Tag Archives: economy

Fukushima

Japan Modern Day Atlantis

12 March 2011

“A potentially catastrophic disaster,” said President Obama. Hello, can you say understatement?

Aside from the looming nuclear disaster, it is starting to look to me that there is a major catastrophic geological event taking place under Japan. There are now reports that suggest that the big 8.9 quake set off chain reaction quakes all over Japan’s main state of Honshu. It would explain why some areas experienced shaking for up to 5 minutes. Other reports are adding that there was more than one major tsunami, which would have been caused by multi-quakes around Honshu. Early morning, March 12, NHK reported that some parts of northern Honshu were still being hit by small tsunami every 30 minutes. This means the “event” is continuing. The east coast of Honshu moved at least 8 feet eastward. Also, there was the 6+ quake on the north west coast of Honshu on Friday, and there was a 7.3 quake the day before the bigger 8.9. A Japanese committee said GPS data indicates that the quakes were “synchronized”.

Honshu sits where three major tectonic plates converge: Pacific Plate, Eurasian Plate and Philippine Plate. A major quake with chain reaction quakes on the Pacific side, with a major quake following on the Eurasian side, signifies a major tectonic event. (There are more detailed smaller plate and trench structures that run through Honshu).

Also, in some areas of northern Honshu the flood water has not receded. An “expert” interviewed on NHK stated that it could be because the ground was saturated (don’t quote me, this was through hasty translation). I find it interesting that the ground was saturated that fast from flooding, I’m thinking liquefaction. So water is not only being pushed on land, but it is being pushed up through the land. Another possibility is that the land has actually dropped.

Liquefaction was a factor in the large earthquakes along the New Madrid fault line during the 1800s in the United States.

The Pacific Plate is making a major push eastward. The norther end of Honshu might go the way of Atlantis, being submerged under the ocean. But this brings up the question of what is happening on the eastern side of the Pacific Plate, North America.

The Pacific Plate is being pushed by the North American Plate (I assume that because the North American Plate is moving southwesterly, and is not being subducted, except along the Puerto Rico Trench). Big events should be expected in North America. It is known, by geological evidence, that a major quake/tsunami event is expected anytime for the Pacific Northwest. What is happening to Japan could be a precursor for a major event for North America, just as what happened in New Zealand could be considered a precursor to the Japan event (New Zealand sits on top of the converging Pacific and Australian plates). Don’t forget the super volcano known as Yellowstone, in the Pacific Northwest, is overdue for major eruption.

Be prepared.

Fukushima

Japan Quake = No Economic Recovery

11 March 2011.

Japan’s huge earthquake, Tsunami and huge aftershocks, are not only devastating for the people of Japan, but are devastating to Japan’s economic recovery, as well as the world’s economic recovery.

Infrastructure for densely populated areas of Japan, hit by the flooding, are destroyed. Nuclear power plants are shut down. One nuclear power plant is in emergency mode because its cooling system, and back up systems, have failed. Auto manufacturing plants have been shut down. A major oil refinery is on fire. A lot of the land flooded by the Tsunami is farm land, which means no crops this year, adding to the what the UN is calling a World Food Supply Crisis for 2011.

This on going event of Mother Earth is adding insult to injury for Japan’s struggle for economic recovery. Before the quake hit, Japan’s so called recovery stalled, with its credit rating downgraded because the country is deep in debt. Recently there was hope that investors would start buying up stocks in Japanese companies, because they were considered a bargain, and, it was thought they would pick up in value as the Japanese recovery picked up steam. Now all that is in doubt.

It looks like Japan, helped by Mother Earth, might become the next domino to fall in the world economic crisis.

Business/Economics, Opinion, U.S.

Economy About to Crash? What Happened to Recovery? 10 Reasons

March 10, 2011.

“I think this is the beginning of something severe.” said chief investment strategist at Windham Financial Services, Paul Mendelsohn. He’s referring to the more than 220 point drop in the DOW, which got little to no mention in national TV news coverage on March 10. There’s a lot of legitimate reasons for investors getting out of the market, not just in the U.S., but world wide. Those reasons also prove that there is no economic recovery.

Reason 1: First time jobless claims, in the U.S., for state benefits went up, more than expected (again).

