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Obama Asks NY Governor Paterson To Withdraw From Reelection Race, Paterson Refuses, Cuomo To Be "Promoted" Shortly

Tyler Durden's picture




Is a political scandal brewing in New York? A year and a half after taking over for a disgraced Spitzer, Paterson is now at war with everyone, but most notable the New York State Budget, and now, the President.

Reports the New York Times:

President Obama has sent a request to Gov. David A. Paterson
that he withdraw from the New York governor’s race, fearing that Mr.
Paterson cannot recover from his dismal political standing, according
to two senior administration officials and a New York Democratic
operative with direct knowledge of the situation.

The decision to ask Mr. Paterson to step aside was proposed by
political advisers to Mr. Obama, but approved by the president himself,
one of the administration officials said.

“Is there concern about
the situation in New York? Absolutely,” the second administration
official said Saturday evening. “Has that concern been conveyed to the
governor? Yes.”

The president’s request was conveyed to the Mr. Paterson by Representative Gregory W. Meeks, a Queens Democrat, who has developed a strong relationship with the Obama administration, they said.

Yet Paterson seems unwilling to pull a Perella-Weinberg just yet:

“The message the White House wanted to send — that it wants Paterson to
step aside — was delivered,” said the Democratic operative,, who spoke
on condition of anonymity because the discussions were intended to be
confidential. “He is resistant.”

What is the reason for this escalation? Simple - Bank Of America, and SEC-gate. Throw in some potential race issues, and you have one clusterfuck of a situation about to develop:

Now, Mr. Cuomo effectively has the blessing of the nation’s first black
president to run against New York’s first black governor. That will
probably neutralize any criticism he may face among the governor’s
prominent black allies, including Representative Charles B. Rangel of Harlem, who warned this year that the party would become racially polarized if Mr. Cuomo took on Mr. Paterson.

With Andrew Cuomo now elbow deep in the Merrill bonus investigation, and likely about to file criminal charges against Ken Lewis any minute, what better way to shut him up than to promote him immediately to the post he will obtain sooner or later anyway. If in the meantime, the Faustian bargain between Lewis and Paulson/Bernanke can be retained without Lewis actually going to jail for folding like a lawn chair to threats about his job security by the Chairman, so much the better. As for the simple matter of how and why the President can so blatantly interfere in State affairs, and specifically nudging the direction of popular elections, which ultimately are the domain purely of US citizens, it is likely that nobody will care.




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Sun, 09/20/2009 - 00:05 | Link to Comment putbuyer
putbuyer's picture

Giuliani will smoke Cuomo

I suppose Cuomo is the lefts best shot

Sun, 09/20/2009 - 07:32 | Link to Comment . . .
. . .'s picture

It is hard to see Cuomo wanting the NY governor's job under current economic conditions.  Might as well wait to run.

In current economic conditions, there is zero upside for an AG taking the job as governor of a state that is an economic trainwreck, like CA or NY.  The governor of such a state has to cut spending, raise taxes, and fudge numbers, which will hurt your popularity.  Conversely, in current economic conditions, there is tremendous upside to being the AG of a big state like CA or NY.  The AG of such a state has massive opportunities to increase their nationwide popularity by suing bankers, funds, etc.    Might as well wait until the public begins to accept the seriousness of their predicament, and is willing to make some real compromises on spending cuts and tax hikes.  And political competitors have weakened themselves failing to fix things before the public was ready.

Sun, 09/20/2009 - 10:50 | Link to Comment jedwards
jedwards's picture

100% great points.  I think you are right on the ball.  Cuomo can wait until 4 years from now to run.  He doesn't have to be the bad guy increasing taxes, leave that for the old governor.  Meanwhile he can be the hero that fought against the corruption on Wall Street.  If he leaves now, he has no real legacy.  At least he can establish something before going for the governorship.

Sun, 09/20/2009 - 13:28 | Link to Comment gmrpeabody
gmrpeabody's picture

+1

Sun, 09/20/2009 - 11:48 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:29 | Link to Comment gmrpeabody
gmrpeabody's picture

Because he is running out of time.

Sun, 09/20/2009 - 00:07 | Link to Comment Anonymous
Sun, 09/20/2009 - 01:33 | Link to Comment agrotera
agrotera's picture

good one Anony!

Sun, 09/20/2009 - 05:53 | Link to Comment phaesed
phaesed's picture

Oh Jesus Fucking Christ, are people still actually thinking that's a fucking topic worth mentioning?

 

- I.E. DO YOU REALLY THINK ANYTHING WOULD BE MATERIALLY DIFFERENT IF McCAIN WON?

Let's consider:

McCain would have:

  • Sided with big business, lowering consumer protection available (increase corporate protection against litigation) along with the destruction of current worker rights (i.e. pay for your own health care, pay for your own (or childs) education, no unemployment insurance despite paying for it for 10 years, privitization of social security moving future investment into woefully inadequate and unintelligent investment management services)
  • Increased investment in antiquated technologies (i.e. Big Oil), reducing investment in longer term projects and created product inflation in oil derived consumption products (plastic, travel, production costs, relative inflation effects)
  • Sided with large insurance companies continuing the trend of increased medical expenses and decreased availability of those services for those unable to provide the cost at the time of treatment, this will serve to allow existing medical issues to exacerbate at the same time the costs for those advanced services rise unabated.
  • Given greater power to the banking authorities (after all, the other 4 Keatings would be upset if he didn't) to decrease reserve ratios and remove regulation (even though that didn't work before)
  • A reduction of international credibility created by a flagrant disregard of the prior pitiful level of regard afforded to us by international community due to an inflated sense of self worth. (America's #1 even if we did fuck up and bring the world economic system to a half)
  • Continue to promote attention to social and religious differences with Islam and international society as a whole.
  • Inevitable military conflict with Iran due to increased hostility with foreign nations due to the bequest of the banks and personal preferences for conflict resolution through greater display of force (i.e. send us to war kiddies)

