By CapitalismRevolution.wordpress.com,

Iham Hue

GET OFF YOUR ASS AND SPEAK UP AMERICA!

Save your 401K/IRA and Job – Take Urgent Action Now

Beginning mid February, you may also go to Capitalismrevolution.worpress.com to order T-shirts and banners. The proceeds will be used to lobby congress for an end to lobby contributions to Congress, and other common cause initiatives that we collectively agree on.

I am providing a list of important petition issues up front for a unified voice, with supporting article to follow. The most important thing we can collectively do right now, is for those who are able, to spend in 2009 and ward off our fears of job loss that contributes to depression fears, in order to stop the severe economic down spiral. (cut and paste from the following)

Petition Actions Summary to the White House and Congress

Dear Mr President or Senator/Congressman…………………………, I support these most important initiatives to avoid the risk of a deep prolonged severe recession: (cut and paste the following to your petition).

1) A six month $15,000 initial followed by a $7,500 tax credit the next six months, for all buyers of non-foreclosed existing homes and<4% mortgage rates, to stabilize devaluation of toxic bank mortgage paper. (this is not a stimulus). Support Senator Conrad’s positions. Congratulations to Congress for finally adding this most important initiative to the economic stimulus bill.

2) Access of up to 5% with $5000 maximum of tax free IRA/401K money, plus $10,000 for auto and $25,000 home purchases.

3) Immediate capital injection into good banks for business and consumer loans. TARP money should be used to recapitalize troubled banks, as a continued slow death approach will totally destroy whatever citizen and market confidence is left.

4) Tie any tax credits to business directly to job creation.

5) Issue coupons instead of tax refunds to ensure money is spent.

6) I support: Easing of the Mark to Market accounting rule; Mortgage notes insured by the federal government beyond the current written down valuations; A temporarily swap Treasury Department loans for notes, (excluding exotic derivatives like naked credit default swaps which the federal government should force counter parties to settle at 25% of original policy face value); For any bank that cannot be saved, I support as structured government takeover of any large bank that cannot be saved, along with a 50/50 equity sharing between current stock holders and taxpayers. These banks can be taken over by multiple sound banks once they become viable again and home valuations stabilize. I also support a government trading desk to set market prices for these troubled assets.

7) Absolutely, no assistance to major banks without credit card interest rate reductions. Credit card interest rate must go down to a 3 to 6 % over prime -NOW! Provide zero% or low interest rates for distressed borrowers paying 18% to 32%, as well as to those paying off 3% or more of principal monthly. Provide government loans direct to consumers specifically to pay down credit card and other non mortgage debt, which also injects bank capital.

Total bank transparency and additional confidence building, including a speech by the president showing his understanding of the impact on the market and economy of negative credit default swaps and exotic derivatives on the under-capitalization of bad banks, and clarity regarding what impact the governments temporary take over of a few large banks would have on the economy, other than shareholder losses.

9) The best way to stimulate spending and reduce fear of job loss, government should take over mortgage and auto loans for 18 months, (or possibly guarantee 65% of income) for those loosing their jobs in future. Additionally, I support coupons instead of stimulus checks to ensure money is spent.

10) Review the stimulus bill to replace COBRA insurance for the unemployed with private insurance which is much cheaper, and review to increase the $50 billion allocation for roads and bridges, which appears to be disproportionately low. (add your own additional thoughts).

