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"PARTYS OVER" graffiti, NYC subway, October 2008
The editor asked me to write more about NYC and less about national politics. So this is it.
We’ve all heard about the vices of city living: gangs, drugs, AIDS, high taxes, poor schools, crowded apartments, and no place to park. What are the virtues of urban living?
The LIBOR is down and the market is up — hooray!!! I spoke too soon yet again. It looks like the VIX is considerably down too. That means less volatility in the markets and more sustained movement. Could we see DJIA 10,000 by election day? Just soon enough to reverse McCain’s electoral fortunes!
The Fed chief said today that if we spend another $300 billion on direct financial stimulus (e.g. in the form of a WPA style infrastructure build out) we might avoid the worst of this meltdown. Sounds good to me!
I only see one problem (and this is why I’m a conservative douche bag at heart): without a little financial pain d-bags like the ones at AIG who went quail hunting after the government (that is, US) gave them $85 billion will continue to go quail hunting — and I will continue to pay more than a quarter of my income in taxes. Where is the congressional bill to make financial shenanegans illegal?
The other problem I see is the massive federal debt. When is too much debt too much? When will the chickens laid by all the coke snorting, whore banging d-bags on Wall Street come home to roost? Because all debts must be paid, one way or another. Who is going to pay for feckless wastes of skin to go on hunting junkets in Europe? You and me obviously. But so far we haven’t felt like we’re paying it. What will it feel like?
Massive inflation is my guess. Maybe even hyper inflation. Because all debts must be paid in one way or another. It’s as good as the law of gravity.
The New York Post is reporting that nearly 3,000 people showed up for the Chelsea Job Fair yesterday (Wednesday October 15th). They compared it to a bread line. Remember when I said the world-wide intervention by governments to save the banks would at least keep us out of bread lines? <Gulp.>
You’re probably saying to yourself, Zach, have you lost your mind? How can you, a big city liberal, think Palin makes sense?! She is the antithesis of everything you believe in!
Well friends, in the first place Zach ain’t no big city liberal. He’s actually a small town conservative trapped in the body of a big city liberal. In the second place, Zach doesn’t think Palin is competent, he merely thinks she’s qualified for the highest office in the land. Still scratching your head?
It looks like the bank rescue plan is going to work! Yay! Happy days are here again! This was the shortest Great Depression on record, lasting only three days, from Black Friday (October 10th, 2008) to Happy Mondays! (October 13th, 2008). After the DJIA lost over 50% of its value from its peak over the summer, it gained back 11% on Monday, and if the DJIA follows other world wide indexes today it stands to be back at 14,000 by Christmas.
Some Debby Downers are already saying this looks like a classic “Bear Market Bounce”. They say that — markets be damned — until Americans feel enough pain to make them give up their profligate, spendthrift ways the same mindset that brought us the problem will create new and unforseen problems.
But one thing is for sure, government intervention in global capital has never been this big in the entire history of the world. Whatever the new problems are, they won’t look like your grandparents’ problems. There probably won’t be bread lines in Manhattan (thank God!), nor will there be runs on the banks as frightened citizens desperately try to get greenbacks out of battered ATMs.
I’m gonna play Nostradamus here, and predict that the new problems will have less to do with the money supply (a problem the government has found an elegant solution for) and more to do with inflation. Bad debts are inescapable, as is the hangover they produce. It’s just a feature of overproduction and speculation. They must still work their way through global economies. But people won’t lose their cash. Instead the brand new, guaranteed bills governments all over the world are creating to make sure there is still money in your purse will loose their value when it becomes apparent that they aren’t redeemable for real work. (That’s what happens when people default on their debts — you can’t get the work they promised out of them.) How they deal with 2009’s inflation will be something to see.
This guy can't believe Palin's nerve.
Right now — today, October 5th, 2008 — the world is deciding to quit believing in a brighter future and start hoarding white rice and gasoline. The Dow Jones is down 700 points at the time of this writing, and European shares had their biggest one day drop ever.
If you want to see how bad it can be, check out this web lecture by Chris Martenson. If we contract to pre-bubble levels, we’re looking at Dow 6,000 — and the way things are going today that might not be too far off.
Alabama Congressman Richard Shelby
They won’t be able to just admit they were wrong.
They won’t be able to admit that took the idea of a self-regulating free market on faith. Or that a misplaced faith in their intellectual powers was all they ever had. They won’t be able to admit that reality is more complex than their simple, moralistic ideologies can handle. And yet it looks like the Freemarket Fundamentalists might actually score some political points from the financial crisis.
Who is responsible for the credit crisis that is ripping through American and foreign financial markets like a spasms through an epileptic? It’s like asking who is responsible for the torture at Gitmo or Abu Ghraib. If you’re still one of the faithful, it was all the work of a few bad apples and not a massive systemic failure that is bound to happen cyclicly until the end of time — or until real reforms are implemented. But conservatives don’t believe in reform. They believe in human nature. They believe the eschaton is coming. They know Evil will be with us until it’s final, apocalyptic showdown with Good.
In the meantime, Democrats only got about 55% of their due political realigment out of this once-in-a-lifetime political opportunity.
Hello again friends. Your humble political observateur here. I busted out my lab equipment again so’s I can drop some science on you. Political science that is.
McCain and Co. was hoping an August surprise with Mrs. Sarah Palin would put momentum in their full court press. And I’ll bet you Cheney was (maybe still is) planning an October surprise wherein Iran “fires” on US warships in the Gulf and we respond by righteously invading their country.
Unfortunately for the fantasy-based community, reality, courtesy of the Dow Jones Industrial Average, has given us a September surprise to shake up the presidential contest. Yesterday the Dow components lost almost 450 points or 4%, in one day. The loss since the close on 9/11 last week is over EIGHT HUNDRED POINTS (800 pts.). You read that right. EIGHT HUNDRED POINTS. That’s a lot — just over 7% of it’s value in three days. That means people who know a thing or two about which way the wind is blowing are scared out of their wits and are heading for the exits. What color is your parachute?
The only thing Obama and Biden should talk about is the culture of corruption that is endemic to conservative politics.
Thass right y’all, you heard me say it. People who voluntarily call themselves “conservative” are lowlife scum looking to get one over on tax payers. Earl E. Devaney sez so. (OK. Technically he says that Bush appointees to the Department of the Interior are lowlife scum who use your money to buy cocaine and whores. But come on. We all know that if a thorough investigation of the entire executive branch was conducted no one would get out of jail free.)
This means you Don Rumsfeld and Dick Cheney.
Sarah Palin is conservative eye candy.
Why did McCain pick her? Because she will be the ultimate Miss Moneypenny to his James Bond. She’s clever, hot, and most definitely subordinate to The Man. She is the ideal conservative VP: a totally bangable chick whose only job is to be a foil to highlight the masculinity of the Great Leader.
This is a week late. So what. Sue me.
Some dudes set up a goal outside the courts as West 4th street a week ago, and some random white guy was dunking his heart out, missing most of the time, and incurring the scorn of the Black males watching. (I think the goal fit in the back of the Penske truck in the photo.)
A skeptical audience
culturalcapitol.com 