If the British Empire Wasn't Too Big to Fail, Neither is Citigroup
By Jeff Macke Feb 12, 2009 8:30 am
Enough with the sound bites. It's time to speak truth to power.
I am neither a Republican nor a Democrat. Honestly, I can no longer tell the difference between the two.
I want guts and brains. I'm an absolute sucker for a combination of the two. Truthfully, I'm less concerned with ideology than courage and a plan. You can raise my taxes, outlaw my guns and have my smokes. I'll still be able to afford a movie, I seldom actually shoot anything and I don't smoke, despite playing a smoker on TV. I'll give into any platform; all my loyalty requires is the fortitude to do the hard thing and the brains to at least suggest success is a possibility.
I've been watching this financial debacle from ringside seats since Round 1. I'm open to any number of solutions save every one of them offered thus far. The path we're on has felled every empire before us, from the Romans to the 1980 Soviet hockey team: We've forgotten it's possible to lose. We work backwards from the assumption of success and bicker endlessly over the style we should employ during our triumph.
The ignorance required to get where we are and remain on the path we're going is stunning. Our hubris would challenge the imagination, had we any. We've collectively accepted the notion that Citigroup (C) is "too big to fail," and we aren't being ironic. Citigroup is a bank; at least of some sort. It has a market capitalization of $20 billion, a fictional but large balance sheet and a bunch of ATMs.
For the sake of comparison:
- In 1942, the Nazis held Europe from Finland in the North to parts of Africa in the South; they held France in the west and abutted the Soviet Union in the east. In less than 3 years they'd lost it all, including Germany, which birthed the abomination in the decades prior. They were big. They failed in a decade and a half, from soup to nuts.
-
Napoleon held all of Europe and even made the Pope declare him the Emperor of the French in 1804. A decade later he was exiled after a failed effort to add Russia to his realm.
-
The country we're wrecking between the pincers of greed and stupidity was, in effect, stolen from the British; perhaps the greatest empire of them all. Eventually, we came to celebrate this theft with a polite-sounding celebration of gluttony called Thanksgiving, a holiday which presumably thanks both the people who lived here when a lost Spaniard "discovered" the land, and the British King Edward III, whose outrageous greed so enraged the founding fathers that they chose to go to war against the only empire to actually circle the globe.
Going out on a limb without doing any actual research (something of an homage to our investment banks and those we elected to regulate them), I'd suggest that those empires and all that came before them shared the collective opinion that they were simply too big to fail. In retrospect their failures seem inevitable. The Nazis were led by a lunatic and, like Napoleon, chose to invade Russia in winter with troops outfitted in flip flops and tank tops. The British shot their bolt taking out the Nazis, then were finished off negotiating in the wake of WWII. With the natural resources of Rhode Island and a sewage system inseparable from London proper, it's remarkable they made it as far as they did.
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2009-02-11 16:38:37
Time for a united mission
Interesting thoughts that led to serious cognititating about empires.
Seems to me that empires (Roman, Ottoman, British, American) occur when an ambitious and motivated people unite to compete successfully against other cultures, using ‘state of the art' technology, plentiful resources, and relative cohesion of mission.
Romans developed roads and military might to expand into Europe, Asia and Africa.
The Turks used a key trade position, an agricultural powerhouse, and powerful army and navy to dominate their neighbors.
The British relied on ambition, trade, textiles, industry, and a well trained navy and disciplined army. However the Brits used advances in shipping (superior sailing ships, later steamships) and especially communication (telegraph) and later industry to build a huge empire.
The Germans appear to be an anomaly because of their fierce and explosive aggressiveness lastly only decades not centuries, however an anomaly based once again on technology, ambition, and natural resources.
All of the above declined as the result of over-expansion, like a tumor outgrowing the blood supply. Romans were spread so think they relied on foreign mercenaries to populate their once dominant army. There is also a question of moral decay, but more a question of deteriorating local infrastructure and economic systems.
Ottomans fell to over-expansion, nationalism, and a failure to use advance technology.
The Brits too over-expanded until they were unable to rule the various colonies with the resources they inherently possessed. (losing the US actually might have helped their longevity) Their sense of nobility appeared to undermine certain segments of the population to remain motivated to improve their lot.
The USA found itself as world leader somewhat by accident of Europe knocking itself off with internecine warfare, and benefiting from great natural resources, technological advances, and a relatively large educated population.
However, the other themes of great empires appear to be playing out for America: over-expansion, loss of mission, exploitation of resources, development of a noble class, and keen competition.
American was a land of opportunity (slowly for women and blacks), that kept ahead in technology whether it was the telegraph, cotton gins, railroads, atomic manipulation, computers and micro-technology, or biological technology.
However we have over-expanded, stressing our economic means (Iraq, costing 10 trillion), lost or technological edge in some fields, lost some of our industrial base, started to run out of resources, and now degenerated into partisan politics and bickering. (‘pork' is another word for partisan corruption). We have sponsored an unprecedented transfer of wealth into a noble class (financial barons).
The prescription for righting this ship lies with the study of past empires. We must conserve our resources, and not outstrip our supply lines. We must maintain trade with other nations, emphasizing our strengths (like bio-tech, transportation, communication, and some areas of micro-tech). We need to rebuild the infrastructure (say with high-speed rail, and with more modern power grids and electronic communication networks). And we must be forward looking to anticipate the ‘state of the art' technology.
We have the tech side covered, or at least a good start – biotech, computer and network tech, drug tech. However we need to invest in education to further our strong points.
We are losing our industry, which we cannot do; we cannot turn into a third world country where foreign companies use our citizens and our resources as cheap labor.
We must use the financial system as the means to power, and not as the end of power. There should not be nobility based on manipulation of financial markets. There should be a democracy of economic opportunity where hard work rules, and not Wall Street connections.
And lastly we cannot bicker about ‘liberals' and ‘conservative' which only builds up gridlock and allows the bureaucrats to rule.
If the current economic crisis can wake us up to the new world, a world of biotech, and instant communication, and streamlined efficient transportation, then we can recover to co-exist with the other world powers (China, EU, etc.). However if we fight ourselves, bicker about ideology, and sabotage every new initiative we will indeed decline as did past empires.
Seems to me that empires (Roman, Ottoman, British, American) occur when an ambitious and motivated people unite to compete successfully against other cultures, using ‘state of the art' technology, plentiful resources, and relative cohesion of mission.
Romans developed roads and military might to expand into Europe, Asia and Africa.
The Turks used a key trade position, an agricultural powerhouse, and powerful army and navy to dominate their neighbors.
The British relied on ambition, trade, textiles, industry, and a well trained navy and disciplined army. However the Brits used advances in shipping (superior sailing ships, later steamships) and especially communication (telegraph) and later industry to build a huge empire.
The Germans appear to be an anomaly because of their fierce and explosive aggressiveness lastly only decades not centuries, however an anomaly based once again on technology, ambition, and natural resources.
All of the above declined as the result of over-expansion, like a tumor outgrowing the blood supply. Romans were spread so think they relied on foreign mercenaries to populate their once dominant army. There is also a question of moral decay, but more a question of deteriorating local infrastructure and economic systems.
Ottomans fell to over-expansion, nationalism, and a failure to use advance technology.
The Brits too over-expanded until they were unable to rule the various colonies with the resources they inherently possessed. (losing the US actually might have helped their longevity) Their sense of nobility appeared to undermine certain segments of the population to remain motivated to improve their lot.
The USA found itself as world leader somewhat by accident of Europe knocking itself off with internecine warfare, and benefiting from great natural resources, technological advances, and a relatively large educated population.
