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Opinions
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Freddie Mac deserves a kick in the Fannie |
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Friday, 26 September 2008 |
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By Steve Browne “The only result of protecting men from their own folly, is to fill the world with fools.” -- Herbert Spenser
I'm so excited about getting a chance to help bail out Fannie Mae, Freddie Mac, AIG and SOB! I can't wait to see my dividend checks. Once they're all on their feet and profitable again, I think I'm going to retire and move to Florida. What's that you say? No dividends? Well, never mind then. A great deal of nonsense has been written about the collapse of the largest subprime mortgage lenders and insurer. Fortunately, there's been a fair amount of sense written, too. Unfortunately, neither of the presidential candidates are reading it – or are choosing to ignore it. For one thing, it's not a “failure of the free market.” There is nothing “free market” about subsidizing failure. For another, it's not even criminal. Pretty much all of what happened was perfectly legal and a result of deliberate policy duly enacted by Congress from the highest motives. Neither was it unforeseen. Among others, Alan Greenspan, former Federal Reserve chairman, and Chris Cox, current chairman of the Securities and Exchange Commission, both warned for some time the situation with Fannie Mae and Freddie Mac was a catastrophe waiting to happen. Once upon a time, John McCain did too, but he seems to have forgotten that and is now calling for Cox's job, blaming the whole mess on Cox and the rampant greed of Wall Street. But the fact is, it's less a matter of rampant greed than rampant stupidity. Many people more knowledgeable about economics than I have explained this, but the underlying reasons are not hard to understand. The fact is, Fannie Mae and Freddie Mac are dying because they are mistakes of nature that were never meant to live. Fannie and Freddie are hybrid monsters, part corporation and part government agency. When they are making money, they're private. When they're hemorrhaging money, they're public. It's been called, “the privatization of profit and the socialization of loss.” These are, how shall we say, not the optimum conditions for encouraging good business judgment. Fannie and Freddie are the major holders of “subprime” mortgages, by deliberate policy. Apparently, the diversity commissars have determined that we shall never have a “diverse” society until the demographics of every diverse group in America are exactly the same. Hence the mandating of extending home loans, on terms Donald Trump couldn't get, to "underserved" populations. “Subprime” is code for “probably can't pay it back.” “Underserved” is code for... you know darned well what it's code for. And the pity of it all is, African-American economists Thomas Sowell and Walter Williams are tearing their hair with frustration trying to point out that with this kind of “help,” minorities hardly need enemies. Worse, though set up by the government, with implicit government guarantees against failure, Fannie and Freddie are allowed to make massive contributions to political candidates. Giving them, in effect, a license to buy Congress. Does anyone else see how seriously weird this is? McCain could point out one of Obama's advisors is Franklin Raines, multimillionaire former head of Fannie Mae. Obama could point out one of McCain's economic advisors is Douglas Holtz-Eakin, former head of the Congressional Budget Office, who stonewalled attempts by Cox to bring some kind of accountability to the office. Republicans could point out that a bill to more strictly regulate Fannie and Freddie passed the Senate Banking Committee in 2005, but was defeated by a Democratic Congress on strict party-line vote. And Democrats could point out that it's a Republican president who is trying to keep Fannie Mae and Freddie Mac on life-support, at a price approaching a trillion dollars and essentially socializing Wall Street, instead of taking the monsters out behind the barn and killing them with an axe. So, now they're fighting about who's to blame for this mess, and who should be trusted to fix it. But whoever wins, we know who's going to lose. America. You and me.
