Author: NewMexiKen

Why government needs to spend

Because we consumers no longer can (many of us).

We can’t get home equity loans to spend, because housing prices have dropped and many of us don’t have any home equity to borrow against.

We can’t spend the dividends or gains from our stock portfolios because stocks have dropped 45% in 13 months, companies are reducing dividends — and no one should sell their stocks at these prices just to buy stuff.

Some of us, of course, don’t have jobs, or fear losing them.

And now, our credit cards are going away:

(Reuters) – The U.S. credit card industry may pull back well over $2 trillion of lines over the next 18 months due to risk aversion and regulatory changes, leading to sharp declines in consumer spending, prominent banking analyst Meredith Whitney said.

The economy consists of four parts — consumption, investment, exports minus imports, and government. Consumption is down for the reasons we see above. Most expect it to continue to decline well into 2009. Investment is down because companies don’t expand when they can’t sell — and they can’t get credit to expand anyway because of the banking crisis. (And no one of sound mind is building any houses.) Exports are dropping because the dollar is 20% stronger, which means our products are more expensive in the rest of the world.

You don’t have to be John Maynard Keynes to realize that government is the only buyer left.

And so the talk of a stimulus package, one hopes this time in the form of infrastructure — bridges, schools, rail.

Unbelievable

Samuel Langhorne Clemens (1835), Dick Clark (1929) and Sandra Oh (1970) were all born on November 30th.

And it’s not a national holiday! Something is seriously amiss.

The Population and the Popular Vote

Obama has received at least 68,724,397 popular votes for the Presidency. I say “at least” because they’re still counting in California and several other states, and so Obama’s total should wind up comfortably over 69 million; 70 million appears unlikely, but is not entirely out of the question.

This total represents 22.62 percent of the Census Bureau’s 2008 estimate of United States population, which was 303,824,640. That figure doesn’t sound that impressive at first glance — fewer than one in four Americans actually voted for Barack Obama — but it’s actually the second-highest percentage ever, trailing only Ronald Reagan in 1984:

Details at FiveThirtyEight.com.

How to Set the Table, and Why: The Short Course

From The New York Times (2002):

Traditionally, of course, a proper table is covered with a cloth. Tablecloths originated in Rome and represented wealth and dignity during the Medieval period. Damascus in Syria produced the best cloths, called damask, like my family heirloom. Centuries ago, several tablecloths were laid one on top of another, each to be removed after a course. This practice is still followed today in some cultures, in North Africa, for example. Then in early 18th century England, very fine wood tables were meant to be shown off, so doilies, named for D’Oyley, a London draper who is said to have invented them, came into use. These in turn became place mats.

On to the plates. The plate is the flat dinner plate, which evolved from wooden trenchers, which were in turn preceded by slabs of stale bread.

The plate is then flanked by knife and tablespoon on the right and usually two forks on the left. Utensils are placed to make picking them up and using them efficient and simple. The knife should be turned so the blade edge is on the left, next to the plate, a consideration dating from when knives were razor sharp. The forks, a larger dinner fork and a smaller salad fork, are placed in order of use from the outside in. In France the forks and spoons are usually turned so the tines and bowls face down.

The First Thanksgiving

Our harvest being gotten in, our governor sent four men on fowling, that so we might after have a special manner rejoice together after we had gathered the fruit of our labors; they four in one day killed as much fowl, as with a little help beside, served the company almost a week, at which time amongst other recreations, we exercised our arms, many of the Indians coming amongst us, and among the rest their greatest King Massasoit, with some ninety men, whom for three days we entertained and feasted, and they went out and killed five deer, which they brought to the plantation and bestowed on our governor, and upon the captain, and others. And although it be not always so plentiful as it was at this time with us, yet by the goodness of God, we are so far from want that we often wish you partakers of our plenty.

From the only contemporary account of the Pilgrims’ first Thanksgiving, a letter by Edward Winslow dated December 11, 1621.

Thanksgiving, As Best We Know

Conclusion from a thoughtful and thorough article in The Christian Science Monitor (November 27, 2002).

