What if Atlas Shrugged?

Atlas Telamon, "enduring Atlas". Zeus condemned Atlas, for he and his brother's sibling rivalry, in conjunction with the war between Titans and Olympians. The war that followed angered Zeus to the point of reprimanding Atlas to stand at the western edge of Gaia(the Earth), and hold up Ouranos(the Sky), on his shoulders due to his shenanigans.

In many more modern mythical mishaps of marketing and advertising we see Atlas carrying the weight of the world on his shoulders, rather than the stars. If it were the world on his shoulders, what if Atlas shrugged...?

This is where the idea of one of the great novels of modern literature comes from. In the book by Ayn Rand called, Atlas Shrugged, Atlas is used as a metaphor for the people who produced the most in society, and therefore "hold up the world" in a metaphorical sense.

I am continually awed by how life imitates art. John Galt is the protagonist in the book which explores the idea of the working class to withhold their ideas or contributions of their inventions, art, business leadership, scientific research, or new ideas of any kind to the rest of the world.

Today we call this protectionism. The idea is the same. Only when the working people begin to understand that they hold the power, and not the rich, they can begin to see the essence of what life holds for all. Today's ills find America discussing buying America to cure the economy. Despite the fact that the world is the economy and not simply an American economy, or European economy, or a Chinese or Japanese economy.

The metaphor of producing the most, from the book Atlas Shrugged, is the key phrase there. The elitists of Wall Street have exemplified to the world that they actually produce NOTHING. They created NO value. Everything they do can be done on a grass roots level with today's modern technology.

When the Twin Towers were felled by Saudi extremists orchestrated by the elite rich of the world through...sorry, this is another topic for another day...Our sitting President (literally sitting and reading a childrens book, albeit upside down,) came out from behind the curtain and told America to go shopping.

We have seen our society become consumed with the idea that consuming, buying, spending is the means to happiness. We have spent centuries trying to teach others around the world the same philosophy. But is this "the way".

Irrational Exuberance, was the phrase to which former Federal Reserve Board Chairman Alan Greenspan stated in a speech given at the American Enterprise Institute during the stock market boom of the 1990s. The phrase was interpreted by financial pundits as a typically cryptic warning that the market might be overvalued.

Irrational Exuberance is also the title of the best selling book by Yale economics professor, Robert Shiller, on the analysis of speculative bubbles in relation and special reference to the stock market and real estate.

We are entering into what Ayn Rand called "Obectivism". Her claims is that the proper moral purpose of one's life is the pursuit of one's own happiness or rational self-interest. This is the key phrase in today's society, rational self-interest. Today we come to grips with irrational self-interests and exuberance.

We are witnessing modern capitalism and its plagues and problems within its structure. We are seeing new paper being printed with the guarantee that it holds value, although is on a valueless based system. We are seeing that professed value become valueless overnight. We are seeing institutions fall, destroyed by their own misguided structures of governance and process. We are seeing our savings and our guarantees being thrown out and given back to those same institutions to which have failed us. We are being told to trust that they will do better this next time around.

This is a perfect moment in our history to come to terms with the fact that the system as we know it is broken, and some say does not work. Some say it is simply a matter of time and this is a sign that that time will come. Rather than bailout a failed system, we should recognize the opportunity that is in front of us. We are blessed with a moment in time to which we can change what is broken. Our society has run out of band-aids and it is time to throw out what does not work.

Perhaps it is time for Atlas to shrug. We all carry the weight of our own world on our shoulders. What if we all simply shrugged, and said, "Well, that doesn't work, let's just start over with a blank slate, but a decent outline."

We could all simply erase our debt, like the banks are doing. We could simply begin again with a new number, since the FICO score system is now failed and no longer can apply.

We have the opportunity to take pieces of what we have created over the past centuries of capitalism, merge it with some concepts of nationalism, and sister that with some principles and practices of socialism, all the while we attempt to make things equal for all as under the auspices of communism...

With so many isms out there, why do we have to stick with one?! I don't understand that...

So, like Atlas, I shrug.




This, the 260th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Obama's first Address to Congress - Full Text

Madame Speaker, Mr. Vice President, Members of Congress, and the First Lady of the United States:


I've come here tonight not only to address the distinguished men and women in this great chamber, but to speak frankly and directly to the men and women who sent us here.

I know that for many Americans watching right now, the state of our economy is a concern that rises above all others. And rightly so. If you haven't been personally affected by this recession, you probably know someone who has - a friend; a neighbor; a member of your family. You don't need to hear another list of statistics to know that our economy is in crisis, because you live it every day. It's the worry you wake up with and the source of sleepless nights. It's the job you thought you'd retire from but now have lost; the business you built your dreams upon that's now hanging by a thread; the college acceptance letter your child had to put back in the envelope. The impact of this recession is real, and it is everywhere.

But while our economy may be weakened and our confidence shaken; though we are living through difficult and uncertain times, tonight I want every American to know this:

We will rebuild, we will recover, and the United States of America will emerge stronger than before.

The weight of this crisis will not determine the destiny of this nation. The answers to our problems don't lie beyond our reach. They exist in our laboratories and universities; in our fields and our factories; in the imaginations of our entrepreneurs and the pride of the hardest-working people on Earth. Those qualities that have made America the greatest force of progress and prosperity in human history we still possess in ample measure. What is required now is for this country to pull together, confront boldly the challenges we face, and take responsibility for our future once more.

Now, if we're honest with ourselves, we'll admit that for too long, we have not always met these responsibilities - as a government or as a people. I say this not to lay blame or look backwards, but because it is only by understanding how we arrived at this moment that we'll be able to lift ourselves out of this predicament.

The fact is, our economy did not fall into decline overnight. Nor did all of our problems begin when the housing market collapsed or the stock market sank. We have known for decades that our survival depends on finding new sources of energy. Yet we import more oil today than ever before. The cost of health care eats up more and more of our savings each year, yet we keep delaying reform. Our children will compete for jobs in a global economy that too many of our schools do not prepare them for. And though all these challenges went unsolved, we still managed to spend more money and pile up more debt, both as individuals and through our government, than ever before.
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In other words, we have lived through an era where too often, short-term gains were prized over long-term prosperity; where we failed to look beyond the next payment, the next quarter, or the next election. A surplus became an excuse to transfer wealth to the wealthy instead of an opportunity to invest in our future. Regulations were gutted for the sake of a quick profit at the expense of a healthy market. People bought homes they knew they couldn't afford from banks and lenders who pushed those bad loans anyway. And all the while, critical debates and difficult decisions were put off for some other time on some other day.

Well that day of reckoning has arrived, and the time to take charge of our future is here.

Now is the time to act boldly and wisely - to not only revive this economy, but to build a new foundation for lasting prosperity. Now is the time to jumpstart job creation, re-start lending, and invest in areas like energy, health care, and education that will grow our economy, even as we make hard choices to bring our deficit down. That is what my economic agenda is designed to do, and that's what I'd like to talk to you about tonight.

It's an agenda that begins with jobs.

As soon as I took office, I asked this Congress to send me a recovery plan by President's Day that would put people back to work and put money in their pockets. Not because I believe in bigger government - I don't. Not because I'm not mindful of the massive debt we've inherited - I am. I called for action because the failure to do so would have cost more jobs and caused more hardships. In fact, a failure to act would have worsened our long-term deficit by assuring weak economic growth for years. That's why I pushed for quick action. And tonight, I am grateful that this Congress delivered, and pleased to say that the American Recovery and Reinvestment Act is now law.

Over the next two years, this plan will save or create 3.5 million jobs. More than 90% of these jobs will be in the private sector - jobs rebuilding our roads and bridges; constructing wind turbines and solar panels; laying broadband and expanding mass transit.

Because of this plan, there are teachers who can now keep their jobs and educate our kids. Health care professionals can continue caring for our sick. There are 57 police officers who are still on the streets of Minneapolis tonight because this plan prevented the layoffs their department was about to make.

Because of this plan, 95% of the working households in America will receive a tax cut - a tax cut that you will see in your paychecks beginning on April 1st.

Because of this plan, families who are struggling to pay tuition costs will receive a $2,500 tax credit for all four years of college. And Americans who have lost their jobs in this recession will be able to receive extended unemployment benefits and continued health care coverage to help them weather this storm.

I know there are some in this chamber and watching at home who are skeptical of whether this plan will work. I understand that skepticism. Here in Washington, we've all seen how quickly good intentions can turn into broken promises and wasteful spending. And with a plan of this scale comes enormous responsibility to get it right.

That is why I have asked Vice President Biden to lead a tough, unprecedented oversight effort - because nobody messes with Joe. I have told each member of my Cabinet as well as mayors and governors across the country that they will be held accountable by me and the American people for every dollar they spend. I have appointed a proven and aggressive Inspector General to ferret out any and all cases of waste and fraud. And we have created a new website called recovery.gov so that every American can find out how and where their money is being spent.

