn't tank in value either. You throw in property taxes that continually go up, property maintenance, insurance, etc., you can see why people are a bit leery of buying a house. It's a liability, not an asset.

Go on the investment side and you see another angle. Banks won't even loan money out in the first place. Why? Because they're not certain about the economic future of the nation. Still stinging from the housing collapse (not to mention this newest "signing scandal"), they are reluctant to loan money out for housing. Anybody try to refinance their homes recently at these historically low interest rate? I'm sure some of you have only to be denied because you;

1. Were self-employed.
2. Had a decrease in your income
3. Wore blue socks on Tuesdays

Running scared from the housing crisis, banks are now perhaps OVERLY cautious and are just keeping their capital ratios close to their hearts.

Then there's the business side of things. Well if home buyers can't get financed, then certainly businesses and entrepreneurs will!

Heh, heh. Sadly they see no reason to invest because once again, there does not seem to be any genuine hope or faith in the future economy. They might go and invest in China. They might go and invest in Chile. They might go and invest in Brazil. But why invest in Japan-Circa-1990-Part II?

You see, you can have all the "stimulus" you want and pretty words from Barry and low interest rates, but without faith in the future of the economy, nobody is going to avail themselves of these opportunities because the prospects of an adequate ROI doesn't warrant it. Matter of fact, if the cost of debt capital is 3.5%, that implies investors and businesses don't even expect that paltry of an amount in today's economic climate.

At this point I would normally go on about how eliminating the corporate tax rate and making it constitutionally PERMANENT would flood the economy with real investment and hope for the future. But of course this is like shouting into the hurricane. My readers understand the reason for such a policy, but it is the masses of idiotic Americans who have been brainwashed to loathe those "evil" corporations.

And so I merely just point out the economic humor and irony of seeing interest rates so low, yet no growth and then laugh at the people who wonder why there isn't any economic growth, who in the same breathe blame the "corporations" for all their problems and want nothing more than to "make them pay their fair share" (all while wondering why their 401k isn't going up).

Enjoy the decline!

Keep Dodging Those Bullets, Men

Keep dodging them bullets.