谢谢给我们的中国的读者
xie xie GZ
Saturday, November 29, 2008
Is Sarkozy Nuts ?
After France's record in Africa, especially Algeria, France has the "gall" (not Charles De Gaulle) to interfere in the internal relations of a large Asian country ? On what basis does France accord itself ? Even the U.N. who, of any other international body, would be concerned does not take such "colonial" actions as that of France.
Vive la "France be quiet"
Vive la "France be quiet"
Friday, November 28, 2008
Thursday, November 27, 2008
Deflationary Death Spiral
Consumer prices have fallen more than ever since 1947. Well, that is scary, if the U.S. goes into a deflationary spiral- as did Japan in the 90's, then the game is definately over. Japan's deflationary cycle destroyed Japan as a world economic power, and extinguished its rise in the late 80's into what people mistakenly thought was going to be become the next world superpower.
However, LNR does not believe that the U.S. is in a broad-based deflationary cycle yet, the records reflect a huge drop in oil and real estate prices. Obviously products related to housing- i.e. home improvement, furniture, etc. might reflect small decreases in prices, but, as of yet, deflation is not broad based. This is all the more why the new administration must create a massive five million (5) job program through government hiring (for infrastructure) and massive contracts to the alternative energy industry- creating enormous wind and sun power farms across the sun belts. This, ONE key program- of jobs- can prevent a deflationary death spiral.
However, LNR does not believe that the U.S. is in a broad-based deflationary cycle yet, the records reflect a huge drop in oil and real estate prices. Obviously products related to housing- i.e. home improvement, furniture, etc. might reflect small decreases in prices, but, as of yet, deflation is not broad based. This is all the more why the new administration must create a massive five million (5) job program through government hiring (for infrastructure) and massive contracts to the alternative energy industry- creating enormous wind and sun power farms across the sun belts. This, ONE key program- of jobs- can prevent a deflationary death spiral.
Wednesday, November 26, 2008
It's All in the Head
Mainstream media is really missing a big point... the financial disaster is being compounded by the psychological terror experienced by workers, consumers and bank customers, and their actions- based on their mentality of fear, is destroying the stock market and banks. More needs to be done by the government, including state and city, and notable personalities to keep people spending and not withdrawing their money from financial institutions. The Hollywood bubble heads finally have a chance to help out by demonstrating that they are not withdrawing their millions from banks, etc. People like Bill Gates, Steve Jobs, Warren Buffet, Bill Clinton, Schwarznegger, etc. need to be included in some high profile public campaigns of ads, and going on talk shows to reassure people and let the American public know that they are keeping their money in banks.
Tuesday, November 25, 2008
NO Shame for Financial CEO’s
CEO’s of financial institutes who took big risks with mortgage derivatives are apparently not ashamed of driving an entire integral component of our economy into the ground. There is no mass wave of resignations or suicides as occurred during the great depression, or what you would see in many Asian countries, i.e. Japan.
CEO’s have learned that America rewards- non-performance, this encourages the wrong breed of business leaders to take the reigns. One should measure performance on the actions taken during hard times, because it’s easy to be a great CEO when the economy is booming.
CEO’s have learned that America rewards- non-performance, this encourages the wrong breed of business leaders to take the reigns. One should measure performance on the actions taken during hard times, because it’s easy to be a great CEO when the economy is booming.
Monday, November 24, 2008
LNR Right on the "GOLD"
There's a popular YouTube clip called "Peter Schiff Was Right" that shows the president of Euro Pacific Capital engaged in on-air debates with financial luminaries such as Art Laffer and Ben Stein, circa 2006-07.
The clips show the wisdom of Schiff's dire forecasts — and, judging from the dismissive reactions, just how far he was outside the mainstream.
Ben Stein publicly apologized to Schiff in a New York Times column, but Laffer refuses to admit defeat, recently telling Bill Maher his economic forecasts have a statute of limitations of just nine months.
To his credit, Schiff isn't declaring victory, noting "100% of my forecast hasn't panned out," most notably "a major collapse in the dollar" that leads to a spike commodity prices.
As discussed in the accompanying video, Schiff believes the recent dollar rally and commodity price weakness will prove temporary. Most troubling, he says the "economic crisis is only just beginning."
Note the prediction of Peter Schiff,- remember LNR’s prediction about Gold at $2,000 an ounce. As Schiff predicts, once underlying pressures of a broad economic collapse in the U.S. is acknowledged, investors will dump the dollar and many will seek haven in Gold- this is when LNR proves, once again, that the mainstream media is either WRONG or LATE with hot news and economic forecasting.
The clips show the wisdom of Schiff's dire forecasts — and, judging from the dismissive reactions, just how far he was outside the mainstream.
Ben Stein publicly apologized to Schiff in a New York Times column, but Laffer refuses to admit defeat, recently telling Bill Maher his economic forecasts have a statute of limitations of just nine months.
To his credit, Schiff isn't declaring victory, noting "100% of my forecast hasn't panned out," most notably "a major collapse in the dollar" that leads to a spike commodity prices.
As discussed in the accompanying video, Schiff believes the recent dollar rally and commodity price weakness will prove temporary. Most troubling, he says the "economic crisis is only just beginning."
Note the prediction of Peter Schiff,- remember LNR’s prediction about Gold at $2,000 an ounce. As Schiff predicts, once underlying pressures of a broad economic collapse in the U.S. is acknowledged, investors will dump the dollar and many will seek haven in Gold- this is when LNR proves, once again, that the mainstream media is either WRONG or LATE with hot news and economic forecasting.
INVADERS: 2040
Imagine, you are a relatively peaceful people, living on a bountiful planet, seeking a good future for your population and their future generations. Then, … invasion.. high-tech spaceships with astro-troops bristling with amazing weaponry- they have large craft which begin to suck out your natural resources- oil, gold, gas… This is LNR’s prediction for 2040, the Earth will invade neighboring planets to suck out their natural resources to feed earth. We normally consider other “aliens” invading us, but shall we discount the possibility that ‘WE’ will be the invaders ?