11) I demand a Federal investigation into hedge funds and brokerage institutions who manipulated the market prices of financial institutions and other companies; and clear and concise background information on how corrupt investment banking practices and high leverage rules were sanctioned by our government agencies and leaders.Business leaders in particular, should contact their Republican representatives to voice their opinions on the tax cut proposals, because it appears that saving your businesses and the economy by providing incentives to consumers to buy is more important at this juncture. We need to return to a system that rewards risk taking and venture capital a lot more than passive investments.If you choose to not contact your government of these urgent short term initiatives, and you or your children cannot find work in the coming years, and you find that most of your invested savings have disappeared, you can look in the mirror to find the culprit. It is important that every American become involved in voicing their position on short term government actions to restore liquidity and confidence to the market place, as well as the upcoming stimulus package, as the risk of a deep very long term recession or depression is real if we do not immediately stop the downward economic spiral. Please take the time to forward this e-mail to your friends and associates whose jobs and businesses are threatened, or whose savings have been severely eroded by the scams in the financial industry. (If you did not receive this action request via email, you may cut and past this entire article from the www.capitalismrevolution.com blog, beginning with the first question pro line at the top, and begin by forwarding it to yourself).

Contact  Congress and the White House – (3 short steps)

1. Choose from the recommended actions from the “Actions Summary to the White House and Congress” below, and cut and paste to President Obama on the new contact web page http://www.whitehouse.gov/contact/ and to your congressman from the on web page http://www.congress.org/congressorg/home/ (Note: there is a 500 character limit on the President’s contact page. You may want to submit two or three comments separately. We recommend that you cut and paste the housing tax credit initiative first and banking recommendations second, and then your other highest priorities), but there are no limits on the congressional contact sight, and you may post all of the eleven initiatives above if you choose. It is always better to petition via mail if you have the time.
2. Forward the e-mail to your friends and associates whose jobs and businesses are threatened, or whose savings have been severely eroded by the scams in the financial industry; and include your personal requesting their involvement. Act quickly as we have little time to affect needed direction.(Add or change anything you want in your petition, but please voice your position to Congress. What is most important is for millions of citizens to speak up with a unified voice. If you have other strong ideas, please post via your blog for all to consider).

3. Open survey by clicking link Survey Link: http://www.questionpro.com/akira/TakeSurvey?id=1098248 and check your position on the recommended actions so that we can track participation.If you have other recommendations, use your own format to contact your representative, and reply to this blog at www.capitalismrevolution.wordpress com with concise ideas for all to read and take action on. It is important for us to agree on a general direction, but even more important that everyone take some action to contact your representative with your views.

How to Prioritize and Analyze  Issues and Solutions:

First: Read the article and analyze to develop logical, informed opinions about actions required. In your mind you should be trying to determine if the proposed economic stimulus package, TARP money and other Fed actions would accomplish three main objectives:

1. Will the action immediately build consumer confidence that his job will be secure so that he/she will spend and stabilize job loss and business?

2. Will the action immediately help stabilize the banking system by stopping the valuation decline in mortgage backed securities?

3. Will the action ensure that capital immediately begins to flow to business and consumers again?ALTHOUGH IT IS EXTREMELY IMPORTANT, MOST OF THE ECONOMIC STIMULUS PACKAGE WILL NOT IMMEDIATELY HALT THE DANGEROUS DOWNWARD ECONOMIC SPIRAL. WHAT IS EXTREMELY IMPORTANT AT THIS JUNCTURE IS :

1. STABLIZING BANKS TROUTH HOME PURCHASE INSENTIVES AND GUARANEEING /INSURING MORTAGE PAPER VALUATIONS BELOW CURRENT, ALREADY WRITTEN DOWN VALUES

2. RESTORING CONFIDENCE BY ADDRESSING JOB LOSS FEARS AND ENCOURAGING FAITH TO SPEND TO ENSURE ECONOMIC RECOVERY.3. GETTING MONEY IMMEDIATELY INTO THE BANKING SYSTEM FOR BUSINESS AND CONSUMERS.

On April 5, Join America in a peaceful demonstration against the scamming of financial institutions that engaged in exotic derivatives transactions that contributed significantly to the economic and banking crises. Organize with your friends and organize with signs your disgust with the high risk taking of some of our largest financial institutions. Pick your poison for your banners from the “Petition Actions Summary” petition items to congress below, or make up your own.

