Daily Digest

Daily Digest - March 5

Friday, March 5, 2010, 10:48 AM
  • St. Louis Fed Tracks Nascent Expansion
  • Bailout 'Would Spark Revolution'
  • Federal pay ahead of private industry
  • Greece Could Sell Islands To Cut Debt - German MPs
  • Saudi Arabia Raises Most April Oil Prices to U.S.
  • Norway 2010 spending outlook cut
  • Shell CEO Says (Costly) Oil Here To Stay 
  • Saudi Aramco Loses Count, Drills Too Many Wells In Ghawar
  • Food production in Cuba plummets despite reforms
  • 100 Percent of Fish in U.S. Streams Found Contaminated with Mercury
  • Have We Reached Peak Tuna?

Economy

St. Louis Fed Tracks Nascent Expansion (mhoop)

The horizontal axis reports the months before and after the most recent business cycle turning point. In the recession chart of Figure 1, corresponds to December 2007 while in the expansion chart month zero corresponds to July 2009.

Bailout 'Would Spark Revolution' (mhoop)

A revolution will erupt if billions of euro more in taxpayers' money is handed over to Anglo Irish Bank, Enda Kenny has warned. The Fine Gael leader said people can no longer tolerate massive public funding of the nationalised bank as it stands.

Federal Pay Ahead Of Private Industry (Ben Johnson)

Federal employees earn higher average salaries than private-sector workers in more than eight out of 10 occupations, a USA Today analysis of federal data finds. Accountants, nurses, chemists, surveyors, cooks, clerks and janitors are among the wide range of jobs that get paid more on average in the federal government than in the private sector.

Greece Could Sell Islands To Cut Debt - German MPs (Christian W.)

Greece has launched an austerity programme designed to secure European help to tackle its crippling debt burden. Opinion polls show Germans are overwhelmingly against taxpayers bailing out Greece. Greece's deficit was 12.7 percent of GDP in 2009, well ahead of the EU's 3 percent of GDP limit.

Energy

Saudi Arabia Raises Most April Oil Prices to U.S. (Christian W.)

The company increased the formula price of its Arab Light crude to the U.S. the most, raising it by 15 cents a barrel, or 20 percent, to a 60-cent discount off the benchmark Argus Sour Crude Index, Aramco said today in an e-mailed statement. It boosted the premium for Extra Light crude to 95 cents above the benchmark, also a 15-cent change.

Norway 2010 spending outlook cut (Christian W.)

Norway’s national statistic agency today cut its oil and gas investment forecast for 2010 to Nkr135.6 billion ($23 billion), down Nkr3 billion from its forecast in the last quarter of 2009.

Shell CEO Says (Costly) Oil Here To Stay (Christian W.)

Royal Dutch Shell's chief executive sought to manage expectations for new, alternative energy sources on Thursday, predicting that oil will remain the dominant energy source for decades -- not to mention one that will become more difficult to obtain, and hence more expensive.

Saudi Aramco Loses Count, Drills Too Many Wells In Ghawar (Ben Johnson)

The Haradh III development at the southern tip of the Ghawar oil field in Saudi Arabia, completed in 2006, has been portrayed by the national oil company Saudi Aramco as the turning point in the battle between geological adversity and engineering prowess. ... Funny thing, though. When you look at a satellite photo and count the number of producer wells they ended up drilling, it adds up to quite a few more than they have been claiming -- about 60% more.

Environment

Food production in Cuba plummets despite reforms (Christian W.)

Residents have been complaining about a lack of basics such as sweet potatoes and other root vegetables in the markets. An article in Communist Party newspaper Granma said the government had not provided enough farm supplies or fuel and that state regulations had hampered delivery of farm products.

100 Percent of Fish in U.S. Streams Found Contaminated with Mercury (mhoop)

In a new study conducted by the U.S. Geological Survey (USGS), every single fish tested from 291 freshwater streams across the United States was found to be contaminated with mercury.

"This study shows just how widespread mercury pollution has become in our air, watersheds and many of our fish in freshwater streams," said Interior Secretary Ken Salazar.

Have We Reached Peak Tuna? (Christian W.)

