With all the bailout news, we've not checked in on the Obama citizenship lawsuit filed by fellow democrat Phil Berg in Pennsylvania. On Saturday the Obama campaign filed for it to be dismissed. Phil Berg isn't going away so easy and filed an answer with the court on Monday.
To keep up with the lawsuit, check in Obamacrimes.com They've posted pdf's of the legal documents.
To date Obama has not produced a legit birth certificate with seal. Now why would that be? Unless of course he doesn't have one!
Tuesday, September 30, 2008
Obama Crimes website gets 17.1 million hits; meanwhile the Obama citizenship lawsuit marches forward
With all the bailout news, we've not checked in on the Obama citizenship lawsuit filed by fellow democrat Phil Berg in Pennsylvania. On Saturday the Obama campaign filed for it to be dismissed. Phil Berg isn't going away so easy and filed an answer with the court on Monday.
Donald Trump equates watching C-Span yesterday to watching the Super Bowl. He has plenty to say about the bailout and he's right on spot about it. Here's The Donald on You Tube.
- This morning Bush went back to the microphones to again trash the public for failing to approve of his strong-arm plan to bailout his buddies and to screw the people. 'Politics must be kept out of this' has been the constant refrain from the bunch of pretenders who appointed themselves to fix this problem. But "Politics" is not about democrats and republicans it's about what people think, and it's about anything that will directly impact the real and long-term futures or millions of ordinary people. What these criminals fail to understand is that: "The act of breathing is political!"
- Overlooked in the dictator's tirade was the fact that the negotiations in Washington are only between the White House, the congress and the Corporate Oligarchs that created this fiasco: Their 'conversations' and this legislation have shut-out the public; especially those that have everything to lose. Bush said again that he was trying to reach the American people and to get them to 'get them on board' as if the public could still be asleep. What is clear is that the public wants this problem solved; they simply do not believe that there is anything in this giveaway to the criminal-establishment that will change anything about their lives: except to make everything worse, for them.
- This triad of criminals that are negotiating with themselves have all underestimated the public that has been bleeding badly since Cheney-Bush stole their first election. And now that the last act of this Coup has arrived, the public has finally drawn their-own line in the sand because they have realized that unless the public is 'bailed-out' they will die! There will also be no one left to do anything to create the huge profits which the criminals are fighting over. The Bushwhacker gave himself away when he said "it doesn't matter how legislation gets done" because it does matter, greatly.
- Bush went on about how 'this 'failure' will affect job creation and the availability of credit to start new businesses and it would affect credit card rates and the savings of ordinary people' and basically that by not agreeing to this blackmail of the public by the same people that created the crisis: the public would be hurting themselves. Bush failed to remember that there are no jobs creation programs, we have no opportunities, and that the banks and their owners have been playing Russian roulette with interest rates throughout the last eight years! There are millions of people in need of intervention now, to save their homes, to avoid bankruptcy, and to be able to keep a job to be able to feed their families. None of which this Paulson-Bernanke-Bush Slush-Fund for the rich will do.
- Government's job is to provide for the needs of the country-in this instance that would involve real and immediate help to those who lost everything because the government allowed these financial goons to play fast and lose with every rule of law and commerce-it is the government sanctioned criminals that should be left to die, and not the sheep that failed to scream, back when this all began. The ordinary people that the criminals used to create this monster, ought to be assisted with their survival and not further insulted by this government's love affair with every criminal-scheme and con-artist that ever tried to buy a vote! There is nothing in this vile legislation that addresses any of the truth, of what must be done to fix the disaster that this government created from their own lust for profits and power in the short-run.
- "REP. DENNIS KUCINICH: This is a copy of the bill which will provide for a $700 billion bailout of Wall Street. It has provisions in it where it talks about helping homeowners, but when you read the fine print, you see it has language like "may" instead of "shall" and "encouraging" instead of "mandating" help for the millions of homeowners who are worried right now about whether they're going to lose their home. There's no help for them in this.
- So what we have here is a rescue plan that essentially gives all the speculators a bailout and puts the bad debts in the custody of the government. The president of the Dallas Federal Reserve Bank has said that this plan could create a fiscal chasm, says that the problem isn't tight monetary policy, it's the reckless behavior of some of these investors who have now found themselves in a position where a government bailout is going to help reward their bad behavior." (1)
- The stark reality that is never mentioned anywhere, is that what is called The government here, no longer represents the people of this country.
- So when the government says "this money will be paid back," meaning that the government will be paid back-the public knows that this means only that the criminals will profit even further and that the dying citizens will not get any of the real assistance that they must have immediately.
- For this "government" to have so clearly misread both the import and the targets of this crisis, while at the same time refusing all input from the public that will be forced to pay trillions for the bailouts of those that are their blood-enemies: This constitutes yet another major-crime against the American public. Yesterday the DOW dropped 777.68! This was the direct result of the public having informed the criminal-co-conspirators in congress that if the congress gives Bush and his co-conspirators what they say they want, then it will be their asses on the line as well as the war- criminals in public office! The badly-wounded public will take the losses rather than commit outright suicide by caving into what Bush says we all MUST do.
- There has never been a greater failure in leadership, in this country, then what this collection of criminals and felons that Bush has assembled to "represent" the government of the United States has done to the public they supposedly serve. This problem too needs an immediate answer and several possibilities are out there in the wings, just waiting to be recognized. However since none of the triad in these 'negotiations' believes that any particulars in this GIVEAWAY should be shared, with the general public, then this legislation will continue to be rejected. The money being
- stolen here belongs to the taxpayers, not to Goldman-Sachs and this theft is ostensibly being done in the public's name without offering the 'public' even any crumbs from the sumptuous table of our self- appointed owners.
- What happened yesterday Mr. Bush, while you were slouching in your chair, in disheveled disarray, was that the public finally found a way to tell you and your buddies to go straight to Hell-that is real politics in action!
- What is at stake here is who and what will be left standing after this outrage runs its course, I'm betting it will be the people themselves, and not that band of commercial-mercenaries that have claimed title to everything that all the rest of us have had to earn!
- The sheep are getting restless, just as the new crop of replacements to continue this unholy Empire are trying to run for office-the timing of this collapse was intended to instill fear and doubt-but all this has really done is to show the public what "government of, by, and for the corporations" really looks like when things get up-close and personal!
- by Jim Kirwin
Product Description from Amazon.com
Written by the author of the legendary 1992 expose of Bush the elder, this book works from a New Deal point of view. Obama is exposed as a foundation operative and agent of Wall Street finance capital, controlled by Zbigniew Brzezinski, George Soros, and Goldman Sachs. Obamas mother was an official of the Ford Foundation, the World Bank, and US AID. By all indications, Obama was identified for future political use by Brzezinski at Columbia in 1981-1983, during Obamas secret lost years. Obama has worked for the Gamaliel Foundation, the Joyce Foundation, the Woods Fund, and the Annenberg Foundation. A community organizer is a poverty pimp, a cynical opportunist who uses suffering people as a political commodity. The foundation strategy is divide and conquer, pitting blacks and against whites against Hispanics against Asians to prevent any challenge to Wall Street. Racist provocateurs like Wright and Pfleger, along with Weatherman terrorist bombers Ayers and Dohrn Obamas best friends are cast in this mold. Rezko, Auchi, and Al-Sammarae represent the cesspool of Chicago graft and corruption in which Obama cavorts. Schooled in Nietzsche and Fanon, Obama qualifies as a postmodern fascist. An Obama administration would strive for brutal economic sacrifice and austerity to finance Wall Street bailouts, and for imperialist confrontation with Russia and China.