Obama

  • - Will decrease medical costs and reduce corporate profit margins, however this will come at an increase in tax revenue for higher income earners, who currently pay REDUCED MEDICAL COSTS due to the MEDICAL INSURANCE WHICH COMES STANDARD AT HIGHER PAY LEVELS, unfortunately this will also serve to decrease their net income, WHICH IS AT A GREATER LEVEL DUE TO REDUCED BORROWING EXPENSES AFFORDED BY NET WORTH VALUE calculations used to determine the rate at which said individual can borrow.
  • - Increase spending for infrastructure projects which may or may not stimulate demand and/or employment, but will most definitely increase the rate of taxation, a reduction in future earnings by an inverse ratio to income level, however this is mitigated by reduced borrowing costs and a lower ratio of required expenses to gross income. This does nothing but reduce consumption of the higher income classes, reducing expense ratios for the lower income classes and hopefully stimulating demand in intermediary income classes.
  • - Decrease future earning potential by the issuance of new debt and tax rate increases, however this effect is offset in an increase in intermediate future earnings potential by encouraging education, removing legal restrictions from innovation in various aspects, most explicitly medical (Stem Cells.... wonder how much more medicine costs are because of the advances that will inevitably be obtained were postponed due to ignorance)
  • - Continue armed conflict engagement in Iraq and increase involvement in Afghanistan, as well as an inevitable military conflict with Iran due to the bequest of the banks and personal preference to create employment opportunities for the structurally unemployed.

 

Dude,

   As far as I can see, we're fucked either way. So don't come around throwing idiotic fucking arguments based on the lowest common denominator. We're not in pre-school, we're in the fucking real world now. This nation has grown to maturity and the idea that immature arguments are logical bases of retreat in an inability to advance an argument is exactly the same type of fucking reasoning that promotes lobbying and the status quo.

 

Grow the fuck up.

 

Peace.

 

And let's fucking consider how far HR1207 would have gotten if Keatin.... errr, McCain had been in charge.

Sun, 09/20/2009 - 05:51 | Link to Comment Anonymous
Sun, 09/20/2009 - 08:23 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:46 | Link to Comment phaesed
phaesed's picture

Overwhelming evidence of my nativity? Interesting.

Sun, 09/20/2009 - 20:37 | Link to Comment Anonymous
Sun, 09/20/2009 - 09:17 | Link to Comment spanish inquisition
spanish inquisition's picture

I agree as long as the masses stick with the donkephant argument we are pretty screwed. It's all about fine tuning the Keynesian framework, for a more uber system. Sooo..guess who wrote the following for the forward of their German edition.....(my  bold)

http://mises.org/story/3693

The theory of aggregate production, which is the point of the following book, nevertheless can be much easier adapted to the conditions of a totalitarian state than the theory of production and distribution of a given production put forth under conditions of free competition and a large degree of laissez-faire. This is one of the reasons that justifies the fact that I call my theory a general theory.[i]

Sun, 09/20/2009 - 10:25 | Link to Comment phaesed
phaesed's picture

See I have to argue against a fine tuning of Keynesian economics methods and not in some inane rant about the inability to model temporal consumption and production preferences. For perspective I must disclose I'm currently writing my initial drafts of what will eventually become my dissertation about the ability of Keynesian theory to properly adjust economic fluctuations. This inability to properly compensate for economic factors stems from multiple sources, but I'll strike at the very core of it for the moment, but additional evidence and analysis will be presented shortly.

At it's very essence, the rate of interest is considered to be the cost of capital over a specific duration. I.e. I pay you $3 a year for 5 years, totalling $115. This cost is considered by two complementary forces, the buyer (a.k.a. demand) and the seller (a.k.a. supply). However, the seller provides a product at intermediary stages whether the good provided is viewed in terms of its successive and final production stage (i.e. a butcher who sells only smaller portions of meat is at a higher stage than a seller who provides bulk quantities) or in the relative consumption stage (a car is a good of higher order, or rather more stages are required in its production, than a television) mandated by specific price level compared to income available for consumption (aka expense ratio).

At it's very heart, Keynesian Economics, in treating increased employment as the desired ultimate effect of price increases, while it is simply a beneficial side effect, much like how viagra helps alleviate air sickness even if you have to have an underutilized erection for a specified duration. Keynes assumes that all price adjustments are distributed in proper ratios along the intermporal structure of prices due to "perfect"  knowledge by the appropriate participants in that time segment allocated to certain industries and that complementary industries will help to decrease time required for equilibrium. Therefore any misallocation of capital is ignored as their capital is absorbed by more informed market participants. This again assumes perfect knowledge of special individuals and imperfect knowledge of inexperienced individuals. This rate of price adjustment is then expected to be in proportion to the decrease in duration required for a return of invested capital (i.e. modified duration). Unfortunately the the change in price is imperfect in the majority of cases and consumption preferences of consumers are ultimately based upon the rate of change of prices (aka price inflation, I will describe this simply as stage specific inflation).

Since Keynesian economics denounces any business cycle due to various cycle durations being stage specific and a general assumption that individual fluctuations affect the price level in a bell-shaped curve (i.e. a central tendency of price stabilization between the stage specific goods allowing for a single measurement of this effect.... aka "Official" CPI).

However, this idea that there exists no business cycle is not consistent with economic theory prior to the "golden age of Keynesianism" and in fact, was disputed by the father of montery economics, Irving Fisher (who's pitiful fall from grace following the 1932 period sidelined any theory he created as unpopular.... nobody listens to a failure... even if he's right). In fact, the key to Keynesian economic theory lies in it's assertation that production fluctuations are unnatural and therefore it is proper to eliminate them to achieve a natural balance of unemployment. Intertemporal price adjustments do not exceed the length of time required by stabilization. However, given the length of our examination and forced acceptance of Keynesian economics, we have found this argument to be false. But considering how lazy the academic public is to accept new thought (despite how proudly they will promote any beneficial affect), old solutions are given a quick adjustment and then integrated without thought of the underlying structure and whether the assumptions in the original band-aid can be adjusted to promote perfect healing.

