Unemployment by State

Holy shit…

Is California About to Legalize Marijuana?

I read this rather sensational headline at John C Dvorak’s blog.  Of course, these things usually have several false starts before they’re actually passed, but given the State’s economic situation, it could be the right bill at the right time.

The proposal would regulate marijuana like alcohol, with people over 21 years old allowed to grow, buy, sell and possess cannabis – all of which is barred by federal law.

Ammiano said taxes and other fees that accompany regulation could put more than a billion dollars a year into state coffers at a time when revenues continue to decline. He said he anticipates the federal government could soften its stance on marijuana under the Obama administration.

Obama Rally Draws 100,000 in Missouri

Joe the Moron

Joe the Plumber?  No, more like Joe the Moron.  From ABCNews.com

ABC News’ Chris Bury is outside Toledo, near the home of Samuel Joseph Wurzelbacher, aka "Joe the Plumber," and reports that Wurzelbacher — such a key part of Sen. John McCain’s critique of Sen. Barack Obama’s economic proposals — acknowledged that he wants to purchase the plumbing business for $250-280,000, not that he would net that much in profits.

He would make much less, he said.

Which would seem to indicate that he would be eligible for an Obama tax cut, not that he would be subject to the tax increase from 36% to 39% Obama would impose on those making more than $200,000 per person, or $250,000 per family.

To be fair, he says he’s concerned that if he were to make over $250,000 he would be in a higher tax bracket.  Fine, but you’re still a moron, Joe.

How does Joe propose he grow his business in this economic climate?  And even if he were in the higher bracket already, who exactly is going to be able to afford to hire you in this economy?

Here’s the thing – these “small” business owners, who are making $250,000 and up, are typically reliant on those of us in the middle class and below.  That is, when we have extra money, we spend it as patrons of their services.  So really, progressive tax systems simply force the “circle of money”, so to speak.  If the middle and low classes have no money to spend, how are these small businesses supposed to survive?

Lowered Expectations

I find it somewhat troubling that so many consider last night’s VP debate a good thing for Palin.  I suppose if you lower  expectations to the point that simply not shitting on the rug constitutes a success, you’re fit for public office.

Seriously though, Palin flat-out refused to answer the debate questions, and somehow that’s OK?  What the fuck?  But, she did wink at the camera – twice.  So I guess that makes it all better.

And for the love of God… Say it with me: NOO-clee-urr.  Fucking imbecile.

Why the Bailout Sucks My Balls

From ClusterStock.com

• Hank Paulson & Co. survey the banking industry and decide who will stay and who will go. JP Morgan (JPM), Citi (C), Wells Fargo (WFC), and Bank of America (BAC) will stay. Goldman (GS) will probably stay. Morgan Stanley (MS) might stay. Everyone else in trouble could go. The government doesn’t need to save all banks. It just needs to save some.
• Within a month or two, Paulson buys $250 billion of crap assets. He pays more than market value, but not an egregious amount more (because the public will be watching these early rounds). Over the next six months, he buys $700 billion of assets…and then he–or his successor–asks Congress for more money.
• Confidence improves modestly, but banks continue to hoard capital and credit markets stay tight. Loans stay expensive and hard to get. This keeps pressure on the economy.
• The credit crunch filters through to consumers: Credit cards, home equity loans, mortgages, car loans, etc., get more expensive, putting more pressure on consumers and forcing them to cut back further.
• The economic news continues to get worse: American consumers continue to pull back, housing continues to fall (as of July, the year over year declines were still accelerating), companies begin to cut back, which leads to layoffs–which puts more pressure on consumers.
• The global economy continues to weaken: Europe, Asia, and, eventually, emerging markets.  This is already happen, and everyone else is later in the cycle than we are.
• The stock market continues to fall, as corporate earnings come under increasing pressure and hope for an early 2009 recovery fades.  Analysts are still expecting huge growth in S&P 500 earnings for next year.  These estimates will get cut by at least a third.
• The government enacts further measures to try to stop the fall in asset prices (stocks, houses)–including an expansion of the bailout plan–but these don’t work. Governments always try to do this. They never succeed. All they do is delay the inevitable.
• A new round of white-collar prosecutions send a new posse of corporate villains to jail. Some will be guilty. Some won’t. All will be hated.
• The government announces a new New Deal, finally investing in the country’s infrastructure, in the hopes that this will stimulate the economy (which it will). Investments include broadband, green tech, wireless, physical infrastructure, et al.
• Eventually, asset prices will bottom: Housing down 40% in real terms, the stock market down at least 50%. With luck, this will happen by early 2010, so the recovery can begin.  Warren Buffett loads the boat with stocks, but by that time, most people are too depressed (and poor) to follow him.
• Unlike Japan, we finally force our banks to write down assets as far as they need to be written down…and then recapitalize them. This is what we should have done in the current bailout, but we’ll get it right next time (we hope).
• We gradually begin a long-term economic recovery, one in which consumers save a greater percentage of income, thrift and saving again become admirable qualities, we gradually begins to wean itself off international oil, and the bacchanalian decades of the 1990s and 2000s become an embarrassing memory.
• The stock market finally begins a new, long-term bull market, in which stocks once again return 10%+ per year.  Unfortunately, most Americans will be so sickened by the stock losses they’ve sustained since 2000 that they’ll miss many years of it.

The red-highlighted item above is precisely where this $700,000,000,000 should go now, not later.  This is nothing more than a fucking money grab, and its disgusting.

Helpful Reminder

From where I sit, I can hear everything that gets discussed in the engineering bullpen, including politics.  I’ve been reminded, as is the case quite often recently, why I despise talking about politics with my coworkers.  Among the 4-5 people that regularly get into discussions, there’s barely a fact to be found.

Also, its clear that racism is alive and well with regard to at least one of the older designers here.  Truly staggering.

Slacker Uprising

Say what you will about Michael Moore, but this guy truly gives a damn, and is putting his money where his mouth his.  And really, that’s about as American as it gets.

You can download his newest documentary, Slacker Uprising, for free.

Elitist?

Omen?

Heh.

Will Hurricane Gustav Rain on GOP Parade?

As Gulf Coast residents were bracing themselves for Hurricane Gustav swelling towards their shores in the form of a Category 3 storm with 135 mph winds, the White House announced President Bush no longer plans to travel to the Republican National Convention in St. Paul, Minn.

Gustav is not only threatening to wreak major havoc on the Gulf Coast, it is also creating a public relations nightmare for Republicans, who kick off their convention Monday.

First of all – of course Bush isn’t going to the convention.  Gustav presents him a wonderful opportunity/excuse to avoid tainting McCain at an all-too-critical time.

You know, its funny.  The very hand of God those jackasses claim to follow appears to be flicking them squarely in the nuts.