Who Holds Wall Street Accountable?
Posted: October 5, 2009 Filed under: Bailout Blues, Equity Markets, Global Financial Crisis, Surreality, Team Obama, The Bonus Class, The Great Recession, The Media SUCKS, U.S. Economy | Tags: Andrew Ross Sorkin, Bear Stearns, Goldman Sachs, Hank Paulson, Investment banks, Matt Taibbi, Morgan Stanley, Simmons Bedding Company, Wall Street Comments Off on Who Holds Wall Street Accountable?
If your answer included any of number regulators or congress with its oversight duties or the traditional media with its watchdog of the public duties sorta answer, that would be a wrong answer. There were so many articles today about past and present Wall Street tomfoolery that I almost forgot to check the Wall Street Journal or The Hill. Instead, I”m relying on my subscriptions to things I’m supposed to be reading in the bath tub with Chopin playing in the background and a glass of Pinot Grigio nearby. Today, the best read came from Vanity Fare and was written by Andrew Ross Sorkin. (My Vanity Fare showed up today along with my latest copy of The Economist with the cover shouting “After the Storm: How to make the best of the Recovery.” ) My bottom line is still that Wall Street caused this and they are not only NOT cleaning it up, they are not being cleaned up.
I’m also checking out Matt Taibbi and TaibBlog now that his infamous vampire squid article in July’s Rolling Stone defined the shadowy world of Goldman Sachs better than just about any thing I’ve recently read. Matt’s blog today takes on naked selling or ‘naked swindling’ in the succinct framing of the Wall Street Deal that I now consider better jargon than that of the derivatives blah blah blah that I was taught in any of my PhD level corporate finance or investment classes. I may be able to do the proof for the Black Scholes formula but I will never be able to prove its social usefulness.
Actually, this takes me back to the Grey Lady and my first read of the day about the now bankrupt Simmons Bedding company that was the cash cow purposely inflicted with mad cow disease. Now days, it’s still more about the arbitrage deal and the leveraged deal that produces dividends than it is about what a company produces and the lives of the workers and long time managers who produce valuable stuff. It’s no longer build it and they will come. It’s leverage it to the hilt, take your dividends now, and find the next sucker with the next model that can hyperactivate the milking machine. It’s another real life example of Gordan Gekko and the greed is good speech. Spend some time with the Simmons story before you hit Taibblog and definitely the Sorkin article in Vanity Fare. It’ll put you in the right frame of mind.
Okay, Y’all are just Creeping me out here!!!
Posted: September 30, 2009 Filed under: president teleprompter jesus, Surreality Comments Off on Okay, Y’all are just Creeping me out here!!!
I watched the new Joy Behar show yesterday on Headline News. I have to admit I liked it. Bette Midler–koolaid sipper extraordinaire–had a lot to say as the show’s first guest. I’ve often compared Glenn Beck to the character Lonesome Rhodes in the 1957 movie a “Face in the Crowed” but Midler went one step farther.
“Someone like Glenn Beck has made gazillions of dollars because he’s out there being sort of hateful in many ways,” Behar said. “He calls himself a clown and a comedian. Do you think it’s funny?”
Midler confirmed what one would probably expect – she’s not a fan of Beck at all.
“I don’t think he’s funny even a little bit,” Midler said. “I’ve never had a laugh from Glenn Beck. In fact, I find him terrifying. I find him terrifying. He’s like an old school demagogue, and it’s really frightening.”
What did Midler compare Beck to? She likened the popular Fox News host to the instigators of the Rwandan civil war, which was the catalyst for the Rwandan genocide where an estimated 800,000 to 1 million lost their lives.
“If you look around at the rest of the world and what this kind of behavior has done, like in Rwanda, where the demagogues got on the radio and fomented all that hate between the Tutsis and the Hutus and the devastation that happened from that, I mean, it’s terrifying,” Midler said.
According to Midler, that’s a possibility in the United States.
“And that could happen, you know, you could turn on a dime,” Midler warned. “That could happen here.”
So, that was yesterday. Then I tripped over to Memorandum this morning to find this tidbit from Gore Vidal who is waxing poetically over “we coulda hadda Hillary”. A little late for the sippy cup grandpa but at least he admits that he was wrong. Not the same as an apology though.
