Progressives in Congress show the right way to ‘right the market’.

October 1, 2008

Dear Democratic Colleague:

The House of Representatives rejected the $700 bailout yesterday. Distinguished economists across the world have stated it would not have solved the problem at hand. However, we can potentially solve this liquidity problem at little cost to the taxpayer. I am proposing that Congress drop the Paulson Plan, and instead pass the No BAILOUTS Act. The No BAILOUTS Act provides an alternative to the Paulson Proposal to address the current credit crunch. Once Congress addresses the liquidity shortfalls in our financial markets, a Democratic Congress can turn to Democratic solutions to address the broader economic crises we face today. Specifically, Congress can work to resolve the housing crisis across the country and pass effective job stimulus, which is the response Main Street America expects and deserves.

While Democrats and Republicans may disagree on the underlying solutions to solve the economic crises we face, the No BAILOUTS Act – a regulatory based proposal – has the potential for significant bipartisan support.

The Paulson Premise Flawed

Simon Johnson, a former chief economist as the International Monetary Fund, stated today in the New York Times of Paulson’s plan, “It’s our view that this package, in a fundamental sense, will not solve the problem.” Other economic analysts noted yesterday that the credit markets around the world were almost entirely dysfunctional even when political leaders and investors assumed that Congress had reached a deal and would easily approve the bailout. There is no reason to believe Paulson’s plan will work.

Alternatives

We have credible alternatives to the Paulson/Bush $700 billion gamble. William Isaac, the chairman of the FDIC during the previous worst financial crisis in the United States during the 1980s, believes Congress can address the current crisis with simple changes to Securities and Exchange Commission (SEC) rules. Mr. Isaac points out that while we face serious financial challenges today, many banks are still in good shape. This allows Congress to take swift, uncomplicated steps to ensure the financial markets return to working order. After that, we can work to resolve the housing crisis and pass effective job stimulus.

Today I am offering an alternative to the Wall Street bailout that will correct the capital shortfalls experienced by many financial institutions and help protect the integrity and quality of the securities market. My plan could be implemented promptly meeting the demands of the Bush Administration to act immediately without putting the American taxpayer on the hook for billions of dollars.

No BAILOUTS Act

Bringing Accounting, Increased Liquidity, Oversight and Upholding Taxpayer Security

1) Require the Securities and Exchange Commission (SEC) to require an economic value standard to measure the capital of financial institutions.

This bill will require SEC to implement a rule to suspend the application of fair value accounting standards to financial institutions, which marks assets to the market value, no matter the conditions of the market. When no meaningful market exists, as is the current market for mortgage backed securities, this standard requires institutions to value assets at fire-sale prices. This creates a capital shortfall on paper. Using the economic value standard as bank examines have traditionally done will immediately correct the capital shortfalls experienced by many institutions.

2) Require the Securities and Exchange Commission to restricting naked short sells permanently

This bill will require SEC to implement a rule that blocks naked selling, selling a stock short without first borrowing the shares or ensuring the shares can be borrowed. Such practices many times harm the companies represented in the sales and hurt their efforts to raise capital. There is no economic value produced by naked short sales, but significant negative effects.

3) Require the Securities and Exchange Commission to restore the up-tick rule permanently.

This bill will require SEC to implement a rule that blocks short sales without an up-tick in the market. On September 19, 2008, the SEC approved a temporary pause of short selling in financial companies “to protect the integrity and quality of the securities market and strengthen investor confidence.” This rule prevents market crashes brought on by irrational short term market behavior.

4) “Net Worth Certificate Program”

This bill will require FDIC to implement a net worth certificate program. The FDIC would determine banks with short-term capital needs and the ability to financially recover in the foreseeable future. For those entities that qualify, the FDIC should purchase net worth certificates in these institutions. In exchange, these institutions issue promissory notes to repay the FDIC, counting the amount “borrowed” as capital on their balance sheets. This exchange provides short term capital, with not cash outlay. Interest rates on the certificates and the FDIC notes should be identical so no subsidy is necessary.

Participating banks must be subject to strict oversight by the FDIC including oversight of top executive compensation and if necessary the removal of poor management. Financial records and business plans should be subject to scrutiny while participating in the program.

In 1982, Congress approved a program, known as the Net Worth Certificate Program, that allowed banks and thrifts to apply for immediate capital assistance. From 1982 to 1993, banks with total assets of $40 billion participated in the program. The majority of these banks, 75%, required no further assistance beyond the certificate program.