The bluefin is warm-blooded, voracious carnivore—the so-called “tiger of the sea”—and its fatty, deep red belly meat is highly prized by sushi chefs. A single piece of toro nigiri from the Atlantic bluefin can go for $20 in Japan. Much of the current obsession with fatty tuna began after the U.S. occupation of Japan, as the Japanese diet drew influences from the masculine, red meat culture of its occupiers. Consumption of bluefin has since accelerated and demand for this kind of sushi skyrocketed worldwide.

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26 Comments

saxplayer00o1's picture
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Re: Daily Digest - March 5

"In the rush to save money in grim budgetary times, states nationwide have trimmed their prison populations by expanding parole programs and early releases. But the result — more convicted felons on the streets, not behind bars — has unleashed a backlash, and state officials now find themselves trying to maneuver between saving money and maintaining the public’s sense of safety."

(The above headline was changed, so here's a link to show the original headline)

"March 4 (Bloomberg) -- The U.S. Postal Service, facing a $238 billion budget deficit by 2020, should consider cutting delivery to as few as three days a week as the agency attempts to pare costs, a consulting firm said.

Those cuts are among changes McKinsey & Co. presented in a report this week at a postal conference in Washington. Options also included expanding business lines and restructuring retiree health benefits. "

"March 4 (Bloomberg) -- New York State may have to take “extraordinary cash management actions” in the next six months because of weaker-than-expected tax collections and delayed revenue, according to the latest budget update.

The March 2 statement said the state faces a cash squeeze through August, even if the budget is “enacted in its entirety.” Lawmakers have yet to approve the $135.2 billion budget and $5.5 billion of spending cuts proposed by Governor David Paterson for the year beginning April 1. "

"March 4 (Bloomberg) -- California lawmakers passed a bill that replaces the state’s gasoline sales tax with an excise tax to redirect $1.1 billion toward shrinking a resurgent budget deficit.

The bill, approved in both the Senate and Assembly today, eliminates the current 6 percent sales tax on gasoline and replaces it with a 17.3-cents-a-gallon excise tax. Democrats say it won’t raise costs for taxpayers or drivers. The plan will allow California to use gas taxes, which are now sent to local transit agencies, to pay interest on its general obligation bonds."

"March 5 (Bloomberg) -- Russia may scrap the ruble and introduce a common currency with Belarus and Kazakhstan as the nations broaden their alliance and seek to reduce reliance on the dollar, First Deputy Prime Minister Igor Shuvalov said."

"Touted as substitute for cash, the bonds prove difficult to sell

Two years after the auction-rate bond market froze, Hawai'i has lost about $250 million in market value on $1 billion in student-loan securities sold by a single Citigroup Inc. broker as a cash substitute that the state has had difficulty unloading.

Hawai'i purchased half of the securities for its short-term treasury account from Honolulu broker Pete Thompson in the eight months before the market collapsed, according to Scott Kami, an administrator at the state finance department."

"INDIANAPOLIS - Imagine trying to own and operate your own small business in this economy. It's challenging enough. Then imagine trying to do it when all of your neighbors are vacant store fronts. It's what a local businessman said is a daily reminder of how close you could come to closing up shop."

"WASHINGTON—The Treasury announced plans to sell $154 billion next week in short-term and longer-term securities.

Details of the offerings (all with minimum denominations of $100):

• Monday: In the usual weekly sale, $26 billion in three-month bills and $28 billion in six-month bills will be sold. The bills will be dated......"

"Reporting from Washington — Made in China now has a fast-growing sibling: Bought by China.

Beijing is using its accumulation of billions of American dollars to step up its investments around the globe. In the last year, Chinese acquisitions in the U.S. have ranged from a relatively obscure theater in Branson, Mo., to stakes in such famous brands as Coca-Cola and Johnson & Johnson."

"``The domestic economy still faces some prominent problems,'' Wen, 67, said in a speech in Beijing to the National People's Congress, similar to the US State of the Union address. He also cited excess capacity in manufacturing and weak support for rural-income growth.

Wen's comments reinforce concern that loans made in last year's record 9.59 trillion yuan ($1.5 trillion) credit boom may go bad. Harvard University Professor Kenneth Rogoff has said growth could slide to 2 per cent from Wen's 8 per cent target within a decade as a debt-fueled bubble collapses, and Victor Shih of Northwestern University sees risk of a crisis in 2012."

"LONDON/NEW YORK, March 4 - Private equity firms face a mountain of debt to refinance from deals done as the industry boomed and the threat of rising interest rates will only exacerbate their problems, industry experts warn.