So the recovery plan we passed is the first step in getting our economy back on track. But it is just the first step. Because even if we manage this plan flawlessly, there will be no real recovery unless we clean up the credit crisis that has severely weakened our financial system.

I want to speak plainly and candidly about this issue tonight, because every American should know that it directly affects you and your family's well-being. You should also know that the money you've deposited in banks across the country is safe; your insurance is secure; and you can rely on the continued operation of our financial system. That is not the source of concern.

The concern is that if we do not re-start lending in this country, our recovery will be choked off before it even begins.

You see, the flow of credit is the lifeblood of our economy. The ability to get a loan is how you finance the purchase of everything from a home to a car to a college education; how stores stock their shelves, farms buy equipment, and businesses make payroll.

But credit has stopped flowing the way it should. Too many bad loans from the housing crisis have made their way onto the books of too many banks. With so much debt and so little confidence, these banks are now fearful of lending out any more money to households, to businesses, or to each other. When there is no lending, families can't afford to buy homes or cars. So businesses are forced to make layoffs. Our economy suffers even more, and credit dries up even further.

That is why this administration is moving swiftly and aggressively to break this destructive cycle, restore confidence, and re-start lending.

We will do so in several ways. First, we are creating a new lending fund that represents the largest effort ever to help provide auto loans, college loans, and small business loans to the consumers and entrepreneurs who keep this economy running.

Second, we have launched a housing plan that will help responsible families facing the threat of foreclosure lower their monthly payments and re-finance their mortgages. It's a plan that won't help speculators or that neighbor down the street who bought a house he could never hope to afford, but it will help millions of Americans who are struggling with declining home values - Americans who will now be able to take advantage of the lower interest rates that this plan has already helped bring about. In fact, the average family who re-finances today can save nearly $2000 per year on their mortgage.

Third, we will act with the full force of the federal government to ensure that the major banks that Americans depend on have enough confidence and enough money to lend even in more difficult times. And when we learn that a major bank has serious problems, we will hold accountable those responsible, force the necessary adjustments, provide the support to clean up their balance sheets, and assure the continuity of a strong, viable institution that can serve our people and our economy.

I understand that on any given day, Wall Street may be more comforted by an approach that gives banks bailouts with no strings attached, and that holds nobody accountable for their reckless decisions. But such an approach won't solve the problem. And our goal is to quicken the day when we re-start lending to the American people and American business and end this crisis once and for all.

I intend to hold these banks fully accountable for the assistance they receive, and this time, they will have to clearly demonstrate how taxpayer dollars result in more lending for the American taxpayer. This time, CEOs won't be able to use taxpayer money to pad their paychecks or buy fancy drapes or disappear on a private jet. Those days are over.

Still, this plan will require significant resources from the federal government - and yes, probably more than we've already set aside. But while the cost of action will be great, I can assure you that the cost of inaction will be far greater, for it could result in an economy that sputters along for not months or years, but perhaps a decade. That would be worse for our deficit, worse for business, worse for you, and worse for the next generation. And I refuse to let that happen.

I understand that when the last administration asked this Congress to provide assistance for struggling banks, Democrats and Republicans alike were infuriated by the mismanagement and results that followed. So were the American taxpayers. So was I.

So I know how unpopular it is to be seen as helping banks right now, especially when everyone is suffering in part from their bad decisions. I promise you - I get it.

But I also know that in a time of crisis, we cannot afford to govern out of anger, or yield to the politics of the moment. My job - our job - is to solve the problem. Our job is to govern with a sense of responsibility. I will not spend a single penny for the purpose of rewarding a single Wall Street executive, but I will do whatever it takes to help the small business that can't pay its workers or the family that has saved and still can't get a mortgage.

That's what this is about. It's not about helping banks - it's about helping people. Because when credit is available again, that young family can finally buy a new home. And then some company will hire workers to build it. And then those workers will have money to spend, and if they can get a loan too, maybe they'll finally buy that car, or open their own business. Investors will return to the market, and American families will see their retirement secured once more. Slowly, but surely, confidence will return, and our economy will recover.

So I ask this Congress to join me in doing whatever proves necessary. Because we cannot consign our nation to an open-ended recession. And to ensure that a crisis of this magnitude never happens again, I ask Congress to move quickly on legislation that will finally reform our outdated regulatory system. It is time to put in place tough, new common-sense rules of the road so that our financial market rewards drive and innovation, and punishes short-cuts and abuse.

The recovery plan and the financial stability plan are the immediate steps we're taking to revive our economy in the short-term. But the only way to fully restore America's economic strength is to make the long-term investments that will lead to new jobs, new industries, and a renewed ability to compete with the rest of the world. The only way this century will be another American century is if we confront at last the price of our dependence on oil and the high cost of health care; the schools that aren't preparing our children and the mountain of debt they stand to inherit. That is our responsibility.

In the next few days, I will submit a budget to Congress. So often, we have come to view these documents as simply numbers on a page or laundry lists of programs. I see this document differently. I see it as a vision for America - as a blueprint for our future.

My budget does not attempt to solve every problem or address every issue. It reflects the stark reality of what we've inherited - a trillion dollar deficit, a financial crisis, and a costly recession.

Given these realities, everyone in this chamber - Democrats and Republicans - will have to sacrifice some worthy priorities for which there are no dollars. And that includes me.

But that does not mean we can afford to ignore our long-term challenges. I reject the view that says our problems will simply take care of themselves; that says government has no role in laying the foundation for our common prosperity.

For history tells a different story. History reminds us that at every moment of economic upheaval and transformation, this nation has responded with bold action and big ideas. In the midst of civil war, we laid railroad tracks from one coast to another that spurred commerce and industry. From the turmoil of the Industrial Revolution came a system of public high schools that prepared our citizens for a new age. In the wake of war and depression, the GI Bill sent a generation to college and created the largest middle-class in history. And a twilight struggle for freedom led to a nation of highways, an American on the moon, and an explosion of technology that still shapes our world.

In each case, government didn't supplant private enterprise; it catalyzed private enterprise. It created the conditions for thousands of entrepreneurs and new businesses to adapt and to thrive.

We are a nation that has seen promise amid peril, and claimed opportunity from ordeal. Now we must be that nation again. That is why, even as it cuts back on the programs we don't need, the budget I submit will invest in the three areas that are absolutely critical to our economic future: energy, health care, and education.

It begins with energy.

We know the country that harnesses the power of clean, renewable energy will lead the 21st century. And yet, it is China that has launched the largest effort in history to make their economy energy efficient. We invented solar technology, but we've fallen behind countries like Germany and Japan in producing it. New plug-in hybrids roll off our assembly lines, but they will run on batteries made in Korea.

Well I do not accept a future where the jobs and industries of tomorrow take root beyond our borders - and I know you don't either. It is time for America to lead again.

Thanks to our recovery plan, we will double this nation's supply of renewable energy in the next three years. We have also made the largest investment in basic research funding in American history - an investment that will spur not only new discoveries in energy, but breakthroughs in medicine, science, and technology.

We will soon lay down thousands of miles of power lines that can carry new energy to cities and towns across this country. And we will put Americans to work making our homes and buildings more efficient so that we can save billions of dollars on our energy bills.

But to truly transform our economy, protect our security, and save our planet from the ravages of climate change, we need to ultimately make clean, renewable energy the profitable kind of energy. So I ask this Congress to send me legislation that places a market-based cap on carbon pollution and drives the production of more renewable energy in America. And to support that innovation, we will invest fifteen billion dollars a year to develop technologies like wind power and solar power; advanced biofuels, clean coal, and more fuel-efficient cars and trucks built right here in America.

As for our auto industry, everyone recognizes that years of bad decision-making and a global recession have pushed our automakers to the brink. We should not, and will not, protect them from their own bad practices. But we are committed to the goal of a re-tooled, re-imagined auto industry that can compete and win. Millions of jobs depend on it. Scores of communities depend on it. And I believe the nation that invented the automobile cannot walk away from it.

None of this will come without cost, nor will it be easy. But this is America. We don't do what's easy. We do what is necessary to move this country forward.

For that same reason, we must also address the crushing cost of health care.

This is a cost that now causes a bankruptcy in America every thirty seconds. By the end of the year, it could cause 1.5 million Americans to lose their homes. In the last eight years, premiums have grown four times faster than wages. And in each of these years, one million more Americans have lost their health insurance. It is one of the major reasons why small businesses close their doors and corporations ship jobs overseas. And it's one of the largest and fastest-growing parts of our budget.

Given these facts, we can no longer afford to put health care reform on hold.

