Good Choice of Words - ,,Intentional Irony''

Elswhere in this Column we reported a Couple of Times regarding some of the ,,Escapades'' of Lady Ga Ga; who, it seems, voraciously grabs at every Opportunity to gain her some Publicity or Attention; certainly, to some, dismissively tossing away a ,,Pack of Joints'' or whatever they were on Stage and then selecting a different ,,Joint'' (she must be a good Judge of Quality) to smoke rivals even her ,,Meat Costumes'' which were disgusting enough to make on think of Food Safety in earnest  (see our earlier recent Post).

Sometimes, trying too hard can have its Pitfalls, though.  Lady Ga Ga's main Rival, Madonna, who, it seems, is trying to hang on to her fading ,,Stardust'' by the Skin of her Teeth, her Nipple Cone Outfit Performances ,,à la Burlesque'' having been eclipsed by Lady Ga Ga's ,,Boobie Kalishnikov'' Photography Performance.

So what does Madonna do?  She goes on Stage extolling the Virtues of President Obama and then calls him America's First ,,Black Moslem'' President...

http://entertainment.nbcnews.com/_news/2012/09/25/14098317-madonna-i-was-being-ironic-when-i-called-obama-a-black-muslim?lite

(Click on the Link for the Video)

Who was her High School English Teacher?  Don't ask...

Who is her Publicity Agent?  We can only surmise, it could have been someone who suggested to her what to say to make up for the Gaffe:  ,,I was being Ironic.''  Ironic?

Did anyone suggest to her that she might want to say, ,,I misspoke'' or ,,I made a Mistake?''

Nah...never admit...never, never, never...

Punting

The Annual Deficit for the Budget Year about to close will again exceed $ 1 Billion.  While this should not come as a Surprise, it should nonetheless be jolting, especially in View of the Fact that Congress, consisting of a Group of highly paid Individuals, has chosen to be in Session for 4 Days in August, 8 Days in September and (according to the Schedule), 0 Days in October.

http://www.nytimes.com/2012/09/26/us/politics/obama-faces-test-as-deficit-stays-above-1-trillion.html?nl=todaysheadlines&emc=edit_th_20120926&moc.semityn.www

(Click the Link above in ,,The New York Times'' for more Details)


Regardless of who the Victor will be and Mr. Romney's Chances of being the Victor appear to be diminishing, a bit too rapidly, many of them due to his own doing, the Issue has thusly been punted to beyond the Election Day in November  (Comments by Mr. Romney wondering why Airplane Windows cannot be opened can be, at a certain Level, even more damaging than Comments about the ,,47%.'').

What is going to happen after Election Day?  Likely, a Period of bitter and divisive Discord will ensue and, of course, none of it would be helpful or constructive.

However, one Fear worth considering may be, what Mr. Bernanke might do, in View of a deteriorating Situation.

It is not unlikely that Mr. Bernanke  may come up again with some ill conceived Theory about what he wants to do about ,,fixing the Economy.''  It is arguable that if Mr. Bernanke were to be sent back to Princeton he would do less Damage from there but that poses an interesting Question:  had he been alive, would President Woodrow W. Wilson have rehired him?

Ben Bernanke, Chairman of the Federal Reserve

and former Professor of Economics at Princeton University

 

 President Woodrow W. Wilson

                                                                     28th President of the United States

                                                                     President of Princeton University (1902-1910)

 

 

A Hard Act to follow - not to mention...Super High Class

Now, here, again, is Lady Ga Ga, about whom we have written in this Column before.  This Time, a Super High Class Act, hard to follow, smoking Pot on Stage, in Amsterdam where, of course, smoking Pot is legal although, one should  add, a recent Regulation prevents non Dutch Citizens from buying the Stuff...they cannot buy it although they are allowed to smoke it.

And that's what Lady Ga Ga just did, after dismissively discarding what appeared to be some Stuff not of ,,Acceptable Quality.''   Goodness forbid that she would smoke something of ,,Inferior Quality.''

http://www.youtube.com/watch?v=3426ahYnoGs

(Click on the Link above to watch Lady Gaga dismissively throwing a Pack to the Side, then choosing a Joint and lighting it up)

Fortunately for some but unfortunately for her, however the Images of her smoking the Stuff that ,,changed her Life'' also managed to make her look rather pathetic.

Maybe she had forgotten her ,,Meat Outfit'' at home.

