Treasury Unveils Toxic-Asset Plan, Citing ‘Acute Pressure’ on Banks – WSJ.com.
Private everything was the solution from the beginning, but Democrats who envision the country sucking from the government breast can’t wrap their head around capitalism and free market economics. Marx didn’t preach about those.
What a guy. Just when you hoped for change.
The Associated Press: Obama budget could bring $9.3 trillion in deficits.
Unbelievable. Obama has no shame, nor does the Census Bureau. Write, call, post, to let it be known this can’t go on. They defrauded the American public by registering thousands of dead or duplicate people on the Democrats ticket. Yes, only one sided as they have been proven repeatedly to be. See my many posts last year on the subject for background. What do you get when you employ a bunch of people who themselves desperately want to keep the hand-outs coming to do political ground work? ACORN.
I feel a coining coming on. I think a clearer outlining of ACORN’s mission could best be defined by a renaming… to The Association to Coordinate Obama Redistricting via NecromancyTM. Just remember you heard it here first.
An article on FoxNews.com outlines the threat and utter incredibility of the concept.
ACORN to Play Role in 2010 Census
The U.S. Census is supposed to be free of politics, but one group with a history of voter fraud, ACORN, is participating in next year’s count, raising concerns about the politicization of the decennial survey.
The Association of Community Organizations for Reform Now signed on as a national partner with the U.S. Census Bureau in February 2009 to assist with the recruitment of the 1.4 million temporary workers needed to go door-to-door to count every person in the United States — currently believed to be more than 306 million people.
A U.S. Census “sell sheet,” an advertisement used to recruit national partners, says partnerships with groups like ACORN “play an important role in making the 2010 Census successful,” including by “help[ing] recruit census workers.”
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But ACORN’s partnership with the 2010 Census is worrisome to lawmakers who say past allegations of fraud should raise concerns about the organization.
“It’s a concern, especially when you look at all the different charges of voter fraud. And it’s not just the lawmakers’ concern. It should be the concern of every citizen in the country,” Rep. Lynn A. Westmoreland, R-Ga., vice ranking member of the subcommittee for the U.S. Census, told FOXNews.com. “We want an enumeration. We don’t want to have any false numbers.”
ACORN, which claims to be a non-partisan grassroots community organization of low- and moderate-income people, came under fire in 2007 when Washington State filed felony charges against several paid ACORN employees and supervisors for more than 1,700 fraudulent voter registrations. In March 2008, an ACORN worker in Pennsylvania was sentenced for making 29 phony voter registration forms. The group’s activities were frequently questioned in the 2008 presidential election.
…The census is an official count of the country’s population mandated by the U.S. Constitution. It is used to determine distribution of taxpayer money through grants and appropriations and the apportionment of the 435 seats in the House of Representatives. Every U.S. household unit, including those occupied by non-citizens and illegal immigrants, must be counted.
Which is why ACORN wants to be involved since nearly all of their employees not only have, but ARE horses in the race.
Westmoreland and Rep. Jason Chaffetz, R-Utah, a member of the House census subcommittee, said the panel has held hearings to make sure the penalties for census takers committing fraud are clearly defined.
“I feel fairly confident that the penalties for an individual manipulating the count are pretty severe,” Chaffetz said. The penalty for any fraudulent activity can be up to five years in jail.
Westmoreland said he hopes the Census Bureau will maintain its measures to ensure an accurate report.
“I feel comfortable right now with the people at the census department that they’re going to put forth their best effort to have a fair count,” he said.
The U.S. Census Bureau has refuted any suggestions that ACORN or any other groups will fraudulently and unduly influence the results of the census.
“The Census (Bureau) is a nonpartisan, non-political agency and we’re very dedicated to an accurate account,” bureau spokesman Stephen Buckner told FOXNews.com. “We have a lot of quality controls in place to keep any kind of systemic error or fraudulent behavior to affect the counts.”
We’ll see. They said that about Obama’s fraudulent state senate race and others. From where I sit, anyone who is or knows anyone who is on the dole must be disallowed from being any part of the count.
