Breaking Local News – G.M. to offer buyout packages to all union employees.

This is interesting…:

General Motors Corp. will offer buyouts to all of its hourly employees, a spokesman confirmed Tuesday, as the troubled automaker continues to slash costs.
GM spokesman Tony Sapienza said the buyouts will mainly target GM’s 22,000 retirement-eligible hourly employees, though any union employee can take the offer.
News of the buyouts first broke on Monday. A union official told The Associated Press then that GM would offer $20,000 in cash and a $25,000 car voucher for workers who retire early and those who simply leave the company. The official spoke on condition of anonymity because workers were not yet notified of the packages.
via GM To Offer Buyouts To All Hourly Employees — WDIV Detroit.

Just another sign of the times. For the record, G.M. has done this in the past, when times were bad. Hopefully some of the guys that have been with the company and are about ready to retire will take this buy out. Hopefully, this will help the problem and G.M. will become viable.

Should we give incentive bonuses to Wall Street Watchdogs?

I have fixed feelings about this, and I will explain why a little further down.

An Article in the New York Times Dealbook Column asks a question whether Wall Street Regulators or Watchdogs should get performance bonuses.

Maybe someone deserves a bonus.
Like someone who sniffs out the next Bernie Madoff. Or jousts with tomorrow’s gonzo bankers. Or defuses the Next Big Crisis in whatever Next Big Thing is dreamed up by Wall Street.
Someone, in short, who regulates.
It is clear that the nation’s financial regulators were no match for Wall Street last time. The financiers were always one step ahead. But maybe that isn’t surprising. The financiers, after all, have a big incentive to outsmart the financial police. It is called a bonus. Wall Street lures a lot of bright minds with money. How can federal agencies compete? They can’t.

So, of course, The Government of Singapore’s head honcho says we ought to incentivize watchdog process.

Tony Tan Keng Yam, deputy chairman and executive director of the Government of Singapore Investment Corporation, suggested that one reason American regulators fell down on the job was that they were paid too little.
“You must have as good people working in the government in the regulatory authorities as those that are working in the private sector,” Mr. Tan said. “You do need, particularly in these very difficult times, capable people in central banks, in government, in the Treasury who can effectively supervise.”
Mr. Tan knows about this firsthand. He is a former regulator himself, and Singapore has a different view about compensation.
“We pay our politicians and our government servants very well,” he said. “We lock remuneration to the market.”
While Singapore’s watchdogs aren’t paid enough to afford private planes, some in top positions make seven-figure salaries.

At first blush, this would seem to be a great idea; however, if you think about it closely, this would not be such a good idea. Because of the following:

Some at Davos thought the bonus idea could work. But anxiety over that approach was palpable. “They already treat us like criminals,” one hedge fund manager said.
A few said giving bonuses to regulators would be like giving bonuses to the police for issuing speeding tickets. Maybe the regulators, like Wall Streeters, would start thinking about the money, rather than what is right. But maybe that’s exactly what Wall Street needs to slow down.

I must say, that I highly disagree with this idea. Why? While I believe that moderate regulation is a good idea on Wall Street; I believe that incentivizing the Wall Street watchdog process will result in a overzealous regulatory process, that will be solely based upon monitory compensation. This would be absolutely disastrous to the free market process in America. As well all know we already law enforcement that borderlines upon a police state. Doing this to Wall Street would cause a fear mentality amongst the financial sector and discourage investment.

We need regulation, not a financial police state.

The Mining Industry feels the pinch

It is not just the auto industry that is feeling the pinch of the economy, it seems that the mining industry is feeling it as well.

BIG mining companies have suffered an astounding reversal of fortunes in the past few months. As boom has turned to gloom, commodity prices have slumped, leaving mining firms with painful decisions to make. Rio Tinto is the latest to suffer. On Monday February 2nd the Anglo-Australian mining giant was forced to confirm press speculation, acknowledging that it is in talks with Chinalco, a state-owned Chinese aluminium maker. The Chinese firm may agree to a deal to help to alleviate Rio’s debts which were taken on before the credit crunch led to a foundering world economy.
Rio’s debt pile of some $40 billion was mostly run-up through its purchase of Alcan, a Canadian aluminium firm, in 2007. Around $9 billion is due later this year, and refinancing will be a tricky proposition given the parlous state of debt markets. Another $10 billion must be repaid in 2010. Rio has started a firesale of assets: it raised $1.6 billion last week by selling iron ore and potash businesses in Brazil and Argentina to Vale, a Brazilian rival. But prices are depressed and making a sale is not always possible—Rio has still not managed to offload Alcan’s packaging business, although it is reportedly in talks with a potential buyer.
via Rio Tinto, deeply indebted, seeks investment from China The Economist.