Cowardly Fed putting Senate up for vote on bailout tomorrow just seconds after Jewish holiday ends at sunset
Call the Senators tomorrow and put your foot down on the bailout bill. Remind these morons that they are voting on generations of indebtedness for the American People and that we don't want to bailout Wall Street!
It is highly unusual for the Senate to go around the House of Representatives, but they are going to try to steal your money tomorrow after sunset during a Senate vote.
Call Congress again and ask them to hold their ground. The bailout gets no where without Congress, unless they want to flush that part of the Constitution down the toilet too.
Remind your Senator that you will not forgive their act against the American people if they vote "yes" to the bailout.
It's always best to call, snail mail, and fax as a first choice to contact Congress. If all else fails, email. And remember that the media wants you to believe America cannot survive without cheap easy credit and that the world will disappear. Listen to it with a grain of salt. This is just nature balancing itself because she needs to do so. It is more important than ever that you keep pressure on Congress. Make sure they know that you will campaign AGAINST anyone who votes for a bailout! And be sure to thank the Congressmen who are doing right by America and not putting us further into debt. --Melyssa for HFFT
WASHINGTON (CNN) -- The servers hosting the Web sites of the House of Representatives and its members have been overwhelmed with millions of e-mails in the past few days, forcing administrators to implement the "digital version of a traffic cop" to handle the overload -- for the first time ever.
"This is unprecedented," said Jeff Ventura, communications director for the House's chief administrator.
The tidal waves of e-mails and page views began over the weekend after negotiators announced Sunday that a deal had been reached on legislation to enact a $700 billion bailout of the country's financial system.
In making the announcement, legislators said the public could view the agreement at financialservices.house.gov.
"In a short period of time, lots of Web users were rushing to the digital doorway to get a copy of this thing," Ventura told CNN in a phone interview.
As millions of people tried to look at the details of the bailout plan, the House.gov system became overwhelmed and many people saw notices on their computer screens saying "this page does not appear." iReport.com: Do you support a bailout?
Ventura compared the situation to the "old days, when you listened to a radio show and the 10th caller got a toaster. Then everyone calls the same 1-800 number at the same time and all you got was a busy signal."
"This was a massive digital busy signal," he said.
As more people gained access to the page and details of the bailout proposal were published in the news media, constituents then started to e-mail their representatives, Ventura explained.
"We know it's in the millions," he said of the number of e-mails that lawmakers in the House have been receiving. "But we haven't counted yet, because when you're about to get hit by a tidal wave, you don't count the drops of water in the wave."
After the House failed to pass the proposed deal Monday by a vote of 228-205, the e-mail volume surged again, Ventura said.
"Because there were so many e-mails, it was impacting even the presentation of House.gov," he explained.
"This morning, our engineers sounded the alarms ... and we have installed a digital version of a traffic cop. We enacted stopgaps that we planned for last night. We had hoped we didn't have to."
The office of the chief administrative officer of the House of Representatives issued a statement Tuesday saying: "This measure has become temporarily necessary to ensure that congressional Web sites are not completely disabled by the millions of e-mails flowing into the system. Engineers are working diligently to accommodate this enormous traffic flow and we appreciate your patience in this matter."
Now, when House.gov or individual members' sites begin to get overloaded, a message will come up on the computer screen saying, in effect, "try back later," Ventura said.
"This really tells us that the level of constituent engagement on this issue is extremely high," he added.
He said after the failed vote Monday and the initial backlash, the House's Web site administrators thought there would be a drop in Web traffic -- especially with the Rosh Hashanah holiday.
"We monitored the situation all night long, and technicians and engineers saw that we were facing the same demand as yesterday," Ventura said.
He predicted that traffic on those Web sites "would start to subside once there's some guidance on the marketplace and political landscape about what comes next."
Ventura said the House.gov Web site experienced a very high number of hits when the 9/11 commission released its final report on the September 11, 2001, terror attacks against the United States, but nothing like what the site has seen in the past few days.
BREITBART has the clip.
"Off the record, every suspicion you have about MSM being in the tank for O is
true. We have a team of four people going thru dumpsters in Alaska and four in
Arizona. Not a single one looking into ACORN, Ayers or Freddie Mac."
Listen to it here.
Are Obama & McCain FOR the American People? Both presidential candidates back unpopular bailout plan.
Now why would both McCain and Obama be for a bailout so unpopular with Americans? They both say they listen. They both declare they have our best interests at heart.
Only Bob Barr, Chuck Baldwin and other 3rd party candidates heard you.
Do not vote for Obama or McCain. If they can't be trusted to represent you before they are elected, you can sure as hell bet they will betray you once in office.
Remember, Both John McCain and Barrack Hussein Obama believe that corporate socialism is best for you and that $700 billion is not too much to ask you to give to Wall Street millionaires.
Remember, that $1 trillion was lost in the market yesterday and $1 trillion is the number assigned to the value of bad mortgages. All this is just mother nature at work balancing out the work of social(ism) engineers and the Fed.
The (Near) Death of the State
by Llewellyn H. Rockwell, Jr.by Llewellyn H. Rockwell, Jr.
I'm fully aware that Paulson and Bernanke have some nefarious scheme in mind to reverse the thrilling defeat of their criminal bailout package, a package shot down by independent members of Congress on both sides. But reflect for a few minutes on what it means that the House did this. It was a revolutionary act in the best sense of that term.
The entire establishment was united in favor of what was surely the most horrible and outrageous bill to ever come before Congress. The Fed, the Treasury, leadership of the Democrats and Republicans, the Wall Street Journal and the New York Times, all the major think tanks, most talking heads, the wealthiest corporations, important academics – in short, the whole of the power elite – were united in favor of this awful thing that proposed the following: Americans were to be stripped of their earnings and their future to prop up failed enterprises.
Forget back-door socialism: this was right through the front door. The consequences would have been dreadful and very scary. It was to be the first of many bailouts, since of course it cannot and would not work. Bad debts can't be made good by legislation. This means that more money would be necessary, as the middle class was sucked dry by the vampire state for years to come. Deeper and deeper economic depression – a repeat of the 30s – was certain. Best to put a stop to this now.
The administration might have tried to do its wicked deeds through executive order rather than asking Congress. But there are two problems here. One is that they wouldn't be able to share the blame when the plan flops. The other is economic. The Fed and Treasury are actually very worried that they are incapable of injecting more credit into a banking structure averse to lending right now. They would rather have the congress authorize the money directly and run up the debt.
In any case, no matter how you look at it, the defeat of the bill is a victory for freedom. The defeat of the power elite is essential for liberty to thrive. For the free market to function, we need the government/corporate cabal to lose its capacity to get its way in every area of life. They need to feel fear. They need to lose security. They need to have a sense of uncertainty as to whether their every wish is our command. The House defeat of the bailout is a magnificent rebuke in that sense.
