Daily Digest

Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy Subsidies, 'Static Kill' working?

Thursday, August 5, 2010, 9:53 AM
  • The Automatic Earth: America’s Fitful Reverie
  • Les Leopold: Are the Unemployed Causing Unemployment?
  • GMI Describes "The Future Recession In An Ongoing Depression" In This Must Read Report
  • Is Consumer Spending 70% of GDP?
  • Which Way Wednesday - On the 50% Line - Again
  • Austerity Vs. Defecit Spending - A Catch 22
  • Station to station: the new power generation 
  • Fossil Fuel Subsidies Are 12 Times Support for Renewables, Study Shows
  • ‘Static Kill’ Appears to Be Working, BP Says
  • Northern Maine Feels Loss Of Lifeline

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Economy

The Automatic Earth: America’s Fitful Reverie (Doug A.)

The system is broken, at least from the point of view of the vast majority of the people. The big boys and girls are fine, they can just grab another few trillion from the public trough whenever they feel like doing so. The country's for sale to the highest bidder. And they're buying. And with your money, not theirs. They're buying politicians and they're buying legislation that's favorable to them.

Les Leopold: Are the Unemployed Causing Unemployment? (bandv)

As May’s unemployment numbers show, we’re still in a jobs recession, despite the impact of temporary census jobs. More than 29 million Americans are still without work or forced into part-time work — that’s a real jobless rate of 16.6% (BLS U6). (Leo Hindery Jr.’s more precise estimate is 30.16 million for a jobless rate of 18.8 percent.) Nearly 7 million people have been jobless for over 26 weeks (the “long-term unemployed”) — more than at any time since the Great Depression. We still need more than 22 million new jobs to get us anywhere near full-employment.

GMI Describes "The Future Recession In An Ongoing Depression" In This Must Read Report (pinecarr)

Raoul Pal, who retired from managing money at the ripe age of 36, after co-managing GLG's Global Macro Fund, and the hedge fund sales business in equities and equity derivatives at Goldman among others, and has been publishing the attached Global Macro Report since, has just come out with the most condensed version of truth about our economic reality we have read in a long time.

Is Consumer Spending 70% of GDP? Checkmark Recovery Revisited (pinecarr)

In May, personal income increased $40.5 billion, or 0.3 percent, DPI increased $36.9 billion, or 0.3 percent, and PCE increased $8.6 billion, or 0.1 percent, based on revised estimates.

Which Way Wednesday - On the 50% Line - Again (Ilene)

Here we are back on the 50% retracement line at 1,121 on the S&P. As Barry Ritholtz points out, it’s the 5th time we’ve been here and, as I said yesterday, Barry says “Its going to take a lot of something — good earnings, liquidity, sentiment, breadth, momentum, psychology, quantitative easing, something – to move higher from here.” Also great on Barry’s site today is a very neat summation of the housing crisis and his take on Timmy G’s NY Times Op Ed column, which I need to add my own .02 to.

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Austerity Vs. Defecit Spending - A Catch 22 (Sean H.)

We have to say that we fully agree with all the assumptions about those direct implications, in fact, the Post-Keynesian concept of the “multiplier effect” extra government dollars have is very much in line with our own view of the impact growing credit levels have on an economy. But wait. When the concept was introduced in the 1930s, the world stood at the beginning of exploring a bounty of natural resources, first and foremost oil, and what was missing was infrastructure to make good use of those gifts from mother nature. Thus, building cars, roads, machinery and other things made a lot of sense, and had the desired effect of bridging truogh a period of market disturbances after the Great Depression had hit.

Energy

Station To Station: The New Power Generation (joemanc)

Britain is poised to enter a new golden age of power station design that could surpass the creation of architecturally magnificent temples of energy such as the Bankside and Battersea plants in London, and the surreally beautiful chimneys of more modern power stations like those at Drax and Didcot. More than 20 new energy plants are on the way – and iconic design, coupled with greater community involvement and the use of biofuels, have become burning issues at a time when European and British legislation is putting tougher restrictions on power-station carbon emissions and landfill.

Fossil Fuel Subsidies Are 12 Times Support for Renewables, Study Shows (NZSailor)

“One of the reasons the clean energy sector is starved of funding is because mainstream investors worry that renewable energy only works with direct government support,” said Michael Liebreich, chief executive of New Energy Finance. “This analysis shows that the global direct subsidy for fossil fuels is around ten times the subsidy for renewables.”

