Postcards from the Bleeding Edge
Saturday, October 18, 2008

  Fed up with the two party system?

Two of the alternate candidates for President, participate virtually in the last debate.

And Break The Matrix continues to provide a look at the third party tickets.

Update: The independent parties are so disorganized as to not even be able to pull together a debate!? Ah, well, the age of single party politics is upon us again... comrade.

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  Best. Resignation. Letter. Ever.

Andrew Lahde has got his f-you money and, tired of the stress and worry of operating a hedge fund, gone home.

May meritocracy be part of a new form of government, which needs to be established.

Hey, Andrew? Play an instrument? I could use a different drummer down here.

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Wednesday, October 15, 2008

  The last presidental debate?

Another weird day, DOW down 700+ and gold barely budged a dollar after 2PM. What could be weirder than that?

The Phillies are probably in the World Series.

Things are weird alright.

I'd rather be watching the playoffs, but instead I'm listening to tonight's presidential debate - apparently, I am "Joe Plumber". I just want both of these b*stards to leave me alone. "Give someone affordability", - McCain is saying... to hell with the insurance companies I'm saying. They take up 1/7th the economy and spend their money on fatcat CEOs and lawyers and lobbyists and making sure that their clients don't get what they think they bought.

"I want to leave money in your pocket", McCain is saying. Suuuuuuure, I'm saying. Look me in the eyes when you say that, pardner, and keep your hands where I can see 'em.

And now emotional gobbledygook on abortion... It's the economy, stupids, I yell back.

"We have to improve our educational system to keep our military power", obama says. Oh, boy, I don't think I heard that right... "We need to recruit an army of new teachers", he says now. Umm... the military metaphors get under my skin.

And now, Obama proposes a tuition credit in exchange for community or military service. A wopping 4 grand. I suppose delivering pizza and making hats doesn't get you through college anymore. Pack it up for the Army, girl... sign right here... and go and sit on the group W bench...

Greg types in chat: Wow, both candidates are going to cut taxes, lower the deficit, and increase social services. We're so lucky this year... that no-one can add.

I am looking forward to the third party debate on Sunday... in the hope that there is someone making more sense out there.

16 days ago, the national debt cracked 10 trillion dollars. In the 16 days since it increased by 300 billion dollars. It's now at:



Update: I was right about Tesla falling into trouble in today's environment. That moral hazard issue, again. Printing enough money to save everybody is a pesky problem, isn't it?

Update 2:I wish I'd had 6 minutes with Obama and some face time on the news. I'd have suggested I was withholding my decision as to who to vote for until after the other parties debated. And maybe I'd have got someone to talk sensibly about capitalism without capital.

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Tuesday, October 14, 2008

  That Rocket Ship song

I have one song that channels all the joy and rage and grief I barely contain. sometimes I just have to get it out of me, so I can keep moving on.

Angel Bidinost sat in tonight, channeling all that heavy stuff through her wailing flute, for this version of my song, Falling Free and Flying High. Click on that link to have a listen. I've been closing my set with it on Open Mic nights at Coquitos, the guy that usually plays with me (James Sedgewick, who has some great stuff I will post one of these days) refers to it as "that Rocket Ship song". I don't usually leave space for 3 solos in the song, but I was really digging Angel's flute...

Additionally, for that "Darker side of the rainbow" experience, you can press play on the video above on the "All we ever needed was a rocket ship" line, in the chorus right after the third verse (The one that starts after "Rhysling and me, we watched every launch").

Someday I hope to have the tools to do the video to this song properly.

With all the trillions of dollars being thrown around the banking system this month, we could have gone to the moon hundreds of times, and gone beyond.

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Monday, October 13, 2008

  DOW up 11%!?

Your tax dollars at work.

And those of Europe, too.

I got this this morning while trying to access the debt clock. It seems an appropriate sign of the times:



I've had a few long talks with students here about their student loans.
This article (and the comments) comes close to nailing the problem, but I add - get an education in and/or move to a country that doesn't treat its young like slaves. If you can find one.

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Sunday, October 12, 2008

  Waiting for another shoe to drop

Q- Why did God create economists?
A- So meteorologists would not look quite so bad.