Obama, not just the latest liberal president who truly doesn’t care for the American soldier, this one’s more dangerous than those who came before. Quite an accomplishment.
My wife just brought this article to my attention. Obama’s trying to be sneaky yet again with back-door manipulation toward socialized healthcare. If private insurance pays for veterans, as opposed to the government, all premiums will rise and all policies will feel the impact. Obama wants you to hate private medicine without knowing he’s to blame for it, so you’ll swallow the cyanide on demand. Don’t be fooled by his dirty Chicago parlor tricks.
The leader of the nation’s largest veterans organization says he is “deeply disappointed and concerned” after a meeting with President Obama today to discuss a proposal to force private insurance companies to pay for the treatment of military veterans who have suffered service-connected disabilities and injuries. The Obama administration recently revealed a plan to require private insurance carriers to reimburse the Department of Veterans Affairs (VA) in such cases.
“It became apparent during our discussion today that the President intends to move forward with this unreasonable plan,” said Commander David K. Rehbein of The American Legion. “He says he is looking to generate $540-million by this method, but refused to hear arguments about the moral and government-avowed obligations that would be compromised by it.”
The Commander, clearly angered as he emerged from the session said, “This reimbursement plan would be inconsistent with the mandate ‘ to care for him who shall have borne the battle’ given that the United States government sent members of the armed forces into harm’s way, and not private insurance companies. I say again that The American Legion does not and will not support any plan that seeks to bill a veteran for treatment of a service connected disability at the very agency that was created to treat the unique need of America’s veterans!”
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Read the full article here.
You knew it would happen. While I certainly don’t give just to get tax breaks, I certainly don’t want to double it by giving through taxes and then again outside of them. Obama has no clue about charity, after all, he’s never been to Sunday School, or perhaps if he did he was too busy scheming how to game the teacher into giving him special treatment for all of his “struggles”.
Among those shocked by President Obama’s 2010 budget, the most surprising are the true-blue liberals who run most of America’s nonprofits, universities and charities. How dare he limit tax deductions for charitable giving! They’re afraid they’ll get fewer donations, but they should be more concerned that Mr. Obama’s policies will shove them aside in favor of the New Charity State.
And to keep the record straight. All evidence has made clear that, though the liberals run most of the non-religious charities, and seem to do a lot of very visible charity work (to get praise and honor), the conservatives are by far the biggest charity donors in all aspects, and most of it is done anonymously. Who really cares about people, a visible credit seeker or a private citizen donating quietly and anonymously? But anyway, back to the story.
What did these nonprofit liberals expect, anyway? Mr. Obama is proposing a vast expansion of the entitlement state, and he has to find some way to pay for it. So logically enough, one of his ideas for funding public welfare is to reduce the tax benefit for private charity. His budget proposes to raise the top personal income tax rate to 39.6% in 2011 from 35%, and the 33% rate to 36% while reducing the tax benefit from itemized deductions for the top two brackets to 28% from 35% and 33%, respectively. The White House estimates the deduction reduction will yield $318 billion in revenue over 10 years.
From the Ivy League to the United Jewish Appeal, petitions and manifestos are in the works. The Independent Sector, otherwise eager to praise the Obama budget, worries the tax change “could be a disincentive to some donors.” According to the Center on Philanthropy at Indiana University, total itemized contributions from the highest income households would have dropped 4.8% — or $3.87 billion — in 2006 if the Obama policy had been in place. That year, Americans gave $186.6 billion to charity, more than 40% from those in the highest tax bracket. A back of the envelope calculation by the Tax Policy Center, a left-of-center think tank, estimates the Obama plan will reduce annual giving by 2%, or some $9 billion.
…Mr. Orszag revealed the real agenda at work when he pointed out that the money taken from the “rich” would be used to fund such Obama state-run charities as universal health care. The argument is that any potential declines in private gifts, whether to universities or foundations, will be balanced by increases in government grants paid with higher taxes — redistribution by another means. This is how Europe’s welfare state works: Taxes are so high that private citizens have come to believe it is only the state’s duty to support cultural institutions and public welfare. The ambit for private giving shrinks.