Saturday, November 22, 2008
Obama Behind LNR
This is what Obama said on November 23rd
WASHINGTON – President-elect Barack Obama promoted an economic plan Saturday he said would create 2.5 million jobs by rebuilding roads and bridges and modernizing schools while developing alternative energy sources and more efficient cars
LNR- November 20,
In the process, you also have a mass change over to alternative energy vehicles completed quickly-
LNR-November 17
As LNR has stated in the past, without a massive employment program now, other measures to prop up the economy will be ineffective
November 8
Instead of pouring billions into inefficient factories, auto industry, billions should be spend on labor intensive infrastructure projects across America.
Obama and the White House remains several days and WEEKS behind LNR. Learn what we need to do, today, instead of weeks later by reading LNR.
WASHINGTON – President-elect Barack Obama promoted an economic plan Saturday he said would create 2.5 million jobs by rebuilding roads and bridges and modernizing schools while developing alternative energy sources and more efficient cars
LNR- November 20,
In the process, you also have a mass change over to alternative energy vehicles completed quickly-
LNR-November 17
As LNR has stated in the past, without a massive employment program now, other measures to prop up the economy will be ineffective
November 8
Instead of pouring billions into inefficient factories, auto industry, billions should be spend on labor intensive infrastructure projects across America.
Obama and the White House remains several days and WEEKS behind LNR. Learn what we need to do, today, instead of weeks later by reading LNR.
LNR Global Warming Alert
LNR has developed a new global warming climate model, based on vehicular wind currents which are non-transparent in the troposphere (VWCNTT model). This new climate model predicts temperatures "could" "possibly" rise from 1 centigrade to 2,000 degrees centigrade !! LNR feels that a 2,000 degree temperature rise might be detrimental to human kind. However, there are positive effects, at 2,000 degrees one can cook food in the open air, thus people can save money on the purchases of microwaves or ovens.
LNR plans to apply for government funds to further utilize the VWCNTT-climate model for future predictions. LNR can only hope that the new administration in the White House will take note of the VWCNTT model and try and prevent temperature rises that could reach 2,000 DEGREES !!!
LNR will be setting up the LNR Global Climate Institute LNR-GCI in cooperation with the LNR- Institute for Study of UFO-ology.
(This is a parody, although LNR believes temperatures are rising-ever so slightly, LNR does not believe for one second that human kind is to blame for global warming- LNR contends this is a natural dynamic in climate flux.)
LNR plans to apply for government funds to further utilize the VWCNTT-climate model for future predictions. LNR can only hope that the new administration in the White House will take note of the VWCNTT model and try and prevent temperature rises that could reach 2,000 DEGREES !!!
LNR will be setting up the LNR Global Climate Institute LNR-GCI in cooperation with the LNR- Institute for Study of UFO-ology.
(This is a parody, although LNR believes temperatures are rising-ever so slightly, LNR does not believe for one second that human kind is to blame for global warming- LNR contends this is a natural dynamic in climate flux.)
A Multi-Polar World by 2025 ?
LNR covered this subject
The USA will still be the "dominant" leading power, although its power- relevant to the global pie “may” be smaller. Regarding the estimate by U.S. intelligence that there will be a “multi-lateral” world by 2025, it of course, assumes that America’s power does NOT increase in the next 17 years.
America Suffering Entropy in its Power Paradigm?
LNR reported in a previous article that indeed, U.S. global power may have entered a stage of a true downtrend (unlike previous announcements of America's downfall after Vietnam and the Carter years) , but that is only in the context of relative power. Declining relative power means a slow evolution towards a multi-polar world, this is true, however, do not confuse this with any notion that the U.S. will not remain, by far, the leading power of the world, unchallenged in hard power (GNP, military might, etc) and soft power, (influence, diplomacy, dollar being the leading currency). Why ? This is because the nations which are increasing their soft power- relative to the U.S., for many reasons have NO hope of replacing America as the leading power because of their corruption and undemocratic political systems. The Soviet Union could have never hoped to match their economic and military muscle with a communist authoritarian society- as the world was clearly trending towards open democracies with free economies. A "limited" Japanese democracy could not match their economic muscle with a corporate statist government, and lack of military power projection in order to assume, or be sought for any kind of world leadership. (Similar factors would be applicable to China and India). The current financial crisis is not deep and wide enough to cut into the gigantic economic advantage America has over other countries. The current crisis is serious and big, yes, but one must put it in the context of the scale, America's economy alone remains 25% of the worlds entire GDP, that has been consistent since WWII- no change.... it would take the combined GDP's of the next FOUR largest economies to equal the size of the USA: Japan, Germany, China and UK. Even at the growth rate of 10% a year, and an appreciating currency, and.. assuming America's economy did not grow at all- it would still take China at least 14 years to catch to America- assuming America had zero growth for the next 14 years- not likely- thus, we are looking at another 20 years assuming all things being equal, for China, the leading contender, to match American economic might.
Therefore, America remains the ONLY contender for world leadership for the future as it combines an open democracy, economic dominance and an unrivaled military with global reach. These three factors make it, less a force majeure, impossible for America to be replaced in the near or medium term as an uncontested hyper-power, even if its overall soft and hard power is in decline relative to others.
The USA will still be the "dominant" leading power, although its power- relevant to the global pie “may” be smaller. Regarding the estimate by U.S. intelligence that there will be a “multi-lateral” world by 2025, it of course, assumes that America’s power does NOT increase in the next 17 years.
America Suffering Entropy in its Power Paradigm?