But does it mean that the economy is going to tank and we will all suffer? On the contrary, it could mean that we can begin an economic recovery from the Fed-generated bubble that should have and would have burst years ago but for artificial props by the Fed. If the stock prices of these troubled institutions can fall to where they need to be, they can be taken over, and their assets used productively and traded by the market. Once this deleveraging takes place, we will be ready for a new round of economic growth.
You have to understand how ridiculous this whole debate looks to anyone who understands the price system. Let's change the example from houses to apples to see how silly it is to suggest that falling prices can be made to rise. Let's say that the Fed created an apple hysteria that drove the price from $3 per pound to $10. Stores loaded up and even used them as collateral for expansion. Suddenly the price collapsed to $5 and finally to $2.
Now government takes notice. What can government do to deal with the problem? It can try to boost the price of apples by forcing stores to raise their prices. But what about consumers? They won't buy at $10. So the apples sit and rot. Maybe government should buy them all or force consumers to buy them. Also perhaps stores will just not buy any more at all. Government could force them to. But it can't force them to stay in business. People can always walk away. So perhaps government can just buy the stores, all in the interest of keeping the price of apples up. But it will have to buy the apple-leveraged stores at a much higher price than the market would offer, so this is a bad economic deal on the face of it.
The tangles can get ever more complicated and billions and trillions can be spent. You can put everyone in a prison camp and force people at the point of a gun to buy and sell apples at $10. But in the end, the problem is still the same: the price of apples wants to fall. Nothing government does changes that one fact. To attempt to change it is like trying to change gravity. Of course, the government’s central bank can raise all prices through inflation to the point that apples do in fact cost $10, but this is purely cosmetic. In fact, in real terms, the price of apples is still $2. It is a pointless and destructive activity to try changing this. You only cause massive damage in the attempt.
More great things happened after the bailout failed. Commodity prices including oil fell dramatically. This is a magnificent thing. Right now, consumers are not threatened by the possible failure of another paper-addicted investment-banking house. Consumers are threatened by ever-higher prices for all goods. If we are in a recession, especially if it lasts and lasts, low prices are precisely what we need to start economic recovery again.
It is not entirely clear why prices fall. It could be the worldwide economic slowdown. It could be that the markets are beginning to doubt the capacity of the Fed to actually achieve the hyperinflation that it wants, since banks have become quite risk averse. In any case, we need ever-lower prices on all things, including gas and groceries – and, yes, houses. This is the basis for economic recovery.
The failure of the bailout bill was the precondition for economic recovery. It should make believers in liberty realize that we can change history, that tyranny is not our fate, that the leviathan state can be beaten back.
Recently we have urged readers to look to books on money and banking. Now it is time to look at books like the Discourse on Voluntary Servitude by 17th century French writer Étienne de La Boétie. It was his view that the state is the least plausible institution on earth, one that would be overthrown in a day but for propaganda and ideological error. He explained all this in his book, introduced by Murray Rothbard. We just so happen to have a new edition out.
Yesterday was one of the worst days in decades for the power elite. It was one of the best for liberty.
Llewellyn H. Rockwell, Jr. [send him mail] is founder and president of the Ludwig von Mises Institute in Auburn, Alabama, editor of LewRockwell.com, and author of Speaking of Liberty.
Copyright © 2008 LewRockwell.com
Memo to the Fed...I think we'll live. The market rebounded most of what it lost and is up 485 points at the bell!
To America...aren't you glad we called their bluff and did not fork over that $700 billion?
To America's Representatives on Capitol Hill:
Are you a Congressman pondering your fate as America is hostage to financial terrorism by the Fed's mouthpieces who claim the world is going to fall apart if we don't bailout Wall Street, General Motors, AIG, and Freddie/Fannie and any other loser business they want to save with your money.
Doesn't that sound like a scam to you?
Well guess what? Help is at hand. We The People know exactly what you need to do to ensure you are re-elected. And if you are a challenger, all you need to do is get behind our plan and promote HR 2755 as the right path for America! HR 2755 is the Act To Abolish The Federal Reserve Bank over a twelve to eighteen month period.
It has occurred to America that we are being forced to "save" these companies by borrowing more money than we can possibly pay back and borrowing it with interest due. This act of financial terrorism not only woke America up but it united Americans across party lines against the real predator within our government.
We hope that Congress now realizes in the last two weeks America's sleeping majority woke up! Now it seems that the Fed's dirty secret is out. Everyone realizes that The Fed is a private banking cartel and they print money out of thin air...money that we have to pay back later with interest. Money that benefits them and never us. And if we can never pay back the money then we are nothing more than sharecroppers, locked into perpetual slavery to The Fed forever.
The Fed's dirty secret isn't secret anymore, it's just dirty.
Since Hoosiers For Fair Taxation first launched a campaign last week to get our Congressmen to cosponsor HR2755, I keep a close eye on who is blogging about it. Little did I guess last week that the Daily Kos would on board...but they ARE!
So there you have it Congress! Get behind HR 2755 and you'll get votes from Democrats, Republicans, AND Libertarians next month!
And to The People out there. Keep calling your Congressman's office. They actually like hearing from you. Be sure to thank the good ones that voted against the bailout. And tell the other Congressmen who voted to keep you and our future generations indebted to the Fed forever, that you will vigorously campaign against them. In a couple more days they will have a new bailout plan drafted. Make sure you keep calling Congress and keep the heat on!
GOOD INDIANA CONGRESSMEN
Voted to keep you free from the bondage of debt
Pence, Carson, Burton, Visclosky, Buyer, Hill
UN-ELECT THESE INDIANA CONGRESSMEN
Voted to enslave you to The Fed
Ellsworth, Donnelly, Souder
By now most Americans realize that the sub-prime meltdown was actually caused by government interference after pressure was placed on banks to provide cheap mortgages to people regardless of their ability to pay. It was either that or suffer lawsuits in the name of stopping discriminatory lending. America's most well-known community organizer, Barack Hussein Obama, has his fingerprints all over it.
Yesterday America lost about $1 trillion in the stock market. That's the same number assigned to the bad mortgages forced on banks by socialist engineers like Barack Obama and his friends.
An eleven-minute video that gives historical perspective to the current financial crisis is now available on YouTube. Entitled “Burning Down The House: What Caused Our Economic Crisis?”, it moves fast and covers a lot of historical ground. Watch it now.
U.S. Treasury spokesperson: "$700 billion is not based on any particular data point. We just wanted to choose a really large number."
"It's not based on any particular data point," a Treasury spokeswoman told Forbes.com Tuesday. "We just wanted to choose a really large number."
LA Times political columnist, Andrew Malcolm writes this morning that the bailout number was made up according to a comment buried in the above mentioned Forbes article.
Here's my take.
Ok, so we lost some wealth on paper. They say we lost wealth about the size of the Indian economy. But look around. America isn't exactly skinny. We can tighten the belt. We can persevere.
The market gained more than 200 points this morning at the time I write this. I looked up and the sky is still there. There were still people in their cars. Deals are still being made at the office today. No big deal.
Paulson, Bush, and Bernacke swore to us last weekend that the world would meltdown if we didn't do their deal. It's time to stop believing the Fed. They are a pack of filthy liars intent on raping America for their own gain.
