Lending to borrowers who could not afford to buy homes was the root cause of the economic collapse which has plunged America into debt for generations to come.

Lending to borrowers who cannot afford to buy homes continues as before under the Obama administration.

Leading the dance of corruption is Fannie Mae and Freddie Mac.

The lords of the dance are Barney Frank and Chris Dodd.

The leader of the band is Pay Czar Kenneth Feinberg.

Obama calls the tune.

Today at Townhall, Bruce Bialosky writes this about it:

[Fannie Mae and Freddie Mac], which together own or guarantee over one half of home mortgages, and which had previously been injected with a $111 billion bailout, received an unexpected Christmas present from the Obama Administration: an executive order, issued in the dark of the night … The Treasury announced they were eliminating the $400 billion limit available to these two entities – in essence giving them license to fritter away as much money as they want while the American people (and their grandchildren) pick up the tab…

The story gets even better. The top executives are in line to receive $6 million compensation packages for 2009. Apparently, the fact that Fannie Mae lost $56.9 billion and Freddie Mac has lost $14.1 billion in the first 9 months of 2009 did not stop the Obama Administration from approving these payments. The Treasury claims that the compensation meets the guidelines set out by Kenneth Feinberg, the Pay Czar; however, it appears that the minimum salaries of $900,000 far exceed the $500,000 limit that Feinberg had previously established.

Compensation of Fannie and Freddie executives has been suspicious for a long time. Typically, executives would be given huge pay packages, and then funnel some of the money back to their favorite politicians to impede the oversight process. Franklin Raines and James A. Johnson, two directors who received enormous sums of money, ran Fannie Mae into the ground only to be rewarded by the Obama Administration until political pressure forced them into private life.

Skepticism abounds as to why the Obama Administration would make such a move when we already have a $289 billion commitment for additional funding to underwrite losses from the twin entities. Treasury Secretary Geithner claimed that they just wanted to stabilize the mortgage market, but, if this was of such great importance and urgency, why was it done so secretively?

What seems to be missing is major reform of the lending practices. There’s no evidence that they’ve become more vigilant in their loan procedures, or more attentive to the credit-worthiness of the borrowers. In fact, it seems pretty clear that they have resumed their lending habits of old.

Proportional fault has never been placed on Fannie Mae and Freddie Mac for the subprime loan crisis.

Because these entities have been protected by Barney Frank in the House and Christopher Dodd in the Senate, the two lenders have escaped the kind of brutal public scrutiny visited upon banks and other lenders. While bankers have been on the hot seat and skewered by late night comedians, the people who run these behemoths have escaped unfazed.

Verum Serum lists the Ten Most Ridiculous Uses of Stimulus Funds:

10. A $427,824 research grant to design better video games for senior citizens based on their unique “game-play needs”.

9. Funding of a Dartmouth College study involving “sexual arousal in anesthetized female rats” ($9,870).

8. Funding of a $168,300 SBA loan to the Escape Massage parlor in Midlothian, VA.

7. Funding a $447,492 Univ. of North Carolina study on the development and use of “African American English” amongst 70 adolescents.

6. $10,346 for a heating and cooling company to provide “escort services” for other companies performing a laser scanning survey at a courthouse in Honolulu, Hawaii.

5. An academic study comparing outcomes of the concurrent and separate use of malt liquor and marijuana ($389,357).

4. A $225,000 study at Ohio State University on the relative and combined impacts of air pollution and a high fat diet on obesity development.

3. A $712,883 research grant to develop “machine-generated humor“. Project will design artificially intelligent “comedic performance agents”, and will “deploy them both on and off-line for the enjoyment and illumination of everyday citizens”.

2. A $54 million project to relocate one bridge for the Napa Valley Wine Train in order to mitigate the possible impact of a “100 year storm event”.

1. $9.3 million to fund the design and development of a “coordinated colony of robotic bees“!

Update: [A] grand total of 19.79 jobs were reported to have been created as a result of this spending. That’s 19.79 jobs for $65.7 million in federal spending, or roughly $3.3 million per job. This calculation comes from the job totals reported to Recovery.gov by the recipients, although it does not include any possible jobs created from the SBA loan to the massage parlor (apparently SBA loan recipients aren’t required to report this). It also includes 2 jobs which were reported as having been created for the “escort” boondoggle to Hawaii, which were apparently generated by a grant of only $10K.

