These few stories caught my eye today:

Obama: Drill Baby Drill (NYT)
The Lone Star Secret: How Texas avoided the worst of the real estate meltdown (Slate)
Martin Wolf:  Why Germany cannot be a model for the eurozone  (FT)
• How Lou Lucido Let AIG Lose $35 Billion With Goldman Sachs CDOs (Bloomberg)
Top Executive Salaries in America (Meet the Boss)
Paul Volcker: Do The Right Economic Thing (Baseline Scenario)
• Decriminalizing pot would devastate cartels (Chicago Suntimes)
• Nissan Leaf electric car will cost $25,000 (CNN/Money)
• 8 Wonders of the Solar System, Made Interactive (Scientific American)

What are you reading?

Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

44 Responses to “Wednesday Linkage”

  1. call me ahab says:

    regarding the electric car-

    what’s cool about that is you don’ have to use that nasty polluting gasoline-

    just nice clean electricity-

    and when you plug in- you can recharge from home- no matter that most electricity is generated by coal power-

    because we know that coal is clean and healthy- lol

    people are such chumps-

    on another note- I still like my pinwheel idea- one on each car – that generates electricity as you drive-

    and it would be fun too . . .and clean . . .and uber green . . .

    where’s my goodam government grant already?

  2. wbachmann says:

    Decriminalizing pot will lead the cartels to concentrate on worse stuff and generate additional consumers….

  3. DL says:

    “Drill baby Drill”.

    Nothing that Obama has done has surprised me in the least.

    Until now.

    Potentially, this could get bipartisan agreement (given the right balance between the size of the carbon tax, and the size of the areas available for drilling).

  4. DL says:


    Yeah, there’ll always be something illegal that people will want to buy.

  5. call me ahab says:

    “Decriminalizing pot will lead the cartels to concentrate on worse stuff ”

    god I hope so- the shit we have now is so lame

  6. flipspiceland says:

    “House of Cards”, beginning chapter one, detailing in vivid color and cinemscope how Bear Stearns managed to commit Bankstercide.

  7. Bootvis says:


    No it will not, drug abuse in the Netherlands (where having small amounts of marijuana is legal) is comparable with western countries and the usage of worse stuff is lower. See for example: So the results of legalizing on addiction and abuse are mixed. At the very least legalizing can generate income via tax and saves money spend on law enforcement. Furthermore if the cartels could make significantly more money peddling only the worse stuff they would that anyways.

  8. It is said that copper has a PhD in economics because it flows through the veins of the economy. So what have the copper charts been saying about the markets and economic recovery? They have pretty much recovered to old highs and have been trending up for a year now:

  9. alfred e says:

    @ahab: such lame shit?????

    You must live on the east coast. You’re not smoking pot. Hemp. LOL.

    Come to the NW. But you have to be “sick” and need a medical card. The medical growers have some stuff that will …. make you wonder whether it took you 10 minutes or a week to complete a sentence. Grammatical not jail.

    Life can be very, very good.

  10. call me ahab says:

    alfred e-

    I was just funnin’- I thought the argument by wbachmann was a bit silly-

    it’s like the old gateway line- you know- marijuana is a gateway drug to heroin addiction, male prostitution and death- lol

  11. franklin420d says:

    Whoooaaaa that is some crazy shit there, legalize pot. Now why would you want to go and do a thing like that.

    Don’t ya know that stuff will give you the munchies, the muchies lead to excess eating, excess eating leads to obesity. And I know damn well and good America will not settle for obese people.

    Also isn’t dope the gate way drug? You know once you smoke it, you will be be shooting up PCP. Kind of like drinking a beer, is going to cause you to down a 5th a Jim Beam. And hell everyone knows once you take an asprin, you are on the train to Oxycoton.

