Well, try to rhythm the heading to a bank, yes and its the one Buffett is in charge of indirectly now. Why do I want to rhythm it with so many possibly bad sounding things?
Well, I reached my last straw with Wachovia. Just because I tracked my transactions automatically online with a software, I get charged six bucks. I mean, dude, I need to pay to look at my own transactions? And I do not get a notification that I signed up for such a pay service? This is a complete scam. Ok, maybe not really a scam, but definitely BAD service.
I read that Freddie Mac and Fannie Mae need to ask for more government loans. 12% of mortgage owners are behind schedule. 5.4 million. Let's work some math. 12%=5.4 million, so that means there are 30 million mortgage owning families. Slice and dice, dividing some duplicates for flippers, multiply for families and more, that perhaps 100 million Americans under the contractual binding of a mortgage?
Now, to satisfy perhaps 10 million people (based off some random number pulling), we are sacrificing 300 million people's future for 10 million people. What is Pelosi thinking? More stimuli? She should resign from her seat as well as Dodd and Frank. Oh, and take Grassley with you.
What we need now is more Cuomo action. Clawbacks, charges against irresponsible, perhaps fraudulent actions. Why should the CEOs of yesterday take billions when their actions cause trillions of today's money get vaporized? How can the economy recover if there is no definitive action to correct the problems?
Despite some of the bailouts having worked to paving the recovery, I think any recovery is hampered by the genuine lack of confidence. No job creation since no money is really flowing to the commoners. No big sustained rally because there is no confidence that money can invested in a properly defined asset. No pouring of more investments since no one can be sure if the markets are just being manipulated. Simply put, no confidence whatsoever.
Inspire confidence? There is no way to inspire confidence if only rogue traders are prosecuted. Some big shots have to take the big fall. Clawbacks, maybe not complete but to the maximum possible. If someone can be punished for a wrong tax return filed years ago, why can't they clawback money?
There are retroactive punishments for most other crimes, so why not failure of leadership for businesses? Must the only way bad leaders are punished to be the day they get themselves overthrown and brought to the brink of death by revolts? A bit far fetched, but let's not say that social unrest is not present.
Anyway, it might be another rant, but I think this is good food for thought. Seriously, if confidence is the preultimate requirement that the economy needs to see job creation, revery or whatever, why is there only talk? Talk the talk, walk the walk. The Congress and House are full of talkers, now, where are the walkers?
I do want to leave with one more food for though. Gold standard or not. Dan and Mike were discussing this and I would agree with both sides of the coin. One is that Fiat money is good for financial stability but bad for economic stability. Two is that the gold standard has brought the opposite effect. Hence my proposed solution is to fluctuate between the two with a point of social stability, just like breaking from the Gold standard to pull the economy together and unplug from the standard to reorganized the numbers. What are auditors for?
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