LNR reported in a previous article that indeed, U.S. global power may have entered a stage of a true downtrend (unlike previous announcements of America's downfall after Vietnam and the Carter years) , but that is only in the context of relative power. Declining relative power means a slow evolution towards a multi-polar world, this is true, however, do not confuse this with any notion that the U.S. will not remain, by far, the leading power of the world, unchallenged in hard power (GNP, military might, etc) and soft power, (influence, diplomacy, dollar being the leading currency). Why ? This is because the nations which are increasing their soft power- relative to the U.S., for many reasons have NO hope of replacing America as the leading power because of their corruption and undemocratic political systems. The Soviet Union could have never hoped to match their economic and military muscle with a communist authoritarian society- as the world was clearly trending towards open democracies with free economies. A "limited" Japanese democracy could not match their economic muscle with a corporate statist government, and lack of military power projection in order to assume, or be sought for any kind of world leadership. (Similar factors would be applicable to China and India). The current financial crisis is not deep and wide enough to cut into the gigantic economic advantage America has over other countries. The current crisis is serious and big, yes, but one must put it in the context of the scale, America's economy alone remains 25% of the worlds entire GDP, that has been consistent since WWII- no change.... it would take the combined GDP's of the next FOUR largest economies to equal the size of the USA: Japan, Germany, China and UK. Even at the growth rate of 10% a year, and an appreciating currency, and.. assuming America's economy did not grow at all- it would still take China at least 14 years to catch to America- assuming America had zero growth for the next 14 years- not likely- thus, we are looking at another 20 years assuming all things being equal, for China, the leading contender, to match American economic might.
Therefore, America remains the ONLY contender for world leadership for the future as it combines an open democracy, economic dominance and an unrivaled military with global reach. These three factors make it, less a force majeure, impossible for America to be replaced in the near or medium term as an uncontested hyper-power, even if its overall soft and hard power is in decline relative to others.
LNR Movie Review
Righteous Kill- Starring Robert DeNiro and Al Pacino. Released. September 2008
LNR Rating: (1-worst- 10 -best) 2
What a terrible movie, how could they have released it after doing a final edit. It's not only a cliche of good cop /bad cop, it's a cheap copy of the "Star chamber" ( Michael Douglas) and the Dirty Harry movie Magnum Force, where it’s law enforcement and the courts that are knocking off criminals who are free but should have been locked up.
The worst acting by DeNiro and Pacino ever and an insult to people to buy a story that such old men would remain on active duty- they looked so old as did Brian Denehey. The choice of roles and acting was a big ZERO.
LNR Rating: (1-worst- 10 -best) 2
What a terrible movie, how could they have released it after doing a final edit. It's not only a cliche of good cop /bad cop, it's a cheap copy of the "Star chamber" ( Michael Douglas) and the Dirty Harry movie Magnum Force, where it’s law enforcement and the courts that are knocking off criminals who are free but should have been locked up.
The worst acting by DeNiro and Pacino ever and an insult to people to buy a story that such old men would remain on active duty- they looked so old as did Brian Denehey. The choice of roles and acting was a big ZERO.
Thursday, November 20, 2008
Changing Tides
DOW: Goodbye 8,000
Yes, LNR already told you that the DOW would find support at the 6,900-7,200 level, so it’s no surprise that the DOW ended below 8,000. What LNR is surprised at is that the major media kept posing the question at each new low- IS THIS THE BOTTOM ? That is cheap journalism with no substance to the readers. LNR firmly states and has stated several weeks ago where the bottom is. LNR offers substance and analysis actually useful to the readers.
Detroit- Kill the Companies, Save the Workers
LNR is surprisingly in agreement with Michael Moore regarding Detroit. Taking conservatorship of the failing auto companies, but hiring a management firm that specializes in turn-arounds to run the company. Use bankruptcy laws to break the unions, cut wages and benefits to reflect demand of that product. Keep priority manufacturing in defense products and alternative energy vehicles. Slash and burn out the fat management at the top and streamline the separate divisions.
In this way, you keep sales up- because people will continue to buy the products- in whatever numbers, because they are not afraid the company will go bankrupt- (this has been the major argument the car companies have used for not wanting to go into bankruptcy- to reorganize), you keep vital manufacturing knowledge workers employed- as well as key defense products in America and save many jobs. In the process, you also have a mass change over to alternative energy vehicles completed quickly- rather than the slow lethargic pace Detroit has followed so far. The best thing is, you can fire the fat cats who cheated America for years and save hundreds of millions of dollars in fat pay, bonuses and other compensation. You can apply health benefits from the governments to release that huge burden from the auto companies.
Yes, LNR already told you that the DOW would find support at the 6,900-7,200 level, so it’s no surprise that the DOW ended below 8,000. What LNR is surprised at is that the major media kept posing the question at each new low- IS THIS THE BOTTOM ? That is cheap journalism with no substance to the readers. LNR firmly states and has stated several weeks ago where the bottom is. LNR offers substance and analysis actually useful to the readers.
Detroit- Kill the Companies, Save the Workers
LNR is surprisingly in agreement with Michael Moore regarding Detroit. Taking conservatorship of the failing auto companies, but hiring a management firm that specializes in turn-arounds to run the company. Use bankruptcy laws to break the unions, cut wages and benefits to reflect demand of that product. Keep priority manufacturing in defense products and alternative energy vehicles. Slash and burn out the fat management at the top and streamline the separate divisions.
In this way, you keep sales up- because people will continue to buy the products- in whatever numbers, because they are not afraid the company will go bankrupt- (this has been the major argument the car companies have used for not wanting to go into bankruptcy- to reorganize), you keep vital manufacturing knowledge workers employed- as well as key defense products in America and save many jobs. In the process, you also have a mass change over to alternative energy vehicles completed quickly- rather than the slow lethargic pace Detroit has followed so far. The best thing is, you can fire the fat cats who cheated America for years and save hundreds of millions of dollars in fat pay, bonuses and other compensation. You can apply health benefits from the governments to release that huge burden from the auto companies.