Let's listen to Ron Paul and others who have been right and who have the best interests of The American People at heart.
I received this email from Restore The Republic today:
The death toll for the Federal Reserve has begun to ring.
The People have spoken, "NO Bailout" for the Federal
There is no time to delay, we are at a prime and opportune
moment that we must take advantage of. Join us as we
mobilize nationally to take action against the Federal
Reserve System that has destroyed our Republic. We the
People are rising up.
Join your "END THE FED" group right away!
If you desire to be an organizer for your city you must join
the End the Fed! National Leadership Group first. If you wish
to be a participant of the action in your city or closest
Federal Reserve district, please locate and join your local
End the Fed! Organizing Committee that is accepting members
To find and join your local End the Fed! Organizing Committee,
To join the End the Fed! National Leadership Group, click here:
On November 22, the end begins.
In Freedom and Truth,
Restore the Republic!
PS. Only a few segments of society will prosper during the
coming collapse, later in the day I will be sending you VERY
important information on how you will be able to survive during
these hard times. Do not miss my next email.
I called Senator Lugar's office yesterday just in case the bailout bill passed the house. Lugar's office acknowledged that they were flooded with calls from angry citizens against the bailout. I asked why the senator would vote against the wishes of the people he represented. The agent answering the phone kept saying that the Senator was going to do what he felt was best.
So there you have it. Senator Lugar doesn't represent you. He's more concerned about pleasing Pelosi, Bush, Bernacke, Paulson, and the rest of his friends that would rather screw you over than serve you.
Sounds like it is time for old Lugar to retire.
Monday, September 29, 2008
Most of the U.S. House of Representatives did the right thing. They didn't listen to Comrade Pelosi, Bush, Paulson, and Bernacke. They listened to their constituents. They voted down the bailout.
The market is going to dive. Credit is going to freeze. Things are going to look scary for a while. But we'll get through it.
Keep in mind that there are plenty of people with cold hard assets waiting to buy up stocks when they hit rock bottom. They'll buy more quickly if Congress lifts the capital gains tax. Congressman Dan Pence wants to lift the captital gains tax. We want him to do that. We also want him to co-sponsor Ron Paul's HR 2755, The Act to Abolish The Federal Reserve Bank.
CALL YOUR CONGRESSMAN NOW and ask for them to support HR 2755.
Contrary to what the mainstream media wants you to believe, not everyone is in debt up to their eyeballs or upside-down on everything they "own".
Some have plenty of cold hard assets and want to invest...they're just waiting until they get fire sale prices and I can't blame them.
Posted by M Theory at Monday, September 29, 2008
Congress needs to know that we will vote out every single Indiana Congressman and Senator that votes for the bailout. It is outrageous that our 'representatives' would vote for a bill that the obvious majority of Americans (across party lines) do not want.
Posted by Hoosiers For Fair Taxation at Monday, September 29, 2008
1999 NYT Article predicts future bailout likely for engineering lowered lending standards for non-credit worthy households
On September 16, 2008, Commrade Nancy Pelosi declared that the democrats bear no responsibility for the financial crisis. You think, Nancy? Take a look at this NYT article from September 1999. Looks like the fault for most of it can be laid right at the feet of the democrats.
We put the really damning parts in bold font.
Fannie Mae Eases Credit To Aid Mortgage Lending
By STEVEN A. HOLMES
September 30, 1999
In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.
The action, which will begin as a pilot program involving 24 banks in 15 markets -- including the New York metropolitan region -- will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring.
Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans.
''Fannie Mae has expanded home ownership for millions of families in the 1990's by reducing down payment requirements,'' said Franklin D. Raines, Fannie Mae's chairman and chief executive officer. ''Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.''
Demographic information on these borrowers is sketchy. But at least one study indicates that 18 percent of the loans in the subprime market went to black borrowers, compared to 5 per cent of loans in the conventional loan market.
In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980's.
''From the perspective of many people, including me, this is another thrift industry growing up around us,'' said Peter Wallison a resident fellow at the American Enterprise Institute. ''If they fail, the government will have to step up and bail them out the way it stepped up and bailed out the thrift industry.''
Under Fannie Mae's pilot program, consumers who qualify can secure a mortgage with an interest rate one percentage point above that of a conventional, 30-year fixed rate mortgage of less than $240,000 -- a rate that currently averages about 7.76 per cent. If the borrower makes his or her monthly payments on time for two years, the one percentage point premium is dropped.
Fannie Mae, the nation's biggest underwriter of home mortgages, does not lend money directly to consumers. Instead, it purchases loans that banks make on what is called the secondary market. By expanding the type of loans that it will buy, Fannie Mae is hoping to spur banks to make more loans to people with less-than-stellar credit ratings.
Fannie Mae officials stress that the new mortgages will be extended to all potential borrowers who can qualify for a mortgage. But they add that the move is intended in part to increase the number of minority and low income home owners who tend to have worse credit ratings than non-Hispanic whites.
Home ownership has, in fact, exploded among minorities during the economic boom of the 1990's. The number of mortgages extended to Hispanic applicants jumped by 87.2 per cent from 1993 to 1998, according to Harvard University's Joint Center for Housing Studies. During that same period the number of African Americans who got mortgages to buy a home increased by 71.9 per cent and the number of Asian Americans by 46.3 per cent.
In contrast, the number of non-Hispanic whites who received loans for homes increased by 31.2 per cent.
Despite these gains, home ownership rates for minorities continue to lag behind non-Hispanic whites, in part because blacks and Hispanics in particular tend to have on average worse credit ratings.
In July, the Department of Housing and Urban Development proposed that by the year 2001, 50 percent of Fannie Mae's and Freddie Mac's portfolio be made up of loans to low and moderate-income borrowers. Last year, 44 percent of the loans Fannie Mae purchased were from these groups.
The change in policy also comes at the same time that HUD is investigating allegations of racial discrimination in the automated underwriting systems used by Fannie Mae and Freddie Mac to determine the credit-worthiness of credit applicants.
Posted by M Theory at Monday, September 29, 2008
Sunday, September 28, 2008
• Congress Agrees On Compromise Bailout Bill
• Somber Washington Prepares for Bailout
• Deal Or No Deal: What The Bailout Means To You
• FDIC May Need Additional Funds if Banks Keep Failing
• Which Type of Money Market Account Is Right for You?
• How Does The Banking Crisis Affect You?
• Lehman Files Largest Bankruptcy in U.S. History
• Why Individual Investors Shouldn't Buy Individual Stocks
• Bear Stearns to Pay $28 Million to FTC for Abusive Lending Practices
• When Should You Sell Exchange Traded Funds?
• Has the Bear Market Hit Bottom Yet?
• How Do You Survive a Bear Market?
Posted by M Theory at Sunday, September 28, 2008
Saturday, September 27, 2008
Ron Paul Called the Housing Collapse in July, 2002. He Said That the Fannie and Freddie Would Be the Cause.
September 27, 2008
The bankruptcy of Fannie Mae and Freddie Mac caught the government by surprise. That is because the government -- meaning the experts at Treasury -- do not understand Austrian School economic theory. Ron Paul does. Here is what he said on July 16, 2002. It shows how a promise of a $2 billion line of credit resulted in the transfer of $5 trillion in mortgages, with 20% of them bad, to the government. Henry Paulson did this on his own authority on Sunday, September 7, 2008. Congress rolled over. It always does.