A better way to demonstrate this is a drug company that has been around for 20 years and find that the patent which has garnered them so much profit is about to expire. Said company examines its prospects for future innovation and determines the cost of future innovation is high in the present term and the income produced would be sufficiently in further in the future than income preferences. This company then decides to postpone future development by reducing resources allocated to generating future income and instead produces minor variations in its existing product, repatents said product and then quickly promotes this product as providing future value greatly in excess of its prior benefits. Attention is paid to future potential to enhance desirability and to quickly remove the focus on the real ratio of benefit experienced from this new product. Additionally, the status quo of the company is assured and the increased profits from the decreased production costs are diverted disproportionately among labor. Management is given greater credit for lowered cost and increased profit, increasingly smaller portions are allocated along the appropriate production components (i.e. the ceo gets a larger bonus at t=0 to minimize attention paid to the disproportionate salary increase and the scientist gets a greater salary increase than the factory laborer. This intertemporal misallocation of capital to the middlemen (i.e. the CEO does not innovate but rather guides the direction of innovation) of the intermediate and mature business stages rather than the actual late stage product producer (general laborer) and the early stage product developer (research scientist).

Switch back to economic theory. Due to this repackaging of an old product with minimal increased benefit, or in the case of money, with parity in nominal values at the expense of real value. They give you free money, but it's just worth less. However since you were desperate for capital at the stage which produced this "band-aid" repackaging, the nominal value acts in tandem with real value for a certain duration. Unfortunately, desired optimal sale prices remain upward sticky for retailers, desperate to increase profit irregardless of an increased benefit afforded by this product. This effect is exacerbated by the downward stickiness of wage prices at lower orders of service provided, i.e. due to the increased availability of labor at the lowered common denominator (current income is accepted at a lower rate than normally demanded due to extended periods of zero income) and the preservation of profit instincts by the retailer. As the number of band-aids provided eventually increases, the benefit of this treatment is reduced, and the harmful aspects increase in severity and regularity. At this point, the old methodology for treatment is no longer accepted or beneficial, structual effects of the problem require increased treatment or radical, untested procedures. If this procedure is just a modification of a prior procedure, the patient will be familiar with the benefit provided and it might not take.

In otherwords.... The Jig is up, the public understands inflation (or thinks they do) and price shocks will be consistent with an increased realization of the effects... i.e. full effect of treatment is assumed at t=0 and benefits over time have been discounted to negligible consequence. At this point, the rate of inflation has sped up through greater a priori knowledge and the current price level discounts future appreciation.... at this rate, inflation is unsustainable and begins to erode structural capacities.

At it's very core, Keynesian economics is a flawed system by denying imperfect knowledge of market participants and irrationally maintaining the assumption that all price adjustments return to parity in their temporal context, despite evidence to the contrary. Additionally, it discourages innovation by exacerbating the amount of profits available from increased and/or modified current production rather than a search for more efficient production processes or product development because its only the NEAR term capital structure which experiences observed price appreciation from the lower the rate of interest, the price appreciation of long-term assets is disguised as a stabilization in prices.

Additionally, I think it should be obvious that any capitalist economic system based upon a LABOR based economic system. should be doomed to fail. However, I do not fall completely within the Austrian camp of this debate, my research is focused on the foundations of monetarist economics (which are essentially identical despite the assertations of either side) and how this structure can be moved to an austrian theoretical framework. Of course, now that I said this, others will contemplate this transfer.... GOOD! We need an economic revolution now! I can't do it alone, but we can do it if we all put our minds to it. The flawed methodology of our system must be exposed and those who abuse the system at our expense for their profit must be removed forcibly! Their lies must be exposed, but only if you can remove the false assumptions from their web of lies and obfuscation of tangible deficiencies!

Sun, 09/20/2009 - 10:38 | Link to Comment SWRichmond
SWRichmond's picture

Any economic system that tampers with or outright ignores price signals is doomed to catastrophic failure.  See Mises' 1920 essay "Economic Calculation in the Socialist Commonwealth".

http://mises.org/econcalc.asp

Sun, 09/20/2009 - 12:44 | Link to Comment phaesed
phaesed's picture

I absolutely agree. It is a system based on Fisher's earlier economic principles and beliefs which align closely to Menger and Bohm-Bawerk is a definite necessity to integrate into Economic theory rather than his later work, which served to apply patches to holes in his existing structure. This application of band-aids were exacerbated by his intellectually capable, but empathetically less sensitive, materialistically inclined students. Additionally I do not believe he was completely aware of a larger force pushing and pulling at economic forces in a manner to cause economic disturbances for the sole purpose of creating armed conflict, which is a definite personal belief.

On the other hand, Mises and Rothbard unfortunately continued moved away from attempts to demonstrate and quantify effects so that an actionable solution might be obtained, so much so that it created an outright condemnation of mathematical principles.... forever leaving the intellectually capable, but spiritually and socially bankrupt, to create and run our system. The success of the former lies in their ability to understand, their failure exacerbated the success of their counterpart simply due to their inability to convey their principles in a manner so that they might utilized by the general business community who don't desire to understand why or how, just know consumption and wealth. Their goals are personal goals, to be achieved at the expense of all others, exemplified in Objectivism and Geckoism... Greed is good. The intellectual pursues social goals at the expense of self, as long as consumption and security is moderately provided for, they are happy at their current incomes, their greed is unusually integrated with the level of regard placed upon the importance of their words and desire to promote their mode of thought. A businessman's greed is primarily integrated with his social standing with his peers, measured by his wealth. Both at their heart are fickle and their desires ultimately outweigh their convictions.

Note, in no place is the common laborers desires considered in any manner greater than simple employment to provide the minimum compensation for survival, for he is common and plentiful and his demand for work is always greater than the businessman's desire for increased profits... if the businessman can effect increased profit through either reduction of wages or the increase of prices, he will do so, blind to the larger aggrevations. Some unscrupolous entities will attempt to further this situation by affecting legal manipulations, quite often in the name of "the common man". But his ultimate concern is the increased and ever more rapid capitilization of future P&L. The academic will however claim the opposite, yet his greed motivates him in the similar counterproductive manner to society that the businessman's does, it is just the manner of affectation that has changed. Above all else, the academic wishes to be right. It is the veracity and authenticity of his proclamations that the public uses to guage the importance of his word. At times of great success the academic will proudly proclaim their methodology (a.k.a. Big Government, that's who. as swollen-chestedly proclaimed by Krugman).... but too often the academic will be wrong, however an irrational unwillingness to refute any factors creating cognitive dissonace will "harden" their assumptions and lead them to promote ideas that are obviously false upon any serious examination of the facts at hand. This is why both the forces of Big Government, Big Business, and Big Banking are all acting in concert during this general rise in prices. Unfortunately their actions are translating to a greater rate of price appreciation than they will be able to control and eventually the steering wheel will unhinge and the weight of truth will shatter the false expectations of the public, the dissonance created by this reversal of fortune will disseminate slowly at first, too much has been placed at stake for them to be wrong.... but it will accelerate in time. Question is, is that time now?