Environment

‘Static Kill’ Appears to Be Working, BP Says (jdargis)

Throughout the day, senior government scientists and BP engineers combed through data to evaluate the condition of the well piping and whether it made sense to pour cement for a final plug from a surface ship above the well or to pump the cement through a relief well that is still being drilled.

Northern Maine Feels Loss Of Lifeline (David B.)

“It’s sort of the Maine story: too many miles and too little revenue,’’ said Robert Grindrod, president and chief executive of the railroad, which is seeking federal permission to abandon its track from Millinocket to Madawaska. Under railroad law that weighs private interest against public need, federal approval is needed before unprofitable track can be shut down.

Article suggestions for the Daily Digest can be sent to [email protected]. All suggestions are filtered by the Daily Digest team and preference is given to those that are in alignment with the message of the Crash Course and the "3 Es."

18 Comments

saxplayer00o1's picture
saxplayer00o1
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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

"NEW YORK (CNNMoney.com) -- The Senate overcame a key procedural hurdle Wednesday to send $26 billion more in federal aid to cash-strapped states.

The measure, which passed by a 61-38 vote, contains $16.1 billion in additional Medicaid money and $10 billion to prevent layoffs of teachers and first responders.

State officials have been desperately lobbying their representatives, saying they need the money to shore up their budgets. About 30 states had already included the additional Medicaid funds in their fiscal 2011 budgets, which began July 1, and would have to cut further if it doesn't come through. The bill is expected to save 290,000 jobs, according to Senate Democrats"

"WASHINGTON — Medicare and Social Security — the foundation of a secure retirement — are facing strains from an aging population and an economy that can't seem to get out of low gear.

And despite assertions to the contrary by the Obama administration, the new health care law doesn't improve Medicare's solvency by much.

As the government releases its annual financial checkup Wednesday on the two giant programs that support millions of middle-class retirees, the prognosis is guarded.

Demand for services is going up, and income from payroll taxes can't keep pace. Meanwhile, the government has used trust fund surpluses to pay for other needs, leaving Medicare and Social Security with a pile of IOUs."

"The picture for Social Security isn't encouraging, either.

Last year, the trustees projected that Social Security would run out of money by 2037 unless Congress acts. Since then, the poor economy has increased pressure on the program's finances, as payroll taxes fell and the number of people applying for early retirement and disability benefits increased.

For the first time since the 1980s, Social Security will pay out more money in benefits this year than it collects in payroll taxes, according to projections by the Congressional Budget Office.

More than 53 million people receive Social Security. Retirement benefits average $1,100 a month, and disabled workers get an average of $1,065. Medicare covers more than 46 million retirees and disabled people.

Social Security is financed by a 6.2 percent payroll tax on wages below $106,800. The tax is paid by workers and matched by employers. Medicare is financed by a mix of general revenues, payroll taxes and premiums paid by beneficiaries.

The Social Security trust funds have built up a $2.5 trillion surplus over the past 25 years. But the federal government has borrowed that money over the years to spend on other programs. The government must now start borrowing money from public debt markets — adding to annual budget deficits — to repay Social Security."

"(Reuters) - The New York State Senate has approved at least a nine-month delay in issuing permits for a method of natural gas drilling, saying more study is needed to ensure it does not contaminate the state's water supply.

The 48 to 9 vote by the senate late on Tuesday was an unusual display of bipartisan cooperation in a divided chamber where Democrats hold a thin majority. The moratorium must still be approved by the state assembly and signed by the governor.

New York state has become the front line in the debate over hydraulic fracturing, a drilling technique that involves blasting enormous quantities of water, sand and chemicals into deep shale rock under high pressure to free trapped gas. "

"Despite the skepticism of residents, Jersey City will shift from a fiscal year to calendar year budget cycle to buy time to close an $80 million budget deficit.

Just a few weeks ago city officials said that gap was at about $56 million, but tonight council members confirmed that the figure is much higher.

Ward A Councilman Michael Sottolano, a member of the council’s budget committee, said changing the budget cycle and adopting a six-month transitional budget for the remainder of this year would give the city time to make cuts and close the gap."

