Thursday, November 10, 2011

[1757] I’M JUST NOT ONE OF THOSE ‘WORD TALKERS’

Caught the debate last night- didn’t go to well for my gov. I mean I still thought he had a fighting chance- not any more. I mean even Cain started looking good compared to Perry.

When Perry could not remember the 3rd govt. dept. that he wanted to shut down- that was it. Even Ron Paul tried to throw him a lifeline ‘the E.P.A.’ Yeah- that’s the one! I even guessed ‘maybe he means the energy dept.’ [you know- that’s always been kind of a joke- like having a ‘sky dept.’].

Sure enough- the next time Perry ‘spoke’ that was the one.

I read a Conan joke the other day- he was mocking Perry because he was going to start skipping the debates- he said Perry’s excuse was he was not a skilled debater- you know- he wasn’t one of those ‘word talkers’ yeah- guess he’s right.

I went thru a few news articles the other day- when I read the papers during the week I cut the articles out that I think are important- and then in the morning before I post I’ll look them over to see what looks relevant.

Out of the 2 I saved- one was on a possible looming crisis in Italy. Sure enough- yesterday everything hit the fan.

The reason the stocks took a big hit was out of fear that the European debt crisis might spread to Italy. Italy has a big economy- not like Greece. The main reason Greece was important- was that many observers feared that if Greece went bankrupt- that the ‘contagion’ might spread to the other Euro Zone nations- like Italy- and that would be bad- very bad.

Well- that looks like what might be happening. Greece’s Debt to GDP ratio is 144 %- not good. Italy is at around 120%- not as bad- but still not good. This coming year they have about half a trillion dollars coming to maturity [bonds they must pay out on] and they owe 2.6 trillion [not like our 14 trillion- but for the size of their nation- it’s a lot].

So the interest rate just went up for Italy- it will now cost more for them to borrow- and when you’re paying a little over 7 % on 2.6 trillion- well that hurts.

Italian bonds are not like Greek bonds- Italian bonds are in all of the big banks that we are familiar with- many of our investments are in the same banks that hold Italian debt- so if Italy goes bust- that’s a huge problem- that will indeed drag the U.S. down.

I mean Greece already seems to be a lost cause- even their own people are pulling all their money out of the Greek banks and putting it in Swiss banks. Geez- if your own citizens don’t trust you- forget the other nations bailing you out.

I find it funny [sad] that a few weeks ago- Fahreed Zakariah [a CNN guy] was mocking the Tea Party crowd- because he said that the Europeans were handling their debt crisis well- like adults- and that even the Europeans were saying ‘geez- cant you be mature like us- you stupid Tea party Repubs’!

He said it in the same mocking way that Martin Bashir [I think they are both Brits? I know they of course are both foreigners] made an on air accusation the other day. I mean- it was bad. Bashir said a certain Repub referred to injured Iraqi war vets as injured ‘dogs’.

Now- for the life of me- I could not imagine this charge to be true. Then I heard the rest of the story. Some Repub said the occupy protestors were leaving a huge mess at the camps- ‘like dogs’.

And Bashir applied this to the Iraqi war vet. who was hit with a gas canister in Oakland- so yes- this Iraq war vet was a wounded protestor. But to then go on national TV and say that Repubs are referring to wounded Iraqi war vets as wounded dogs- I think this network [MSNBC] is very dangerous for the country.

We need to hear both sides of all arguments- but this stuff is incendiary.

Being I already mentioned Italy- let me finish with some history/philosophy that might be relevant.

In the last post I mentioned saint Thomas Aquinas- and after Augustine [and Anselm- 11th century] he is the next main character I wanted to cover [in our ongoing philosophy study].

Aquinas is referred to as the Doctor Angelicas [angelic doctor] by the catholic church. Aquinas lived during the time of a cultural/philosophical reawakening that was beginning to take place in the Western world- the Renaissance.

Renaissance means ‘re-birth’. It was a rebirth of the ancient Poets and philosophers of days gone by. Men like Cicero and Aristotle were once again brought to the fore front of many thinkers and lovers of culture.