Already, we have done more to advance the cause of health care reform in the last thirty days than we have in the last decade. When it was days old, this Congress passed a law to provide and protect health insurance for eleven million American children whose parents work full-time. Our recovery plan will invest in electronic health records and new technology that will reduce errors, bring down costs, ensure privacy, and save lives. It will launch a new effort to conquer a disease that has touched the life of nearly every American by seeking a cure for cancer in our time. And it makes the largest investment ever in preventive care, because that is one of the best ways to keep our people healthy and our costs under control.

This budget builds on these reforms. It includes an historic commitment to comprehensive health care reform - a down-payment on the principle that we must have quality, affordable health care for every American. It's a commitment that's paid for in part by efficiencies in our system that are long overdue. And it's a step we must take if we hope to bring down our deficit in the years to come.

Now, there will be many different opinions and ideas about how to achieve reform, and that is why I'm bringing together businesses and workers, doctors and health care providers, Democrats and Republicans to begin work on this issue next week.

I suffer no illusions that this will be an easy process. It will be hard. But I also know that nearly a century after Teddy Roosevelt first called for reform, the cost of our health care has weighed down our economy and the conscience of our nation long enough. So let there be no doubt: health care reform cannot wait, it must not wait, and it will not wait another year.

The third challenge we must address is the urgent need to expand the promise of education in America.

In a global economy where the most valuable skill you can sell is your knowledge, a good education is no longer just a pathway to opportunity - it is a pre-requisite.

Right now, three-quarters of the fastest-growing occupations require more than a high school diploma. And yet, just over half of our citizens have that level of education. We have one of the highest high school dropout rates of any industrialized nation. And half of the students who begin college never finish.

This is a prescription for economic decline, because we know the countries that out-teach us today will out-compete us tomorrow. That is why it will be the goal of this administration to ensure that every child has access to a complete and competitive education - from the day they are born to the day they begin a career.

Already, we have made an historic investment in education through the economic recovery plan. We have dramatically expanded early childhood education and will continue to improve its quality, because we know that the most formative learning comes in those first years of life. We have made college affordable for nearly seven million more students. And we have provided the resources necessary to prevent painful cuts and teacher layoffs that would set back our children's progress.

But we know that our schools don't just need more resources. They need more reform. That is why this budget creates new incentives for teacher performance; pathways for advancement, and rewards for success. We'll invest in innovative programs that are already helping schools meet high standards and close achievement gaps. And we will expand our commitment to charter schools.

It is our responsibility as lawmakers and educators to make this system work. But it is the responsibility of every citizen to participate in it. And so tonight, I ask every American to commit to at least one year or more of higher education or career training. This can be community college or a four-year school; vocational training or an apprenticeship. But whatever the training may be, every American will need to get more than a high school diploma. And dropping out of high school is no longer an option. It's not just quitting on yourself, it's quitting on your country - and this country needs and values the talents of every American. That is why we will provide the support necessary for you to complete college and meet a new goal: by 2020, America will once again have the highest proportion of college graduates in the world.

I know that the price of tuition is higher than ever, which is why if you are willing to volunteer in your neighborhood or give back to your community or serve your country, we will make sure that you can afford a higher education. And to encourage a renewed spirit of national service for this and future generations, I ask this Congress to send me the bipartisan legislation that bears the name of Senator Orrin Hatch as well as an American who has never stopped asking what he can do for his country - Senator Edward Kennedy.

These education policies will open the doors of opportunity for our children. But it is up to us to ensure they walk through them. In the end, there is no program or policy that can substitute for a mother or father who will attend those parent/teacher conferences, or help with homework after dinner, or turn off the TV, put away the video games, and read to their child. I speak to you not just as a President, but as a father when I say that responsibility for our children's education must begin at home.

There is, of course, another responsibility we have to our children. And that is the responsibility to ensure that we do not pass on to them a debt they cannot pay. With the deficit we inherited, the cost of the crisis we face, and the long-term challenges we must meet, it has never been more important to ensure that as our economy recovers, we do what it takes to bring this deficit down.

I'm proud that we passed the recovery plan free of earmarks, and I want to pass a budget next year that ensures that each dollar we spend reflects only our most important national priorities.

Yesterday, I held a fiscal summit where I pledged to cut the deficit in half by the end of my first term in office. My administration has also begun to go line by line through the federal budget in order to eliminate wasteful and ineffective programs. As you can imagine, this is a process that will take some time. But we're starting with the biggest lines. We have already identified two trillion dollars in savings over the next decade.

In this budget, we will end education programs that don't work and end direct payments to large agribusinesses that don't need them. We'll eliminate the no-bid contracts that have wasted billions in Iraq, and reform our defense budget so that we're not paying for Cold War-era weapons systems we don't use. We will root out the waste, fraud, and abuse in our Medicare program that doesn't make our seniors any healthier, and we will restore a sense of fairness and balance to our tax code by finally ending the tax breaks for corporations that ship our jobs overseas.

In order to save our children from a future of debt, we will also end the tax breaks for the wealthiest 2% of Americans. But let me perfectly clear, because I know you'll hear the same old claims that rolling back these tax breaks means a massive tax increase on the American people: if your family earns less than $250,000 a year, you will not see your taxes increased a single dime. I repeat: not one single dime. In fact, the recovery plan provides a tax cut - that's right, a tax cut - for 95% of working families. And these checks are on the way.

To preserve our long-term fiscal health, we must also address the growing costs in Medicare and Social Security. Comprehensive health care reform is the best way to strengthen Medicare for years to come. And we must also begin a conversation on how to do the same for Social Security, while creating tax-free universal savings accounts for all Americans.

Finally, because we're also suffering from a deficit of trust, I am committed to restoring a sense of honesty and accountability to our budget. That is why this budget looks ahead ten years and accounts for spending that was left out under the old rules - and for the first time, that includes the full cost of fighting in Iraq and Afghanistan. For seven years, we have been a nation at war. No longer will we hide its price.

We are now carefully reviewing our policies in both wars, and I will soon announce a way forward in Iraq that leaves Iraq to its people and responsibly ends this war.

And with our friends and allies, we will forge a new and comprehensive strategy for Afghanistan and Pakistan to defeat al Qaeda and combat extremism. Because I will not allow terrorists to plot against the American people from safe havens half a world away.

As we meet here tonight, our men and women in uniform stand watch abroad and more are readying to deploy. To each and every one of them, and to the families who bear the quiet burden of their absence, Americans are united in sending one message: we honor your service, we are inspired by your sacrifice, and you have our unyielding support. To relieve the strain on our forces, my budget increases the number of our soldiers and Marines. And to keep our sacred trust with those who serve, we will raise their pay, and give our veterans the expanded health care and benefits that they have earned.

To overcome extremism, we must also be vigilant in upholding the values our troops defend - because there is no force in the world more powerful than the example of America. That is why I have ordered the closing of the detention center at Guantanamo Bay, and will seek swift and certain justice for captured terrorists - because living our values doesn't make us weaker, it makes us safer and it makes us stronger. And that is why I can stand here tonight and say without exception or equivocation that the United States of America does not torture.

In words and deeds, we are showing the world that a new era of engagement has begun. For we know that America cannot meet the threats of this century alone, but the world cannot meet them without America. We cannot shun the negotiating table, nor ignore the foes or forces that could do us harm. We are instead called to move forward with the sense of confidence and candor that serious times demand.

To seek progress toward a secure and lasting peace between Israel and her neighbors, we have appointed an envoy to sustain our effort. To meet the challenges of the 21st century - from terrorism to nuclear proliferation; from pandemic disease to cyber threats to crushing poverty - we will strengthen old alliances, forge new ones, and use all elements of our national power.

And to respond to an economic crisis that is global in scope, we are working with the nations of the G-20 to restore confidence in our financial system, avoid the possibility of escalating protectionism, and spur demand for American goods in markets across the globe. For the world depends on us to have a strong economy, just as our economy depends on the strength of the world's.

As we stand at this crossroads of history, the eyes of all people in all nations are once again upon us - watching to see what we do with this moment; waiting for us to lead.

Those of us gathered here tonight have been called to govern in extraordinary times. It is a tremendous burden, but also a great privilege - one that has been entrusted to few generations of Americans. For in our hands lies the ability to shape our world for good or for ill.

I know that it is easy to lose sight of this truth - to become cynical and doubtful; consumed with the petty and the trivial.

But in my life, I have also learned that hope is found in unlikely places; that inspiration often comes not from those with the most power or celebrity, but from the dreams and aspirations of Americans who are anything but ordinary.

I think about Leonard Abess, the bank president from Miami who reportedly cashed out of his company, took a $60 million bonus, and gave it out to all 399 people who worked for him, plus another 72 who used to work for him. He didn't tell anyone, but when the local newspaper found out, he simply said, ''I knew some of these people since I was 7 years old. I didn't feel right getting the money myself."

