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Dumb and Dumber

Monday, December 8th, 2008

“In 1993, a Department of Education survey found that among college graduates 50 percent of whites and more than 80 percent of blacks couldn’t state in writing the argument made in a newspaper column; 56 percent could not calculate the right tip; 57 percent could not figure out how much change they should get back after putting down $3.00 to pay for a 60-cent bowl of soup and a $1.95 sandwich, and over 90 percent could not use a calculator to find the cost of carpeting a room. But not to worry. A 1999 survey taken by the American Council of Trustees and Alumni of seniors at the nation’s top 55 liberal-arts colleges and universities found that 98 percent could identify rap artist Snoop Dogg and Beavis and Butt-Head, but only 34 percent knew George Washington was the general at the battle of Yorktown. With limited thinking abilities and knowledge of our heritage, we Americans set ourselves up as easy prey for charlatans, hustlers and quacks.” —

George Mason University economics professor Walter E. Williams

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American Success Story – Letter to Obama

Sunday, November 23rd, 2008
This comes from a real guy who lives in East Texas near my aunt and uncle … Move over Joe the Plumber!

~~~~~~~~~~~~~~

This letter was written by a man in East Texas as an open letter to Senator Obama. He really does exist and says anyone can email his letter around, just don’t change it. If you know someone who holds to the theory that the rich have life easy and need to be taxed more send it to them. This man tells it like it is!

*************

Mr. Obama,

Given the uproar about the simple question asked you by Joe the plumber, and the persecution that has been heaped on him because he dared to question you, I find myself motivated to say a few things to you myself. While Joe aspires to start a business someday, I already have started not one, but 4 businesses.But first, let me introduce myself. You can call me “Cory the well driller”. I am a 54 year old high school graduate. I didn’t go to college like you, I was too ready to go “conquer the world” when I finished high school.25 years ago at age 29, I started my own water well drilling business at a time when the economy here in East Texas was in a tailspin from the crash of the early 80’s oil boom. I didn’t get any help from the government, nor did I look for any. I borrowed what I could from my sister, my uncle, and even the pawn shop and managed to scrape together a homemade drill rig and a few tools to do my first job. My businesses did not start as a result of privilege. They are the result of my personal drive, personal ambition, self discipline, self reliance, and a determination to treat my customers fairly.

From the very start my business provided one other (than myself) East Texan a full time job. I couldn’t afford a backhoe the first few years (something every well drilling business had), so I and my helper had to dig the mud pits that are necessary for each and every job with hand shovels. I had to use my 10 year old, 1/2 ton pickup truck for my water tank truck (normally a job for at least a 2 ton truck).

A year and a half after I started the business, I scraped together a 20% down payment to get a modest bank loan and bought a (28 year) old, worn out, slightly bigger drilling rig to allow me to drill the deeper water wells in my area. I spent the next few years drilling wells with the rig while simultaneously rebuilding it between jobs.

Through these years I never knew from one month to the next if I would have any work or be able to pay the bills. I got behind on my income taxes one year, and spent the next two years paying that back (with penalty and interest) while keeping up with ongoing taxes. I got behind on my water well supply bill 2 different years (way behind the second time… $80,000.00), and spent over a year paying it back (each time) while continuing to pay for ongoing supplies C.O.D.. Of course, the personal stress endured through these experiences and years is hard to measure. I do have a stent in my heart now to memorialize it all.

I spent the next 10 years developing the reputation for being the most competent and most honest water well driller in East Texas. Two years along the way, I hired another full time employee for the drilling business so that we could provide full time water well pump service as well as the well drilling. Also, 3 years along the path, I bought a water well screen service machine from a friend, starting business # 2. Five years later I made a business loan for 100,000.00 to build a new, higher production, computer controlled screen service machine. I had designed the machine myself, and it didn’t work out for 3 years so I had to make the loan payments without the benefit of any added income from the new machine. No government program was there to help me with the payments, or to help me sleep at night as I lay awake wondering how I would solve my machine problems or pay my bills.Finally, after 3 years, I got the screen machine working properly, and that provided another full time job for an East Texan in the screen service business.Two years after that, I made another business loan, this time for $250,000.00, to buy another used drilling rig and all the support equipment needed to run another, larger, drill rig. This provided another 2 full time jobs for East Texans. Again, I spent a couple of years not knowing if I had made a smart move, or a move that  would bankrupt me.For the third time in 13 years, I had placed everything I owned on the line, risking everything, in order to build a business.

A couple of years into this, I came up with a bright idea for a new kind of mud pump, a fundamentally necessary pump used on water well drill rigs. I spent my entire life savings to date (just $30,000.00), building a prototype of the pump and took it to the national water well convention to show it off. Customers immediately started coming out of the woodwork to buy the pumps, but there was a problem.I had depleted my assets making the prototype, and nobody would make me a business loan to start production of the new pumps. With several deposits for pump orders in hand, and nowhere to go, I finally started applying for as many credit card as I could find and took cash withdrawals on these cards to the tune of over $150,000.00 (including modest loans from my dear sister and brother), to get this 3rd business going.Yes, once again, I had everything hanging over the line in an effort to start another business. I had never manufactured anything, and I had to design and bring into production a complex hydraulic machine from an untested prototype to a reliable production model (in six months). How many nights I lay awake wondering if I had just made the paramount mistake of my life I cannot tell you, but there were plenty.I managed to get the pumps into production, which immediately created another 2 full time jobs in East Texas. Some of the models in the first year suffered from quality issues due to the poor workmanship of one of my key suppliers, so I and an employee (another East Texan employed) had to drive across the country to repair customers’ pumps, practically from coast to coast. I stood behind the product, and made payments to all the credit cards that had financed me (and my brother and sister).I spent the next 5 years improving and refining the product, building a reputation for the pump and the company, working to get the pump into drill rig manufacturers’ product lines, and paying back credit cards.During all this time I continued to manage a growing water well business that was now operating 3 drill rig crews, and 2 well service crews. Also, the screen service business continued to grow. No government programs were there to help me, Mr. Obama, but that’s OK, I didn’t expect any, nor did I want any. I was too busy fighting to make success happen to sit around waiting for the government to help me.