Tuesday, November 18, 2008
For Today
Gold Prices to Shoot Up Soon
As the financial crisis and world economic depression progresses, people around the world are buying up gold coins. The demand is so high, government mints cannot keep up with orders from dealers. As the world supply is bought up, new demand on mined gold will translate into an explosion in the spot market for gold within the next six months.
About LNR’s Stock Market Advice
A few weeks ago LNR urged a good buy into Freddie Mac stock- (FRE), it was just above a dollar a share, right now, it’s down by almost half- we recommended to continue buying on pullbacks- as Freddie Mac will be a huge winner for you. Here is stock guru, Jim Cramer’s take on it:
“Right now, mortgages are expensive relative to their historical benchmark, the 30-year Treasury note. By next summer, I believe that Fannie Mae and Freddie Mac will be nationalized to shore up their flimsy capital foundations. Once the loans that Fannie and Freddie repackaged are explicitly guaranteed by the government, they’ll become the world’s best investments, as they’ll offer much higher yields than Treasury notes, with no more risk. That will cause a steep decline in mortgage rates, making it easier to borrow money and buy a home.” Jim Cramer.
Of course with LNR, you knew that about Freddie Mac a few weeks ago, before stock legend Jim Cramer wrote about it yesterday.
Key to Economic Re-Vitalization does NOT lie outside the EU and America
Some economic commentators are mentioning certain countries outside of the EU and America as being “key” to recovering from the global economic crisis. That assertion is ridiculous, it’s just another example of indulgent thinking about the importance of emerging economies which still have a long way to go before they become the “key” to anything. The EU and America together account for half of the world’s GNP, therefore, THEY are the KEY to recovery. Other countries may “contribute” to economic recovery, but they are NOT a or the ‘KEY’ to recovery.
As the financial crisis and world economic depression progresses, people around the world are buying up gold coins. The demand is so high, government mints cannot keep up with orders from dealers. As the world supply is bought up, new demand on mined gold will translate into an explosion in the spot market for gold within the next six months.
About LNR’s Stock Market Advice
A few weeks ago LNR urged a good buy into Freddie Mac stock- (FRE), it was just above a dollar a share, right now, it’s down by almost half- we recommended to continue buying on pullbacks- as Freddie Mac will be a huge winner for you. Here is stock guru, Jim Cramer’s take on it:
“Right now, mortgages are expensive relative to their historical benchmark, the 30-year Treasury note. By next summer, I believe that Fannie Mae and Freddie Mac will be nationalized to shore up their flimsy capital foundations. Once the loans that Fannie and Freddie repackaged are explicitly guaranteed by the government, they’ll become the world’s best investments, as they’ll offer much higher yields than Treasury notes, with no more risk. That will cause a steep decline in mortgage rates, making it easier to borrow money and buy a home.” Jim Cramer.
Of course with LNR, you knew that about Freddie Mac a few weeks ago, before stock legend Jim Cramer wrote about it yesterday.
Key to Economic Re-Vitalization does NOT lie outside the EU and America
Some economic commentators are mentioning certain countries outside of the EU and America as being “key” to recovering from the global economic crisis. That assertion is ridiculous, it’s just another example of indulgent thinking about the importance of emerging economies which still have a long way to go before they become the “key” to anything. The EU and America together account for half of the world’s GNP, therefore, THEY are the KEY to recovery. Other countries may “contribute” to economic recovery, but they are NOT a or the ‘KEY’ to recovery.
TAX REFORM
The United States Government should use the current financial mess to reform the tax system. Abolish the IRS, drop graduated and indexed income taxes altogether, and switch to a consumption tax.
A consumption tax would be a "fair" tax in that it taxes those who can consume and how much they can consume. The IRS, in its mandate to tax "fairly" by using hundreds of rules and exemptions making collection a multi-billion dollar loss to the economy irrelevant.
If the financial disaster opens the door to new ideas and reform, taxes needs to be one of them.
A consumption tax would be a "fair" tax in that it taxes those who can consume and how much they can consume. The IRS, in its mandate to tax "fairly" by using hundreds of rules and exemptions making collection a multi-billion dollar loss to the economy irrelevant.
If the financial disaster opens the door to new ideas and reform, taxes needs to be one of them.
Monday, November 17, 2008
U.S. Economy
As LNR has stated in the past, without a massive employment program now, other measures to prop up the economy will be ineffective. Yet, we see a lethargical Congress coming up with ZERO employment plans.
Obama is lead by Pelosi who is following the line of auto industry lobbyists and high financiers. Democrats- for the people ? No employment program, no serious plan to keep homeowners in their homes to keep real esate prices from falling further. A complete dissapointment.
Obama is lead by Pelosi who is following the line of auto industry lobbyists and high financiers. Democrats- for the people ? No employment program, no serious plan to keep homeowners in their homes to keep real esate prices from falling further. A complete dissapointment.
Sunday, November 16, 2008
YOU DECIDE
House Speaker, Nancy Pelosi, is pushing for a bailout of the Detroit auto industry. She is quoted as saying that these three (incompetent, wasteful and disloyal-editors note) companies are "crucial" to the American economy.
Ok, you decide, as a percentage of America's labor force, the Big Three automakers account for: 0.0031% of employment- basically- nothing.
In regards to GNP, the combined sales of the Big Three account for less than 2% of America's GNP- do these numbers sound " CRUCIAL " ??? It seems more the lobbyists contributions and political backslapping are more crucial to Congress than common sense.
Ok, you decide, as a percentage of America's labor force, the Big Three automakers account for: 0.0031% of employment- basically- nothing.
In regards to GNP, the combined sales of the Big Three account for less than 2% of America's GNP- do these numbers sound " CRUCIAL " ??? It seems more the lobbyists contributions and political backslapping are more crucial to Congress than common sense.