I think about Greensburg, Kansas, a town that was completely destroyed by a tornado, but is being rebuilt by its residents as a global example of how clean energy can power an entire community - how it can bring jobs and businesses to a place where piles of bricks and rubble once lay. "The tragedy was terrible," said one of the men who helped them rebuild. "But the folks here know that it also provided an incredible opportunity."

And I think about Ty'Sheoma Bethea, the young girl from that school I visited in Dillon, South Carolina - a place where the ceilings leak, the paint peels off the walls, and they have to stop teaching six times a day because the train barrels by their classroom. She has been told that her school is hopeless, but the other day after class she went to the public library and typed up a letter to the people sitting in this room. She even asked her principal for the money to buy a stamp. The letter asks us for help, and says, "We are just students trying to become lawyers, doctors, congressmen like yourself and one day president, so we can make a change to not just the state of South Carolina but also the world. We are not quitters."

We are not quitters.

These words and these stories tell us something about the spirit of the people who sent us here. They tell us that even in the most trying times, amid the most difficult circumstances, there is a generosity, a resilience, a decency, and a determination that perseveres; a willingness to take responsibility for our future and for posterity.

Their resolve must be our inspiration. Their concerns must be our cause. And we must show them and all our people that we are equal to the task before us.

I know that we haven't agreed on every issue thus far, and there are surely times in the future when we will part ways. But I also know that every American who is sitting here tonight loves this country and wants it to succeed. That must be the starting point for every debate we have in the coming months, and where we return after those debates are done. That is the foundation on which the American people expect us to build common ground.

And if we do - if we come together and lift this nation from the depths of this crisis; if we put our people back to work and restart the engine of our prosperity; if we confront without fear the challenges of our time and summon that enduring spirit of an America that does not quit, then someday years from now our children can tell their children that this was the time when we performed, in the words that are carved into this very chamber, "something worthy to be remembered." Thank you, God Bless you, and may God Bless the United States of America.




This, the 259th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Obama's Home Foreclosure speech (full text)

I'm here today to talk about a crisis unlike any we've ever known - but one that you know very well here in Mesa, and throughout the Valley. In Phoenix and its surrounding suburbs, the American Dream is being tested by a home mortgage crisis that not only threatens the stability of our economy but also the stability of families and neighborhoods. It is a crisis that strikes at the heart of the middle class: the homes in which we invest our savings, build our lives, raise our families, and plant roots in our communities.


So many Americans have shared with me their personal experiences of this crisis. Many have written letters or emails or shared their stories with me at rallies and along rope lines. Their hardship and heartbreak are a reminder that while this crisis is vast, it begins just one house - and one family - at a time.

It begins with a young family - maybe in Mesa, or Glendale, or Tempe - or just as likely in suburban Las Vegas, Cleveland, or Miami. They save up. They search. They choose a home that feels like the perfect place to start a life. They secure a fixed-rate mortgage at a reasonable rate, make a down payment, and make their mortgage payments each month. They are as responsible as anyone could ask them to be.

But then they learn that acting responsibly often isn't enough to escape this crisis. Perhaps someone loses a job in the latest round of layoffs, one of more than three and a half million jobs lost since this recession began - or maybe a child gets sick, or a spouse has his or her hours cut.

In the past, if you found yourself in a situation like this, you could have sold your home and bought a smaller one with more affordable payments. Or you could have refinanced your home at a lower rate. But today, home values have fallen so sharply that even if you made a large down payment, the current value of your mortgage may still be higher than the current value of your house. So no bank will return your calls, and no sale will return your investment.
Story continues below

You can't afford to leave and you can't afford to stay. So you cut back on luxuries. Then you cut back on necessities. You spend down your savings to keep up with your payments. Then you open the retirement fund. Then you use the credit cards. And when you've gone through everything you have, and done everything you can, you have no choice but to default on your loan. And so your home joins the nearly six million others in foreclosure or at risk of foreclosure across the country, including roughly 150,000 right here in Arizona.

But the foreclosures which are uprooting families and upending lives across America are only one part of this housing crisis. For while there are millions of families who face foreclosure, there are millions more who are in no danger of losing their homes, but who have still seen their dreams endangered. They are families who see "For Sale" signs lining the streets. Who see neighbors leave, and homes standing vacant, and lawns slowly turning brown. They see their own homes - their largest single assets - plummeting in value. One study in Chicago found that a foreclosed home reduces the price of nearby homes by as much as 9 percent. Home prices in cities across the country have fallen by more than 25 percent since 2006; in Phoenix, they've fallen by 43 percent.

Even if your neighborhood hasn't been hit by foreclosures, you're likely feeling the effects of the crisis in other ways. Companies in your community that depend on the housing market - construction companies and home furnishing stores, painters and landscapers - they're cutting back and laying people off. The number of residential construction jobs has fallen by more than a quarter million since mid-2006. As businesses lose revenue and people lose income, the tax base shrinks, which means less money for schools and police and fire departments. And on top of this, the costs to a local government associated with a single foreclosure can be as high as $20,000.

The effects of this crisis have also reverberated across the financial markets. When the housing market collapsed, so did the availability of credit on which our economy depends. As that credit has dried up, it has been harder for families to find affordable loans to purchase a car or pay tuition and harder for businesses to secure the capital they need to expand and create jobs.

In the end, all of us are paying a price for this home mortgage crisis. And all of us will pay an even steeper price if we allow this crisis to deepen - a crisis which is unraveling homeownership, the middle class, and the American Dream itself. But if we act boldly and swiftly to arrest this downward spiral, every American will benefit. And that's what I want to talk about today.

The plan I'm announcing focuses on rescuing families who have played by the rules and acted responsibly: by refinancing loans for millions of families in traditional mortgages who are underwater or close to it; by modifying loans for families stuck in sub-prime mortgages they can't afford as a result of skyrocketing interest rates or personal misfortune; and by taking broader steps to keep mortgage rates low so that families can secure loans with affordable monthly payments.

At the same time, this plan must be viewed in a larger context. A lost home often begins with a lost job. Many businesses have laid off workers for a lack of revenue and available capital. Credit has become scarce as the markets have been overwhelmed by the collapse of securities backed by failing mortgages. In the end, the home mortgage crisis, the financial crisis, and this broader economic crisis are interconnected. We cannot successfully address any one of them without addressing them all.

Yesterday, in Denver, I signed into law the American Recovery and Reinvestment Act which will create or save three and a half million jobs over the next two years - including 70,000 in Arizona - doing the work America needs done. We will also work to stabilize, repair, and reform our financial system to get credit flowing again to families and businesses. And we will pursue the housing plan I am outlining today.

Through this plan, we will help between seven and nine million families restructure or refinance their mortgages so they can avoid foreclosure. And we are not just helping homeowners at risk of falling over the edge, we are preventing their neighbors from being pulled over that edge too - as defaults and foreclosures contribute to sinking home values, failing local businesses, and lost jobs.

But I also want to be very clear about what this plan will not do: It will not rescue the unscrupulous or irresponsible by throwing good taxpayer money after bad loans. It will not help speculators who took risky bets on a rising market and bought homes not to live in but to sell. It will not help dishonest lenders who acted irresponsibility, distorting the facts and dismissing the fine print at the expense of buyers who didn't know better. And it will not reward folks who bought homes they knew from the beginning they would never be able to afford. In short, this plan will not save every home.

But it will give millions of families resigned to financial ruin a chance to rebuild. It will prevent the worst consequences of this crisis from wreaking even greater havoc on the economy. And by bringing down the foreclosure rate, it will help to shore up housing prices for everyone. According to estimates by the Treasury Department, this plan could stop the slide in home prices due to neighboring foreclosures by up to $6,000 per home.

Here is how my plan works:

First, we will make it possible for an estimated four to five million currently ineligible homeowners who receive their mortgages through Fannie Mae or Freddie Mac to refinance their mortgages at lower rates.

Today, as a result of declining home values, millions of families are "underwater," which means they owe more on their mortgages than their homes are worth. These families are unable to sell their homes, and unable to refinance them. So in the event of a job loss or another emergency, their options are limited.

Right now, Fannie Mae and Freddie Mac - the institutions that guarantee home loans for millions of middle class families - are generally not permitted to guarantee refinancing for mortgages valued at more than 80 percent of the home's worth. So families who are underwater - or close to being underwater - cannot turn to these lending institutions for help.

My plan changes that by removing this restriction on Fannie and Freddie so that they can refinance mortgages they already own or guarantee. This will allow millions of families stuck with loans at a higher rate to refinance. And the estimated cost to taxpayers would be roughly zero; while Fannie and Freddie would receive less money in payments, this would be balanced out by a reduction in defaults and foreclosures.

I also want to point out that millions of other households could benefit from historically low interest rates if they refinance, though many don't know that this opportunity is available to them - an opportunity that could save families hundreds of dollars each month. And the efforts we are taking to stabilize mortgage markets will help these borrowers to secure more affordable terms, too.