There has been a lot of doom and gloom lately. A whole bunch of bankers and economists are now in Washington, trying to fix it. By Wednesday last week I had concluded that the Paulson plan had created more uncertainty than it resolved, and world governments were all competing now to offer the best deals for international capital for fear they would go the way of Iceland. Perhaps this weekend the uncertainty will end, although the gross distortion of the markets created by all this government activity will remain for years or decades.

"Who will get a handout? Who won't?" - has become the dominant economic thought.

Thursday's stock market took out those fears on the regional banks.

I have long advocated decentralization, local government, local ownership, and local responsibility for your actions. It's hard to look the guy you are screwing over in the eye at the behest of your faceless masters.

The course the world governments and corporations are on is the precise opposite, and when those efforts fail... ordinary people will have to pull together again for mutual support.

Some are calling for the G7 to incorporate the more successful economies of the third world. Gee, thanks for the invite to clean up the party mess....

I still believe that hyperinflation, at least in the conventional sense (1000s of percent) is impossible for the dollar. All the naysayers quote from both the Great Depression and the Weimar inflation, and in neither case were the markets so globally linked, and in the Weimar Republic case, the Mark was not backed by 12 aircraft carriers, a multitude of nuclear submarines, an uncountable number of ICBMs, and the best (if currently overstretched) air force and army in the world. Fiat currencies, backed by force, can hold up for a while.

Note that I find it depressing to have to say that. I would prefer to be saying that there was some strong sector in the US economy that would save us all, but the online advertising bubble has run its course, and nothing has shown up so far to replace it. Nanotech and solar? Maybe...

Nothing has appeared to stop this endless flow of fake money after bad. Over the past few years all the core statistics have been jiggered as to make objective evaluations of what to do invalid, much as they were in the Soviet Union before its collapse. Why not give up on GDP, and substitute some index of more use than the CPI? An orgasm index for men, and a "feelin-fine" index for women, perhaps, and a quality of life index, which would also factor in man's impact on the planet.

I desperately would like to see fish populations stop imploding for one thing, and to get better than 0 cents a word for what I write, for another. I have no idea on how to accomplish either.

Protecting house prices? What long term good does that do for those that don't own? Or, take, for example, the auto industry bailout incorporated (without fanfare) in the budget passed recently...

GM and Chrysler, due for a 25 billion dollar handout/bailout, are in merger talks.

These businesses are too big to fail? They are too big not to fail. When a corporation - or government - reaches a certain age and size, much like a person, it gets blocked arteries and mental problems. It's best that they die, or divest, and make room for something new to rise from the ashes.

Take a moral dilemma like this one, and smoke it for a while. Tesla Motors has developed a breakthrough electric sportscar and is building a 250 million dollar facility to produce an all electric sedan, heavily subsidized by two local governments, without help from the feds. What makes that investment less valid than the bailout from congress? Why should California be competing with the Federal Reserve? The Fed can print money, California can't. Who is making better investment decisions?

California's still in line for a 7 billion dollar bailout, because they can't get anyone to buy their bonds, perhaps due to their irresponsible spending? Debt, debt, and more Debt. When will adding on debt seem like an unsound option to anyone in power? High rates of inflation seem inevitable for the foreseeable future. Why buy poorly paying bonds from a bankrupt state with no worthwhile industrial outputs save movies and online advertising?

There is no sign of anyone finding a way to pay for anything except by printing money. I'd really like to know where the money for all this is going to come from... some change in government policies... some cutbacks... legal changes... somewhere....

Perhaps the Guvernator will legalize pot, like Mexico is trying to - tax it - and send the tax money to the schools and Tesla? That would almost make sense in this environment. It would mellow everybody out, and boost sales of chocolate and twinkies, and cut down on the pesticides in use in the national forests.

Regarding higher rates of inflation, there seems to be no valid hedge left (besides put options). I view the now global guarantee of banks by governments (australia
just joined the club
), as the ultimate gun to the heads of lenders that would rather choose to be prudent, and raise interest rates and lend only to those creditworthy.

I would have liked it if McCain hadn't show up for the first presidential debate, and the other presidential candidates had. I still remember that the last time they tried, in 2004, the Libertarian and Green candidates were arrested, which I guess was disincentive enough for them not to even try this year.

It sure would be nice to see some more options on the national debate stage than a choice between fascism or socialism.

It's astonishing how hard you have to work to hear these other points of view in the tumult, even with an RSS news feed. Here's Ralph Nader, running independently and now on the ballot of 45 states, Ron Paul, running nowhere but behind the scenes, the Green Party, and Chuck Baldwin, of the Constitution Party, and Bob Barr, of the Libertarian Party....

