Some Wise Words...

[SweetNadine]

www.lewrockwell.com/reese/reese130.html

A Storm Is Coming
by Charley Reese




Years ago I read a most significant book – "The Rich and the Super-Rich," by Ferdinand Lundberg. What he had to say is very pertinent to our present economic situation.

The first point he made is that wealth is not money. Wealth consists of assets – land, tools, factories and skills. Money is merely a medium of exchange. The difference is important. A truly rich man owns stuff – land, houses, factories, means of transportation. He does not depend on a salary for cash flow. Nelson Rockefeller, for example, once testified before Congress that many years he had no taxable income. He, of course, didn't need it. He owned stuff, and he owed nothing.

The easiest way to understand this difference is to imagine that you are about to be marooned on a deserted island. You are given a choice of one of three cases: one case contains $1 million in gold; another contains $1 million in Federal Reserve notes; and the third case contains tools. Which would you choose? Well, unless you are hopelessly stupid, you'd choose the tools. With the tools, you could create the wealth necessary for survival – shelter and food. Gold and dollars are useless unless there is someone willing to exchange real wealth for them.

Let's look at a guy who has the appearance of being rich. He drives a fancy car, but it is leased; he lives in a big mansion, but he pays a monthly mortgage; he belongs to several private clubs, but he pays dues; he buys pretty much what he wants to buy, but he uses credit cards; and he has a gold-standard health-insurance policy, for which he pays a high monthly premium. What is clear is that this guy is not really rich; he is living off his cash flow. Cut that cash flow and all his appearances of wealth will vanish. Layoffs and bankruptcies cut cash flow.

Another point to keep in mind is that owning stocks is owning paper. Go back to the deserted island. The only use $1 million worth of blue-chip stocks would be is as a fire starter. If you own stocks, you own pieces of paper, and unless you can sell them, they are, in fact, worthless. Remember Enron?

While it's out of the experience of most living Americans, what made the Great Depression so devastating was that it cut cash flows and rendered paper wealth worthless. Many people who thought of themselves as well-off were suddenly impoverished. They lost their jobs. They lost their homes. They lost their investments. They lost most of their possessions. The Great Depression wasn't the first depression to hit the United States, and despite the bunk you hear, it won't be the last.

I would not in a million years pretend to be a financial guru or even an adviser, but believe the ancient wisdom: Get out of debt and stay out. Live within your means. Strive for ownership of tangible assets free of any debt. I cringe every time I see one of these incessant television ads urging people to put a second mortgage on their home. Another bit of ancient wisdom is never borrowing money to purchase a depreciating asset. And remember, even homes and land can become a depreciated asset. In Florida in the late 1920s, land that was selling for $6,000 an acre, a few months later, couldn't attract a buyer at $2 an acre. The value of land, other than as a place to live and to grow food, depends entirely on someone else's willingness and ability to buy it.

We as a nation are living beyond our means. The federal government is in debt. Most state and local governments are in debt (their form of deficit spending is to issue bonds). Most assuredly the American consumer is dangerously in debt. And, finally, the American dollar is losing its purchasing power steadily and daily. Remember, debt is the promise of future income to pay for today's consumption. Nobody is guaranteed a future, much less future income.

George Soros, the billionaire financier, did not oppose the re-election of George Bush because Soros is a left-winger. He opposed Bush's re-election because, as a man who understands finance, he is fearful for the economic future of this country unless we change directions.

When the money-smart folks get scared, us country boys had better pucker up, too. Get out of debt, slam the door in the faces of all salespeople and turn off the TV. I believe a storm is just over the horizon.

November 6, 2004

[Roughneck]

A number of professors that I've had, conservative ones, believe that we are beginning to see the decline of the United States. The overwhelming relative power of the US began declining once Europe got back on it's feet in the 1950s, but it's now accelerating. One thing that has to be considered is the continued decline of the dollar relative to the Euro. That's not some vast conspiracy engineered by Paris. That's a sign of the decline in world consumer confidence in the US economy. I think a large part of it has to do with our being tied down in Iraq, and all our shortcomings shown through. The dollar replaced the pound when US military power passed Britain's. Also the record deficits which are largely unecessary must weaken confidence. There's the old question of what would happen if the rest of the world suddenly came calling for their money, we would collapse immediately. Now, the rest of the world is unlikely to torpedo our economy like that cause they'd go down with us, but it's dangerous to leave ourselves at such mercy to foreign powers. Forget about dependence on foreign oil, how about foreign bankers? Especially the Chinese, who are seen as the next state that will be our rival? They take our Christmas money and buy tanks with it. I suspect that anyone trained as an economist would call it much worse than it even looks, and that when historians write the books on the decline of American hegemony, the bush Presidency will be seen as one of the big signs and/or causes. I've heard some say that for every Kerrynomics fan you can find a Bushnomics fan, but I think all the ones who like Bush's way are on his payroll.