5) Increase the FDIC Insurance limit from $100,000 to $250,000.

The bill will require the FDIC raise its limit to provide depositors confidence that their money is safe and help eliminate runs on banks which are destabilizing to the industry.

Sincerely

Peter DeFazio

Member of Congress

Call your congress person and demand they support this instead of George The Robber and Nancy the Fluffer’s giveaway to the rich. It’s your’s and your grandchildren’s money they want.

Tell them NO!


Say…Anyone out there really give a fuck? Really……Well here’s one member of your government who does.

August 10, 2008

What do you care about? Your health? Your family? Your children? How about something that is affecting all those and in a decidedly negative way? Let’s watch the third ranking Democrat in the Senate the Senator from North Dakota Byron Dorgan talk about how your government is doing.

Let’s listen to him talk about the American worker:

The Employee Free Choice Act:

Notice how he points out that the fat corrupt toads who have historically, and continue to do so it would seem, sat in the chamber of ‘The Greatest Deliberative Body in the World….’ had zip to do with helping workers?

Here’s ‘The Money Pit Part I:’

Anyone really think some of that 18 Billion never left the States…or just made a quick round trip to to some selected Solons…18 Billion in cash….no accounting. No wonder Bush can wear $7,000.00 boots, eh? Maybe the continuous, unrestrained voting  for more unaudited, off the books spending is starting to seem a little…er, understandable?

Anyone really think some of that 18 Billion never left the States…or just made a quick round trip to to some selected Solons…18 Billion in cash….no accounting. No wonder Bush can wear $7,000.00 boots, eh?

Let’s wrap this up with the Senator speaking at length on slave labor Immigration.

If any of this got ya going here are some phone numbers:

Madame Speaker of the House the Honorable Nancy Pelosi: (202) 225-0100

Senate Majority Leader Harry Reid: 202-224-3542

And most importantly call Senator Dorgan here: (202) 224-2551 and thank him for his work. He surely deserves some praise.

Oh..yeah…I almost forgot…..This………………………..

I liked this in particular:

‘…administration and military officials say it’s not that easy to distribute the money. They contend that Iraq’s lack of spending isn’t due to laziness or corruption, but rather Baghdad’s inability to determine where its money is needed most and how to allocate it efficiently.’

In other words they’ve got so much money they can’t figure out what to spend it on first. Thanks Madame Speaker, thanks Harry, thanks especially to ‘The One’ who has voted for every ’emergency appropriation…’ for Iraq. And they are all, every one ‘….emergency appropriations..’ and not included in the nation’s budget. Budget…hah, what a concept.


Breaking: Rezko goes down on 16 Counts….

June 4, 2008

Walks on eight.

Who’s Rezko some ask? Well, it’s a real long story and since I don’t want to get typist’s cramp I’m sending you to the Chicago Tribune a still great paper which has been covering the activities of the ‘Illinois Machine’ for years. What the heck is the ‘Illinois Machine’ you ask…

Tell me you didn’t vote in the CA Primary. If you don’t know what the ‘Illinois Machine’ is and who belongs to it you have not business near a voting machine.

What’s that?

Oh….

malcontent sez: ‘Stop haranguing the folks and get with the linky’s’

Okay!

First:

Chicago Tribune and their ‘window on corruption…’

Man, that will take you hours to wade, and I do mean wade, through.

Next:

No Quarter breaks the news despite having been under various forms of  cyber-attack all night.

Next:

You think about it…do your own research.

Obama and the suicide of the Democratic Party is a topic I will be visiting time to time but I really can’t get too involved in.. As I told Howard Dean at facebook today I really cannot support the actions of the party in denying Dem primary voters their vote, a Republican tactic, to nominate a Republican-lite candidate who won by voter suppression. Howard could, of course, give f#$k what I think but hey….

It’s gonna be pretty hard to ban me from the blog where I write 93% of the posts. Jane, whom I also contacted at facebook, a woman whom I stand in awe of for her steel spine and great writing skills told the ‘Boyz on the Blogz’ and the Obamacans where it is at today. Outstanding post about what the situation realy is as opposed to having an orgasm every time the MSM announces that Hillary is conceding.

As always I report….you decide…

Flash Alert: I’m getting reports from everywhere that Hillary is conceding.  But… she’s not releasing her delegates….what next one wonders?