Reason 2: World wide unemployment is high. Most of the violence around the world involves unemployment. The current crisis in North Africa and the Middle East is due, in part, to high unemployment rates. In 2010 Macedonia took the top spot with an official unemployment rate of 33.8%. How can the global economy recover when there are so many people not making any money to buy things with?

Reason 3: U.S. trade deficit increased (again).

Reason 4: China’s trade deficit increased (a surprise).

Reason 5: Credit ratings for Greece and Spain decreased (again).

Reason 6: Oil prices remain high, and still look to go higher (it’s interesting how analysts predicted the increase in price, without even considering, or knowing, that there would be a “revolutionary” crisis affecting many oil producing countries, or did they, mmmm?)

Reason 7: Food prices are increasing, worldwide. The UN (United Nations) says it does not see any improvement in food supply worldwide. I have read that Chinese wheat farmers will have only enough harvest for subsistence in 2011, nothing left over to sell. Across the world the food supply (“supply” is the key word, because some areas have plenty of crops but they aren’t getting to market) situation is getting worse for a number of reasons, from climate change, to the cost of transportation, to lack of credit, to political/social instability. A new problem adding to food supply issues is that migrant workers are not working. This is due to things like anti-migrant attitudes in the U.S., and the increasing violence in North Africa and the Middle East.

Reason 8: Union busting in the United States. Why should this be considered a factor? Because the goal of union busting is to reduce pay and benefits for employees. If workers are going to be making even less than what they are now, then that’s less they’ll spend while shopping. Gee, isn’t the U.S. economy a “consumer” based economy, which would mean the more a worker spends the better it is for the economy?

Reason 9: Stagnant pay for 90% of U.S. workers. Recently the IRS (Internal Revenue Service) reported that their own study, into the wages and salaries of taxpayers, reveled that 90% of taxpayers had no increase in pay in the past 20 years (when adjusted for inflation). The study also showed that the top 5% of taxpayers saw a 33% increase in earnings over the same period (also adjusted for inflation). Basic economics states that for an economy to do well the money in the system needs to go through as many hands as possible. Clearly the money is staying at the top and not trickling down.

Reason 10: This is probably a very important sign that there is no U.S. economic recovery. The world’s largest bond fund, PIMCO’s Total Return Fund, dumped all its U.S. government bonds, then moved into cash/cash equivalent big time. Why is that important? PIMCO used to be the biggest holder of U.S. bonds. That’s because they trusted that the U.S. government could pay its debts. By selling ALL its U.S. bonds PIMCO is indicating that they don’t think the U.S. government can pay back its debts. PIMCO has actually told other investors to get out of U.S. bonds. Not good. The move into cash is a traditional investor’s way of preparing for the worst. How much did PIMCO move into cash? In January PIMCO’s cash holdings were about 5%, now they are at 23%, a big jump. PIMCO is now selling off mortgage backed securities, this indicates that PIMCO is expecting another drop in the housing market.

There are plenty of other reason to list, you can do your own homework. Some of my sources: Voice of America, Reuters, CNN, Russia Today, The Atlantic. Do your own research, I’m not getting paid for this.

Business/Economics, Idaho, U.S.

Pocatello, Idaho, Could be Site of New Super VA Clinic

A little history:  When I was a student/employee at Idaho State University, in Pocatello, Idaho, there was hope that the State of Idaho would use the old hospital to create a much needed medical school.  After all, the local economy was going down, a new owner of the hospital was building a new hospital and vacating the old one, and, the United States is suffering from not enough medical personnel.  But, our wise state leaders basically said no (some of those leaders are currently campaigning for re-election).

On to plan B.  The owners of the Portneuf Medical Center (PMC) announced that they have been working to convince the Federal Department of Veterans Affairs (VA), to turn the soon to be vacant old hospital (West Campus facility) into a Super VA Outpatient Specialty Clinic.

PMC West Campus, Pocatello, Idaho.

The new PMC hospital (East Campus facility) is complete, and they will be moving out of the old West Campus.  The new East Campus should be open by the middle of 2011.

PMC East Campus, Pocatello, Idaho.

