The Goat Pen

nobody won on this deal

Well the GOP did. Not only philosophically but strategically as well (cutting budgets in a recession -or so near one- is good way to make sure we still have a poor economy come time for the next election.) They had just laid out their original plan so far from reality that it makes it difficult to claim what they got as a victory in public.

I don't agree that cutting budgets is bad for the economy.

Our economy is based on consumer spending. Between 2001 and 2007, a sizeable % of consumer spending was coming from home equity (and home construction) and low interest loans tied to revolving and short term credit.

Until we restore that ( I don't see that happening again for 20 years) OR the dynamics of our economy change to where consumer spending is driven from paycheck to paycheck spending (it is now but we have 9% unemployment, gas prices eats up what liquidity a family has, and people are focused on eliminating debt, not creating more) then the government can't spend the difference.

I think its foolish to even try.

IMO, the only way the economy recovers is when housing prices hit a price point that reflects the average salary of a family - so the old conservative approach was 2.5x your household income, which puts the price of a house around ....what? $110K? AND when the country has shifted to the point that most people are driving automobiles or taking other modes of transportation that allows them to absorb the price of gasoline without it wrecking their budget.


Of course for the Americans who bought a house from 1998 to 2007 and did what they were supposed to do which is pay their mortgage, they'll suffer while Americans entering the housing market get a better house for significantly less. And for Americans who bought a car from 2001 -2008 (that isn't a prius) they'll be hit by gas prices until they can pay it off and take the hit on trade.

Well, I'm selling my Brooklyn condo that I bought in 2006 for about $5K less than purchase price (although, the 5 years of tax breaks more than make up for that small slippage), but I also expect to sit on the sidelines with this dry powder for another 4 - 6 months and find a bigger place (albeit, probably in need of some "smid" capital improvements) at roughly the same price from a distressed seller. So, I'm not quite suffering...although the NY market is not Vegas or Miami, that's for sure.

Also, we were talking about moving to Chicago or Philly (not likely to happen as the job keeps tossing cash on me to stick around), which would mean I could take this cash and turn it into a very nice piece of property that I would have no idea how to furnish it all (although the wife would...and I'm not looking forward to writing those checks, either).

$5k I would say is exceptional in the current market

A budget reduction is going to hurt, no two ways about it. Either directly when the government adds to the unemployment roles (good-bye highly trained NASA employees, hope you can pick up chinsese quick.) Or indirectly, with hiring freezes, equipment purchasing freezes, pay increase freezes, etc. etc. Like it or not, most government spending goes back into the economy pretty quickly.

(And yes, before you say anything, I know the NASA lay-offs have to do with the end of the shuttle program, but if NASA was getting pumped with cash for a new mission, you can bet almost all of those folks getting shitcanned would have been basically reassigned to the new project.)

That's Gurney Halleck!

No, that's Leondegrance, the father of that slut Guinevere in Excalibur

Why is Helen Mirren trying to shoot Gabby Giffords... again?

http://www.latimes.com/news/politics/la ... ?track=rss

What ever happened with that D.B. Cooper scoop someone posted on here last night? Haven't heard another word of it. Did the goatpen news network fail? Or did they tap the wrong phone?

The FBI is just following up new leads, ie nothing new.

Is Crow dead yet?

Welcome!

CNN reported the FBI had identified a suspect.

I guess he was the wrong guy

ok, I just read up on it

The FBI indetified a guy but didn't bother to see if he was actually still alive. The suspect in question died several years ago, so they won't release any info on him.

lucky me selected for Grand Jury duty the last 4 months of the year

Sweet. Now I have a free pass in Clermont County for a few months.