Saturday, November 15, 2008
Check Mate
America’s current adversaries, Russia, Venezuela, Cuba, Iran, are making great efforts at expanding their international influence. Russia is pushing heavy on its “near-abroad” like Georgia and Ukraine, Venezuela and Cuba are inviting the Russians in America’s backyard with promises of military cooperation, weapons purchases and oil drilling. Iran continues to meddle in Iraq and threaten Israel.
They are working on two elements of leveraging their power- America’s current economic crisis- including the election of a liberal President and their increased revenues from the past two year run up in oil prices.
Is it a “multi-lateral” world now ? Hardly,, they are regimes without futures, without positive ideas for their populations. They are themselves, basket cases of failed ideology and policies, thus, they are hardly a long term strategic threat to American power or influence.
How should America react- ? Check mate them by dropping the embargo against Cuba, trade and investment will bring down the communist regime there within a year, if not six months. Venezuela should be then squeezed by economic sanctions and full support given to opponents of Chavez’s dictatorship. Iran should be checked by establishing American military “super-bases” inside Iraq, that will bristle with air force fighters and bombers, as well as land based missiles that would be able to obliterate Iran should they chose to take action on any of their offensive threats.
With this overwhelming show of force, you begin to extend the peace feelers to all our adversaries- to negotiate from a position of strength.
They are working on two elements of leveraging their power- America’s current economic crisis- including the election of a liberal President and their increased revenues from the past two year run up in oil prices.
Is it a “multi-lateral” world now ? Hardly,, they are regimes without futures, without positive ideas for their populations. They are themselves, basket cases of failed ideology and policies, thus, they are hardly a long term strategic threat to American power or influence.
How should America react- ? Check mate them by dropping the embargo against Cuba, trade and investment will bring down the communist regime there within a year, if not six months. Venezuela should be then squeezed by economic sanctions and full support given to opponents of Chavez’s dictatorship. Iran should be checked by establishing American military “super-bases” inside Iraq, that will bristle with air force fighters and bombers, as well as land based missiles that would be able to obliterate Iran should they chose to take action on any of their offensive threats.
With this overwhelming show of force, you begin to extend the peace feelers to all our adversaries- to negotiate from a position of strength.
Thursday, November 13, 2008
First Wave of Economic Tsunami Hits America
As a WAVE of bad economic news smashes American markets and begin to ripple around the World, LNR once again calls for massive spending on employment. Stopping repossession of homes and keeping employment up are the TWO KEY elements in mitigating the economic and financial Tsunami which has reached the American shores.
America’s Death Toll in Iraq… well, not as high as deaths that occur in bathtubs each year.
LNR’s author has laid his life on the line for 12 solid years in Bosnia, Kosovo, Croatia, Serbia, and death comes to us all. The media makes an “issue’ of the deaths in Iraq, but, from historical experience of wars and warfare, the number of U.S. soldier deaths is very small (in the historical context)- in fact, not much more than deaths that occur in the military even in “peacetime “ (due to accidents and suicides) !! Also, the media loves to print the cumulative total to make the number seem bigger than it is “each” year. Let’s see what is more dangerous- bathtubs or fighting in Iraq ?
In the past 5 years a total of 4,195 U.S. soldiers died in Iraq, that is: 839 per year statistically Lets compare- where- might America save more lives – Iraq or :
3,000 dead a year in accidental poisoning PER YEAR VS. Iraq= 839
17,000 falling down PER YEAR VS. Iraq= 839
40,000 !!! auto accidents PER YEAR VS Iraq= 839
Just keep the numbers in perspective
All LNR wants to point out is that we are a world power, we have global engagements, the military is voluntary and a form of insurance that we must pay. LNR has not talked the talk, but has in fact, for 12 years in the midst of war zones- walked the walk. Peace and stability and isolating terrorism does not come cheap- when the media constantly puts the Iraq death toll in print “without” putting those numbers in context- it becomes an act of treason ! Psychologically trying to beat the American public down- in aid of the enemy- clearly- treasonous acts by the media.
In the past 5 years a total of 4,195 U.S. soldiers died in Iraq, that is: 839 per year statistically Lets compare- where- might America save more lives – Iraq or :
3,000 dead a year in accidental poisoning PER YEAR VS. Iraq= 839
17,000 falling down PER YEAR VS. Iraq= 839
40,000 !!! auto accidents PER YEAR VS Iraq= 839
Just keep the numbers in perspective
All LNR wants to point out is that we are a world power, we have global engagements, the military is voluntary and a form of insurance that we must pay. LNR has not talked the talk, but has in fact, for 12 years in the midst of war zones- walked the walk. Peace and stability and isolating terrorism does not come cheap- when the media constantly puts the Iraq death toll in print “without” putting those numbers in context- it becomes an act of treason ! Psychologically trying to beat the American public down- in aid of the enemy- clearly- treasonous acts by the media.
More Blab About Detroit
There is a frantic lobbying effort to get Washington to bail out an incompetent American auto industry. Today friends of Detroit are throwing out huge and wild numbers like 3 million people out of work if Detroit goes under, $ 150 billion losses in revenue ! Pure garbage, pure lies.. this is the same sort of propaganda the defense industry gave at the beginning of “defense conversion” during the Clinton years. Clinton wanted a “peace dividend” from the “end” of the Cold War, by turning swords into ploughshares. Defense conversion called for a massive drawdown in defense spending which in turn would affect the defense industrial base. Companies made a “catastrophic scenario” at what would happen to the American economy, lost jobs, revenues, etc. if the government cut the defense budget in a significant way- the budget was cut as well as the armed forces and the economic ripples were few and far between. Just as defense companies were able to either merge or transform into producing products for the civilian economy, huge auto parts manufacturers like Delphi, TRW are parts makers which could make parts for other industrial sectors, not just cars. Say NO to Detroit !