Officials from the cities of Pocatello, and Chubbuck, as well as Bannock County officials, are working to help convince the VA to choose Pocatello.  What are the benefits?  Because of the War on Terror there is an increasing need for VA clinics and hospitals.  The old West Campus hospital would be ready made, no need to build a new facility, and, PMC says they will even leave medical equipment behind.  The location would mean that East Idaho, Montana and Wyoming veterans would not have to travel to Salt Lake City, Utah, for treatment.  Idaho State University, located right next to the West Campus, would be involved because they are already getting Department of Defense grants for several veterans programs.

A recent meeting with officials in Washington D.C. revealed that funding has become an issue, even with the fact that the VA wouldn’t have to build anything.  I think the residents of Idaho need to get behind this plan, especially since the Idaho National Guard (including members from Montana and Oregon) is currently serving another War on Terror tour of duty.

Business/Economics, Idaho

Hoku Turning to China to Help Finish Pocatello Plant

13 October 2010

Hoku Corporation has taken on several millions of dollars in loans, from Chinese banks, in order to finish construction of their Pocatello, Idaho, polysilicon plant.   That’s according to information on Hoku’s website.

Also, Hoku has amended its construction contract with JH Kelly.  A result of delays due to Hoku having difficulty with funding the construction.

Hoku Corp. produces fuel cell membranes, photovoltaic systems, and hopes to produce polysilicon for solar panels at the new Pocatello facility.

Hoku has made several supply agreements with companies based in Asia, but, those agreements hinge on the completion of the Pocatello plant, and, successful demonstration of polysilicon production.  Those agreements have resulted in hundreds of millions of dollars of pre-payments by the Asian companies.

Hoku is hoping to get production started by the end of the year.

Business/Economics, Idaho

Pocatello Big Lots! In time for Halloween.

Despite store closings in Pocatello, Idaho, a new store is opening just in time for Halloween.

Big Lots! Pocatello, Idaho.

Big Lots! is located where the Rite Aid used to be, on 1000 Pocatello Creek Road, in the Foothill Plaza Shopping Center, right next to the WINCO grocery store.

Pocatello, Idaho.

Big Lots! is one of the country’s largest closeout stores.  Because of the nature of their business their inventory changes a lot, but bargain hunters love it.  Big Lots! is set to open October 28th.

Business/Economics, International, Opinion, U.S.

China No Longer Needs Us. November Elections. The Economy is Everything.

Beware of political promises, especially when it comes to the economy.  History shows politicians have a bad track record when it comes to ‘saving’ the economy.  Sometimes they get it right in the short term, but when it comes to long term planning, forget it.  Long term should be considered 20 years plus, not ten years, or more commonly, 5 years or less.

Big news in economics involving the world and the United States.  Last week a U.S. economics professor was quoted, in the European media, as saying the world was “…partially decoupling,” from the U.S. economy (www.bloomberg.com).  What he meant, and what I’ve be warning about in discussions with acquaintances and relatives, is that the “developing economies” (which should no longer be called “developing”) have now reached a point where they do not need the United States to be economically viable.  Those countries include India, Brazil and China.

How many times has you’ve heard how the Chinese need the U.S. economy in order to continue growing?  Remember how much the U.S. is in debt to the Chinese?  Now, realize they no longer need us economically.  Uh oh.

In other economic news, the IMF (International Monetary Fund) has revised, downward, it’s expectations for U.S. economic growth in 2011 (www.imf.org).  Some reasons are the amount of debt owed by the government, and, that economic data coming from the U.S. is never as good as predicted, and in some cases it’s worse.

Here’s an example: Today it was revealed, in a CNNMoney.com article, that according to the U.S. Department of Labor, for the second year in a row, the overall unemployment numbers need to be increased.  They are saying that, so far this year, 366,000 job losses have not been counted.  It was revealed, earlier this year, that 902,000 lost jobs had not been counted for 2009.  Also, the uncounted job losses for 2010 will not be officially added to the 2010 unemployment numbers until February 2011 (you have to keep that in mind every time you hear the “official” numbers reported this year).  One analyst says it is common in a bad economy to underestimate job losses.  Another analyst says the current employment models (formulas for predicting trends, or figuring out what happened) are not working.  Oh really?