Now, we have been manufacturing the mud pumps for 7 years, my combined businesses employ 32 full time employees, and distribute $5,000,000.00 annually through the local economy. Now, just 4 months ago I borrowed $1,254,000.00, purchasing computer controlled machining equipment to start my 4th business, a production machine shop.The machine shop will serve the mud pump company so that we can better manufacture our pumps that are being shipped worldwide. Of course, the machine shop will also do work for outside companies as well. This has already produced 2 more full time jobs, and 2 more should develop out of it in the next few months.This should work out, but if it doesn’t it will be because you, and the other professional politicians like yourself, will have destroyed our

country’s (and the world) economy with your meddling with mortgage loan programs through your liberal manipulation and intimidation of loaning institutions to make sure that unqualified borrowers could get mortgages.You see, at the very time when I couldn’t get a business loan to get my mud pumps into production, you were working with Acorn and the Community Reinvestment Act programs to make sure that unqualified borrowers could buy homes with no down payment, and even no credit or worse yet, bad credit. Even the infamous, liberal, Ninja loans (No Income, No Job or Assets).While these unqualified borrowers were enjoying unrealistically low interest rates, I was paying 22% to 24% interest on the credit cards that I had used to provide me the funds for the mud pump business that has created jobs for more East Texans.It’s funny, because after 25 years of turning almost every dime of extra money back into my businesses to grow them, it has been only in the last two years that I have finally made enough money to be able to put a little away for retirement, and now the value of that has dropped 40% because of the policies you and your ilk have perpetrated on our country.

You see, Mr. Obama, I’m the guy you intend to raise taxes on. I’m the guy who has spent 25 years toiling and sweating, fretting and fighting, stressing and risking, to build a business and get ahead.

I’m the guy who has been on the very edge of bankruptcy more than a dozen times over the last 25 years, and all the while creating more and more jobs for East Texans who didn’t want to take a risk, and would not demand from themselves what I have demanded from myself.

I’m the guy you characterize as “the Americans who can afford it the most” that you believe should be taxed more to provide income redistribution “to spread the wealth” to those who have never toiled, sweated, fretted, fought, stressed, or risked anything. You want to characterize me as someone who has enjoyed a life of privilege and who needs to pay a higher percentage of my income than those who have bought into your entitlement culture.I resent you, Mr. Obama, as I resent all who want to use class warfare as a tool to advance their political career. What’s worse, each year more Americans buy into your liberal entitlement culture, and turn to the government for their hope of a better life instead of themselves.Liberals are succeeding through more than 40 years of collaborative effort between the predominant liberal media, and liberal indoctrination programs in the public school systems across our land.

What is so terribly sad about this is that America was made great by people who embraced the one-time American culture of self reliance, self motivation, self determination, self discipline, personal betterment, hard work, risk taking. A culture built around the concept that success was in reach of every able bodied American who would strive for it.Each year that fewer Americans embrace that culture, we all descend together. We descend down the socialist path that has brought country after country ultimately to bitter and unremarkable states. If you and your liberal comrades in the media and school systems would spend half as much effort cultivating a culture of can-do across America as you do cultivating your entitlement culture, we could see Americans at large embracing the conviction that they can elevate themselves through personal betterment, personal achievement, and self reliance. You see, when people embrace such ideals, they act on them. When people act on such ideals, they succeed.All of America could find herself elevating instead of deteriorating. But that would eliminate the need for liberal politicians, wouldn’t it, Mr. Obama? The country would not need you if the country was convinced that problem solving was best left with individuals instead of the government. You and all your liberal comrades have a vested interested in creating a dependent class in our country.

It is the very business of liberals to create an ever expanding dependence on government. What’s remarkable is that you, who have never produced a job in your life, are going to tax me to take more of my money and give it to people who wouldn’t need my money if they would get off their entitlement mentality asses and apply themselves at work, demand more from themselves, and quit looking to liberal politicians to raise their station in life.

You see, I know because I’ve had them work for me before. Hundreds of them over these 25 years. People who simply will not show up to work on time. People who just will not work 5 days in a week, much less, 6 days. People always looking for a way to put less effort out. People who actually tell me that they would do more if I just would first pay them more. People who take off work to sit in government offices to apply to get free government handouts (gee, I wonder how things would have turned out for them if they had spent that time earning money and pleasing their employer?). You see, all of this comes from your entitlement mentality culture.

Oh, I know you will say I am uncompassionate. Sorry, Mr. Obama, wrong again. You see, I’ve seen what the average percentage of your income has been given to charities over the years of 2000 to 2004 (ignoring the years you started running for office – can you pronounce “politically motivated”), you averaged less than 1% annually. And your running mate, Joe Biden, averaged less than 1/4% of his annual income in charitable contributions over the last 10 years.