There are many myths surrounding Thanksgiving. Here are nine things we do know are true about the holiday.

1. The first Thanksgiving was a harvest celebration in 1621 that lasted for three days.

2. The feast most likely occurred between Sept. 21 and Nov. 11.

3. Approximately 90 Wampanoag Indians and 52 colonists – the latter mostly women and children – participated.

4. The Wampanoag, led by Chief Massasoit, contributed at least five deer to the feast.

5. Cranberry sauce, potatoes – white or sweet – and pies were not on the menu.

6. The Pilgrims and Wampanoag communicated through Squanto, a member of the Patuxet tribe, who knew English because he had associated with earlier explorers. [In fact, Squanto (or Tisquantum), had spent several years in Europe and England.]

7. Besides meals, the event included recreation and entertainment.

8. There are only two surviving descriptions of the first Thanksgiving. One is in a letter by colonist Edward Winslow. He mentions some of the food and activities. The second description was in a book written by William Bradford 20 years afterward. His account was lost for almost 100 years.

9. Abraham Lincoln named Thanksgiving an annual holiday in 1863.

And this, The Year We Had Two Thanksgivings.

The FIrst Thanksgiving

On April 30th four centuries ago, our ancestors, led by Don Juan de Oñate, reached the banks of El Rio Bravo (Rio Grande). The first recorded act of thanksgiving by colonizing Europeans on this continent occurred on that April day in 1598 in Nuevo Mexico, about 25 miles south of what is now El Paso, Texas. After having begun their northward trek in March of that same year, the entire caravan was gathered at this point. The 400 person expedition included soldiers, families, servants, personal belongings, and livestock . . . virtually a living village. Two thirds of the colonizers were from the Iberian Peninsula (Spain, Portugal, and the Canary Islands). There was even one Greek and a man from Flanders! The rest were Mexican Indians and mestizos (mixed bloods).

The starting point for the colonists had been in Zacatecas, Nueva España (now Mexico) and by being part of the colonizing expedition they had been promised the title of Hidalgo, men with rights and privileges equal to Spain’s nobility. Juan de Oñate was a man of wealth and prominence, the son of Cristobal Oñate, silver mine owner whose family had come to the New World from the Basque region of Spain. Titles granted to him by Viceroy Luis de Velasco were Governor and Adelantado of New Mexico. The colonists suffered hardships and deprivations as they headed north, but they were also headed toward posterity: they would participate in the first recorded act of Thanksgiving by colonizing Europeans on this continent—22 years before the English colonists similarly gave thanks on the Atlantic coast. The expedition is well recorded by Gaspar Perez de Villagrá, the Spanish poet who traveled with the group. He wrote, “We were sadly lacking in all knowledge of the stars, the winds, and other knowledge by which to guide our steps.”

On April 30, 1598, the scouts made camp along the Rio Grande and prepared to drink and eat their fill, for there they found fishes and waterfowl. Villagrá wrote,

We built a great bonfire and roasted meat and fish, and then sat down to a repast the like of which we had never enjoyed before.” Before this bountiful meal, Don Juan de Oñate personally nailed a cross to a living tree and prayed, “Open the door to these heathens, establish the church altars where the body and blood of the Son of God may be offered, open to us the way to security and peace for their preservation and ours, and give to our king and to me in his royal name, peaceful possession of these kingdoms and provinces for His blessed glory. Amen.”

Excerpted from The New Mexico Genealogical Society

I Think I’ll Have Dinner at Alice’s Today

Thanksgiving Day brings us a rare moment of coming together. A tradition that crosses boundaries. No, it’s not eating supper with family or even watching football. For radio fans and programmers alike, today’s holiday is best celebrated by the playing of one song, Arlo Guthrie’s “Alice’s Restaurant.” That song, which was originally released as the 18-minute “Alice’s Restaurant Massacree,” will be heard today ….

