March 20, 2010     | Register

Bud Burrell's Front and Center

Sep 27

Written by: bburrell
9/27/2009 3:51 PM 

 

Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn’t Understand
From “Front and Center”,  by Bud Burrell
We face impending legislative actions by our elected representatives that would potentially nationalize our health care systems, and a new taxation policy on energy being called euphemistically a “Cap and Trade” program, intended to have the US to try and unilaterally control Greenhouse Gases, while the rest of the World changes nothing. This comes on the heels of moves to effectively nationalize our banking system under the control of an entity which has never been audited or examined except “In Camera”, and a move to negate more than a century of property rights of bondholders as expressed in our bankruptcy laws by the national unionization of our automotive industry. 
The expressed goals of any organization must ultimately be linked to operating effectively, meaning getting the job in front it done, and operating efficiently, meaning to operate in a manner that clearly treats all assets consumed in such activities as limited scarce resources which must be conserved with a conscience. Objective standards for measurement of the performance of any organization by necessity and practicality cannot come from within the organization in question, but must be based on third party, arms length research and review. This element is sorely lacking in our Government and its agencies today.
 
Our Government has done simply done an appalling job of controlling itself, if measured by the operating outcomes of the organizations it has been responsible for most directly. Fannie Mae, Freddie Mac, Social Security, Medicaid, Medicare and more have been or shortly will be bankrupted. Indeed, if future losses were to be applied to assessing the net present value of these programs, they are unfiled bankruptcies. Most beneficiaries would agree that Social Security, Medicaid and Medicaid provide real benefits valued by US citizens legally and other than legal immigrants illegally. So how can this country solve these problems?
Operating effectively and efficiently are words seemingly not in the lexicon of our Government except as credited by lip service, and not by conduct. The American public has become jaded beyond any level in history about the apparent willingness of its politicians to tell the Big Lie, not about select topics, but about almost anything. How can this be controlled?
It is very clear that the purse strings of our Government must have a hard choke collar put on them. We cannot allow our Government to continue to spend money that it not only doesn’t have, but won’t ever have. We cannot allow our Government officials to control our currency, nor can we allow them to grant this contract to a private agency such as the Federal Reserve, who contends it is above accountability. We have a formula for catastrophe if this continues unchecked.
I would suggest that every Government program other than the waging of War be paid for from dedicated and inviolate “Trust Funds” established from actual revenues of the Government, rather than being allowed to simply monetize forward obligations by diluting the value and meaning of our national currency. The term we have relied on for decades to back our expenditures, “The Full Faith and Credit of the United States” has been bastardized so severely, we have now threatened our status the World’ Reserve Currency. 
These trust funds cannot be administered by anyone other than an independent fiduciary, one most certainly not subject to the whims of our Congress beyond their initial establishment. We are a hair’s breadth from our Government needing more income than taxes can generate for irresponsible commitments made to social welfare plans that our economy cannot begin to cover the costs of. I believe in generosity, but it must be limited to the practical level of not exceeding tangible and rational scarce resources from which it can be funded. 
This can only be handled privately, and not by our Government, which has shown itself to be incapable of behaving responsibly by insuring their political survival by spending others money as if it were anyone other than theirs. If there are fatal flaws of a Democracy which can crush a Republic, we are now on that cusp. Our Government officials, elected and appointed, have gone beyond being guilty of a failure of rational oversight, to the level of being irresponsible and dangerous to our way of life.
I wrote earlier of the key words “Valid” and “Reliable” addressing the ability of our Government that could demonstrate they can monitor and control themselves like adults. We have had it repeatedly demonstrated that they don’t have the intellectual capacity, the personal character, nor the political will to stand up and say “We can’t do it because we don’t have the money”. 
They have forgotten that they don’t exist except by the will of the people and their ability to pay the taxes that make their jobs possible. They have had signals from huge numbers of Americans that they are near a breaking point. What do they think 1.7 Million moderate and responsible Americans standing in the Capital with signs should tell them? What should they take from Americans who want capitalism and a democratic republic who have turned out in “Tea Parties” all over this nation?
Have they become so tone deaf to these messages that they now think they are above all other Americans? How do they think they will vote themselves the largesse of a Health Plan that would cut service to everyone but them, without personal repercussions? Maybe they talk to much to each other and not enough to the people they work for. There had better be one health plan mechanism for all, or it better be for none.
Our Political Class has become one which believes itself to be above citizen/inferiors from whom their very existence flows. They need to be reminded of this every day, lest they relapse into this state of condescending arrogance. Our Government has become the tail wagging the dog in the case of our needs. They believe we are too inferior to know what is best for us, and that ALL will have to accept their “change” irrespective of whether or not that structure of “change” is what the majority wants or needs. They choose to address their needs and wants first, before considering the price paid by our citizens.
There is a concept called terrorism by the minority. It is where we stand now. Even if that doesn’t ring your bell, each of us must speak up, show up, and get involved. It has to happen before the system breaks, or the price of re-mounting our national systems will be one nobody is prepared to pay.
There is an old golden rule of business that you get what you pay for. Well, we are paying the most for what is rapidly on its way to becoming the least, not the most. If we don’t wake up, we will be spending Amero’s rather than dollars, with a value less than Pesos. Maybe that is what the North American Union was all about in the first place. If you don’t ask these kinds of questions now, it will be too late the day after this happens.
Private jobs creation must be our first priority. Their rewards are the fount from which all largesse flows. No one can prove otherwise, not anywhere in the world. Practicality must rule first. As I like to say, this isn’t quantum physics. The complexity of national politics may be approaching that, but the political game isn’t played by rocket scientists except with one another’s funding. This must stop, or the best job in this economy will be a short order cook in a fast food restaurant owned by a foreign enterprise. Other nations have discovered our secrets, at the very time we would seem to be hell bent on abandoning them.