[Travelinman]

This Country has been in decline since Regan. After his presidency Americans began to develop the arogant attitude we have become so well know for. Progressively it has been getting worse. "If it wasn't for us the world would be speaking German, there's no where in the world better (mostly said by people who have never left the country.) You get the idea. Economically we are losing market share because we are losing the production of goods to other countries. U.S. companies located in foreign coutries because of the economics. The economy keeps bleeding out of America and no politicians care.

The results of the newly formed European Union are not yet know, but with the coutries of Europe uniting all of their resources Europe will also become a force economically and industrially.

[SanAntonioMike]

Sadly, we're going to continue down this line unless we get some progressive, forward-thinking peope into office, and soon. Otherwise, we're going to march boldly into the past, and we'll make America a backward, 3rd-world country while doing it.

We can't stand idly by. Get a Democrat into office in 2006.

[Roughneck]

POLITICAL TRUTH WITH A TEXAS TWANG
By Bill Gallagher
DETROIT -- "Go to hell, Yankee!" "Secede before we kick you asses out!" "The South will rise again!" "You are a dangerous nut." "The most hate-filled diatribe I've ever read." "The South should be free to rid itself of this Northern forced plague."

My, my, aren't they testy? You would think I'd vilified Gen. Robert E. Lee, desecrated "Stonewall" Jackson's grave and re-enacted Sherman's march to the sea.

Simply pointing out that, in many respects, the Blue States had more in common politically and socially with Canada inflamed and enraged more than a few readers, mostly from the Red States.

Although, in my column last week, I never advocated secession, I was flooded with e-mails urging me and all like-thinking liberals to leave the union.

I was amazed at the number of people advancing arcane theories about how secession would work, the constitutional mechanics of expelling the Blue States and how much better off the folks in the United Christian Kingdom of Bush (UCKB) would be with the unholy states of the North and West Coast separated from the territory under the flag of the radical religious right.

"I challenge you to actually read the Good Book and see in the New Testament that Christianity is not the hateful, evil religion you seem to think it is," one reader wrote.

Of, course, I never suggested that, but the remark is typical of those who equate criticism of thoroughly politicized preachers -- who used their pulpits to urge their flock to vote for Bush because he embraced "moral values" -- as an assault on Christianity.

The anti-gay rhetoric was most evident. Someone who signed an e-mail "McRebel" wrote, "The thought of all you liberals and gays and Broadway show tunes being in a foreign country is wonderful."

For pure venom, it's hard to top Walter Ring from Richmond, Va., the capital of the Confederacy, as he proudly noted.

"The blue states can secede and join Canada and I wish they would," he wrote, and then -- while accusing me of being a Communist and harboring "hate" for America -- he suggested, "Now, go have fun with your gay friends while they gang-rape you and molest your children. If tolerance is having your children raped by negroes, spics, gays and other moral degenerates, I will stick with red intolerance, thanks."

I'm sure after composing that inspirational prose, old Walter picked up his Bible and smiled, pleased with his moral superiority and righteousness.

For quite a few below the Mason-Dixon Line, I seemed to have somehow poked the raw nerve of Red State wrath and resentment toward the Blue States and our alleged "lack of Christian values." However, some messages were hopeful, including several from people in Texas and Oklahoma who represent a progressive oasis in that desert of right-wing fanaticism.

Angel McCormack, from Houston, Texas, points out that in Harris County (Houston), 45 percent of the votes went to John Kerry, and Dallas County was a virtual toss-up. That is encouraging, and eventually more people in the Red States will wake up when they realize that Bush's war in Iraq is a horrible mistake, his monumental deficits are doing serious harm to our economic future, and working-class people will suffer the most.

Armed with a stack of unread e-mails, I stopped in a friendly watering-hole after work one day last week for a gentle libation and chance to catch up on my reading. I grab a seat at the bar next to John Lipchik, who runs the carwash next door and is a member of the punk rock band Smashbandits. John is a committed libertarian and Bush's assault on constitutional protections and basic rights disturbs him greatly.