Last year he famously switched allegiance from Hillary Clinton to Barack Obama during the Democratic nomination process for president. Now, he reveals, he regrets his change of heart. How’s Obama doing? “Dreadfully. I was hopeful. He was the most intelligent person we’ve had in that position for a long time. But he’s inexperienced. He has a total inability to understand military matters. He’s acting as if Afghanistan is the magic talisman: solve that and you solve terrorism.” America should leave Afghanistan, he says. “We’ve failed in every other aspect of our effort of conquering the Middle East or whatever you want to call it.” The “War on Terror” was “made up”, Vidal says. “The whole thing was PR, just like ‘weapons of mass destruction’. It has wrecked the airline business, which my father founded in the 1930s. He’d be cutting his wrists. Now when you fly you’re both scared to death and bored to death, a most disagreeable combination.”
Oh, wait, it gets better.
Vidal originally became pro-Obama because he grew up in “a black city” (meaning Washington), as well as being impressed by Obama’s intelligence. “But he believes the generals. Even Bush knew the way to win a general was to give him another star. Obama believes the Republican Party is a party when in fact it’s a mindset, like Hitler Youth, based on hatred — religious hatred, racial hatred. When you foreigners hear the word ‘conservative’ you think of kindly old men hunting foxes. They’re not, they’re fascists.”
Another notable Obama mis-step has been on healthcare reform. “He f***ed it up. I don’t know how because the country wanted it. We’ll never see it happen.” As for his wider vision: “Maybe he doesn’t have one, not to imply he is a fraud. He loves quoting Lincoln and there’s a great Lincoln quote from a letter he wrote to one of his generals in the South after the Civil War. ‘I am President of the United States. I have full overall power and never forget it, because I will exercise it’. That’s what Obama needs — a bit of Lincoln’s chill.” Has he met Obama? “No,” he says quietly, “I’ve had my time with presidents.” Vidal raises his fingers to signify a gun and mutters: “Bang bang.” He is referring to the possibility of Obama being assassinated. “Just a mysterious lone gunman lurking in the shadows of the capital,” he says in a wry, dreamy way.
Vidal now believes, as he did originally, Clinton would be the better president. “Hillary knows more about the world and what to do with the generals. History has proven when the girls get involved, they’re good at it. Elizabeth I knew Raleigh would be a good man to give a ship to.”The Republicans will win the next election, Vidal believes; though for him there is little difference between the parties. “Remember the coup d’etat of 2000 when the Supreme Court fixed the selection, not election, of the stupidest man in the country, Mr Bush.”
So, Bette is voting on a revolution, Gore, a presidential assassination and more and if all that wasn’t enough, there’s this little thing called a military coup suggested by Newsmax’s John L. Perry. I’ve linked to the piece via Media Matters.
There is a remote, although gaining, possibility America’s military will intervene as a last resort to resolve the “Obama problem.” Don’t dismiss it as unrealistic.
America isn’t the Third World. If a military coup does occur here it will be civilized. That it has never happened doesn’t mean it wont. Describing what may be afoot is not to advocate it.
[…]
Will the day come when patriotic general and flag officers sit down with the president, or with those who control him, and work out the national equivalent of a “family intervention,” with some form of limited, shared responsibility?
Imagine a bloodless coup to restore and defend the Constitution through an interim administration that would do the serious business of governing and defending the nation. Skilled, military-trained, nation-builders would replace accountability-challenged, radical-left commissars. Having bonded with his twin teleprompters, the president would be detailed for ceremonial speech-making.
Military intervention is what Obama’s exponentially accelerating agenda for “fundamental change” toward a Marxist state is inviting upon America. A coup is not an ideal option, but Obama’s radical ideal is not acceptable or reversible.
Unthinkable? Then think up an alternative, non-violent solution to the Obama problem. Just don’t shrug and say, “We can always worry about that later.”
In the 2008 election, that was the wistful, self-indulgent, indifferent reliance on abnegation of personal responsibility that has sunk the nation into this morass.
As Cannonfire reminds us, the newsource is whacky but the writer was on the staff of LBJ and Jimmy Carter. That’s hardly the sort’ve person that should be suggesting a military coup against Obama. Cannonfire also shows us some of the most recent unreasonable things said by Republicans against our sitting president.
