Thursday, September 30, 2010

Obamacare working as planned.

McDonald’s Corp. has warned federal regulators that it could drop its health insurance plan for nearly 30,000 hourly restaurant workers unless regulators waive a new requirement of the U.S. health overhaul.

The move is one of the clearest indications that new rules may disrupt workers’ health plans as the law ripples through the real world.

Trade groups representing restaurants and retailers say low-wage employers might halt their coverage if the government doesn’t loosen a requirement for “mini-med” plans, which offer limited benefits to some 1.4 million Americans.

The plan was ‘single payer’ all along.

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For those of you who still have a little faith in state and local governments.

A new web site for you - suckers!

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Recession (that is over) still costing us.

This afternoon Sen. Debbie Ann Stabenow [D, MI] called for the Senate to pass, under unanimous consent, the “Americans Want to Work Act.” The bill would add a fifth tier of unemployment insurance benefits in states with unemployment rates above 7.5%. The fifth tier would give an additional 20 weeks of benefits to unemployed people who have exhausted all of their available unemployment insurance benefits and have not yet found a job. Estimates differ on how many people would quialify for a fifth tier of benefits, but it’s generally believed to be somewhere around 2 million.

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Forgotten Thailand.

In another temple, in another part of southern Thailand, another family mourns the latest victims of one of the world’s worst, but least known insurgencies.

Sa, 31, sits with her palms pressed together in prayer as the Buddhist monks chant in unison.

They are performing the nightly ceremony for her mother and father, whose pictures stand by their elaborately decorated coffins, surrounded by flowers.

Sa cremated her grandparents earlier that afternoon. All four of her family members were shot by militants, their homes burned down.

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Spending too much in the EU?

The European Commission proposed steep compulsory deposits and fines on Wednesday for euro zone countries that breach EU budget rules, as trade unions staged strikes and protests against austerity measures.

In a sign of the new “get tough” policy on fiscal deficits, euro zone sources said finance ministers of the single currency area would grill Portugal on its 2011 budget plans on Thursday and press for more radical measures to address market concerns.

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Sarko still pushing forward.

Amidst mounting street protests, France has unveiled a budget for 2011 that features 40-billion euros in spending cuts, which is designed to cut the government’s deficit.

Measures of the budget include a planned reduction of more than 30,000 government workers with no replacements; the removal of certain tax breaks worth 10-billion euros.

However, no new taxes were introduced.

“The strategy excludes any notion of a generalized tax rise, as this would penalize economic growth,” said a presidential statement.

The budget also assumed an economic growth rate of 1.5 per cent this year, 2 per cent in 2011 and by 2.5 per cent in 2012 – which many economists believe are overly optimistic.

The government is predicting the deficit will reach a record of 7.7 percent of GDP this year, 6 percent in 2011, but then hopes it to fall to the EU-mandated 3 percent level by 2013; then to 2 percent by 2014.

Hardly bold but they are only looking at a 7.7 percent of GDP. What about us?

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You would think that this would be embarrassing .. but ...

... the UN is a toothless and corrupt organization and it should be ignored.

Madagascar on Wednesday became the only country not to address this year’s U.N. General Assembly gathering, electing not to speak to avoid a dispute with other African nations over the government’s legitimacy.

The decision followed an incident a year ago when African states blocked Madagascar President Andry Rajoelina from addressing the assembly, saying his rise to power through a military coup made him illegitimate.

Madagascar’s U.N. mission circulated other missions at the weekend, saying that although Foreign Minister Hippolyte Rarison Ramaroson had come to New York he would not address the assembly to “avoid unnecessary and unproductive discussions.”

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Five years and we’re still talking.

When this originally happened I was in Edfu Egypt with my Danish wife headed out to the ruins by horse cart. There were already handmade signs hanging over the street demanding a boycott of Danish goods and retaliation on the country. ... In both English and Arabic.

It wasn’t long before everyone knew that we were a Danish/US couple.

Everyone continued to be gracious and polite.

A week later in Alexandria I realized that a Danish boycott would be impossible. Maersk ships and shipping containers lined the docks for as far as the eye could see.

Denmark’s Foreign Minister Lene Espersen hosted a meeting with ambassadors of 17 Islamic nations in a bid to avoid tensions before the fifth anniversary of publication of controversial cartoons depicting the Prophet Muhammad. A Danish newspaper first published the caricatures on September 30, 2005, sparking an outrage among Muslims worldwide.

Meanwhile, Norwegian and Danish police claimed that one of three suspects, who had been arrested in July in Norway for plotting cartoon attacks, had confessed his crime. Talking to reporters at a press conference, they said that the three might have planned to attack the Jyllands-Posten newspaper or people linked to the Prophet Muhammad cartoons.

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Interesting.

I’m not a gold buff and I own none except for some dental work but this is making me look pretty stupid.

(But you knew that.)

Dollars, euros, and yen are all just currencies you can price any asset in. Everything is cheap or expensive relative to the currency you hold.

