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Sunday, January 18, 2009

Loose Ends... Vol. XXVI

We are trying out some new looks for the website, so bear with us over the coming days and/or weeks. Your feedback and ideas are welcome. You can see that we've switched templates, but this will not be the final look. Also, soon we will be available at www.stoptakingsoma.com in addition to our current Blogspot address.

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The Congress is back in session (they were the previous week too, but... hey...) and there has already been a good deal of activity. Hundreds of bill have been introduced in each chamber. Most of the talk surrounds the release of the second half of the TARP under last session's legislation and the next economic stimulus package also known as the American Recovery and Reinvestment Act.

A summary of the House version is available here. The full text is here. This coming week will see debate and a possible vote. Additionally, an analysis conducted by Obama's team of the package (their version) is here. My analysis (or something of the sort) will be coming this week.

The House also did not waste time to express its support for Israel and condemn of Hamas. The Resolution can be found here. Ron Paul (R-TX) was the only House Republican to vote against the resolution.

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One thing of note, from a true "stop taking soma" perspective, is the propaganda that continues from the government-media complex as it pertains to the current economic climate. I don't recall if I have posted this report from the Minneapolis FED yet or not - regardless, it is a must read. We constantly hear that we are in the worst economic crisis since the Great Depression... is that really true?

I'm the first to admit that we are in bad shape - but, we are not in bad shape in the manner in which most people describe the state of the economy. Unemployment is growing quickly (currently 7.2%), but it is still below levels in 1992 (peaked at 7.8%), 1982 (peaked at 10.8%), and 1975 (peaked at 9.0%). We have also yet to see a prolonged decrease in real GDP - we did experience this in 1991, 1982, 1980, 1974-1975, 1958, 1954, 1949, and 1945-1947. This is all since the Great Depression.

Now, don't get me wrong. I believe that things will get worse. But, it will be a result of a different economic crisis than the one we are currently experiencing. It will be the result of decades-long policy of over-spending by both government and consumer. It very well may be worse than the Great Depression, but we are not yet in this particular financial crisis.

The current rhetoric is only being used as a way to scare you and me into thinking that the government is the only solution. They want a free pass for big spending. They are going to get it too. We need to stand up.

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I don't remember hearing about this on Friday, but the Treasury agreed to another $1.5B loan to Chrysler financial. The terms call for an interest rate of one-month LIBOR plus 100 basis points in the first year (+150 basis points in years two through five). So, Chrysler, a near bankrupt company, is receiving a huge loan that has a five-year maturity with interest payments (currently) at a mere 1.4%!!!

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Mitch Daniels delivered his State of the State address this week. I regret to say that I did not watch or listen. This is still important, so I hope I get around to reading the transcript - it is available here.

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Last items... also on the local scene. I found this website this week maintained by the Libertarian Party of Indiana. The site follows legislation in Indiana and states the view of the state LP. Pretty cool.

State Senator Greg Walker has introduced a bill for a competing gold currency in Indiana. I will be writing my representative expressing strong support (after I read the whole thing thoroughly). I highlighted this over at United Liberty.

Also, I heard this week that Indiana will be considering a daytime curfew for minors while school is in session. Local media personality and lawyer, Abdul Hakim-Shabazz, said that he would be addressing his support for this measure on his blog. I'll wait to see what he writes and provide my rebuttal at that point.

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