Is it possible that food could become scarce in America? It could and would become more expensive if cap-and-trade legislation is passed. The progressive elite who run the world on opinions do not think eating should have a high priority among human concerns.

From Investor’s Business Daily:

If the cap-and-trade provisions of the Waxman-Markey bill become law, you can wave goodbye to those amber waves of grain as America’s heartland falls victim to a perverse set of incentives and a process called “afforestation.” Soybeans and wheat will give way to elms and oaks. … [A] study, which was released by the USDA [US Department of Agriculture] earlier this month, reckons that as a result of cap-and-trade, farmers with energy-intensive crops would see their cost of production go up 10% over the next 50 years. Couple that with the money to be made from carbon offsets, and it may not be long before we’re unable to see the farms for the trees.

The USDA projects that under cap-and-trade … fuel costs will rise as much as 5.3% from 2012 to 2018. “The conclusion of all the studies remains the same: that cap-and-trade has the potential to devastate the agricultural community with higher energy prices,” says Rep. Bob Goodlatte, R-Va.

Food prices have risen worldwide as farmland has been converted to the production of energy-deficient biofuels such as ethanol. They’ll rise even further as valuable acreage is taken offline for the planting of trees to absorb the carbon dioxide that was declared to be a pollutant in need of regulation. …

When the enemy was Big Agriculture, Willie Nelson started Farm-Aid and elites lined up to save the family farm. Now, it seems, saving the planet is more important. Who really needs cheap and plentiful food when we can hug trees and get rid of all those pesky barnyard animals and their greenhouse-gas emissions in the process?

Carol Platt Liebau, writing in Townhall, trumpets a note of optimism for the coming year:

Suddenly, the liberty and free enterprise most of us have taken for granted seem to be in the greatest jeopardy of our lifetime. Worse yet, Democrat politicians have ignored the public outcry, ramming through unpopular legislation that would put one-sixth of the economy (and every American’s health care!) under government control. Regular Americans – the ones more inclined to watch sports or go shopping than to organize protests – have taken notice. They’ve also taken umbrage.

By overreaching and arrogantly ignoring the widespread public discontent with them and their policies, Democrats from the President on down have succeeded in awakening a sleeping giant – regular Americans. They are people who may often take their freedom for granted, but who don’t intend ever to let it be taken away.

They are the male and female heirs to the Sons of Liberty of Revolutionary times, the people who understand the danger of a government leviathan, and who insisted on “No taxation without representation.” After watching the politicians they voted into power last year ignore the common good, instead seeking only power and political advantage for themselves, they’re appalled – and perhaps even a little frightened.

Certainly, 2009 was a dark and disheartening year for lovers of economic and individual liberty. But if next year shapes up in accordance with current trends, the tide is about to change. With a growing recognition of the preciousness (and fragility) of liberty and a renewed appreciation of our founding principles, America is poised for a rebirth of freedom. Hail 2010: The Year of the Citizen.

Has a year of being ruled by a Marxist community organizer and the corrupt majority in Congress made tens of millions of Americans who are not usually much concerned about what their government does, suddenly become aware that they must sit up and take notice of what’s happening to their country? Realize for themselves that eternal vigilance is the price of freedom?

If so, the horrible year will have been worth living through. Obama will have served a worthwhile purpose after all.

We would like to believe that, but we read the signs differently and remain pessimistic.

Americans will be in deeper debt. Iran will have its nuclear bombs. Islam will wage its jihad ever more fiercely against the rest of us. Environmentalists will press on towards their impoverishing, collectivist, crushing goal of world government.

If the new Sons and Daughters of Liberty decide to fight it will be a tremendous battle. Do they have enough courage, passion, and tenacity for it?

We can only hope so.

Invention depends on individuals, even if they work in teams, having new ideas and incentive to develop them.

Socialized medicine takes away incentive for innovators to advance medical research.

This is from Investor’s Business Daily:

There are many problems on the health care road the country is being forced to take. But one not getting as much attention as it should is the harm done to a critically important sector: medical innovation.

The high costs, restricted choices and eventual rationing that will result from the Democrats’ health care plan are being discussed to varying degrees by those who are uncomfortable with what’s being rushed through Congress. But the final legislation’s effect on medical innovation has been somewhat lost with so much attention focused elsewhere. So let us clarify:

The Democrats’ plan will slow innovation of pharmaceuticals and medical devices. …

If the profit motive is removed or weakened by legislation increasing Washington’s control of health care, drug companies and medical device makers will lose the incentive to bring lifesaving and life-enhancing products to market. For now, the rest of the world follows America because the socialist health care systems abroad discourage innovation. But the U.S. will fall back to the pack under a health care regime designed by the Democrats.