Background Article

Get off your ass and speak up America! The fast money people in our financial industry have just pulled off the biggest schemes in the history of free market capitalism, running us into a deep recession, and we just sit there and take it like cowardly sheep! This is more that just a sub-prime problem. It is imperative that everyone starts demanding transparency. We can no longer just sit quiet and take these scams. Where is your anger and outrage? The founding fathers gave you the unbelievable freedom and power to make government accountable. They entrusted you with this responsibility!. They are rolling over in their graves. The baby boomer parents generation fought unfair labor practices. What happened to the baby boomers themselves that united and rose up in the streets to protest an unjust war in Vietnam? Where is the voice of all of the sound local and regional banks who are being penalized, and business owners and leaders who should be livid because it is their businesses that have been destroyed by the corrupt practices and greed of some of our largest financial institutions, and lack of government regulations. The auto companies are finally becoming competitive, but are going bankrupt, primarily because of unregulated futures trading that allowed for oil price manipulation, and the corrupt business practices and lack of government oversight of our financial institutions.

Your arms are your computer and pen. What good is a democracy if you do not speak up? Its time to restore sound capitalism, and we cannot have a free market without close oversight of our financial institutions and national security businesses. You must take the reigns by the hand, as our representative government is broken. With the advent of the internet, we can no longer afford to allow our representative government to make decisions without public input on every major bill before Congress. It is time to become educated on economic issues. Every one I talk too is outraged, but no one is taking any serious action. Talk is cheap. Blogging till the cows come home accomplishes little. The most urgent first issue that we must address collectively is not so much the stimulus package, but important and urgent actions to stop the fear of job loss that is creating the economic down- spiral. In a later petition we must get involved to change government practices such as lobby contributions to congress, etc.

To be sure, the Obama administration is moving in the right direction, but it will need the support of the people if substantial change in government is to ever become reality. Real change in government will never be successful if the people do not demand it. At http://www.capitalismrevolution.wordpress.com we can create a common voice for needed change to oor capitalistic and democratic government practices. We all have busy lives and have difficulty getting involved.Capitalismrevolution.com intends to act as a common voice for government reform. But we are at an historic crossroads, and our actions or lack there of, will determine the course of capitalism and democracy for generations to come.This issue is too important.

We must demand total transparency of the amount of naked credit default swaps and derivatives in every bank, mortgage insurance company and brokerage firm, and a congressional investigation of hedge funds and brokerage firms that illegally shorted the stocks of financial institutions and other companies into collapse.Nearly every business is severely damaged by these schemes in the financial community. Not even the wealthy have escaped the financial consequences. It is disheartening that our business leaders have not taken the lead to demand actions against the financial institutions whose corrupt practices have lead them to the brink of bankruptcy. Republicans and Democrats must come together as one. It is most important to forward this email to the working class and the poor to request their involvement, as they are the least likely to take action. This is too important and we need millions of people to impact needed change. We cannot allow a crisis of this magnitude to go by without major public protest, involvement and reform, or we set up ourselves again to become victims in the future. We owe it to future generation to fight the corruption and pass on a system of capitalism and democracy that serves all people, and sets an example to the world. The sub-prime mortgages and normal mortgage insurance is only half of the problem. We need to uncover the rest of the story.

I will begin with a brief summary of some crucial actions that need to be addressed, including some for the new stimulus package, so that you may better understand the petition issues above. I encourage you to review the entire document to better frame your positions and understand the petition at the top. The most urgent task at hand is for us to all contact our representatives and administration with a unified voice.