However, the other themes of great empires appear to be playing out for America: over-expansion, loss of mission, exploitation of resources, development of a noble class, and keen competition.
American was a land of opportunity (slowly for women and blacks), that kept ahead in technology whether it was the telegraph, cotton gins, railroads, atomic manipulation, computers and micro-technology, or biological technology.
However we have over-expanded, stressing our economic means (Iraq, costing 10 trillion), lost or technological edge in some fields, lost some of our industrial base, started to run out of resources, and now degenerated into partisan politics and bickering. (‘pork' is another word for partisan corruption). We have sponsored an unprecedented transfer of wealth into a noble class (financial barons).
The prescription for righting this ship lies with the study of past empires. We must conserve our resources, and not outstrip our supply lines. We must maintain trade with other nations, emphasizing our strengths (like bio-tech, transportation, communication, and some areas of micro-tech). We need to rebuild the infrastructure (say with high-speed rail, and with more modern power grids and electronic communication networks). And we must be forward looking to anticipate the ‘state of the art' technology.
We have the tech side covered, or at least a good start – biotech, computer and network tech, drug tech. However we need to invest in education to further our strong points.
We are losing our industry, which we cannot do; we cannot turn into a third world country where foreign companies use our citizens and our resources as cheap labor.
We must use the financial system as the means to power, and not as the end of power. There should not be nobility based on manipulation of financial markets. There should be a democracy of economic opportunity where hard work rules, and not Wall Street connections.
And lastly we cannot bicker about ‘liberals' and ‘conservative' which only builds up gridlock and allows the bureaucrats to rule.
If the current economic crisis can wake us up to the new world, a world of biotech, and instant communication, and streamlined efficient transportation, then we can recover to co-exist with the other world powers (China, EU, etc.). However if we fight ourselves, bicker about ideology, and sabotage every new initiative we will indeed decline as did past empires.
2009-02-11 19:46:41
US competitiveness--restructure or die
Thanks to liberal populism, the US is completely uncompetitive in public education, corporate tax rates, taxation of real investment, regulation or abolition of key energy industries such as nuclear power construction, and attitudes toward work. The Fed's juicing of the economy with massive credit expansion has been done to cover up this decay. Either we start turning things around, or we are headed for a massive decline in our economic status.
2009-02-11 20:37:45
A blueprint for recovery
is not on this post.
What are we afraid of? Losing face? The ability to use the English language in business?
We will not be invaded, our banker friends will invite them over, while they flee to their PAID FOR island homes, somewhere. History is written by the winners.
(No Conspiracy theories here please, James)
Time to start digging, and not our own graves.
What are we afraid of? Losing face? The ability to use the English language in business?
We will not be invaded, our banker friends will invite them over, while they flee to their PAID FOR island homes, somewhere. History is written by the winners.
(No Conspiracy theories here please, James)
Time to start digging, and not our own graves.
2009-02-11 20:52:14
Ahhh, good old Winston
Remember what else he said...
"Americans can always be counted upon to do that right thing....after other possibilities have been exhausted."
We're not at that point of recognition yet, we are getting there slowly, but we are not there yet.
"Americans can always be counted upon to do that right thing....after other possibilities have been exhausted."
We're not at that point of recognition yet, we are getting there slowly, but we are not there yet.
2009-02-11 22:11:04
Arrogance and Ignorance.
EXCELLENT article!
The solution begins with the truth and is followed by hard work and sacrifice.
The question is are there enough people who really care about this country left to turn it around. Are we willing to do the hard work necessary to be a prosperous country.
If we aren't willing to pick our own fruits and vegetables, clean our own restrooms, work in our own slaughter houses and factories we will not have a country for long.
The majority of us have been behaving like trust fund babies living on the legacy of previous generations who built a great country. We, in a generation, have allowed this legacy to deteriorate due to our arrogance and neglect.
We are not God's chosen people and if we fail to appreciate what we have had and to pay the price necessary to sustain it there are a lot of hungry people in other countries willing to take out place in the world order.
2009-02-12 06:24:36
Writing with heart
Jeff, that is the best writing you have ever done. Strip out the clever/wiseguy routine and trying to look/sound cool and your reveal your guts and smarts.
That is YOUR voice. Not that ersatz commercially processed fellow who spouts stock tips. Follow your own/Churchill's policy and let your future tone be to encourage all of us to wage war will all our might against a monstrous tyranny - for it is clear - that is what we are up against.
That is YOUR voice. Not that ersatz commercially processed fellow who spouts stock tips. Follow your own/Churchill's policy and let your future tone be to encourage all of us to wage war will all our might against a monstrous tyranny - for it is clear - that is what we are up against.
2009-02-12 07:56:07
Horrible Article (and I welcome any debate from the opposition)
Guts and brains plague your article.
The failed leaders you mentioned above were all gutsy men with the intellect to match. Your first paragraph sums up the very failed leadership personality you hope to rid yourself of. A man of words with no sense, if you truly believed in the failure of the U.S. then you would wish to keep your guns to protect your family and smokes to barter for your future goods. You have obviously never lived in a failed nation state.
If all your loyalty requires is fortitude and the suggestion of the success then the last eight years of presidential administration must have been your Shangri-La.
The failed leaders you mentioned above were all gutsy men with the intellect to match. Your first paragraph sums up the very failed leadership personality you hope to rid yourself of. A man of words with no sense, if you truly believed in the failure of the U.S. then you would wish to keep your guns to protect your family and smokes to barter for your future goods. You have obviously never lived in a failed nation state.
If all your loyalty requires is fortitude and the suggestion of the success then the last eight years of presidential administration must have been your Shangri-La.
2009-02-12 08:01:53
Horrible Article (and I welcome any debate from the opposition)
Guts and brains plague your article.
The failed leaders you mentioned above were all gutsy men with the intellect to match. Your first paragraph sums up the very failed leadership personality you hope to rid yourself of. A man of words with no sense, if you truly believed in the failure of the U.S. then you would wish to keep your guns to protect your family and smokes to barter for your future goods. You have obviously never lived in a failed nation state.
If all your loyalty requires is fortitude and the suggestion of the success then the last eight years of presidential administration must have been your Shangri-La.
The failed leaders you mentioned above were all gutsy men with the intellect to match. Your first paragraph sums up the very failed leadership personality you hope to rid yourself of. A man of words with no sense, if you truly believed in the failure of the U.S. then you would wish to keep your guns to protect your family and smokes to barter for your future goods. You have obviously never lived in a failed nation state.
If all your loyalty requires is fortitude and the suggestion of the success then the last eight years of presidential administration must have been your Shangri-La.
2009-02-12 08:40:22
Excellent article
You've read my thoughts on several topics. I don't care anymore what political "team" a person is on - please give me a real leader.
I also agree with you that we've forgotten that we can lose. I feel the defining charatistic of our time era is the idea that risk, chance, and the need for hard work can be washed away. There's no need to worry about default or check incomes on mortgages - we'll spread the risk and insure it away. There's no need to take care of my health by eating right and exercise - the doctor has a pill to make everything from diabetes to depression to cancer go away. No need to catch up with my family and friends today - they'll be there forever and so will I.
I also agree with you that we've forgotten that we can lose. I feel the defining charatistic of our time era is the idea that risk, chance, and the need for hard work can be washed away. There's no need to worry about default or check incomes on mortgages - we'll spread the risk and insure it away. There's no need to take care of my health by eating right and exercise - the doctor has a pill to make everything from diabetes to depression to cancer go away. No need to catch up with my family and friends today - they'll be there forever and so will I.