The song, which is usually broadcast in either the original album track form or the even longer 30th anniversary live version, relates a Thanksgiving story. In it, Guthrie talks about enjoying a Thanksgiving feast with friends in Stockbridge at the title restaurant. After that, things get weird. The singer relates taking out the trash and, having no place to legally drop it because of the holiday, dumping it illegally. This leads to a long, shaggy-dog tale of being arrested for littering that turns into both an anti-Vietnam War protest and a statement of human rights. Somehow, by the end, he has turned the song into a statement that in union there is strength. And the best way to demonstrate that communal strength? Everyone, as listeners know, must sing along with the familiar refrain: “You can get anything you want at Alice’s Restaurant.” As the singer points out, if we can pull ourselves together to do that, we can change the world.

The Boston Globe

Downloadable versions from the Alice’s Restaurant Massacree Concert / Radio Show.

Alice Brock — the actual Alice.

Big Bailouts, Bigger Bucks

If we add in the Citi bailout, the total cost [of the bailouts] now exceeds $4.6165 trillion dollars. People have a hard time conceptualizing very large numbers, so let’s give this some context. The current Credit Crisis bailout is now the largest outlay In American history.

Jim Bianco of Bianco Research crunched the inflation adjusted numbers. The bailout has cost more than all of these big budget government expenditures – combined:

  • Marshall Plan: Cost: $12.7 billion, Inflation Adjusted Cost: $115.3 billion
  • Louisiana Purchase: Cost: $15 million, Inflation Adjusted Cost: $217 billion
  • Race to the Moon: Cost: $36.4 billion, Inflation Adjusted Cost: $237 billion
  • S&L Crisis: Cost: $153 billion, Inflation Adjusted Cost: $256 billion
  • Korean War: Cost: $54 billion, Inflation Adjusted Cost: $454 billion
  • The New Deal: Cost: $32 billion (Est), Inflation Adjusted Cost: $500 billion (Est)
  • Invasion of Iraq: Cost: $551b, Inflation Adjusted Cost: $597 billion
  • Vietnam War: Cost: $111 billion, Inflation Adjusted Cost: $698 billion
  • NASA: Cost: $416.7 billion, Inflation Adjusted Cost: $851.2 billion

TOTAL: $3.92 trillion

The Big Picture

So, in less than two months, more money than the combined costs of our major expenditures over 200 years (major wars excepted).

Thanks to Bob for the link.

November 26th

Today is the birthday of Rock and Roll Hall of Fame inductee (with Ike) Tina Turner; she’s 69.

The Ike and Tina Turner Revue was one of the highest energy ensembles on the soul circuit in the late ‘60s and early ‘70s.

Ike Turner had begun as a bandleader and talent scout in the ‘40s for blues and R&B performers. He recorded “Rocket 88,” considered by many the first rock ‘n’ roll recording, under the name of his baritone sax player, Jackie Brenston, in 1951.

Turner and his band, the Kings of Rhythm, found a young singer named Annie Mae Bullock in 1956. Eventually, the singer was renamed Tina Turner and the two married.

Their first hit, “A Fool in Love,” was recorded in 1961 when another singer failed to show up for a session. After several early ‘60s hit R&B singles, including “It’s Gonna Work Out Fine” in 1961, they became major stars in England.

A 1971 cover version of John Fogerty’s “Proud Mary” reached No. 4 on the pop chart. Ike and Tina divorced in 1976.

Rock and Roll Hall of Fame

A Fool in Love

John McVie is 63 today. McVie is the Mac in Fleetwood Mac.

Despite all the changes, two members have remained constant over the years: drummer Mick Fleetwood and bassist John McVie, whose surnames provided the group name Fleetwood Mac. Though most rock fans are familiar with the lineup that includes Lindsey Buckingham and Stevie Nicks—by far the longest-running edition of the band, responsible for the classic albums Fleetwood Mac and Rumours—the group possesses a rich and storied history that predates those epics.

Rock and Roll Hall of Fame

Gold Dust Woman

Art Shell is 62 today. Shell is in the Pro Football Hall of Fame as a player and he was the first African-American head coach in modern NFL history.

Hall of Fame pitcher Vernon Louis “Lefty” Gomez was born on this date in 1908. He died in 1989.