 

Interesting Argument - Billionaires should be taxed less because taxing them more inhibits their Inclination to make Charitable Donations

An interesting Argument comes from Billionaire Stephen Ross, Chairman of The Related Companies, who is saying, in Effect that a Limitation on the Ability to deduct his Charitable Donations from his Income Tax would influence how much Money he would give to Charities (of his Choice, we might add).

http://bottomline.nbcnews.com/_news/2012/09/23/14016571-tax-hikes-a-threat-to-charitable-giving-say-billionaires?lite


Not all Billionaires agree with this Argument.  However, taking Mr. Ross's Argument ,,ad Absurdum'' would mean that he (and other Billionaires like him), decides on the Distribution of Income, whether it be earned in the Form or Wages or, more likely, through other Sources; how the Part of the Income which is not kept by him (and others like him) is distributed either in Terms of funding Government Expenses or ,,Charities'' of his choosing.

We all are, I think, for reducing of Waste in Government; certainly one Way to accomplish this would have been to keep Congress more Days in Session, more than the 4 Days in August and the 8 Days in September.

However, not all of the 300 Million or so Souls who live in the United States, most likely, not a Majority of them, would agree that 400 or so Billionaires, whose Billions came out of the United States Economy (or elsewhere) but are certainly asseted as Holdings of United States Citizens/Residents, should benefit from lower Tax Rates or unlimited Charitable Deductions, in a Country confronting a catastrophic Budgetary Problem, solely for the Purposes of these Individuals having the Luxury of deciding how to distribute some of their Assets as they please.

Equivalent of $ 1.250,00 per Man, Woman and Child in the United States being handed out MONTLY to Banks and Financial Institutions - this, in Addition to the Money spent for ,,Operation Twist'' and ,,Quantitative Easing''

Dallas Federal Reserve Bank Chairman Richard Fisher expressed Criticism of the Federal Reserve Bank's and Mr. Bernanke's Decision to start a new Round of Bond Buying, without End in Sight, a Move which is the Equivalent of giving out $ 1.250,00 to each Man, Woman and Child in the United States, but with giving this massive Amount of Money only to Financial Institutions which, according to many, have been the Cause of the Economic Woes in the First Place.

http://economywatch.nbcnews.com/_news/2012/09/19/13969468-fed-dissident-says-latest-easing-wont-help-economy?lite

(Reuters)

There has been Criticism from elsewhere, as well.  Some have suggested that Mr. Bernanke does not really have a ,,Strategy'' to deal with the Situation.  One has to keep in Mind, this latest Move comes in Addition to the ,,Quantitative Easing'' and ,,Operation Twist'' being implemented by the former Princeton University Economics Professor.

http://m.welt.de/article.do?id=newsticker/news1/article109346604/US-Notenbanker-Fed-ist-ratlos-im-Kampf-gegen-Krise

(Die Welt)

Interestingly, there has been little Questioning coming from the President and his Opponent, Mr. Romney.

At a Time when the Economic Crisis, call it what you will, we think the Word ,,Crisis'' is still safe (unlike other ugly Words, such as ,,Recession'' or, worse yet, ,,Depression''), with a growing Class of Have Nots and a growing Class of Super Rich and the Middle Class shrinking at an alarming Rate, such Questions should be put on the Agenda for Examination.

 

What is Mr. Bernanke's Rationale for putting at the Disposal of Banks and Financial Institutions the Equivalent of $ 1.250,00 per Month for each Man, Woman and Child living in the United States, for the Foreseeable Future?

Edward Krudy, Reuters, writes:

NEW YORK -- Comparing the Federal Reserve to a rehab clinic offering addicted investors a synthetic high has been a favorite of Wall Street wags ever since the first round of Fed stimulus nearly four years ago. The punch line is that you always need more and more to get the same high and each bout of euphoria is followed by a crashing comedown.

Full Text here:

http://marketday.nbcnews.com/_news/2012/09/16/13868573-stocks-may-calm-as-buzz-from-fed-fades-this-week?lite

 

Spending $ 1.250,00 per Month for every Man, Woman and Child living in the United States

The Federal Reserve Bank has just announced that it will be spending upwards of $ 40 Billion per Month on a Going Forward Basis, for an Indefinite Future, purchasing ,,Mortgages'' from ,,Banks and Financial Institutions.''  This, in the Opinion of the Federal Reserve Bank, is going to stimulate the Economic Recovery in the United States because the Economy has been ,,growing'' according to the Chairman of the Federal Reserve, Mr. Ben Bernanke, at an ,,Unsatisfactory Rate.''