The catch phrase for the Renaissance was Ad Fontes- which meant ‘back to the sources’ [source- Fountain- Fontes]. In the 14th century a famous and influential Catholic family- the Medici’s- were a catalyst for mixing this cultural movement in with the church.

The Renaissance sort of challenged the historic view of education- up until this time most learning was done thru the prism of the church. In the universities of the day Theology [study of God] was called the Queen of the sciences- and philosophy was referred to as her Handmaiden.

Well the Renaissance thinkers said they wanted to study things for what they are- they did not want to see everything thru the lens of the church.

Eventually the theme of the movement [back to the original sources] would play a major role in the Protestant Reformation of the 16th century. Men like Erasmus [the famous 16th century Catholic Humanist] would re discover the original Greek New testament- and it was thru the study of the Greek text that many of the Reformers made their case to get ‘back to the bible’ and eventually break from Rome.

This was also the beginning period of modern capitalism. Recently when Libya had her ‘civil war’ and the new leaders started talking about a new constitution- one of the interesting things that came up was they wanted to do away with interest on loans.

Why? Well Muslims teach that interest itself is a bad thing. ‘Gee- wonder where they get that idea from John’ Oh- from a little book- called the bible.

Yes- to the surprise of some- this is very much taught in the Old Testament. Now- it was God’s law governing the nation of Israel- but they were forbidden to charge interest.

‘So John- is it wrong for us today to make interest’? Not really- Jesus used interest [usury] as an example in some of his parables- and overall- we as believers are not under the Old Testament laws that govern natural Israel.

But- for many centuries- the world did not see interest on money as a legitimate way to earn a living. So during the Renaissance you also had the rise of exploration- and explorers like Columbus would go on their voyages with the financial backing of investors.

The normal rate for these voyages was a 75/25% cut. When the explorer returned- the investor [Spain- or whoever] got 75% of the goods- and the explorer kept 25.

So there were a lot of changes taking place in the world at the time- and the rise of modern capitalism was one of them- money of course existed way before this time- but as a commodity- this was a new way of viewing the world.

Okay- just thought I would throw in a little history along with the current events of the day. As we see the current turmoil in the Italian markets [the original renaissance started in Florence- Italy] maybe seeing money/interest as a commodity- and ‘usury’ as a major way to increase ones wealth- well maybe that’s not such a smart way to do things after all.

When Jon Corzine's global investment firm went bust the other day- it was a direct result of taking a gamble on the ‘gullibility’ of the common man.

What his firm did was they took a huge risk by investing in European bonds- bonds from Greece that everyone knew was a terrible 'bet’. Then why did he do it?

The risk was so high- that the interest [usury] on the bonds was also high- you would make lots of money- if you got your money back.

But how would you get the money back- if the company [or nation- or bank] is in such bad shape that they might go bust? Your basically betting that the other nations around them [and the 1% crowd] would never let this happen [too big to fail] and when the nation [or company] gets ‘bailed out’ well then you get the money back- at a huge gain- all at the expense of the ‘99’ %.

‘Gee John- that doesn’t seem right to me’. That doesn’t seem right to me either- and to the legitimate ‘occupy Wall st. guys’ that’s not right to them as well.

Basically Corzine did the exact same thing that the big banks did during our 2008 bail out crisis- the banks can’t do that anymore- we did pass regulations that forbid this. But private investment firms can- they take a risk if they do- but that’s their choice.

Corzine took the risk- and lost [besides the fact the there is also about 600 million dollars ‘missing’ from private investors money!].

Okay- that’s it for now. We will keep an eye on Italy for the next few days [Germany is already talking about bailing out of the Euro Zone] and if things keep going downhill like this- well we might all be better off if we moved our money into less interest bearing accounts- safe places to ‘park’ your money- and after the dust settles- then maybe get back into the market.

But right now- I would trust getting a bigger return from a Columbus voyage than the market- yes- maybe ‘usury’ is not all that’s it’s cracked up to be- maybe the Libyans are right [and the Old Testament]. Yeah- maybe they know something we don’t.

www.corpuschristioutreachministries.blogspot.com

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