But most importantly....

- What can you do to help prevent this from occuring in the future?

Let's all be thankful ZH provides a forum for the disenfranchised and the unbeguiled to discuss their beliefs.

Sun, 09/20/2009 - 12:54 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:26 | Link to Comment Project Mayhem
Project Mayhem's picture

@phaesed

 

Keynes was a pedophile and a child molester , not to mention a Fabian Socialist and intellectual lightweight (ie. Have the government bury fiat banknotes and have people dig them up?  Seriously?).

 

If Keynes is one of your intellectual heroes, I truely feel sorry for you.

"

Keynes and his fellow voluptuaries made numerous excursions to the resorts ringing the Mediterranean, where little boys were sold by their parents to bordellos catering to homosexual appetites.(14)

"

"Keynes always ready to guide others freely advised his fellow debauchees to go to Tunis, “where ‘bed and boy’ were also not expensive.”(17)"

 

Keynes at Harvard: Economic Deception as Political Credo

http://keynesatharvard.org/book/KeynesatHarvard-ch09.html

 

Nothing to Hide - Nothing to Fear - So Why Not Stand as the Fabian Party and Drop the "Working Man" Bullshit

http://centurean2.wordpress.com/2009/08/04/nothing-to-hide-nothing-to-fear-so-why-not-stand-as-the-fabian-party-drop-the-working-man-bullshit/

 

Sun, 09/20/2009 - 21:41 | Link to Comment phaesed
phaesed's picture

LOL!

Mayhem, you misunderstood what I wrote.

Keynes was a worthless fraud.

Keynes provided nothing except to tell everyone to break the one rule Irving Fisher declared must not be broken when designed central banking mechanics. Keynes contributed NOTHING to economics as a theory, he merely gave a bunch of mathematical fluff that reiterate the methodology of John Law... why he did this? The fame perhaps? Maybe the banks were blackmailing him? I'm not certain and frankly, I don't care... that he actually has an economic theory named after him when he contributed nothing is the biggest farce of our so called "academic" economic community. The monetarists and the keynesians are nothing but shallow puppets of the Fed. Austrian economic theory provides the only proper analytical framework, however the vast majority of students and practitioners are not mathematically inclined... effectively hamstringing austrian theories' ability to be utilized in a macroeconomic framework. Currently the only austrian I know of who has even made the attempt is Roger Garrison (Time and Money: The Macroeconomics of Capital Structure) and the attempt bridges nearly 70 years of Austrian theory in a modern context. Hayek's Pure Theory does provide the framework... it's merely waiting for our generation to provide the correct integration with existing frameworks.

In short, Keynes essentially won a nobel prize based on someone elses work, thanks to the Big Banks.

Sun, 09/20/2009 - 13:04 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:43 | Link to Comment phaesed
phaesed's picture

Hey Anon, in fact Keynesian economics can, and has, worked with commodity backed specie. It did so until the failure of the Bretton Woods system. However, modeling of an asset backed currency has largely been ignored due to the inability of the proponents of said system to devise a working model in the language compatible with both theory and application.. i.e. numbers and words, not just words alone. And I do agree, our market does not reflect freedom in it's current state.

Sun, 09/20/2009 - 20:30 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:56 | Link to Comment phaesed
phaesed's picture

*sigh* 5% interest on 100 par over 3 years. I borrow 100 dollars, pay 15 dollars in interest... add those up?

And sorry, just been piecing together information and various analytical frameworks while performing a umpteenth review of my references, this has been running through my head for awhile.... And considering how the long gold/short dollar trade is about to get a huge smackdown at the same time as other various other cycles converge, there's a high probability we'll see a decent sell off. Anyways, enough said.

 

Sun, 09/20/2009 - 21:01 | Link to Comment Project Mayhem
Project Mayhem's picture

wow lay off the amphetamines man

Sun, 09/20/2009 - 09:18 | Link to Comment aurum
aurum's picture

the real problem is the fact that ignorant blind manipulated american citizens continue to vote in a manner that allows individuals such as obama or mccain or 95% of politicians for that matter to continously pillage our nation. until we collectively take action your words and mine mean absolutely nothing.

hyperinflation will be one of the few situations that will wake the sheeple and perhaps a revolution will ensue.....got guns?

 

Sun, 09/20/2009 - 10:45 | Link to Comment JohnKing
JohnKing's picture

By the time it reaches that point the dept. of media and propoganda will have fully indoctrinated the populace into thinking all the problems with the system are racial, so the guns won't be pointed at the evil-doers, they'll be pointing at you and your neighbors.

Sun, 09/20/2009 - 10:52 | Link to Comment garyfla1
garyfla1's picture

What a brilliant display of intelligence and command of the english language - a few more f... words would really put it over the top. A product of our public education system no doubt.

Sun, 09/20/2009 - 11:57 | Link to Comment chumbawamba
chumbawamba's picture

Oh, shut up, you sweaty vagina.

I am Chumbawamba.

Sun, 09/20/2009 - 12:47 | Link to Comment phaesed
phaesed's picture

yep, public education all the way, even more impressive is how it occured in the poorest neighborhoods of whatever town my single, teenage, unwed, high school dropout, minority mother moved to in an effort to survive! Thank god she married drug dealers so they could pay for her education and ultimately assisted mine!

I would hate to think what might have happened if she tried to take the honest route!