Supposedly we’ll know our fate soon….very soon…

June 3, 2008

AP has already graciously called the Dem primary for Senator Obama. Nice of ’em….I gits a headache something awful when I have to add…ya know.

Anyway….

Back at the Ranch:

‘A unified front is forming in Iraq among Sunnis and Shiites, opposed to the terms of the draft of a long-term security agreement to keep US forces in the country. Muqtada al-Sadr tapped into a populist rejection of the US occupation and the Iraqi government, for now, is playing hardball.’

Yep, we’re still stuck in Iraq. Well…stuck ain’t quite the word. More like…..

We are never evah gonna leave! Jes forget about it. Get over it folks. Check out this para:

Juan Cole notes that they want to be able to arrest and detain any Iraqi they deem to represent a threat to security, and full immunity protection in Iraqi courts for military personnel and contractors. And the contract proposals that have been signed in recent weeks show the desire for a continuing presence, and it’s not too hard for the Iraqis to catch on to this.’

Sovereignty anyone? Read the whole thing at Hullaballo. On wonders how much longer the Iraqis will tolerate us. If the nation was unified they could wipe our Army off the map in a week. Of course as long as Bush remains POTUS they might stay cautious. He’s very likely to start lobbin’ Nukes if he thinks he’s gonna lose ‘his war’.

And I don’t see the ‘Democrat’ Party doin’ much more in response to such an action than:

((((((((((((((((((((((((((((((((((((((((((((((((((((((((((crickets))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))))


Yo! Keith! This American has a ‘Special Comment’ for yah!

May 26, 2008

This one’s for you also Mssrs. Kos, Bowers and Marshall. I doubt me that this young lady drives a Beemer or is a member of the ficticious ‘creative class’ but hey! She might do both.
Unlike you she and I are not so wedded to our stereotypes that we no longer recognize ‘so-called reality…’ remember that pals?

This is one reason that Barry’s  mentor Crazy Old Joe wants to….get rid of YouTube. See, the ruling classes, especially the white guys in their $10,000 suits don’t like to be dissed at all. And certainly not by no
young black woman, you dig? Yeah, Joe I know you’re telling everyone it’s to stop the Tehhahists. Puleeeeeeeeeese, puhleeeeeeeese, fuck yourself Joe.


Hmmmmmmmmmmmmm…..Now this is….Well, Barry do you and McSame want to explain this given your votes to fully fund…..

May 23, 2008

‘Lil’ George’s excellent adventure in Iraqi land?

We don’t know what we got.”

by tristero

Good morning! Are you sitting down?

In one case, according to documents displayed by Pentagon auditors at the hearing before the House Committee on Oversight and Government Reform, a cash payment of $320.8 million in Iraqi money was authorized on the basis of a single signature and the words “Iraqi Salary Payment” on an invoice. In another, $11.1 million of taxpayer money was paid to IAP, an American contractor, on the basis of a voucher with no indication of what was delivered…

The disclosure that $1.8 billion in Iraqi assets was mishandled comes on top of an earlier finding by an independent federal oversight agency, the Special Inspector General for Iraq Reconstruction, that United States occupation authorities early in the conflict could not account for the disbursement of $8.8 billion in Iraqi oil money and seized assets.

A billion here, a billion there…

And then check this out:

The mysterious payments, whose amounts had not been publicly disclosed, included $68.2 million to the United Kingdom, $45.3 million to Poland and $21.3 million to South Korea. Despite repeated requests, Pentagon auditors said they were unable to determine why the payments were made.

“It sounds like the coalition of the willing is the coalition of the paid — they’re willing to be paid,” said Mr. Waxman

And some more details:

In one instance, a United States Treasury check for $5,674,075.00 was written to pay a company called Al Kasid Specialized Vehicles Trading Company in Baghdad for items that a voucher does not even describe.

In another case, $6,268,320.07 went to the contractor Combat Support Associates with even less explanation. And a scrawl on another piece of paper says only that $8 million had been paid out as “Funds for the Benefit of the Iraqi People.”

But perhaps the masterpiece of elliptic paperwork is the document identified at the top as a “Public Voucher for Purchases and Services Other Than Personal.” It indicates that $320.8 million went for “Iraqi Salary Payment,” with no explanation of what the Iraqis were paid to do.

Whatever it was, the document suggests, each of those Iraqis was handsomely compensated. Under the “quantity” column is the number 1,000, presumably indicating the number of people who were to be paid — to the tune of $320,800 apiece — if the paperwork is to be trusted.