2009-02-12 08:52:53
Outstanding!
This article should be sent to the White House and the Halls of Congress but then again it would be a waste of good electrons.
2009-02-12 09:06:42
"We're simply too arrogant to be afraid of losing and too gutless to fight."
I suspect you mean George III, not Edward III, although similarity exists with the Scottish War of Independence, William Wallace and The Bruce, and all of that.
The voting public has become idiotic through herd behavior, the unprecedented might of the propaganda engines of our day, and fear and it's twin brother, hate.
The result is incompetent, if not malevolent, government. The result is a despair for the Republic in many (perhaps most) competent minds, leading to the "I might as well get mine" attitude that prevails in that class. Power has become all in all, and wealth by any means has become the means to that end, power.
Courage is in short supply especially in the Boomer cohort, who largely threw away their "sacred honor" during the Viet Nam War. Unfortunately an honorless person has no courage either.
It has been very painful to watch for all of these decades. I am 62 years old. I see some readiness to confront reality in those younger than the Boomers, but time is short.
The voting public has become idiotic through herd behavior, the unprecedented might of the propaganda engines of our day, and fear and it's twin brother, hate.
The result is incompetent, if not malevolent, government. The result is a despair for the Republic in many (perhaps most) competent minds, leading to the "I might as well get mine" attitude that prevails in that class. Power has become all in all, and wealth by any means has become the means to that end, power.
Courage is in short supply especially in the Boomer cohort, who largely threw away their "sacred honor" during the Viet Nam War. Unfortunately an honorless person has no courage either.
It has been very painful to watch for all of these decades. I am 62 years old. I see some readiness to confront reality in those younger than the Boomers, but time is short.
2009-02-12 09:07:57
Hard Choices....
Preach, Brother, Preach!
The House of Reps "Gang of 8" hearings yesterday were an embarrassment to ANY kind of good government.
The House of Reps "Gang of 8" hearings yesterday were an embarrassment to ANY kind of good government.
2009-02-12 09:20:30
congratullations
Tone is the most important quality in any text and here you definitely sound Cato the Elder (after who, I suppose, was Churchill modeling his style in this speech)
VERY appropriate
Ceterum autem censeo, Carthaginem esse delendam
VERY appropriate
Ceterum autem censeo, Carthaginem esse delendam
2009-02-12 09:31:40
Courage
Jeff, One of the best articles I have ever read.
Courage is what is missing. The current generation got themselves into this mess, yet they seem to be too gutless to take the required medicine to fix it. Instead, our so called leaders seem hell bent on passing the bill onto our kids and possibly their kids to pay.
I'm no coward, I want to protect my kids, take the medicine now.
Courage is what is missing. The current generation got themselves into this mess, yet they seem to be too gutless to take the required medicine to fix it. Instead, our so called leaders seem hell bent on passing the bill onto our kids and possibly their kids to pay.
I'm no coward, I want to protect my kids, take the medicine now.
2009-02-12 09:47:04
Wow!
Excellent piece.
Actually it was a lost Italian in a Spanish ship, Chris may have been lost in terms of where he was - but he knew that he was headed in the right direction. We know where we are but are headed in the wrong direction - so we are far worse off at the moment.
Actually it was a lost Italian in a Spanish ship, Chris may have been lost in terms of where he was - but he knew that he was headed in the right direction. We know where we are but are headed in the wrong direction - so we are far worse off at the moment.
2009-02-12 09:54:31
Bring Lawyers, Guns and Money
Jeff I love ya babe but until I see real proof that our leadership has actually reformed their ways and grown some brain power and testicular fortitude, no one is taking my guns.
No one!
I won't give up my only method of defense from those idiots until after they stop being idiots. Only an idiot trusts another idiot.
No one!
I won't give up my only method of defense from those idiots until after they stop being idiots. Only an idiot trusts another idiot.
2009-02-12 10:20:39
Outstanding
Probably the best article I've read on MV. We lack any historical perspective in this country. I primarily blame the liberals 'if it feels good do it' attitude, social agenda than pushed banks to loan to the credit unworthy, and complete unwillingness to punish mistakes in general (from children to adults) ... and now rather than punish companies for excesses, we bail them out. The Republicans have not upheld any conservative values that built this country either, so they share plenty of blame as well.
2009-02-12 10:39:26
I think Jeff used the words "guts" and "brains" up top. His post is way longer on the former. (BTW, I agree that Pres. O. needs a lot more of same in HIS diet.)
"Let Citigroup die" actually is not so much a gutsy call as a desperate and shortsighted one. I'm sure Jeff is no kneejerk leftie, but pretty much everyone who was one applauded Lehman's getting the Mussolini treatment in 2008.... A couple of months later, everybody who wasn't short or apocalyptic, pretty much, had come around to an, "Uh, maybe, that was not such a good move."
Sure, today's Times is talking about "stress tests" for banks, but methinks it's yet another feint. First Bank of Podunk can close on Friday and re-open Monday as a wholly owned sub. of Wells Fargo - although those options are starting to wither - but the big "C" cannot be aloud to spread to the spinal cord. That is, Citigroup ("alone") is not too big too fail, but even if domino theories haven't been the same since they were abused 40 years ago, I don't see how you can "cordon off" Citigroup.
If you think we have to let the financial services sector get a taste of Nagasakidom, SAY IT. But don't expect too many pats on the back for your gutsiness!
"Let Citigroup die" actually is not so much a gutsy call as a desperate and shortsighted one. I'm sure Jeff is no kneejerk leftie, but pretty much everyone who was one applauded Lehman's getting the Mussolini treatment in 2008.... A couple of months later, everybody who wasn't short or apocalyptic, pretty much, had come around to an, "Uh, maybe, that was not such a good move."
Sure, today's Times is talking about "stress tests" for banks, but methinks it's yet another feint. First Bank of Podunk can close on Friday and re-open Monday as a wholly owned sub. of Wells Fargo - although those options are starting to wither - but the big "C" cannot be aloud to spread to the spinal cord. That is, Citigroup ("alone") is not too big too fail, but even if domino theories haven't been the same since they were abused 40 years ago, I don't see how you can "cordon off" Citigroup.
If you think we have to let the financial services sector get a taste of Nagasakidom, SAY IT. But don't expect too many pats on the back for your gutsiness!
2009-02-12 10:49:11
Time is important
If the British empire had fallen in a day there would have been repercussions greater than those that occurred with a slow decline. Same for Citi: if they go down slow that's one thing, if they fail suddenly there will be more collateral damage.
Churchill was the leader of a unity government; he was chosen by Chamberlain in large part because he was acceptable to the liberals. If Obama didn't have to worry about Republican opposition he might be braver. I'm not excusing his short sightedness, but it is much easier to display political courage when elections have been suspended and so has absolute freedom of speech. In Churchill's England people went to jail for speaking out against the war; the analogous thing would be that Rush Limbaugh and Ann Coulter would already be in jail. For what they say, not for drug abuse (Rush) and voter fraud (Ann).
Churchill was the leader of a unity government; he was chosen by Chamberlain in large part because he was acceptable to the liberals. If Obama didn't have to worry about Republican opposition he might be braver. I'm not excusing his short sightedness, but it is much easier to display political courage when elections have been suspended and so has absolute freedom of speech. In Churchill's England people went to jail for speaking out against the war; the analogous thing would be that Rush Limbaugh and Ann Coulter would already be in jail. For what they say, not for drug abuse (Rush) and voter fraud (Ann).
