Self-reverence, self-knowledge, self-control.
These three alone lead to sovereign power.
Lord Alfred Tennyson
Support for Rejection of SOPA/PIPA Grows: Thumbs UP!
In a nutshell, this is a battle between content providers (e.g., entertainment) and various deep-pocket related hosting sites. In essence, the idea was to target American providers if and when the piracy crimes occur with respect to foreign affiliates. NOTE THAT PROSECUTION OF COPYRIGHT VIOLATIONS IS NOT THE ISSUE. What we are talking about is giving new, rather Draconian weapons to content providers which would have the net affect of discouraging basic liberties on Internet by raising the cost of doing business on the web--in many cases for circumstances beyond their control. The last thing conservatives should be doing is adding to government regulatory empire building and discouraging innovation by small businesses operating on the Web. Discussions of many key lawmakers include new GOP senators and other lawmakers.
For many of us who regularly access Google's market-leading search engine and Wikipedia, there were stark reminders today in terms of a blackout (Wikipedia) or a giant black smudge over the Google ID on the search page.
Obama Refuses to Accommodate Congressional Timing
for Keystone Pipeline Project Approval:
Thumbs DOWN!
This DOES NOT surprise me. Let's briefly reprise the basics: We have a vast network of pipelines criscrossing the United States. Technology improves all the time. The environmentalists have a variety of concerns including the process of processing oil from the tar sands in Canada to pipline erosion and/or leaks of oil along an economically vulnerable ecosystem (aquifers, etc.) on the way through Nebraska on the way to Gulf Coast refineries. For most people, the pipeline would create jobs and lessen American's dependence on oil from hostile, unreliable courses. The pipeline folks, in an attempt to gain approval adjusted the path through Nebraska to avoid going through the environmentally-sensitive region.
Here's all you need to know: there is NO LEGITIMATE reason to delay project approval. Obama was argue it's just a matter of timing (and no doubt you'll hear disingenuous attempts to rationalize why they can't approve things faster, comparing it to the BP oil spill excuse that the Congress had unrealistic assumptions of due professional care in reviewing the application). This is all nonsense. This is always what progressives try to do: they stonewall spending cuts, they file lawsuits to block any and all projects, etc. What they're willing doing is buying time until they can elect some ideological leader to kill it. This is how Obama operates: remember 2007 immigration reform? He wanted to implement a long-term series of appeals for targeted aliens. He will tell people that it's possible he will still approve the project in due course, But the kinds of risks we're talking about are well known and can easily be accomplished: it's just a bureaucratic delay tactic.
Illinois and California: Taxes and Spending and Pensions:
Oh, My!
No doubt Illinois Governor Pat Quinn (D-IL) must be a Meatloaf fan, singing "Two Out of Three Ain't Bad". That's because after Moody's dropped Illinois below even California's abysmal bottom-of-the-market (i.e., from A1 to A2) bond credit rating, S&P and Fitch didn't. Poor Gov. Quinn: he thought he had covered the pension issue by the conventional approach of implementing a two-level system (doesn't this seem to be the conventional cop-out: e.g., fix the expensive auto worker problem by creating a more realistic compensation track for NEW workers; and how many GOP Presidential candidates bend over backwards to ensure that today's beneficiaries don't lose a penny of their unsustainable benefits....) He puts through a temporary tax hike, but he figures the credit agencies won't ask what happens with that surtax ends... But think really hard: if people near or at retirement aren't asked to share in the sacrifice the rest of the Illinois people have
Why is he getting a hit? Can you say 'new retirees'? It turns out pensions that will end up costing $5.8B this fiscal year (ending June 30) will add ANOTHER BILLION next fiscal year... That's about 17%. And that $800M that the state is planning to cover with a debt offering (which will now cost today's taxpayers MORE because of the rating cut) for schools, roads and bridges... How many times do I write in this blog MONEY IS FUNGIBLE?
I put together the following table based using information from Fidelity and/or other sources on bond ratings:
| Grade (Descending Order) | Moody's | S&P/Fitch |
|---|---|---|
| Investment (Strongest) | Aaa | AAA |
| Aa1 | AA+ | |
| Aa2 | AA | |
| Aa3 | AA- | |
| A1 | A+ | |
| A2 | A | |
| A3 | A- | |
| Baa1 | BBB+ | |
| Baa2 | BBB | |
| Weakest | Baa3 | BBB- |
| High-Yield/Junk (Highest) | Ba1 | BB+ |
| Ba2 | BB | |
| Ba3 | BB- | |
| B1 | B+ | |
| B2 | B | |
| B3 | B- | |
| Caa1 | CCC+ | |
| Caa2 | CCC | |
| Caa3 | CCC- | |
| Ca | CC | |
| Lowest | C | C |
| D | D |
Musical Interlude: My Favorite Groups
The Doors, "Light My Fire"