If the government had passed Paul's bill, it would not be in a crisis today.
Mr. Speaker, I rise to introduce the Free Housing Market Enhancement Act. This legislation restores a free market in housing by repealing special privileges for housing-related government sponsored enterprises (GSEs). These entities are the Federal National Mortgage Association (Fannie), the Federal Home Loan Mortgage Corporation (Freddie), and the National Home Loan Bank Board (HLBB). According to the Congressional Budget Office, the housing-related GSEs received $13.6 billion worth of indirect federal subsidies in fiscal year 2000 alone.
One of the major government privileges granted these GSEs is a line of credit to the United States Treasury. According to some estimates, the line of credit may be worth over $2 billion. This explicit promise by the Treasury to bail out these GSEs in times of economic difficulty helps them attract investors who are willing to settle for lower yields than they would demand in the absence of the subsidy. Thus, the line of credit distorts the allocation of capital. More importantly, the line of credit is a promise on behalf of the government to engage in a massive unconstitutional and immoral income transfer from working Americans to holders of GSE debt.
The Free Housing Market Enhancement Act also repeals the explicit grant of legal authority given to the Federal Reserve to purchase the debt of housing-related GSEs. GSEs are the only institutions besides the United States Treasury granted explicit statutory authority to monetize their debt through the Federal Reserve. This provision gives the GSEs a source of liquidity unavailable to their competitors.
Ironically, by transferring the risk of a widespread mortgage default, the government increases the likelihood of a painful crash in the housing market. This is because the special privileges of Fannie, Freddie, and HLBB have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions. As a result, capital is diverted from its most productive use into housing. This reduces the efficacy of the entire market and thus reduces the standard of living of all Americans.
However, despite the long-term damage to the economy inflicted by the government's interference in the housing market, the government's policies of diverting capital to other uses creates a short-term boom in housing. Like all artificially-created bubbles, the boom in housing prices cannot last forever. When housing prices fall, homeowners will experience difficulty as their equity is wiped out. Furthermore, the holders of the mortgage debt will also have a loss. These losses will be greater than they would have otherwise been had government policy not actively encouraged over-investment in housing.
Perhaps the Federal Reserve can stave off the day of reckoning by purchasing GSE debt and pumping liquidity into the housing market, but this cannot hold off the inevitable drop in the housing market forever. In fact, postponing the necessary but painful market corrections will only deepen the inevitable fall. The more people invested in the market, the greater the effects across the economy when the bubble bursts.
No less an authority than Federal Reserve Chairman Alan Greenspan has expressed concern that government subsidies provided to the GSEs make investors underestimate the risk of investing in Fannie Mae and Freddie Mac.
Mr. Speaker, it is time for Congress to act to remove taxpayer support from the housing GSEs before the bubble bursts and taxpayers are once again forced to bail out investors misled by foolish government interference in the market. I therefore hope my colleagues will stand up for American taxpayers and investors by cosponsoring the Free Housing Market Enhancement Act.
Congress did not pass this bill. The result is the worst economic catastrophe since the Great Depression, which Paulson now admits.
Congress and the media do not remind the voters of what Paul said would happen and why.
The taxpayers are at least a trillion dollars more in debt today than they were on September 6, 2008. This will get worse before the month is over.
The nationalization of Fannie and Freddie will make the housing market worse. Here's why: http://mises.org:80/story/3110.
Posted by M Theory at Saturday, September 27, 2008
Friday, September 26, 2008
Whenever a Great Bipartisan Consensus is announced, and a compliant media assures everyone that the wondrous actions of our wise leaders are being taken for our own good, you can know with absolute certainty that disaster is about to strike.
The events of the past week are no exception.
The bailout package that is about to be rammed down Congress’ throat is not just economically foolish. It is downright sinister. It makes a mockery of our Constitution, which our leaders should never again bother pretending is still in effect. It promises the American people a never-ending nightmare of ever-greater debt liabilities they will have to shoulder. Two weeks ago, financial analyst Jim Rogers said the bailout of Fannie Mae and Freddie Mac made America more communist than China! “This is welfare for the rich,” he said. “This is socialism for the rich. It’s bailing out the financiers, the banks, the Wall Streeters.”
That describes the current bailout package to a T. And we’re being told it’s unavoidable.
The claim that the market caused all this is so staggeringly foolish that only politicians and the media could pretend to believe it. But that has become the conventional wisdom, with the desired result that those responsible for the credit bubble and its predictable consequences - predictable, that is, to those who understand sound, Austrian economics - are being let off the hook. The Federal Reserve System is actually positioning itself as the savior, rather than the culprit, in this mess!
• The Treasury Secretary is authorized to purchase up to $700 billion in mortgage-related assets at any one time. That means $700 billion is only the very beginning of what will hit us.
• Financial institutions are “designated as financial agents of the Government.” This is the New Deal to end all New Deals.
• Then there’s this: “Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.“ Translation: the Secretary can buy up whatever junk debt he wants to, burden the American people with it, and be subject to no one in the process.
There goes your country.
Even some so-called free-market economists are calling all this “sadly necessary.” Sad, yes. Necessary? Don’t make me laugh.
Our one-party system is complicit in yet another crime against the American people. The two major party candidates for president themselves initially indicated their strong support for bailouts of this kind - another example of the big choice we’re supposedly presented with this November: yes or yes. Now, with a backlash brewing, they’re not quite sure what their views are. A sad display, really.
Although the present bailout package is almost certainly not the end of the political atrocities we’ll witness in connection with the crisis, time is short. Congress may vote as soon as tomorrow. With a Rasmussen poll finding support for the bailout at an anemic seven percent, some members of Congress are afraid to vote for it. Call them! Let them hear from you! Tell them you will never vote for anyone who supports this atrocity.
The issue boils down to this: do we care about freedom? Do we care about responsibility and accountability? Do we care that our government and media have been bought and paid for? Do we care that average Americans are about to be looted in order to subsidize the fattest of cats on Wall Street and in government? Do we care?
When the chips are down, will we stand up and fight, even if it means standing up against every stripe of fashionable opinion in politics and the media?
Times like these have a way of telling us what kind of a people we are, and what kind of country we shall be.
P.S. All week long, Scott Horton’s excellent Antiwar Radio program, which I highly recommend, will devote its first hour (12:00-1:00pm ET) to the financial crisis. Today, my former economic adviser, Peter Schiff, will be on the program. We’ll stream these programs at the Campaign for Liberty website. Listen in!
URGENT ACTION NEEDED! -- Bloggers for HR 2755, The Abolition of The Federal Reserve Bank, to fight corporate controlled media!
Right now senior Indiana Congressman Mike Pence (R) and others are at Capitol Hill standing down the Fed, Bush, Paulson, and Bernacke. Time is of the essence because Bush continues to feed the message to the media that our world will melt on Monday if they don't get their $700 billion bailout regardless of what America wants. This is not true.
Currently, Congressman Pence is calling for a suspension of the capital gains tax on investments in order to encourage the millions of Americans without debt to invest in the markets. Here is the Congressman's plan.