....................4A) Jersey City is closing its police academy to save money

"Daley concluded his speech by focusing on the budget.

"In the last two and a half years we've cut nearly $400 million, but better management alone won't close next years deficit of $655 million," the mayor said.

Daley said that he would take a $20,000 pay cut next year, and seemed to prescribe similar belt tightening everywhere."

"As the national unemployment rate hovers around 9.5% and with state unemployment rates as high as 14.2%, states are hemorrhaging money from their unemployment trust fund accounts - the funds states use to pay unemployment benefits. Every month, more states are forced to borrow from the federal government to keep those trust funds afloat and last week, the tab for states hit just over $39 billion.

The fiscal impact of sustained high unemployment rates is painfully clear to all state policymakers. Sustained high unemployment affects unemployment insurance trust funds in two primary ways: decreased supply and increased demand. More people need unemployment benefits for longer, increasing the money going out, while fewer people are paying into the reserves through payroll tax collections, draining the supply of funds coming in.

As a result, unemployment insurance trust funds are being drained at an alarming rate. At the end of 2007, states had $38.3 billion in trust reserves; that fell to $29.9 billion in December 2008 and to $14.2 billion by September 2009. To cover the gap between diminishing trust funds and increased demand, states are borrowing from the federal government and raising taxes.

At the end of January, 26 states were borrowing money from the Federal Unemployment Account to help pay increasing claims for unemployment insurance benefits, with outstanding loans then totaling more than $30 billion. By the middle of July, 32 states were borrowing over $39 billion—a 30 percent increase in total borrowing in just under six months. "

"Only a few weeks ago, the dollar was powering towards its highest levels in four years, the beneficiary of widespread gloom about Europe’s debt crisis and rising optimism about the US recovery.

Since then, investors have soured on the world’s largest economy. The dollar has tumbled 9 per cent on a trade-weighted basis in two months, and on Wednesday fell to Y85.29, within a whisker of a 15-year low.

The sickly euro, by contrast, has recovered sharply, rising above $1.32 on Wednesday to a three-month high. Sterling is now at its highest for six months and approaching $1.60. “If the currency markets were a human being it would be locked up in a lunatic asylum at the moment,” says David Bloom, head of currency strategy at HSBC. “One moment it is extreme joy, the next moment extreme sadness. It’s extraordinary. We’re just swinging violently from one extreme view to another.”

A wave of weak economic data, including disappointing jobs figures, and expectations of further monetary easing by the US Federal Reserve to head off the risk of a double-dip recession have been the main drivers of the dollar’s fall."

"BYD, the Chinese carmaker backed by US billionaire Warren Buffett, has slashed its sales forecast for this year by 25 per cent as growth in the world’s largest auto market slows.

The Shenzhen-based car and battery maker on Wednesday said it expected to sell 600,000 cars in 2010, down from 800,000 forecast earlier this year, because of capacity constraints."

"Analysts said it was not surprising that BYD was cutting its sales target given the state of the car market in China.

Last year, the government “encouraged people to buy cars by giving tax rebates and banks were lending money to everyone. This year is more normal. Credits are much tighter,” said Johnny Wong, analyst at Yuanta Securities.

China overtook the US as the world’s largest auto market in 2009.

However, this year analysts expect growth in China to fall to about 15-20 per cent. "

"Wheat prices surged more than 7 per cent on Wednesday to a fresh two-year high even as the United Nations attempted to quell growing panic in the markets.

CBOT September wheat rose to a fresh peak above $7.30 a bushel, the highest since September 2008, amid rising alarm over the state of the wheat crop in the Black Sea region, which has been ravaged by the worst drought in more than a century. The UN’s Food and Agricultural Organisation said that fears of a repetition of the 2007-08 food crisis were unjustified.

But it also cut its forecast for global wheat production by 25m tonnes to 651m tonnes, making the biggest revision in 20 years, and warned that a continuation of the current weather conditions could affect planting of the next Russian crop, with “potentially serious implications” for global wheat supplies in the 2011-12 season."

..................9A) Wheat Hits 23-Month High After Russia Bans Grain Exports

"CINCINNATI - Who will pay to keep Cincinnati's worker pension fund going? That billion dollar question is expected to bring angry answers Thursday morning to a major city council hearing.

It's being held at the Duke Energy Convention Center because there is just not enough room at Cincinnati City Hall for all the city workers and retirees that are expected to attend.