“No one hit home runs the way Babe (Ruth) did. They were something special. They were like homing pigeons. The ball would leave the bat, pause briefly, suddenly gain its bearings, then take off for the stands.” Lefty Gomez

“When Neil Armstrong first set foot on the moon, he and all the space scientists were puzzled by an unidentifiable white object. I knew immediately what it was. That was a home run ball hit off me in 1933 by Jimmie Foxx.” Lefty Gomez

“I talked to the ball a lot of times in my career. I yelled, ‘Go foul. Go foul.'” Lefty Gomez

CharlieBrown.gif

Charles M. Schulz was born on this date in 1922. He died in February 2000, the night before his last Sunday strip appeared. A year ago John Updike wrote a fascinating review of Schulz and Peanuts, a biography by David Michaelis — Sparky from St. Paul.

Secretary of what?

“No Senator or Representative shall, during the time for which he was elected, be appointed to any civil office under the authority of the United States, which shall have been created, or the emoluments whereof shall have been increased during such time . . .” (Article I, Section 6, U.S. Constitution)

That pretty much precludes Hillary Clinton from accepting a cabinet post, doesn’t it?

The time for which she was elected is from Noon, January 3, 2007 until Noon January 3, 2013.

The emoluments for cabinet positions were increased from $186,600 in 2007 to $191,300 in 2008.

(It precludes not only Senator Clinton but any other senator elected in 2004 or 2006. It does not apply to any representatives because they’ve just been re-elected.)

Wild Days

We have just completed two consecutive trading days when the Standard & Poor’s 500-stock index rose more than 6 percent each day — the first time that happened since 1933. They followed the first two consecutive 6 percent declines since 1933.

For the four days, the S.& P. is down 0.9 percent.

Floyd Norris Blog

It’s just paper

Nov. 24 (Bloomberg) — The U.S. government is prepared to provide more than $7.76 trillion on behalf of American taxpayers after guaranteeing $306 billion of Citigroup Inc. debt yesterday. The pledges, amounting to half the value of everything produced in the nation last year, are intended to rescue the financial system after the credit markets seized up 15 months ago.

Bloomberg.com

A trillion here, a trillion there, and pretty soon you’re talking real money.

November 24th ought to be a national holiday

Today is the birthday

… of Oscar Robertson, 70.

Whenever basketball discussions turn to naming the greatest player in history, Oscar Robertson’s name is always prominently mentioned. Red Auerbach, who coached a slew of Hall of Famers with the Boston Celtics, rates Robertson as the best, most versatile player he has ever seen. Most other basketball experts would agree: the “Big O” could do it all. He was an unstoppable offensive player; one who could score from every spot on the court and in any manner he saw fit. Robertson’s offensive prowess changed the point guard stereotype from simply a passer and “floor general” to a scorer and offensive weapon. Robertson truly had a presence on the court.

A three-time All-State selection at Indianapolis’ Crispus Attucks High School, the “Big O” was heavily recruited and opted to remain close to home at the University of Cincinnati. Robertson’s collegiate career (1957-60) was historic: he established 19 school and 14 NCAA records and led the Bearcats to a 79-9 record and two straight NCAA tournament third place finishes in 1959 and 1960. A three-time College Player of the Year and national scoring leader at Cincinnati, Robertson scored 2,973 points (33.8 ppg), placing him seventh all-time in NCAA history. (Basketball Hall of Fame)

… of Pete Best, 67. Best was the orginal drummer in The Beatles, fired in 1962 to be replaced by Ringo Starr.

… of Rock and Roll Hall of Fame inductee Donald ”Duck” Dunn, 67.