I can see the partisanship in Congress starting up already, and once again we will have our brains fried, not knowing which way is up or down. Because decision making options and partisan politics is taking so long, we now find ourselves in a position where a containable sub-prime loan problem has snowballed from a wall street crisis to a main street crisis that puts us on the brink of a depression, if we do not correct the housing and banking problems – IMMEDIATELY. The new administration by enlarge, is on the right course, but the programs may come too late. There are a few critical things that must happen if we are to avoid a very severe economic downturn from which it may take years to recover. This is a snowball rolling down the hill, as the consumer tightens up his spending do uncertainty and fear of loosing his job, and companies continue to lay off workers due lost sales and tight credit markets. All Americans need to just pause and organize their thoughts to determine the root cause (as housing valuations, bank liquidity and corrupt practices) and solutions we most need to begin turning this economy around in the next few months. We can no longer afford to remain ignorant of economic issues. It is imperative that both Republicans and Democrats collectively participate in economic decisions, and not just hope that our government representatives and administration get it right. Here are the few simple resolutions that must be addressed to immediately impact economic recovery:

Issues Background

1) Addressing jobs and overall confidence is primary. The entire free market system is built on faith, and if we give into panic and fear, we are doomed by the downward spiral that it will create. Stop listening to the depressing financial media hype! There is no greater initiative now than to restore lost confidence. To that extent, it is important that those of us who are in a position to take advantage of the great sales bargains should spend more than normal in 2009, especially large ticket items. Although direct intervention to force consumers to purchase U.S. products would damage world trade, our government should encourage purchase from US companies this year, as we must stabilize the U.S. economy first to ensure the recovery of the rest of the world economies. I know that spending is contrary to the fear we have in our gut. A $1000 rebate check by itself is not going to do it. We need to immediately secure employment levels first and restore confidence, and ensure that capital begins moving immediately to consumers and business. This is why we need a very short term printing of money to inflate the economy to restore some of the lost wealth in real estate and stock markets, without significantly increasing debt. Injecting capital into good banks instead of problem favored banks helps address the confidence issue. (We are fortunate in that all of the industrialized nations are in the same position and will inflate their economies and try to deflate their currencies at the same time. If we were alone with these problems, the dollar would collapse and the foreign purchase of our debt would begin to dry up). Deflation is so dangerous because of the human nature fear factor that is hard to reverse in a downward economic spiral. It can easily lead to a depression. The Fed will begin to raise interest rates immediately once confidence and liquidity are restored and the economy begins to inflate, and the government infrastructure jobs will then kick in to carry the economy forward again. Then the whole country must pay down debt, which will take a while. (Remember that excessive debt becomes a real problem when wealth, assets and income go down, and the debt cannot be serviced. The analysts tend to scare markets by talking about them in absolute terms, but debt risk is always a measure against total assets and income, or GNP). It also does no good to subsidize business with tax cuts at the onset, if they have no buyers. For their very survival, businesses need consumers to return first before we go down the road of business incentives and tax credits.

2) There is no more important targeted action required than to put a floor under housing prices -NOW! When homes start to sell and prices begin to recover, the whole banking crisis caused by toxic mortgage paper and credit default insurance swaps goes away, as these assets and liabilities stabilize. Easing the “mark to market” rule for mortgage paper valuation at the same time is important. Even Ben Bernake has sent notice to congress urging them to get housing market moving. We are way behind the eight ball now. The plan for Fannie Mae and Freddie Mac set forth by Sheila Bair, Chairman of the FDIC, is the model to follow (thank God for her). (It is another tool that has now been used to affect lower mortgage rates and mortgage refinancing, allowing more debt to be paid down and increasing household disposable income). We need 3.9% interest rates and a $15,000 tax credits for six months for non-foreclosed home purchases, followed by $a $7,500 credit for the next six months – NOW! It is also the only way investors will return to real estate mortgage financing. This will only happen if a deal of a lifetime is given to buyers to deplete both the normal and foreclosed inventory on the market. We are 16 months into the housing crisis, and crux of the financial crisis is only now beginning to be addressed. (These actions should have been taken in the beginning of 2008, and much of the frozen credit problem could have been substantially avoided).

3) Access to some 401k money tax free. For those who can, spending a little of this savings will have a substantial affect on stabilizing and increasing the value of your retirement savings, without increasing debt. (e.g.; 5% of total plan assets, minimum $3000, maximum $6000, $12,000 for automobile purchase, $25,000 for home purchase).