Wednesday, November 12, 2008
We Want Some of That 700 billion
Seems like just anyone can now claim help ! from the $700 billion bailout money. The Democrats, typically, are now extending what was supposed to be bailout for financial institutions to the auto industry. As LNR said before, no matter how unjustified, the banks must remain liquid and operating in order for our economy to operate. We absolutely DO NOT need the auto industry. The cars remain low quality with high price- it's only the truck divisions that made any real money in the past when people could afford the gas prices.
Picking industrial winners- truly is for socialist economies- not America.
Picking industrial winners- truly is for socialist economies- not America.
Tuesday, November 11, 2008
GM Doesn't Deserve It
GM, afraid that the automaker won’t get a piece of the $ 700 billion bailout is now trying to leverage its ailing credit division (GMAC) as a justification for receiving bailout money which is meant for financial institutions.
Obama’s Intended Chief of Staff says“ the auto industry is an essential part of economy” in support of giving Federal money to GM.
LNR says, “ prove it “ … prove that the auto industry is an “essential” part of the economy. The banks are essential, the big insurance companies are- but not the auto industry. The car makers employ few people- relatively (including associated employment like auto parts) and hardly contributes anymore to the $14 trillion American economy. They are now acting contrite, by offering to speed up production and development of “alternative” energy cars. It’s too little, too late.
Obama’s Intended Chief of Staff says“ the auto industry is an essential part of economy” in support of giving Federal money to GM.
LNR says, “ prove it “ … prove that the auto industry is an “essential” part of the economy. The banks are essential, the big insurance companies are- but not the auto industry. The car makers employ few people- relatively (including associated employment like auto parts) and hardly contributes anymore to the $14 trillion American economy. They are now acting contrite, by offering to speed up production and development of “alternative” energy cars. It’s too little, too late.
Sunday, November 9, 2008
Today’s News Monday 10 November
Look at this piece of brain power at work;
“Berkshire believes market declines this year are ``temporary, and that equity prices will ultimately rise,'' the company said in a filing”
This useless dribble comes from none other than Warren Buffet ? Of course the decline is temporary, it always is, the question is – how long and when does the market head into long term recovery ? Answer- not for at least 24 months- minimum- let LNR tell you what you need to know since Buffet is now offering complete fluff
Former Soviet Union leader, Mikhail Gorbachev, made some statements today about what Obama should do- LNR thinks- Gorbachev is irrelevant and shouldn’t get any media attention at all.
Global Consensus, Global Harmony, ONE WORLD
Forget about it, it’s nauseating to hear the chorus of soft and weak – so-called world “leaders” run to the utopia of “world convergence” talk. So there was a real estate bubble- it shouldn’t have happened, this bubble caused the collapse of banks that run on a razor thin amount of cash because banks use “fractional reserve” banking- LNR already explained all that. That is no way is a signal that we need to change things structurally- globally or domestically. Regulators and the Federal Reserve should have been watching closely and taking actions during the period that U.S. banks were loaning to unqualified customers- that’s all- nothing else- there is NOTHING else we need to do or take a lesson from. Now, incompetent brain dead leaders want to create a “mountain out of a mole hill “ and push for what LNR calls- “world convergence” or as others term- one world government, “new economic order.” Ridiculous, it was just a real estate bubble, not a systemic pan-economic structural disorder (SPESD- LNR).
Just fix the problem as LNR already suggested, keep the banks liquid, keep employment up and we’ll recover in the next 24 months. Keep banking regulation honest- AND – that’s IT !!! nothing else needed, stop the push for economic convergence and NEW laws and NEW regulations, NEW systems, NEW coordination between economies- it’s all bull ! It proves the incompetency of world leaders to think that a housing bubble indicates other systemic problems- it does NOT.
Don’t Bail Out the Auto Industry
We had to bail out banks and insurance because without them, we have NO economy. However, the auto industry- is asking to go bankrupt- the U.S. automakers have been arrogant in their refusal to make fuel efficient/alternate energy cars, regular U.S cars are still cheaply made and have low quality interiors- why don’t they just make cars that people want to buy- they are not, thus, they have invited bankruptcy upon themselves. The U.S. economy will barely register the loss of the auto industry- therefore, NO government aid should be afforded to them. Look at the numbers, they are asking for $50 Billion which would ‘in theory’ protect 450,000 jobs- this is at a cost of $112,000 per job !! What !! Instead, as per the recommendations of LNR- you spend $50 billion at $40,000 per job- to employ people to work on America’s infrastructure or be retrained in career fields are going begging for people- and you would employ 1,250,000 people who would actually be contributing to future growth. Subsidizing 450,000 auto workers at $112,000 per job is actually pushing the auto industry into continued decline and is just a wasteful tax on America. The American auto industry would not disappear, they would re-organize, be bought up by investors, etc. and emerge, hopefully- meaner and leaner. Even now, Chrysler is not Chrysler anymore- they are owned by an investment company.
“Berkshire believes market declines this year are ``temporary, and that equity prices will ultimately rise,'' the company said in a filing”
This useless dribble comes from none other than Warren Buffet ? Of course the decline is temporary, it always is, the question is – how long and when does the market head into long term recovery ? Answer- not for at least 24 months- minimum- let LNR tell you what you need to know since Buffet is now offering complete fluff
Former Soviet Union leader, Mikhail Gorbachev, made some statements today about what Obama should do- LNR thinks- Gorbachev is irrelevant and shouldn’t get any media attention at all.