Browne is city reporter for the Times-Record. |
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Prairie Lite... American dreamers |
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Thursday, 25 September 2008 |
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By Carla Kelly Note to self: Cut up some more of those used pieces of paper so you can write notes to self on the back. I do that, and why not? Someone in my line of work generates a lot of paper, and it’s cost-effective to write notes on the flip side. No, this isn’t just me being careful because we’re in a scary economic downturn. It’s me being careful because we’ve never made a lot of money. Times are tough for many. Nothing hurts my heart more than photos of rail-thin Haitian women making “food” out of clay, salt and shortening to eat and to sell to other desperately poor people who cannot afford the real thing. I used to make mud and water cookies for my dolls, but I never had to eat it. Imagine living where mud is on the menu. Can’t Haiti ever catch a break? Wall Street fat cats are in trouble of their own making. I suspect more Americans are like me: They’ve always been frugal (i.e. cheap), and the times are no different now than ever. They keep on eating at home, too, because they never could afford the dining-out habit. There’s no anguish at eating less fast food, because they never ate it, anyway. My husband and oldest daughter have always been fond of second-hand stores. Martin buys most of his shirts at thrift stores. I’ve bought a few things there, and more lately. Since I work at home, my wardrobe is unimportant. The at-home wardrobe I bought at the thrift store last winter will still do for this winter. Mary Ruth is a savvy thrift store shopper. She lives in a suburb of Salt Lake City, which has Deseret Industries, the Mormon equivalent of Goodwill. Mary Ruth buys all her children’s toys there. The toys may have a few dinged corners, but when the kids finally outgrow them, there’s no remorse about discard. She called to tell me about a real coup at DI recently: a $10 microwave oven. Like my husband, Mary Ruth is a teacher. She doesn’t make much money, even though, next to parenthood, she has the most important job on the planet. And she has one of the hardest, too, because she teaches special education. I don’t know why our nation’s teachers aren’t paid more, but they’re not, and wishing won’t change that. I had a bit of an epiphany this summer when we were in Price, Utah, checking out a retirement spot. There’s a Deseret Industries there, and we stopped. I can’t remember if Martin bought anything, but I bought two shirts and a wonderful novel for one dollar. I had triumphed, coming out with two wearable items and a super book for less than six dollars. I can’t resist reading (or writing) novels about doctors, and the Roman Empire pushes all my buttons. Even better, this one was set in early Britain, right at the end of the Emperor Trajan’s reign. There are so many ways to cut corners. Martin grew a garden this summer, thanks to Ernest Nelsen, who was willing to share part of his large garden plot. So far, we’ve enjoyed zucchini – yes, I know – yellow squash, tomatoes, cucumbers, onions, potatoes and a few peppers. We have room in our own yard for pole beans, raspberries and rhubarb. We drive less, wear second hand clothing, buy used books and DVDs, eat healthily at home and don’t see a downside. It’s business as usual at the Kellys, and maybe at your house, too. On my Internet news screen last week there was a business column about current Wall Street woes, followed by this question: “Do you see the American Dream slipping away?” I clicked on it to find out what typical folks think, and was touched, and made a little more proud to be a citizen in a great nation. Here was one marvelous answer: “I grew up with the dream being life, liberty and the pursuit of happiness. So far, none of them have slipped away. “Somewhere along the line, the American Dream has been changed and perverted to include giant houses, more cars than drivers, vacation homes and $7 coffee every day. I’ll be happy when that finally slips away.” So will I. I’ll wager you will, too. Maybe to stay great, we need to be reminded how we got that way. |
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Ag Talk... This is not your father’s wheat |
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Thursday, 25 September 2008 |
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By Randy Grueneich What does it take to raise 100 bushel per acre hard red spring wheat in Barnes County? Cooperation. You need the right weather, the right fertility and the right variety. Not much you can do about the weather but it was nice and cooperated this year. You also need to pick your best field, just adding fertilizer to average soil will not work. Finally, you need the right hard red spring wheat variety. Turns out there were four “right” varieties that beat 100 bushel per acre in the Dazey hard red spring wheat test plot this year. It was no accident. It took many years of careful breeding to get hard red spring wheat varieties to this yield level. Another bonus, they have much better disease resistance than the old varieties. I should also tell you that no farmer in Barnes County will have a 100 bushel per acre average on their spring wheat crop. NDSU test plots are managed to test varieties under the highest yield conditions and are almost always higher than farm field averages. With about 150,000 acres of spring wheat in Barnes County and estimating each bushel to be worth about $7, every bushel per acre increase in yield will add more than a million dollars in revenue in Barnes County. Your father would be impressed.
Randy Grueneich is a Barnes County extension agent; his office is in the county courthouse in Valley City. His column appears monthly.