2009-02-12 11:13:34
Peter Principle
Your article is right on~ we have effectively 'Peter Principled' ourselves, the Peter Principle says that all systems eventually rise to the level of incompetence if unchecked, & that's exactly what has happened to the US~ we thought we were too big to fail which got us into this mess in the first place, not to mention we bailed out the globe over the years, helping too much when we should have been saving...the basis of the problem was our overconfidence....
2009-02-12 11:15:04
Iwas once lost too
I used to think along the authors liness, but have recently found another view. First, understand no one in power is listening to any of our views. What's up is that tthe ecomomy needsa certain portion of currency and credit to facilitate the exchange of goods and services.The Gov is replacing a portion of the credit portion with currency. Our national picture looks no different when measured by more cash and less credit. Debt is another story.Fortunately for us, the man in the white house is also commander in chief of the armed forces, and I am confident he will not turn those forces on his own people. Give him a chance to succeed. Must post this before I get timed out. Minyanville, more time please.
2009-02-12 12:30:40
George III, Not Edward...
I know that one inbred poltroon can be hard to tell from another, but it was George the Third and not Edward...
Still what with the Bush and Clinton dynasties, you might have to start being able to tell the inbred genetic throwbacks in charge from one another.
Article is otherwise spot on, methinks.
Still what with the Bush and Clinton dynasties, you might have to start being able to tell the inbred genetic throwbacks in charge from one another.
Article is otherwise spot on, methinks.
2009-02-12 13:45:40
Time
The theme of time and price is pervasive in Minyanville. The price will be what the price will be, but the government actions are aimed at extending the time. If Citigroup is to fail, it will, but perhaps it won't suck under so many people if they have time to find a lifeboat.
2009-02-12 14:00:15
Excellent
Great article. Minyanville is putting out some of the best financial/common sense content going. Free or otherwise.
2009-02-12 14:34:24
MACKE BRINGS HEAT!!
PUT THIS ONE IN THE ARCHIVES BROTHER YOU ARE EN FUEGO AND SPOT ON!!
2009-02-12 15:39:05
Question the Party?
HA. Not sure what country YOU are living in, but asking Americans to "question power" is as likely as asking them to question patriotic music with slow-motion eagles (and flags, LOTS of flags).
American culture is about WORSHIPPING authority. Corporations are bankrupt (in ways other than just financial) because they are staffed by PEOPLE (Americans) that can't question memos from upper-management con-artists (authority) with subjects like: "levelsetting the tablestakes in a going-forward space while leveraging our core competencies". The current crop of politicians ARE, btw, PEOPLE from the American culture. So, how could these (American) politicians question authority, especially the likes of (gasp) The King of Citibank? Americans will believe ANYTHING (remember those Weapons of Mass Delusion) and are happy in the UNQUESTIONED righteousness of their God, King, and country.
Until the "man behind the curtain" is exposed for what he is, AND even the sycophants at (the likes) of Faux News can't cover it up, THEN the peasants will question. But, the ANSWER to the question will ALWAYS be fascism because that's the natural state of the teaming masses of semi-psychotic peasants. Always has been, always will be. AND, almost WAS in the US in the 30's.
I hope all the none-believers have an American exit plan. You'll be needing one.
American culture is about WORSHIPPING authority. Corporations are bankrupt (in ways other than just financial) because they are staffed by PEOPLE (Americans) that can't question memos from upper-management con-artists (authority) with subjects like: "levelsetting the tablestakes in a going-forward space while leveraging our core competencies". The current crop of politicians ARE, btw, PEOPLE from the American culture. So, how could these (American) politicians question authority, especially the likes of (gasp) The King of Citibank? Americans will believe ANYTHING (remember those Weapons of Mass Delusion) and are happy in the UNQUESTIONED righteousness of their God, King, and country.
Until the "man behind the curtain" is exposed for what he is, AND even the sycophants at (the likes) of Faux News can't cover it up, THEN the peasants will question. But, the ANSWER to the question will ALWAYS be fascism because that's the natural state of the teaming masses of semi-psychotic peasants. Always has been, always will be. AND, almost WAS in the US in the 30's.
I hope all the none-believers have an American exit plan. You'll be needing one.
2009-02-12 16:08:13
Jeff's article 2/12/09
Jeff,
This might be your best article yet. I just frustrated the hell out of myself by writing to Senators on both sides of the isle regarding the stimulus package and chastising them for their lack of leadership and courage. Especially Schumer!!!who thinks we don't care about "pork". No more bumper slogan rhetoric... Time to get down to business.
This might be your best article yet. I just frustrated the hell out of myself by writing to Senators on both sides of the isle regarding the stimulus package and chastising them for their lack of leadership and courage. Especially Schumer!!!who thinks we don't care about "pork". No more bumper slogan rhetoric... Time to get down to business.
2009-02-12 17:00:07
Inspiring
If I could speak for all Americans, I would probably say, "Honey, what's on American Idol tonight?".
I can only speak for myself and say "thank you". That was inspiring.
As I stated on another website: My new nickname is "Chump". I pay all my taxes, don't borrow or buy things excessively, pay bills on time, don't cheat. I'm a chump.
Does that mean I will change my ways? NO.
The nation needs a bunch of us chumps around or the nation goes belly up.
I can only speak for myself and say "thank you". That was inspiring.
As I stated on another website: My new nickname is "Chump". I pay all my taxes, don't borrow or buy things excessively, pay bills on time, don't cheat. I'm a chump.
Does that mean I will change my ways? NO.
The nation needs a bunch of us chumps around or the nation goes belly up.
2009-02-12 17:22:59
Bailout.
Thank you Jeff Macke for putting into words exactly how we feel. However, my husband and myself are also chumps. Working hard and staying within our financial limits has only bought us the privilege of paying for someone's spending spree at the mall and a new house, not a "used" one. I can only hope these people are not given a free pass on their greedy game. I still do not have granite countertops and maple cabinets but, I am saving my money.
2009-02-12 17:45:25
Absolutely brilliant writing.... thank you!
Jeff,
Kudos for the inspiration it took to write this, very moving. I've forwarded this to several people I know as it is the best article I have read maybe ever as it delivers such an important message. The hard truth is what is needed for people to learn, understand, and accept in order to face the great challenges that we will all be faced with.
This article is in itself a tremendous asset toward any solution.
Amazing piece sir, I mean... wow.
John
Kudos for the inspiration it took to write this, very moving. I've forwarded this to several people I know as it is the best article I have read maybe ever as it delivers such an important message. The hard truth is what is needed for people to learn, understand, and accept in order to face the great challenges that we will all be faced with.
This article is in itself a tremendous asset toward any solution.
Amazing piece sir, I mean... wow.
John
2009-02-12 18:05:12
Bravo! Bravo!
With the minor exception of a couple of historical errors, this is a tour de force. You should correct it and get it to run in the WSJ op-ed.
2009-02-12 18:20:53
Iwas once lost too
"Fortunately for us, the man in the white house is also commander in chief of the armed forces, and I am confident he will not turn those forces on his own people."
I am not so you are correct in that assumption (And that would be the case regardless of who is occupying 1600 Pennsylvania Ave.). We have already seen that W has deployed combat brigades in Northcom for the purpose of interceding if (more likely WHEN) there is social disorder. The buffoons on the Hill may not be such idiots as opposed to actors, as this all seems too perfectly choreographed to head towards disaster.
There are many with answers to our issues, but we have no takers amongst our sitters (I cannot call them leaders because they are not leading; I cannot call them representatives as they are not representing us; all they are really doing is sitting in a seat with a title affixed to it). Where is the modern-day Andrew Jackson? I am concerned there are no more of that ilk left in this once-great nation. And with each passing day wasted without a move of an inch in the right direction, such concern becomes more palpable fear.