Earth’s climate has been changing throughout the billions of years of its existence. If it’s changing now more quickly, the human race will quickly adapt to the changes. We are a highly adaptable species.

The eminently sensible Nigel Lawson, who was Mrs Thatcher’s Chancellor of the Exchequer, writes this (in part):

The time has come to abandon the Kyoto-style folly that reached its apotheosis in Copenhagen last week, and move to plan B.

And the outlines of a credible plan B are clear. First and foremost, we must do what mankind has always done, and adapt to whatever changes in temperature may in the future arise.

This enables us to pocket the benefits of any warming (and there are many) while reducing the costs. None of the projected costs are new phenomena, but the possible exacerbation of problems our climate already throws at us. Addressing these problems directly is many times more cost-effective than anything discussed at Copenhagen. And adaptation does not require a global agreement …

Beyond adaptation, plan B should involve a relatively modest, increased government investment in technological research and development—in energy, in adaptation and in geoengineering.

Despite the overwhelming evidence of the Copenhagen debacle, it is not going to be easy to get our leaders to move to plan B. There is no doubt that calling a halt to the high-profile climate-change traveling circus risks causing a severe conference-deprivation trauma among the participants. If there has to be a small public investment in counseling, it would be money well spent.

We don’t like his idea of government investment in research, since anything  government does it does badly, and anything it interferes with it spoils. If geoengineering is necessary, private enterprise will do it, and do it well.

But we delight in his drily ironic suggestion of  a ‘small public investment in counseling’ for the participants who suffer ‘conference-deprivation trauma’. Here failure wouldn’t matter.

You have to admire the man!  He made gold out of hot air, and bends the world to his will, holding it in a state of terror, in the name of a superstition that dwarfs all the god-cults of history. How did he do it?

Starting off as a railway engineer in India, he rose to become Chairman of the UN’s Intergovernmental Panel on Climate Change. From that pinnacle he directed billions of dollars into his own businesses. Then, being powerful beyond the wildest dreams of all the conquerors who have ever lived, this wizard had only to crook his little finger to bring the leaders of every country on earth, from the  richest to the poorest, from the weakest to the strongest, to gather together and strive frantically to impoverish and subjugate everyone else, and finally to establish a single dictatorial power to rule over the whole world.

From the Telegraph:

No one in the world exercised more influence on the events leading up to the Copenhagen conference on global warming than Dr Rajendra Pachauri, chairman of the UN’s Intergovernmental Panel on Climate Change (IPCC) and mastermind of its latest report in 2007.

Although Dr Pachauri is often presented as a scientist (he was even once described by the BBC as “the world’s top climate scientist”), as a former railway engineer with a PhD in economics he has no qualifications in climate science at all.

What has also almost entirely escaped attention, however, is how Dr Pachauri has established an astonishing worldwide portfolio of business interests with bodies which have been investing billions of dollars in organisations dependent on the IPCC’s policy recommendations.

These outfits include banks, oil and energy companies and investment funds heavily involved in ‘carbon trading’ and ‘sustainable technologies’, which together make up the fastest-growing commodity market in the world, estimated soon to be worth trillions of dollars a year.

Today, in addition to his role as chairman of the IPCC, Dr Pachauri occupies more than a score of such posts, acting as director or adviser to many of the bodies which play a leading role in what has become known as the international ‘climate industry’.

It is remarkable how only very recently has the staggering scale of Dr Pachauri’s links to so many of these concerns come to light, inevitably raising questions as to how the world’s leading ‘climate official’ can also be personally involved in so many organisations which stand to benefit from the IPCC’s recommendations.

He even has Barack Obama, the other would-be dictator of the world, dancing on a string!

Read the whole stunning story here.

Might Heaven be best described as simply the opposite of Hell: an eternal experience of pleasure, happiness, success, desirable company, instant gratification, hope fulfilled?  Most people would probably agree on that being ‘heavenly’ in a general way. But just what brings pleasure and happiness, who in particular provides the right company, exactly what wishes need to be gratified and what hope fulfilled, are questions to which there will be as many answers as there are people.

No one has been able to describe ideal conditions for life on this earth that would be attractive to all or most people – or even ‘equally as much to my friend as to myself’. One man’s ideal state is another man’s purgatory. How many would choose to live, for instance, in Thomas More’s Utopia?