Like so many liberals, the two of you want to give to the needy, just as long as it is someone else’s money you are giving to them. I won’t say what I have given to charities over the last 25 years, but the percentage is several times more than you and Joe Biden, combined (don’t you just hate google?). Tell me again how you feel my pain.

In short, Mr. Obama, your political philosophies represent everything that is wrong with our country. You represent the culture of government dependence instead of self reliance; Entitlement mentality instead of personal achievement; Penalization of the successful to reward the unmotivated; Political correctness instead of open mindedness and open debate. If you are successful, you may preside over the final transformation of America from being the greatest and most self-reliant culture on earth, to just another country of whiners and wimps, who sit around looking to the government to solve their problems. Like all of western Europe. All countries on the decline. All countries that, because of liberal socialistic mentalities, have a little less to offer mankind every year.

God help us…

Cory Miller

P.S. Yes, Mr. Obama, I am a real American…

 http:// www.cmillerdrilling.com 

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Detroit bailout – 7 key questions

Tuesday, November 18th, 2008


Take a look at these purported facts in the article below:

1)       They really don’t employee that many people, and the ones they do, are grossly overpaid (Remember the term “featherbedding”).

2)       They need $25billion, but do not generate enough positive cash flow to payback even the interest on the debt.

3)       Here’s the crux, nearly 2 million people get their health care from the Big Three/UAW. This is their “Legacy Cost Factor” that purportedly makes them non-competitive with the other auto manufacturers. The Small Three/UAW/Yankee Democrats want America to bail these mullets out. Is this fair that beleaguered working American families fighting to survive, send their tax dollars to try and save unionized people who vote both fisted Democrat due to the “herd instinct of the union mentality”.

Folks, enough is enough………….Let them file Chapter XI, cram down the cost and benefits to the Union just like the Airline Industry, shorten the product line, institute sound management or sell the profitable units to Toyota, Honda, Nissan or the European crowd. Maybe then, we can keep those worthless Yankees (Hemi’s) from retiring and moving below the Mason-Dixon Line.   

Detroit bailout – 7 key questions

As Congress takes a look at whether to help the struggling U.S. automakers, here is what you need to know about what’s at stake for the Big Three.

By Chris Isidore, CNNMoney.com senior writer

NEW YORK (CNNMoney.com) — Congress is set to begin a heated debate on whether Detroit’s Big Three automakers — General Motors, Ford Motor and Chrysler LLC — will be next in line for a federal bailout.

Democratic leaders in Congress are in favor of some kind of help, as is President-elect Obama. But the Bush administration has balked on proposals to let the automakers tap the $700 billion Wall Street bailout approved in October.Many leading Congressional Republicans have suggested that a better option is bankruptcy, enabling the Big Three to restructure and ultimately emerge as leaner and viable businesses.How this debate plays out could determine whether this important industry survives — and in what form. Here are some quick answers to seven key questions about the crisis.

What do the automakers want?

The automakers are asking for about $25 billion in loans to help them survive until 2010. Advocates for a bailout argue that if the Big Three can hang on until then, they’ll be in position to be competitive long-term.That’s because billions of dollars in annual savings won in the 2007 labor agreement with the United Auto Workers union kick in that year, including shifting the responsibility for retirees’ health care costs to union-controlled trust funds.What’s more, it’s likely that car sales will pick up again by 2010 and that plant closings between now and then will bring the Big Three’s capacity in line with this demand.

How many jobs are at stake?

GM (GM, Fortune 500) has about 120,000 U.S. employees. Ford (F, Fortune 500) has about 80,000 and closely-held Chrysler LLC has about 66,000.In addition, the three automakers have about 14,000 U.S. dealerships that between them employ another 740,000 workers.The suppliers used by the Big Three also employ an estimated 610,000 people.Add that up and you have more than 1.6 million jobs tied to the auto industry.

What happens if there’s no bailout?

GM risks running out of money later this year or early in 2009 without a bailout.GM burned through $6.9 billion during the third quarter, leaving it with only $16 billion on hand as of Sept. 30. But it needs $11 billion to $14 billion to continue normal operations.Ford and Chrysler have more cash relative to their needs, mostly from money they borrowed prior to the current credit crunch.But each of those automakers could also run out of cash during 2009 without federal assistance.

What happens if an automaker goes bankrupt?

There are two types of corporate bankruptcy under U.S. law.Chapter 11 allows a company to continue to operate as it sheds debts and contracts it can not afford.In Chapter 7 bankruptcy, the company goes out of business fairly rapidly as its assets are sold off to try to satisfy its creditors.

What are advantages of an automaker going into bankruptcy?

Some argue that bankruptcy judges will be able to force the automakers to shed brands and dealerships as well as get the Big Three out of labor contracts they can not afford.Other U.S. industries, such as steel companies and airlines, have used bankruptcy in the past to return to profitability without putting federal dollars at risk.

What are the arguments against a Chapter 11 bankruptcy?

Given the current credit crunch, many experts question whether automakers would be able to get necessary financing from lenders to help them during the reorganization process.There are also doubts whether consumers would buy new vehicles from a bankrupt automaker due to concerns over their resale value and warranty. In effect, an automaker that files for Chapter 11 could eventually wind up going out of business anyway.

What are some of the other broader economic impacts if an automaker goes out of business?