Told you this would happen. My brother once said Obama wants to create a country of human cattle that need to be tended and manipulated without choice, only the state matters. He’s dead on. Obama’s a nightmare to free agency and freedom in general.
America has always operated on a different philosophy, going back to Tocqueville’s discovery of thousands of private associations that sustained communities without a commanding state. We doubt that a tax benefit is what drives most giving even today. The exception may be the confiscatory death tax that drives many of the superrich to form foundations to avoid the tax. But we suspect that without the death tax the wealthy would give even more of their income away.
Americans of all income levels have long given generously, notably in the 1980s as income tax rates fell and the economy boomed. Over the last five decades, American giving overall has hardly deviated from 2% of personal income, according to the Tax Foundation. In an ideal world, the U.S. would eliminate most tax deductions, including the one for charity, in return for a simpler, flatter tax that would help create more wealth to give away. With his many new income-limited tax credits and deduction phase-outs, however, Mr. Obama is sprinting in the opposite direction.
Meanwhile, the White House may have underestimated the power of the liberal nonprofit lobby. The charity deduction cut is the only one of the President’s many tax increases that Democrats on Capitol Hill have publicly criticized. Politics hath no fury like a rich liberal scorned.
Read the full article here.
Judicial Watch, a legal watchdog group, published a story today recounting the high-maintenance sock-puppet Speaker of The House’s demands on the military to waste taxpayer dollars and resources.
Judicial Watch, the public interest group that investigates and prosecutes government corruption, announced today that it has obtained documents from the Department of Defense (DOD) detailing House Speaker Nancy Pelosi’s multiple requests for military air travel. The documents, obtained by Judicial Watch through the Freedom of Information Act (FOIA), include internal DOD email correspondence detailing attempts by DOD staff to accommodate Pelosi’s numerous requests for military escorts and military aircraft as well as the speaker’s last minute cancellations and changes. The following are a few highlights from the documents, which are linked in full [on the site]:
- In response to a series of requests for military aircraft, one Defense Department official wrote, “Any chance of politely querying [Pelosi’s team] if they really intend to do all of these or are they just picking every weekend?…[T]here’s no need to block every weekend ‘just in case’…” The email also notes that Pelosi’s office had, “a history of canceling many of their past requests.”
- One DOD official complained about the “hidden costs” associated with the speaker’s last minute changes and cancellations. “We have…folks prepping the jets and crews driving in (not a short drive for some), cooking meals and preflighting the jets etc.”
- The documents include a discussion of House Ethics rules and Defense Department policies as they apply to the speaker’s requests for staff, spouses and extended family to accompany her on military aircraft. In May 2008, for example, Pelosi requested that her husband join her on a Congressional Delegation (CODEL) into Iraq. The DOD explained to Pelosi that the agency has a written policy prohibiting spouses from joining CODEL’s into combat zones.
- Documents obtained from the U.S. Army include correspondence from Speaker Pelosi’s office requesting an Army escort and three military planes to transport Pelosi and other members of Congress to Cleveland, Ohio, for the funeral services of the late Rep. Stephanie Tubbs Jones. Pelosi noted in her letter of August 22, 2008, that such a request, labeled “Operation Tribute” was an “exception to standard policy.”
- The documents also detail correspondence from intermediaries for Speaker Pelosi issuing demands for certain aircraft and expressing outrage when requested military planes were not available. “It is my understanding there are no G5s available for the House during the Memorial Day recess. This is totally unacceptable…The speaker will want to know where the planes are…” wrote Kay King, Director of the House Office of Interparliamentary Affairs. In a separate email, when told a certain type of aircraft would not be available, King writes, “This is not good news, and we will have some very disappointed folks, as well as a very upset [s]peaker.”
- During another email exchange DOD staff advised Kay King that one Pelosi military aircraft request could not be met because of “crew rest requirements” and offered to help secure commercial travel. Kay King responded: “We appreciate the efforts to help the codel [sic] fly commercially but you know the problem that creates with spouses. If we can find another way to assist with military assets, we would like to do that.”
