Delaware Politics

On Monday, President-Elect Obama named Arizona Governor Janet Napolitano as Secretary of Homeland Security.  That move triggers the ascension of Arizona’s Sec of State Jan Brewer (a Republican) to the Governor’s office.

Last night in the first serious contest since the Presidential election, Georgia re-elected SEN Saxby Chambliss (a Republican) in a race that many thought he would lose coming off the Nov 4th Democratic Tsunami.

ATLANTA (AP) - Fresh off a win in his U.S. Senate runoff, Georgia Republican Saxby Chambliss is calling on his party to return to its conservative roots. - Story

This could be an indication that voters now associate the Presidency with the President-elect and therefore Republicans have shed the weight of association with an unpopular George W. Bush.  This will make the task of rebuilding the GOP much easier, as long as we recapture our fiscal conservative principles and run on them.

Senate Democrats re-elect leaders. Unanimously.

Here’s a good role model, but more importantly an example that some execs just want a company to succeed.  There are executives who sacrifice as much as workers, don’t ever forget that.

Watch Video

and if you thought this was some sort of BS, and he takes stocks instead, check this out:

He only owns 17,000 shares of the company, which last closed at 217 yen per share, which is only worth a bit more than $39k USD.

http://www.jal.com/en/ir/pdf/ir_080606.pdf
http://investing.businessweek.com/research/stocks/ …

In case anyone is interested -

“…opens its doors on December 2 to as many as 15,000 nation-lovin’ pilgrims a day.” Full story

A very well-reasoned and strong argument for allowing bankruptcy judges to rewrite mortgage terms. Certainly changes my mind on the subject.

From the Washington Times:

Republicans, reeling from another election defeat, have taken to arguing over whether their national leader should come from the elected ranks of the Republican National Committee or be a political celebrity such as former Maryland Lt. Gov. Michael S. Steele.

“For this association of members to choose to outsource its leadership would, I believe, be an abdication of our responsibility,” Curly Haugland, an RNC member from North Dakota and the former North Dakota Republican Party chairman, wrote in an e-mail to Mr. Steele.

Mr. Haugland called on Mr. Steele to quit the contest for Republican national chairman because he is not an RNC member.

“In my estimation, 168 committed members of the Republican National Committee are a powerful army of qualified advocates for Republican principles; certainly much more threatening to the Democrats than one celebrity spokesman,” Mr. Haugland said.

Oh, but there’s more.

Mr. Steele also faces opposition from other sources.

The Republican National Coalition for Life and the Rev. Donald Wildmon’s American Family Association both have came out against Mr. Steele because he and former New Jersey Gov. Christine Todd Whitman were co-chairmen of the centrist Republican Leadership Council and because of his unclear comments about abortion on “Meet the Press.”

A separate e-mail being sent to RNC members notes that the Log Cabin Republicans, a group that advocates for same-sex marriage and other homosexual issues, has embraced Mr. Steele’s candidacy.

So he’s not a member of the club? And he might not be pro-life or anti-gay enough? Can you believe this? These people must want the GOP to be the best damn 20% minority we can be.

From Politico:

Sure, Republicans have had a hard couple of elections. But you’ll excuse me for suggesting that reports of our death have been more than a little exaggerated.

In fact, the electorate shifted only about 4 points from Republicans to Democrats since 2004. That year, George W. Bush took 48 percent of the vote against Barack Obama’s approximately 52 percent in this election. Now, don’t get me wrong, that 4-point shift produced the best vote tally for a national Democrat since Lyndon B. Johnson.

His prescription?

Return to timeless Republican principles. And include a positive, optimistic message that envisions a new, stronger, more prosperous American future. Ronald Reagan spoke to our deepest longing as a people. He gave a voice to principles that are true for all people in all times. Retool our message, but base it on those proven conservative principles for which our party has always stood: Our freedom is from God, not government. Our prosperity comes from a free people in a free market, not overtaxing, free-spending bureaucrats. We celebrate and protect life, born and unborn. And our best hope for a brighter future is in the empowerment of individuals and families, not in the constraints imposed by a bloated bureaucracy.

Organize in every state. Our successes are mostly centered in Appalachia, the South and the Great Plains. We’ve been nearly completely shut out in New England, and we’re only slightly better off in the mid-Atlantic. Things don’t look any better in the Rust Belt or the West Coast either. Democrats have done a great job of outworking us in these areas. We need a new approach that assures Republicans play in every state; take nothing for granted. We may not win everywhere we play, but we certainly won’t win if we don’t play everywhere we can.

Appeal to the forgotten middle class. Obama beat us in the cities, suburbs and exurbs. We beat him in the rural areas. Our message of economic growth, lower taxes, more accountability in education, personal responsibility and fiscal restraint will appeal, but we have to refine it and do a lot better job of getting it out.