http://www.nytimes.com/2012/09/14/business/economy/fed-announces-new-round-of-bond-buying-to-spur-growth.html?_r=1&nl=todaysheadlines&emc=edit_th_20120914

First of all, it should be noted that a reasonable Assumption would be, the Decision, as ratified by the Federal Reserve Bank is the Brainchild of Mr. Bernanke, who was a Professor of Economics at Princeton University specializing in the 1929-1933 Great Depression.  Mr. Bernanke, we have noted elsewhere in this Column, has just returned from a Conference in Jackson Hole, Wyoming, a Place renowned for its Beauty and known to most Americans from Photographs and Motion Pictures.

http://economywatch.nbcnews.com/_news/2012/09/13/13846702-bernanke-aims-at-job-market-in-latest-bid-to-revive-faltering-recovery?lite

The Stock Market reacted jubilantly to the  Fed's Decision by immediately jumping more than 200 Points to an All Time High.  Some Financial Analysts characterized the Decision as a ,,Sugar Pill for the Stock Market.''  Others, characterized the Short Sightedness of Mr. Bernanke's Decision and the Disconnect which appears to exist between his Area of Academic Specialization and the Decisions which he appears to be making.  It should be noted, this Action comes in the Heels of the Fed's Program of ,,Quantitative Easing'' a Term coined by Mr. Bernanke as well.  The Results of the Quantitative Easing Plan have been described by many as highly questionable in Value.

These Actions could remind one of some of the Words used by former Secretary of the Treasury Henry Paulsen, of Goldman Sachs Fame, who alluded, no, not alluded, emphasized that the Fed had at its Disposal ,,Tools'' (words reminscent of some Kind of an Auto Mechanic or Woodworker's Toolbox) in order to handle Financial Situations.

Those of us who are far less well versed than Mr. Bernanke on Economic Policy Matters can likely make a following simple Arithmetic Calculation:  the Money that the Fed would be giving Banks, in exchange for purchasing Mortgages of Questionable Value (most likely, at full Face Value or possibly even at a Premium - Hey!  It's not easy to spend $ 40 Billion per Month when you've got only one Month to do it!), that Money actually amounts to roughly $ 1.250,00 for every Man, Woman and Child living in the United States, rich or poor, young or old, in one Word, everyone.  Unlike Banks, many of these People would spend their Money, creating Jobs, rather than use them for questionable Financial Investments, Executive Compensation or ,,Conferences'' in Exotic Locales, such as Jackson Hole, Wyoming.

Of course, everyone would have to sign a Promissory Note (at near Zero Interest Rates, as the Banks would be doing) to pay the Money Back and those who can, will, just as the Banks would; those who cannot, will not, just as the Banks would not.

http://www.welt.de/finanzen/article109233809/Boersianer-surfen-auf-Monster-Geldwelle.html

Interestingly, both Presidential Candidates did not express any Concerns or Opposition to Mr. Bernanke's Decision; true, Mr. Bernanke can act independently, without Accountability to the President; however, in the Absence of the Expression of an Opinion by the President or his Opponent, Mr. Bernanke may well take such Silence as a taciturn implicit ,,Carte Blanche'' that his Decision is an appropriate one.  We are wondering if Mr. Bernanke made the Calculation, or Analysis, whether seeking an alternative Method of spending $ 40 Billion Monthly (assuming that such Money should be spent), would not do more to ,,Stimulate the Economy and create Jobs'' rather than a Plan to purchase Mortgages, including potentially worthless Mortgages, from Banks. 

Jackson Hole, Wyoming

Ah, Jackson Hole, Wyoming.  It is a beautiful Place.  A beautiful Valley, flanked by the Grand Teton Mountains, clean, pristine Air, sparkling Blue Water Lakes,Wildlife, Nature, just anything that one's Heart might desire, if you love Mountains.

Indeed, it is a Privilege to be able to see Jackson Hole, Wyoming once in a Lifetime.  Most, will never see this Place, except, perhaps, on a Poster or on a Photograph or on the Internet, somewhere.



But there are some of us who are more privileged than others and they must not necessarily come from the Private Sector.  Take Mr. Ben Bernancke, for Example. He now makes an Annual Pilgrimage to a Jackson Hole, Wyoming ,,Symposium'' and gives a Speech about the Economy.