Speaker Pelosi came under fire in 2007 for requesting a 42-seat Air Force carrier to ferry the Speaker and her staff back and forth between San Francisco, CA and Washington, DC. Former House Speaker Dennis Hastert was allowed access to a 12-seat commuter jet for security reasons after the events of 9/11.
“Taken together, these documents show that Speaker Pelosi treats the Air Force like her personal airline,” said Judicial Watch President Tom Fitton. “Not only does Speaker Pelosi issue unreasonable requests for military travel, but her office seems unconcerned about wasting taxpayer money with last minute cancellations and other demands.”
Read the details and emails here.
I’ve been telling Tickler for months now that we are beginning to see Ayn Rand’s novel Atlas Shrugged come to life. It’s horrifying. Ayn Rand defected from communist Russia in 1926 and wrote Atlas Shrugged in 1957. Needless to say she was not a fan of socialism. Noted economist Stephen Moore wrote a piece in the Wall Street Journal in January pointing out this same similarity between the world of Atlas Shrugged and our current political and economic climate. Highlights are below, see the full article here.
For the uninitiated, the moral of the story is simply this: Politicians invariably respond to crises — that in most cases they themselves created — by spawning new government programs, laws and regulations. These, in turn, generate more havoc and poverty, which inspires the politicians to create more programs . . . and the downward spiral repeats itself until the productive sectors of the economy collapse under the collective weight of taxes and other burdens imposed in the name of fairness, equality and do-goodism.
In the book, these relentless wealth redistributionists and their programs are disparaged as “the looters and their laws.” Every new act of government futility and stupidity carries with it a benevolent-sounding title. These include the “Anti-Greed Act” to redistribute income (sounds like Charlie Rangel’s promises soak-the-rich tax bill) and the “Equalization of Opportunity Act” to prevent people from starting more than one business (to give other people a chance). My personal favorite, the “Anti Dog-Eat-Dog Act,” aims to restrict cut-throat competition between firms and thus slow the wave of business bankruptcies. Why didn’t Hank Paulson think of that?
Ultimately, “Atlas Shrugged” is a celebration of the entrepreneur, the risk taker and the cultivator of wealth through human intellect. Critics dismissed the novel as simple-minded, and even some of Rand’s political admirers complained that she lacked compassion. Yet one pertinent warning resounds throughout the book: When profits and wealth and creativity are denigrated in society, they start to disappear — leaving everyone the poorer.
One memorable moment in “Atlas” occurs near the very end, when the economy has been rendered comatose by all the great economic minds in Washington. Finally, and out of desperation, the politicians come to the heroic businessman John Galt (who has resisted their assault on capitalism) and beg him to help them get the economy back on track. The discussion sounds much like what would happen today:
Galt: “You want me to be Economic Dictator?”
Mr. Thompson: “Yes!”
“And you’ll obey any order I give?”
“Implicitly!”
“Then start by abolishing all income taxes.”
“Oh no!” screamed Mr. Thompson, leaping to his feet. “We couldn’t do that . . . How would we pay government employees?”
“Fire your government employees.”
“Oh, no!”
Abolishing the income tax. Now that really would be a genuine economic stimulus. But Mr. Obama and the Democrats in Washington want to do the opposite: to raise the income tax “for purposes of fairness” as Barack Obama puts it.
I couldn’t have said it better myself.
Must read on CNBC (I’m surprised too, though to be fair Larry Kudlow often has intelligent things to say)…
Let me be very clear on the economics of President Obama’s State of the Union speech and his budget.
He is declaring war on investors, entrepreneurs, small businesses, large corporations, and private-equity and venture-capital funds.
That is the meaning of his anti-growth tax-hike proposals, which make absolutely no sense at all — either for this recession or from the standpoint of expanding our economy’s long-run potential to grow.
Raising the marginal tax rate on successful earners, capital, dividends, and all the private funds is a function of Obama’s left-wing social vision, and a repudiation of his economic-recovery statements. Ditto for his sweeping government-planning-and-spending program, which will wind up raising federal outlays as a share of GDP to at least 30 percent, if not more, over the next 10 years.