Sun, 09/20/2009 - 11:06 | Link to Comment Anonymous
Sun, 09/20/2009 - 15:55 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:33 | Link to Comment Project Mayhem
Project Mayhem's picture

+1

Tue, 09/22/2009 - 02:24 | Link to Comment MsCreant
MsCreant's picture

Get an Name and Avatar. We want to talk to you. We are all one. That is the real shame, we don't FUCKING know it.

Sun, 09/20/2009 - 09:42 | Link to Comment ToNYC
ToNYC's picture

Barack Obama was born on August 4, 1961, in Honolulu, Hawaii.

The state was admitted to the Union on August 21, 1959.

Being born in Alaska or Hawaii after August 20, 1959 establishes that one is a native born US Citizen. What am I missing with these birthers? Intelligent design is a way more an open question: I am thinking Ironic design.

Sun, 09/20/2009 - 11:28 | Link to Comment Anonymous
Mon, 09/21/2009 - 12:30 | Link to Comment Anonymous
Sun, 09/20/2009 - 11:33 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:46 | Link to Comment Anonymous
Sun, 09/20/2009 - 19:30 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:39 | Link to Comment Project Mayhem
Project Mayhem's picture

Sun, 09/20/2009 - 00:09 | Link to Comment Hephasteus
Sun, 09/20/2009 - 00:10 | Link to Comment SWRichmond
SWRichmond's picture

Will Cuomo sell out for a seat at the table?  That is, after all, the purpose of a "career" in banking, politics or the media.

Sun, 09/20/2009 - 00:41 | Link to Comment Howard_Beale
Howard_Beale's picture

My stomach is very upset about all of this. I want Cuomo to stay the course on BAC and that idiot Lewis. I don't believe he is a fallguy. I think Kennie boy's ego was TBTF and he needs to get served. I mean, what a douche Lewis was/is. "Lewis always wanted Merrill", quoted by more than a few in the know -- to complete his idiotic purchase round of Countrywide and Wachovia. He is the epitome of "shit floats to the top" and I want him reamed, hopefully by a guy named Bubba in cellblock 3. $29 a share and billions in bonuses, courtesy of you and me. What a moronic asshole.

OK...Gnight all. I'm mad as hell as usual and on a rant. Going to go and snuggle with my honey. At least there's comfort in a warm body that loves me no matter how crazy pissed I get.

 

Sun, 09/20/2009 - 00:53 | Link to Comment putbuyer
putbuyer's picture

Chocolate if you stay up longer. Let not your heart
be troubled. Ben and Timmy want to fry it for sandwiches
after playing the back nine. Love ya brother

 

http://www.delafee.com/images/delafee/chocolate_gold_eat.jpg

Sun, 09/20/2009 - 02:26 | Link to Comment agrotera
agrotera's picture

Ken Lewis ultimately acted like an idiot, but he had one of the several  paulson/bernake bazookas at his brains every step of the way, so it isn't so simple--but he can't be culpable without paulson and bernake going down for instigating the dirty deal--BAC valued the deal at half what was paid and that alone makes the deal as rotten as it can be.

Tyler you say no one will care...and i know you're kidding because you are doing a fine job of getting the news out!!!

Sun, 09/20/2009 - 07:51 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:45 | Link to Comment Howard_Beale
Howard_Beale's picture

Because he is a mental midget, that's why. He bought Countrywide at the TOP. He bought the seething with toxicity Wachovia, and MER--$29 a share---you think Hank couldn't have gotten the deal done at $13--the market price? Thaine saw what was going on and he had hours, not days to do a deal. That's why Lewis is a jackass. I am also all for gunning down Hank and BB--I just think the way to them is through Lewis.

Sun, 09/20/2009 - 00:11 | Link to Comment rayen36
rayen36's picture

Fucking assholes...

Sun, 09/20/2009 - 00:14 | Link to Comment Cursive
Cursive's picture

Would be awesome if the Daily News ran the headline:

 

Patterson to Obama:  Drop Dead Bitch

Sun, 09/20/2009 - 03:36 | Link to Comment MsCreant
MsCreant's picture

Honesty in government. New campaign slogan. I think this can work.

Sun, 09/20/2009 - 08:10 | Link to Comment Anonymous
Sun, 09/20/2009 - 12:05 | Link to Comment Anonymous
Sun, 09/20/2009 - 00:16 | Link to Comment Anonymous
Sun, 09/20/2009 - 00:19 | Link to Comment Lothar the Rott...
Lothar the Rottweiler's picture

What country am I in again?  Someone please tell me?

Best laugh:  the talks were intended to be confidential.  Harhar.  That's how they ended up in the NYT, innit?

Thug criminals rank and file, the lot of them.

Sun, 09/20/2009 - 03:34 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:12 | Link to Comment loki
loki's picture

+1

Sun, 09/20/2009 - 00:19 | Link to Comment Anonymous
Sun, 09/20/2009 - 00:26 | Link to Comment Anonymous
Sun, 09/20/2009 - 01:16 | Link to Comment SilverIsKing
SilverIsKing's picture

Are you really that stupid Anon #74717?  Really...I am asking in all seriousness.

My guess is you are just a comedian working your trade.

Sun, 09/20/2009 - 10:27 | Link to Comment Sqworl
Sqworl's picture

LOL..forgive him, he has the IQ of room temp!

Sun, 09/20/2009 - 23:38 | Link to Comment Anonymous
Sun, 09/20/2009 - 01:39 | Link to Comment taraxias
taraxias's picture

Two solutions:

1. Uncle Ben can print the $900 million they need in a nanosecond, or

2. The IMF can sell more gold

 

Sun, 09/20/2009 - 08:32 | Link to Comment Anonymous
Sun, 09/20/2009 - 00:30 | Link to Comment Pizza Delivery Man
Pizza Delivery Man's picture

First of all. Patterson is an asshole. The only thing worse than an asshole, is a blind asshole. Seeing as he is i. blind, and ii. an asshole, it's looking bad. He shits all over everything because he can't see the pot he has to crap in.

Second of all. There is no second of all.

Sun, 09/20/2009 - 00:39 | Link to Comment putbuyer
putbuyer's picture

Love the extra cheese. Well said!