Build a broader coalition. Obama’s coalition consisted of a broad cross-section of Americans. Young voters went for Obama 68 percent to 30 percent. He beat us among Hispanics by a 2-1 ratio. He won the votes of Asians, women, African-Americans and seniors. This doesn’t have to be the case. We have the message, but we have to improve our credibility with these voters.

Stop the blame game. We have to stop trying to lay blame for our losses. It’s embarrassing to see what unnamed McCain aides are saying about Sarah Palin. Worse, it’s not fair, relevant or productive. Instead, we have to recognize we have all contributed to the problem and it will take us all — working together — to repair it.

Use new communication tools. Not only was our message stale, the means by which we’ve conveyed our message has been lackluster — at best. Television advertising is great, but it’s not enough in this new age of Facebook, YouTube, bloggers and Twitter. In addition to updating our message, we have to update the means by which we communicate it.

I have a great deal of respect for many Democrats.  Just like me, they are caring, hard working people who want this to be a better nation.  This post is not intended to bash them nor is it even intended to bash the Democrat party.  It is intended to bring questions of public policy to the forefront.  I have written about problems with the Republican Party so now it is time for my view of the Washington wing of the Democrat Party.

The Democrat party has a great heritage of being a party of many diverse views and people.  The problem is that it seems to have lost its way.  It is not the first time. 

The Democrat Party was the party of the Trail of Tears and ethnic cleansing of the Indians. It was the party of Black Slavery and segregation.

It recovered from those ills.  It may yet recover from these as well.

1. Democrats think the secret ballot is great for their caucus but bad for the American worker.

2. The Democrats think we can wave a magic wand and get an arbitrary amount of alternative energy overnight.  Don’t drill for more oil just hope it works out.

3. The Democrats think the problem with education is that we are testing students to find out what they are or are not learning.  In other words the biggest obstacle to education is being told you have to teach so students can measurably learn.

4. Some Democrats think marriage is passe unless it is between people of the same sex.

5. NJ Democrats think destroying embryos with taxpayer money is laudable while executing child rapists/murders should be banned.

6. Some think  recognizing Christmas is divisive, protecting kids with Internet filters in public libraries is oppressive, but putting a stop to burning the flag is a distraction.

7. They think the biggest fiscal problem is that we are under-taxed and the biggest social problem is that some people make more than others.

8. They nominate for Attorney General someone who pardons bomb building terrorists but thinks law abiding gun owners need extensive regulation.

9. Everyone is entitled to my money but me.

10. Some Democrats think free market means freeing the market place of responsibility for half of the economy.

Special Bonus:  Democrats discovered that they can get away with anything if it has the title economic stimulus attached.

As first reported by Delaware Talk Radio, Gov. Ruth Ann Minner has announced that she will appoint longtime Biden aide Ted Kaufman to fill the next two years of Sen. Biden’s term in the U.S. Senate. Mr. Kaufman is a widely respected individual and is the perfect person to fill the role of caretaker. Many in Democratic circles are understandably disappointed that Lt. Governor John Carney was not named to the post, but primary in the VP-elect’s thinking was saving the opportunity for his son, Attorney General Beau Biden, to run for the seat in 2010.

Again, congratulations to US Senator-designate Ted Kaufman.

The obvious bad choice in the otherwise star Obama Cabinet is Mr. Eric Holder –gun snatching, terrorist coddling, Castro lackey– for Attorney General.  His role in pardoning terrorists (who weren’t even asking for pardons) is well documented.  This pick makes me rethink that the Ayers issue was extraneous.

The one open for question may be the new Treasury Secretary designate.  Timothy Geithner is one of the people who orchestrated the bailouts of Bear Stearns and AIG.  While at the IMF in the ’90’s he helped design and implement the Mexico and Asian bailouts.  He is someone willing to be very interventionist.  

According to the Wall Street Journal on line(Nov. 23, 2008),he is an advocate of broad powers and has often forced his will on firms.

Last month, when the Treasury and Fed decided to inject capital directly into the banking system — starting with the largest financial institutions — Mr. Geithner sat at the table with top government officials and bank executives. He detailed how much U.S. money each firm would receive, giving them no choice but to sign off to ensure that the capital-injection program wouldn’t be seen as going only to the weakest firms.

As Treasury Secretary, Mr. Geithner will play a key role in overhauling the patchwork of financial regulation after a year of turmoil that exposed oversight failures.

In recent months, he’s stressed the importance of building “shock absorbers” for the financial system so the failure of a major firm does not ripple through markets. His views indicate support for a proposal by other top officials to create a resolution system for failing financial firms, akin to the Federal Deposit Insurance Corp.’s procedures for depository institutions.

Mr. Geithner has offered few specifics, arguing that officials need broad authority while insisting that full decisions cannot be made until the crisis is over.

If you like Paulson, you will love Geithner.

It is widely assumed that the consumer credit card industry will be the next economic shoe to fall.  In an attempt to avert another bailout, I was wondering what could be done by the affected companies, consumers, or both, to avoid, or at least significantly soften, this oncoming blow.  This is what I think could temporarily help the consumer and the industry enough in the short term until a more viable environement evolves.

