Markets completely out of touch with reality

Irrational exhuberbance has again taken hold of the markets, in a repeat of the run up to the dot.com bust that was evident well before reality set in on Wall Street.

We have an economy which is stalled since the beginning of the year, budget busting trade deficits, gasoline prices at their highest levels ever (and heading higher), food costs soaring due either to higher fuel costs, or the exploding cost of corn being used to produce ethanol (or both), a housing market in deep retreat with prices poised to drop precipitously in formerly hot markets by year's end, a war which goes on and on, producing no positive results, but resulting in even higher death tolls the longer we "stay the course," yet the stock market and S&P keep gaining ground, setting new records on what's becoming an almost daily basis.

Why is this happening? I won't pretend to be an economist but, having followed this
crazed activity, I can only conclude that every move made by Corporate America to consolidate and, hence, provide less competition, with more layoffs, the markets applaud, regardless of how detrimental the short term gain is to the long term future of workers and our overall economy.

Is there no one in this equation who gives a damn about anything other than further lining their pockets at the expense of balanced budgets, reasonable competition, fair wages and an America which provides legitimate opportunity for all?

It wouldn't appear that way judging by the irrational exhuberance of markets, completely out of sync with the cold, hard facts the majority of Americans wrestle with every day.

Where's the Reform?

After months of back room negotiations, it appears key members in the Senate have come up with an immigration package which tries to be all things to various groups without seriously addressing border security or the effects illegal immigration has had on wages and our educational and health care systems. At first glance, the plan also doesn't reward those who have waited patiently, and legally, for work visas, and gives preference to those who have already broken laws to reside in the United States.

Where is the pressure, or penalty, on businesses who hire illegals? What is the penalty for illegals who don't come out of the shadows to obtain "Z" Visas? Will they be deported? Will businesses be penalized for allowing them to continue working?

About the only thing in this proposal that seems to be a step in the right direction is directing more "Z" visas based on education and skill levels as opposed to familial ties. Of course, this detail has the family advocacy groups enraged. Why? The United States is not a land of infinite resources. We cannot open our doors to everyone, nor should we. Don't we have a right to choose based on our country's needs?

What exactly is the government going to do from this point forward to stop illegals from entering the United States? Nothing reported thus far gives a reasonable assurance that our borders will be firmly secured or that we will have the needed manpower at the borders to stop illegal entry into our country.

As far as I'm concerned, it really doesn't matter where the illegal population originates. Though most of the traffic stems from Central America, does it really matter? This isn't about geography, culture, race or religious affiliation.

When the first act someone commits upon entering our country is to break our laws,
there is no respect or regard for our laws. How can we disregard these actions and say we'll provide a path to citzenship? By doing so, our laws are meaningless.

I'd like to think the United States is better than that.

It's more than Pomp and Circumstance

In 1988, when my husband and I started our business, our daughters were all of 4 and 2 years of age. 19 years later, and May 14th to be precise, we will watch our oldest daughter graduate with Honors from one of the most prestigious Art Colleges in the country with a Bachelors Degree in Fine Arts.

What a road it has been for us and for her! A lifetime of memories have come flooding back as I've spent the last few days reflecting on this incredibly gifted girl, her dedication and many achievements, and all the events that have led up to this day. Her story is an inspiration to any child with a talent and a dream and the will to make it happen.

This event also got me thinking about a commencement speech George W. Bush gave at his Alma Mater, Yale University, several years ago, when he told the graduating Seniors that they could attain a mere "C" average and somehow manage to become President of the United States.

I'm here to say that such flukes of nature only happen in the rarified world of the extremely privileged few. Had it not been for Bush's father, there would not have been the 4 companies he headed and subsequently bankrupted. There would not have been the opportunity of a very small, borrowed loan, which enabled Junior to "buy" into the Texas Ranger and emerge a multi-millionaire. Certainly, honest persons on any side of the fence acknowledge the Presidency of the United States would never have happened had it not been for those extremely powerful familial connections. And because of the mediocracy that Mr. Bush has aspired to his whole life, our country is in worse shape on so many fronts than at any other point in my lifetime.