It is a communist, slave-owning society. The slaves are foreigners or criminals. (Their chains are made of gold, but that’s unlikely to be much of a consolation to them.)

All the citizens, both men and women, live by compulsory labor on the land and in handcrafts, except a minority who are scholars and may choose to become ruling officials or priests. The ruling officials, the ‘administrators’, watch over and control the rest. They monitor and correct activity in every household, and uniformly govern the affairs of the towns. They constitute the state.

All religions are tolerated. Atheism is too, but it is despised and feared, and atheists are subjected to constant counseling by the priests to cure them of their perversity.

Meals are eaten communally, households taking it in turns to prepare them. The administrators get the best food.

There is no private property. Everyone is dressed in the same simple garment. People ask for what they need and officials dispense it to them.

Everyone gets free health care. Euthanasia is administered by the state. Citizens feel protected from the struggle for survival and the need to make hard decisions, but at the cost of self-determination.

No one may choose to leave the country, which is an island, or travel about in it without a permit. To do so is a crime punishable by enslavement.

Women toil in the fields and workshops equally with the men for the same six hours a day.  But they are subject to the will of their husbands. They may not wear make-up. They have to confess their sins to their husbands once a month. They alone carry out the domestic chores (in addition to their other work). A few may become priests in their old age, but not administrators.

Both men and women are given military training, but women are never put in command over men.

Gambling and hunting are forbidden to all.

It is a vision that partly matches and partly differs from that of the Left in our time. One notable difference is that in Utopia there is no sexual freedom. Pre-marital sex is punished by forced celibacy for life, and adultery by enslavement.

In Karl Marx’s ideal egalitarian society the state will eventually ‘wither away’, there’ll be no private property, and the only authority will be one that administers and distributes things (as in More’s Utopia), ‘to each according to his need’  – the need being judged by the distributors. But where his theories were put into practice, in Russia, China, Cambodia, Cuba, North Korea, the state remained robust, the people lost their liberty and suffered poverty, misery, arbitrary incarceration, summary execution, forced starvation, massacre, torture, enslavement, labor under the lash.

It seems that the plans of a few for how everyone should live will always turn out to be hellish. No one can plan a public heaven, because heavens are made of infinitely variable individual choices.

Hells are communal projects, but every real Heaven is a private enterprise.

Jillian Becker  December 18, 2009

How can we bear to miss it?

From Politico:

Iranian Prime Minister Mahmoud Ahmadinejad, Venezuelan President Hugo Chavez and Zimbabwean President Robert Mugabe plan to address negotiators at international climate talks in Copenhagen next week. …

The assistant president of Sudan [ you know, where Dafur is], Nafie Ali Nafie kicks off the speeches at noon on Wednesday. Nafie chairs the G-77 group, a block of developing nations pushing hard for more money and stricter emissions cuts from rich countries.

Mostapha Zaher, director-general of Afghanistan’s Environmental Protection Agency [who knew there was such a splendid thing?], is listed as the final speaker. …

All religions have a foundation myth.

The foundation myth of the religion of Environmentalism is man-made global warming.

Its Old Testament consists of the books of Karl Marx and the lesser prophets who came after him: eg Lenin, Trotsky, Gramsci, Mao, Marcuse … Its New Testament consists of the Gospel according to Michael Mann and Al Gore, and the E-pistles  of the Climatic Research Unit Apostles.

This is part of an article on the (priestly and inquisitorial) powers of the Environmental Protection Agency, by Jonah Goldberg:

Tim Wirth, a former Senator and now chairman of the United Nations Foundation, once said: “We’ve got to ride the global-warming issue. Even if the theory of global warming is wrong, we will be doing the right thing, in terms of economic policy and environmental policy.” New York Times columnist and prominent warm-monger Thomas Friedman has repeatedly said (most recently this week) that he doesn’t care if global warming is a “hoax” because even if it is, the fear of it will force us to do what we need to do.

And it just so happens that … global warming fuels nearly every progressive ambition. Wealth transfers from rich to poor nations: Check. The rise of “global governance” and the decline of American sovereignty: Check. A secular fatwa not only to erode capitalism but to intrude on every aspect of our lives (Greenpeace offers a guide to carbon-neutral sex): Check. Weaning us off of oil (which, don’t let the Goregonauts fool you, was a priority back when we were still worried about global cooling): Check. The checks go on for as far as the eye can see, and we will be writing them for years to come.