Copyright ©2009 Bud Burrell

Tags:

6 comment(s) so far...

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.

Bud, The people have allready lost the ability to affect the behavior of our government.How many people were for the bail outs?They happened any way.How many people are for the haelth care bill?It does not matter the rulers will do it any way.The people in charge of our country do not care what the people want they only care what the people have and how to how the things the people have left can be taken away as well.If you are a person who sees the truth and trys to leave this country permanantly the government will let you leave after they take anything you have left that they want.After all it belongs to them not you this is real they would have gotten it when you died so try to leave with what you have left and see how quickly either you or your bank account is locked up!We live in the slave states of america.Any thing else is a illussion.A damn thin one at that.Keep chasing that dream as our economy, enviornment and our lives are destroyed.The destraction is necessary to allow the theives to work.

By bbhindyou on   9/28/2009 6:45 AM

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.

Bud,I am attempting to educate shareholders and company owners of the real issue of stock lending,perhaps even start a new communication system.I am in a class in a community college called business communication..The most important communication a business does may be null and void [like their stock if they don't watch out] Without communicating about the number of shares issued by the company compared to the amount of shares sold to the shareholders.I have developed a survey and need to come up with a way to distribute it and a way to graph the answers to it.I amI am working on a medical degree and this class is only a hoop I must jump thruogh to get my degree but I might as well try to use it to do some thing of value while I am at it.The thing of most value I could think of was this cause.Ask me about biochemistry and I can do that unfortunatly I am not a technology person and can barely use a computer never mind making it do what I want it to.I do how ever have a good ability to take a issue and write about it in a way that makes it easy for most to understand.If you have any help you could give me in my project to survey shareholders and company owners about their level of knowlege about naked short selling I wuold be very grateful.I wont send you anythiing but this message with my E-mail attached.If you have the time and think this is worthwhile please contact my E-mail and I will forward what I haveI know it is probably pointless but while I am living I am still trying.Please don;t post this I just wanted to ask you not everybody [yet].Thank you for your time.bbhindyou : I will send you some great teaching pieces.Best, Bud.

By bbhindyou on   9/28/2009 8:57 AM

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.

Bud,Please take down my e-mail address it is in the second post that I did not intend to be a public post,sorry.Thank you

Reply: I took it off your post.

Best, Bud.

By bbhindyou on   9/28/2009 8:57 AM

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.