Please comb the internet and find other bloggers who are in support of HR 2755, The Act to Abolish the Federal Reserve Bank. Please cut and paste our plan of action across the country. The Congressman's office is receptive!
"We are helping the Indiana tax activists with HOOSIERS FOR FAIR TAXATION in Congressman Mike Pence's home state of Indiana. They have a solid verifiable track record of successes and political network that includes elected officials on the right side.
Mike Pence, a courageous Senior Congressman from Indiana, was first to stand down the Fed against the bailout. Please call and fax his Indiana Office. Tell him to hold his ground and to co-sponsor HR 2755! There is much ground support and he's getting calls from high places to co-sponsor the Act to Abolish the Federal Reserve.
Be polite, enthusiastic, and be sure to thank him for his courage!
The numbers below are for his campaign office. There will likely be staff in his office this weekend. If no answer, send a fax and leave voicemails with your name, city, state. It doesn't matter if you are not from Indiana.
REP MIKE PENCE INDIANA OFFICE
P.s. Then don't forget to call your own local Congressperson and tell them her or him to stand with Representative Mike Pence and with the American People."
Thursday, September 25, 2008
Call every Indiana Congress Representative TODAY
ABOLISH THE FED!
Representative Mike Pence (who courageously stood up first against the bailout) wisely proposes we abolish capital gains tax to encourage private investment.
Call Indiana Congressman Pence and ask him to take another courageous step to co-sponsor HR 2755
CALL U.S. CONGRESSMAN MIKE PENCE:
765-643-9503 - Indiana office
AMERICA WANTS $0.01 FOR ROCKEFELLER
(one of the creeps behind THE FED)
In response to the greatest unification of American taxpayers against The United States Government and The Fed's attempt to swindle a transfer of all American wealth to THEM, with typical American ingenuity, a movement was born:
Go there and put your worthless shit up for sale now! And remember, its worth only what you think it is.
UPDATE: Tim & Allison Maguire, Andy Horning, Lisa Kelly, Patriot Paul, Ed Angleton and other activists joined with TrueMajority.com protestors at Lugar's office late yesterday afternoon. Tim posted photos for us.
President Bush is succeeding in uniting all Americans across all party lines in probably the greatest movement in history of the People united against The United States Government. No longer are the People divided.
Progressive liberal (democrat) grassroots activist site, TrueMajority.com organized 251 NO BAILOUT protests today in 41 states. Their efforts even caused some of our most conservative activists to march arm-in-arm with the political side we usually fight against.
The TrueMajority.com website has nifty software that allows any activist in America to organize a bailout protest and publicize it on their site.
REP. MIKE PENCE ON THE BAILOUT: "To have the freedom to succeed, we must preserve the freedom to fail. "
Indiana Congressman Mike Pence calls for alternatives to be studied
before Congress approves a bailout
A CURSE WORSE THAN THE DISEASE
WHY REPRESENTATIVE MIKE PENCE OPPOSES THE BAILOUT:
Our financial markets are in turmoil and the Administration was right to call for decisive action to prevent further harm to our economy but nationalizing every bad mortgage in America is not the answer.
The Administration's request amounts to the largest corporate bailout in American history. Congress should act, but should act in a way that protects the integrity of our free market and protects the American taxpayer from more debt and higher taxes.
To have the freedom to succeed, we must preserve the freedom to fail. Any solution to our present crisis must preserve our essential economic freedom.
Congress should delay consideration of any legislation until the facts and competing solutions can be fully debated, consider alternatives to massive government spending and figure out how to pay for the solution through budget cuts and reform instead of more debt or taxes.
Congress must not hastily embrace a cure that may do more harm to our economy than the disease of bad debt
Before any bailout is enacted, Congress must set itself on an unalterable path to truly overhaul these Government Sponsored Enterprises from the top down and hold those accountable, in and out of government, who drove them, and our financial sector, to the brink of bankruptcy. Some important work is already underway, but additional reforms are needed. Even now, we read that the Treasury Department is using Fannie Mae and Freddie Mac to purchase many of these bad mortgages while it seeks the authority to purchase them all. Congress should also ensure that these GSEs can no longer pose a systemic risk to the entire economy while placing them on a brisk schedule to be fully private companies with no guarantee of taxpayer support in times of trouble. And Congress should immediately repeal the Affordable Housing Fund, which will actually siphon off capital from these under-capitalized entities, in order to fund left-wing, third party organizations.
Next, Congress must consider all available options to put our nation's economy back on its feet. There are no easy answers but there are alternatives to massive government spending.
Indexing the Capital Gains tax to inflation (which the Treasury Department can do without any help from Congress), or suspending it for one year, would release an enormous amount of capital into our economy. Passing an energy bill that lessens the price of gasoline at the pump through more domestic drilling, wind, solar, nuclear and conservation would bring relief to family budgets and create American jobs. Establishing an entitlement reform commission to develop bipartisan solutions to the crushing weight of entitlements would strengthen the American dollar.
These and other alternatives to a massive federal bailout must be fully considered and debated before Congress acts.
Finally, any new expenditure of taxpayer dollars should be paid for with fiscal discipline and reform. If Congress decides to spend nearly 1 trillion dollars on a corporate bailout, it must find budget savings to prevent that cost from being passed along to the American people.
We must address this crisis with forethought, creativity and fiscal discipline. Protecting the American taxpayer from higher debt and taxes and renewing our belief in the power of the free market must be our guide.
BAILOUT PROFITEERS: Federal Reserve to earn $42,000,000,000 a year until the securities are bought back by the U.S. Treasury.
Did that headline make sense to you? You still think there is no conspiracy to steal American wealth for generations to come?
Take a look at this explanation. Is it any wonder that President Bush got on TV last night to shove this down your throats? If Bush pulls this off, his rape of America is complete. Hat tip to the reader who posted the information earlier today.
This was forwarded to us a few minutes ago:
I just heard a news report on WXNT, saying that there’s going to be a protest against the bailout today at 4:30pm. Outside of both Lugar’s and Bayh’s Indiana offices. I don’t know much about the host group, Jobs for Justice (or something like that); but we should all try to go for two reasons: 1) to show our senators that Hoosiers don’t want a bailout and 2) if this group is against bailouts, maybe we can win a few of them over to the party of liberty by showing that WE’RE against bailouts too (I’m guessing they won’t agree with us 100%, but I’ll still take their votes if we can get them).
Lugar's office is at 1180 Market Tower, 10 West Market Street, Indianapolis, Indiana 46204
I'm told that Bayh's office is in the same building.
HOOSIERS FOR FAIR TAXATION asks you to forward this message far and wide:
President Bush, Bernacke, and Paulson are desperately frantic to ram their bailout down our throats. Their corporate controlled media is working overtime to make you think there is no other way except their proposed bailout or America is doomed. This is a lie. If the bailout is approved, America is over. Under no circumstances can the American people allow Congress to approve the bailout.
The stock market wealth is on paper. When the market crashes, there are millions of people with cold hard assets who will pounce on bargain investment and drive the market up again. America will suffer, but not nearly as long or hard as we will if Bush and the Fed have their way.
This is why we must be standing ready to mobilize and take to the streets again in protest of any additional bailouts.
