Posted on 04/04/2009 6:35:53 AM PDT by TigerLikesRooster
Where's My Pitchfork?
President Obama was said to have recently had a meeting in which he said:
But President Barack Obama wasn’t in a mood to hear them out. He stopped the conversation, and offered a blunt reminder of the public’s reaction to such explanations. “Be careful how you make those statements, gentlemen. The public isn’t buying that.”
“My administration,” the president added, “is the only thing between you and the pitchforks.”
Yes, Mr. President, you are. But let's be blunt - should your administration be exempt from the pitchforks?
Let's set the wayback machine to December 29th, 2007. On that date I wrote:
If the CDS writer has charged you an amount of money necessary to actually cover the risk of a default, plus their profit, the total amount of money available off that 200 basis points decreases. That is, the total profit available in the deal must decrease for each component that is added to the complexity of the transaction and for each person who has some “finger in the pie.”
The common law of business balance prohibits it from being otherwise in fact, no matter what you are told.
....
Because the person who writes that swap at a lower-than-actual-risk premium has effectively "created" money. They have made a promise to pay they cannot keep at the actual price of risk; in effect, they have "grown" the monetary base via cheating!
Go back and read that entire article again. It has now "aged" by more than a year.
(Excerpt) Read more at market-ticker.denninger.net ...
Ping!
This could be interpreted that 'if you don't deal with ME, I'll release the hounds of ACORN (or other thugs) who have the pitchforks and torches - and I trained ACORN how to use them'.
Seriously: has any public figure in history had less reason to be as full of themself as this guy is?
Can anyone imagine the media feeding frenzy that this should kick off? Just think Bush to get the ideas flowing.
Moreover, it is the government that is overwhelmingly responsible for the mortgage crisis and largely even the bank failures with their “forced” high risk loans to people who really didn't deserve them. Now the government is offering bailouts, “forcing” banks to take TARP monies etc etc etc. Who will they blame next for their failure? Who will they call in next for their little dog and pony shows when they have Congressional Hearings trying to blame everyone under the sun?
They are not productive member of free economy. They feel right at home fascist oligarchs. Don't let them hide behind free market facade. No reason to come to their defense. My enemy's enemy is not necessarily my friend.
Bullshit. The forced loans can only account for a fraction of the balloon that the Wall Street guys created with their popcorn fart financial “instruments”.
http://www.viralvideochart.com/youtube/san_antonio_tea_party?id=jXGrQ9uiLSo
http://www.theythinkyouarestupid.com/index.shtml
Is it me or is this the worst writing yet? I can’t make sense out of this post
The guy constantly displays a mental-illness level of arrogance.
Sadly, he’s very confused. The White House (Bastille?) door is the only thing between Hussein and the pitchforks.
Does he truly believe the tripe he’s dishing out?
Try keeping your eye on the money. As the post says: the total profit available in the deal must decrease for each component that is added to the complexity of the transaction and for each person who has some “finger in the pie.” IOW if Wall Street is making more money recycling financial transactions, then necessarily other people must be making less money.
How do they get their fingers in your pocket? They create money to dilute all the other money and then collect interest on it. ... the person who writes that swap at a lower-than-actual-risk premium has effectively "created" money. They have made a promise to pay they cannot keep at the actual price of risk; in effect, they have "grown" the monetary base via cheating!
The essential fact is that Wall Street has figured out a very profitable way to pick your pocket. To do so, they took a lot of risk that cannot be repaid. Now they want you to repay it while they argue with Obama that this is a complex game and they need to pay people - themselves - a lot of money to keep managing the casino. Well we don't care whether they can get the best folks to do it or whether they work 90 hours a week doing it. We want the business shut down.
That is what is galling. We don't want anyone in this business whether they are worth $50K or $50M. Shut the thing down.
The full article is great by the way. It shows that a little simple common sense math can show you exactly how wayward and fraudulent the entire financial house of cards was.
It all started and was largely driven by a mortgage crisis that is largely due BECAUSE of loans that should have never been given at interest rates not remotely feasible.
Fannie Mae and Freddie Mac are not private businesses created by greedy evil corporate bosses flying on jets. The Community Reinvestment Act of 1977 isn’t something banks were in favor of. Banks didn’t appreciate it when they had the weight of the government bearing down on them in the early 90s forcing them to give out high risk loans at interest rates below what is realistic. Like a dam with millions of tons of water behind it, this problem built up over years. Like a dam, once there is some major crack and something gives way, it all starts crumbling down. In the US, this crack was an economic slowdown.
Like a credit card, risk is built into the interest rates, and the credit cards are highly profitable despite many people going default. What happened in the US was that you had a government for “years” forcing risky loans and not allowing the real risk to be built into the interest rates charged. Credit Cards are still profitable despite a market downturn, despite some people declaring bankruptcy……
The real structural problems that largely led to the crisis have hardly been addressed. The government is simply trying to plug holes by stuffing money into them. In the meantime some of the same characters that blew off all the warning signs and said all is OK are calling for inquisitions and talking about corporate jets, incomes……….
HS.
Yes, and, I gave them taxpayer money so that a 'real job' wouldn't be a hinderance for them when they're needed for a protest march.
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