Global Consensus, Global Harmony, ONE WORLD
Forget about it, it’s nauseating to hear the chorus of soft and weak – so-called world “leaders” run to the utopia of “world convergence” talk. So there was a real estate bubble- it shouldn’t have happened, this bubble caused the collapse of banks that run on a razor thin amount of cash because banks use “fractional reserve” banking- LNR already explained all that. That is no way is a signal that we need to change things structurally- globally or domestically. Regulators and the Federal Reserve should have been watching closely and taking actions during the period that U.S. banks were loaning to unqualified customers- that’s all- nothing else- there is NOTHING else we need to do or take a lesson from. Now, incompetent brain dead leaders want to create a “mountain out of a mole hill “ and push for what LNR calls- “world convergence” or as others term- one world government, “new economic order.” Ridiculous, it was just a real estate bubble, not a systemic pan-economic structural disorder (SPESD- LNR).
Just fix the problem as LNR already suggested, keep the banks liquid, keep employment up and we’ll recover in the next 24 months. Keep banking regulation honest- AND – that’s IT !!! nothing else needed, stop the push for economic convergence and NEW laws and NEW regulations, NEW systems, NEW coordination between economies- it’s all bull ! It proves the incompetency of world leaders to think that a housing bubble indicates other systemic problems- it does NOT.
Don’t Bail Out the Auto Industry
We had to bail out banks and insurance because without them, we have NO economy. However, the auto industry- is asking to go bankrupt- the U.S. automakers have been arrogant in their refusal to make fuel efficient/alternate energy cars, regular U.S cars are still cheaply made and have low quality interiors- why don’t they just make cars that people want to buy- they are not, thus, they have invited bankruptcy upon themselves. The U.S. economy will barely register the loss of the auto industry- therefore, NO government aid should be afforded to them. Look at the numbers, they are asking for $50 Billion which would ‘in theory’ protect 450,000 jobs- this is at a cost of $112,000 per job !! What !! Instead, as per the recommendations of LNR- you spend $50 billion at $40,000 per job- to employ people to work on America’s infrastructure or be retrained in career fields are going begging for people- and you would employ 1,250,000 people who would actually be contributing to future growth. Subsidizing 450,000 auto workers at $112,000 per job is actually pushing the auto industry into continued decline and is just a wasteful tax on America. The American auto industry would not disappear, they would re-organize, be bought up by investors, etc. and emerge, hopefully- meaner and leaner. Even now, Chrysler is not Chrysler anymore- they are owned by an investment company.
Obama is Black, But Does He Represent Black America ?
Obama does have a very liberal voting record in Congress, but little to no support for programs that focus on African-Americans. People like Jesse Jackson have almost turned their backs on Obama because Jesse credits Obama's win not to America embracing a Black man, but for being comfortable with Obama because he speaks and acts like a White man. Unlike Jesse Jackson, Obama's career has been dedicated for himself and not fighting for African-American rights. Other recent contenders to lead African-American's out of the political wilderness, like Condoleeza Rice (an acquaintance of LNR's author) and Colin Powell failed, because of two reasons: first, neither were activists for American Blacks and second, the active Black political community viewed both of them as sell outs- taking jobs in Republican administrations as tokens-
It will be a big question to see how Obama, who has not been an activist for Black America, leads the entire nation, while fulfilling the hopes of many Black American's that their issues for once, would be on the front burner, and, at the level of the White House, in earnest.
There has also been a glaring lack of acknowledgement of the progressive stance of a majority of Whites in America who voted for Obama. White oppression of Blacks in American history, and today, is not the result of being "White" it's the result of being a majority. Majorities, in history, and today- around the world, oppress and dominate their minorities to varying degrees. It may be that the biggest contribution Obama may be able to make to this issue- is simply having won.
It will be a big question to see how Obama, who has not been an activist for Black America, leads the entire nation, while fulfilling the hopes of many Black American's that their issues for once, would be on the front burner, and, at the level of the White House, in earnest.
There has also been a glaring lack of acknowledgement of the progressive stance of a majority of Whites in America who voted for Obama. White oppression of Blacks in American history, and today, is not the result of being "White" it's the result of being a majority. Majorities, in history, and today- around the world, oppress and dominate their minorities to varying degrees. It may be that the biggest contribution Obama may be able to make to this issue- is simply having won.
Saturday, November 8, 2008
LNR Warned About Unemployment
LNR in several issues ago warned that the ONLY two factors which will affect recovery are home prices/inventory and unemployment.
Now unemployment is skyrocketing, and, this is just the front end of unemployment. Instead of pouring billions into inefficient factories, auto industry, billions should be spend on labor intensive infrastructure projects across America. Despite rising unemployment, there are " millions " of jobs begging for people in the industries of health care and computers, where massive training programs could retrain the newly unemployed. President elect Obama is pledging to help the auto industry, saying that it is a critical part of American manufacturing. This is a mistake, trying to pick national industry winners has long been recognized as failed national economic policy, but instead, Obama is trying to instill a quick "feel good" solution.
Now unemployment is skyrocketing, and, this is just the front end of unemployment. Instead of pouring billions into inefficient factories, auto industry, billions should be spend on labor intensive infrastructure projects across America. Despite rising unemployment, there are " millions " of jobs begging for people in the industries of health care and computers, where massive training programs could retrain the newly unemployed. President elect Obama is pledging to help the auto industry, saying that it is a critical part of American manufacturing. This is a mistake, trying to pick national industry winners has long been recognized as failed national economic policy, but instead, Obama is trying to instill a quick "feel good" solution.
North Korea Update
More fake photos of the North Korean leader are released to try to convince people that he is alive and well.