Sun, 09/20/2009 - 10:30 | Link to Comment Sqworl
Sqworl's picture

Lets not forget the mess Cuomo left at Freddy? The GOP is going to paint him as Sub-prime mascot???  Besides, if he drops the ball on Lewis, he just becomes a spinless coolie for WS.

Sun, 09/20/2009 - 00:39 | Link to Comment orange juice
orange juice's picture

clearly paterson is 'blind' to the full situation....

 

that joke was in bad taste and i know it.

Sun, 09/20/2009 - 00:42 | Link to Comment Anonymous
Sun, 09/20/2009 - 00:43 | Link to Comment dark pools of soros
dark pools of soros's picture

so if Cuomo keeps his boot on Lewis' neck regardless of running for gov does said boot end up concrete and into the Hudson?

Sun, 09/20/2009 - 00:49 | Link to Comment lizzy36
lizzy36's picture

Rahm Emanuel devotes his most concerted messaging efforts  to the NYT.

Clearly this story was leaked by the WH to put pressure on Paterson to step aside. Its secondary purpose is for the WH to get feedback on Cuomo as a probable candidate for the Governors office. 

As for the simple matter of how and why the President can so blatantly interfere in State affairs, and specifically nudging the direction of popular elections, which ultimately are the domain purely of US citizens, it is likely that nobody will care.

I fear that Tyler will be the only one to actually ask this question (in the media), and thus his answer is likely self evident.

Sun, 09/20/2009 - 01:00 | Link to Comment putbuyer
putbuyer's picture

Lizzie Borden took an axe
And gave her mother forty whacks.
And when she saw what she had done,
She gave her father forty-one.

http://www.trutv.com/library/crime/notorious_murders/famous/borden/index...

Don't be one-upped. Too many Obamabots

Sun, 09/20/2009 - 11:30 | Link to Comment deadhead
deadhead's picture

Rahm Emanuel devotes his most concerted messaging efforts  to the NYT.

absolutely....spot...on

Sun, 09/20/2009 - 13:40 | Link to Comment gmrpeabody
gmrpeabody's picture

+1

Sun, 09/20/2009 - 01:18 | Link to Comment Assetman
Assetman's picture

Cuomo may gain more political mileage in the long run prosecuting bankers over the next 6 years than governing a state mired in deficits.

Sun, 09/20/2009 - 01:41 | Link to Comment agrotera
agrotera's picture

I hope so and that he will agree with your view!

Sun, 09/20/2009 - 08:51 | Link to Comment SWRichmond
SWRichmond's picture

Interesting...how does one do this economic calculation?  It's clear that the unwashed masses (me included) genuinely are pissed off about the bailouts, lying, cheating, etc. The anger is based on a simple revelation: why can they get away with it and we can't?  Why do we have to pay taxes and Timmy doesn't?  Why does Wall Street get a bailout at Main Street's expense?  It's a fairness issue.  The looting is happening in plain sight, as we've discussed here many time. 

The socialist left continues to try to paint the resistance as racially-based.  Having been at numerous affairs, I am convinced it has virtually nothing to do with race.  The subject never comes up.  If the left genuinely believes it is racial, they will continue to misunderstand it. Perhaps they are merely trying to use the charge to energize their base.

J6P is wise to the tactic of suppressing dissent by playing the race card.  It's an obvious tactic; too obvious.  Joe is tired of being told to shut up because he is too stupid or too prejudiced to know what is good for him.  Political correctness is widely understood and refuted.  The race card thing just doesn't work anymore.  In fact, it just pisses Joe off even more.  We've all seen the sign from the Tea Party that said "It doesn't matter what this sign says, you'll say it is racist".

So while the left continue to shriek about racism, they reveal their own agenda, piss more people off and into the resistance.  So be it.  There's a great deal of anger out here in the unwashed masses; many of the DC Tea Party attendees would love to see some Wall Street heads roll.  Is this a viable political wave for some aspiring politicians to ride? 

What do you think?

Sun, 09/20/2009 - 09:18 | Link to Comment JohnKing
JohnKing's picture

The insertion of race into the political discourse is designed to polarize groups into tribal factions, at some point the real issues will simply disappear and it will only be a Bosnia type thing, race against race while the elite run their agenda unscathed.

The racism meme needs to be firmly rejected by all.

Sun, 09/20/2009 - 09:23 | Link to Comment Gordon_Gekko
Gordon_Gekko's picture

It's the age old strategy of divide and rule.

Sun, 09/20/2009 - 09:45 | Link to Comment JohnKing
JohnKing's picture

Yes, we are experiencing a bi-partisan awakening and this is scarey to those in power, their response is to shift into a lower gear to keep traction, forget political affiliation, just go tribal.

The health care debate is no longer about health care, it is about tribalism, and that is just the way they want it. Everyone needs to wake up.

 

Sun, 09/20/2009 - 11:41 | Link to Comment deadhead
deadhead's picture

yep!

Sun, 09/20/2009 - 22:16 | Link to Comment DrPsycho
DrPsycho's picture

 

         racists never think they're racists.......

Sun, 09/20/2009 - 23:25 | Link to Comment JohnKing
JohnKing's picture

Existential racism?

That's just stupid.

Mon, 09/21/2009 - 07:19 | Link to Comment SWRichmond
SWRichmond's picture

A perfect position to take, leaving all racism to be diagnosed by the more enlightened?  Namely, whoever flings the charge first, leaving the other to prove they're not?  First rule of politics: change the debate and place any opponents on the defensive.  We are not impressed; is this the best you can do, call us racists?

Witch!

Mon, 09/21/2009 - 08:39 | Link to Comment JohnKing
JohnKing's picture

Exactly. Racism is the charge against which there is no defense. We're back in Salem.

Sun, 09/20/2009 - 02:20 | Link to Comment Xibalba
Xibalba's picture

Saturday Night Live skit anyone?   

Sun, 09/20/2009 - 11:50 | Link to Comment Anonymous
Sun, 09/20/2009 - 02:35 | Link to Comment Anonymous
Sun, 09/20/2009 - 12:53 | Link to Comment deadhead
deadhead's picture

the other side of the coin is that Cuomo was in charge of HUD....their investigation unit (woefully underfunded) was in fact going after sub prime abuses, mortgage brokers, the title companies, etc.  maybe that is why they were underfunded, but they did strike some fear into the hearts of that tier of players.