I’m not sure if I want to buy a security blanket or a gun at this point, but frankly, all this talk is a little whacky and it’s creeping me out!
Our Dysfunctional Government
Posted: September 25, 2009 Filed under: Surreality, The Media SUCKS, U.S. Economy, Voter Ignorance | Tags: Corruption as an American Artform 1 Comment
It was the levees stupid!
I used to tell my students down here in New Orleans how smoothly things ran in Minneapolis compared to here until that Interstate Bridge fell into the river. Then I realized we were just the canary in the coal mine.
Still, it’s really hard to describe the degree of dysfunction surrounding all levels of government down here in Louisiana to any one that’s never actually lived here. It easily takes 15 – 20 minutes to get some one to respond to your 911 call. The New Orleans Parish Prison just got cited by the Justice Department has having such basic problems that they routinely violate prisoner’s civil rights. The roads are beyond terrible. What’s worse is the parade of people with government contracts and positions–many connected with ex Congressman Jefferson–who routinely skim money from nonprofits meant to help the city’s tremendous number of poor. Some of the worst scandals have involved the New Orleans Public School District where vendors, school board members, and a long time former school superintendent embezzled millions of dollars meant to educate our most vulnerable citizens. Thankfully, we have a justice department that is intent on cleaning out this hornet’s nest (with apologies to our basketball team). People down here have just gotten used to the situation so much that it makes you want to cry.
So, like I said, since I’d lived in Minneapolis which is a high tax but fairly functional part of the country, imagine my surprise when a portion of the of the interstate just dropped into the river. I thought they had only underfunded and underbuilt the levees down here. It turned out the problem is much bigger than that.
If you haven’t seen this month’s issue of Scientific American, then head to their website and read this piece called “The Failing U.S. Government–The Crisis of Public Management”. It’s a fairly short article but enough of a jaw dropper to make me ask repeatedly: what is wrong with this country? We used to take pride in our nation’s infrastructure. Projects like The Hoover Dam, the Golden Gate Bridge, and the nation’s interstate system were as much sources of pride as our nation’s romp on the Moon. They were symbols of American can-doism. I remember that as a kid, the parents would throw us into a brand new Ford LTD stationwagon that dad would order into the dealership that year especially for that purpose each year. We’d go search down a few national gems each summer until we had a new check marks on a list of every major American accomplishment and National Park. It was something to wave your little flag about then. What has happened to the shining beacon of progress we chased in the 1960s?
It just keeps on keeping on …
Posted: September 24, 2009 Filed under: Human Rights, Surreality, Women's Rights | Tags: dirty old professors, sexual predators Comments Off on It just keeps on keeping on …
From the time I was an undergrad to the time I was left at the ripe old age of 42 by a molecular biology professor significant other for a 20 year old undergraduate who just adored the presentation I helped him write, this shit has rolled on around me. As some one who has spent plenty of time in academia, I think the time is now to purge these perverts from higher education. This headliner at the UK Guardian just makes me want to drive to my daughter’s dorm room and adorn her in a burkha. I’m not kidding.
Are female students ‘a perk of the job’?
A vice-chancellor is encouraging lecturers to enjoy gazing at, even fantasising about, attractive female students
In an article for the Times Higher Education magazine on lust, part of a feature on the seven deadly sins of universities, Kealey wrote: “Normal girls – more interested in abs than in labs, more interested in pecs than specs, more interested in triceps than tripos – will abjure their lecturers for the company of their peers, but nonetheless, most male lecturers know that, most years, there will be a girl in class who flashes her admiration and who asks for advice on her essays. What to do?
“Enjoy her! She’s a perk.”
Flashing a few literary allusions, he continued: “She doesn’t yet know that you are only Casaubon to her Dorothea, Howard Kirk to her Felicity Phee, and she will flaunt you her curves. Which you should admire daily to spice up your sex, nightly, with the wife.”
Displaying a more surprising familiarity with the etiquette at lapdancing clubs, Kealey added: “As in Stringfellows, you should look but not touch.”
I would just like to say that me, my mother, my grandmother, and my two daughters sat in those chairs at university for an education, not to spice the sex life of some nasty old, over-educated and undersexed Humbert. Even as I write, I can name at least one colleague engaging in a grad student in the PhD. program from which I came.