Second, we will create new incentives so that lenders work with borrowers to modify the terms of sub-prime loans at risk of default and foreclosure.

Sub-prime loans - loans with high rates and complex terms that often conceal their costs - make up only 12 percent of all mortgages, but account for roughly half of all foreclosures.

Right now, when families with these mortgages seek to modify a loan to avoid this fate, they often find themselves navigating a maze of rules and regulations but rarely finding answers. Some sub-prime lenders are willing to renegotiate; many aren't. Your ability to restructure your loan depends on where you live, the company that owns or manages your loan, or even the agent who happens to answer the phone on the day you call.

My plan establishes clear guidelines for the entire mortgage industry that will encourage lenders to modify mortgages on primary residences. Any institution that wishes to receive financial assistance from the government, and to modify home mortgages, will have to do so according to these guidelines - which will be in place two weeks from today.

If lenders and homebuyers work together, and the lender agrees to offer rates that the borrower can afford, we'll make up part of the gap between what the old payments were and what the new payments will be. And under this plan, lenders who participate will be required to reduce those payments to no more than 31 percent of a borrower's income. This will enable as many as three to four million homeowners to modify the terms of their mortgages to avoid foreclosure.

So this part of the plan will require both buyers and lenders to step up and do their part. Lenders will need to lower interest rates and share in the costs of reduced monthly payments in order to prevent another wave of foreclosures. Borrowers will be required to make payments on time in return for this opportunity to reduce those payments.

I also want to be clear that there will be a cost associated with this plan. But by making these investments in foreclosure-prevention today, we will save ourselves the costs of foreclosure tomorrow - costs borne not just by families with troubled loans, but by their neighbors and communities and by our economy as a whole. Given the magnitude of these costs, it is a price well worth paying.

Third, we will take major steps to keep mortgage rates low for millions of middle class families looking to secure new mortgages.

Today, most new home loans are backed by Fannie Mae and Freddie Mac, which guarantee loans and set standards to keep mortgage rates low and to keep mortgage financing available and predictable for middle class families. This function is profoundly important, especially now as we grapple with a crisis that would only worsen if we were to allow further disruptions in our mortgage markets.

Therefore, using the funds already approved by Congress for this purpose, the Treasury Department and the Federal Reserve will continue to purchase Fannie Mae and Freddie Mac mortgage-backed securities so that there is stability and liquidity in the marketplace. Through its existing authority Treasury will provide up to $200 billion in capital to ensure that Fannie Mae and Freddie Mac can continue to stabilize markets and hold mortgage rates down.

We're also going to work with Fannie and Freddie on other strategies to bolster the mortgage markets, like working with state housing finance agencies to increase their liquidity. And as we seek to ensure that these institutions continue to perform what is a vital function on behalf of middle class families, we also need to maintain transparency and strong oversight so that they do so in responsible and effective ways.

Fourth, we will pursue a wide range of reforms designed to help families stay in their homes and avoid foreclosure.

My administration will continue to support reforming our bankruptcy rules so that we allow judges to reduce home mortgages on primary residences to their fair market value - as long as borrowers pay their debts under a court-ordered plan. That's the rule for investors who own two, three, and four homes. It should be the rule for ordinary homeowners too, as an alternative to foreclosure.

In addition, as part of the recovery plan I signed into law yesterday, we are going to award $2 billion in competitive grants to communities that are bringing together stakeholders and testing new and innovative ways to prevent foreclosures. Communities have shown a lot of initiative, taking responsibility for this crisis when many others have not. Supporting these neighborhood efforts is exactly what we should be doing.

Taken together, the provisions of this plan will help us end this crisis and preserve for millions of families their stake in the American Dream. But we must also acknowledge the limits of this plan.

Our housing crisis was born of eroding home values, but also of the erosion of our common values. It was brought about by big banks that traded in risky mortgages in return for profits that were literally too good to be true; by lenders who knowingly took advantage of homebuyers; by homebuyers who knowingly borrowed too much from lenders; by speculators who gambled on rising prices; and by leaders in our nation's capital who failed to act amidst a deepening crisis.

So solving this crisis will require more than resources - it will require all of us to take responsibility. Government must take responsibility for setting rules of the road that are fair and fairly enforced. Banks and lenders must be held accountable for ending the practices that got us into this crisis in the first place. Individuals must take responsibility for their own actions. And all of us must learn to live within our means again.

These are the values that have defined this nation. These are values that have given substance to our faith in the American Dream. And these are the values that we must restore now at this defining moment.

It will not be easy. But if we move forward with purpose and resolve - with a deepened appreciation for how fundamental the American Dream is and how fragile it can be when we fail in our collective responsibilities - then I am confident we will overcome this crisis and once again secure that dream for ourselves and for generations to come.

Thank you, God Bless you, and God bless America.




This, the 258th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Can we regulate Greed? Part One...

I believe that we are reaching the bottom of this real estate downturn. I say this due to the fact that of the news of housing starts have reached their lowest level ever since records of this have been kept beginning in 1959. We have reached the bottom, but is it the final bottom?

With Obama now looking to mend the pain of the mortgage crisis it may begin to heal the lending portion of the real estate business. With the fact that NO ONE has been able to get a mortgage at this time, despite the billions that we have given banks, they continue to NOT lend. Once people are able to borrow again they will get back to wanting to own a home, or borrow for their businesses.

The housing boom also created a huge inventory of new homes. When the lending shut down the amount of homes on the market dramatically began to increase due to no sales. With the additional foreclosure market adding to the inventory it simply added more inventory on top of inventory. This halted the new build construction industry nearly overnight.

As the construction market nearly stopped completely one of the largest industries began seeing high unemployment and reducing wages through more competition.

Usually, when new housing slows, the remodel business picks up. This didn't happen due to the fact that banks shut down most people's HELOC (Home Equity Lines of Credit) hereby nearly stopping the residential construction business overnight. As banks shut down lending, business couldn't get money either, thereby shutting down the commercial tenant improvement business as well.

I believe that Obama must get some rules to the financial industry to distribute the bailout money. We have reached a point in which the government, which is deeply entrenched in the financial industry with money at this time, must also be deeply entrenched in how it orchestrates these funds. We have reached a point of social finance, but the legislators are refusing to accept this and go there fully. Too late, my friends. The money has exchanged hands and it is now time for the rules of the game to be set. If we don't find ourselves accepting a socialistic approach to finance with full disclosure and accountability Wall Street will find new avenues to bleed the system and once again stifle the necessary growth for the country.

Greed must become regulated in order for this crisis to end.




This, the 257th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

A stimulus plan...Part One

What would happen if everyone agreed to stop paying their credit card payments. Or better yet, everyone gets a new start...

Let's take a look at this a moment. Since the government, I mean WE, have paid out billions to the banks, perhaps we could call it even. Let's start over...

This would be a great stimulus package! There are millions of people with such high credit card debt and many of it is NOT due to mishandling of their funds. Perhaps a family has gone into debt due to a job loss and loss of income and healthcare and there becomes a health issue. Due to Washington's continued failure to allow American's the same health care that Washington legislators receive has become a farce. That alone shows the disrespect and continued cultural separation that those same legislators possess all the while they use the health care system as a primary talking point for their "care and considerable efforts taken to their job while in Washington..."

Or, perhaps, someone has used their credit cards to finance a small business that they have and times have gotten bad. This is what has happened on Wall Street and they all received billions. So...

Since we have already given the banks their money, let's say we are no longer obligated to pay credit card debt and we all start over. This would give the average American a stimulus of $16,635. Since this is still less than the average that the American has given all of the banks with our future tax dollars, I say we call it a wash.

Now, what would each average citizen be able to do without the need to pay back that $16,635? Perhaps pay their mortgage?!

Also, since there is still an outstanding bailout balance of, let's say, $25,000 per citizen, to which the banks have acquired due to their own mishandling of funds, to which they are supposed to be the masters of, let's say that each citizen is able to open a savings account with that amount in it.

Okay, now, each citizen has received more than a years salary in cash and debt relief, for many people, to which they now have some in a savings account.

Then, each citizen will be given a credit card from the bank which they decided gets to hold their funds, with a limit in the amount of the $25,000 that they have in that savings account. The new rule is that the bank will not allow a borrower to borrow over that amount. This is called secured credit. The payment for this card will automatically be taken from their secured account. The borrow is unable to access the amount of money they use on their credit card so as to continually have enough to cover their debt load in their secured account. Also, there would be No more penalties!

This would be a stimulus package that would get the economy moving from the bottom up. People would be able to save, borrow against, use to purchase things all to help get things moving again. This could all be handled fairly quickly, as it seemed Washington has been able to piss away our money to Wall Street in the past six months rather quickly.

There would be less bankruptcy, a less personal debt ridden society, and a fresh start for America.

