Sunday, October 17, 2010

Income inequality

"In short, the economist’s cost-benefit approach — itself long an important arrow in the moral philosopher’s quiver — has much to say about the effects of rising inequality. We need not reach agreement on all philosophical principles of fairness to recognize that it has imposed considerable harm across the income scale without generating significant offsetting benefits."

"No one dares to argue that rising inequality is required in the name of fairness. So maybe we should just agree that it’s a bad thing — and try to do something about it."

Robert H. Frank is an economics professor at the Johnson Graduate School of Management at Cornell University.

Although it doesn't take a rocket scientist to see that if more and more people are falling below the poverty line, and more and more $100 million dollar yachts are being built, there is something rotten in Denmark. Yes, North Pacific Fisheries Management Council, you are creating something ROTTEN. IT'S YOU WHO ARE CAUSING THE FISHING INDUSTRY IN ALASKA TO STINK. And if that puts you in a moral bind with your silent partners, then quit. What if nobody would take those crumby Council jobs? Maybe then the regions could get a handle on managing the resources in their back yards.

Here's another zinger on how the regular folk are being illegally plundered. And keep in mind Leona Helmsley's famous saying: "Laws and taxes are for the little people."

"Now, what does 'broken chain of title' mean? Simple: when a homebuyer signs a mortgage, the key document is the note. As I said before, it's the actual IOU. In order for the mortgage note to be sold or transferred to someone else (and therefore turned into a mortgage-backed security), this document has to be physically endorsed to the next person. All of these signatures on the note are called the 'chain of title.'

"You can endorse the note as many times as you please...but you have to have a clear chain of title right on the actual note: I sold the note to Moe, who sold it to Larry, who sold it to Curly, and all our notarized signatures are actually, physically, on the note, one after the other.

"If for whatever reason any of these signatures is skipped, then the chain of title is said to be broken. Therefore, legally, the mortgage note is no longer valid. That is, the person who took out the mortgage loan to pay for the house no longer owes the loan, because he no longer knows whom to pay.

"To repeat: if the chain of title of the note is broken, then the borrower no longer owes any money on the loan.

Where are our representatives to Congress and the state Capitals on these things? And they send out questionaires for ideas on how to fix the economy? Believe me they know enough things to fix already without launching more studies to delay and disguise. Isn't that like the little 'Texas Two-Step' from the movie 'Littlest Whorehouse in Texas?' I could make a good living betting these folk that there will be more and more studies all the time. Now that at least would do one taxpayer some good.