The corruption and thievery is as thick as ever, with most of our sitters bought by the very banks they feign to protect us against. This includes his Obaminence, who won his historical election victory in large part due to massive funding by Goldman, JP and the Boys, leaving "Change" as nothing but a cheap slogan and "Hope" sealed in a dark cavern. And right next to her is Truth, who died so long ago that the citizenry scarcely believe he ever existed. And without Truth, there is no Hope and there will not be Change. Let's pray for a resurrection of the great virtues, for without those, all is lost.
I am not so you are correct in that assumption (And that would be the case regardless of who is occupying 1600 Pennsylvania Ave.). We have already seen that W has deployed combat brigades in Northcom for the purpose of interceding if (more likely WHEN) there is social disorder. The buffoons on the Hill may not be such idiots as opposed to actors, as this all seems too perfectly choreographed to head towards disaster.
There are many with answers to our issues, but we have no takers amongst our sitters (I cannot call them leaders because they are not leading; I cannot call them representatives as they are not representing us; all they are really doing is sitting in a seat with a title affixed to it). Where is the modern-day Andrew Jackson? I am concerned there are no more of that ilk left in this once-great nation. And with each passing day wasted without a move of an inch in the right direction, such concern becomes more palpable fear.
The corruption and thievery is as thick as ever, with most of our sitters bought by the very banks they feign to protect us against. This includes his Obaminence, who won his historical election victory in large part due to massive funding by Goldman, JP and the Boys, leaving "Change" as nothing but a cheap slogan and "Hope" sealed in a dark cavern. And right next to her is Truth, who died so long ago that the citizenry scarcely believe he ever existed. And without Truth, there is no Hope and there will not be Change. Let's pray for a resurrection of the great virtues, for without those, all is lost.
2009-02-12 19:32:05
what happens?
What would happen if we just let the banks fail? Who would get hurt? I would assume some middle class citizens would lose their jobs and there will be some demonstrations, maybe minor rioting, etc. But for how long? What would happen next? If you're rich then you don't have any problems. And if bank deposits of up to $250K are guaranteed, so no major problem for those folks, either. How long would it take for the benefits of this action to take hold?
Thanks to anybody who answers,
George
Thanks to anybody who answers,
George
2009-02-12 19:34:03
Peter Principle
sigh...the peter principle is now in the constitution....already over-riding the rest
2009-02-12 19:37:44
ok....i basically agree with everything...now...?
i too have written my beloved congressional leaders from...and try not to laugh too hard...the great state of illinois
i typed and sent until my fingers bled and my fingernails turned green....all i get is a canned response from durbin...i dont even bother with burris.
how do we get these fools to listen...or is this a silly question?
huh...take that back .... they wont listen and this is a silly question but what do we do NOW
i typed and sent until my fingers bled and my fingernails turned green....all i get is a canned response from durbin...i dont even bother with burris.
how do we get these fools to listen...or is this a silly question?
huh...take that back .... they wont listen and this is a silly question but what do we do NOW
2009-02-13 01:09:16
Great Article.
As much as I read on-line every night, this has to be one of the best articles Ive read in quite some time. Well written, I agree with the comment that this should run on the Journal's op-ed page. Should also be required reading in B schools around the globe!
I've been a big fan for sometime, never posted a comment, but couldn't resist tonight. Well done Mr. Macke. I will be forwarding this on to all my friends/colleague's tonight, something I've only done one other time (that was the hedge fund guy who wrote the bizarre but fascinating "Farewell and F--- you" letter last fall)
Also just got done watching House of Cards, Faber did a phenomenal job, that doc should be aired on NBC duirng prime time,
I've been a big fan for sometime, never posted a comment, but couldn't resist tonight. Well done Mr. Macke. I will be forwarding this on to all my friends/colleague's tonight, something I've only done one other time (that was the hedge fund guy who wrote the bizarre but fascinating "Farewell and F--- you" letter last fall)
Also just got done watching House of Cards, Faber did a phenomenal job, that doc should be aired on NBC duirng prime time,
2009-02-13 07:17:57
Excellent!
Superb and inspiring article.
History of past empires teaches that if you stubbornly keep acting as if you are "too big to fail" while in reality you already are beyond that level, at the "too big too save" level, utter destruction will follow.
We are collectively too afraid of the immediate consequences that stepping back and retrenching would produce and in doing so we keep walking the path that leads to the ultimate maximum damage.
Oh well... someone else will pick up the pieces and start the cycle again.
History of past empires teaches that if you stubbornly keep acting as if you are "too big to fail" while in reality you already are beyond that level, at the "too big too save" level, utter destruction will follow.
We are collectively too afraid of the immediate consequences that stepping back and retrenching would produce and in doing so we keep walking the path that leads to the ultimate maximum damage.
Oh well... someone else will pick up the pieces and start the cycle again.
2009-02-14 17:38:54
"We're simply too arrogant to be afraid of losing and too gutless to fight."
Quite right on mixing my Kings and the noted similarities, both in the rulers and the leadership styles. Frankly, the catalyst for the entire article was catalyzed by the stunning absence of humility and duty being displayed.
We had Ray LaHood, the Secretary of Transportation on Fast Money last week, as part of doing the rounds for the "$40billion in stimulus being spent on infrastructure, leading to good jobs etc"
What he was unable to answer was how "40 billion related to what was spent last year. Or the year prior. Or anything other than normally "billions" are spent on transportation and the bill just passed allows for $40 billion.
Which is in no way an attack on the man. There are simply only two reasons to come on a financial TV show, let alone ours, and not be prepared to answer such a question: Either he needs a new press aide or the increase (decrease?!) represented by $40 billion makes it a question to be ducked.
Out of context, the figure means nothing. My suspicion is that the same conclusion (it's a remarkably lame attempt to fool the masses) applies to much of what was just passed; making it one of the great lost opportunities in legislative history.
Which brings us back to Obama, rhetoric in general and efforts to "stimulate" large, fearful masses. The President ran on a theme of "Change". Suffice it to say, the country is receptive to the message. Obama can't stop the Gang of 8 circus but he can make it irrelevant by saying, simply, "I will let these institutions fail. Rather than dump money into unravelling assets which remain in a 'black box' six months into TARP, I'm going to use the money being used to prop these companies up to raise the level of deposit insurance to 'infinite'. My belief is that banking, as a business, is not complicated. Banking is borrowing at a lower rate than that at which you lend to be profitable even allowing for levels of failed loans.
"The more permutations, the more 'complexity' institutions layer atop that basic math is largely there to enable the banks to mask risk. At best, the complexity was part of a wildly foolish attempt at securing higher returns without increasing risk. At worst it is simply criminal behavior. Frankly, that's a matter for other regulatory bodies to decide when we have the luxury of time.
"We've spent 6 months allowing the banks to make their case that they aren't hiding their own recklessness behind smoke and mirrors generally called complexity. Slot machines are simple. Craps is complicated. The function is the same.
"I am the President of the People of America. I am not the President of the Bank of America or any other bank. My concern is for the citizens. I include the workers of the banks among those citizens but a failure of their leadership will not compromise my promise to lead this country and do what I believe best for the most.
"The reward for success in this country will not be penalizing depositors for reckless behaviors not only hidden by the underlying institutions while practiced but, unimaginably, being hidden to this day.