It could work...




This, the 256th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

A Valentine Poem

Something I penned for a card I made for my Valentine this year.


Can We Dance

Visions enter my thoughts at random
the stillness fades with a wild abandon
you sense my touch as you touch my senses
without a word begins the caress

The heat of your breath brings a rise
to a moment that will go by
and become a treasure of thought
and a trove of feeling
as you leave my heart reeling

Can we dance in the moonlight
Can we dance to the dawn
with the music of our feelings
to carry the night on
through seconds of yearning
through minutes and moments
through hours of loving
through years of holding

The life and love of you

(c)copyright 2009 Doug Boggs







This, the 255th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Will.i.am does it again!

Will.i.am does it again. This mover and shaker for us all has recently been awarded by the NAACP for Outstanding Male Artist, Outstanding Music Video- "Yes We Can", and Outstanding Song- "Yes We Can". He has just written an OpEd in the Huffington Post that I enjoyed and thought that I would pass it on.

I wrote back on Sept. 27th, 2008, of a poem that Will.i.am put out. It is as good today as it was then! I am also including his "Yes We Can" award winning video and song. I urge your eyes and heart to listen to its message.



He discusses today in the Huff Post that we have reached a milestone with Obama in the Oval Office, yet we all know that there is much more work to be done. With a black man in the White House have we reached the point of equality for all? There is no room to say yes!

As the NAACP is for the advancement of colored people, there are many other colors around the world that yet need help.

There is a primary color called GREEN. Whether this is the color of the inequality of money and the ills of global capitalism to the worlds poor, or whether it is the color of the moniker to save the world from global warming it means that there is much work yet to be done. If we can work toward the eradication of greed, corporatocracy, and social elitism we will find a world and its people that are filled with the colors of the rainbow. As the total global population of whites is only about 10%, it is time for the ego of the rich white man to make room for a myriad of others who's colorful minds and personalities are ready to step into creating a new world with a new vision.

Keep in mind, as some may feel their ego's rise through their racism, classism, sexism, elitism, socialism, communism, capitalism and any other isms that create the walls between us all, that white is the absence of color while black holds all colors.

Send the world a Valentine today by vowing to stop purchasing bottled water and purchase a water filter and reusable thermos!

Will.i.am has found a very effective and powerful voice through the medium of music, words, video, live performance and technology. His new video is entitled "Take Our Planet Back!" Watch this one...!






This, the 254th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Xe, a company name or an element?

I have the feeling that, in the near future, as in the next few months, we will see some large companies find their permanent demise due to this global economic pandemic. There are a myriad of companies that have gotten too big to survive on their own policies that were defined by debt acquisitions and creative financing. We have seen some huge corporations recently find themselves on the brink as they attempt to tread through this stagnant downturn only to find no more means of bridge loans or even daily commerce to begin to maintain their bottom lines.

Upon the collapse of these firms their debt is written off and they simply vanish. Or do they? Many of these same entities will re-form themselves into new corporations, perhaps with many of the same employees and executives, only find a new and fresh moniker to begin their bright, new capitalistic venture. This is part of the process of corporate America and its procedures of economic governance. There are specific and detailed rules that have helped guide capitalism. As well as, some very vague, unknown, and unaccounted policies that have helped guide that same capitalism to its breaking point.

When a company finds itself with less, like cash-less, value-less, lend-less, and profit-less it doesn't take long in order for the writing on the wall to show. These firms will simply fade into the now where corporate land of bankruptcy and dismantlement. Broken up and sold in pieces it will find new investors and venture capital with new corporate ideas and entrepreneurs.

What about when you have a profitable business, but simply a bad public perception. Much like when Tylenol was found to have poisoned pills, or OB was giving women Toxic Shock Syndrome, or the cigarette companies were found to have known they were killing millions of people, and lied about it. Due to some of the corporate actions one small company has made over the years it has ended up with a soured public face. Perhaps it was its blatant disregard for rules of law and that it was found to have killed many innocent people. Perhaps this company, with such known ties to the failed Bush Administration, have found it timely with a new name and face in the Oval Office to have a new name and face to its business.

This worldwide firm has become quite creative in its new business premise, or would that be promise, to save itself from itself. A simple name. The sound of a letter. The distinguishable rarely used letter of "Z". With only two letters in it name, that being "Xe", it is pronounced Zee.

Interestingly thought through by the face-less heads behind the corporate curtain of this new firm, Xe, as it is known in the Table of Elements, is the symbol for the gas Xenon. This Noble Gas is heavy, colorless, odorless, and only occurs in the Earth's atmosphere in trace amounts. Those amounts are known to be one part to 20 million. It is the first noble gas compound to be synthesized. Heavier Noble gases have more electron shells than lighter gases. Hence, the outermost electrons experience a shielding effect to the inner electrons.

Without fanfare, or commercial publicity to help this new venture move forward in this very difficult business cycle and global economic turn of events, the company decided to rebuild itself. This was all done in spite the fact that the business had made great profits and huge revenue over the past eight years. The company chose to protect its inner core by re-naming itself. The outer core's capacity to protect the entity itself, that inner core, was bold and to the point.

Why did this international security company feel the need to make such a profound business move? Perhaps because its largest client, the U.S. State Department, said it would not rehire the firm to protect its diplomats after its current contract with the company expires in May.

Perhaps it is best, since the State Department is choosing not to hire the firm in the future, the firm might solicit business from the State Department under a new name. Much like the strategy that when someone is laid of from their job they may decide to become their own boss as a consultant. Without venturing too far from their field, many people are hired by the same firm that let them go or to which they left, in order to keep that firms business moving forward without missing a beat. Only now it does so without the necessary overhead costs of paying the employee benefits and insurances, etc. that the company incurred with that previous employee.

This new company will continue to provide protective services for personnel in high-threat environments, but its primary business will be operating training facilities around the world. It has expanded into other businesses such as aviation support. It has built itself a fleet of 76 aircraft that it has deployed to such hotspots as West Africa and Afghanistan. The company got its start in training and continues to build up that business.

In 1993, the Grammy winning musician, artist, performer, producer, guitarist, multi-instrumentalis, and prolific writer, Prince, changed his name. Although, he couldn't think of a new name at the time, for a while, he was simply known as "the artist formerly known as Prince". He did this primarily as a means to bypass his stale contract with Columbia Records. It worked to some extent.

"Xe", who's CEO Erik Prince states, "comes via previous corporate name changes in its past." After changing its name only one year ago, it does so again with this new and more focused idea and business model.

Although, this Xe is not the first company to be synthesized, it will cover the parent brand for the two-dozen subsidiaries. Make not that none of those subsidiaries will retain the word "Blackwater" in their names.





This, the 253rd entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Phelps or Kellogg's? Who took the "High" road?

I was having a conversation with a friend yesterday regarding Michael Phelps. We came to the conclusion that he may be the greatest swimmer in the world, by winning 8 gold medals, but he might not be the smartest egg in the bunch...

Ok, first the bong was made of glass and everyone can easily see that there is NO smoke in the chamber. Based on discussions from people who have smoked the natural, god given, and illegal herb to the earth, that if he were smoking the mary jane the chamber would have been filled with smoke. In the pictures the chamber was clear.

Second, he acknowledged the fact that he was smoking this substance, despite the fact that there is no real proof of this fact, due to the clear chamber, excepting the fact that he has confessed to this act.

Therefore, he is an idiot. Didn't Bush teach anyone anything these past eight years of deniability and unaccountability? My god man! I think you may have swallowed to much chlorine water in your day.

Third, Kellogg's has dropped the golden egg. If statistics show that nearly everyone has tried marijuana then they blew their load way early on this. They had the greatest Olympic athlete as a spokesman who could sell anyone and everyone that Kellogg's is the best company and has the best products for those with the munchies.

Kellogg's could have made history with a global campaign that their "snap, crackle, and pop" products are perfect for those special moments...Something easy and good to have when you are hungry and don't know what to eat!

Instead they took a "high" road. A high road that in the coming generation will have no more drivers on it due to the nature that there will be no one left driving in the "holier than thou" lane.

Perhaps if he were to have been found to have taken some FDA approved drug from Pfizer or Merck that was found to help him win 8 gold medals the story would have some major other capitalistic result. Those companies would have gone to town on that one.

So, we are left with Phelps, who had a lot of wiggle room to use on this and did it wrong, and we have Kellogg's who wasted a global opportune moment to change advertising history.

It seems that people are more occupied with the Phelps story than with their own necessary concerns for how Kellogg's may use tainted Peanuts and Peanut oils in their products.

Phelps should be glad he is not a spokesman for Kellogg's. They make rather unhealthy, sugar filled, packaged kind of products that the entire world knows that they are mostly processed foods and not the best for you and most people eat when they are stoned. It could have given him a bad reputation to continue to be a spokesman for their products.

