Plain talk

The news is never dull when the world has too many leaders that do not embrace facts to address problems. This is not unique to the US, but is indicative when other fact-challenged leaders are called the British Trump, the Philippino Trump, the South American Trump.

A threat to other countries’ national security is being identified in a country on the other side of the world and other hemisphere. The Amazon rain forest produces 30% of the planet’s oxygen, absorbs huge amounts of carbon and creates countless medicines. Yet, it is burning out of control and more is being harvested when it is not. Brazilian President Jair Bolsonaro, like Trump, says climate change is a hoax and is slow to act on the fires and wants to develop more of the rain forest. This is a major concern. The planet needs more trees, not fewer.

The UK is headed for a trainwreck which makes me incredibly sad. They are unfortunately being led by a man who promises to make Great Britain great again. Financial analysts have said from the outset that Brexit will be dilutive to the British economy. Companies are moving and will move EU headquarters and distribution centers to EU cities like Dublin, Frankfurt, Amsterdam, etc. because of Brexit. And, what would be even worse, in spite of assurances to the contrary by PM Boris Johnson, is a no deal Brexit. Picture semi-trucks lined up on both sides of the borders trying to get through. Picture the Scottish and Northern Irish parliaments taking serious votes for referndums to leave the UK and rejoin the EU.

Italy will be having a new vote after the PM resigned over conflicts with his popular populist number two had created a stir. Snap elections are not conducive to stability. Just ask Theresa May, who made a horrible unforced error, losing a lot of support when she overstated her appeal.

Let me close with the most fact-challenged person in a position of lesdership outside of Putin, Erdogan, Kim and other autocrats, the regal-minded Donald Trump. His former ally and short-lived Communications Director Anthony Scaramucci, has started a group to assure Trump is not reelected saying Trump is “off the rails.” Sadly, I agree with The Mooch.

As Trump’s tariff and trade wars push the global and US ecomomy closer to recession right when the ten plus year old growth market is feeling its age, he is blaming everyone else. Yet, what he is up against is financial and non-financial news shows consistently referring to the dampening impact of the Trump tariffs and trade wars as a cause and concern.

These increasing temper tantrums (let’s call them what they are) fail to recognize the role he has played in this with poor decision-making and lying to support such. It was reported by two insiders yesterday that Trump was surprised by China’s response that morning. Really? So, the person in the White House is barking orders and calling the Fed Chair a greater enemy than Xi.

Harry Truman’s words “the buck stops here,” are words that we are unlikely to hear from this president. And, if you ever wonder what a narcissist is worried about, a key trait is to blame others with their own faults.

We should pay attention when people sound alarms at their own peril

It fascinates me when an old post starts getting some attention. Right now, one called “Who is Paul O’Neill and why should his opinions matter?” is getting a few looks (a link is below). In essence, O’Neill was fired as Secretary of the Treasury for voicing an opinion the President did not like.

What did he say, you ask? He said he was concerned about the debt and felt the Bush Tax Cuts were unneeded. This is after Bill Clinton handed a surplus budget to the younger Bush. It should be noted the debt is now 5 times larger.

Recently, the well respected Director of National Intelligence Dan Coats resigned under pressure as he told the inconvenient truth about Russian influence and its continuation. Like O’Neill, this clarion call should be heeded. Like with General James Mattis’ resignation last December, Coats departure is giving GOP Senators pause, yet they refuse to act.

Back in late 2007, a Texas financial analyst noticed that people who could “fog a mirror,” were getting huge mortgage loans on properties that seemed to be over-inflated in value. He did his homework and was able to get a meeting with the CFO of Bear Stearns. He told the CFO he thought Bear Stearns was over-extended with risk and was going to to go under.The CFO thanked him and the guy uttered these parting words – well, I am going to bet against you. Within the year, Bear Stearns was bought for a very discounted price before it went under.

Colin Kaepernick is a good NFL quarterback, but he has been blackballed from the league after calling attention to the unequal rights and treatment of Blacks in America. His civil protest was hyper-politicized by a hyper-political president, so he was blackballed, a term which seems apt. Yet, we have a difference in how Blacks are treated. Even further, our society is more economically unequal than it has ever been, with haves owning much greater shares. A society cannot withstand such differentiation for too long. Kaepernick’s protest should be heeded not condemned. His protest is far more emblematic of American values than a flag or anthem ever could be.

Those who are giving clarion calls should be given due consideration. There are financial analysts who have cautioned against Brexit from the outset. Those concerns have fallen on too many deaf ears. Their corollary message is even more dire – do not leave the EU without a deal. That is beyond poor stewardship. It matters not what the current PM says. Yet, if it does happen, it is only fitting that Mr. Johnson is the one trying to deal with the fallout.

Before I close, let me go back to someone who is similar to the Texas man who tried to forewarn Bear Stearns. The movie “The Big Short” highlighted one person of several who saw the housing recession coming. When his concerns fell on deaf ears, he had them create a product to pay off if he was right.  The industry laughed at him until a couple of years later they realized he was right. His clients made a fortune. The movie ends by telling us what this man is now investing in – water. While it does not get much play here, we have a global water crisis which rivals climate change as a concern. He saw it coming.

https://musingsofanoldfart.wordpress.com/2013/03/20/who-is-paul-oneill-and-why-should-his-opinions-matter/