More fall out from a concept floated by the Democrats, that was based entirely upon risk. Thank you Bill Cinton for ruining America. 🙄

Japan's Economy on the verge of collapse as well.

Russia is not the only one. Japan now is on the verge of collapse as well.

A reader chided me for not making note of the truly dreadful factory output figures released last Thursday, which showed a fall of 9.6%.
I have to confess that I have fallen into “Japan bad news” syndrome, in that I expect bad news out of Japan and therefore did not focus enough on the details. And while I do not aspire to covering every financial news story (that’s what the MSM is for), the latest figures paint a grim picture, even by our new, desensitized standards.
It wasn’t simply that December was truly awful, but it came on top of a nearly-as-bad November
via naked capitalism: Veneroso: Japan on the Edge of the Abyss.

Again, this is what happens when you inflate a money supply and create a bubble.

Yves continues:

Yves here. I only get the privilege of reading Veneroso now and again, but I cannot recall him taking a tone remotely like what follows:

I have been writing about an Asian black hole for almost two months now. I have been crying from the rooftops about an emerging depression in Japan. It has been as though a neutron bomb had gone off in the world. There was no one who seemed to notice, no one who seemed to listen.
Every week it gets worse and worse and worse. Today it was Japan….
THERE HAS NEVER BEEN DATA THIS BAD FOR ANY MAJOR ECONOMY – EVEN IN THE GREAT DEPRESSION. December industrial production came in down 9.6%, worse than the METI forecast. It is now down almost 21% year over year. METI forecasts a further 4.7% decline in February. The inventory to production ratio soared again. Maybe METI will be correct.
If it is, Japan industrial production will have fallen 28% (non annualized) in four months. It will have fallen by a third in about a year. Nothing in the history of major nations compares. A 28% decline in four months would be more than half of the entire decline in U.S. industrial production over the 3 years and nine months of the U.S. Great Depression.
It would be a greater decline in four months than in any 12 month period in the Great Depression in the U.S. We are literally looking at the unimaginable. (I am attaching the U.S. industrial production index from the Great Depression for comparison).
IT’S A DEPRESSION IN JAPAN – ALREADY – PURE AND SIMPLE.

If this is true, unless President Obama can pull some sort of a miracle out of his rather skinny ass. We are in deep trouble. The reason I say this is because we are in a Globalist Economy, whether we like it or not, and Japan’s failures are our failures as well.

I think it will get much worse, before it gets any better. 🙁

(Via Freedom’s Phoenix)

Communism on the rise in Russia

Looks like the fall out of the economy is finally hitting Russia.

Russia was rocked today by some of its strongest protests yet as thousands rallied across the vast country to attack the Kremlin’s response to the global economic crisis.
The marches, complete with Soviet-style red flags and banners, pose a challenge to a government which has faced little threat from the fragmented opposition and politically apathetic population during the boom years fuelled by oil.
Pro-government thugs beat up some of the protesters.
About 2,500 people marched across the far eastern port of Vladivostok to denounce the Cabinet’s decision to increase car import tariffs, shouting slogans urging Prime Minister Vladimir Putin to resign. Many there make their living by importing cars.
Meanwhile in Moscow arrests were made as about 1,000 diehard Communists rallied in a central square hemmed in by heavy police cordons.
Communist Party chief Gennady Zyuganov told them the Kremlin must throw out Western capitalism and impose sweeping nationalisation.
via Violent clashes in Russia as angry protesters call for Putin to resign over economy | Mail Online.

This is what happens when you inflate the supply of money, it causes things like this. I think before it is over, you will see a return to the cold war in America. I hope this not to be the case, but I believe the outlook is bleak.

(Via Freedom’s Phoenix)

See Liberals? We did win.

I am so happy to read about this.