Nearly 2 million Americans get their health insurance directly from one of the Big Three automakers. Most of them would lose that coverage if their company goes out of business. A failure of one of the Big Three could also cause a string of bankruptcies among suppliers.And beyond the job losses at the automakers, dealerships and suppliers, media companies that generate a lot of revenue from auto advertising as well as retailers in towns where plants are located could also have to cut many jobs. The Center for Automotive Research, a Michigan think tank that supports the bailout, estimates that between 1.4 million and 1.7 million jobs indirectly tied to the Big Three would be lost in the first year following widespread auto failures. To top of page

First Published: November 18, 2008: 4:13 AM ET

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The “Fairness Doctrine” is The Censorship Doctrine

Thursday, November 13th, 2008

Barack Obama’s transition team has tapped Henry Rivera as the new FCC transition czar. A longtime radical leftist, lawyer and former FCC commissioner, Rivera strongly supports the so-called “Fairness Doctrine” and could become the “angel of death” to conservative talk radio by supporting liberal leadership in a move to quickly reinstate it.

According to MRC’s Media Reality Check “It’s another troubling sign that Democrats are serious about trying to reinstate the long-defunct FCC regulation, which can more aptly be described as the “Censorship Doctrine” because of its chilling effect on free speech.”

Media Research Center’s Free Speech Alliance is a fast-growing coalition of organizations and individuals, who, like you, cherish free speech and who have proactively joined to ensure the misnamed “Fairness Doctrine” never returns to silence the conservative voice in America.First enacted by the Federal Communication Commission (FCC) in 1949, the Fairness Doctrine required radio stations give equal time to all sides on political issues. However, the result wasn’t equal time, it was zero time – as stations simply avoided topics that would fall under FCC equal time rules.In 1987, President Ronald Reagan rescinded the Fairness Doctrine and since then, talk radio has flourished. Conservatives dominate it, and liberals can’t stand it. By re-instating the Fairness Doctrine, liberals would effectively silence the conservative leaders of the day including Rush Limbaugh, Sean Hannity, Mark Levin, Laura Ingraham and others, and would essentially take control of all forms of media.

In recent months, the groundswell for reinstatement is intensifying. In fact, a growing number of liberal leaders in Washington, including Speaker Nancy Pelosi and Senate Majority Leader Harry Reid, have openly stated their intent to do so.

As Americans, we cannot sit idly by while this gag order on conservative speech is resuscitated. The time to act is now—so when the time comes, we are mobilized and prepared to defend our Free Speech Rights. 

Join the hundreds of thousands of citizens taking action now through MRC’s Free Speech Alliance, and our national petition opposing the re-instatement of the Fairness Doctrine. Media Research Center’s Free Speech Alliance goal is to mobilize 500,000 citizens to forever end the threat of the Fairness Doctrine and other attacks on Free Speech. 

You can sign this petition

< http://www.mrcaction.org/517/petition.asp?Ref_ID=1942&RID=15048672 >

to urge members of Congress and government officials to reject any and all efforts to censor, limit, or restrain the right of conservatives to participate freely in the marketplace of ideas through the so-called “Fairness Doctrine” or other similar efforts. 

Free Speech Rights must be defended and protected from government intrusion! Our great nation was built upon free and open discourse, and to remain a great nation this ideal must be protected and preserved at all costs.

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FDR’s Policies Prolonged Depression by 7 Years

Thursday, November 13th, 2008

Written 4 years ago, this is very timely …

FDR’s policies prolonged Depression by 7 years, UCLA economists calculate

By Meg Sullivan

| 8/10/2004 12:23:12 PM

Two UCLA economists say they have figured out why the Great Depression dragged on for almost 15 years, and they blame a suspect previously thought to be beyond reproach: President Franklin D. Roosevelt.

After scrutinizing Roosevelt’s record for four years, Harold L. Cole and Lee E. Ohanian conclude in a new study that New Deal policies signed into law 71 years ago thwarted economic recovery for seven long years.

“Why the Great Depression lasted so long has always been a great mystery, and because we never really knew the reason, we have always worried whether we would have another 10- to 15-year economic slump,” said Ohanian, vice chair of UCLA’s Department of Economics. “We found that a relapse isn’t likely unless lawmakers gum up a recovery with ill-conceived stimulus policies.”

In an article in the August issue of the Journal of Political Economy, Ohanian and Cole blame specific anti-competition and pro-labor measures that Roosevelt promoted and signed into law June 16, 1933.

“President Roosevelt believed that excessive competition was responsible for the Depression by reducing prices and wages, and by extension reducing employment and demand for goods and services,” said Cole, also a UCLA professor of economics. “So he came up with a recovery package that would be unimaginable today, allowing businesses in every industry to collude without the threat of antitrust prosecution and workers to demand salaries about 25 percent above where they ought to have been, given market forces. The economy was poised for a beautiful recovery, but that recovery was stalled by these misguided policies.”

Using data collected in 1929 by the Conference Board and the Bureau of Labor Statistics, Cole and Ohanian were able to establish average wages and prices across a range of industries just prior to the Depression. By adjusting for annual increases in productivity, they were able to use the 1929 benchmark to figure out what prices and wages would have been during every year of the Depression had Roosevelt’s policies not gone into effect. They then compared those figures with actual prices and wages as reflected in the Conference Board data.

In the three years following the implementation of Roosevelt’s policies, wages in 11 key industries averaged 25 percent higher than they otherwise would have done, the economists calculate. But unemployment was also 25 percent higher than it should have been, given gains in productivity.

Meanwhile, prices across 19 industries averaged 23 percent above where they should have been, given the state of the economy. With goods and services that much harder for consumers to afford, demand stalled and the gross national product floundered at 27 percent below where it otherwise might have been.