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Paws to Consider... Be sure to ID your pets |
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Wednesday, 24 September 2008 |
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By Julee Russell Sheyenne Valley Friends of Animals If you care about your pet, show you care by properly identifying it. Two dogs were found wandering without ID. They have been taken in by the Sheyenne Valley Friends of Animals and are being prepared for adoption. Both of these animals might have been reunited with their families if they had been wearing an ID tag or had been microchipped. All cats and dogs should wear collars with an ID tag. The ID should have the animal’s name and your phone number. Collars are available that can have that information embroidered onto the fabric of the collar. For cats, use a “break-away” collar specially-made collar that has a short piece of elastic sewn in it or releases with pressure. These collars allow the cat to escape if it gets caught on window blinds, furniture, fencing or other objects. This sort of ID is important even if you never let it outside since it could slip through a door quickly & wander off. Microchips are effective and safe, and provide excellent backup identification for pets. Last fall, an Associated Press reporter published an article referencing studies and research indicating a link between microchips implanted in dogs and cats to cancer in dogs and laboratory animals. The research reportedly reveals microchip implants had caused malignant tumors in some lab mice and rats. The American Veterinary Medical Association responded that the majority of the mice and rats studied were ones used for cancer studies and that the mice and rates were likely to develop cancer, regardless of the injection of microchips. And, according to the Washington State Veterinary Medical Association the studies reported were conducted in rodents and did not meet a sound scientific approach necessary to begin issuing product safety warnings. The AVMA’s asserts: “… the risk that your animal will develop cancer due to its microchip is very, very low, and is far outweighed by the improved likelihood that you will get your animal back if it becomes lost.” For more information about this issue, visit www.avma.org/issues/microchipping/microchipping_faq.asp In Valley City, Home Again microchipping is available at Valley Ctiy Veterinary Hospital. Call for an appointment! The one time cost is $35 and your animal’s chip number will be in a national data base. A Fall Membership Meeting is Monday, Sept. 29, at 7 p.m. in the VCPD Municipal Courtroom. Foster Home recognition, brief report on past SVFA activities, results of membership survey, coming events, refreshments, lots of prizes (including spay-neuter coupons & a free micro-shipping.) Everyone is welcome! As always, ID and spay/neuter your pets. |
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Your Health...Fruits and vegetables help fight cancer |
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Tuesday, 23 September 2008 |
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By Julie Garden-Robinson NDSU Extension Service Food and Nutrition Specialist One-third of all cancer deaths are related to diet and lack of physical activity, according to the American Cancer Society. While this is a startling statistic, the good news is you can do something to protect yourself, health experts say. A nutritious diet and physical activity help reduce your risk of cancer. Only quitting smoking ranks higher as a way to lower people’s cancer risk. Studies show eating more fruits and vegetables is one way to do that because they contain antioxidant vitamins, minerals, fiber and other substances that help prevent cancer. The National Cancer Institute recommends at least five cups of fruits and vegetables per day. Depending on your calorie requirements, you may need to consume as many as 13 cups per day, with 2 to 5 cups being fruit and 2 to 8 cups vegetables. Try these tips for adding more fruits and vegetables to your day: * Add vegetables to sandwiches. * Put sliced fruit in your cereal. * Top pizzas with vegetables or pineapple. * Add cooked vegetables to soups. * Eat raw fruits and vegetables as a snack. Select fruits that require little or no peeling for a quick snack. * Keep fruits that don’t need to be refrigerated in the bowl on a counter. Adding more physical activity to your lifestyle can help maintain a healthy weight throughout your lifetime. Obesity and being overweight have been linked to an increase in cancer development. Health experts recommend 30 minutes or more of physical activity most days of the week. You can accumulate this amount throughout the day. Try these tips to get more physical activity into your life: * Park farther away from your destination. * Take the stairs instead of the elevator. * Take a walk on your break at work. * Exercise while watching TV. * Wear a pedometer to see how many steps you walk. Aim for 10,000 steps per day. * Walk or ride a bike to do errands. For more information about cancer prevention and fruits and vegetables, go to www.cancer.gov or www.ag.ndsu.nodak.edu/food.htm. Your Health is coordinated by Mercy Hospital. |
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