Bush and the Fed drafted a plan that says :
"Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency."
These are the words of criminals who care nothing of your future or your children. These are the words of men who would see you and your children work for decades enslaved to debt so big it likely cannot ever be repaid. These men are now proven they cannot be trusted to oversee America's currency or her wealth.
The bailout is attempt by very corrupt and powerful men to orchestrate a massive transfer of America's wealth to the Fed, a private banking consortium.
Last week, one of Indiana's congressmen boldly took one of the first steps to lead America from slavery to the Fed's bailout. His name is Mike Pence.
Here's what Mike Pence has to say about Bush and the Fed:
"There are those in the public debate who say we must act now," said Indiana Republican Mike Pence. "The last time I heard that, I was on a used car lot. The truth is every time somebody tells you that you have to do the deal right now, it usually means they are going to get the better part of the deal. The American people deserve a seat at the table in this debate as well."
This week millions of angry calls began pouring in to every Congressperson's office demanding that Congress stand against Bush, The Fed, and the bailout.
Hoosiers For Fair Taxation sees a huge opportunity for America to break the chains of slavery to the Federal Reserve consortium of bankers because of the nearly universal outrage and anger being expressed right now by Americans.
Until recently, most Americans did not understand that the Federal Reserve was a private banking cartel. Because of recent events, citizens have learned the truth of what the Fed is. The dirty secret of the Fed is no longer a secret. It is just dirty.
CALL CONGRESS NOW. Tell your representative that the people are prepared to take to the streets unless Congress stands down Bush and the Fed. Tell them that you will back a movement to remove all power of the Federal Reserve in America. Tell them you want the power to mint currency to be given only to the U.S. Treasury and that America will fund the Treasury through private tax free investment.
Then tell your neighbors we must all stand together UNITED and help each other through this crisis. We may have to take in neighbors who lose their homes or give meals to strangers. However, America as always will stand strong through this crisis and there is absolutely no way this band of banking thugs will deceive us into selling our souls to their very wicked machine.
In the meantime, prepare to take the streets should Congress move toward a bailout deal with the Fed. This is their endgame and we cannot allow it to happen.
Wednesday, September 24, 2008
41 minute video on how The Federal Reserve works.
Posted by M Theory at Wednesday, September 24, 2008
Activist Social Networking Tonight: Cocktails & Conversation and the popular Libertarian Meet Up Group
Abdul's 4th Anniversary celebration. If it wasn't for Abdul, I wouldn't be an activist. It was because of Abdul's reporting, that I knew what was going on and knew what to do to mobilize the property tax protests in 2007.
Please join Newstalk 1430 and Abdul for Cocktails & Conversation Wednesday, September 24th, from 5PM until 8PM at the Stone Creek Dining Company located just north of 106th Street on Michigan Road in Zionsville. Our libertarian friend and Abdul's sidekick, Chris Spangle, will also be there.
The Libertarian Meetup hosted by John Meuser starts at 8pm at Borders Bookstore at Keystone-at-the-Crossing. This week 18 liberty minded activists RSVP'd to attend on their Meetup.com page. That's about 17 more than sign up to go to Obama's meetup group.
Posted by M Theory at Wednesday, September 24, 2008
Tuesday, September 23, 2008
THE FED'S FILTHY BAILOUT PLAN: A non-reviewable act exempt from oversight of the courts or any administrative agency!
A critical - and radical - component of the bailout package proposed by the Bush administration has thus far failed to garner the serious attention of anyone in the press. Section 8 (which ironically reminds one of the popular name of the portion of the 1937 Housing Act that paved the way for subsidized affordable housing ) of this legislation is just a single sentence of thirty-two words, but it represents a significant consolidation of power and an abdication of oversight authority that's so flat-out astounding that it ought to set one's hair on fire. It reads, in its entirety:
"Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency."
Read the rest of the chilling analysis at the Huffington Post.
Opening Statement of Senator Jim Bunning during the Banking, Housing, and Urban Affairs Committee Hearing on Turmoil in the U.S. Credit Markets on Tuesday, September 23, 2008:
"So much has happened since we last had these witnesses before our Committee that we could probably hold hearings for a week and still have more to talk about. It is hard to even know where to begin.
Most pressing is the $700 billion Treasury proposal that is being negotiated with the Chairman of the House Financial Services Committee.The Paulson proposal is an attempt to do what we so often do in Washington – throw money at a problem.
We cannot make bad mortgages go away. We cannot make the losses that our financial institutions are facing go away. Someone must take those losses. We can either let the people who made bad decisions bear the consequences of their actions, or we can spread that pain to others. And that is exactly what the Secretary proposes to do – take Wall Street’s pain and spread it to the taxpayers. The plan has not even passed, and already Americans are paying for it because of the fall in the dollar as a result of all the new debt we will be taking on.
I know there are problems in the financial markets, and I share a lot of the same concerns that our witnesses do. However, the Paulson plan will not fix those problems. The Paulson plan will not help struggling homeowners pay their mortgages. The Paulson plan will not bring a stop to the slide in home prices. But the Paulson plan will spend 700 billion taxpayer dollars to prop up and clean up the balance sheets of Wall Street. This massive bailout is not the solution, it is financial socialism, and it is un-American."
Ed Coleman City Councilor At-Large
On Monday, our city council approved a balanced budget with promise of staying in the black.
Tax activists worked constantly and very hard last summer to clean house in city hall. We knew we were in real trouble when we caught wind that Peterson was borrowing the day-to-day operating expenses from the bond bank and there were mysterious blank pages and unexplained holes in his budget.
And as I will say over and over until everyone in Indiana knows it, the bond bank uses our homes as collateral and the bond indebtedness caused our property taxes in Marion county to skyrocket.
It was truly frightening to attend Peterson's July 2007 COIT city council meeting and watch as the city's bean counter attempted to snow the People and presented a bogus plan to justify the 65% county tax increase he desperately needed to cram through our wallets. I can smell fear and Peterson was panicked to get that COIT approved, no matter what the cost.
Bart Peterson's "plan" was half-baked spin promising the money would fund 100 more law enforcement officers. He was careful not to put it writing. I like to say there are two kinds of lawyers, those that get into law because they love defending the Constitution and those that desire to get around it. I'll let you surmise which brand of lawyer Peterson is.
Peterson used public safety to cram that COIT down our throats knowing full well the city was operating in mountains of red ink. He needed the money to make the payments on his lavish political spending and the corporate real estate deals that exempted millionaires from paying property tax while saddling us with the deficits. It's not fair that some pundits try to blame Mayor Ballard for not having money for those promised police officers.
At the COIT presentation, I was fortunate enough to be seated next to an economist and businessman who whispered to me that nothing about the numbers in the mind numbing two hour presentation meant anything. In other words, Mayor Peterson figured he could pull another snow job on ordinary citizens with layman's knowledge of math, municipal budgets, and accounting.
2008 City Council Passes Budget with Spending Cuts
Christine Scales and Ed Coleman deserve extra credit for getting the budget passed. They earned our kudos and thanks because they broke from the herd to go the direction of a practical conservative fiscal policy on sheer faith that their sensible spark would catch fire. They stood up against Hamilton county resident and Gracie Communications Lisa Sirkin's attempt unduly alarm arts supporters in our county to influence our local budget via her local social media network.