"I am offering .30 on the dollar for assets labeled 'toxic'. This offer is take it or leave it. The banks have 60 days from today to either accept our offer, under our terms, or find a better deal. My hope is this will allow these institutions to remain viable. My fear, and I have no shame about admitting to being fearful in this time of massive risk and uncertainty, is that one or more of these companies will be forced out of business under these terms.
"But my choices are to retract Mark to Market and allow us to indefinitely live in a world of fake companies subsidized by taxpayers in down periods and lavishly spending in good or to use this opportunity to blow away the smoke, destroy the mirrors and create a system of banking with some semblance of legitimacy to it.
"Our price isn't intentionally unfair but it is intentionally harsh. We have no interest in being part of this business and welcome higher bidders from private equity or fellow institutions. We are setting a price because, despite having been given every opportunity to do so, the banks themselves simply refuse to.
"The deposits of Americans are backstopped by the government. There is no reason to make a run on your local bank. I frankly don't believe customers care about the name on their checks, they simply care that the money they put in the checking account will be there. It will be. As for the banks themselves; I promise them we will give 30 cents on the dollar 60 days from today. I promise them nothing more than this: if there is the slightest bit of evidence that your backstopped deposits somehow find their way into inflating the value of the toxic assets, justice will be swift and Draconian.
"This may not be the right plan. As Patton was fond of saying, a good plan today beats a perfect plan tomorrow. I'm not alone in having found the end of my patience for testimony on both sides with no solution. I've given you the solution. It protects the citizens and forces the banks hands. Those qualities alone make the plan, if not good, better than the nothing we've arrived at in 6 months."
I think some variant of that type of speech would take the wind out of the hearings, no? It would be leading. It would be harsh but forward thinking.
As for the automakers...
"30 years ago the government bailed out Chrysler. A generation and a half of Americans went to work for the company as a direct result. What cost did we pay as a society for the loss of the intellect and man power represented by these now-50 something men and women who have lost the advantage of time and are again reliant of a bailout to save their industry?
"The cost of that decision is unknowable. What we do know is this: these companies, as they stand today, are simply not solvent. Their financial statements are examples of why bankruptcy laws were created in the first place. I won't have another generation plus of Americans going to work for an industry with a track record of gross failure.
"60 days. Find a private deal or go into a pre-arranged bankruptcy process"
And, while were making speeches, here's my favorite speech for times when the enemy isn't failure due to model or talent but simply overconfidence. It was given by Herb Brooks during the 1980 USA hockey team's gold medal game against Finland (the game AFTER they beat the Soviets):
"If you lose this game you'll take it to your f-ing graves. Your f-ing graves"
May our country once again have the right to such a simple leadership point.
We had Ray LaHood, the Secretary of Transportation on Fast Money last week, as part of doing the rounds for the "$40billion in stimulus being spent on infrastructure, leading to good jobs etc"
What he was unable to answer was how "40 billion related to what was spent last year. Or the year prior. Or anything other than normally "billions" are spent on transportation and the bill just passed allows for $40 billion.
Which is in no way an attack on the man. There are simply only two reasons to come on a financial TV show, let alone ours, and not be prepared to answer such a question: Either he needs a new press aide or the increase (decrease?!) represented by $40 billion makes it a question to be ducked.
Out of context, the figure means nothing. My suspicion is that the same conclusion (it's a remarkably lame attempt to fool the masses) applies to much of what was just passed; making it one of the great lost opportunities in legislative history.
Which brings us back to Obama, rhetoric in general and efforts to "stimulate" large, fearful masses. The President ran on a theme of "Change". Suffice it to say, the country is receptive to the message. Obama can't stop the Gang of 8 circus but he can make it irrelevant by saying, simply, "I will let these institutions fail. Rather than dump money into unravelling assets which remain in a 'black box' six months into TARP, I'm going to use the money being used to prop these companies up to raise the level of deposit insurance to 'infinite'. My belief is that banking, as a business, is not complicated. Banking is borrowing at a lower rate than that at which you lend to be profitable even allowing for levels of failed loans.
"The more permutations, the more 'complexity' institutions layer atop that basic math is largely there to enable the banks to mask risk. At best, the complexity was part of a wildly foolish attempt at securing higher returns without increasing risk. At worst it is simply criminal behavior. Frankly, that's a matter for other regulatory bodies to decide when we have the luxury of time.
"We've spent 6 months allowing the banks to make their case that they aren't hiding their own recklessness behind smoke and mirrors generally called complexity. Slot machines are simple. Craps is complicated. The function is the same.
"I am the President of the People of America. I am not the President of the Bank of America or any other bank. My concern is for the citizens. I include the workers of the banks among those citizens but a failure of their leadership will not compromise my promise to lead this country and do what I believe best for the most.
"The reward for success in this country will not be penalizing depositors for reckless behaviors not only hidden by the underlying institutions while practiced but, unimaginably, being hidden to this day.
"I am offering .30 on the dollar for assets labeled 'toxic'. This offer is take it or leave it. The banks have 60 days from today to either accept our offer, under our terms, or find a better deal. My hope is this will allow these institutions to remain viable. My fear, and I have no shame about admitting to being fearful in this time of massive risk and uncertainty, is that one or more of these companies will be forced out of business under these terms.
"But my choices are to retract Mark to Market and allow us to indefinitely live in a world of fake companies subsidized by taxpayers in down periods and lavishly spending in good or to use this opportunity to blow away the smoke, destroy the mirrors and create a system of banking with some semblance of legitimacy to it.
"Our price isn't intentionally unfair but it is intentionally harsh. We have no interest in being part of this business and welcome higher bidders from private equity or fellow institutions. We are setting a price because, despite having been given every opportunity to do so, the banks themselves simply refuse to.
"The deposits of Americans are backstopped by the government. There is no reason to make a run on your local bank. I frankly don't believe customers care about the name on their checks, they simply care that the money they put in the checking account will be there. It will be. As for the banks themselves; I promise them we will give 30 cents on the dollar 60 days from today. I promise them nothing more than this: if there is the slightest bit of evidence that your backstopped deposits somehow find their way into inflating the value of the toxic assets, justice will be swift and Draconian.
"This may not be the right plan. As Patton was fond of saying, a good plan today beats a perfect plan tomorrow. I'm not alone in having found the end of my patience for testimony on both sides with no solution. I've given you the solution. It protects the citizens and forces the banks hands. Those qualities alone make the plan, if not good, better than the nothing we've arrived at in 6 months."
I think some variant of that type of speech would take the wind out of the hearings, no? It would be leading. It would be harsh but forward thinking.
As for the automakers...
"30 years ago the government bailed out Chrysler. A generation and a half of Americans went to work for the company as a direct result. What cost did we pay as a society for the loss of the intellect and man power represented by these now-50 something men and women who have lost the advantage of time and are again reliant of a bailout to save their industry?
"The cost of that decision is unknowable. What we do know is this: these companies, as they stand today, are simply not solvent. Their financial statements are examples of why bankruptcy laws were created in the first place. I won't have another generation plus of Americans going to work for an industry with a track record of gross failure.
"60 days. Find a private deal or go into a pre-arranged bankruptcy process"
And, while were making speeches, here's my favorite speech for times when the enemy isn't failure due to model or talent but simply overconfidence. It was given by Herb Brooks during the 1980 USA hockey team's gold medal game against Finland (the game AFTER they beat the Soviets):
"If you lose this game you'll take it to your f-ing graves. Your f-ing graves"
May our country once again have the right to such a simple leadership point.
2009-02-14 19:42:23
Writing with heart
I do love a straight shooter.
