I just do not get it. America has the smartest minds in the word and where are the ideas?
I have heard and seen the Pickens Plan. I have heard how it is being funded T Boone Pickens personally. I have heard that it will take additional investors down the road. I have heard Pickens will profit from its success and pay personally if it fails. I have heard that this is not a fix all, but a good starting point to energy independence.
Rewind, some 200 years ago to the industrial revolution. The two major drivers behind this revolution and the resulting global expansion was CHEAP ENERGY and LOGISTICS. The advent of coal and our ability to deliver it in large quantities longer and longer distances secured the foundation of the industrial revolution. In the next century OIL replaced the dirty coal, more cumberson coal, as the CHEAP ENERGY source to continue the revolution. Today we are faced with another search for CHEAP ENERGY as OIL has not become the dirty coal of the past. With out cheap energy we will not exist as we do today.
CASHDOCTOR SOLUTION - Americans create and personally fund 20 Picken Plans. YES, the Cashdoctor wants to see the FORBES Plan, the GATES Plan, the BUFFET PLAN, the GOOGLE GUYS (Page & Brin) Plan, The JOBS Plan, The ADELSON Plan, The ELLISON Plan, The KERKORIAN Plan, The DELL Plan, The KOCH Plan, The ALLEN Plan, The WALTON Plan, BALLMER Plan, The JOHNSON Plan, The ICHAN Plan, The TAYLOR Plan, The BREN Plan, The BLOOMBERG Plan, The COX Plan, The KAISER Plan, The MARS Plan (if you can think of more - do it).
Yes, we have the most creative minds and the most money in all the world. We now need to create the BIGGEST X PRIZE ever with a nation to benefit. I challenge these WELL FUNDED, great minds to a mass all their knowledge and put their money up to solve our nations dependence on foreign oil. I encourage 20 different directions and solutions. RULES - must start with your own money, must be renewable, can be of benefit (profit) to the person, but must also have long term benefit to the population of the USA.
Now you have it, the solution to our ENERGY crisis in ONE PAGE. Heck all you have to do is put all of these egos into one rooms AND nature will do the rest. America it is up to us to get the ball rolling. . I need everyone to pen a letter to the above asking them to assemble their advisers, put up their money and come up with a plan. In your letter commit your support to their effort in your local community.
P.S. I will be posting sample letters and addresses in the coming weeks as they become available
Tuesday, October 28, 2008
Wednesday, October 15, 2008
HELLO - CDS trouble started under the CLINTON ADMINSTRATION
Good morning readers, In my reading this morning, I found this very interesting article regarding Credit Debit Swaps (CDS). In the article you will find the origin dates back to 2000. How can anyone say our current crisis is the result of the Bush administration. Both the mortgage and the CREDIT crisis has its origins in the Clinton administration. It was the Bush administration that just sat there and WATCHED. They did not start the crisis, they just did not do anything MATERIAL about it.
We must regulate this form or gambling or REMOVE IT TOTALLY from existence. Transparency MUST EXIST in all areas in order for capitalize to function and for it to be equal to all. The failure of our economy and health is due to a lack of transparency.
Americans be prepared to STAND up and fight for your rights.
Cashdoctor Rob
Dinallo Testifies On Swaps Oversight
BY MATT BRADY
Washington Bureau -- NU Online News Service, Oct. 14, 2008, 3:14 p.m. EDT
New York State Insurance Superintendent Eric Dinallo spoke at a hearing here today about coming up with a “holistic” approach to regulating the credit default swaps market.
A credit default swap is an over-the-counter contract that gives the buyer the right to collect a payment from the seller if a borrower defaults on the terms of a bond, note or other debt security.
Dinallo told members of the Senate Agriculture Committee that credit default swaps can be divided into two categories.
The first category includes transactions in which the holder of an obligation, such as a bond, “swaps” the risk of default with another party for a fee.
That type of transaction resembles an insurance transaction, Dinallo said.
The second category of credit default swaps includes “naked credit defaults swaps,” Dinallo said.
When parties set up a naked credit default swap, neither party owns the bond, note or other obligation linked to the swap, Dinallo said.
In effect, Dinallo said, a naked credit default swap is a bet on whether the issuer of the obligation will default.
Dinallo noted that the Commodity Futures Modernization Act, passed in 2000, created a “safe harbor” for credit default swaps.
The CFMA safe harbor preempted state laws that would have barred credit default swaps and exempted credit default swaps from regulation by the Commodity Futures Trading Commission, Dinallo testified.
Also in 2000, someone asked the New York Department of Insurance a “very carefully crafted question” about whether the department would treat naked credit default swaps as insurance contracts.