4) Absolutely, do not allow for any assistance to the major banks without bank concessions to make major adjustments to lower the criminal credit card usury rates, so those held hostage to 18% at 32% interest rates (I could just throw up) can pay off their debt. I cannot believe that people are not marching in the streets to support this issue. The inability to resolve this problem goes right to the core of the corrupt practices in our system of capitalistic and representative democracy. Absolutely, positively, do not allow Congress to take over any credit card debt from the financial institutions. As concessions for TARP bailout money and other bank funding, incentives need to be given directly to the consumer to pay down debt and not bailouts to the banking industry. We need to support zero percent or low interest rates for distressed borrowers, as well as to those paying off 3% or more of principal monthly. Government must provide loans direct to consumers specifically to pay down credit card and other non mortgage debt, and not for bank bail outs. As unsecured loans, credit card debt should only be a few percent higher than mortgage and consumer loan rates, and capped at 6% above prime for those with the lowest credit scores. It is imperative that the Federal Government take over credit card debt directly from the public first, instead of direct loans into the banking system. This would free up capital in the banking system and resolve much of consumer’s serious debt problems at the same time. Credit card holders would need to show reasonable ability to repay the debt over some number of years. Credit card companies would be required to forgive 20% of credit card debt for this bailout of credit card default.Major long-term reform to allowable credit card rates is a must.

Even if you are a responsible person not affected by the credit card scams, you should be outraged and speak up for those who got caught in the web of “legalized loan sharking” practices sanctioned by our government. It is disgusting how our government regulatory agencies, the OCC and Office of the Thrift side with these legal “loan sharks”, and the severely watered down rules they passed does not now take affect until July 2010. Congressional bills S2753 and HR5244 are presently dead after a full year of hearings and discussions in 2008. NO GOVERNMENT ENTITY has proposed any bill that addresses the staggering loan shark rates 18% to 32%. This is the main issue if consumers are to ever pay down their debt. Other simpler legislation also needs to be enacted, such as a 3 day grace period after due date and no penalty or rate increases unless payment is 30 days late (in addition to the other deceptive practices being addressed). The inability to pay down consumer debt is going to affect us all in this down spiraling economy. The risk of excessive debt is never an absolute measure. It is measured by the payments one can afford to make as a ratio against ones total wealth and income. When we are forced to pay mostly interest, the entire economy suffers.
http://www.creditcardreform.org/pdf/Credit-Card-Letter.pdf

w5) We need to demand total transparency from all banks and mortgage insurance companies, in particular the amount of “naked” credit default swap” insurance liabilities on their books, and a total disclosure of how these and all derivatives are impacting their capital requirement positions and freezing up capital market. (Naked swaps are just gambling debts placed in the over the counter market between two counter parties. There are no underlying mortgage insurance contracts to support them). Remember, bank lending froze up because banks did not trust what bad paper other banks had on their books. These derivatives are a significant reason for the shortfall in banking capital requirements and the credit squeeze, and the federal government should intervene to force settlement of these instruments between counter parties at 25% of their original face values, (even though stopping/reversing the decline in home values will ultimately resolve the problem).We must support the total restriction of all naked credit default swaps trading (regulated or not), as these instruments are merely unregulated gambling bets on the soundness of a financial institutions underlying outstanding loans. They do not spread risk, and they exacerbated the financial crisis that is causing bank lending to freeze up due to their lack of transparency and comprehension amongst financial institutions. The $50 to 60 trillion in total default swaps must be reduced close to the actual $5/$6 trillion of the original underlying face value of insurance policies, and disclosure must be provided as to how derivatives transactions contributed to any bank’s problem with being under-capitalized.

We must further support an easing of the mark to market accounting rule that has led financial institutions into bankruptcy due to capitalization problems on mortgage paper valuations, whose underlying mortgages do not become due for 20 to 30 years.