    But hey at least we are keep the pot smokers safe in jail, instead of in front of their tv’s playing videos

  12. Brendan says:

    @call me ahab:

    Sorry, the government doesn’t give grants for sitting on your ass and whining about the government. :)

    BTW, well to wheels, the Leaf will create less pollution burning 100% coal than a gas car, much less the N.A. mix that includes 49% coal. So go ahead and buy one and get your damn grant (two actually, one for the car and one for the charger)! Add solar to your roof and get three and produce you’re own pollution free power! Hell, move to California (assuming you don’t already live there) and get five (two more from the state)! See, wasn’t that easier than being a cynic pining for the days of horses and buggies that had no tailpipe emissions?

  13. alfred e says:

    No you weren’t. You’re lookin’ for the good stuff. :>)

    And I am funnin’ too.

    Except my friends out here tell me the stuff is quite spectacular.

    I can’t imagine anyone in the NW needing a Mexican cartel to deliver.

    Just get a medical card. Easy enough. And then meet your neighbors.

    Can’t imagine why anyone would have any interest in something stronger.

    How stoned do you have to be?????

    BTW. People out here don’t do powders or injections. That I know.

  14. changja says:

    @call me ahab

    And what happens if I happy to live near a hydroelectric dam and a nuclear plant?

    Electricity generation by coal is bad, not electricity itself, there’s plenty of ways to create that in a renewable way.

  15. alfred e says:

    @Brendan: YAFOS. Gasoline does not dump mercury and all other kinds of shit into the air.

    Your first sentence to ahab was so far out of line and irrelevant.

    I doubt anyone on this blog will cut you any slack. AH.

    Don’t know who you are but ones just like you come and go because it takes them no time to destroy their credibility. You are some kind of blogblot with no independent brain.


  16. Brendan says:

    @Alfred: I struck a nerve eh? And I even put a smiley face!

    I’ve been on here plenty long enough to know that ahab has problems with both “government” and fact checking.

    BTW, you’re wrong about petroleum not dumping mercury into the air. The very first hit on Google yields:

  17. Darmah says:

    Regarding electric vehicles — take a look at this analysis:

    It starts with ww estimated battery production in 2015 in kilowatts, and then compares the car fleets that could be manufactured from this production and their effect on oil usage and emissions. The plug-ins don’t come out to well.

  18. call me ahab says:

    goddamit Brendan-

    the government pays lots of people for sitting on their ass- I just want what I’m due- for being a breathing American-

    but maybe I need to fill out a few forms to get that grant for my awesome pinwheel idea-

    and don’t tell me it’s not revolutionary


    no- electricity is not bad- but creating it requires energy from somewhere- typically that requires burning something-

    as Kurt Vonnegut opined in his last interview on Bill Maher- paraphrasing- “all man’s problems come from the discovery of fire”

  19. bsneath says:

    The Lone Star Secret: How Texas avoided the worst of the real estate meltdown (Slate)

    So that is how Texas got around the Comptroller of the Currency mis-steps. They wrote fiscal responsibility into their constitution. Maybe other states should follow their lead.

  20. willid3 says:

    and we are surprised the SEC has a enforcement problem?

  21. See also Will reform meet the test? (Marketwatch)

  22. torrie-amos says:

    common man, lol, watch copper always, there was an article out a month ago how goldman has leased a crap load of warehous space in london to house copper, of course it happened when right about the time copper in storage hit old five year highs, copper has confounded me for a year, it’s not back at last times highs yet fiddy cent and it will be there, or 15%

    on texax cash out, yes, it’s true, yet the truth is we were criminal no. 1 in savings and loan fiasco, this was state wide and lot’s of heads rolled and folks were jailed, something like that u don’t forget, plus, we got lotsa land, and no state taxes, we love to sprawl sprawl sprawl so our home prices have always been reasonable, there’s a reason we house so many f-500 headquarters

    and trust me, we flip and dip and arm and 100% like everyone else

    on a side note, my realator client, just got off the phone, 9 offers in ten days only 3 accepted, all at list price or higher, starting two months ago, a flood for tax rebate, all our for homes less than 100k and no real supply to speak of, higher end homes, nyet

    they are busy, concerned in june fha goes too 5% down, and max allowable of 3% to cover sellers costs, they are also keenley aware of foreclosure about to be dumped by the banks, they also anticipate rising interests and a slow summer, fwiw