“…if the paperwork is to be trusted.” Now that’s funny. But the joke’s on us.

Tell ya what….
I ain’t laughing.


We report…you decide…..

May 21, 2008

Here’s Barry speaking in Oregon:

‘From the very beginning, you knew that this journey wasn’t about me or any of the other candidates in this race. It was about whether this country, at this defining moment, will continue down the same road that has failed us for so long or whether we will seize this opportunity to take a different path, to forge a different future for this country that we love.

That’s the question that sent thousands upon thousands of you to high school gyms and VFW halls, to backyards and front porches, to steak fries and J.J. dinners, where you spoke about what the future would look like.

You spoke of an America where working families don’t have to file for bankruptcy just because a child gets sick, where they don’t lose their home because some predatory lender tricks them out of it, where they don’t have to sit on the sidelines of the global economy because they couldn’t afford the cost of a college education.

You spoke of an America where our parents and our grandparents don’t spend their retirement in poverty because some CEO dumped their pension, an America where we don’t just value wealth, but we value work and the workers who create it, as well.’

Interesting speech from a guy who voted to ‘cap’ credit card interest in bankruptcy cases at 33%. A guy who voted every single time Bush asked for more cash for the brutal and failed occupation of Iraq. A guy how missed a bunch of votes on important bills in the Senate. I guy who voted for Cheney’s Energy Bill. Who voted for the Farm ‘Pork’ Aid Bill. Read more about that below. But see…’Barry is the most liberal Senator…..’ So sez FAUX NOISE and look at him scurry around saying, ‘No….not me I’m not the most Liberal…..’ Well for once Barry you got that right. As of today Progressive Punch ranks him 41st a ways back from The Hill who is 30th. DiFi, Max Baucus and JIm Webb are more progressive than Barry. So….yeah, far from being a ‘Liberal’ or Progressive Barry’s almost to Rethug land as far a his record in the U.S. Senate is concerned.
Here’s The Hill speaking in what the ‘Boyz in the Blogz’ are calling a ‘concession’ speech, well they’ve characterized every speech she’s made since IA that way, to some folks in Florida:

‘Now, this year’s presidential election is like none other in history. And we have had more people engaging and volunteering, casting their ballots, than ever before. Everywhere I go, people tell me, “I’ve never given money to a campaign in my life; this year is different. I’ve never followed an election before; this time I can’t stop watching.” And there’s a reason for that. With our economy in crisis, and with two wars and our children’s future in the balance, more people than ever before are taking politics seriously.

I happen to welcome that because this is a democracy, and we’ve all got to participate. In fact, we want more democracy, not less democracy. We want more people taking a part in the selection of their president’.

Clik on thru and read the whole thing the woman has got her on the campaign trail speechifyin’ cranked the hell up. But just in case yer too lazy here’s the damn point which Barry don’t wanna talk about:

‘Here in Florida, more than 1.7 million people cast their vote, the highest primary turnout in the history of Florida. And nearly 600,000 voters in Michigan did the same. And not a day goes by that I don’t meet someone who grabs my hand or holds up a sign, no matter where I am, in Kentucky or anywhere else, and says, “Please, make my vote count.”

I receive dozens and dozens of letters and emails and phone calls, every couple of hours it seems like, all making the same urgent request: please count my vote. We used to be worried about voter apathy, didn’t we? We worried why Americans didn’t participate. Now, people are worried that their participation won’t matter.’

Registered Democrats of every gender and race are going to be disenfranchised so Barry can claim the nomination? Have I got that right. Donna Brazile and  Howard Dean are gonna throw FL and MI under the bus and then they think they’ll win the GE with Barry of the Glass Jaw? Here’s my politial calculus: Barry + Donna + Howard = Republican Candidate for President Running on ‘Democrat’ Party ticket. Or….

Barry + Wright + Resko + Auchi + Michelle = President McSame.

Here’s a familiar voice speaking out:
‘Barack Obama talks about taking on the special interests. This farm bill would have been a perfect opportunity to do so. But Obama supported the bill, just as he supported the 2005 energy bill that was a Christmas tree for the oil and gas industries.’
Read the rest of David Brook’s article, it should be a sobering splash of cold water on the Kool-Aiders and their fellow-travelers in the ‘Democrat’ party.

All I got to say is: ‘Think for yourself!’

And…..

‘Don’t believe half of what you read.’