We, the people of the United States, are in a predicament that was created by the short term policies of our corporate and political leaders.  Some countries called “developing economies” (formerly known as third world) have not only caught up with us, they are leaving us in their dust.  When you vote this November do your homework.  Investigate the candidates and the issues.  We need not only a high quantity of voting, but a high quality of voting.

Business/Economics, Opinion

Once Again Experts Get It Wrong

Who are these “experts” who keep getting monthly job numbers wrong? Once again the “experts” have been surprised by job creation data that didn’t go the way they thought it would. According to reports our “experts” expected to see a net increase in September’s job numbers. Somewhere around 24,000 jobs created. But oh no, the actual numbers came in negative; 39,000 jobs lost.

This trend has been going on for a couple of years now. Officially things are supposed to be getting better, but when the actual data comes in it’s obvious things are getting worse. On top of that, when you look at the quietly issued “revised” data, it’s even worse. And our main stream U.S. media keeps towing the official line.

As a result of today’s jobs numbers, the big money players are hoping the Federal Reserve will ease up even more on monetary policy. Basically the big money players want the Federal Reserve to lend them money for free, while we continue paying outrageous interest rates to the big money players.

The International Monetary Fund even downgraded the anticipated growth of the U.S. economy. Why? Domestic consumer spending is going to continue to drop. Why? Significant domestic job creation is not happening. The IMF pointed out that there was a continuous difference in projected economic activity and actual economic activity. In other words, our “experts” keep getting it wrong.

Also, for the first time I’ve ever heard, Canada’s economy is now better off than ours. The IMF’s exact phrase is “relatively buoyant”, compared to the U.S.

Well, what-a-know. Canada!

Idaho, Opinion

Red Cross Hummers. Why?

Brand new Red Cross Hummer seen in the Fred Meyer parking lot in Pocatello, Idaho.

General Motors has been donating Hummers to the American Red Cross since 2004, along with a lot of cash ($100,000 in 2004). GM claims the vehicles help with disaster response. I can see the Hummer H1 as practical for this, but the H2 & H3 are among the most impractical  SUVs out there.

Why not deck out one of GMs big four door 4×4 pickups with all kinds of rescue gear, that would be more practical. Are the H2s & H3s meant for rescuing the upper class in style?

This is just another example of the lack of wisdom in our corporate leadership. Oh, but wait, I bet GM got a huge tax write off for doing this. A tax write off for an expensive vehicle that was seeing declining domestic sales (a little more than 9,000 in 2009 compared to almost 56,000 in 2007). Oh, isn’t General Motors the company that got bailed out by U.S. taxpayers (yes, they did pay it back, at least on paper).

Here’s better news; the Hummers aren’t even made anymore. The Chinese government rejected plans to buy Hummer, and GM officially ceased production this year (apparently the last Hummer H3 left the production plant in May 2010).

So the question now is; is GM going to continue to donate vehicles to the American Red Cross, or was it just a way to write off their unsold Hummers? If they do give the ARC more vehicles I hope they choose a more practical truck.

Idaho, Technology

Plastic Grocery Bags, Recycle Them!

Ok, I was watching a local East Idaho TV news program. They ran a national story about getting sick from reusable grocery bags. What got me was in their intro to the story they said that plastic grocery bags just ended up in the landfill. Well not if you recycle them!

When plastic grocery bags first went into use one of the main selling points is that they are recyclable, and therefore will not fill up landfills. The reason they end up in your local dump is because shoppers are not bringing them back to the stores to be recycled.

The Walmart in Chubbuck has bins for dropping off your old plastic grocery bags. So does the Fred Meyer in Pocatello. I believe you can recycle them at your local WINCO. If you’re not sure go ask someone at the Customer Service counter at your favorite store. Just make sure your bags aren’t covered in schmutz.

Why spend money on reusable grocery bags, that they now say may be germ factories, when you can use free plastic grocery bags THAT ARE 100% RECYCLABLE? Please don’t throw them in the trash!

And guess what, it’s not just plastic grocery bags you can recycle. Bread bags, cereal box liner bags & more. Here’s a website for more info on plastic bag recycling: www.plasticbagrecycling.org