Allow consumers to enter into a short period of interest-only payments, with conditions, as follows:

1. Consumer can agree to three-, six-, 12-month programs
2. Terms of account are frozen in place for this period (company can not change rates, except in cases of normal terms of spread + prime (or LIBOR).
3. Credit line remains in place (but suspended for use) for this period
4. Is NOT reportable as negative to credit bureaus
5. Failure to pay on time by consumer unfreezes this program and subjects consumer to normal actions by company.

My thoughts on this come from what will likely be consumers’ inability to pay a full minimum payment.  In many cases, an interest-only payment is affordable.  If the companies allow this approach, they still get the profit paid to them, the consumer avoids negative credit reporting, and both the consumer and company lay the groundwork for future business with each other.

During this period, the consumer needs trust from the company to not adversely affect their obviously tenuous financial situation, by not raising rates based on anything other than fluctuations in the prime or LIBOR rate.  They also can not close down the credit line during this period of interest-only payments.  If the consumer has gone totally-ugly on their other credit accounts, that can be an exception, but going into an interest-only agreement would not be grounds to close the account’s credit line down.  Suspending the line should be expected, though (more on that below). 

The company needs trust from the consumer to continue to keep their account current, which can be made by the interest-only program and its conditions.  The company also should be able to have an expectation that the consumer can not take advantage (in a malicious way) of this by charging up the account balance.  That is the reason for the suspension of credit.  Additionally, although the company is receiving interest-only payment, they are being paid pure profit without having to provide additional credit via consumer purchases.  In light of this, the company does NOT have the ability to report this consumer negatively to the credit bureaus.

Both parties, however, need their own restraint in this program.  The consumer does not have access to their credit line during this period.  They are effectively being given a chance to not have their life dictated by bad credit.  This is a chance via an opportunity that really should not exist.  The companies, however, have shown that they, too, need to be kept in check in these moments of opportunity.  An interest-only payment does not allow the comapanies to permit the consumers to continue to charge and pile up their balance.  That would only continue the vicious cycle that got all of us here today.

That was my thought over the weekend.  What are yours (on this or your own program)?

Tags: Consumer Credit, Credit Cards, economy

I have information on how you can make calls on behalf of US Sen. Saxby Chambliss in Georgia’s runoff election. I’ve published most of the email below, without the numbers. If you are interested, email me at dave@delawaretalkradio.com, and I’ll send you the details.

–

At long last, we now have the ability for anyone–  no matter where they are located–  to make get-out-the-vote calls for Senator Chambliss.  To get started, follow this process:
(1) Click on this link: xxxxxxxxxxxxxxxxxxxxx
(2) You will asked to create a GOP login.  After filling in your contact information, please check the box that says you want to make phone calls. (3) After you create your account, the screen may take a few seconds to clear and you will then see a “take action” button.  Click that button and you should be taken right into the calling queue.

If you have any problems at all, please don’t hesitate to call me — (xxx) xxx-xxxx. Thanks again for your patience in waiting for this system to be built and for your support.  With the loss of the Senate seat in Alaska yesterday, this campaign is really the firewall that will stop the Democrats from getting a 60-seat super majority in the United States Senate–  and we can’t do this without your help!

It appears that President-elect Obama has settled on New York Fed chief Timothy Geithner as his Treasury Secretary-designate. Since Henry Paulson has decided to punt and given the extraordinary circumstances, President Bush should have Mr. Paulson resign and elevate Mr. Geithner to the position right now, instead of waiting until February. It would be a good move on Bush’s part and would perhaps endgender some confidence in the American people.

Here is our chance to do more than complain.  Let’s see how serious he is.

Carla and I wish you and your family a very happy Thanksgiving next week. Even though we are facing significant challenges as a state and a nation, we have a lot to be thankful for.

Here is the exciting part, he introduces http://www.markelltransition.com  

My transition team is also hard at work. I recently announced a talented team of Delawareans to a group of lead committees that are focused on specific issues. Their ideas about the innovative ways we can meet the challenges facing our state will be critical in helping me and my administration get to work from Day 1. We are facing sobering economic times, but this is a situation that also presents a great opportunity for us to be creative and make good decisions for Delaware’s future. I am especially interested in ways to make state government more effective and efficient. If you have an idea, please send it to us by visiting our transition website at:

http://www.markelltransition.com

Thanks,

Jack Markell

Business man and Obama supporter Irving Magic  Johnson is a winner.  He knows what it takes to succeed in business.  He is advising the incoming administration not to raise taxes in this economy. Some of the nuggets in the video: “Get the economy going then I don’t mind if you raise taxes”. On the bailouts, “get a plan first don’t throw money at it (GM)”. “The 700 billion dollar bailout bothers me because it is business as usual”. “Healthcare and the other initiatives should come after putting people to work”.

How about the Magic man for Treasury Secretary; I hear there is an opening.