It is clear that the power struggle over new leadership continues on without a winner. Until North Korea can display a real leader at the helm, other nations should not extend any new deals or negotiations
It is clear that the power struggle over new leadership continues on without a winner. Until North Korea can display a real leader at the helm, other nations should not extend any new deals or negotiations
LNR Stock Picks
LNR's stock pick results make some people rich overnight. Some LNR readers who purchased AIG at $1.61 a share sold for massive profits only days later when the stock hit $2.43 a share before retreating. AIG did retreat, but not for long, it has shot back up to end at $2.11 on Friday. Freddie Mac (FRE) retreated on profit making, however, the stock is still in play because of government indecision on how to reorganize the company. One however, should note the absolute government support given to this need company which acts as a clearing house for mortgages and underpins the ability and willingness of banks to lend to less than perfect customers.
Once reorganization is complete, this stock is going to PLUTO !
Buy massively on pull backs for a winner that will make you rich like AIG.
Once reorganization is complete, this stock is going to PLUTO !
Buy massively on pull backs for a winner that will make you rich like AIG.
Wednesday, November 5, 2008
The World Ignores President Bush
With Obama's victory, unlike any other in the past, George Bush has made himself so irrelevant that the entire world, as well as America, are appealing to Obama for a host of changes. From Cuba to China, from Chavez's statements that he is willing to speak to the "black man" in the White House, there is an expectation that Obama's term will begin immediately and not have to wait until January.
As LNR stated before, Obama must make a new foreign policy conditional on concessions from whomever he deals with, let Biden's prediction that the world will "test" Obama soon comes true.
As LNR stated before, Obama must make a new foreign policy conditional on concessions from whomever he deals with, let Biden's prediction that the world will "test" Obama soon comes true.
Tuesday, November 4, 2008
Auto Makers in Trouble; Good Let Them Fall
The arrogant Big Three may finally see their last days. The big three often gave America gas guzzling low quality high priced vehicles. In years with fat sales, they continually fail to put aside large funds to cover bottom cycles.
We don't need the vehicles of the Big Three, plenty of other car makers out there doing a better job, why should we keep afloat inefficient industrial dinosaurs alive ?
LNR must say, that it's finally payback from consumers, who were treated so rudely by dealerships when vehicles were flying out the door during the wealthy period of the real estate boom. Salespeople would sit in their swivel chairs not willing to hardly budge on prices, knowing that stock was low and therefore they were in the driver's seat- so to speak. They so foolishly ignored the knowledge that they are in, along with the airlines, a classical boom bust industry.
We don't need the vehicles of the Big Three, plenty of other car makers out there doing a better job, why should we keep afloat inefficient industrial dinosaurs alive ?
LNR must say, that it's finally payback from consumers, who were treated so rudely by dealerships when vehicles were flying out the door during the wealthy period of the real estate boom. Salespeople would sit in their swivel chairs not willing to hardly budge on prices, knowing that stock was low and therefore they were in the driver's seat- so to speak. They so foolishly ignored the knowledge that they are in, along with the airlines, a classical boom bust industry.
LNR's Picks
LNR's stock picks, AIG and Freddie Mac (FRE) have made some movements. FRE has shaved a few cents off, but the one year estimate remains over $2 a share, while AIG jumped up a whopping 32% in two days.
LNR continues to remain long on both stocks, but if you wish to consolidate profits, sell into good profits and buy back these two on the pull backs.
LNR continues to remain long on both stocks, but if you wish to consolidate profits, sell into good profits and buy back these two on the pull backs.
Sunday, November 2, 2008
Bush's Greatest Accomplishment- Forgotten
LNR has lambasted the President and indeed endorses Hillary Clinton as a write-in candidate. However, it's absolutely "shocking" that as we near the end of Bush's second term, no one in the media or the country is thanking Bush for protecting America the last seven (7) years against terrorism. Since 9/11 not a single terrorist attack has taken place on American soil. Something the President said he was going to do, which is the paramount task of a President- protecting the nation.
The main reason people began to live in groups was for mutual protection. Nothing else can happen in a nation- a good economy, good standard of living, nothing- without security- national security is the penultimate of the raison d'etre of government.
Imagine the thousands of miles of border, airspace, millions of visitors, illegal aliens, airports, harbors, water supply, busses, subways, hundreds of thousands of targets, yet, since 9/11 for seven long years since the surprise attack in New York - not one single attack on our soil. That is a giant accomplishment, attesting to the President's determination to keep the nation safe, while our soldiers keep the terrorists bottled up in Iraq and Afghanistan. Keep in mind that there is no doubt that hundreds if not thousands of terrorist plots or even attempts are being made to strike America, yet they have been stopped in their tracks. Often, in the shadowy world of intelligence and restrictions on what can be published, there are thousands of unsung heroes in the the U.S. intelligence community.
For all of the justified criticism of the President, can the nation, the people, the media be at least objective enough to recognize the President's greatest accomplishment.
The main reason people began to live in groups was for mutual protection. Nothing else can happen in a nation- a good economy, good standard of living, nothing- without security- national security is the penultimate of the raison d'etre of government.
Imagine the thousands of miles of border, airspace, millions of visitors, illegal aliens, airports, harbors, water supply, busses, subways, hundreds of thousands of targets, yet, since 9/11 for seven long years since the surprise attack in New York - not one single attack on our soil. That is a giant accomplishment, attesting to the President's determination to keep the nation safe, while our soldiers keep the terrorists bottled up in Iraq and Afghanistan. Keep in mind that there is no doubt that hundreds if not thousands of terrorist plots or even attempts are being made to strike America, yet they have been stopped in their tracks. Often, in the shadowy world of intelligence and restrictions on what can be published, there are thousands of unsung heroes in the the U.S. intelligence community.
For all of the justified criticism of the President, can the nation, the people, the media be at least objective enough to recognize the President's greatest accomplishment.
Obama Abandons Aunt
Obama wants to tell America that he’ll take care of you- a stranger, but he doesn’t even take care of his own Aunt ? He spoke to his Auntie two years ago without extending a hand of welcome or even inquiring how was it possible that She could remain so long in America on a tourist visa ? Seems very strange, but strikes a glaring insight to his handling of personal relationships.
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