Another guy came in and ordered a beer. He was skinny as a rail, wore a baseball cap over his pony tail and had the map of Texas and Opus, the comic strip penguin, tattooed on his arm.

I had a computer print-out of the Niagara Falls Reporter cover with the map of Blue States connected to Canada and the headline "Brave New World," and copies of my story, which, each week, several of the wait staff either enjoy or despise.

John and I were quietly chatting about politics and we carefully eased the stranger into the conversation. He laughed at the map. When I told him I had written some less-than-flattering things about Texas that he might find offensive, he just shrugged.

"Actually, it don't piss me off. What are you apologizing for? We treat the North a lot worse."

I liked the guy immediately and then heard some Red State political wisdom worth sharing.

I mentioned I that had gotten quite a few angry e-mails about referring to the Confederate Flag as a symbol of treason.

"They care more about the damn flag than they do about Bush," he said.

Jerry McIntosh Jr. is from Pearland, Texas, outside Houston, where his daddy is a retired cattle rancher. Jerry's daddy, Jerry Sr., is the source of his inspired political views.

"My daddy's a common-sense kind of guy. He can't stand Bush," Jerry said, adding, "He told me he didn't vote for that cattle-rustling son of a bitch and neither did I."

It was so refreshing hearing political truth in a twang.

Jerry then regaled us with his and his daddy's views on the issues of the day.

On George W. Bush's worldview: "He has no fur'in policy at all and he's been running around pissing off every country in the world."

On Bush's weapons of mass destruction in Iraq -- the rationale for war: "Daddy says, like, if they had 'em, it should have been like walking through a cow pasture at night blindfolded. You can't miss stepping in it."

On gay rights and moral values: "My daddy says if you're gay, that's your business and I have no right to judge you, because I'll be judged myself someday."

On Bush's "mandate" and the Republican Congress: "Daddy says we got to have checks and balances or all the lobbyists will win every time and the working man will be screwed."

As Jerry entertained us, another local regular sat at the bar. He's a former FBI agent, conservative Republican and avid Bush supporter. He didn't appreciate Jerry's irreverence as we laughed at his homespun humor.

Jerry chuckled, "I'm just a dumb hick from Planet Texas. When I came up here, I thought Labatt was some kind of wood."

As Jerry read some of my hostile e-mails, he held the paper close to his thick glasses. The FBI man whispered into my ear, "Look at him. He can't even read."

While liberals are often branded as social and intellectual elitists, this conservative businessman seemed as much annoyed by Jerry's simple country ways as his by his denunciations of George W. Bush. As I took notes on Jerry's remarks, FBI man kept ranting.

"That guy can't even read and you're listening to him like he knows what he's talking about."

I bought Jerry a shot of Cuervo Gold. FBI man huffed out of the joint, without saying goodbye, leaving some money and half a drink.

John said, "What's wrong with him?" Jerry wondered, too.

"Well, I tell you," I said, shaking my head. "He said he doesn't think you can read, Jerry." Smiling at that ridiculous assessment, Jerry said, "Sure I can. And ya know something, my favorite columnist is that Mereen Daud in The New York Times."

I have a new friend and greater respect for Red State wisdom. FBI man is seething and there is hope for our republic.

[LS]

This really isn't 'political'...but I found it to be (sadly) a very profound and brutally honest observation on the current condition of American society as a whole. Something to ponder as we start a new year...

______________________________

The paradox of our time in history is that we have
taller buildings but shorter tempers, wider
freeways, but narrower viewpoints. We spend more,
but have less, we buy more, but enjoy less. We have
bigger houses and smaller families, more
conveniences, but less time. We have more degrees
but less sense, more knowledge, but less judgment,
more experts, yet more problems, more medicine, but
less wellness.

We drink too much, smoke too much, spend too
recklessly, laugh too little, drive too fast, get
too angry, stay up too late, get up too tired, read
too little, watch TV too much, and pray too seldom.
We have multiplied our possessions, but reduced our
values. We talk too much, love too seldom, and hate
too often.

We've learned how to make a living, but not a life.
We've added years to life not life to years. We've
been all the way to the moon and back, but have
trouble crossing the street to meet a new neighbor.
We conquered outer space but not inner space. We've
done larger things, but not better things.
We've cleaned up the air, but polluted the soul.