It should now be obvious that as Phelps has come forward with the truth it means that he won 8 Olympic Gold Medals while stoned! I mean, even our own President has admitted the act by saying to a question of did you inhale, he said, "Isn't that the point?"

Can we legalize the shit now, please!?




This, the 252nd entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Excuse me sir, do you have CHANGE?

Timothy Geithner is making drastic change in Washington...NOT...

It seems that the previous Repugnicant administration felt that unregulation, unaccounted, free and corrupt capitalism should and did prevail. Now, this new TARP(2) program being delivered is a change to...be "nearly" the same.

I guess change is defined as, not the same.

By that, it looks as though the banks will receive even more of our future tax dollars. But there is no real regulations as to how this money is to be spent...again. You can rest assured that the money will be another buffer as the banks unload their toxic assets to the wealthy investors for minute pennies on the dollar. One might think that they could get into the action, however, unless you can buy bulk, you will not be receiving these great deals.

You see banks are waiting to sell of these toxic assets (because there are no rules given as to them having to have to), to which they willing and actively created, because there are currently no buyers. The prices are not right yet. The banks don't want to sell them off at rock bottom and have to write them down. So, it seems, as they have waited so patiently, they are going to receive more bailout funding for their own actions to offset their write downs. In other words, exchange one dollar for the other. Then, the rich investors that cannot get into stalled Hedge Funds any longer will buy up those assets for pennies once the banks are assured of their losses through TARP money.

Then, there will be buy-offs and sell-offs before that trickles down to average Joe homeowner for a rewrite on their near to foreclosed mortgage. By the time average Joe homeowner can receive better options on his mortgage he might get a deal like 90 cents on the dollar. Quite a difference. However, average Joe homeowner will have an opportunity to receive a better rate on their credit card. That seems to be Washington's way of creating spending is by creating the availability to create more debt for the consumer.

The money is supposed to be issued as a stimulus package, but many more hundreds of billions will be going corporate before we find tens of billions getting into the hands of the people.

The funny thing about this is that "It's our funking money!!"







This, the 251st entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Ron Paul still on charge!

Ron Paul has been a well run Republican candidate for President in the most recent campaign only to find himself stifled by the GOP and RNC, by reducing his air time and public exposure, to step aside as they try to bring McCain and Palin to the forefront to win.

By the speech included below you will find him much more well versed and intelligent than their choice of that one they call Palin. Perhaps I will do a side by side comparison of words with Ron Paul, John McCain, and Sarah Palin and we all will be able to see where the intelligence lies for the future.

I am certainly not a republican, although, I do like some of Ron Paul's economic ideas. I am not a fan of much more of his ideas, but I feel he has some very valid issues of the day to be heard regarding economics, economic policy, and governance. He sees the corruption and breakdown of our economy that stems back to the Nixon action of the elimination of the dollar pegged by the gold standard. This action allowed the elite white male in America the unregulated corporate power that only Congress had and was Constitutionally given by the founding fathers.

Now, the reduction of power of the Congress from this action being passed to the Federal Reserve has taken us to very unstable and irregular territory. With the Bush administration reducing the Congressional power even further with the augmentation of the Executive Branch in its powers for declaring war, wire tapping, to how it handles war criminals has created the parameters of a police state in this country hidden behind deteriorating open boarders, deteriorating freedom of speech, clouded freedom of religion, reduction attempts on women and minority rights.

We are riding a fine line of corporate and government free fall of unaccountability or oversight along with a devaluing dollar that continually reduces the saving and buying power of the American middle and lower class citizen. We are hoping for the Change that Obama espoused so prolifically during his campaign and await to see the power of these failings be given back to the people. Time will tell.

It is solely the American optimism that hides many of these deteriorating freedoms from the mindset and necessary daily concerns of its people. Whether this is good or bad is to each their own in order to maintain sanity or survival.


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Statement by Congressman Ron Paul in front of the U.S. House of Representatives

On The Abolition of Federal Reserve Board Act

February 3, 2009

Madame Speaker, I rise to introduce legislation to restore financial stability to America’s economy by abolishing the Federal Reserve. Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve’s inflationary policies. This represents a real, if hidden, tax imposed on the American people.

From the Great Depression, to the stagflation of the seventies, to the current economic crisis caused by the housing bubble, every economic downturn suffered by this country over the past century can be traced to Federal Reserve policy. The Fed has followed a consistent policy of flooding the economy with easy money, leading to a mis-allocation of resources and an artificial “boom” followed by a recession or depression when the Fed-created bubble bursts.

With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America’s exports or the low rate of savings should be enthusiastic supporters of this legislation.

Though the Federal Reserve policy harms the average American, it benefits those in a position to take advantage of the cycles in monetary policy. The main beneficiaries are those who receive access to artificially inflated money and/or credit before the inflationary effects of the policy impact the entire economy. Federal Reserve policies also benefit big spending politicians who use the inflated currency created by the Fed to hide the true costs of the welfare-warfare state. It is time for Congress to put the interests of the American people ahead of special interests and their own appetite for big government.

Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy. The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency. The Constitution does not give Congress the authority to delegate control over monetary policy to a central bank. Furthermore, the Constitution certainly does not empower the federal government to erode the American standard of living via an inflationary monetary policy.

In fact, Congress’ constitutional mandate regarding monetary policy should only permit currency backed by stable commodities such as silver and gold to be used as legal tender. Therefore, abolishing the Federal Reserve and returning to a constitutional system will enable America to return to the type of monetary system envisioned by our nation’s founders: one where the value of money is consistent because it is tied to a commodity such as gold. Such a monetary system is the basis of a true free-market economy.

In conclusion, Mdm. Speaker, I urge my colleagues to stand up for working Americans by putting an end to the manipulation of the money supply which erodes Americans’ standard of living, enlarges big government, and enriches well-connected elites, by cosponsoring my legislation to abolish the Federal Reserve.

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I would like to see Obama put Ron Paul on his economic advisory board! Although, for some reason I don't think that that will happen.




This, the 250th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs

Concrete and solid Steel Points to Obama's Stimulus Package

I found this in an investment newsletter I am a member of and thought you all might be interested in this. Remember, one must always read between the lines. What goes up must come down, and what has gone down must come up again... One cannot listen ONLY to FOX Noise, but should also listen to MSNBC. One must be able to see both sides of a story in order to make the appropriate decisions. Obama does this, and quite well.

There are numerous investment ideas within this article. I will say herein, that you must do your own due diligence for your investments and I make no claims as to their legitimacy. I do not personally recommend these investments and they are the views of the writer solely. Although, some investors feel that this is one of the most opportune times in our lifetime in which anyone, and everyone will be able to capitalize on.

* * * * *
Written by Sara Nunnally, Senior Research Director, Taipan Daily



President Obama Pours Billions Into U.S. Infrastructure Projects

Barack Obama’s massive stimulus package has billions of dollars in funds waiting to be spent on the nation’s aging infrastructure. Once the American Recovery and Reinvestment Plan is passed, these three companies could reap the benefits of the U.S. Infrastructure Boom of 2009…

On Aug. 1, 2007, in the heart of rush-hour traffic, the 64-foot I-35W River Bridge in Minnesota suddenly and dramatically collapsed. Whole sections of concrete slabs and twisted metal fell into the swift waters of the Mississippi. Tragic photographs and video show a school bus just a few feet from a break in the bridge that would have taken the lives of 50 children returning from the Waite House Neighborhood Center Day Camp.

The collapse did take the lives of 13 people, and searchers spent days looking for missing people. Cars were trapped under the mangled wreckage of the bridge, and in the strong currents of the Mississippi River, the treacherous water was choked with debris.

In Maryland, on Dec. 23, 2008, at 8 a.m., a 66-inch water main broke and sent a 5-foot wall of water rushing down the ironically named River Road, trapping 15 people in their cars.

Helicopters were sent to rescue the stranded motorists, whose cars were being pushed down the road in the torrent. More than 135 gallons of water per minute was pouring out of the break…

These incidents aren’t unique, and can happen in any state in the nation.

Is Your State Safe?

The U.S. Department of Transportation’s Federal Highway Administration listed 73,764 bridges as structurally deficient in 2006, with four states showing greater than 20% of their bridges as structurally deficient:

Iowa: 20.75%
Pennsylvania: 25%
Rhode Island: 25.37%
Oklahoma: 26.85%

Each and every state has bridges listed as structurally deficient, and these episodes will serve to highlight the growing neglect of our nation’s infrastructure.

Our water system? That water main in Maryland was installed in 1964 – 45 years ago… In fact, this wasn’t the first time that the system had a problem. In 2007, there were 2,129 recorded leaks. In 2008, more than 1,357. All of our infrastructure is just as bad as the bridges and water systems, but we haven’t yet seen a large amount of money poured into fixing the problem.

Until now.