6) Finally, any tax credits to business must be specifically tied to job creation – period. The days of giving tax breaks to the wealthy for passive type investments are over. Risk takers and venture capitalists should get the biggest tax break. Additionally, if we want citizens to spend their rebate checks, they must be distributed in the form or coupons and not money. Retail establishments would turn them back into banks, and banks would recycle them to the Federal Reserve for cash.

7) Regional and local banks with sound banking practices should have just been allowed to take over the large banks that took on the high risk investments. Jim Cramer of CNBC recommends the Treasury Department accept a note for loans to banks in exchange for a note to banks for transfer of toxic mortgage assets to the Federal Government. A future government trading desk to set market prices for toxic assets is also recommended. This would remove bad assets from banks books, and the notes could be reversed once housing prices improve and banks become stable. If some banks were still to fail, the Federal government must act quickly to temporarily take them over in such a way that there is some forbearance in the manner in which the bad assets are removed, with a plan to have sound banks take them over in the future once mortgage values stabilize and they become viable again (when housing prices begin to recover). Lastly, the Federal Government should just insure all mortgage loans going forward, from their current already marked down book valuations. It is imperative that the remaining $350 billion in the Tarp program be given to sound regional and local banks with sound balance sheets, instead of the favored larger troubled banks, with stipulations that the loans be made directly to business and consumers. We must end the death of banks by 1000 cuts that is destroying market confidence. There should be few strings attached or the taking equity positions etc. in these sound institutions. Capital is flowing too slowly. This is not 1929, and we must all realize that bank take over by our government will not collapse our economic system, but risk to our savings and lack of capital flowing will.

8). One final point. We must demand a criminal inquiry of hedge funds and brokerage firms who sought to manipulate market prices that resulted in share price erosion and even collapse of financial institutions and other companies, or sought to manipulate stock market direction with large short trades, that included the simultaneous use of credit default swaps to insure the company holdings. It is also imperative that we have a hearing in front of Congress that clearly presents to the American public the rules and bills that were passed by regulatory agencies and Congress, that allowed and sanctioned the naked credit default swap derivatives; excessive leveraging by banks and investment banks; easing of regulations of FannieMai and Freddie Mac including their ability to sell government subsidized mortgages for profit, along with disclosure of their contributions to congress; the elimination of and non-reinstatement of the up-tic rule, etc. Transparency of the naked credit default swap and derivatives impact on the viability of our financial institutions is a must. When you take on the responsibility to understand issues and demand corrective action, you restore confidence in the system.

America is a democracy like no other, and we owe it to the world to uncover the scams and not let the perpetrators get away uncontested, if we have any hope of implementing sound regulation that prevents future generations from being ripped off’. Our complacency has become rather disgusting, and has put our capitalistic and democratic models at risk. I recommend that Jim Cramer of CNBC (he has been the most vocal critic) and other knowledgeable investors of “questionable” trading practices, be involved in the in the testimonies before congress. I support regulation that more closely integrates our elected officials in Congress to be a more integral part of the regulatory agencies that formulate the policies and rules. This would provide clearer and concise transparency to the working public on future policy and rules changes.

We should not be concerned with whose name ultimately winds up on a bank, as long as our savings are protected. Everyone talks about how Little America saves. We are supposed to believe in investing in American business for the long term. Now I find myself asking what good does it do to save when the corrupt greed and market manipulation of a few, can wipe out nearly half of our wealth and savings in a few short months. Neither business nor government wants to help provide for our old age. The younger generation is becoming angry at the debt burden we are leaving them. What is the answer for an aging population if we continue to allow ourselves to be ripped-off by a corrupt and over speculative financial system.Optional Reading on Energy and Automobile Companies

