HALLOWEEN & Pre-Election 2008. Has anything changed?
2008 Blog & Today: (Read then watch video)
I gave up on Halloween costumes and "trick or treating" when my 1965 12 year-old brain told me it was "childish" to hit up homeowners on Christine Ave, Simi Valley, CA. for treats in exchange for playing no "tricks." Yet that is exactly what many supposed leaders of our country and financial institutions have done to stake-holders in the Amercian dream of home ownership for decades... dressed up and played the Halloween games with our future.
How appropriate: Given the momentous "Bailout" (they like the term "Rescue") actions of the present politicos I thought I would share the Wikipedia definition of the Halloween mantra used by children. Here it is:
The "trick" part of "trick or treat" is a threat to play a trick on the "homeowner or his property" if no treat is given. Trick-or-treating is one of the main traditions of Halloween.
It isn't difficult to understand how we got into an economic mess...
"Trick on the homeowner:" Congressional Democrats and Republicans have encouraged the mortgage industry to create "entitlement" mentality to "home ownership" for nearly a generation. Documentation, and traditional qualifying requirements have been virtually suspended compared to past generations of borrowers. Mortgages; the "easy money," became "candy" or treats for "votes."
THE CANDY MAN: Both political parties are to blame; creating a sweet tooth public mentality that all people were "entitled" to home ownership regardless of classic and real ability to pay. Now we are on the verge of economic collapse. Banks sit on non-liquid assets. Banks require liquidity to run, lend, keep the engine of commerce alive. Congress created the problem, and now pat themselves on the back for fixing it? (See Sept. 27th Blog - Saving the Economy.)
New Candy Men with October Surprises? In thirty days we can choose between a war-hero seasoned Senator who claims to be a "maverick" or a freshman "community organizer" Senator who hopes we buy into an emotion filled platitude as a substitute to substance; "change we can believe in." Is this your average election year "October Surprise?" or just a coincidental convergence of justice finally catching up to theft, incompetence, and greed 30 days away from America's national election?
Not sure there are many "treats" out there, but I'm sure there are plenty of "tricks." Be careful. Be thoughtful. Judge character. Shed emotion and toss out reliance on empty "platitudes" of change. Look under the political rug for what has been swept and hidden there. These people running are experienced politicos and we may be choosing for a lesser of two evils during war and economic crisis. People who helped "create" the crisis are not going to bring "change."
Do the math. Do the homework. Your vote is required in 30 days. Obama or McCain, and other candidates will ask, "Trick or treat?"
JMP 2008
TODAY: Halloween 2009 – THE DOG SAYS IT ALL. Watch this:
Showing posts with label Financial bailout. Show all posts
Showing posts with label Financial bailout. Show all posts
Thursday, October 22, 2009
Saturday, September 27, 2008
SAVING AMERICAN ECOMONY The Right Way
BAIL OUT, RESCUE, GOVERNMENT, and COMMON SENSE
RONALD REAGAN: “Government does not solve problems; it subsidizes them.”
Bailout Definitions:
PRATT definitions of a bailout: “Tossing water out of a sinking ship without plugging the hole.”
PRATT definition of Government financial bailout: “Tossing my money into the sinking ship with a hole in it.”
WASHINGTON definition: “We allowed your ship to have a hole in it. Now we are keeping your ship from sinking by stuffing money in the leak. This is temporary. Together we can all row to shore while we decide who caused the leak. We think the money stuffing is good for the economy. Please agree with us, after all we are doing this for your own good.”
Football coaches reminded us when we wanted to give up: “No pain, no gain.” We were taught by those coaches that "performance excellence" required "practicing excellence." You can't "bailout" a game when "excellence" matters and no one can hand high performance to you. Bailouts sound mighty good when you can’t quickly assume responsibility for the the travesty of poor performance, and saving "hail Mary's" seldom come to the rescue.