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Study after study over the past several decades has shown how countries that spend more produce less, while nations that tax less produce more. Obama is doing it wrong on both counts.
And as far as middle-class tax cuts are concerned, Obama’s cap-and-trade program will be a huge across-the-board tax increase on blue-collar workers, including unionized workers. Industrial production is plunging, but new carbon taxes will prevent production from ever recovering. While the country wants more fuel and power, cap-and-trade will deliver less.
Read the rest here. The closing is worth posting here though…
There is a growing sense of buyer’s remorse. Well then, do conservatives dare say: We told you so?
On Friday, February 6 at 4:30 pm, just before the end of the day and start of the weekend, Obama quietly signed an executive order which in effect bans all non-union construction shops from being awarded any federally funded construction projects. This effectively discriminates against the 84% of construction workers who are non-union. Didn’t even wait a month to pay back his union cronies, amazing. See discussion on this subject on the Associated Builders and Contractors, Inc. webpage here. See RNC Chairman Michael Steele’s official statement in response to this shameful example of crooked politics as usual here, also quoted below for easy reference:
WASHINGTON – Republican National Committee (RNC) Chairman Michael Steele today released the following statement concerning the executive order quietly signed by President Barack Obama on Friday ordering the use of union labor for federal construction projects:
“President Obama’s executive order will drive up the cost of government at a time when we should be doing everything possible to save taxpayer dollars. Federal contracts should go to the businesses that can offer taxpayers the best value – not just the unions who supported the Democrats’ campaigns last year. Quietly signing executive orders to payback campaign backers undermines Obama promise to change Washington. It is a disappointment for Americans hoping for more transparency and less politics as usual in Washington.”
The Associated-Press-as-cheerleader act is finally waning as they realize that election night euphoria is turning to a scorching case of buyers remorse, and they actually have a job to do.
WASHINGTON — President Barack Obama knows Americans are unhappy that the government could rescue people who bought mansions beyond their means.
But his assurance Tuesday night that only the deserving will get help rang hollow.
Even officials in his administration, many supporters of the plan in Congress and the Federal Reserve chairman expect some of that money will go to people who used lousy judgment.
The president skipped over several complex economic circumstances in his speech to Congress — and may have started an international debate among trivia lovers and auto buffs over what country invented the car.
A look at some of his assertions:
OBAMA: “We have launched a housing plan that will help responsible families facing the threat of foreclosure lower their monthly payments and refinance their mortgages. It’s a plan that won’t help speculators or that neighbor down the street who bought a house he could never hope to afford, but it will help millions of Americans who are struggling with declining home values.”
THE FACTS: If the administration has come up with a way to ensure money only goes to those who got in honest trouble, it hasn’t said so.
Defending the program Tuesday at a Senate hearing, Federal Reserve Chairman Ben Bernanke said it’s important to save those who made bad calls, for the greater good. He likened it to calling the fire department to put out a blaze caused by someone smoking in bed.
“I think the smart way to deal with a situation like that is to put out the fire, save him from his own consequences of his own action but then, going forward, enact penalties and set tougher rules about smoking in bed.”
Brilliant Benji. I’d have to say in this context we need to let him burn to get the stupidity out of the gene pool.
Similarly, the head of the Federal Deposit Insurance Corp. suggested this month it’s not likely aid will be denied to all homeowners who overstated their income or assets to get a mortgage they couldn’t afford.
“I think it’s just simply impractical to try to do a forensic analysis of each and every one of these delinquent loans,” Sheila Bair told National Public Radio.
Or… “we’re too lazy (and it’s frankly not in our interest) to do any analysis whatsoever, except when it comes to which incomes can be fleeced with higher taxes, then we’ll analyze ’til the donkeys (jackasses) come home.”
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OBAMA: “And I believe the nation that invented the automobile cannot walk away from it.”