We've conquered the atom, but not our prejudice. We
write more, but learn less. We plan more, but
accomplish less. We've learned to rush, but not to
wait. We build more computers to hold more
information, to produce more copies than ever, but
we communicate less and less.

These are the times of fast foods and slow
digestion, big men and small character, steep
profits and shallow relationships. These are the
days of two incomes but more divorce, fancier
houses, but broken homes. These are days of quick
trips, disposable diapers, throwaway morality, one
night stands, overweight bodies, and pills that do
everything from cheer, to quiet, to kill.

It is a time when there is much in the showroom window
and nothing in the stockroom. A time when technology can
bring this letter to you, and a time when you can
choose either to share this insight, or to just hit
delete.

Remember, spend some time with your loved ones,
because they are not going to be around forever.
Remember, say a kind word to someone who looks up to
you in awe, because that little person soon will
grow up and leave your side.

Remember, to give a warm hug to the one next to you,
because that is the only treasure you can give with
your heart and it doesn't cost a cent.
Remember, to say, "I love you" to your partner and
your loved ones, but most of all mean it. A kiss and
an embrace will mend hurt when it comes from deep
inside of you.

Remember to hold hands and cherish the moment for
someday that person will not be there again.
Give time to love, give time to speak, and give time
to share the precious thoughts in your mind.

AND ALWAYS REMEMBER:
Life is not measured by the number of breaths we take,
but by the moments that take our breath away.

If you don't send this to at least 8 people....who cares?

~~ GEORGE CARLIN

[SweetNadine]

www.lewrockwell.com/reese/reese152.html
If anything good can be said about the disaster that struck Asia, it is that the response demonstrated once and for all that the world really has become a global community.

People put aside the labels that usually divide us – Christian, Jew, Muslim, Hindu, Buddhist or whatever – and responded as human beings to the needs of other human beings. That's encouraging. There might be hope for the human race yet.

And if the people got ahead of their governments, that's OK. People, after all, respond to need. Politicians, whatever their nationality, instinctively pause to assess the political impact of whatever they might do or say. To be angry about that is like being angry at the desert for being dry or the ocean for being wet.

It is worth noting that this is not the worst disaster in recent years. Cyclones in 1991 killed almost as many or perhaps more people in Bangladesh than died in the recent tragedy. In 1970, a cyclone in the same country killed an estimated half a million people. I vaguely remember reading about it, but it did not have the impact the current tragedy has had, and it is useful to note the reasons it did not.

For the sake of honesty, one has to say that in Bangladesh there were no large numbers of European and American tourists in 1970, but more importantly, there did not exist then the capability for global communications. CNN did not come along until 1980, and personal computers and the Internet did not exist in 1970.

Those of us in the ink-stained-wretch business are loath to admit it, but television and pictures on the Internet have far more impact than words on paper. What made the difference this time was that people could see the disaster and its aftermath, not only on commercial television, but by viewing videos on the Internet taken by survivors. Words are just words. They convey meaning in an abstract manner, but pictures are the next best thing to being there. And today it is often possible to see things as they happen or very shortly afterward.

So what people saw were not foreigners, but mothers and fathers and children, and they discovered what I learned a long time ago – that despite differences in appearance or clothing or language or customs, human beings the world over are basically the same.

I've been called an ethnic junkie. That's because I like the company of first-generation immigrants. I learned that if you want to know something about a foreign country, it is better to talk to people who were born there and lived there than to consult so-called academic experts. When you talk to a Cuban who has lived under Fidel Castro, you know what a tyrant Castro is. When you talk to people who have lived through the events in the Middle East, then you know more than many biased history books will tell you.

But what I discovered through my friends who are Cuban, Arab, Israeli, Vietnamese, Korean, Hungarian, Chinese, Eritrean or whatever is that the differences are, in the final analysis, superficial. Humans the world over share basically the same dreams and hopes and emotions. People who try to exploit these superficial differences for the sake of their own selfish motives or political agendas are really enemies of the human race.

The fact that we are basically the same doesn't mean there won't be conflicts. It should mean, though, that for all time there will never be another racial conflict. The human race is all we. There is no "other."

That is the message that is emerging from the relief efforts. People are helping people to whom they have no tie other than that they are all human beings. But today the world is closer than it was before the earth shook and the waves came.









January 8, 2005