Re: As the markets tank... Some Benchmark Stuff to distract you
On Oct 6, 1:44 am, Obnoxio The Clown <obno...@serendipita.com> wrote: > InDeep wrote: > > Stay tuned... it was already fun, now it's getting hilarious: > > >http://www.keatingeconomics.com/ > > While of course, the Democrats have merely got sphincters of steel:http://www.independent.co.uk/opinion/commentators/dominic-lawson/domi... > > -- > Cheers, > Obnoxio the Clown > > http://obotheclown.blogspot.com See thats the thing. Both parties are responsible for this mess. You want to point a finger at McCain, as a Republican, he believes in a smaller government with less oversight. (Thats a generality). Of course when the markets and business fail to properly oversight themselves, then you apply regulation sparingly. If you look at SOX, all it did was increase the IT's budget for companies. If you look at the Mark to Market that is currently required, it forces the recognition of the risk rather than hiding it until its too late. JPMC came out of this looking good and smelling like a rose. It wasn't due to the "brilliance" of Diamon ?sp?.(CEO of JPMC) but the fact that they had risk management programs in place. The irony is that if the loans sold to banks weren't as bad as they were, none of the back end problems would have mattered. Its the higher prepayment issue than expected, along with the burst in the housing bubble that killed things. (There was a systematic failure across the board which caused this issue.) Both sides of the House and Senate were involved in creating this mess. Right now the best thing to do is to not panic, assume that the bailout will work and let there be liquidity in the markets. The fact that the House stalled the bill by a couple of days actually did more damage to the problem. Vote out the incumbents.
Ian Michael Gumby wrote: > On Oct 6, 1:44 am, Obnoxio The Clown <obno...@serendipita.com> wrote: > >> InDeep wrote: >> >>> Stay tuned... it was already fun, now it's getting hilarious: >>> >>> http://www.keatingeconomics.com/ >>> >> While of course, the Democrats have merely got sphincters of steel:http://www.independent.co.uk/opinion/commentators/dominic-lawson/domi... >> >> -- >> Cheers, >> Obnoxio the Clown >> >> http://obotheclown.blogspot.com >> > > See thats the thing. Both parties are responsible for this mess. You > want to point a finger at McCain, as a Republican, he believes in a > smaller government with less oversight. (Thats a generality). Of > course when the markets and business fail to properly oversight > themselves, then you apply regulation sparingly. > > If you look at SOX, all it did was increase the IT's budget for > companies. > > If you look at the Mark to Market that is currently required, it > forces the recognition of the risk rather than hiding it until its too > late. > JPMC came out of this looking good and smelling like a rose. It wasn't > due to the "brilliance" of Diamon ?sp?.(CEO of JPMC) but the fact that > they had risk management programs in place. > I wrote this in September: And therein, as the Bard said, lies the rub: by deferring your own judgment to the government's regulation, you are assuming that the government has got good judgment. It's important to note that the directors could have played even faster and looser with their capital adequacy, I'm not denying that! But they played things according to government rules and we then discovered that the government rules were completely inadequate. How can we blame [Northern Rock] for getting it wrong, when they did exactly what the government told them to do? John Kay gave us a more modest list of things regulators could do. They could concentrate on policing activities to try to prevent or intercept criminal activity within financial businesses - attempts to steal client money in one way or another. They could ensure a comprehensive deposit protection scheme. The Central Bank should concentrate on providing cash to the system - where it has a monopoly - against reasonable security from the banks. The rest should be left to the market. And I think there's a lot to commend in that kind of thinking: don't focus on the minutiae of regulation, because a) you will inevitably get it wrong and b) it creates a barrier to entry, which benefits only incumbent businesses. Our regulatory watchdogs have shown themselves time and time again to be utterly toothless when it comes to prosecuting fraudsters and we don't have an adequate deposit protection scheme. So: focus on what you want to achieve and do the minimum to ensure that; don't try to get too clever on the details; make sure that what you actually choose to do is properly policed; and for the rest: get out of the way. http://obotheclown.blogspot.com/2008/09/on-value-of-regulation.html (Of course, it was written for the UK, not the US, but I suspect it applies equally.) > The irony is that if the loans sold to banks weren't as bad as they > were, none of the back end problems would have mattered. Its the > higher prepayment issue than expected, along with the burst in the > housing bubble that killed things. (There was a systematic failure > across the board which caused this issue.) > Both sides of the House and Senate were involved in creating this > mess. > > Right now the best thing to do is to not panic, assume that the > bailout will work and let there be liquidity in the markets. The fact > that the House stalled the bill by a couple of days actually did more > damage to the problem. Vote out the incumbents. > "Assume that the bailout will work"? *Assume that the fucking bailout will fucking work???????* What kind of thinking is that anyway? If it doesn't, are you going to ask for the fucking money back? For fuck's sake, that's $700,000,000,000 you're talking about there. I read somewhere that it's enough to give every US taxpayer $35,000 (might even have been more, could have been over $50,000) which I think would be a much better way of spending the money. -- Cheers, Obnoxio the Clown http://obotheclown.blogspot.com
Ian Michael Gumby wrote: > The fact > that the House stalled the bill by a couple of days actually did more > damage to the problem. Vote out the incumbents. With no consideration to whether the person trying to replace the incumbent is competent. That should pretty much get us into this mess even deeper than we are. The first rule of holes: If you are in one stop digging. -- Daniel A. Morgan
Obnoxio The Clown wrote: > I wrote this in September: > > And therein, as the Bard said, lies the rub: by deferring your own > judgment to the government's regulation, you are assuming that the > government has got good judgment. And the "government" in a representative or parliamentary democracy consists of what? Toadies appointed by the King? How many candidates have you backed financially in the last year? How many public meetings have you attended? How many letters to MPs have you written? (well letters that didn't just contain a string of obscenities?) How many protests have you organized? attended? You've got the government you deserve as do we all. When we, the people, want government with good judgment enough to do something about it we will get it. The first step will be educating children to be citizens. -- Daniel A. Morgan
DA Morgan wrote: > Obnoxio The Clown wrote: > > >> I wrote this in September: >> >> And therein, as the Bard said, lies the rub: by deferring your own >> judgment to the government's regulation, you are assuming that the >> government has got good judgment. >> > > And the "government" in a representative or parliamentary democracy > consists of what? Toadies appointed by the King? > In this case, it's toadies appointed by Eurocrats. > How many candidates have you backed financially in the last year? > One. > How many public meetings have you attended? > None, but then I have a life. > How many letters to MPs have you written? (well letters that didn't just > contain a string of obscenities?) > Enough that they don't even get a courtesy "we received your letter" reply any more. > How many protests have you organized? attended? > http://bastardoldholborn.blogspot.com/2008/07/old-holborn-is-going-for-walk.html > You've got the government you deserve as do we all. Fuck off. I have done nothing to deserve this shower of cunts. > When we, the > people, want government with good judgment enough to do something > about it we will get it. The first step will be educating children > to be citizens. > The only government I want is one that leaves me the fuck alone. The less they do, the less they can fuck up. -- Cheers, Obnoxio the Clown http://obotheclown.blogspot.com