The problem facing the city's pension fund is that it is woefully underfunded and has been for years. Some projections say it could take a $1 billion to $1.5 billion to keep the fund solvent after 20 years.

Almost 8,000 retirees and more than 6,000 current city workers will be affected. Some of the workers have already started to protest suggestions that workers will pay bigger pension premiums or work more years before qualifying for a pension.

The options for getting or keeping more money in the city pension fund all are painful for someone. They include increasing the retirement age, cutting retiree benefits or health care, or having the city increase taxes or cut services to put more money into the fund. Other suggestions include selling off some city assets to help bolster the pension fund."

"Aug 5 (Reuters) - Japan's government may tap public pension reserves to cover shortfalls in pension benefits expected for the next fiscal year, a newspaper reported on Thursday.

The move could affect financial markets because the government agency managing the world's largest pension fund would need to unwind some of its stock and bond investments to raise money to make up for the pension shortfall.

Japan faces an estimated shortfall of 2.5 trillion yen ($28.97 billion) in covering pension payouts for its ageing society in the fiscal year beginning in April 2011."

"NEW YORK (CNNMoney.com) -- The number of Americans filing for initial unemployment insurance jumped last week to the highest level in 3 months, the government said Thursday.

There were 479,000 initial jobless claims filed in the week ended July 31, up 19,000 from a upwardly revised 460,000 the previous week, the Labor Department said. The weekly figure is the highest since the week ended April 10, when 480,000 initial claims were filed.

The number of claims was higher than the 455,000 claims expected in a consensus estimate of economists surveyed by Briefing.com.

The 4-week moving average of initial claims, which is calculated to smooth out volatility, was 458,500, up 5,250 from the previous week's upwardly revised average of 453,250."

"The Federal Housing Administration (FHA) has just $3.5 billion in its ‘capital reserve account,’ according to the agency’s quarterly report submitted to Congress this week. That’s lower than the $3.6 billion reserve balance last November when FHA informed officials that its cash cushion had fallen below the lawfully permitted threshold.

The decline last quarter, though, is the result of a shuffling of funds. FHA moved $9.8 billion from its capital reserves to its ‘financing account,’ the fund used to cover insurance claim payouts for loan defaults and losses within its portfolio. The transfer bumped this loss reserve account up to $29.6 billion – the largest it’s been in more than two years (perhaps longer, since the historical figures provided in the report to Congress go back only to September 2008).

The reassigning of funds depleted the agency’s capital reserve account by 71 percent in a short three-month span, and suggests that the FHA may be preparing for another wave of defaults and mortgage insurance claims."

  • Other news and headlines:

BP faced with $10 billion lawsuit over Texas City toxic release

SF considers fee on alcoholic beverages

State governments find inner entrepreneuer

homeowners face tax hike after move by Legislature (Arizona)

Retail sales tepid as frugality returns

LogansRun's picture
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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

Out of The Northern Maine Railway article:

“It’s sort of the Maine story: too many miles and too little revenue,’’ said Robert Grindrod, president and chief executive of the railroad, which is seeking federal permission to abandon its track from Millinocket to Madawaska. Under railroad law that weighs private interest against public need, federal approval is needed before unprofitable track can be shut down.

My God!  When I first read this, I thought it was a joke!  This is directly out of Atlas Shrugged!  

Where's John Galt when you need him?!?

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Social Security Discussion on CNB(S)

I was just watching a discussion on Social Secuity on CNB(S), and Larry Kudlow flat out admitted that the government is spending the trust funds, that there is no Al Gore lockbox. They had some Democrat consultant on and he agreed with Larry. But then, he said we should leave Social Security alone, it will be fine. What a knucklehead! At the bottom of the screen, there was a line about the SS deficit being $41 billion this year. Luckily, the professor they had on also correctly pointed out that the number of payees to retirees is dropping due to demographics. Mind boggling! I guess that's what I get for being at home and turning the tv on.

I'll have to see if they post the video later on.

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Re: Social Security Discussion on CNB(S)

"correctly pointed out that the number of payees to retirees is dropping due to demographics"

There is another big factor:  People are retiring at 62 and not waiting to 66 and beyond to retire.  There are no jobs for anyone over 50, and SS is the new unemployment insurance.  The government will need to change the unemployment insurance program from 99 weeks, to "until 62".Laughing

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

LogansRun: That was my thought exactly.  I started rereading it a few weeks ago (I have done so every year since 1989) and am unfortunately dismayed by the similarities to today.