The purpose of this survey is to determine the level of communication between the sellers of stock the investor buying the stock and the companies issuing the stock sold.
The selling of more shares of a company than were issued by the company affects the share price which can fall at rapid levels harming the company and the investors’ interests
Unless a stock is held in certificate form, the stock can be “lent” out to short sellers.
When the stock is “lent out” in share numbers exceeding the share number issued by the company this is called naked short selling.
The Depository and Trust Corporation [the DTCC] holding your stock and “lending” it [under the name of CEDE] makes money on every share they “lend”.
This practice has been implicated in the fall of many large financial firms last fall including Lehmans.
This survey is designed to find out how well the process of stock lending has been communicated to you the stock owner and to determine how well the owners of companies are informed in the trading of more of their stock than the company has issued
The goal of this survey is to find a way to improve investor and company ability to communicate with the sellers of stock.
1. Do you own stock or have any money in a retirement or other fund tied to the stock market?
Yes no

2. Have you experienced a loss of value in this investment in the last 5 years?
Yes no

3. Do you know what it means to hold a stock in certificate form?
Yes no

4. Do you feel the DTCC should be responsible for informing the actual share owner when shares the DTCC is holding in trust for them are “lent out”?
Yes no

5. Should the DTCC have the right to “lend out” more shares of a company’s stock than were issued by the company?
Yes no

6. Do you feel that selling more of a stock than was issued by a company is wrong?
Yes no
7. Do you think that when a company is delisted and the shares can no longer be traded that the total number of shares sold should be only what the company issued and that any trades that cannot be covered with real shares should be canceled and the money returned to the investor?
Yes no

8. In a case of delisting should the short seller of shares be allowed to not buy in real shares to cover those they borrowed when shorting the stock, never completing the trade, and just be allowed to keep the investors money?
Yes no

9. Should a company have the right to know when more shares of their company are trading than were issued by the company?
Yes no

10. Would you as a shareholder want to know when more stock than was issued by the company is trading before you buy a stock?
Yes no

11. Should all stock trades that do not get “covered” by real shares by the third day after a trade is made be voided and the money returned to the investor?
[What ordinary trading rules require]
Yes no

12. Should hedge fund or stock pool market makers have an exemption from the three day trading rule?
Yes no

13. Should the Security and exchange commission enforce existing laws requiring the delivery of real shares by all sellers of stock in the three day settlement period?
Yes no

By bbhindyou on   9/28/2009 8:59 AM

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.

Bud,Thanks for fixing my mistake.I want to be able to have a check the box system to deliver the survey have the receipient fill it out then have a auto return to a system that would count the answers and give the responses as a graph.Do you know where I could find the format I need?I seem to be getting the impression the lack of knowlege about these processes involved in naked short selling may be could prove to be actionable .If a selling agent does not disclose some thing he knows is affecting the price is he liable?Is it criminally actionable?Just trying to come at this in a different way?Do we as shareholders have a right to know ?

Reply: I don't know how to do this on a blog, only directly by email, or in conjunction with putting it up separately on a dedicated site.

I suggest you contact Robert O'Brien first.

In the ATSI case, the Federal Court ruled that there is no private cause of action for NSS.

Your only recourse is in State Courts. If you can prove that the SA knew the stock was being manipulated, he has violated Federal and State Law, the former Securities Law, and the latter, Grand Larceny causes.

According to the current interpretation of the Law, shareholders have only the right to know accorded them by the SEC in its infinite wisdom (OR NOT!).

Best, Bud.

By bbhindyou on   9/28/2009 11:31 AM

Re: Effective and Efficient: Two Words Our Government Has Demonstrated It Doesn't Understand.

Bud,
The S.E.C.'s infinite wisdom is looking pretty shaky right now.
We should give it a push.
Did you read the survey?
The points I cover in the order they are presented are the points progressive?
I do not for a moment think I could have covered all the significant questions that need to be asked .
Can you think of any?
The continuing comment periods the S.E.C. is indulging in on the reform issues seems to indicate they want some feed beck.
We should find a way to give it to them .
Be careful what you ask for you just might get it.
Is there a techie in the house!!!
We need to go viral.

By bbhindyou on   9/29/2009 5:59 AM
Copyright © 2006-2009 The Sanity Check   |   Privacy Statement   |   Terms Of Use