In short, I think it vitally important to get behind the graduates of today who have excelled and pushed themselves to be the absolute best in their chosen pursuits because it's these remarkable individuals who will make a difference and have a positive impact on the world. Let's celebrate their success!

And to my daughter ... you're spectacular!

Is our ability to respond to homeland catastrophes being compromised by Iraq

Over the weekend, a devastasting F5 tornado, the likes of which hasn't been seen in Kansas for at least half a century, touched down on the sparsely populated town of Greensburg, and the entire community, home to some 1200 people, has been completely demolished. The area has already been declared a disaster by the Federal government, freeing up money for relief but, as the Governor of Kansas points out, the state's response will likely be hampered because much of the equipment usually positioned around the state to respond to emergencies is in Iraq. Such a revelation is completely unacceptable.

Yet Governor Sebelius is not alone and, as we are about to begin another Hurricane season, it seems the appropriate time to find out how taxed are National Guard units are in terms of manpower and equipment and begin now to address the shortfalls before the next disaster strikes.

We are into the 5th year of the disaster known as Iraq and at what price for our own security at home?

First Republican Debate

A word to committed Republicans ... be afraid, be very afraid.

If the current slate of candidates for the Republican nomination is the best the party can do, the 2008 Presidential election could end up being a Democratic blowout from sea to shining sea. With one exception, the current crew who offer no viable solutions for ending the atrocity of Iraq while saber rattling about Iran and almost itching for yet another confrontation.

- Jim Gilmore - why is he running? There's very limited financial support for him and he's
indistinguishable from thousands of Republican bureaucrats.

- Duncan Hunter - Perhaps Hunter is the one candidate looking to take on Iran even more
than McCain. His neoconservative mindset is beyond dangerous. Fortunately, he looks to have little financial or institutional support.

- Tommy Thompson - and why is he running? That Thompson somehow managed to pull off 4 wins in the state of Wisconsin is remarkable considering his complete lack of personality, charisma or ability to connect with an audience.

- Ron Paul - Basically a strict Libertarian, pretending to be a Republican. Though he's completely correct in his opposition to the Iraq war from the onset, he's dead wrong that the government should have NO role in anything other than protecting our freedoms and liberties.

- Mike Huckabee - there will be no repeat of the "man from Hope" this election cycle. As a preacher, Huckabee has an interesting wit, is quick with a comeback and appears to be a likeable person. But the United States is not a church and his far right social views are no longer in vogue with the majority of voters who are focusing intently on more pressing world and economicl matters.

- Sam Brownback - Seems like a nice guy who is 100% committed to "life" in all of it's beauty and glory, blah, blah, but he's charisma challenged and demonstrates no ability to excite anyone or generate financial backing.

- Tom Tancredo - Aside from his extreme views on a host of issues, Tancredo is a poster child for "doesn't play nice with others". This is not a leader but someone who bellows when he doesn't get what he wants.

- Rudy Guiliani - Regardless of what the current polls say, Guiliani's lifetime of positions on the social issues are diametrically opposed to Republican Primary voters. Combined with skeletons in closets all over Manhattan, there's simply no way he ends up with the Republican nomination.

- John McCain - I actually considered McCain for a brief period in 2000. 6 years later, I'm stunned to acknowledge that. Too old, too interventionist, sold his soul, can't be trusted.

- Mitt Romney - To my mind, his was the best performance of the debate. He's obviously short on foreign policy credentials, but he's intelligent, quick witted, possesses good stage presence and engages an audience. If John Kerry got slammed for being a flip flopper, Democratic strategists will massacre Romney. On everything from guns to gays to choice to embryonic stem cell research, Romney claims to have had epiphanys on all of these matters at the ripe old age of 50 and we're expected to buy this? I'm reminded not of a leader but a snake oil salesman.

