Thursday, March 27, 2008

Darth Cheney is fooling us again.


Well I'll be damned.

Is Cheney Betting on Economic Collapse?

You'd better believe he is. From his fortunate position at the top of the corporate heap, he has seen the oncoming tidal wave of stagflation (combined inflation and slow economy) for some time now. And because of this, he is investing HEAVILY (>$25 million worth) in safe bonds and markets that anticipate the US dollar going belly-up.

From the article, Cheney placed large amounts of capital in:
“a fund that specializes in short-term municipal bonds, a tax-exempt money market fund and an inflation protected securities fund. The first two hold up if interest rates rise with inflation. The third is protected against inflation.”
He's hedging his bets because he KNOWS what is coming. Yet another instance of deception from the corpolitical bastards who are driving this country straight off a cliff only to bail out at the last second. And do you know who the backseat passengers are, securely strapped in for the ride down? YOU, ME, AND OUR CHILDREN.
This should put to rest once and for all the foolish notion that the “Bush Economic Plan” is anything more than a scam aimed at looting the public till. The whole deal is intended to shift the nation's wealth from one class to another. It’s also clear that Bush-Cheney couldn’t have carried this off without the tacit approval of the thieves at the Federal Reserve who engineered the low-interest rate boondoggle to put the American people to sleep while they picked their pockets.
This quote rings so true after all the lies and snake-oil peddling we've been handed from this war-mongering administration.

More from the article:
Do the math! They're not investing in America anymore. They are decreasing their stockpiles of dollars. We’re sinking fast and Cheney and his pals are manning the lifeboats while the public is diverted with gay marriage amendments and “American Celebrity”.
*sigh* All the band-aids that Bush/Cheney/Fed Reserve have been putting on lately are only postponing the inevitable. I feel sorry for the next president that is going to inherit this mess of an economy.

03/27/08



It is true that we are weak and sick and ugly and quarrelsome but if that is all we ever were, we would millenniums ago have disappeared from the face of the earth.

- John Steinbeck

Tuesday, March 25, 2008

It's trickling down already...


For those of you wondering when/if we are going to see the effects of the current recession and the skyrocketing price of gasoline, it's happening already. Let me tell you a story...

While shadowing today I talked at length with a patient who owns a restaurant. Or I should say currently owns a restaurant, because the future of this small business is in doubt. After over two decades of friendly service, this cozy haven is perilously close to shutting its doors.

When I asked the owner what he blamed for his misfortune he had one simple answer: gas prices. Apparently this man is extremely fastidious with his bookkeeping and can trace the slow decline of his profits as they juxtapose the ever swelling price of gasoline. He explained to me that he recently looked at his records and saw a startling correlation between the cost of gas and his customer base.

According to him, a little over three years ago (2005) the price of gas jumped from ~$2.30/gal to ~$2.90/gal (a 26% increase). After this spike, he saw business at his restaurant drop off by 30%. Well, although the loss was tough he kept trucking ahead. Then gas jumped again, from ~$3.00/gal to the current price of ~$3.35/gal (a 12% increase). Again, he saw business plummet by another 30%. He is now clinging to what little income he is drawing from the restaurant and will likely shut the doors permanently soon.

And gas isn't the only reason people are going out less. There is simply less expendable income for the average person. With rising inflation, the average American budget just doesn't have enough pocket money to go out anymore.

Picture a young newlywed couple. In previous decades they would usually have $20-60 to spend on the weekends (dinner, movie, drinks). Now this money goes to fill a gas tank. And that amount of money couldn't even buy dinner and a movie these days to begin with ($9.00 for a single movie ticket?!?! I'll borrow my buddy's pirated copy, thanks).

And this brings up the issue of previous recessions. "But, but, but, recessions have occured in the past! Look at the early 2000s after the dot-com burst! We recovered from that because of Dubya! Yee-Haw!"

Don't count on that this time. We recovered from previous recessions because we still wielded unparalleled power on the world economic stage. No longer. Where previously we were the biggest oil market in town (and so saturated in cheap oil we might as well have bathed in it) now we are in direct competition with the Big Red Dragon - China. Now, China hasn't yet reached the absurd amounts of consumption we are accustomed to, but they will if given opportunity. This means that when the big swinging dicks of OPEC are looking to shill out their black gold, they can now go with the highest bidder where there was previously only one buyer in the market (US).

So what does this mean in the long run? Well don't expect gas prices to go down, that's for sure. And those days of long car trips, affordable SUVs, and earth-rumbling RV homes are dwindling into the history books. Expect to be living by much more meager means in the future. I'm not saying it's going to be tomorrow, but just know that powers are shifting. And if you think the Middle East and China are significant powers today, well.....

Monday, March 24, 2008

The Wal-Mart Manifesto

As many of my friends know I completely despise Wal-Mart. My hatred began when I was around 18 and I completely stopped shopping there during my freshman year of college.

I haven't spent one dollar at Wal-Mart in over 4 years (except for one emergency oil change before going on a trip). My life is completely normal as I shop for groceries at Kroger and local markets and get household goods at the drugstore or clothing shops. I would be completely happy if I never set foot in a Wal-Mart ever again.

