Tag: commerce

Throw me the whip! No, throw me the mortgage!

IndyMac Bank, a prolific mortgage specialist that helped fuel the housing boom, was seized Friday by federal regulators in one of the largest bank failures in U.S. history. The thrift was one of the largest savings and loans in the country, with about $32 billion in assets. It now joins an infamous list of collapsed banks, topped by Continental Illinois National Bank and Trust Co., which failed in 1984 with $40 billion of assets. The bank will be run by the Federal Deposit Insurance Corp., a federal regulator, and will reopen Monday.

Via Wall St Journal

Edit: Additional comedy from the full article: IndyMac specialized in Alt-A loans, a type of mortgage that can often be offered to borrowers who don’t fully document their incomes or assets. SO THERE’S NO CTRL-Z AMIRITE???

No on 98: Remember on June 3

CALIFORNIANS:

If you’re a renter, or you might be one, or you know and like people who rent, you should vote against Proposition 98 next Tuesday, June 3.

gordonzola has done a fine job of explaining why at this post and previously at this other post. I’ll summarize here with cut and paste bits from his post:

State Proposition 98 on the June 3 ballot will change your life and change our city forever if it passes. This dangerous measure would end all rent control in California. Worse, it would also end just-cause eviction protections. If it passes, landlords will be able to raise evict tenants for no reason other than that they want to raise the rent.

Besides attacking tenants and rent control, Prop 98 will also end a number of environmental regulations as well as zoning and land use laws. Under Prop 98, developers will be able to ignore height limits in residential neighborhoods, build on environmentally sensitive areas and bring chain stores into neighborhoods where they are now prohibited. Prop 98 will also end requirements that developers build a certain number of units which are affordable to people with low and moderate incomes.

Also likely to be ended by this language will be laws requiring landlords to give 60 day notices for large rent increases or no-fault evictions, as well as laws requiring relocation benefits for no-fault evictions. Laws limiting the amount of security deposits or limiting when a landlord can hold on to a security deposit will also end. Prop 98 is a constitutional amendment so its provisions will override all other local and state laws (and make challenging it in court especially difficult).

Please vote. Without a good showing it’s likely to pass, because they put it in a boring election between two important ones.

Critical Thinking: Don’t get a Prius.

The hybrid car is a lie. Do not purchase one.

  1. The only reason the hybrid car exists is to allow auto manufacturers to continue selling grossly wasteful and polluting vehicles to consumers. Because California law requires an overall emissions target and minimum quantity of zero emissions vehicles, a manufacturer has to sell hybrid or electric powered vehicles in order to continue selling large commercial trucks to consumers as toys, and other sins.
  2. Purchasing a hybrid vehicle pays off the owner’s conscience in the best American way: with a unique product. The buyer feels a sense of moral superiority, the seller makes some money, and the essential problem continues. It’s no wonder the name of the most popular one sounds like “pious.”
  3. Buying a hybrid car means buying a new car. Don’t buy a new car. It’s true that as your hybrid car runs it will put less direct pollutant material in the air and water. It’s also true that it will use less gasoline. However, you have just bought a very large machine which was manufactured new. Add up the steel and aluminum, the machining and casting of parts, the chemicals used and dumped, the nonrenewable resources consumed or used to build the car, all the energy used to build a car and carry its materials around, the energy used to move the car around by ship and truck to the dealer, all of it. Making a car is a very top heavy resource-hungry industrial process.

    And your car doesn’t go away. Unless you have it artfully crushed into a cube as a coffee table, or personally supervise its recycling, your car is sold to another person and stays on the road. And that person’s car is sold down the line too, until we arrive at unusable or junked cars, which then go to a graveyard to be broken down. Everything about the car is toxic too, just in case you’re curious.

    So now you’ve brought a new car into the world (they’ll make more!) and given a nice big fat gut punch to Mother Nature in doing so. Failure.

  4. Keep your old car instead. If it’s not so run down that the mileage is shot, and it’s passing the emissions tests, it’s a better deal for “the planet” and for you also. It is not as demonstrative of your love for the GREEN GAIA to continue with your serviceable older car, but trust me, she appreciates it.
  5. nstead, do things that don’t burn fuel, or burn less. If you’re physically able, ride a bike more to short drives. Use public transit. Even in Southern Californian Heck, where I live, I can (and now I do) take the train into Los Angeles when I am able.
  6. It will be a great day for this country when Americans can look at a serious problem and do something other than pick up a lifestyle magazine and look for some product guides. Buying things is a terrible solution to so many things.

Pilaf with light sweet crude

No, we’re not running out of rice in the U.S. We are particularly not running out of rice in California, where we grow it. We’re also not running out of wheat. If the Costco isn’t selling you rice, they probably messed up their order and some junior manager is lying to you about rationing.

The price of food is indeed high and rising. People in less fortunate countries are rioting because they can’t afford to eat. Here in the U.S., poor people are being squeezed. People like me don’t even notice because we make good money.

This is a good time to think about what you eat. It’s an even better time to take a good look at where the food comes from, how it’s produced, and how it’s distributed. As usual, the root problems are about money: farm subsidies, water subsidies, tariffs, big agricultural companies who control all of those things, and bad government all over the world.

And in the U.S. particularly it’s about oil. Because you can’t grow food the way we do without artificial fertilizer, which is made of energy. And once we have all that bounty of soy and corn, we have to sell it somehow. And so we convert it into ethanol and celebrate our new energy, free from foreign oil! …that’s made from foreign oil. And up go the grain prices.

For me the threat is not rice rationing at the supermarket. The threat is endless war to keep our own food prices low with cheap oil.

Funny how it comes back there every time!