  23. call me ahab says:


    regarding the realtor comment-

    how it goes down- REO property put on the market below value- bank knowing that everyone comes in with offers and it is bid up-

    they weed through the offers and reject all that have financing favoring those that are cash- i.e not contingent on a loan-

    a little secret for getting around that is to go in with a cash offer- and then arrange financing after the offer is accepted-

    at closing the bank’s check is there- but who cares at that point-

    prices are very dependent on supply- and banks have been very stingy about releasing foreclosed property for sale-

    but that will change

  24. SFClaws says:

    Without going all conspiracy theory, why would Pres. Obama announce the exploration and drilling now? Yes we have needed energy independence since he took over; sure there are half a dozen opportunities that could be utilized, probably as fast as the any new oil fields would be developed. So why now, so close to the Iranian Nuclear Engineer Defector and the Israel Prime Minister mis-communications. Any thoughts or links??

  25. The Curmudgeon says:

    All of our problems did not come when we discovered how to make our own fire. It came when we learned how to grow food. Which then led to growing barley and malt for beer. Which then led to growing weed. Which then led to growing opium in Afghanistan. Which is where we are today: Protecting the opium crop from the Taliban so we can win the hearts and minds of the virtuous Afghan farmer while at the same time providing something for the DEA and customs officials to confiscate when the crop inevitably makes its way, in refined form, to the US. Think of the DEA and the criminalization of opiates as a price support mechanism for the virtuous Afghan farmers. The DEA keeps the supply scarce, so the price remains high, so the farmers can profitably sell the crops that our soldiers are protecting from destruction by the Taliban, so the DEA can then confiscate and destroy the crops that our soldiers are protecting from the Taliban…

    Fucking Nirvana. Whoever said we didn’t live in a rational world?

  26. Marcus Aurelius says:

    Damnit, torrie:

    I can always tell when someone didn’t grow up on the streets of an East coast city.

    It ain’t “fiddy” — it’s fit-ty. As in, “fit-ty cent. You drop the freekin’ seconf ‘f’ all together, but you don’t replace it with a ‘d’.

    Stop bein’ a poseur, and bone up on your regional dialects, aight?

  27. call me ahab says:


    missed your post!!!!

    AWESOME shit there dude- you had my same train of thought- but-

    with much more impact and a hell of a lot funnier!!!

    but w/ a name like 420d- could I expect less(-:!!!

  28. call me ahab says:


    dude- you’re killing me here(-:!!!!

  29. alfred e says:

    @brendan: WOW! Read the article. A whole 10% of mercury emissions due to gas. As opposed to coal powered electric pants that power electric cars. We’ll be so much better off.

    Thanks for the pointer.

    You must work for EPRI.

  30. changja says:

    @call me ahab

    That was my point, there are many ways to get electricity that are not bad.

    Coal is almost THE worst way to generate electricity (see China). That doesn’t mean we’re restricted to using it esp with the new emphasize on nuclear and renewables.

  31. Marcus Aurelius says:


    I’m sure you see’t ahm sayin’.

  32. Forbes says:

    Came across this summary of real estate in SW FL up to the end of 2009

    (PDF warning)

  33. Event_horizon says:

    “Without going all conspiracy theory, why would Pres. Obama announce the exploration and drilling now?

    No conspiracy… I believe it’s simply Obama extending the metaphorical fig leaf to the Repubs since the Great Health Care Cram-Thru. The timing of it certainly argues for that. Obama is smart and knows he’ll need some bipartisan support if he wants to get anything else done…


    “Hydro-electric, and Solar PV are, truuly~, Green!!” (-washed)

    “In the department of economy, an act, a habit, an institution, a law, gives birth not only to an effect, but to a series of effects. Of these effects, the first only is immediate; it manifests itself simultaneously with its cause – it is seen. The others unfold in succession – they are not seen: it is well for us, if they are foreseen. Between a good and a bad economist this constitutes the whole difference – the one takes account of the visible effect; the other takes account both of the effects which are seen, and also of those which it is necessary to foresee. Now this difference is enormous, for it almost always happens that when the immediate consequence is favourable, the ultimate consequences are fatal, and the converse. Hence it follows that the bad economist pursues a small present good, which will be followed by a great evil to come, while the true economist pursues a great good to come, – at the risk of a small present evil.