The group came together in the early Sixties at Stax Records, a studio and record store on East McLemore Avenue in Memphis. By 1962, guitarist Steve Cropper, organist Booker T. Jones and bassist Lewis Steinberg were established session musicians at Stax. They were joined on a recording date … by drummer Al Jackson, with whom Steinberg had played in the house band at Memphis’ Plantation Inn. It was during some down time at the Riley session that this lineup recorded the classic Sixties soul instrumental “Green Onions.” The definitive version of Booker T. and the MGs (which stood for “Memphis Group”) was completed in 1963, when bassist Donald “Duck” Dunn – a former schoolmate and bandmate of Cropper’s who’d been touring with the Mar-Keys, another Stax backup group – replaced Steinberg. This lineup lent instrumental fire and uncluttered rhythmic support to countless soul classics. Particularly fruitful was their relationship with Stax’s biggest star, Otis Redding. In addition to playing on virtually all of his records, the band backed him at his legendary performance at the Monterey Pop Festival in 1967 (along with the Mar-Kays) …. (Rock and Roll Hall of Fame and Museum)

… of Stanley Livingston, 58. He was Chip, the original third son on My Three Sons. Later Stanley’s brother Barry Livingston played an even younger son (when oldest brother Mike played by Tim Considine left the show).

… of Katherine Heigl, 30. That’s Dr. Isobel “Izzie” Stevens to you. NewMexiKen hopes I never get sick, but if I do I want to go to the hottie doctor hospital.

Also born on November 24th —

Junipero Serra (1713-1784)

“A priest in the Franciscan order of the Catholic Church, Junipero Serra was a driving force in the Spanish conquest and colonization of what is now the state of California.” (PBS – THE WEST)

Zachary Taylor (1784-1850)

Northerners and Southerners disputed sharply whether the territories wrested from Mexico should be opened to slavery, and some Southerners even threatened secession. Standing firm, Zachary Taylor was prepared to hold the Union together by armed force rather than by compromise.

Born in Virginia in 1784, he was taken as an infant to Kentucky and raised on a plantation. He was a career officer in the Army, but his talk was most often of cotton raising. His home was in Baton Rouge, Louisiana, and he owned a plantation in Mississippi.

But Taylor did not defend slavery or southern sectionalism; 40 years in the Army made him a strong nationalist.
(The White House)

Taylor’s early death probably delayed New Mexico’s entry into the Union by 62 years. It’s also interesting to compare this Virginian career Army officer’s thinking about the Union to another’s, that is, Robert E. Lee.

Cass Gilbert (1859-1934)

Gilbert designed the U.S. Supreme Court Building.

Henri de Toulouse-Lautrec (1864-1901)

Rosa La Rouge - À Montrouge

Rosa La Rouge – À Montrouge (1886-87). Click to view larger version.

Scott Joplin (1868-1917)

The great Ragtime composer left no sound recordings, but he did make several piano rolls. It’s interesting to hear his tempo.

Dale Carnegie (1888-1955)

“Many people think that if they were only in some other place, or had some other job, they would be happy. Well, that is doubtful. So get as much happiness out of what you are doing as you can and don’t put off being happy until some future date.”

“You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.”

Carlo Lorenzini (1826-1890)

As C. Collodi, he wrote a timeless story about a wooden boy named Pinocchio, whose nose grew with every lie and whose most ardent wish was to become “a real boy.”

Best reactions of the morning, so far

“A bailout was necessary — but this bailout is an outrage: a lousy deal for the taxpayers, no accountability for management, and just to make things perfect, quite possibly inadequate, so that Citi will be back for more.”

Paul Krugman

“Citigroup management gets a great deal; you and I not so much.” 

Simon Johnson

“The Washington Post, which is obsessed with cutting the pay of autoworkers earning $57,000 a year, did not even bother to tell readers what pay cuts Robert Rubin and other top executives at Citibank will receive as a result of conditions in its latest government bailout.”

Dean Baker

Idle Thought

Word (at this writing) is that the Government is going to take a $100 billion stake in Citicorp tomorrow.

Meanwhile, f*** you General Motors!

Why are financial institutions who produce nothing more important than manufacturers?

Surely no one thinks the banks are better managed than GM and that they don’t deserve to go down the drain just as fast.

And please tell me it isn’t anything as venal as Treasury officials work at financial institutions — and the current crop of Treasury officials will be returning there on January 21st — but none of them ever worked for General Motors.