“Clearly, the question was framed to ask only about naked credit default swaps with no proof of loss,” Dinallo said. “Under the facts we were given, the swap was not ‘a contract of insurance’ because the buyer had no material interest and the filing of a claim does not require a loss. But the entities involved were careful not to ask about covered credit default swaps. Nonetheless, the market took the department’s opinion on a subset of credit default swaps as a ruling on all swaps and, to be fair, the department did nothing to the contrary.”
The CFMA safe harbor provision and the swaps market participants’ reading of the New York department guidance let the credit default swaps market go unregulated by state insurance regulators or by the U.S. Commodity Futures Trading Commission, lawmakers and witnesses said at the hearing.
Because credit default swaps are not traded on “open, transparent exchanges…it is literally impossible to know whether swaps are being traded at fair value or whether institutions trading them are becoming over leveraged or dangerously overextended,” said Sen. Tom Harkin, D-Iowa, the chairman of the Senate Agriculture Committee.
Current estimates suggest that the credit defaults swaps market has a total face value of about $62 trillion, which is about the same as the world’s 2008 gross domestic product.
Hearing participants talked about the idea of creating an exchange or clearinghouse to get a hold on the market.
Some witnesses said there are legitimate reasons to set up “naked swaps.” Those witnesses objected to the idea of banning naked swaps outright.
Richard Lindsey, president of the Callcott Group L.L.C., New York, responded to Harkin’s characterization of swaps as “casino capitalism” by contending that swaps have some similarities to futures contracts.
“While credit derivatives are often pejoratively described in the media as a ‘bet,’ it is important to realize that one could equally describe all investments as ‘bets,’” Lindsey said.
Dinallo testified that naked swaps can help companies hedge against exposures that are not directly related to their own operations.
A company could, for example, use credit default swaps to protect against the risk of a downturn affecting a large customer’s ability to pay its bills, Dinallo testified.
Lindsey said the best solution for ensuring that credit default swaps are conducted responsibly is to make sure that the executives at the companies involved know what they are doing.
At a company involved with credit default swaps, “each individual has a duty to probe, to challenge and to ensure that he or she has confidence in and understands the answers,” Lindsey said.
We must regulate this form or gambling or REMOVE IT TOTALLY from existence. Transparency MUST EXIST in all areas in order for capitalize to function and for it to be equal to all. The failure of our economy and health is due to a lack of transparency.
Americans be prepared to STAND up and fight for your rights.
Cashdoctor Rob
Dinallo Testifies On Swaps Oversight
BY MATT BRADY
Washington Bureau -- NU Online News Service, Oct. 14, 2008, 3:14 p.m. EDT
New York State Insurance Superintendent Eric Dinallo spoke at a hearing here today about coming up with a “holistic” approach to regulating the credit default swaps market.
A credit default swap is an over-the-counter contract that gives the buyer the right to collect a payment from the seller if a borrower defaults on the terms of a bond, note or other debt security.
Dinallo told members of the Senate Agriculture Committee that credit default swaps can be divided into two categories.
The first category includes transactions in which the holder of an obligation, such as a bond, “swaps” the risk of default with another party for a fee.
That type of transaction resembles an insurance transaction, Dinallo said.
The second category of credit default swaps includes “naked credit defaults swaps,” Dinallo said.
When parties set up a naked credit default swap, neither party owns the bond, note or other obligation linked to the swap, Dinallo said.
In effect, Dinallo said, a naked credit default swap is a bet on whether the issuer of the obligation will default.
Dinallo noted that the Commodity Futures Modernization Act, passed in 2000, created a “safe harbor” for credit default swaps.
The CFMA safe harbor preempted state laws that would have barred credit default swaps and exempted credit default swaps from regulation by the Commodity Futures Trading Commission, Dinallo testified.
Also in 2000, someone asked the New York Department of Insurance a “very carefully crafted question” about whether the department would treat naked credit default swaps as insurance contracts.
“Clearly, the question was framed to ask only about naked credit default swaps with no proof of loss,” Dinallo said. “Under the facts we were given, the swap was not ‘a contract of insurance’ because the buyer had no material interest and the filing of a claim does not require a loss. But the entities involved were careful not to ask about covered credit default swaps. Nonetheless, the market took the department’s opinion on a subset of credit default swaps as a ruling on all swaps and, to be fair, the department did nothing to the contrary.”
The CFMA safe harbor provision and the swaps market participants’ reading of the New York department guidance let the credit default swaps market go unregulated by state insurance regulators or by the U.S. Commodity Futures Trading Commission, lawmakers and witnesses said at the hearing.