Ed Colemann stood up for spending cuts, not only with his vote but for this statement he made to the council and the citizens they serve. We are privileged to publish it. Thank you Ed for honoring us.
September 22, 2008
Thank you Mr. President.
As with all of you, I wish I could have been in support of all portions of the Mayor's budget this evening. Specifically I have grave concerns about the City's arts funding programs. Specifically put, I believe that any government whether federal, state, or local should take care of the basic needs of our citizens before using tax dollars to fund non-essential services. In a time when the costs of public safety, road infrastructure, and fuel are skyrocketing, we must put priorities first. I believe that taxpayers are wise, and those that value arts programs will indeed support them, but do so privately. In those tough budget times, I would have rather seen the money given to the arts spent on our decaying roads or hiring more full-time police and firefighters.
While I do not support the arts funding as proposed, I do believe that the Mayor's budget, as a whole, has made too many positive steps for me to have voted no. The budget, for the first time in years, actually includes the true spending costs of government, fully funds our obligations, eliminates structural deficits, and will save money in the long term. Because of this budget, future councils will not be forced to choose between increasing taxes to fund basic services because our city chose to continuously and unwisely roll over debt. Instead, we will be able to devote our funds to services, not debt payments.
My vote is in favor of fiscal responsibility: an open and transparent budget that is balanced. This budget is the first in many years to begin the long process of returning our city to long-term financial health. This is not a vote for public funding of the arts. Next year, the Council will deliberate on the appropriation of city funds reserved in this budget for the arts, and I will, along with my fellow councilors, have the opportunity to vote with my conscience and against public dollars going to the arts. That is why, despite my reservations on smaller programs like the arts, I feel this budget must be supported, and I applaud my colleagues who supported it as well.
Monday, September 22, 2008
This is Andy Horning's letter published in the Indy Star:
Politicians tend to lie. Citizens tend to believe. The tragic, interminable history of what happens when governments go bad and citizens go silly is reason enough for a healthy condition of mistrust. Governments are, at best, protection rackets. They always extort some opportunity and wealth from citizens even when properly restrained to protect our rights, property and life from others who'd take them away. Government is a suppressive force, not a creative one. So I'm sorry if this is news to you, but the political promise of "job creation" is hogwash.
A hundred years ago, there were no government "services" as we know them today, and government was leashed to solely a constitutionally limited, protective role. Americans became the richest, freest and most secure people of all time because people naturally want to do well for themselves, and they were allowed to do just that.
The genius of the founders was unequivocally proven. Freedom works better than anything else ever tried. That's why it's the law (see it in black and white at http://www.horningforgovernor.com/; it's my platform).
But Americans fell for a "New Deal," slowly devolving back to our brutish default of rulers versus ruled. Government isn't about protecting you anymore. It's about robbing Peter to pay Paul; with every election cycle merely an exercise to determine who's Peter, and who gets to be Paul. We've fallen so far toward this pre-Hammurabi authoritarianism that even the word "privatize" means the concentration of profits into the ruling class, while spreading their losses to you. Now, if you make fat campaign donations and hire a lobbyist, you can live well on other people's labor.
This hurts Hoosiers more than most Americans. Hoosiers once made 106 percent of the nation's average salary, but we've lost nearly 20 percent of that average in the past three decades. Just in the past four years alone we've lost 72 electronics companies with more than 11,000 high-paying jobs, not to foreigners, but mostly to other Rust Belt states. These jobs have been only partly replaced by much lower-wage service industry jobs fueled by our political fixations on foreign corporations, sports and gambling.
So I'm running for the constitutional office of Indiana governor because freedom is still the law. I would govern government, not you. I think it's about time.
Prohibitions against firing bad workers increase resistance to hiring. Such prohibitions are illegal, so I'd remove them and let the hiring begin.
Hiring illegal immigrants is attractive because doing so evades the mandatory costs of taxation, regulation, insurance, pensions and of course litigation. I'd remove these illegal impediments to hiring Hoosiers, and bid illegal immigrants, ¡adios!
Because there are no impediments to buying foreign products made without our handicaps of taxation, regulation and litigation, we are competing against the world blindfolded with both hands tied behind our back. I'd remove these illegal impediments too, and let prosperity happen.
I would massively cut taxation, regulation and litigation for everybody, not just for the elite. Not only would businesses do better in Indiana, but so would the people that work for businesses. Small businesses would no longer be at a disadvantage to the politically connected corporate giants. No more political class versus peons. No more losing a home to property tax. Everybody, including politicians, would be equal under the law.
Hoosiers would thrive because they could, and because they want to, and because nobody would stop them anymore.
Posted by M Theory at Monday, September 22, 2008
I am so happy to tell you all of Senator Brent Waltz from District 36. I met him recently at the State House and after I heard him address the fiscal tax policy folks a couple weeks ago, I spoke to him to thank him for his presentation and to let him know I am thrilled by his conviction and passion for service. We've talked by phone since then and he accepted my invitation to make a You Tube presentation of his property tax repeal plan.
He might be young but he AUTHORED SJ8, a revolutionary property tax repeal plan. He also gives away his entire taxpayer funded pension to charity, and while he has served since 2004, he has not been sucked in by power or ego to become one of the "elites". He truly is our representative and a devoted conservative. He plans to re-introduce property tax elimination in the 2009 session.
He actually said to me that he "serves at my pleasure". And he MEANT it! I admit those words cause me to be bit giddy...and I never get giddy around politicians...well except for Andy Horning. Maybe its because most politicians serve themselves first and we are almost always an inconvenient after thought.
Senator Waltz has the COURAGE to go against the entrenched insider game for us. He opposed raising sales tax outside of Marion county to fund that stadium even though it was unpopular. He also is opposed to that proposed stadium bailout to fund the missing operating budget that Peterson, Fred Glass and the C.I.B did not negotiate for in the deal with Ir$ay.
Senator Waltz is working very hard for property tax repeal and together, with Senator Mike Young, put together a viable plan to eliminate property tax for homeowners AND lower the sales tax! Does that have you curious how they can do it? Well stay tuned, because we're planning to make a You Tube presentation of the plan with the Senators.
Senate candidate Steve Keltner told me that cannot wait to get elected to start working with him! Keltner also told me that he is anxious to work with Senators Delph and Young too! Can you imagine a pack of practical, people-first Senator Statesmen working together on our behalf in the next general assembly? Keltner will work seamlessly with these guys.
Senator Waltz wants the constitution and the rule of law. And he loves open and accountable government. He's the kind of guy that KEEPS HIS PROMISES and owns his words by his actions. He has the heart of a public servant and loves Indiana and America.
Today, HFFT officially endorses Senator Brent Waltz for re-election. You owe it to yourself and to Indiana to read his simple and sincere website and get familiar with his positions. Call or write him with questions. Or if you would rather, just post your question here and I'll get it right over to him and publish his answer on this blog.
Senator Waltz is the right public servant who deserves your vote if live in District 36!
He even posts his cell phone on his website! Go figure! Go vote for him!
--Melyssa for HFFT
Posted by M Theory at Monday, September 22, 2008