 

"I swear, by my life and my love of it,..."

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

LogansRun and Finaltable,

My bet, "he" is a self financed plant scientist operating at a remote farm in the hinterlands.

Robie,husband,father,farmer,optometrist

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Social Security Trust Fund

Joe Manc:

Kudlow is absolutely right.

From Research Note #20  "The Social Security Trust Fuinds and the Federal Budget:"

"Since the assets in the Social Securirty trust Funds consist of Treasury Securities, this means that the taxes collected under tthe Social Security payroll tax are in effect being lent to the federal government to be expended for whatever present purposes the government requires.Go to:  http://www.ssa.gov/history/BudgetTreatment.html.

There really is no such entity as dedicated taxes.

Taxes go into the Treasury's general fund, and are spent for the general welfare.

"The proceeds of the tax are not earmarked for a special group."

Supreme Ct. of the U.S., No. 837,1936, Steward Machine Company v. Davis

Go to:  http://www.ssa.gov/history/supreme2.html.

"A tax is not an assessment of benefits.  It is a means of distributing the burden of the cost of government."

Supreme Ct. of the U.S. Nos. 724,797, 1936

Carmichael v Southern Coal & Coke Company

Go to:  http://www.ssa.gov/history/supreme3.html

Don Levit

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Re: Social Security Discussion on CNB(S)

If you sum up all of the entitlements in the federal budget (SS + medicare + medicaid + unemployment\wealthfare) and the interest payments on federal debt, it now exceeds federal revenue. Federal gov't spends more money servicing entitlement programs and debt than they collect in taxes. The only thing keeping the gov't running now is deficit spending. I doubt the tax hike next year will make a difference, since more than 7000 americans are filing for SS and Medicare every day.

 

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

<http://www.nytimes.com/2010/08/06/world/europe/06russia.html>

Russia Bans Grain Exports After Drought Shrivels Crop

By ANDREW E. KRAMER and JACK HEALY
Published: August 5, 2010

 

MOSCOW — Russia announced Thursday that it would ban grain exports through the end of the year, a response to a scorching drought that has destroyed millions of acres of Russian wheat and hobbled the country’s agricultural revival.

The ban on grain exports by Russia, one of the world’s largest wheat producers, helped propel wheat prices in the United States toward their highest levels in nearly two years and raised the prospect that consumers could pay more for products like flour and bread as Russia tries to conserve its supplies of wheat, barley and other grains for its own people.

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there's an election on in Australia...

<http://www.acfonline.org.au/articles/news.asp>

Big parties missing on climate - public not happy

Date: 5-Aug-2010

While the major political parties avoid discussing serious climate change action, a new poll shows climate policies will affect the votes of most Australians.

'Pollution and climate change' will influence the votes of 78% of the 2,200 voters surveyed for the poll.

The issue will influence the votes of 81% of soft (undecided) voters and 84% of young voters (18-24 years old).

The influence of pollution and climate change on voting intention was also high among 'rusted on' voters, with 70% of Liberal voters, 85% of Labor voters and 90% of Greens voters saying the issue would affect their vote.

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Re: Social Security Trust Fund

Yes so, as it turns out, the SS loan (bond) was exchanged for tax on wages (real wroth), by consent of the politicians, spent on what ever they wanted, to an insolvent US federal government which is unable to manage debt, and can now no longer redeem the bonds without debasing the currency in which the bonds were issued.

The trust fund, SS bonds, are just another debt the tax payer (and business) will have to fund again. This is a political black spot on our nation.

Mark Beck

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Re: Social Security Discussion on CNB(S)

 

TechGuy,

that's actually not true: http://en.wikipedia.org/wiki/2010_United_States_federal_budget

Revenues - 2.381 trillion

SS + medicare + medicaid + unemp / welfare  + interest = (698 + 453 + 290 + 568 + 164) = 2.173 trillion

but nonetheless, it's way too close...

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

Any one have any ideas on how verizon and google together will affect us and the internent?

 

http://vinceseconomicblog.wordpress.com/2010/08/06/google-verizon-deal-t...