The American Society of Civil Engineers estimates that we may need $1.6 trillion over the next five years to repair and restore the nation’s infrastructure. That’s not including new projects… That’s just making current infrastructure work.

Billion-Dollar Boost

Now, $1.6 trillion is more than double what President Obama has planned for the full stimulus package, but here’s what he’s focused on:

NPR reported, “Every $1 billion the federal government commits to roads, bridges and other infrastructure helps to support some 35,000 jobs.”

One idea that Obama has put forward is a National Infrastructure Reinvestment Bank that will disperse $60 billion over 10 years for highways and other infrastructure projects. And don’t forget the $150 billion over 10 years for alternative energy investment projects. Efficiency is a key factor in that plan, and transmission updates and power plant overhauls are sure to be on the list to get funds.

With Obama’s stimulus package estimated to cost more than $700 billion, investors are getting excited about what could be the Infrastructure Boom of 2009.

Folks are already starting to sift through the beaten-down companies that will see a boost from President Obama’s plan. That means we should be looking at two things: cement and steel.

Interestingly, 81% of the U.S. cement market is met by foreign companies. The three main companies are France’s Lafarge SA (LG:Paris), Holcim, Ltd. (HIM:London) out of Switzerland and Cemex SAB (CX:NYSE) from Mexico. Each holds about 13% of the U.S. market.

Let’s take a closer look at Cemex.

Discounts South of the Border

Here are the bare numbers:

* Annual production capacity of more than 96 million metric tons of cement
* Annual production levels of more than 80 million cubic meters of ready-mix concrete and more than 222 million metric tons of aggregates
* 67 cement plants, more than 2,360 ready-mix concrete facilities, and a minority participation in 18 cement plants
* 564 aggregate quarries, 274 land-distribution centers and 97 marine terminals

I won’t try to cover up what’s been happening with Cemex here in the U.S. Its fourth-quarter numbers are pretty hard to ignore. The company announced a 25%, 39% and 43% drop in operations in the U.S. for cement, ready-mix and aggregates volumes. For the full year 2008, cement volumes are expected to decrease by about 14%, ready-mix volumes are expected to decrease by about 13%, and aggregates volumes are expected to decrease by about 3% versus the same period in 2007.

Here’s what Cemex has to say about Obama’s infrastructure plan:

Momentum is building for a major fiscal stimulus package to create new jobs in the U.S. economy, which would include substantial funding for public works construction. President Barack Obama is working with Congressional leaders on an economic recovery program that would include the largest public works funding program since the creation of the interstate highway system over 50 years ago. We are cautiously optimistic about these developments, especially in view of the fact that public works construction, particularly for highways and bridges, is substantially more cement and aggregate intensive than other types of construction activity.

Most recently, the company announced it received approval of a debt-refinancing deal from the banks. This news caused Credit Suisse to upgrade the stock from “underperform” to “neutral.”

With the positive atmosphere here in the States for a stimulus plan, Cemex has turned a corner. Since hitting a low of $4.01 on Nov. 21, 2008, the stock has rebounded strongly, and traded as high as $10.11 on the first trading day in 2009 – a gain of 152%!

This could be the beginning of a great comeback for the stock. It traded as high as $32.61 in 2008, and could reach $18.50 by the end of the year, as this infrastructure boom really heats up.

But cement isn’t the only commodity that could be jump-started by Obama’s Recovery and Reinvestment Plan.

Reinforcing the Trend

Bridges make up about 5% of U.S. steel demand, or about 7 million tons. That percentage was consistently growing prior to the economic belly flop in 2008. So with any significant push to update and improve existing bridges, steel demand could get back on track.

It wasn’t that long ago that nearly every commodities blog was touting the rise of steel. Over the past 10 years, steel demand was growing at an annual rate of 6%. International companies were raising prices by the month for consumers greedy to fuel their industrial growth. Now, demand is at a 26-year low.

Here’s the prognosis, from the Financial Times: “Global steel production could easily plunge by 10 per cent or more next year.”

But an interesting blog paints a different picture. Tony Taccone, a consultant to steel companies with 20 years under his belt has this to say:

While these projections may prove to be right, they seem overly pessimistic to me. First of all, the latest forecast of global economic prospects published by the World Bank, and discussed by James in a recent post, calls for the world economy to grow by 1.9% (PPP basis) in 2009. As I’ve argued in the past, there is a correlation between global GDP growth and the change in steel demand. If we plug 1.9% GDP growth into the model, the predicted decline in steel production for 2009 is -3% not -10%... Don’t forget that developing economies, which now account for close to 50% of global GDP and whose demand for steel typically grows faster than GDP, are still projected to grow 4.5% next year. They have been driving the global growth in steel production and will continue to do so in 2009.

The gist? An infrastructure boom beginning here in the U.S. with Obama’s Recovery and Reinvestment Plan will begin to put steel back on the right track.

We’ve already seen a bit of a turnaround in some steel companies, most notably with Nucor (NUE:NYSE).

Relative Outperformance

In a bit of a surprise move back on Jan. 6, 2009, one analyst downgraded Nucor from “buy” to “neutral” citing limited upside potential because of “relative outperformance” of its peers.

Let’s take a closer look at this steel producer.

Sales and earnings increased in the third quarter to $7.45 billion and $1.18 billion respectively. These numbers have been steadily increasing over 2008. Now, Nucor has said it expects its fourth quarter to be much tighter, so we have fair warning of some contraction.

But the relative outperformance comes from Nucor’s break away from the rest of the industry.

Back in October 2008, companies like U.S. Steel (X:NYSE), Arcelor Mittal (MT:NYSE), and AK Steel (AKS:NYSE), along with Nucor were showing a share price loss of about 30% on the year.

But unlike the others, who continued falling (AKS dropping more than 80%), Nucor stabilized. On the year, Nucor is down only about 13%. The others are still down between 55% and 65%.

The company still has a ways to go before it re-establishes its former long-term uptrend, though. And a rise back to those levels could put Nucor back at $60. From its low of $25.25 back on Nov. 20, the stock has already climbed 74.9%. Another 50% could be in the works for 2009.

As good as these gains may prove to be, one of the simplest ways to play the coming Infrastructure Boom of 2009 is with a broad net method.

I’m talking about an infrastructure ETF. These guys have been pummeled lately. Just listen to these losses, as reported by MarketWatch.com: “Losses among ETFs included a 32% decline by the SPDR FTSE/Macquarie Global Infrastructure 100 ETF (GII:NYSE) and a drop of 39% by the iShares S&P Global Infrastructure Index Fund (IGF:NYSE).”

Playing the Field

But here’s the thing. All that private capital that made the companies in these ETFs tick dried up with the economic crisis. That’s the cause of these major drops.

So what happens when countries start injecting government cash into big infrastructure projects? The rising tide lifts all ships. The equipment makers, the engineers, the materials producers all benefit from global stimulus packages.

Why not play the field with a global infrastructure ETF?

Every analyst (and their mama) is talking about infrastructure being a mega-trend in 2009, and it won’t end with the U.S. stimulus package. China implemented a nearly $600 billion stimulus package back in November, and you know that country will do everything in its power to keep growing.

One of the most diverse is the iShares S&P Global Infrastructure Index Fund (IGF:NYSE), with holdings in 22 different countries, though heavily weighted (26.46%) to U.S. companies.

Everything from energy pipelines, to water, to transmission cables, you name it, it’s in the fund… And at a discount!

The IGF has been knocked down some 40% in this economic crisis. But a global infrastructure boom, stimulated by government intervention in the U.S. and China could help the fund begin to turn around.

A rise back to before the mayhem would put the IGF up at $48, a gain of 65.9%.

Not bad for playing the field.

Let’s review…

Obama’s Recovery and Reinvestment Plan

President Obama’s recovery plan could very well spark an Infrastructure Investment Boom in 2009.

With $700 billion out on the table for recovery, infrastructure is high on the list of job-creating initiatives. As we’ve noted before, NPR reported that every $1 billion invested in infrastructure has the potential to create 35,000 new jobs.

That kind of optimism is just what the private sector is looking for before it begins to pump its own money back into the system.

And, the idea that Obama may create a National Infrastructure Reinvestment Bank to disperse $60 billion over 10 years for highways and other infrastructure projects is extremely promising to companies like Cemex and Nucor.

And don’t forget the $150 billion over 10 years for alternative energy investment projects Obama’s got planned.

In all, this type of government intervention will be both well-received and used well. More than 70% of people in one poll said they approved of a $700 billion stimulus plan. And the companies in this report will certainly have no objection to a package that could have their share prices rising 50%, 65% or 80% over the next boom.

Investors won’t be complaining either.




This, the 249th entry in bloggoland! Thanks for reading and coming back. I always enjoy the comments, emails and the banter!!


(c)Copyright 2009 Doug Boggs