But, noo... A or B, A or B, A or B, crieth the MSM!

I'd like to hear from more real bankers, brick and mortar bankers, regional bankers, someone like Jimmy Stewart in "It's a wonderful life", to get the straight dope. The only one I know (retired, father of a friend), just stuffed his savings into a coffee can.

According to wikipedia, U.S. Treasury statistics indicate that, at the end of 2006, foreigners held 44% of federal debt. The statistics that I trust (shadowstats) are saying that the monetary base jumped 16.8% over the past year (and roughly the same the previous year) and according to the M3, that almost all of that expansion, up to august, came from international sources.

This indicates, strongly, that foreigners now hold well over 50% of the US debt. (I await confirmation from other sources)

What we have is an untenable situation. Governments have piled up so much debt that even a modest increase of interest rates would break their budgets, so out come the guns and tanks.

The independent evaluators of risk are scared silly. That includes me.

Yet, I also think that the size of the gold market - physical gold - is now so small as to be a hedge only for the most lucky and connected of individuals. Gold, despite its cachet among gold bugs, is just another commodity now, its glory days are long past, and, still, getting hold of physical gold is harder than buying liquor, which has more intrinsic value.

I'm stocking up on scotch. I don't think wuffie will pay for anything any time soon.

If I had a trillion dollars

(apologies to the Bare Naked Ladies for appropriating their song)

If I had a trillion dollars (instead of the Treasury)
If I had a trillion dollars, I'd buy an RV (and tow a Tesla off the back)
If I had a trillion dollars, I'd fix the roads and bridges (but I might focus more on trains)
If I had a trillion dollars, I'd walk away from my house
If I had a trillion dollars, I'd build a whole bunch of nuclear plants (and a lot of solar panels too)
If I had a trillion dollars, I'd buy everyone, absolutely everyone a beer (one of those nice micro-brews)

I still have a few more lyrics to add to that.



I still plan to fiddle while Rome burns, knowing full well what Nero accomplished on his return to Rome. There's absolutely nothing I can do to affect whatever happens next, so I plan to keep my head down, write no long term contracts, keep my own house in order and contribute to my local (Nicaraguan) economy as much as possible. I don't really want to participate in an economy where terry childs is still in jail and his management isn't. There seems to be a long way left to go before that happens.

Jamie Johnson was so inspired by his stay in San Juan Del Sur to have gone right into the studio, and lay down 5 songs. My favorite is Rainstorm, because it accidentally ties into a lot of my own story. Have a listen, on headphones.

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David Täht writes about politics, space, copyright, the internet, audio software, operating systems and surfing.


Resume,Songs,
My new blog, NeX-6, My facebook page
Orgs I like
The EFF - keeping free speech in the world
Musical stuff I like
Jeff, Rick, Ardour, Jack
Prior Rants - Wireless and Wifi in 2015 - not what I dreamed of Saving wifi! Fixing Bufferbloat! Fighting the vend... Virgin Media - Fixing the epidemic of bufferbloat ... 49... and trying to find my navel Wheels down on mars! Tracking the landing of Curiosity, from Seattle spotting NEOs from around venus's orbit Asteroids as lunar orbit resources SOPA is bad news Departing France for England, then 'home'.
Best of the blog:
Uncle Bill's Helicopter - A speech I gave to ITT Tech - Chicken soup for engineers
Beating the Brand - A pathological exploration of how branding makes it hard to think straight
Inside the Internet Mind - trying to map the weather within the global supercomputer that consists of humans and google
Sex In Politics - If politicians spent more time pounding the flesh rather than pressing it, it would be a better world
Getting resources from space - An alternative to blowing money on mars using NEAs.
On the Columbia - Why I care about space
Authors I like:
Doc Searls
Where's Cherie?
UrbanAgora
Jerry Pournelle
The Cubic Dog
Evan Hunt
The Bay Area is talking
Brizzled
Zimnoiac Emanations
Eric Raymond
Unlocking The Air
Bob Mage
BroadBand & Me
SpaceCraft
Selenian Boondocks
My Pencil
Transterrestial Musings
Bear Waller Hollar
Callahans
Pajamas Media BlogRoll Member

If you really want to, you can poke through the below links as well.

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