Kealey, who has been vice-chancellor at Buckingham, the country’s only independent university, for eight years, said it was a myth that an affair between student and lecturer was an abuse of power, saying accountability has meant that “the days are gone when a scholar could trade sex for upgrades”.
But he added that some female students still fantasised about their lecturers.
Kealey’s comments were attacked by Olivia Bailey, women’s officer at the National Union of Students.
She told the Telegraph: “I am appalled that a university vice-chancellor should display such an astounding lack of respect for women.
“Regardless of whether this was an attempt at humour, it is completely unacceptable for someone in Terence Kealey’s position to compare a lecture theatre to a lapdancing club, and I expect that many women studying at Buckingham University will be feeling extremely angry and insulted at these comments.”
My daughters are not the perks of jerks. This guy should be fired post haste along with any one that agrees with him.
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Perspective
Posted: September 22, 2009 Filed under: Populism, Surreality, The Media SUCKS, Voter Ignorance | Tags: ACORN, Alan Grayson, ArmorGroup, Blackwater, Defund ACORN Act, GE, hurricane katrina, KBR, POGO, The Project on Government Oversight 3 Comments
One of the first things to go when people get morally outraged is their perspective. Not only do they frequently lose perspective, they also lose sight of bigger issues. A sense of outrage simply overwhelms one’s sense of perspective. The enraged heart overtakes the circumspect mind.
I’ve talked about The Project on Government Oversight (POGO) before when I brought up a defense contract maintained by the Federal Government with a company called ArmorGroup. This is the group that basically used Lord of the Flies-like hazing parties for their private security forces guarding embassies in places like Afghanistan. Whistle blowers, POGO, and government audits turned up a lot of fraud and abuse. There were even congressional hearings and questions, however, the contract was continued. Some press coverage reopened the issue earlier this year but the company basically was paid lots of federal dollars before any one took some real notice of it. Other mercenary-like groups–hired by our Defense Department–have had similar issues. Blackwater, while operating in Iraq, was said to be responsible for the deaths of innocent civilians and has been barred from doing business in the country by the Iraqi government. These are just some of the more egregious examples.
Then, there are the defense contractors building bombs and buildings. Remember the solider in Iraq was killed due to faulty wiring by KBR?
American electricians who worked for KBR, the Houston-based defense contractor that is responsible for maintaining American bases in Iraq and Afghanistan, said they repeatedly warned company managers and military officials about unsafe electrical work, which was often performed by poorly trained Iraqis and Afghans paid just a few dollars a day.
One electrician warned his KBR bosses in his 2005 letter of resignation that unsafe electrical work was “a disaster waiting to happen.” Another said he witnessed an American soldier in Afghanistan receiving a potentially lethal shock. A third provided e-mail messages and other documents showing that he had complained to KBR and the government that logs were created to make it appear that nonexistent electrical safety systems were properly functioning.
KBR itself told the Pentagon in early 2007 about unsafe electrical wiring at a base near the Baghdad airport, but no repairs were made. Less than a year later, a soldier was electrocuted in a shower there.
The process of seeking out contractor abuse is nothing new to this government or any other in this country. You may remember that during FDR’s campaign for the presidency, wife Eleanor rode around in car with a steaming teapot on the roof to remind folks of the Teapot Dome Scandal. Folks taking advantage of federal money go from the small fry to the country’s largest multinationals. Lincoln warned of it. So, did Eisenhower.
I remember during the Hurricane Katrina diaspora, many folks were said to use debit cards given to them as largess of the taxpayer on strippers, alcohol and guns. I can say that the money the U.S. government gave to me went to things like driving to Omaha, food, and pajamas. But people are stupid and then stupid things happen. But who do you focus upon? The one idiot the spent the money in the strip joint or the company of a friend of Jeb Bush that sold faulty pumps to the Corps of Engineers? You know the ones that would be necessary to get water out of the city should anything like Hurricane Katrina happen again? You remember Hurricane Katrina? People died? Incredibly costly damage? That sort of thing? I think there was more outrage over the few thousands of dollars they went to Houston strip joints than to any of the fraud that went on with the levee building, installation of the new pumps, and who knows what else will eventually be uncovered by the time these projects are audited by the GAO?

















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