While we could haggle over ersatz vs. roles, suffice it to say I have a role on Fast Money that is specifically to help the populous manage their portfolios. On the broader topics (eg The BRIC Lunacy, "Oil is Speculative bubbling" etc), the sheer number of times I had to repeat the same message with little more than the hope that I would be able to convince someone, somewhere, to take profits led to delivering the message in dozens of different way. Inasmuch as suggesting respecting the up-trend (and nothing else) in stocks like Potash led to quite extended responses about their pricing power and my failure to understand any number of global trends, it was both in character and more effective to simply start howling "We didn't invent food! There are 1.3 billion Chinese people! They know how to eat!".
I hear your point. I'd love that platform. As is, 1,500 word screeds aren't my TV role.
All that said, I repeat that I do love a direct critic. And thank you for the compliment implicit within.
While we could haggle over ersatz vs. roles, suffice it to say I have a role on Fast Money that is specifically to help the populous manage their portfolios. On the broader topics (eg The BRIC Lunacy, "Oil is Speculative bubbling" etc), the sheer number of times I had to repeat the same message with little more than the hope that I would be able to convince someone, somewhere, to take profits led to delivering the message in dozens of different way. Inasmuch as suggesting respecting the up-trend (and nothing else) in stocks like Potash led to quite extended responses about their pricing power and my failure to understand any number of global trends, it was both in character and more effective to simply start howling "We didn't invent food! There are 1.3 billion Chinese people! They know how to eat!".
I hear your point. I'd love that platform. As is, 1,500 word screeds aren't my TV role.
All that said, I repeat that I do love a direct critic. And thank you for the compliment implicit within.
2009-02-14 20:55:54
Seeing the forest through the trees..
A wonderful and inspired piece of work Jeff. A little knowledge of history is so helpful in seeing the big picture.
As an American born Canadian resident (I know you want to invade us Jeff, it would be worth it to you for the health care alone) looking in from the outside, it seems as though the only way politicians can get elected in the USA in the modern era is to master the art of telling a carefully calculated electoral majority exactly what they want to hear in a politically correct, sanitized dialogue. It is hard not to be cynical about the proccess as it unfolds in front of the fawning media for seemingly endless months.
Barack Obama is a brilliant orator and a very quick thinker, and he understood the power of the internet to help get him elected, and he was probably the only reasonable choice at this time. Unfortunately, however, there is no legislated solution to this mess, as you know Jeff, and as people become bitter and disillusioned because Barack Obama cannot possibly live up to the outrageously inflated expectations, there is every likelihood of complete social breakdown and economic chaos. There are no real leaders on the horizon, not in the historical context. Those great leaders took bold actions and weren't afraid to make bold mistakes, something intolerable in the 30 second soundbite era.
I feel as though the wall street bulls are like Scheherazade in "1001 Arabian Nights", spinning a different tale every day to keep themselves from being put to death. It is a sad spectacle to watch. My father, who died in 2000, told me throughout his later life that another depression and great war were coming and to be prepared. He knew that the hubris of modern Wall street and Greenspan and of all of the enabling politicians would have to be punished.
I always look forward to your comments on Fast Money, but please Jeff, lay off of the "invading Canada" idea. Canadians are a lot tougher than you may think, especially if they have a hockey stick in their hands!
As an American born Canadian resident (I know you want to invade us Jeff, it would be worth it to you for the health care alone) looking in from the outside, it seems as though the only way politicians can get elected in the USA in the modern era is to master the art of telling a carefully calculated electoral majority exactly what they want to hear in a politically correct, sanitized dialogue. It is hard not to be cynical about the proccess as it unfolds in front of the fawning media for seemingly endless months.
Barack Obama is a brilliant orator and a very quick thinker, and he understood the power of the internet to help get him elected, and he was probably the only reasonable choice at this time. Unfortunately, however, there is no legislated solution to this mess, as you know Jeff, and as people become bitter and disillusioned because Barack Obama cannot possibly live up to the outrageously inflated expectations, there is every likelihood of complete social breakdown and economic chaos. There are no real leaders on the horizon, not in the historical context. Those great leaders took bold actions and weren't afraid to make bold mistakes, something intolerable in the 30 second soundbite era.
I feel as though the wall street bulls are like Scheherazade in "1001 Arabian Nights", spinning a different tale every day to keep themselves from being put to death. It is a sad spectacle to watch. My father, who died in 2000, told me throughout his later life that another depression and great war were coming and to be prepared. He knew that the hubris of modern Wall street and Greenspan and of all of the enabling politicians would have to be punished.
I always look forward to your comments on Fast Money, but please Jeff, lay off of the "invading Canada" idea. Canadians are a lot tougher than you may think, especially if they have a hockey stick in their hands!
2009-02-14 22:30:32
Bring Lawyers, Guns and Money
Giving up my guns was an if then statement.
We're quite far away from the If being fulfilled.
We're quite far away from the If being fulfilled.
2009-02-14 22:40:15
Seeing the forest through the trees..
Invading Canada is business, not personal. It's the only way to save our auto industry, the steel industry, the defense business and to bring our troops home with proper reward for their efforts in the Middle East.
I didn't put Toronto so close to Detroit. I didn't make half of Montreal speak French; mocking the fact that Benedict Arnold was thisclose to making Canada a self-respecting part of America, rather than a Queen tithing America haters.
And I'm counting on Canada being tough. If you don't hang in there for a while after the invasion (which, incidentally, will be in response to a wildly aggressive, if slightly curious, Canadian massacre taking place at the University of Vermont graduation ceremonies... but the tapes and innocent, dope smoking, hacky sacking would-be grads of UVM will demand response) we won't need to keep making the tanks which will revitalize GM nor the jets that save BA.
Trust me, in the bigger picture you're going to love being a real part of the North American family.
I didn't put Toronto so close to Detroit. I didn't make half of Montreal speak French; mocking the fact that Benedict Arnold was thisclose to making Canada a self-respecting part of America, rather than a Queen tithing America haters.
And I'm counting on Canada being tough. If you don't hang in there for a while after the invasion (which, incidentally, will be in response to a wildly aggressive, if slightly curious, Canadian massacre taking place at the University of Vermont graduation ceremonies... but the tapes and innocent, dope smoking, hacky sacking would-be grads of UVM will demand response) we won't need to keep making the tanks which will revitalize GM nor the jets that save BA.
Trust me, in the bigger picture you're going to love being a real part of the North American family.
2009-02-15 07:45:31
Bring Lawyers, Guns and Money
Prof. Macke,
I love your direct approach and I always see great wisdom behind your smart alec comments on TV. Keep up the good work. You are one of the few who will actually tell people to sell and take profits.
I fully understand your comment about giving up your gun was an "if" situation. And I'm basically saying I don't beleive there ever will be an "if" that is long lasting. Even "if" this or the next batch of leadership grow up and lead, I always worry about the next batch coming around the corner.
Just like locks on the front door keep the honest people honest, guns in my home keep the leadership from straying too far off the cart path.
I love your direct approach and I always see great wisdom behind your smart alec comments on TV. Keep up the good work. You are one of the few who will actually tell people to sell and take profits.
I fully understand your comment about giving up your gun was an "if" situation. And I'm basically saying I don't beleive there ever will be an "if" that is long lasting. Even "if" this or the next batch of leadership grow up and lead, I always worry about the next batch coming around the corner.
Just like locks on the front door keep the honest people honest, guns in my home keep the leadership from straying too far off the cart path.
2009-02-15 07:54:02
Seeing the forest through the trees..