“High wages and high prices in an economic slump run contrary to everything we know about market forces in economic downturns,” Ohanian said. “As we’ve seen in the past several years, salaries and prices fall when unemployment is high. By artificially inflating both, the New Deal policies short-circuited the market’s self-correcting forces.”

The policies were contained in the National Industrial Recovery Act (NIRA), which exempted industries from antitrust prosecution if they agreed to enter into collective bargaining agreements that significantly raised wages. Because protection from antitrust prosecution all but ensured higher prices for goods and services, a wide range of industries took the bait, Cole and Ohanian found. By 1934 more than 500 industries, which accounted for nearly 80 percent of private, non-agricultural employment, had entered into the collective bargaining agreements called for under NIRA.

Cole and Ohanian calculate that NIRA and its aftermath account for 60 percent of the weak recovery. Without the policies, they contend that the Depression would have ended in 1936 instead of the year when they believe the slump actually ended: 1943.

Roosevelt’s role in lifting the nation out of the Great Depression has been so revered that Time magazine readers cited it in 1999 when naming him the 20th century’s second-most influential figure.

“This is exciting and valuable research,” said Robert E. Lucas Jr., the 1995 Nobel Laureate in economics, and the John Dewey Distinguished Service Professor of Economics at the University of Chicago. “The prevention and cure of depressions is a central mission of macroeconomics, and if we can’t understand what happened in the 1930s, how can we be sure it won’t happen again?”

NIRA’s role in prolonging the Depression has not been more closely scrutinized because the Supreme Court declared the act unconstitutional within two years of its passage.

“Historians have assumed that the policies didn’t have an impact because they were too short-lived, but the proof is in the pudding,” Ohanian said. “We show that they really did artificially inflate wages and prices.”

Even after being deemed unconstitutional, Roosevelt’s anti-competition policies persisted — albeit under a different guise, the scholars found. Ohanian and Cole painstakingly documented the extent to which the Roosevelt administration looked the other way as industries once protected by NIRA continued to engage in price-fixing practices for four more years.

The number of antitrust cases brought by the Department of Justice fell from an average of 12.5 cases per year during the 1920s to an average of 6.5 cases per year from 1935 to 1938, the scholars found. Collusion had become so widespread that one Department of Interior official complained of receiving identical bids from a protected industry (steel) on 257 different occasions between mid-1935 and mid-1936. The bids were not only identical but also 50 percent higher than foreign steel prices. Without competition, wholesale prices remained inflated, averaging 14 percent higher than they would have been without the troublesome practices, the UCLA economists calculate.

NIRA’s labor provisions, meanwhile, were strengthened in the National Relations Act, signed into law in 1935. As union membership doubled, so did labor’s bargaining power, rising from 14 million strike days in 1936 to about 28 million in 1937. By 1939 wages in protected industries remained 24 percent to 33 percent above where they should have been, based on 1929 figures, Cole and Ohanian calculate. Unemployment persisted. By 1939 the U.S. unemployment rate was 17.2 percent, down somewhat from its 1933 peak of 24.9 percent but still remarkably high. By comparison, in May 2003, the unemployment rate of 6.1 percent was the highest in nine years.

Recovery came only after the Department of Justice dramatically stepped enforcement of antitrust cases nearly four-fold and organized labor suffered a string of setbacks, the economists found.

“The fact that the Depression dragged on for years convinced generations of economists and policy-makers that capitalism could not be trusted to recover from depressions and that significant government intervention was required to achieve good outcomes,” Cole said. “Ironically, our work shows that the recovery would have been very rapid had the government not intervened.”

-UCLA-                                                      

LSMS368                                                        

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The Reign of Lame Falls Mainly on McCain

Thursday, November 6th, 2008

The Reign of Lame Falls Mainly on McCain
by Ann Coulter

Last night was truly a historic occasion: For only the second time in her adult life, Michelle Obama was proud of her country!

The big loser of this election is Colin Powell, whose last-minute endorsement of Obama put the Illinois senator over the top. Powell was probably at home last night, yelling at his TV, “Are you KIDDING me? That endorsement was sarcastic!”

The winner, of course, is Obama, who must be excited because now he can start hanging out in public with Bill Ayers and Rev. Jeremiah Wright again. John McCain is a winner because he can resume buying more houses.

And we’re all winners because we will never again have to hear McCain say, “my friends.”

After Bill Clinton won the 1992 presidential election, Hillary Clinton immediately announced that, henceforth, she would be known as “Hillary Rodham Clinton.” So maybe Obama can now become B. Hussein Obama, his rightful name.

This was such an enormous Democratic year that even John Murtha won his congressional seat in Pennsylvania after calling his constituents racists. It turns out they’re not racists — they’re retards. Question: What exactly would one have to say to alienate Pennsylvanians? That Joe Paterno should retire?

Apparently Florida voters didn’t mind Obama’s palling around with Palestinian activist Rashid Khalidi and Nation of Islam leader Louis Farrakhan, either. There must be a whole bunch of retired Pennsylvania Jews down there.

Have you ever noticed that whenever Democrats lose presidential elections, they always blame it on the personal qualities of their candidate? Kerry was a dork, Gore was a stiff, Dukakis was a bloodless android, Mondale was a sad sack.

This blame-the-messenger thesis allows Democrats to conclude that their message was fine — nothing should be changed! The American people are clamoring for higher taxes, big government, a defeatist foreign policy, gay marriage, the whole magilla. It was just this particular candidate’s personality.