He was there just last Week.

http://www.nytimes.com/2012/09/01/business/economy/fed-chairman-pushes-hard-for-new-steps-to-spur-growth.html?_r=1&nl=todaysheadlines&emc=edit_th_20120901

http://economywatch.nbcnews.com/_news/2012/08/31/13593025-ben-bernanke-says-high-unemployment-means-that-the-fed-can-do-more?lite

He was also there last Year and at about the same Time of the Year.  Imagine, holding an Annual ,,Symposium'' in Jackson Hole, Wyoming, every Year at the Peak of the Vacation Season.



But then, the News came out that Mr. Bernancke was not going to be saying very much in Jackson Hole, Wyoming and, indeed, he did not.

http://economywatch.nbcnews.com/_news/2012/08/30/13552209-bernanke-unlikely-to-tip-fed-hand-in-jackson-hole-speech?lite

We might ask, then, what was the Point of this ,,Symposium.''  The Policies which Mr. Bernancke has already implemented and wants to continue, we might add, have not been that much different under the Administration of President Obama than during the Administration of President Bush, if they have been different at all.  The Country is still lingering under a Recession which is not called a Depression and which Mr. Bernancke (and others) insists on calling a Recovery.

Surely, the ,,Few Dollars'' which are being spent on this ,,Symposium'' pale in Comparison with the Billions which Mr. Bernancke has doled out to Financial Institutions as Part of his ,,Quantitative Easing'' Theory which has, so far as one can tell, propelled the Financial Markets to historic Highs but done little towards Banks ,,easing'' their Lending to either Individuals or Businesses.

Still, a Dollar is a Dollar and, coming from the Chairman of the Federal Reserve Bank, it is a Signal both to the ,,Symposium'' Invitees as well as those on the Outside who, most likely, will never get a Chance to see Jackson Hole in their Lifetime.

Continuing horrific News out of Afghanistan

The Saga of horrific News out of Afghanistan continues.  17 Villagers in the Province of Helmand were beheaded, it is not clear whether before or after having been shot, because they were at a ,,Party'' and listening to Music.

http://worldnews.nbcnews.com/_news/2012/08/27/13499316-seventeen-villagers-beheaded-in-southern-afghanistan-after-music-party?lite

Two American Soldiers were killed (again) by Afghan Troops in Uniform.  President Obama reminded us, Four Years ago, of the horrific Price on ,,Blood and Treasure'' being paid in Iraq.  The War in Iraq has been concluded, not exactly as it was foreseen but the War in Afghanistan remains an Open Wound continuing to extract ,,Blood and Treasure.''

The Administration has a Withdrawal Plan from Afghanistan which may or may not be outgalloped by unfolding Events.  There are Problems with this Plan which are acknowledged by many, not the least of which being, the continuing Casualty Losses which have now taken a particularly sickening Turn with American Soldiers being shot by Afghan Soldiers.  The continuing Costs of Aid to Afghanistan, even after Troop Withdrawal, currently estimated by some to add up to $ 6 Billion annually, present, in View of Budgetary Constraints, a further Problem.

The Republican Presidential Candidate, Mr. Romney, bears, it appears, the Responsibility of presenting in explicit Detail what he intends to do about Afghanistan.  His Position, whatever that may be, will have an Effect both on ,,Blood'' and ,,Treasure.''

Pause for Thought needs to be given by both Candidates to the Fate of the Regime of President Karzai which is, according to general Concensus, not only corrupt but, more worrysome, shaky.

Going into the November Presidential Election requires a refining of the Position going forward on Afghanistan by both Candidates, so that the Conflict does not increasingly become ,,The Forgotten War'' which continues to extract ,,Blood and Treasure.''

The Making of the President 2012: $ 500 Million and counting

Recent News Articles suggest that the two Presidential Campaigns have spent $ 500 Million so far in the Effort.

Numerous other News Articles detail some of the Techniques being used in raising the Money for Presidential Campaigns, not the least, a Report published by The Associated Press today, 24 August 2012:

http://nbcpolitics.nbcnews.com/_news/2012/08/24/13454050-romney-uses-secretive-data-mining-exec-says?lite

One is left to wonder, how the Presidential Campaign would have looked so far and how it is going to go down to the Finish Line if, say, $ 499 Million less would have been spent on it.  One might be further left to ponder just what Kind of Message this sends to the Efforts to reach a Resolution out of the Budget Impasse.

 

An Argument against the Secretary of State's One Dimensional Approach towards the Situation in Syria

News Organizations, including foreign ones, are reporting with more and more Frequency on the complicated Situation in Syria.