Thus if gold is truly a world currency, then the S&P 500 index of U.S. stocks is dirt cheap when priced in it. For every ounce of gold, you can now buy more than five times the amount of stocks you could have ten years ago, as shown below.

image

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Wednesday, September 29, 2010

At three times the mass? I think not.

A team of planet hunters led by astronomers at the University of California, Santa Cruz, and the Carnegie Institution of Washington has announced the discovery of an Earth-sized planet (three times the mass of Earth) orbiting a nearby star at a distance that places it squarely in the middle of the star’s “habitable zone,” where liquid water could exist on the planet’s surface. If confirmed, this would be the most Earth-like exoplanet yet discovered and the first strong case for a potentially habitable one.

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Dems saving their backside?

Why is it when elections approach, Democrats talk less about bipartisanship and spend more time doing it?

House Democrats on Wednesday barely won a 210-209 vote to adjourn the House without extending the Bush tax cuts.

Thirty-nine House Democrats voted against adjournment after Minority Leader John Boehner (R-Ohio) urged opposition to the motion in a floor speech that said it would be irresponsible for Congress to leave without providing certainty on the tax issue. Dozens of Democrats in tough races voted against adjourning.

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Going nowhere - slowly.

Once again Democrats failed to offer a plan for rationalizing Fannie Mae and Freddie Mac after the House Financial Services Committee held another hearing Wednesday on the mortgage monsters. Chairman Barney Frank, D-Mass., explained breathlessly that because the congressional session was being cut short by seven days, the committee would not have the time to fully explore reform of the government-backed mortgage lenders. That’s a ruse. Frank has repeatedly ducked and dodged on the problems of Fannie and Freddie. The two “government-sponsored enterprises” managed to lose $400 billion and $1 trillion in the financial crisis, and taxpayers will be tapped to repair the damage. After dispensing with the GSEs, Frank’s committee spent the remainder of the day on trivial legislation—the “Inclusive Home Design Act” that mandates compliance with new “accessibility guidelines” in federally assisted housing.

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Colorado senate race.

For the first time, Republican challenger Ken Buck now captures more than 50% of the vote in his U.S. Senate bid against Democratic incumbent Michael Bennet in Colorado.

The latest Rasmussen Reports telephone survey of Likely Voters in Colorado shows Buck with 51% support, while Bennet earns 43% of the vote with leaners included. Two percent (2%) prefer some other candidate, and four percent (4%) remain undecided. (To see survey question wording, click here.)

These findings move the race from a Toss-Up to Leans GOP in the Rasmussen Reports Election 2010 Senate Balance of Power rankings. Two weeks ago, Buck held a 49% to 45% lead when leaners were part of the totals.

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But ... it was George Bush’s fault ...

First of all, what branch of our government initiates all spending bills? As I remember my high school civics it is the House of Representatives. The Democrats took control of both houses of Congress on Jan. 3, 2007, not Jan. 22, 2009. Note the date. ...

...On Jan. 3, 2007 the Dow Jones closed at 12,621.77

The gross domestic product for the previous quarter was 3.5 percent.

The unemployment rate was 4.6 percent.

George Bush’s economic policies set a record of 52 straight months of job creation! And all of this after Mr. Bush gave tax cuts to the wealthy, so maybe some of it did trickle down! The top 2 percent of the “wealthiest taxpayers” pay 78 percent of all income taxes, contribute millions to charities and foundations and are responsible for millions of our jobs.

Jan. 3, 2007, was the day that Barney Frank took over the House Financial Services Committee and Chris Dodd took over the Senate Banking Committee. The economic meltdown that happened 15 months later was in what part of the economy? Banking and financial services!

Thank Congress for taking us from 13,000 Dow, 3.5 GDP, 4.6 percent unemployment to this crisis of dumping 5-6 trillion dollars of toxic loans on the economy from Fannie Mae and Freddie Mac fiascos. George Bush asked Congress 17 times to stop Fannie and Freddie – starting in 2001, because it was financially risky for the U.S. economy – but no one was listening.

And who fought against reform of Fannie and Freddie? Obama and the Democratic Congress. In fact they coerced banks to make their sub-prime loans, so that “all Americans could be homeowners” whether they could afford the mortgage and even whether they had a job?

And who took the third highest pay-off from Fannie Mae and Freddie Mac? Obama.

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Is there a difference between a ‘backstop’ and just a ‘stop’?

Housing Finance Needs U.S. Backstop, Executives Tell Lawmakers

Congress must preserve some form of U.S. guarantee on mortgages to attract private capital to the housing-finance system and stabilize a market recovering from the credit crisis, industry executives told lawmakers.

Private capital must play a bigger role in housing finance as policy makers replace the current system, which is dependent on guarantees from government-backed Fannie Mae and Freddie Mac, the executives said today in testimony prepared for a House Financial Services Committee hearing. U.S. support will still be needed to keep loans flowing to borrowers and preserve products such as 30-year, fixed-rate mortgages, they said.

It worked so well last time.

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