Republicans lost this presidential election, and I don’t blame the messenger; I blame the message. How could Republicans go after B. Hussein Obama (as he is now known) on planning to bankrupt the coal companies when McCain supports the exact same cap and trade policies and earnestly believes in global warming?

How could we go after Obama for his illegal alien aunt and for supporting driver’s licenses for illegal aliens when McCain fanatically pushed amnesty along with his good friend Teddy Kennedy?

How could we go after Obama for Jeremiah Wright when McCain denounced any Republicans who did so?

How could we go after Obama for planning to hike taxes on the “rich,” when McCain was the only Republican to vote against both of Bush’s tax cuts on the grounds that they were tax cuts for the rich?

And why should Republican activists slave away working for McCain when he has personally, viciously attacked: John O’Neill and the Swift Boat Veterans, National Right to Life director Doug Johnson, evangelical pastors Jerry Falwell, Pat Robertson and John Hagee, various conservative talk radio hosts, the Tennessee Republican Party and on and on and on?

As liberal Democrat E.J. Dionne Jr. exuded about McCain in The Washington Post during the Republican primaries, “John McCain is feared by Democrats and liked by independents.” Dionne proclaimed that McCain “may be the one Republican who can rescue his party from the undertow of the Bush years.”

Similarly, after unelectable, ultraconservative Reagan won two landslide victories, James Reston of The New York Times gave the same advice to Vice President George H.W. Bush: Stop being conservative! Bush was “a good man,” Reston said in 1988, “and might run a strong campaign if liberated from Mr. Reagan’s coattails.”

Roll that phrase around a bit — “liberated from Mr. Reagan’s coattails.” This is why it takes so long to read the Times — you have to keep reading the same paragraph over again to see if you missed a word.

Bush, of course, rode Reagan’s ultraconservative coattails to victory, then snipped those coattails by raising taxes and was soundly defeated four years later.

I keep trying to get Democrats to take my advice (stop being so crazy), but they never listen to me. Why do Republicans take the advice of their enemies?

How many times do we have to run this experiment before Republican primary voters learn that “moderate,” “independent,” “maverick” Republicans never win, and right-wing Republicans never lose?

Indeed, the only good thing about McCain is that he gave us a genuine conservative, Sarah Palin. He’s like one of those insects that lives just long enough to reproduce so that the species can survive. That’s why a lot of us are referring to Sarah as “The One” these days.

Like Sarah Connor in “The Terminator,” Sarah Palin is destined to give birth to a new movement. That’s why the Democrats are trying to kill her. And Arnold Schwarzenegger is involved somehow, too. Good Lord, I’m tired.

After showing nearly superhuman restraint throughout this campaign, which was lost the night McCain won the California primary, I am now liberated to announce that all I care about is hunting down and punishing every Republican who voted for McCain in the primaries. I have a list and am prepared to produce the names of every person who told me he was voting for McCain to the proper authorities.

We’ll start with former Arkansas Gov. Mike Huckabee, former New York City mayor Rudy Giuliani, California Gov. Arnold Schwarzenegger and Florida Gov. Charlie Crist. Then we shall march through the states of New Hampshire and South Carolina — states that must never, ever be allowed to hold early Republican primaries again.

For now, we have a new president-elect. In the spirit of reaching across the aisle, we owe it to the Democrats to show their president the exact same kind of respect and loyalty that they have shown our recent Republican president.

Starting tomorrow, if not sooner.

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OBAMA: CONSERVATOR IN CHIEF

Wednesday, November 5th, 2008

OBAMA: CONSERVATOR IN CHIEF

By DICK MORRIS & EILEEN MCGANN

Published in the New York Post on November 5, 2008

While the Democrats and Barack Obama won big yesterday, even coming close to a filibuster-proof majority in the Senate, Obama will find their options substantially constrained by reality.

Their handicap is the financial condition of the nation they’ll inherit. Think of a trustee or conservator of a bankrupt company.Those who fear a radical Obama miss the point of the lack of maneuverability of the next president. Behind the mortgage crisis looms the credit-card crisis, the student-loan crisis and the car-loan crisis. Sweating this mess out of the system will take two years of zero growth or contraction. 

We won’t have a Great Depression, for the government will irrigate our economy with money. But we’ll have stagnation, followed by inflation.So Obama will take office with unlimited political power but highly circumscribed practical power. He can pass whatever legislation he wants, but will be unable to indulge his ideology.The irony will be bitter for the Democrats.

Finally able to rise above the political limits they’ve faced, they’ll encounter new limitations in the fundamental problems of the economy.The Republican Party’s role is to rebuild in the shadow of the frustrations of the Obama presidency. Just as MoveOn.org built the massive grass-roots base that yesterday impelled the Democrats to victory, so Republicans must go down to their grass roots, get in touch with their base and rebuild an opportunity to win national elections.      

Power has been bad for the GOP, sapping the party’s soul and eroding its purity. But opposition, especially when a socialist like Obama wrestles with the practical problems of capitalism, will be a heady experience for the Republicans. The conservative movement can be reborn in opposition in a way they never could have been as the governing party. For political historians, it’s worth noting that Obama hasn’t scored the knockout that many predicted. As I write, it seems clear that John McCain will lose by a few points in the popular vote, not by the double digits so confidently predicted in the media polls. The fact is that most of the undecided voters went to the Republicans.In the face of a mandate limited by reality and undermined by his inability to sweep the nation as had been predicted, Obama will face a difficult situation. As the economy falters, he’ll find himself unable to raise taxes as he wants and stymied in his plans for government takeover.