Energy
Regardless of what happens to oil prices, a massive program to develop alternative energy that the new administration will propose is imperative. All of the deflation resolutions discussed are nothing compared to the inflation pressure in the more distant future. The world demand by China and India will cause oil prices to explode again in a few years, as their sheer size and growth rate will not abate. All commodities, raw materials and food prices will explode in price far greater than this last round, if steps are not taken now. We have a small window to get it right. Asia will join the rest of the world in trying to slow growth if cost inflation returns, and recycling and conserving everything will be of paramount importance, as raw materials will be severely strained. The poor of the world will suffer the most with food shortages and high prices if we do not begin to take action now. Do not listen to any arguments that say alternative energy is no longer cost effective with oil prices so low. They did this to us in the 80’s. Even if we were to become energy independent, we will pay the global market price for oil that will be set by the huge demand of Asia and the manipulated supply of the OPEC cartel. And I don’t know about every one else, but I don’t want my children and grand children, and future generations fighting to support our perversed gas guzzling vehicle needs for hundreds of years to come. The only way out is through alternative competing sources of energy, which at the same time begins to address the clean up of our planet. I don’t know how nuclear cannot become at least a part of this equation, and I don’t know if or when clean coal can become a reality. Hopefully, fuel cell and storage of solar energy will one day save us. But it is time to start planning 50 to 100 years out, and not leave this burden to our children. There always needs to be an economic growth engine is some segment for the economy to pull us up from the depths of a recession, and besides biotechnology and health care, this appears to be the biggest opportunity on the horizon.

Auto’s
We just found out that the financial part of our “new economy” was a house of cards full of scams and false profits. There is no way to now get back to a normal economic environment without reinvigorating the manufacturing economy. It is a key to a viable middle class. I recently read a survey that showed consumers returning to favor US car manufacturers. In light of much of negativity they have received over the last 15 years (much of it well deserved), they have finally taken the necessary steps to compete with Japan. There overall quality and safety have improved significantly, while cost reduction agreements with unions to downsize and reduce wages and benefits were reached two years ago. For example: Ford Motor Company now leads in safety and the overall quality survey now puts them at par with Honda and Toyota. No small achievement. Of note is that Honda and Toyota sales are down more than those of US manufacturers. They just have a lot of money to carry them through this unusual and severe economic downturn. The U.S. auto industry problems are primarily related to the high oil prices created by lack of regulation that allowed for manipulation of the oil futures market, and the deep recession created by the unregulated scheming in or financial business community. The gas guzzling criticism by congress is mostly face saving for their lack of energy policy direction. Consumers bought large cars because they wanted them, and had no understanding of the long term implications of China and India’s rapid growth on oil demand. Car companies are guilty however, of taking excessive risk in the past, by skewing their production toward larger vehicles in the name of higher profit.The US manufacturers create many more supplier jobs in the US, and pay more taxes to the US, unlike foreign companies who transfer their U.S. earnings back to their homeland parent company by importing large components from them at inflated prices. There is also never been free competition, as Japan subsidizes their industry by supporting unreasonably low currency rates, and there are no provisions to offset their competitive advantage of not having an aged workforce to support. Anyway, unlike the financial industry, this industry now deserves some consumer support. Stabilizing consumer confidence and job creation is the first task at hand. What good do bailout loans do if the consumer does not begin to make purchases and support them (or any other troubled U.S. businesses). Our economy will not make significant gains unless their businesses improve. As the major trendsetters, I can only hope that California begins to recognize the improvements, and makes U.S. cars ownership “COOL” again. Every country in the world recognizes the economic importance of a strong automotive foundation. The U.S. manufacturers have lot of good stuff is coming down the pike. We need global competition, but I hope we can collectively begin to tip some of our purchase decisions in favor of U.S. manufactures again.

If you have other recommendations, use your own format to contact your representative, and submit your ideas to others via your blog to capitalismrevolution.wordpress.com. for all to read and take action on. It is important for us to agree on a general direction, but even more important to contact your representative with your views.

visit capitalismrevolution@wordpress.com

Iham Hue

(I am you) -your heart, mind and spirit, urging you to get involved