Below is a rather typical Example from NBC News and Reuters, which appeared on 23 August:

The Headline reads:

More foreign Fighters join rebels in Syria as regional Crisis deepens

The full Article including Photographs and Video can be seen at:

http://worldnews.nbcnews.com/_news/2012/08/23/13431460-report-more-foreign-fighters-join-rebels-in-syria-as-regional-crisis-deepens?lite

What is difficult to understand, in View of this is the Secretary of State's One Dimensional Position regarding the Crisis which is essentially to expel President Assad.

To put it another Way, when resolving a Problem, it is necessary to consider what other Problem will be created as a Result of the Solution.

Recently, former Presidential National Security Adviser Dr. Zbigniew Brzeziński stated the Opinion that it is a prudent and cautious Policy Approach to have in Place what and who will follow, before toppling someone.  Recently, a Policy similar to the one in Syria, pursued in Egypt, where President Hosni Mubarak was deposed has resulted in totally unpredictable Results which are still in the Process of unfolding.

The Question, must be emphasized, is not who Mubarak or Assad are or might be but what would follow their Places and to acknowledge the simple Fact that not knowing what will follow can be not only an unpleasant Solution but may lead to totally unpredictable Developments.

It occurs to this Writer that Dr. Brzeziński 's Opinion is one which should be considered and not dismissed out of Hand and the President is giving Weight to the Opinion of others, such as Vice President Biden, Dr. Brzeziński (who unfortunately is not serving in the Administration) as well as others who may be able to formulate something other than the One Dimensional Approach being championed by the Secretary of State.

 

The Federal Reserve likely to deliver another Round of Monetary Stimulus

Reuters reported today, 23 August 2012:

Fed ready to help economy 'fairly soon,' minutes show

By Reuters

 

The Federal Reserve is likely to deliver another round of monetary stimulus "fairly soon" unless the economy improves considerably, minutes from the central bank's August meeting show.
While the meeting was held before a recent improvement in the economic data, including a stronger-than-expected July reading for U.S. employment, policymakers were pretty categorical about their dissatisfaction with the current outlook.
"Many members judged that additional monetary accommodation would likely be warranted fairly soon unless incoming information pointed to a substantial and sustainable strengthening in the pace of the economic recovery," the Fed said in minutes to its July 31-Aug. 1 meeting.

 

Fed officials saw significant risks to an already weak economy, which grew at a sluggish 1.5 percent annual rate in the second quarter. The risks include a worsening of Europe's financial strains and the looming U.S. budget cuts and tax hikes, which have become commonly known as a fiscal cliff.

"We have seen some improvement in the data recently but whether it is enough to qualify as a significant upturn is unclear, but certainly these minutes are dovish and will revive hopes for increased Fed easing," said economist David Sloan at 4Cast Ltd.
Many Fed officials supported extending the central bank's guidance for the likely timing of an eventual interest rate hike, currently set at late 2014, further into the future. But they decided to defer the decision to the Fed's Sept. 12-13 meeting, when the central bank will release a new round of economic forecasts.
Officials also actively debated and tested the possibility of developing a consensus Fed forecast.
A couple of policymakers favored lowering the rate the Fed pays banks to park their excess reserves at the central bank, currently at 0.25 percent. But several participants worried that money market funds could run into trouble if their returns are crimped further.

The Queston which arises out of this planned Action is just how the Financial Institutions are using this Stimulus Money.  Is this Money being used to make Loans, create Jobs and build Houses or flowing into enabling Financial Institutions to engage in Financial Transactions which are of little or no Benefit to the General Populace?  Previous Rounds of Monetary Stimuli do not reveal a clear Answer to this Question, if they reveal an Answer at all.

An Examination of the Flow Distribution of such Funds might be useful in establishing a Monetary Policy which can genuinely deliver the Economic Stimulus which would have a more favorable and measurable Result than the enormous Amounts of Stimuli already delivered, which have flown into Financial Institutions over the last Five Years and which, many of us, do not know what they were used for or how they benefitted the Economy, outside of propelling the Stock Market into New Highs.

Some have even made the Argument that if the same Amount of Money were to have been evenly distributed to every Man, Woman and Child in the General Populace, either directly, or in the Form of some Benefit(s) or a Combination of these, the Spending of such Money, while, most likely, would not always have been wise but would have nonetheless resulted in such a Level of Spending that it would have undoubtedly achieved at least a temporary beneficial Result; something which has not been achieved by pumping all this enormous Amount of Mega Dollars into Banks and Financial Institutions.