    In fact, it is the same in the science of health, arts, and in that of morals. It often happens, that the sweeter the first fruit of a habit is, the more bitter are the consequences. Take, for example, debauchery, idleness, prodigality. When, therefore, a man absorbed in the effect which is seen has not yet learned to discern those which are not seen, he gives way to fatal habits, not only by inclination, but by calculation.

    This explains the fatally grievous condition of mankind. Ignorance surrounds its cradle: then its actions are determined by their first consequences, the only ones which, in its first stage, it can see. It is only in the long run that it learns to take account of the others. It has to learn this lesson from two very different masters – experience and foresight. Experience teaches effectually, but brutally. It makes us acquainted with all the effects of an action, by causing us to feel them; and we cannot fail to finish by knowing that fire burns, if we have burned ourselves. For this rough teacher, I should like, if possible, to substitute a more gentle one. I mean Foresight. For this purpose I shall examine the consequences of certain economical phenomena, by placing in opposition to each other those which are seen, and those which are not seen…”

    Peep love to hate themselves some Bastiat..

    or, differently, maybe, they could, actually, bother to learn something about Manufacturing Processes before re-Tweet-ing the approved Agitprop of the Meme du Jour..

  35. bergsten says:

    Some cheerful reading — Blogging Crucial or Waste of Time

    Then if you’re a fan of four-letter-words — All Electric Cars are a Fraud

    Both courtesy of Zero Hedge.

  36. beaufou says:

    There BR, I had this one for you, you like space don’t you?
    Space debris regulation…

    Forbes, your solar system is okay, but I need dates and exact positions.
    And it does make one a little dizzy after a nice bottle of Bordeaux.

  37. wunsacon says:

    >> Without going all conspiracy theory, why would Pres. Obama announce the exploration and drilling now?

    If Ben keeps pumping out dollarz without the US developing more of its own resources (or at least jawboning about it), then the rise in oil prices will put a damper on our fraudeconomy.

  38. ShakespearesDebtor says:

    What am I reading?
    The Human Equation
    by Jeffrey Pfeffer
    A book for managers with unusual (in a book for American managers) comments on
    unions and government regulations.
    John (Shakespeare’s Debtor)

  39. torrie-amos says:

    ahab, thanks for the input, i’ve done dallas real estate for 30 years, believe it or not we still have homes in area’s for 70-100k that are within a half hour too 45 minutes of downtown, obviously older and a bit blighted, yet, u can find some good stuff, so these buyers have just popped up for the credit and they are all in this price range, we never had the big boom, so no big bust, it’s interesting to hear of the activity, we still have alot of stuff in foreclosure, mostly good homes left unattended that got trashed bad

    marcus, jersey…….bout a hop skip and a jump from the big city, course that was back when soupy sales and chuck mccann ruled………my grammar and spelling as we all know are very inadequate

    sfclaw, oil oil oil………..okay, obie had a big press conference with sarkozy, they’ve basically agreed to put the squeze on iran, thus, they are in what we gonna do phase, u add on the fact 85 oil causes lot’s of problems, more drilling creates more jobs, etc. etc., plus they are trying to develop some type of energy plan, and u can see alot of it is real imho, plus, timed to help as much as u can, i noted he announces at near 85 inflection point, and saudi’s have said for one whole month 80 oil is perfect price point, and my best guess is they all know the weak link in the chain, they don’t want to collapse what they have just done, so the thinking is if they put squeeze on iran he’s telling the world he will drill baby drill if it needs to be done

    i read an interesting post at minyanville, pretty wild statistic, he said that savings rate going from 5 per cent too 3 percent, if it stays at that rate is equal too add 200k jobs per month on the consumption bottom line, might explain this rocket of a market in our pocket

  40. ZedLoch says:

    It’s interesting how conservative commentators assume Texas is braving the recession by “free markets” and lack of regulations. The second article makes a strong case that its actually the opposite.