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...
scrappy coco wrote:

Any one have any ideas on how verizon and google together will affect us and the internent?

My personal take would be to wait and see.  So often we are presented with FUD (Fear, Uncertainty, and Doubt) as a reason to take action when just waiting to see what happens is the best approach.   We had the same tactics being waged by both sides in the Net Neutrality debate.  On one side you have those "EVIL" corporations and the otherside the "EVIL" government.  Personally, I pick the one I have the most influence on, the corporations with my dollar voting and you have to remember we have lots of local PRCs ready to jump all over companies for their constituents without having the FCC involved.

Also, you have too look at those that are championing Net Neutrality: Pelosi, Reid, Waxman.  They clearly have no understanding of most of the 3E's.  Do you really think they have a clue about the internet?  I personally think the only reason congress is involved in the whole Net Neutrality debate is as a means of control and draconian copyright enforcement (media special interest), not to help the consumer.

The internet is pretty much driven by coporations now and personally I think it has done pretty well with minimal government inteference.  We have dramtically increased it's scope, speed, and lowered cost over the last 20 years, so I would say wait and see.

Over the last few years there has been an explosion in the data transmitted, particularly with video streams.  Why do we not expect those who use the bandwidth to pay for it?  Would you expect a package delivery service to charge one fee for any size/weight package?  It's the same with bandwidth.

One resouce that actually discusses these issues without the FUD factor is the Electronic Frontier Foundation.  You might want to check them out as I find them to be the most reasonable consumer oriented  group dealing with these technology issues.

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

Wouldn't some corporations be affected, possibly, more by outside dollars?  Thus your dollar, as a vote, may have little if no affect upon the corporation?  I would hate to be so cynical as to give up on our government.

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...
dickey45 wrote:

Wouldn't some corporations be affected, possibly, more by outside dollars?  Thus your dollar, as a vote, may have little if no affect upon the corporation?  I would hate to be so cynical as to give up on our government.

Then I simply choose not to use that corporations product or I choose a competing vendor.  And who would those outside dollar be from?   Probably other customers who probably have the same general interest in what I want as well - better service, cheaper price. 

When I first got dedicated internet service it was $600 for the router and I had 384K DSL and ran about $100/month (10 or so years ago).  Now I get 10,000K, a free router and all for about $30/month.  Hmm, sure looks like we need government to step in and start saving us.  In addition I have access to a lot more information, I can set up my own website simply to get my voice heard.  Again, why exactly do we need regulation in this matter?

We should wait and see if we have a problem, so far, not much of one.  When Comcast was being bastards to the P2P protocols, they were sued, ostricized by geeks, etc.  They had abandon their P2P crusade long before the courts even resolved the suit because of consumer demands.

Again, this is FUD.  Just wait.  I suspect the free market will keep things under control.

 

 

 

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Re: Social Security Discussion on CNB(S)

TechGuy,

that's actually not true: http://en.wikipedia.org/wiki/2010_United...

Revenues - 2.381 trillion

SS + medicare + medicaid + unemp / welfare  + interest = (698 + 453 + 290 + 568 + 164) = 2.173 trillion

but nonetheless, it's way too close...

 

Tax revenue is coming in lighter than the 2.381 Trillion estimate, Based upon the first 10 months of FY, revenues wll slip to about 1.987 Trillion for the year. Deficit was estimated at about 1.171 Trillion is running about 1.58 Trillion for the year (Calculated  from Treasury "Debt to Penny" Web page).

From Debt to the Penny:   http://www.treasurydirect.gov/NP/BPDLogin?application=np

10/1/2009 11.920 Trillion in Debt

07/30/2010 13.237 Trillion

= -1.317 Trillion / 10 months * 12 Months = -1.58 Trillion deficit for FY 2010

Also consider that the estimates reported for the entitlement are under reported (Congress voted several times this year to extend unemployment benefits) and the number of people that the gov't estimated would retire and start collecting SS was also under estimated as many more choose to retire earlier because of the bad economy.

 

 

 

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Re: Daily Digest 8/5 - A Fitful Reverie, 12x Fossil Energy ...

Except, honestly, I really don't think there is such a thing as a "free" market.  When I talked about outsiders, I was referring to multinational corporations that make things for more than just one country.  Your vote is only one of many.

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