Sun, 09/20/2009 - 03:53 | Link to Comment MsCreant
MsCreant's picture

Tyler, Marla,

Call Paterson and invite him to guest blog about it on ZH. The NYT is clearly not his friend. I mean, it's not like he can see where the actual hedge where ZeroHedge is hidden is...

Is there a ZH mobile?

We can clearly see the poll/pole.

Sun, 09/20/2009 - 09:35 | Link to Comment SWRichmond
SWRichmond's picture

Wow!  I can't comment on the legal ramifications for his case(s) of such an act, but I'd love to hear directly from him, given a chance to pen well-organized thoughts.  Hell of an idea!  He certainly has been on financial news programs already.

Sun, 09/20/2009 - 08:33 | Link to Comment E pluribus unum
E pluribus unum's picture

I guess my tin foil hat fell off but this site is really getting weirder by the day:

"As for the simple matter of how and why the President can so blatantly interfere in State affairs, and specifically nudging the direction of popular elections, which ultimately are the domain purely of US citizens, it is likely that nobody will care."

I guess because "the President" is also the head of the Democratic Party. He's getting rid of Paterson for the same reason he worked hard to get rid of Blagovich - they are both losers. That's a capital offense in politics. You can be blind, black and an asshole but you better win. All sins are forgiven if you are a winner. 

BTW - What makes you think that Cuomo (or his replacement) won't work twice as hard to put Ken Lewis (et al) behind bars if he runs for Governor. He would still be AG and what better way to ride a populist wave than put one or all of these asshats in jail.

 

 

Sun, 09/20/2009 - 10:37 | Link to Comment Anonymous
Sun, 09/20/2009 - 19:33 | Link to Comment Anonymous
Sun, 09/20/2009 - 10:56 | Link to Comment zeropointfield (not verified)
Sun, 09/20/2009 - 09:18 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:08 | Link to Comment deadhead
deadhead's picture

74821...

1. I agree that Obama is the de facto party head.

2. Your assertions, "To suggest that this has ANYTHING to do with Bank of America/Merrill is rather absurd" and "To throw in BAC as not only a reason, but THE reason behind this, actually hurts the legitimacy of the site" display an alarming degree of naivete in regards American financial and political interdependence.

 

Sun, 09/20/2009 - 13:38 | Link to Comment SilverIsKing
SilverIsKing's picture

Let me ask you all this question if you don't mind.

If Obama was white (i.e. a white President was in office), do you think there'd be a chance in hell that this white President would ever ask a black governor to step down?

In my opinion, this has everything to do with BAC and nothing to do with anything else.  Patterson is collateral damage but the key here is to rid the AG's office of Cuomo.

I have an idea, let's get Spitzer back in as AG and we'll see how they like that one.

Sun, 09/20/2009 - 13:44 | Link to Comment gmrpeabody
gmrpeabody's picture

+1

Sun, 09/20/2009 - 22:21 | Link to Comment DrPsycho
DrPsycho's picture

+ 100 anon 74821

 

As I've said before, the redneck right wing take over this site nights and weekends.......not a pretty site

Sun, 09/20/2009 - 22:35 | Link to Comment Anonymous
Sun, 09/20/2009 - 09:31 | Link to Comment Anonymous
Sun, 09/20/2009 - 13:26 | Link to Comment Anonymous
Sun, 09/20/2009 - 19:23 | Link to Comment SWRichmond
SWRichmond's picture

A new word needs coined to exemplify, define and characterize the Socialist/corporatist.

The term exists: National Socialist.

Sun, 09/20/2009 - 10:04 | Link to Comment Anonymous
Sun, 09/20/2009 - 11:09 | Link to Comment glenlloyd
glenlloyd's picture

I see this as just another in a long line of big government interventions. The President has no authority at the state level. Federal Govt. never has had any real authority at the state level, but because of taxation and the welfare state now we have the roles reversed. The states are now placed under the thumb of big government. It was never intended to be this way, it happened in small incremental steps over time and no one payed any attention.

When changes made are small and numerous over an extended period of time it's the sumation of all those changes that give you the big picture of where we're headed. It's unfortunate, but we all got distracted a long time ago.

On the upside however, there is an increasing population of citizens now who are highly suspicious of the Fed Govt. and are making a big stink about it, which is good.

Sun, 09/20/2009 - 11:10 | Link to Comment Anonymous
Sun, 09/20/2009 - 11:11 | Link to Comment Stuart
Stuart's picture

Lewis is not the droid you're looking for.

 

Sun, 09/20/2009 - 11:35 | Link to Comment Anonymous
Sun, 09/20/2009 - 11:22 | Link to Comment Anonymous
Sun, 09/20/2009 - 11:44 | Link to Comment Groty
Groty's picture

Fox just reported the White House insists it did not ask Patterson to step down.  Somebody's lying.  It's getting interesting.

Sun, 09/20/2009 - 22:25 | Link to Comment DrPsycho
DrPsycho's picture

 

       haha Groty........more like "everybody's lying"..........they're politicians remember.....

Sun, 09/20/2009 - 12:02 | Link to Comment polizeros
polizeros's picture

Not sure I follow the scenario.

Cuomo as governor can order / strongly urge the AG to continue the Lewis investigation that he started. And how could the WH know now they could get a friendly AG in who could kill the investigation - if that was even politically possible, which it probably isn't.

Besides, isn't it just as plausible that they want Lewis as the sacrificial lamb to protect Paulson / Bernanke.

I think we'll get to see Ken Lewis do that funky perp walk.

Sun, 09/20/2009 - 12:02 | Link to Comment dcsos
dcsos's picture

Cuomo is a lightweight. He just accepted a 4.5 million settlement for billions lost in NY Pensions! by crooked managers (managers are still awaiting charges, tho'). Some of the mamagers chosen in NY state (prior to cuomo) had no money-managing credentials at all!!