The Video:

Voting was extended by one hour due to a strong turnout, including among Sunni Muslims who boycotted the last polls.
The first nationwide vote in four years is being seen as a test of Iraq’s stability ahead of a general election due later this year.
Thousands of soldiers and police were deployed around polling stations.
The election is also being seen as a quasi-referendum on the leadership of Mr Maliki.
“This is a victory for all the Iraqis,” he said, after casting his vote in Baghdad’s highly-protected Green Zone.
He said a high turnout would be an indicator of “the Iraqi people’s trust in their government and in the elections” and “proof that the Iraqi people are now living in real security”.
via BBC NEWS | Middle East | Iraqi PM hails vote as ‘victory’.

Of course, the New York Times cannot provide a positive outlook on the election there. That’s because it messes with the script that the liberal media must stick to. You know, that the war in Iraq cannot be won, that we must retreat in shame and lose. The usual for that crowd. Notice how they drudge up crap from like 2007 and previous to that? Why can’t they just report the positive stuff and not remind people of the past?

I wish the people of Iraq all the best for their future. 😀

I think I would be speaking for many, if I said that every Military death in Iraq was worth the pictures up there in that video. I admit, there were screw ups. But we did finally get it right. That video is proof of that. I believe that somewhere in the distant future, George W. Bush will be remembered for Democracy that exists now in Iraq. However, those on the far left will never let the world forget that the WMD thing was a mistake. Which I think, was unfair. Bush acted on what he knew at the time.

God Bless Our Troops. 😀

Others: Hot Air, RedState, Neptunus Lex, Don Surber, QandO and More via Memeorandum

So much for that idea!

How’s that appeasing the terrorists idea working out for ya Barry?

The Video: (via BreitBart)

The Story:

US President Barack Obama’s offer to talk to Iran shows that America’s policy of “domination” has failed, the government spokesman said on Saturday.
“This request means Western ideology has become passive, that capitalist thought and the system of domination have failed,” Gholam Hossein Elham was quoted as saying by the Mehr news agency.
“Negotiation is secondary, the main issue is that there is no way but for (the United States) to change,” he added.
After nearly three decades of severed ties, Obama said shortly after taking office this month that he is willing to extend a diplomatic hand to Tehran if the Islamic republic is ready to “unclench its fist”.
In response, Iranian President Mahmoud Ahmadinejad launched a fresh tirade against the United States, demanding an apology for its “crimes” against Iran and saying he expected “deep and fundamental” change from Obama.
Iranian politicians frequently refer to the US administration as the “global arrogance”, “domineering power” and “Great Satan”.
Tensions with the United States have soared over Iran’s nuclear drive and Ahmadinejad’s vitriolic verbal attacks against Washington’s close regional ally Israel.
Former US president George W. Bush refused to hold talks with the Islamic republic — which he dubbed part of an “axis of evil” — unless it suspended uranium enrichment, and never took a military option to thwart Tehran’s atomic drive off the table.
The new administration of Obama has also refused to rule out any options — including military strikes — to stop Tehran from acquiring a nuclear weapon.
Iran denies any plans to build the bomb and insists its nuclear programme is solely aimed at peaceful ends.
via Iran says Obama’s offer to talk shows US failure.

One would think that the Democrats would learn from history. But, as we all know, Liberals have short memory spans. Kind of like the rest of America. 🙄

Obama would be wise to wait till after the elections in Iran to try and do this, because right now, that meatball Ahmadinejad is in power; and that guy is about nutty as they come. I’ve read before that not all of Iran likes the guy, especially among the people on the ground in the cities. So, the election should tell it, unless it s rigged, like the rest of that part of the world.

But then again, we are talking about Liberal Moonbats. 😛

Others on the subject: Townhall.com, Little Green Footballs, Jihad Watch, THE ASTUTE BLOGGERS, Don Surber and Newshoggers.com

(For those coming over and wondering why I trackbacked the wrong story… sorry, I make a mistake, I quickly fixed it…)

Why does America always do stupid things like this?

I will never, ever understand why America does stupid things like this right here, ever!

The Obama administration on Friday made an emergency contribution of more than $20 million for urgent relief efforts in the Gaza Strip, a day after the United Nations launched a flash appeal for $613 million to help Palestinians recover from Israel’s three-week military operation there.
The State Department said President Barack Obama had authorized the use of $20.3 million from the U.S. Emergency Refugee and Migration Assistance Fund for humanitarian assistance to the 1.4 million Palestinians in Gaza.
The money will go to U.N. agencies and the International Committee of the Red Cross, which are distributing emergency food assistance, providing medical care and temporary shelter, creating temporary employment and restoring access to electricity and potable water, the department said in a statement.
The Israeli offensive killed nearly 1,300 Palestinians, including hundreds of civilians, and caused an estimated $2 billion in damage, Palestinian officials say. The assault was launched to halt years of Hamas rocket fire on southern Israel.
via US puts up $20 million for Gaza relief – AP.