Magic Wands for Fixing Ships?: Congress treats their check book privileges like a magic wand. No market responsibility, just demagoguery in hopes the market "responds." A billion here, a billion there in magic; but please no "responsibility." Wish I could wave financial "fix it wands" over the manuscripts my reviewers give "10's" to, but the market decision-makers (publishers) decide aren't quite worthy of the next 6 figure advance. If I goof in any given area of performance I don't have them to bail me out, nor do I want them to. I am “fixing” my ship in every port of call, before the next storm or dangerous tides. How? By editing my behaviors, and constant production of new value. Downturns are "my turn" to assess, fix, and course correct. This has been my constant focus for five years of writing against the currents. High quality products now appear to be gaining momentum and increased worth to buyers as a result.
Why? Struggle-inspired solutions... Patching the hole isn't the answer. Re-fitting the ship is. Perhaps the Wall Street paper manipulators should take struggle as a learning opportunity to improve future performance. Will the government let them? Ah well...who am I to lecture the financial genius dressed in degrees from Princeton, Yale, Harvard, et al, who created the mess they are eager for me to help clean up? Bet they won't have to "chip in" to save their sinking ship. Watch carefully, as they quietly row safely away from the Titantic...
"God help us all if this bailout fails.” Quote, Warren Buffet Sept. 25th 2008. One of the richest men to have ever lived on the planet owns Berkshire Hathaway, whose 'Class A' shares are valued at $143,000 per share. Yes, you read that right. What does this mean? The guy understands values. He’s smart. He’s patient. He follows the rules of investing. He buys real value and doesn’t invest in overinflated, hyped properties or worthless paper. He just personally “rescued” Goldman Sachs by buying a significant stake for 5 BILLION cash. (Seems the old axiom, “Buy when blood is running in the streets…” holds true. Buffett just made $783,000,000 in one day on that investment plus locked in guarantees on stock purchases for five years at fire-sale rates.)
Marketplace Rescue: "Mr. Buffet, excuse me? ‘God help us?’ You are suggesting we 'bailout' this disaster created by greed merchants? You’ll walk away with sweet deals either way. The market always corrects itself. You know that. Worried your $143,000 per share might take a hit? So, are you worried about us little guys too, or want us little guys to collectively offer 700 BILLION dollars to prop up financial industry big guys so that us little guys don’t feel so much pain?"
“God help 'US'?” I respect the talent of Mr. Buffett; his professional calculated risk taking. But isn't his asking us, the little guy to insure Wall Street through a taxpayer 'bailout" a mitigation for his risk? Sure, it really is about jobs and the loss of them and our income. We get the "big picture." We know it may result in tough times for the average guy...
IDEA and CONGRATULATIONS! What an opportunity. How many times does bargain-basement stock day opportunities come along in a life-time? Why don’t you put some buddies together and purchase Wall Street instead of asking us to? You guys take the risk and reward! It's a world economy. Take control and be men! Imagine what you could control...and the power! There have to be a few more billionaires milling around smelling the blood and with your combined skills, willing to take a risk.
If you lose then pull out your AARP discount card like the rest of us and tighten belts. A little painful to contemplate? You ever play football?
GOD HELP US... God will help us when we learn integrity, grit, values, and honor. I understand real bailouts. I've done it. Left school and my dreams; paid for by the US Army, to stand with struggling parents in their recession-hit business 6 days a week for four years in my prime education years. Learned alot about real economy, the marketplace, and from suffering, Mr. Buffett...
SO... Should I insure your investments for my own good? Congress and President Bush think so.
Real bailouts come from people working shoulder to shoulder with respect for each's value, through tough times, and not capitalizing on their positions of trust hurting the shareholders of a common dream. God help us, indeed, to learn and not ask for dollars from heaven to rain on the results of poor choices, or greed, power-mongering, and mis-management of resources he already gave us!