Sun, 09/20/2009 - 13:43 | Link to Comment chumbawamba
chumbawamba's picture

Gov. Paterson (circa 2008/2009):

Over the past few days, I have closely monitored the current escalation of violence in Israel and Gaza. I hope and pray for a peaceful solution for both sides and I strongly condemn Hamas for breaking the current ceasefire. I believe the Israeli people, under constant attack from the Palestinian territories, have a right to protect themselves and I stand with them as they fight to defend the basic rights of humanity.

  <insert photo of Paterson wearing a yarmulke (otherwise known as a goy dunce cap) here...damn you Robot Trader!>

Here's a nice hat for you to wear, Governor!  Ay yay yay, bubbala, it looks quite nice on you!

I am Chumbawamba.

Sun, 09/20/2009 - 12:27 | Link to Comment deadhead
deadhead's picture

As soon as I saw the Paterson article in my local (NY) newspaper early this a.m., I too thought  the same as  noted by ZH, to wit: “What is the reason for this escalation? Simple - Bank Of America, and SEC-gate.” Clearly and undeniably, this could be the primary motivation, i.e. deal made for Cuomo to get the Gov’s seat in exchange for a backoff on the bac/bernanke/paulson matter. It could be the case and time will tell.

Perhaps my political cynicism has waned a tad much like the VIX, but the other side of the matter is more compelling to me, which is the age old American historical standard that a sitting Democratic President cannot afford to lose a big Democratic statehouse as the risk of calls that his Presidency has been rejected would grow louder with a Republican sitting in the big chair in Albany (same argument was made over the recent fill in congressional election for newly appointed NY Senator Kirsten Gillibrand: the media tried very hard to position this as an Obama Presidency referendum).  Patterson is a liability, everyone knows it.  Cuomo can win it but as several others have noted in this thread, NY is such a fiscal mess right now there is much risk for the next Gov and perhaps Cuomo is recognizing that it would be better to wait on the governorship (or something else) and at the same time allow his star to continue to rise as the NY AG, particularly in light of his proven and aggressive attempts to go after the financial powers that be.   

Here’s the rub that I see….Obama and the Dem gang are deathly afraid of Rudy Giuliani’s ability to win the governorship.  If they can’t dump Patterson now, Giulani is much more likely to throw his hat in and he will definitely have a chance to win….on a Patterson v. Giuliani match, I’ll go with Giuliani. If Cuomo steps to the plate now and throws his hat in, Giuliani would be a fool to run for gov and would likely get his ass kicked. Obama wins big in this scenario. I believe the Rahm/Axelrod machine is pulling out all the stops to get Cuomo locked up as their candidate to forestall any possibility that NY goes to the Repubs.

As to the BAC/Bernanke/Paulson/NY AG Cuomo investigation/ Judge Rakoff/SEC/ FBI BAC investigation (phew, lots of players in this drama), that shit BETTER play out because there are way too many people watching that series unfold.  It’s not just those of us in the financial world, but perhaps more importantly, it’s the Obama worshippers who think he can do no wrong except for the fact that he is allowing the wall street cabal to run rampant throughout his administration and run ragged over the us financial system.

Sun, 09/20/2009 - 13:27 | Link to Comment ZerOhead
ZerOhead's picture

That is the play.

Sun, 09/20/2009 - 12:28 | Link to Comment Anonymous
Sun, 09/20/2009 - 12:36 | Link to Comment OrganicGeorge
OrganicGeorge's picture

"As for the simple matter of how and why the President can so blatantly interfere in State affairs, and specifically nudging the direction of popular elections, which ultimately are the domain purely of US citizens, it is likely that nobody will care."

Youse guys might know finance but your knowledge of politics is embarrassing.  The President is head of his party. That is why Howard Dean was replaced at the DNC, even tough he is an exceptional job building the Dems powerful grass roots machine.  As head of the party it's his, read Rahm's, responsibility to keep the state parties organized.  Patterson was a throw away as Lt Gov,  now he's basically Rolland Burris, which is not good for the 2010 elections.  It makes raising $ almost impossible so he has to go.

Sun, 09/20/2009 - 12:44 | Link to Comment Sqworl
Sqworl's picture

Youse guys might know finance but your knowledge of politics is embarrassing.

With all due respect, where the fuck do you think the money for the party comes from???? if not finance!

Sun, 09/20/2009 - 12:49 | Link to Comment zeropointfield (not verified)
Sun, 09/20/2009 - 12:58 | Link to Comment Silver Bullet
Silver Bullet's picture

They aren't "conspiring" to remove Paterson. Obama is the head of the Deomcratic party. He's fully within his rights to suggest Paterson to not pursue reelection or to back a challeneger in the race.

Sun, 09/20/2009 - 13:34 | Link to Comment zeropointfield (not verified)
Sun, 09/20/2009 - 13:32 | Link to Comment Anonymous
Sun, 09/20/2009 - 21:09 | Link to Comment Hrundi V. Bakshi
Hrundi V. Bakshi's picture

this is the only reason to re-elect paterson. this shit is funny.

 

http://www.nbc.com/Saturday_Night_Live/video/clips/update-gov-paterson/8...

Mon, 09/21/2009 - 01:55 | Link to Comment dot_bust
dot_bust's picture

Mike Ruppert (i.e. FromTheWilderness.com) once said that both political parties are like two mafia families in a crime syndicate. Perhaps if the public understand that, things could be changed. After all, it makes no sense to build on top of filth.

Mon, 09/21/2009 - 07:09 | Link to Comment Anonymous
Mon, 09/21/2009 - 13:11 | Link to Comment Anonymous
Tue, 09/22/2009 - 02:40 | Link to Comment MsCreant
MsCreant's picture

I'm sorry about your weight issue. You are not alone. It would seem 2/3 of the US public is there. Good luck to you.

Mon, 09/21/2009 - 13:28 | Link to Comment Anonymous
Mon, 09/21/2009 - 13:30 | Link to Comment Anonymous
Mon, 09/21/2009 - 14:11 | Link to Comment Anonymous
Tue, 09/22/2009 - 02:42 | Link to Comment MsCreant
MsCreant's picture

It does look like anyone who has the office is very vulnerable if they do not "step to."

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