Some $645 billion of leveraged loans, the majority of which funded leveraged buyouts, will fall due by the end of 2015 in the U.S.; and some $500 billion across Europe, Middle East and Africa, according to Thomson Reuters LPC data.

"We have all got the chart that shows it spiking in 2011, 2012 and 2013 and people are very worried when the bullet payments become due how they will get refinanced," Charlie Bott, managing partner of European buyout firm BC Partners told the Reuters Private Equity and Hedge Funds summit."

"The French deficit is set to climb to 8.2 percent of gross domestic product this year, the highest for at least half a century. Its debt is projected to jump to 83.2 percent of GDP -- up 20 percentage points in just two years.

"France has been lumped as a core euro zone economy. To our mind the budgetary situation is not as good as the pricing suggests," said Richard Batty, an investment director at Britain's Standard Life Investments.

"It is being priced as though there isn't a budget problem," he said."

"SPRINGFIELD - Illinois school districts are preparing to lay off nearly 14,000 employees, based on a proposed spending plan that includes no new money for schools.

State schools Superintendent Chris Koch told a Senate panel Thursday that the projections, if carried out, would be "devastating" to education in Illinois and could be even worse if state aid to schools is cut further.

"We are anticipating unprecedented layoffs," Koch said."

"March 5 (Bloomberg) -- Fannie Mae and Freddie Mac may force lenders including Bank of America Corp., JPMorgan Chase & Co., Wells Fargo & Co. and Citigroup Inc. to buy back $21 billion of home loans this year as part of a crackdown on faulty mortgages.

U.S. banks could suffer losses of $7 billion this year when those loans are returned and get marked down to their true value, according to estimates by Oppenheimer & Co. analyst Chris Kotowski."

"Irvine, Calif. (Vocus/PRWEB ) March 5, 2010 -- Home foreclosure auction sales are white hot this year. Real Estate Disposition, LLC, (REDC), the nation's leading real estate auction company, is auctioning foreclosures at a record pace this year and is showing no signs of slowing down this year. The company has auctioned a U.S.-leading 5,700 properties so far this year for $322 million. The company is in the midst of conducting a record 125 auctions in a 71-day span.

"2010 is The Year of The Foreclosure," REDC CEO Jeff Frieden says. "This market is sizzling hot. The demand is there along with the inventory."

This weekend, REDC has auctions in Atlanta and Phoenix, two of the nation's hardest-hit foreclosure cities. The company is also conducting a national online auction featuring foreclosures all over the U.S. More than 650 foreclosures will be auctioned this weekend by REDC."

"Legislative budget writers on Thursday told the Idaho Department of Health and Welfare to shave $42 million in state funds -- more than $190 million counting federal matching funds -- from Medicaid’s budget for 2010 and 2011

Who gets Medicaid?

About 213,000 people, most of them children, rely on it for many of the same services private insurers cover. Adults often have complicated disabilities that require expensive treatment. Medicaid cannot turn away people because they have pre-existing conditions.

Why are those numbers so high?

A grim economy is adding more people, especially children, to the rolls as parents become under- or unemployed. Ten percent growth is expected this year. "

"House speaker: Shortfall between $1.1B to $3.2B expected House speaker: Medicaid, education seeing biggest revenue crunch"

"Cretul said the biggest holes in Florida's revenue pot are $924 million in federal Medicaid money, $842 million needed to meet a "recession-driven increase" in enrollment for the medical program for the poor and a $778 million loss in property-tax revenues for education because of falling real estate values."

"(Reuters) - The number of right-wing "Patriot" groups that see the U.S. government as their enemy more than doubled in the last year, fanned by anger over the economy and a backlash against the policies of President Barack Obama, according to a study published this week.

The report by the Southern Poverty Law Center said 512 anti-government Patriot groups were active in the United States last year, a leap from 149 in 2008."

"It's yet another blow to the state's budget, too. State officials estimated that California could have won as much as $700 million had it been selected.

"We were talking about hundreds of millions of dollars that would have helped in the toughest budget year that we've had probably since the Great Depression," said Assemblyman Ted Gaines, R-Roseville."

...............19A) Federal Court Rejects California Medicaid Cuts

"March 5 (Bloomberg) -- Fannie Mae and Freddie Macbondholders shouldn’t assume the government will make them whole on their investments as Congress retools the companies, House Financial Services Committee Chairman Barney Frank said.

