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.