Because credit default swaps are not traded on “open, transparent exchanges…it is literally impossible to know whether swaps are being traded at fair value or whether institutions trading them are becoming over leveraged or dangerously overextended,” said Sen. Tom Harkin, D-Iowa, the chairman of the Senate Agriculture Committee.
Current estimates suggest that the credit defaults swaps market has a total face value of about $62 trillion, which is about the same as the world’s 2008 gross domestic product.
Hearing participants talked about the idea of creating an exchange or clearinghouse to get a hold on the market.
Some witnesses said there are legitimate reasons to set up “naked swaps.” Those witnesses objected to the idea of banning naked swaps outright.
Richard Lindsey, president of the Callcott Group L.L.C., New York, responded to Harkin’s characterization of swaps as “casino capitalism” by contending that swaps have some similarities to futures contracts.
“While credit derivatives are often pejoratively described in the media as a ‘bet,’ it is important to realize that one could equally describe all investments as ‘bets,’” Lindsey said.
Dinallo testified that naked swaps can help companies hedge against exposures that are not directly related to their own operations.
A company could, for example, use credit default swaps to protect against the risk of a downturn affecting a large customer’s ability to pay its bills, Dinallo testified.
Lindsey said the best solution for ensuring that credit default swaps are conducted responsibly is to make sure that the executives at the companies involved know what they are doing.
At a company involved with credit default swaps, “each individual has a duty to probe, to challenge and to ensure that he or she has confidence in and understands the answers,” Lindsey said.
Tuesday, October 14, 2008
It is the ECONOMY you idiot
I just do not get it! How world stock markets are celebrating the fact that we are going to HAVE MORE MONEY to loan to companies and individuals who cannot pay it back. Debt is what got us into to trouble in the first place. Yes – CREDIT CREATES DEBT. Companies need to make a profit. All of the companies we are trying to help have NOT MADE AN HONEST PROFIT FOR YEARS. The only way they could survice is via the creation and marketing of vehicles so complex no one knows how they work and what will happen is they FAIL. We all remember the Titanic was an UNSINKABLE SHIP. What good is a line of credit to create goods no one wants, needs or can afford to purchase. We are being HOOD WINKED AGAIN to go out and shop to save the world from global recession or more likely DEPRESSION. It will not work a second time. Global consumers have been tapped out, except for the Chinese consumer who has been insulated from our WARPED since of wealth we have created in the USA and Europe by artificially inflating the value of real estate in order for consumers to leverage in order to gain cash in order to purchase ICE CREAM. Chinese really have savings in CASH. Go figure, I guess they do not like ICE CREAM. Yes America is a economy where we make and sell ice cream to each other. (One needs to remember back 2 years ago when they said Americas manufacturing industry was a dying engine and we are a SERVICE AND FINANCIAL based economy. Wow, how wrong were they? I guess they were smoking some of their own weed.
I also do not see anyone predicting how the DIVERSION of 250 billion from the real estate and mortgage bail out (oh and $135 billion has to go to AIG = 385 FROM 770 all ready consumed) will affect home and land prices. Yes the banks were counting on the government using that money to buy BAD loans. Instead they get to sell their COMPANIES to the government instead of selling the government TOXIC loans at face value. Americans expecting a bailout of their toxic loan just GOT SCREWED. In the end there will be NO MONEY for JOE OR JANE.
Do not believe the short lived rally on Wall Street has anything to do with the economy. I never knew failure was rewarded with CASH. Secondly, as we NATIONALIZE our banking, insurance and mortgage markets, what will be left for hard working Americans who SAVE and control their spending?
The Titanic is sinking, every child, woman and man head for the life boats as the ship is about to sink. It is up to you to save you and your family.
I also do not see anyone predicting how the DIVERSION of 250 billion from the real estate and mortgage bail out (oh and $135 billion has to go to AIG = 385 FROM 770 all ready consumed) will affect home and land prices. Yes the banks were counting on the government using that money to buy BAD loans. Instead they get to sell their COMPANIES to the government instead of selling the government TOXIC loans at face value. Americans expecting a bailout of their toxic loan just GOT SCREWED. In the end there will be NO MONEY for JOE OR JANE.
Do not believe the short lived rally on Wall Street has anything to do with the economy. I never knew failure was rewarded with CASH. Secondly, as we NATIONALIZE our banking, insurance and mortgage markets, what will be left for hard working Americans who SAVE and control their spending?
The Titanic is sinking, every child, woman and man head for the life boats as the ship is about to sink. It is up to you to save you and your family.
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