The public role of Fannie Mae and Freddie Mac, as well as the U.S. government’s implied backing of the companies’ $1.7 trillion in debt should be clarified by lawmakers to remove ambiguity, Frank told reporters after speaking to a conference of black, Hispanic and Asian Realtors in Washington today.

“Please don’t think this is federally guaranteed, I don’t think it is, I don’t think it should be, I don’t feel any obligation to bail you out,” Frank said. Congress will “certainly not” extend any new protections to bond and mortgage-security investors beyond what exists, Frank said.

A “whole range” of options is being considered for investors in the two government-seized companies, “from paying nothing to a haircut to whatever,” said Frank, whose committee oversees Fannie Mae and Freddie Mac. "

"South Carolina revenues are down by 6.4 percent – or nearly $250 million – from last year’s levels, S.C. Comptroller General Richard Eckstrom reported Friday.

In fact, for the month of February, revenues were down $65.7 million compared to February of 2009.

That’s an accelerated decline from December 2009, the last time Eckstrom provided an update on the state’s financial situation.

“February’s steep drop in revenue reaffirms the need for state leaders to proceed with extreme caution with regard to spending,” Eckstrom said. “Given this uncertainty, I’d advise state agencies to spend very, very carefully, and perhaps, out of an abundance of caution, consider leaving some funds unspent because of additional budget cuts that could still be necessary between now and the year end.”"

Ukraine's Naftogaz says agrees delayed debt payment

UK Producer Prices Continue Rising in February (Higher than the bank's target)

Cincinnati's commercial real estate industry is in a crisis (Values drop 30 - 40%, one as much as 75%)

Germany passes budget with record deficit

A society sustained by debt: why the economic crisis is only beginning (Canada...opinion)

Experts warn pension reform politically toxic but necessary for Illinois' solvency (sold $3.5 billion in bonds to finance its pension fund. Will have problems if the state's credit rating is cut)

Foot soldiers for census ease jobless rate (1.2 million workers doing census)

UK has 'high risk' public finances (older population, increase in borrowing)

CBO: $655B US Budget Deficit For First 5 Months Of Fiscal 2010

Philadelphia mayor proposes new taxes and says: "nothing worth having in life is free"

No more Sunday bus rides in Snohomish County

Yonkers mayor: City faces 900+ layoffs or 35 percent tax hike without more state aid

Loan default bags another retail complex (Newark)

UCity office park sold for 30 cents on the dollar (Charlotte)

Credit card debt 'rising' (UK)

Desperate families turning to credit cards with 60% interest rates as high street banks refuse their applications (UK)

Shaw's Supermarkets laying off 967 in Conn.

Shorter school year is debated (Mississippi)

Toledo Public Schools sports cuts are called a 'death sentence'

Property owners may pay for LA sidewalk repairs

Sacramento schools to cut 430 jobs, increase class sizes

$3 billion deficit overshadows other issues (Florida)

Riots in Athens as thousands protest against cutbacks

Wen May Struggle With 3% Inflation Goal After China Credit Boom

Colton mulls dissolving police department

Japan Airlines fights to keep uniforms out of Japanese sex clubs

Johnny Oxygen's picture
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Will The US Devalue the Dollar?

Will The US Devalue the Dollar?

http://news.goldseek.com/GoldSeek/1267632000.php

Deflationary depressions and a collapse in the value of fiat money have happened before but never simultaneously. Soon, they will.

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Some useful things I’ve learned about Germany’s hyperinflation

Some useful things I’ve learned about Germany’s hyperinflation

http://ftalphaville.ft.com/blog/2010/03/01/160781/%E2%80%98some-useful-things-ive-learned-about-germanys-hyperinflation/

It can only be said that such financial difficulties as may occur will almost certainly arise from political rather than from economic sources.”

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Corrupt.. soon to be bankrupt ?

 

 Stiglitz calls Fed "corrupt" .. http://www.huffingtonpost.com/2010/03/03/stiglitz-nobel-prize-winn_n_484943.html

 Fannie / Freddie debt not necessarily guaranteed.... http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aqV2oVx5hc8A

 

 "Corrupt and Bankrupt is no way to go through life son"

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Re: Daily Digest - March 5

"Of the 11 casinos that currently comprise the New Jersey gambling hub, three are in bankruptcy court, and two are on death watch. The other six are either in desperate need of a makeover, recently pulled out of Chapter 11 or in the process of being divested from their owner."