Financial Value and bureaucrats: “Value” means an increase from a subjective monetary worth to an objective point of view governed by what the market says something I produce is worth. If government sets the value, rescues my dream, the market goes away. It (the marketplace) doesn’t want to pay for a product where price is determined through bureaucrats. (Socialism)
Government “Public Servants” to the rescue: “Hey public servants… thanks for being ‘on time.’ Thanks for seeing the early warning signs of this problem and rescuing us as the ship sinks! All you wizards at “serving the people” are doing just that; “serving” us up on a ‘golden platter’ filled with financial parachutes for those who failed shareholders through fraud, deceit, and incompetence.
Punish Theft: I’m not sure I can improve on those two words. This much is true. Theft of value, real money, and trust of shareholders was a combination of greed, manufacturing bogus values, and incompetence. Will it go unpunished?
Who gets punished: Some of us little people are not stupid. We chose our common everyday lifestyles and who we are, often because we don’t want to live a life of lies, false pretense, and thievery. Seems like the guilty get “life rafts,” freeing them to sail away from the sinking ship with government help to some eternal pina colada party while we the shareholders of our government and national interest find the hole, fix the hole, and sail their ship to port.
These rantings feel really good. I encourage everyone to write to get their anger out, and if you do, share with others. If you've read this far, you and I share something in common; an understanding of what the word "value" really means.
“Thanks Coach Paris, Mears, Cratty, Mieke. ‘No pain no gain…’ You taught us average boys well. We’ll get through this.”
Finally leave it to "the Gipper" to make sense: RONALD REAGAN
“Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it. Governments tend not to solve problems, only to rearrange them.”
MORE COMING SOON... JMP www.jmpratt.com and www.powerthink.com.
RONALD REAGAN: “Government does not solve problems; it subsidizes them.”
Bailout Definitions:
PRATT definitions of a bailout: “Tossing water out of a sinking ship without plugging the hole.”
PRATT definition of Government financial bailout: “Tossing my money into the sinking ship with a hole in it.”
WASHINGTON definition: “We allowed your ship to have a hole in it. Now we are keeping your ship from sinking by stuffing money in the leak. This is temporary. Together we can all row to shore while we decide who caused the leak. We think the money stuffing is good for the economy. Please agree with us, after all we are doing this for your own good.”
Football coaches reminded us when we wanted to give up: “No pain, no gain.” We were taught by those coaches that "performance excellence" required "practicing excellence." You can't "bailout" a game when "excellence" matters and no one can hand high performance to you. Bailouts sound mighty good when you can’t quickly assume responsibility for the the travesty of poor performance, and saving "hail Mary's" seldom come to the rescue.
Magic Wands for Fixing Ships?: Congress treats their check book privileges like a magic wand. No market responsibility, just demagoguery in hopes the market "responds." A billion here, a billion there in magic; but please no "responsibility." Wish I could wave financial "fix it wands" over the manuscripts my reviewers give "10's" to, but the market decision-makers (publishers) decide aren't quite worthy of the next 6 figure advance. If I goof in any given area of performance I don't have them to bail me out, nor do I want them to. I am “fixing” my ship in every port of call, before the next storm or dangerous tides. How? By editing my behaviors, and constant production of new value. Downturns are "my turn" to assess, fix, and course correct. This has been my constant focus for five years of writing against the currents. High quality products now appear to be gaining momentum and increased worth to buyers as a result.
Why? Struggle-inspired solutions... Patching the hole isn't the answer. Re-fitting the ship is. Perhaps the Wall Street paper manipulators should take struggle as a learning opportunity to improve future performance. Will the government let them? Ah well...who am I to lecture the financial genius dressed in degrees from Princeton, Yale, Harvard, et al, who created the mess they are eager for me to help clean up? Bet they won't have to "chip in" to save their sinking ship. Watch carefully, as they quietly row safely away from the Titantic...
"God help us all if this bailout fails.” Quote, Warren Buffet Sept. 25th 2008. One of the richest men to have ever lived on the planet owns Berkshire Hathaway, whose 'Class A' shares are valued at $143,000 per share. Yes, you read that right. What does this mean? The guy understands values. He’s smart. He’s patient. He follows the rules of investing. He buys real value and doesn’t invest in overinflated, hyped properties or worthless paper. He just personally “rescued” Goldman Sachs by buying a significant stake for 5 BILLION cash. (Seems the old axiom, “Buy when blood is running in the streets…” holds true. Buffett just made $783,000,000 in one day on that investment plus locked in guarantees on stock purchases for five years at fire-sale rates.)