Canadians don't really hate America. There is a complex and bizarre love/hate relationship that goes on, partly driven by envy and partly by self righteous feelings of superiority with regard to health care and other social advantages, which are themselves more an accident of history, geography and having a small population concentrated near the US border.
Canadians are also endlessly proud of their fellow countrymen who become successful in America and choose to leave Canada, people such as Jim Carrey, Martin Short, Peter Jennings, Howie Mandel, JK Galbraith, Wayne Gretzky, Alex Trebek etc. etc. etc. It is a strange dynamic.
Canadians are also endlessly proud of their fellow countrymen who become successful in America and choose to leave Canada, people such as Jim Carrey, Martin Short, Peter Jennings, Howie Mandel, JK Galbraith, Wayne Gretzky, Alex Trebek etc. etc. etc. It is a strange dynamic.
2009-02-16 13:14:37
Horrible Article (and I welcome any debate from the opposition)
Adam,
Your jugement of "horrible" presumes to know the standard by which I judge guts and brains. To this err you add the mistake of failing to calculate the probability of these two independent qualities being present in one elected official.
Since you welcomed opposition, allow me to assert the basis for your judgement demonstrates an absence of the type of intellect to which I refer. You may or may not have guts but inviting others to disagree with you isn't a function of courage but rather a personality trait more akin to an easy smile or a genial nature.
My article may be every bit as Horrible as you say. Having the love/ hate personality type so often found in my professions you had a shot at convincing me of it. As it is, you've revealed more about yourself than my work.
The Canadians have improved my view of them more than you, and I'm inclined to like those who abhor me. (The irony of my improved assessment of the Canadians stengthening my view that America needs to invade them is a subject for another note).
One thing I can say, we share the quality of welcoming debate. Let's just agree not to confuse this with anything other than enjoying a good row.
Amiably yours,
Macke
Your jugement of "horrible" presumes to know the standard by which I judge guts and brains. To this err you add the mistake of failing to calculate the probability of these two independent qualities being present in one elected official.
Since you welcomed opposition, allow me to assert the basis for your judgement demonstrates an absence of the type of intellect to which I refer. You may or may not have guts but inviting others to disagree with you isn't a function of courage but rather a personality trait more akin to an easy smile or a genial nature.
My article may be every bit as Horrible as you say. Having the love/ hate personality type so often found in my professions you had a shot at convincing me of it. As it is, you've revealed more about yourself than my work.
The Canadians have improved my view of them more than you, and I'm inclined to like those who abhor me. (The irony of my improved assessment of the Canadians stengthening my view that America needs to invade them is a subject for another note).
One thing I can say, we share the quality of welcoming debate. Let's just agree not to confuse this with anything other than enjoying a good row.
Amiably yours,
Macke
2009-02-16 16:58:28
Jeff!
How did this one slip by me last Wednesday?
Awesome, thank you! My sentiments exactly.
It's frightening when you see your representatives on television and a cold chill runs down your spine as you realize you and your friends are more intelligent, mature, and of better character than anyone sailing the ship.
Yikes!
Guts and brains...yes...where have they gone!?!?
Awesome, thank you! My sentiments exactly.
It's frightening when you see your representatives on television and a cold chill runs down your spine as you realize you and your friends are more intelligent, mature, and of better character than anyone sailing the ship.
Yikes!
Guts and brains...yes...where have they gone!?!?
2009-02-16 20:02:48
Horrible Article (and I welcome any debate from the opposition)
:)
Like a debate, articles where words or statements are left undefined by the affirmative/writer are freely left to interpretation or defining by the opposition/reader. If your article fails to follow up the proposal paragraph with constructive points then this is no error of mine.
I must say that your assertion confuses me. If I as a reader was not given the standards by which to judge the writers understanding of guts and brains then how can the writer claim reference to a demonstration of defined intelligence. Unless I am wrong in my assumption that brains = intelligence.
Put simply, your first paragraph contradicts your second. This reiterates the point of my original comment; your words contradict each other.
Also, to define courage without opposition is impossible for the nature of courage is opposition, the very least being opposition to the status quo.
Putting semantics behind us.
My harsh subject line is only derived from your opinionated start and lack of follow-through. I am not a fan of that type of journalism a good example being the Oriley factor.
Your willingness to enter a discussion negates the above opinion. Thank you for your response.
I would only like to add that your response to the post “We're simply too arrogant to be afraid of losing and too gutless to fight… is excellent and should be this articles body.
Admirably yours,
Adam
Like a debate, articles where words or statements are left undefined by the affirmative/writer are freely left to interpretation or defining by the opposition/reader. If your article fails to follow up the proposal paragraph with constructive points then this is no error of mine.
I must say that your assertion confuses me. If I as a reader was not given the standards by which to judge the writers understanding of guts and brains then how can the writer claim reference to a demonstration of defined intelligence. Unless I am wrong in my assumption that brains = intelligence.
Put simply, your first paragraph contradicts your second. This reiterates the point of my original comment; your words contradict each other.
Also, to define courage without opposition is impossible for the nature of courage is opposition, the very least being opposition to the status quo.
Putting semantics behind us.
My harsh subject line is only derived from your opinionated start and lack of follow-through. I am not a fan of that type of journalism a good example being the Oriley factor.
Your willingness to enter a discussion negates the above opinion. Thank you for your response.
I would only like to add that your response to the post “We're simply too arrogant to be afraid of losing and too gutless to fight… is excellent and should be this articles body.
Admirably yours,
Adam
2009-02-16 22:15:14
That was an outstanding read
Jeff.
I think it's the best thing you have ever written.
I think it's the best thing you have ever written.
2009-02-16 22:28:14
1988
The year Ron Paul publicly predicted this mess.
Go to RonPaul.com Listen to the interview (Ron Paul on Money, Banking and the Crisis) that took place more than twenty years ago. This is an in-depth interview, very interesting.
If there is a "clear and present danger", it is the folks controlling the Fed, and our government.
Go to RonPaul.com Listen to the interview (Ron Paul on Money, Banking and the Crisis) that took place more than twenty years ago. This is an in-depth interview, very interesting.
If there is a "clear and present danger", it is the folks controlling the Fed, and our government.
2009-02-16 23:00:07
Wow!
So he had a failure of a plan which he executed poorly and ended up with an continent credited to him (one which was frankly utterly impossible to miss).
Sure he was dead within several more missions but, hey, at least we remember him.
Sure he was dead within several more missions but, hey, at least we remember him.
2009-03-02 03:30:19
But why...
Jeff, great piece. But why did Chruchill happen? Why did the British allow him to rise and reject Chamberlain? And why do we elect Obama but accept his platitudes and finger pointing.
Because it got very bad in the UK in 1940. Because they knew they had no choice.
Denial is very powerful. It is pain management. Everyone want's "peace in our time" all the time.
I am afraid Obama is just the first act. The Neville Chamberlain of our time. We will get the hard choices and our own Churchill later.
Because it got very bad in the UK in 1940. Because they knew they had no choice.
Denial is very powerful. It is pain management. Everyone want's "peace in our time" all the time.
I am afraid Obama is just the first act. The Neville Chamberlain of our time. We will get the hard choices and our own Churchill later.
2009-03-08 15:10:45
fall of an empire
What is the end game? Secular Progressivism on its face calls for the demise of the USA from the top. How to get there is to follow the model that is put in place thru the design of its architect. Chaos and fear challenging the legislature to act irrationally, bring all that you can under the control of a central government(Banking system, health care system, control over the media, over tax the producers and re-distribute to the non-producers for their vote and line your own pockets in the process. Wake Up people
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