"Maguire Properties, Inc. (NYSE:MPG) and Kilroy Realty Corporation (NYSE:KRC) are two California commercial real estate investment trusts that could face problems down the road amid news of increased CMBS delinquencies that are now over 10% in their markets."

"The underemployment rate -- which includes part-time workers who’d prefer a full-time position and people who want work but have given up looking -- rose to 16.8 percent from 16.5 percent. The number of part-time workers for economic reasons climbed to 8.8 million in February from 8.3 million the previous month"

"There is something in the air and it does not portend favorably for the nation’s housing sector. Housing activity is sputtering even though there are government subsidy programs in place to support housing demand.

Existing home sales fell 16.7 percent to 5.45 million annualized units in January, while new home sales fell 11 percent to an annualized 309,000 units for the month. The pace of new home sales in January is at the lowest pace on record. As a result, the months’ supply rose to 9.1 for new homes and 7.2 for existing homes.

And according to two leading indicators-mortgage applications and pending home sales, housing activity will get worse before it gets better. Mortgage applications to purchase homes are now at the lowest level, as measured by the purchase index, since 1997. The pending home sales index fell 7.6 percent in January from December, and is now at the lowest level since March of last year."

"March 5 (Bloomberg) -- Detroit, the largest U.S. city whose debt is rated below investment grade, warned investors of the risk of bankruptcy as it prepares to sell $250 million of bonds to help close its budget deficit.

The city told bondholders in a March 2 preliminary offering statement that while it hasn’t taken steps to reorganize under Chapter 9, it may have few other options if its financial condition gets worse. Detroit officials also detailed the steps they would have to take should bankruptcy became necessary.

“If the city’s financial status were to deteriorate further the city’s options to improve its fiscal health may be limited,” Detroit said in the statement. Bondholders “should not expect that their rights to payment and remedies will not be adversely affected by filing under the bankruptcy code.” "

12.3% of Sacramento-area mortgages in trouble - and rising

Bulgaria Faces Junk Grade on Foreign Debt, Fitch Says

Risk of Mortgage Default Rises 58 Percent Higher than in 1990s

 

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Re: Will The US Devalue the Dollar?

Good read JO, thanks.

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Re: Will The US Devalue the Dollar?

Saxplayer,

Thanks for all your efforts.

 

Nate

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Re: Will The US Devalue the Dollar?
Nate wrote:

Saxplayer,

Thanks for all your efforts.

 

Nate

+1

I say we all chip in and buy an island from Greece and call it CM island and run it right and be done with all this B*.

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Re: Will The US Devalue the Dollar?
Davos wrote:

I say we all chip in and buy an island from Greece and call it CM island and run it right and be done with all this B*.

Sweet -- I'm in.  I'm gonna learn how to make dugout canoes and go fishing for vampire squid in my spare time.

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Re: Daily Digest - March 5

 

 I'm going to restart the Academy.. no fees.. bring some cans.. we'll chat..

 but first.. the toga party !!

 

 

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Re: Daily Digest - March 5

Davos wrote:

I say we all chip in and buy an island from Greece and call it CM island and run it right and be done with all this B*.

Oh no. Now we are going to have to figure out how to make a debt free note work. Sheesh

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Re: Daily Digest - March 5

The Germans are really pushing it by talking about greek islands. Those greeks are stubborn as hell and will outright default and go back to the drachma if they have to. I watch greek news constantly. People there are saying, especially the old timers, that they lived through the german occupation and genocide (300,000 starved to death as Germany took the crops and food) then they can live through this. With all the trash talking going on the situation is bound to get even nastier.

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Re: Daily Digest - March 5

The Germans are really pushing it by talking about greek islands. Those greeks are stubborn as hell and will outright default and go back to the drachma if they have to. I watch greek news constantly. People there are saying, especially the old timers, that they lived through the german occupation and genocide (300,000 starved to death as Germany took the crops and food) then they can live through this. With all the trash talking going on the situation is bound to get even nastier.

Amazing how people help history repeat itself LOL.

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Re: Daily Digest - March 5

 

"March 5 (Bloomberg) -- President Barack Obama’s budget proposal would generate bigger deficits than advertised each year for the next decade, with the 10-year shortfall totaling $1.2 trillion more than the administration estimated, according to the Congressional Budget Office.