Marketplace Rescue: "Mr. Buffet, excuse me? ‘God help us?’ You are suggesting we 'bailout' this disaster created by greed merchants? You’ll walk away with sweet deals either way. The market always corrects itself. You know that. Worried your $143,000 per share might take a hit? So, are you worried about us little guys too, or want us little guys to collectively offer 700 BILLION dollars to prop up financial industry big guys so that us little guys don’t feel so much pain?"
“God help 'US'?” I respect the talent of Mr. Buffett; his professional calculated risk taking. But isn't his asking us, the little guy to insure Wall Street through a taxpayer 'bailout" a mitigation for his risk? Sure, it really is about jobs and the loss of them and our income. We get the "big picture." We know it may result in tough times for the average guy...
IDEA and CONGRATULATIONS! What an opportunity. How many times does bargain-basement stock day opportunities come along in a life-time? Why don’t you put some buddies together and purchase Wall Street instead of asking us to? You guys take the risk and reward! It's a world economy. Take control and be men! Imagine what you could control...and the power! There have to be a few more billionaires milling around smelling the blood and with your combined skills, willing to take a risk.
If you lose then pull out your AARP discount card like the rest of us and tighten belts. A little painful to contemplate? You ever play football?
GOD HELP US... God will help us when we learn integrity, grit, values, and honor. I understand real bailouts. I've done it. Left school and my dreams; paid for by the US Army, to stand with struggling parents in their recession-hit business 6 days a week for four years in my prime education years. Learned alot about real economy, the marketplace, and from suffering, Mr. Buffett...
SO... Should I insure your investments for my own good? Congress and President Bush think so.
Real bailouts come from people working shoulder to shoulder with respect for each's value, through tough times, and not capitalizing on their positions of trust hurting the shareholders of a common dream. God help us, indeed, to learn and not ask for dollars from heaven to rain on the results of poor choices, or greed, power-mongering, and mis-management of resources he already gave us!
Financial Value and bureaucrats: “Value” means an increase from a subjective monetary worth to an objective point of view governed by what the market says something I produce is worth. If government sets the value, rescues my dream, the market goes away. It (the marketplace) doesn’t want to pay for a product where price is determined through bureaucrats. (Socialism)
Government “Public Servants” to the rescue: “Hey public servants… thanks for being ‘on time.’ Thanks for seeing the early warning signs of this problem and rescuing us as the ship sinks! All you wizards at “serving the people” are doing just that; “serving” us up on a ‘golden platter’ filled with financial parachutes for those who failed shareholders through fraud, deceit, and incompetence.
Punish Theft: I’m not sure I can improve on those two words. This much is true. Theft of value, real money, and trust of shareholders was a combination of greed, manufacturing bogus values, and incompetence. Will it go unpunished?
Who gets punished: Some of us little people are not stupid. We chose our common everyday lifestyles and who we are, often because we don’t want to live a life of lies, false pretense, and thievery. Seems like the guilty get “life rafts,” freeing them to sail away from the sinking ship with government help to some eternal pina colada party while we the shareholders of our government and national interest find the hole, fix the hole, and sail their ship to port.
These rantings feel really good. I encourage everyone to write to get their anger out, and if you do, share with others. If you've read this far, you and I share something in common; an understanding of what the word "value" really means.
“Thanks Coach Paris, Mears, Cratty, Mieke. ‘No pain no gain…’ You taught us average boys well. We’ll get through this.”
Finally leave it to "the Gipper" to make sense: RONALD REAGAN
“Government's view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it. Governments tend not to solve problems, only to rearrange them.”
MORE COMING SOON... JMP www.jmpratt.com and www.powerthink.com.
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