A very tough future, for a man who won such a heady victory.

Go to DickMorris.com to read all of Dick’s columns!

***COPYRIGHT EILEEN MCGANN AND DICK MORRIS 2008.  REPRINTS WITH PERMISSION ONLY***

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Even Bill Clinton Blames Barney Frank

Monday, October 6th, 2008

Lawmaker Accused of Fannie Mae Conflict of Interest

Friday October 03, 2008

Washington

Unqualified home buyers were not the only ones who benefitted from Massachusetts Rep. Barney Frank’s efforts to deregulate Fannie Mae throughout the 1990s.

So did Frank’s partner, a Fannie Mae executive at the forefront of the agency’s push to relax lending restrictions.

Now that Fannie Mae is at the epicenter of a financial meltdown that threatens the U.S. economy, some are raising new questions about Frank’s relationship with Herb Moses, who was Fannie’s assistant director for product initiatives. Moses worked at the government-sponsored enterprise from 1991 to 1998, while Frank was on the House Banking Committee, which had jurisdiction over Fannie.

Both Frank and Moses assured the Wall Street Journal in 1992 that they took pains to avoid any conflicts of interest. Critics, however, remain skeptical.

“It’s absolutely a conflict,” said Dan Gainor, vice president of the Business & Media Institute. “He was voting on Fannie Mae at a time when he was involved with a Fannie Mae executive. How is that not germane?

“If this had been his ex-wife and he was Republican, I would bet every penny I have – or at least what’s not in the stock market – that this would be considered germane,” added Gainor, a T. Boone Pickens Fellow. “But everybody wants to avoid it because he’s gay. It’s the quintessential double standard.”

A top GOP House aide agreed.

“C’mon, he writes housing and banking laws and his boyfriend is a top exec at a firm that stands to gain from those laws?” the aide told FOX News. “No media ever takes note? Imagine what would happen if Frank’s political affiliation was R instead of D? Imagine what the media would say if [GOP former] Chairman [Mike] Oxley’s wife or [GOP presidential nominee John] McCain’s wife was a top exec at Fannie for a decade while they wrote the nation’s housing and banking laws.”

Frank’s office did not immediately respond to requests for comment.

Frank met Moses in 1987, the same year he became the first openly gay member of Congress.

“I am the only member of the congressional gay spouse caucus,” Moses wrote in the Washington Post in 1991. “On Capitol Hill, Barney always introduces me as his lover.”

The two lived together in a Washington home until they broke up in 1998, a few months after Moses ended his seven-year tenure at Fannie Mae, where he was the assistant director of product initiatives. According to National Mortgage News, Moses “helped develop many of Fannie Mae’s affordable housing and home improvement lending programs.”

Critics say such programs led to the mortgage meltdown that prompted last month’s government takeover of Fannie Mae and its financial cousin, Freddie Mac. The giant firms are blamed for spreading bad mortgages throughout the private financial sector.

Although Frank now blames Republicans for the failure of Fannie and Freddie, he spent years blocking GOP lawmakers from imposing tougher regulations on the mortgage giants. In 1991, the year Moses was hired by Fannie, the Boston Globe reported that Frank pushed the agency to loosen regulations on mortgages for two- and three-family homes, even though they were defaulting at twice and five times the rate of single homes, respectively.

Three years later, President Clinton’s Department of Housing and Urban Development tried to impose a new regulation on Fannie, but was thwarted by Frank. Clinton now blames such Democrats for planting the seeds of today’s economic crisis.

“I think the responsibility that the Democrats have may rest more in resisting any efforts by Republicans in the Congress or by me when I was president, to put some standards and tighten up a little on Fannie Mae and Freddie Mac,” Clinton said recently.

Bill Sammon is FOX News’ Washington Deputy Managing Editor.

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Frank’s fingerprints are all over the financial fiasco

Saturday, October 4th, 2008

“THE PRIVATE SECTOR got us into this mess. The government has to get us out of it.”
That’s Barney Frank’s story, and he’s sticking to it. As the Massachusetts Democrat has explained it in recent days, the current financial crisis is the spawn of the free market run amok, with the political class guilty only of failing to rein the capitalists in. The Wall Street meltdown was caused by “bad decisions that were made by people in the private sector,” Frank said; the country is in dire straits today “thanks to a conservative philosophy that says the market knows best.” And that philosophy goes “back to Ronald Reagan, when at his inauguration he said, ‘Government is not the answer to our problems; government is the problem.’ ”

In fact, that isn’t what Reagan said. His actual words were: “In this present crisis, government is not the solution to our problem; government is the problem.” Were he president today, he would be saying much the same thing.

Because while the mortgage crisis convulsing Wall Street has its share of private-sector culprits — many of whom have been learning lately just how pitiless the private sector’s discipline can be — they weren’t the ones who “got us into this mess.” Barney Frank’s talking points notwithstanding, mortgage lenders didn’t wake up one fine day deciding to junk long-held standards of creditworthiness in order to make ill-advised loans to unqualified borrowers. It would be closer to the truth to say they woke up to find the government twisting their arms and demanding that they do so – or else.

The roots of this crisis go back to the Carter administration. That was when government officials, egged on by left-wing activists, began accusing mortgage lenders of racism and “redlining” because urban blacks were being denied mortgages at a higher rate than suburban whites.