The nonpartisan CBO, in an annual analysis of the White House budget proposal, said today that under Obama’s plan deficits would never shrink below 4 percent of the economy between now and 2020. The cumulative deficits would total $9.76 trillion, and debt held by the public would amount to 90 percent of the nation’s gross domestic product by 2020, the CBO said.

By 2020, the federal debt would grow to $20.3 trillion under Obama’s budget, according to CBO."

"The FDIC estimated that the failure of Sun American Bank would cost its Deposit Insurance Fund $103.8 million."

Venezuela Central Bank to Increase Gold Purchases, Khan Says

NY to post top tax delinquents online

Bank repossesses 1,075 cattle: Taken from farm, feedlot near Roscoe

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Re: Daily Digest - March 5

I'm dead serious, I'd sell the mountain house in a heart beat.

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Re: Daily Digest - March 5

Davos, I'm in on the island!

Sager, silly, you don't have to fish for vampire squid; they find you!

On a different topic, I think my area has been somewhat buffered from the economic downturn, as it was already considered a "depressed area" before 2008. We'd already had several of our big employers crash or leave before the national (global) economic downturn.   

Anyhow, I had to go on a couple of trips to various parts of the country (US) the last couple of weeks. What an eye-opener on the state of the economy and country!  Like scanning over the "headlines" that Saxplayer posts.  Very obvious that people are aware and concerned, based on conversations on planes, listening to local news stations in other states, etc.  It really seems like that the awareness that our problems are deeper than the typical recession has  made (or is making its way)  into the mainstream consciousness.  Now that I think of it, this reminds me of Chris's observations of people saying "they just knew something wasn't right".

 

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Re: Daily Digest - March 5
pinecarr wrote:

On a different topic, I think my area has been somewhat buffered from the economic downturn, as it was already considered a "depressed area" before 2008. We'd already had several of our big employers crash or leave before the national (global) economic downturn.   

Anyhow, I had to go on a couple of trips to various parts of the country (US) the last couple of weeks. What an eye-opener on the state of the economy and country!  Like scanning over the "headlines" that Saxplayer posts.  Very obvious that people are aware and concerned, based on conversations on planes, listening to local news stations in other states, etc.  It really seems like that the awareness that our problems are deeper than the typical recession has  made (or is making its way)  into the mainstream consciousness.  Now that I think of it, this reminds me of Chris's observations of people saying "they just knew something wasn't right".

 

This is the other not so talked about tipping point.

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Re: Daily Digest - March 5
pinecarr wrote:

 

On a different topic, I think my area has been somewhat buffered from the economic downturn, as it was already considered a "depressed area" before 2008. We'd already had several of our big employers crash or leave before the national (global) economic downturn.   

 

Pinecar,

What at optimist!!!! 

If we have nothing then we we are in great shape because we know we will not lose anything. Do I have that about right?Sealed

Ken

 

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Re: Daily Digest - March 5

Classic fast money expressions.  It looks to me that they think Peter is a complete joke & needs some serious help. If Peter turns out to be right what great reruns these will be LOL. To be honest I would have made more money listening to the clowns on fast money than Peter over the past 6 months. I just would have more trouble sleeping at night. 

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Re: Daily Digest - March 5

Veterans Launch Powerful Clean Energy Ad Tying Foreign Oil to Troop Deaths

Posted: 04 Mar 2010 07:10 AM PST

A veterans' group launched a powerful national ad campaign today with video images that make a chilling connection between the United States’ reliance on foreign oil and the deaths of U.S. troops in Iraq.

The goal of the campaign is to encourage a national shift toward cleaner energy and away from reliance on oil. It’s a shift that is also increasingly being encouraged by top military officials who recognize that foreign oil is putting their troops in harm’s way.

“Some in Congress say it’s a tough vote,” says Christopher Miller, a war veteran who received a Purple Heart after an explosion in Iraq.

“Not as tough as what our troops are up against.”



In the ad, VoteVets.org makes a connection that military leaders have made in the past between increasingly dangerous explosives being used in Iraq, such as explosively formed
projectiles (EFPs) that can pierce U.S. armored vehicles, and U.S. oil money flowing into Iran.

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Re: Daily Digest - March 5

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Re: Daily Digest - March 5

Pinecarr

Quote:

On a different topic, I think my area has been somewhat buffered from the economic downturn, as it was already considered a "depressed area" before 2008.