You want to know where this money is going to end up? In the hands of Hamas, the very terrorist organization that was attacking Israel, in the first place. This money is supposed to be reserved for American Citizens, not for foreign countries! You know, I find it absolutely amazing that the United States of America, would support a military attack on Gaza by Israel to defeat terrorists; only to have them send aid to the very people that Israel attacked. Not only this, our government is using money that is specifically earmarked for the people of the United States of America. This is an outrage! Someone should be complaining to the high Heavens about it!

The reason this outrages me so much is this; yeah, that money might go to American agencies approved by our Government, but ultimately, it will end up right back into the hands of the Hamas terrorists.

I will never understand why America continues to prop up those they claim are terrorists.

Not Good: Jewish Rabbi distributes hate leaflet

Yikes!

The Israeli army’s chief rabbinate gave soldiers preparing to enter the Gaza Strip a booklet implying that all Palestinians are their mortal enemies and advising them that cruelty is sometimes a “good attribute”.
The booklet, entitled Go Fight My Fight: A Daily Study Table for the Soldier and Commander in a Time of War, was published especially for Operation Cast Lead, the devastating three-week campaign launched with the stated aim of ending rocket fire against southern Israel. The publication draws on the teachings of Rabbi Shlomo Aviner, head of the Jewish fundamentalist Ateret Cohanim seminary in Jerusalem.
In one section, Rabbi Aviner compares Palestinians to the Philistines, a people depicted in the Bible as a war-like menace and existential threat to Israel.
In another, the army rabbinate appears to be encouraging soldiers to disregard the international laws of war aimed at protecting civilians, according to Breaking the Silence, the group of Israeli ex-soldiers who disclosed its existence. The booklet cites the renowned medieval Jewish sage Maimonides as saying that “one must not be enticed by the folly of the Gentiles who have mercy for the cruel”.
Breaking the Silence is calling for the firing of the chief military rabbi, Brigadier-General Avi Ronzki, over the booklet. The army had no comment on the matter yesterday.
Rabbi Arik Ascherman, the executive director of the Rabbis for Human Rights group, called the booklet “very worrisome”, adding “[this is] a minority position in Judaism that doesn’t understand the … necessity of distinguishing between combatants and civilians.”
via Army rabbi ‘gave out hate leaflet to troops’ – Middle East, World – The Independent.

Let me simply say this, extremism, on both sides of this conflict, is not a good thing. Hamas is a extremist Muslim group. Just as well, this Rabbi is promoting a extremist view of Judaism. This does nothing to solve this conflict. The scary part is that he is a Rabbi in the Israel Army. Not a good thing, at all.

(H/T Anti-War.com) (Via Lew Rockwell)

Barack Obama's pledge to disarm America hits some speed bumps.

Uh-oh…

via Challenges loom as Obama seeks space weapons ban | U.S. | Reuters:

President Barack Obama’s pledge to seek a worldwide ban on weapons in space marks a dramatic shift in U.S. policy while posing the tricky issue of defining whether a satellite can be a weapon.
Moments after Obama’s inauguration last week, the White House website was updated to include policy statements on a range of issues, including a pledge to restore U.S. leadership on space issues and seek a worldwide ban on weapons that interfere with military and commercial satellites.
It also promised to look at threats to U.S. satellites, contingency plans to keep information flowing from them, and what steps are needed to protect spacecraft against attack.
The issue is being closely watched by Lockheed Martin Corp, Boeing Co, Northrop Grumman Corp, the biggest U.S. defense contractors, and other companies involved in military and civilian space contracts.
Watchdog groups and even some defense officials welcomed the statement, which echoed Obama’s campaign promises, but said it would take time to hammer out a comprehensive new strategy.
Enacting a global ban on space weapons could prove even harder.

Of course, we all know that the Obamassiah will get his way, he will destroy those who stand in his way. Just ask Larry Sinclair.

In case you forgotten, here’s Obama making his promise to disarm America:

Others: Macsmind, Atlas Shrugs and Sweetness & Light