Nah Nah Nah Nah, Hey Hey Hey, Goodbye

If Mr. Bush needed any convincing that he's no longer relevant, TIME Magazine's just published 100 most influential men and women shaping our world drives the point home. What's telling about this particular issue is it's devoid of Bush's allies, with the exception of Condoleeza Rice, and chock full of his adversaries. From Al Gore, to Nancy Pelosi, Hillary Clinton, Barack Obama and even a nod to the heroic Elizabeth Edwards, the current consensus is that our noteworthy leaders today are Democrats, with ideas and visions dramatically different and compelling than the uninspired, radical, incompetent leadership we have endured for the past 6 years.

There are better days on the horizon. I only wish we could shorten this too long goodbye!

Power of the Purse, or lack thereof

As expected, Mr. Bush has vetoed the Iraq spending bill. By doing so, he has instigated a showdown between the White House and Congressional leaders, all of whom now must come up with some compromise to temporarily fund the troops.

I say temporarily because the Iraq distraction is coming to an end and the "dropdead" date looks to be right after Labor Day, when Bush returns from a summer of brush cutting, Congress resumes session, the economy is in the tank and we'll be closing in on almost 4000 military casualties.

The real estate bubble has begun the long burst and we will finally see some substantial price declines beginning in the 2nd quarter. Foreclosures, already at their highest pace in years, will skyrocket and the FED may actually have to step in to rescue a pending domestic disaster akin to the S&L crisis of the 80s. Gasoline prices, already $3.00/gallon AHEAD of the summer season, will close in on $4.00 by August. And that's barring any major refinery problems, world strife or even the slightest threat of a hurricane to the Gulf, any of which could push prices perilously close to the $6.00/gallon the Brits pay now. Even at $4.00/gallon, domestic spending, which compromises 2/3rds of our economy, will take a serious hit.

Essentially, we're headed for a summer of economic pain and subsequent pleas to the government for action. With 1Billion/week going to Iraq, a lost cause militarily, we have no reserve to deal with these economic problems, let alone others.

Ultimately, the power of the government's purse or, rather, lack thereof , will overrule Bush's stubborn and misguided insistence to stay the course by handing off the Iraq disaster to the next President. The monetary resources won't be there, the public's support is already lost and most Republicans will agree to make the hard decision, lest they be tossed under a bridge by an administration which has no chance of salvaging a positive legacy.

If there's light, why are the skies so grey?

For 6 years, and what now seems like eternity, the bad news coming from this administration continues to pile on. Here's just a tiny snippet from today.

- Over 100 service persons were killed in Iraq in April, making this month the deadliest thus far in 2007. Is there really anything else to say? A generation of our young, my kids' peers, are being killed and maimed for life for the expressed purpose of what? The reasons, all lies, have changed so many times, it doesn't even matter anymore. Find me even one person on the street who gives a damn about the impossible task of a "democratic Iraq" and I promise silence on the subject for the rest of the month of May in return.

- The Washington Post cites the Bush administration's successful efforts in 2001 to kill a proposal already in the works to reign in the student loan industry. As a result, we are now at the tip of the iceberg in uncovering countless schools in bed with the student loan industry to the financial detriment of millions of student borrowers.

- George Tenet tells us 4 years after the fact that he didn't say the Iraq mission would be a slam dunk but had his words taken out of context and twisted and contorted by the Bush administration to suit their invasion purposes. Why is Tenet being given airtime? Unless he's got a way out of this mess that the administration would listen to, his words now are years late and 3300+ dead soldiers short.

- Finally, Randall Tobias, a deputy Secretary of State, and the Bush Administration's "AIDS Czar," becomes the first casuality of the DC Madam, now under indictment for sexcapades masquerading as "escort services". Beyond hypocrisy, but typical of this administration to preach abstinence, not protection, as the only way to prevent AIDs, while the married with kids Czar does the nasty on the government's payroll. Do you think Tobias, who claims he only paid for massages, left home without HIS condoms? Not a chance, though we can take comfort that he did his level best to discourage the use of condoms everywhere in the world where AIDS is of epidemic proportions.

Is it really going to take another 20 months before we finally wake up from this ongoing nightmare? More fittingly, can we even survive another 20 months with the current cast of characters and their ineptitude.

Here's hoping for a light at the end of this torturous tunnel.