Same here.  Local merchants report some decrease in business, but not much.  I don't know anyone who has lost a job.

Quote:

It really seems like that the awareness that our problems are deeper than the typical recession has  made (or is making its way)  into the mainstream consciousness.  Now that I think of it, this reminds me of Chris's observations of people saying "they just knew something wasn't right".

I was talking to a neighbor the other day who is in greater contact with the community than I am.  He was saying that he is having the same conversation a lot lately.  Everyone is cutting back on spending except for things that will be useful in a crash.

OTOH, I had a conversation with a county legislator who was recently appointed to the post when the previous occupant was elected to a higher office.  She reports that her fellow legislators are remarkably ill informed and blind to what needs to be done with diminishing funds.  They are still in the mindset that nice things to have, like rails to trails projects, should be funded while badly needed infrastructure repairs go wanting.  It must be contagious among politicians.

Doug

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Re: Daily Digest - March 5

Canada's paper money to go plastic

http://www.deseretnews.com/article/700014459/Canadas-paper-money-to-go-p...

This should warm all the fiat currency lovers hearts, now it won't even make good toilet paper and would probably smell bad when burned. ;-)

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pinecarr
Status: Diamond Member (Offline)
Joined: Apr 13 2008
Posts: 2237
Re: Daily Digest - March 5
Davos wrote:
pinecarr wrote:

On a different topic, I think my area has been somewhat buffered from the economic downturn, as it was already considered a "depressed area" before 2008. We'd already had several of our big employers crash or leave before the national (global) economic downturn.   

Anyhow, I had to go on a couple of trips to various parts of the country (US) the last couple of weeks. What an eye-opener on the state of the economy and country!  Like scanning over the "headlines" that Saxplayer posts.  Very obvious that people are aware and concerned, based on conversations on planes, listening to local news stations in other states, etc.  It really seems like that the awareness that our problems are deeper than the typical recession has  made (or is making its way)  into the mainstream consciousness.  Now that I think of it, this reminds me of Chris's observations of people saying "they just knew something wasn't right.  

This is the other not so talked about tipping point.

 Hi Davos-

    Yes, I agree.  I think we may be reaching a public tipping point of awareness.  If not yet, I think we will be there soon, when all the SHTF at the state and local levels, which it is already starting to do!  It is going to be hard for people to continue to ignore that "things are different" as things continue to unfold (unravel?).

Kenc wrote:

Pinecar,

What at optimist!!!! 

If we have nothing then we we are in great shape because we know we will not lose anything. Do I have that about right?Sealed

Ken

That's about it, Kenc!  I guess it's the silver lining in the cloud (economic problems) our area got dealt years before this!  Kinda like an old fable I sketchily remember,  where a peasant's son breaks his leg, and he thinks "what bad luck this is!  Now I have no one to help me in the fields".  But then a war breaks out, and all fit young men in the country are made to go to war, and several die.  Then the peasant realizes that his son breaking his leg may actually have been good luck!  I think the moral of the story ended up being that whether an event is "good" or "bad" luck is subject to interpretation, depending on the situation/context it is viewed from!

Doug wrote:

Same here.  Local merchants report some decrease in business, but not much.  I don't know anyone who has lost a job.

...I was talking to a neighbor the other day who is in greater contact with the community than I am.  He was saying that he is having the same conversation a lot lately.  Everyone is cutting back on spending except for things that will be useful in a crash.

Hey Doug, that's interesting that you are seeing and hearing the same kind of things.  I think Davos is right; I think this is another big tipping-point!

best,

pinecarr

SagerXX's picture
SagerXX
Status: Diamond Member (Offline)
Joined: Feb 11 2009
Posts: 2219
Re: Daily Digest - March 5
pinecarr wrote:

Sager, silly, you don't have to fish for vampire squid; they find you!

Did I mention that I'm fishing with my shotgun?   Smile

Viva -- Sager

pinecarr's picture
pinecarr
Status: Diamond Member (Offline)
Joined: Apr 13 2008
Posts: 2237
Re: Daily Digest - March 5
Sager wrote:
pinecarr wrote:

Sager, silly, you don't have to fish for vampire squid; they find you!

Did I mention that I'm fishing with my shotgun?   Smile

Viva -- Sager

Too funny!

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