Now comes the tougher part: backing up my hatred. There are numerous reasons Wal-Mart should be viewed suspiciously and even boycotted. The Wal-Mart corporation (and by extension Sam's Club, the Walton family, and board members) is an extremely predatory and profit-mongering operation that could stand a dose of perspective. Here is my personal list of reasons Wal-Mart should be boycotted:

1) Anti-union - Wal-Mart is aggressively anti-union. For one of the largest single employers in the world, this is quite bizarre. But the reasoning is simple; the billion dollar profit margins rely on maintaining the status quo. Power rests with the higher-ups and not with the legions of employees who work long hours for meager pay. Anti-union videos are shown routinely. Those who seek to start unions are fired. Special union-busting laws have been enacted by Congress. Regardless of personal feelings about unions, it seems there should be some form of representation for the Wal-Mart employees.

2) Wages - This is a huge issue. For the largest private employer in the world, wages are insubstantial at best. Some may argue that the jobs provided by Wal-Mart are not meant to be all-encompassing to support a family. Well whether or not they are meant to be, they are. Did you know that Wal-Mart encourages employees to seek out government aid to supplement wages? That's YOUR pocket they are dipping into to help their own employees.

Number time. In 2003, BusinessWeek reported that the average wage for a Wal-mart emplyoee was $8.23 an hour. The work week for a Wal-Mart employee is ~34 hours (to avoid paying out benefits for a 40 hr. week). This amounts to $13,861 a year... the poverty line that year was $14,630.

3) Predatory Business Practices - Ever notice how when a new Wal-Mart opens up many local businesses are quickly shut down? This is unsurprising due to the huge advantage Wal-mart has in prices, variety, and convenience. This sounds pretty nice, right? For the consumer, yes it is, in the short-term. But then when small business owners are shut down, where do they turn? To the local Wal-mart of course! This progressively turns small communities from hosting intimate, personalized small business into a town full of Wal-mart employees groveling for thin wages while the king-shit corporation sits on the throne masterminding it all.

I've even heard stories of Wal-mart sending employees out to buy up stock of high demand items (Shrek DVDs, Xmas toys, video games) from other stores in order to draw customers to their store. That's some real goddamn gestapo shit!

When small business is run out, the money that is spent no longer remains circulating in the small town. Nope, that money is funnelled straight into the bulging pockets of Wal-mart HQ, making the biggest corporation in the world (yes, even bigger than big oil) only more rich.

4) Right-wing politics - It should come as no surprise that the largest private company in the world is also a fan of right wing politics that give tax breaks to the rich. They fund conservative interest groups, oppose abortion rights, and even campaign to block pharmacists from distributing emergency contraceptives and birth control. Remember that every dollar you spend there goes to fund right wing causes.

5) Strong-arm manufacturers - Because of their priviledged position at the top of the retail pyramid, Wal-mart is afforded special consideration when dealing with their manufacturers. They wield unprecedented power when dealing with suppliers.

In a startling example, Wal-mart refused to increase the price of a 3-gallon jar of Vlasic pickles from $3.00 to $3.49 when the supplier was only making pennies per jar. Granted, Vlasic had signed a contract stating that the price per jar was $3, but they did not anticipate that the sales would top 240,000 3-gallon jars per week which led to massive underselling of their more profitable 8 & 16-oz. jars of sliced pickles. With stock plummeting, Vlasic asked Wal-mart for a helping hand and were flatly refused. In 2001 Vlasic filed for bankruptcy.

6) Misc. - As previously stated, Wal-mart does not provide any benefits for the vast majority of its employees.

Look at the products you buy at Wal-mart. Where were they made? Probably China. For a company that claims to be so pro-America, they buy from China as much as humanly possible. This steals even more American jobs and sends our dollar overseas.

The massive buildings and resources these buildings consume make for a huge environmental footprint. Imagine how much energy it takes to heat/cool the huge warehouse-like buildings while people stream in and out through the wide-open doors.


Well, there it is.
That's my soapbox on Wal-mart. I could go on and on with these issues, but if you are really curious to learn more please do. There is a great documentary called "Wal-mart: The High Cost of Low Prices" produced by Robert Greenwald that gives more info. Here are some useful links to give you more insight:

Wal-mart Watch
Criticism of Wal-mart

If you are persuaded by this argument and are wondering what you can do to help, it's easy... just stop shopping there. And tell your friends. The best way we can make our displeasure known is to simply vote with our dollar.

Together we can topple the Goliath.

Getting the ball rolling...

I am fucking fed up. My disgust will remain subdued and impotent no longer. The current state of America is deplorable and I just want to puke every time I read a new report on our inflating dollar, stunningly ignorant dealings both domestic and foreign, rising costs of Iraq, and arrogance/scandals/deception. I have to let it all out somehow and this seems to be the most practical way outside of soapboxing the corners of downtown and printing underground news leaflets.

The title of this blog is "Heavy for the Vintage". This comes from my all-time favorite quote from John Steinbeck and is very appropriate for the tone of this blog. From The Grapes of Wrath the full quote goes: "...and in the eyes of the people there is the failure; and in the eyes of the hungry there is a growing wrath. In the souls of the people the grapes of wrath are filling and growing heavy, growing heavy for the vintage." This quite accurately reflects the discontent that I am feeling in my posts and also pays homage to my favorite American author.

This blog was created as a product of many late-night drunken bull sessions between myself and my good friend Brad. Topics will include mainly politics/economics but will also stray into commentary on movies, music, literature, and popular culture. I plan to include pictures, links, and other cool things as well. I also hope to have guest commentaries from friends; if you have something you want posted on here, send it to me!

It's a work in progress so stick with it! (That message was more for my own benefit really)