THE FACTS: Depends what your definition of automobiles, is. According to the Library of Congress, the inventor of the first true automobile was probably Germany’s Karl Benz, who created the first auto powered by an internal combustion gasoline engine, in 1885 or 1886. In the U.S., Charles Duryea tested what library researchers called the first successful gas-powered car in 1893. Nobody disputes that Henry Ford created the first assembly line that made cars affordable.
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OBAMA: “We have known for decades that our survival depends on finding new sources of energy. Yet we import more oil today than ever before.”
THE FACTS: Oil imports peaked in 2005 at just over 5 billion barrels, and have been declining slightly since. The figure in 2007 was 4.9 billion barrels, or about 58 percent of total consumption. The nation is on pace this year to import 4.7 billion barrels, and government projections are for imports to hold steady or decrease a bit over the next two decades.
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OBAMA: “We have already identified $2 trillion in savings over the next decade.”
THE FACTS: Although 10-year projections are common in government, they don’t mean much. And at times, they are a way for a president to pass on the most painful steps to his successor, by putting off big tax increases or spending cuts until someone else is in the White House.
Obama only has a real say on spending during the four years of his term. He may not be president after that and he certainly won’t be 10 years from now.
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OBAMA: “Regulations were gutted for the sake of a quick profit at the expense of a healthy market. People bought homes they knew they couldn’t afford from banks and lenders who pushed those bad loans anyway. And all the while, critical debates and difficult decisions were put off for some other time on some other day.”
THE FACTS: This may be so, but it isn’t only Republicans who pushed for deregulation of the financial industries. The Clinton administration championed an easing of banking regulations, including legislation that ended the barrier between regular banks and Wall Street banks. That led to a deregulation that kept regular banks under tight federal regulation but extended lax regulation of Wall Street banks. Clinton Treasury Secretary Robert Rubin, later an economic adviser to candidate Obama, was in the forefront in pushing for this deregulation.
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OBAMA: “In this budget, we will end education programs that don’t work and end direct payments to large agribusinesses that don’t need them. We’ll eliminate the no-bid contracts that have wasted billions in Iraq, and reform our defense budget so that we’re not paying for Cold War-era weapons systems we don’t use. We will root out the waste, fraud and abuse in our Medicare program that doesn’t make our seniors any healthier, and we will restore a sense of fairness and balance to our tax code by finally ending the tax breaks for corporations that ship our jobs overseas.”
THE FACTS: First, his budget does not accomplish any of that. It only proposes those steps. That’s all a president can do, because control over spending rests with Congress. Obama’s proposals here are a wish list and some items, including corporate tax increases and cuts in agricultural aid, will be a tough sale in Congress.
Second, waste, fraud and abuse are routinely targeted by presidents who later find that the savings realized seldom amount to significant sums. Programs that a president might consider wasteful have staunch defenders in Congress who have fought off similar efforts in the past.
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OBAMA: “Thanks to our recovery plan, we will double this nation’s supply of renewable energy in the next three years.”
THE FACTS: While the president’s stimulus package includes billions in aid for renewable energy and conservation, his goal is unlikely to be achieved through the recovery plan alone.
In 2007, the U.S. produced 8.4 percent of its electricity from renewable sources, including hydroelectric dams, solar panels and windmills. Under the status quo, the Energy Department says, it will take more than two decades to boost that figure to 12.5 percent.
If Obama is to achieve his much more ambitious goal, Congress would need to mandate it. That is the thrust of an energy bill that is expected to be introduced in coming weeks.
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OBAMA: “Over the next two years, this plan will save or create 3.5 million jobs.”
THE FACTS: This is a recurrent Obama formulation. But job creation projections are uncertain even in stable times, and some of the economists relied on by Obama in making his forecast acknowledge a great deal of uncertainty in their numbers.
The president’s own economists, in a report prepared last month, stated, “It should be understood that all of the estimates presented in this memo are subject to significant margins of error.”
Beyond that, it’s unlikely the nation will ever know how many jobs are saved as a result of the stimulus. While it’s clear when jobs are abolished, there’s no economic gauge that tracks job preservation. The estimates are based on economic assumptions of how many jobs would be lost without the stimulus.
All I can say is wow. Read the full article here.