The pressure to make more loans to minorities (read: to borrowers with weak credit histories) became relentless. Congress passed the Community Reinvestment Act, empowering regulators to punish banks that failed to “meet the credit needs” of “low-income, minority, and distressed neighborhoods.” Lenders responded by loosening their underwriting standards and making increasingly shoddy loans. The two government-chartered mortgage finance firms, Fannie Mae and Freddie Mac, encouraged this “subprime” lending by authorizing ever more “flexible” criteria by which high-risk borrowers could be qualified for home loans, and then buying up the questionable mortgages that ensued.

All this was justified as a means of increasing homeownership among minorities and the poor. Affirmative-action policies trumped sound business practices. A manual issued by the Federal Reserve Bank of Boston advised mortgage lenders to disregard financial common sense. “Lack of credit history should not be seen as a negative factor,” the Fed’s guidelines instructed. Lenders were directed to accept welfare payments and unemployment benefits as “valid income sources” to qualify for a mortgage. Failure to comply could mean a lawsuit.

As long as housing prices kept rising, the illusion that all this was good public policy could be sustained. But it didn’t take a financial whiz to recognize that a day of reckoning would come. “What does it mean when Boston banks start making many more loans to minorities?” I asked in this space in 1995. “Most likely, that they are knowingly approving risky loans in order to get the feds and the activists off their backs . . . When the coming wave of foreclosures rolls through the inner city, which of today’s self-congratulating bankers, politicians, and regulators plans to take the credit?”

Frank doesn’t. But his fingerprints are all over this fiasco. Time and time again, Frank insisted that Fannie Mae and Freddie Mac were in good shape. Five years ago, for example, when the Bush administration proposed much tighter regulation of the two companies, Frank was adamant that “these two entities, Fannie Mae and Freddie Mac, are not facing any kind of financial crisis.” When the White House warned of “systemic risk for our financial system” unless the mortgage giants were curbed, Frank complained that the administration was more concerned about financial safety than about housing.

Now that the bubble has burst and the “systemic risk” is apparent to all, Frank blithely declares: “The private sector got us into this mess.” Well, give the congressman points for gall. Wall Street and private lenders have plenty to answer for, but it was Washington and the political class that derailed this train. If Frank is looking for a culprit to blame, he can find one suspect in the nearest mirror.

Jeff Jacoby can be reached at jacoby@globe.com.
© Copyright 2008 Globe Newspaper Company.

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Posted in Financial Rescue Plan?, The Economy | 1 Comment »

545 People

Wednesday, May 21st, 2008

By Charlie Reese —

Politicians are the only people in the world who create problems and then campaign against them.

Have you ever wondered why, if both the Democrats and the Republicans are against deficits, we have deficits?

Have you ever wondered why, if all the politicians are against inflation and high taxes, we have inflation and high taxes?

You and I don’t propose a federal budget. The president does.

You and I don’t have the Constitutional authority to vote on appropriations. The House of Representatives does.

You and I don’t write the tax code, Congress does.

You and I don’t set fiscal policy, Congress does.

You and I don’t control monetary policy, the Federal Reserve Bank does.

100 senators, 435 congressmen, one president, and nine Supreme Court justices — 545 human beings out of the 300 million — are directly, legally, morally, and individually responsible for the domestic problems that plague this country.

I excluded the members of the Federal Reserve Board because that problem was created by the Congress. In 1913, Congress delegated its Constitutional duty to provide a sound currency to a federally chartered, but private, central bank.

I excluded all the special interests and lobbyists. They have no legal authority. They have no ability to coerce a senator, a congressman, or a president to do one cotton-picking thing. I don’t care if they offer a politician $1 million dollars in cash. The politician has the power to accept or reject it. No matter what the lobbyist promises, it is the legislator’s responsibility to determine how he votes.

Those 545 human beings spend much of their energy convincing you that what they did is not their fault. They cooperate in this common con regardless of party.

What separates a politician from a normal human being is an excessive amount of gall. No normal human being would have the gall of a Speaker, who stood up and criticized the President for creating deficits. The president can only propose a budget. He cannot force the Congress to accept it. The Constitution, which is the supreme law of the land, gives sole responsibility to the House of Representatives for originating and approving appropriations and taxes. Who is the speaker of the House? He/she is the leader of the majority party. They and fellow House members, not the president, can approve any budget they want. If the president vetoes it, they can pass it over his veto if they agree to.

It seems inconceivable to me that a nation of 300 million can not replace 545 people who stand convicted — by present facts — of incompetence and irresponsibility. I can’t think of a single domestic problem that is not traceable directly to those 545 people. When you fully grasp the plain truth that 545 people exercise the power of the federal government, then it must follow that what exists is what they want to exist.

If the tax code is unfair, it’s because they made it unfair. If the budget is in the red, it’s because they approved it. If the Marines are in IRAQ, it’s because they want them in IRAQ. If they do not receive social security but are on an elite retirement plan not available to the people, it’s because they want it that way.

There are no insoluble government problems. Do not let these 545 people shift the blame to bureaucrats, whom they hire and whose jobs they can abolish;   to lobbyists, whose gifts and advice they can reject;   to regulators, to whom they give the power to regulate and from whom they can take this power.   Above all, do not let them con you into the belief that there exists disembodied mystical forces like “the economy,” “inflation,” or “politics” that prevent them from doing what they take an oath to do. Those 545 people, and they alone, are responsible. They, and they alone, have the power. They, and they alone, should be held accountable by the people who are their bosses — provided the voters have the gumption to manage their own employees. We should vote all of them out of office and clean up their mess!

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