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Should We Sell California To China (Asset Buyout And Assumption Of Debt) In Exchange For Debt Forgiveness?
Submitted by Marla Singer on 08/01/2009 21:01 -0400
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x2!
Can we throw the democrats like Pelosi and Waxman in as well!!?!?!
Perhaps we can send them the Vampire Squid as well so they can fucking desimate their economy as well...
Who needs Al Queda when you have the biggest financial terrorist in history (Goldman Sachs) draining the life blood of our country......oh I just read Taibbi's article again today...I hope others do as well ....all of our memories fade here in America rather quickly ...look at 911...we are now bringing them here to give them trials.
I hope you New Yorks are happy about that one.
Cool post Marla now where are the tunes?
and perhaps a Nobel Prize Winner someone like Krugman or Gore - what the heck make it a twofor
As long as they take all the hippies, yuppies, and communists.
We are keeping the ravers and surfers.
I voted yes because of all the untapped surfing potential China's coastline has to offer. LAX to PVG daily nonstops.
what about the new hypuounists who rave and surf?
This question implies:
1. That they'd want it.
2. That it's worth owning.
3. That it's worth the price.
4. That they don't already completely own it.
5. That India (who already owns the other half) are willing to sell.
The results thus far suggest that 23% of your audience live in CA (or otherwise have a vested interest in the question).
1. of course they would want it, they can restructure the govt to make the state profitable again, our govt is weak and flimsy.
2. it would be worth owning if the unions and extended lifetime benefits were hammered away at and that they stopped pulling forward all sorts of non existent future tax dollars.
3. lewis and clark made the best real estate deal the world ever witnessed, this would probably be the second best.
4. they don't.
5. they wouldn't if they did.
My initial reflexive reaction was to vote yes.
However, it then occurred to me to ask "Who's this 'we' you're talking about, Kemosabe?
We, the US, don't actually own CA in the sense of being able to sell it as proposed for the value of what it contains, and in any event we are not in the habit of transferring control of our fellow citizens to foreign governments.
I realize this is a completely tongue in cheek question of course, and have only responded to rebut the "23% of audience" comment above. I'm a Texan.
Chill out Governor Arnold. Fellow citizens? Californians? You may live in Texas but I'm a Texan. Sell,sell,sell!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Why, we are referring to the right to collect federal income tax, the right to use eminent domain to annex property, etc. etc. etc.
Not much different than a city selling its parking enforcement and meter collection powers to a foreign corporation for a lump sum.
Don't sell my ass, Marla. I didn't pick up the crack pipe. My toes are a football field from the ocean that connects me to our creditor.
Felix qui nihil debet.
I think in order to answer this question correctly we need a better understanding of what the tax implications to the seller would be. I mean, will this be treated as a long-term capital gain? What is CA's book value? Because we're swapping debt for CA is this a "tax-friendly" transaction? How will the IRS view this? I would think that all of these very pertinent questions should be answered before we can come to a correct answer.
That said, this loan-to-own strategy that the rest of the world is implementing on the U.S. sounds similar to some of these new distressed debt funds that are raising equity right now. Perhaps China et al is on to something...
Yeah. That's working out swell for Chicago.
mmmm...not so much. I voted yes from CA.
Everyone here is from another planet already, so what's the diff.
Yep, me too. I voted yes from San Francisco.
This state is going to fail!
Can we throw in Waxman and Pelosi too?
I am more willing to sell the people of California (after the loyal readers of Zero Hedge escape of course) than I am willing to sell the state. California was pretty incredible before it was ruined by the inhabitants (based on what I remember from 37 years ago.)
At least you are thinking of a sale that could work. The whole Eastern seabord in trade wouldn't bring a response!
Silicon Valley and its human capital base is one of the few assets in the United States worth owning. We would need to carve this area out into it's own state (New CA) and sell the remaining Old CA to China, and they may do as they wish wit the inhabitants.
You haven't been to the valley lately...it is mostly Chinese and Indians now. US Big Biz in thier race to lowest cost through the use of H1-B and outsourcing has unwittingly giver all of our best tech to these countries.
Just sell it and maybe we can try the experiment again in Illinois or something....the innovation of the valley is dying or being quickly copied and outsourced to India. It is very unlikely that tech lifts us out of this mess....
Yeah wasn't Illinois where the HAL9000 was from? Step aside iPAD!
whoa whoa whao....there's plenty of room for more, I've got a couple senators and several congressmen who should be included in the deal as well. While were at it we should clean house and inflict China with their (lack of) brain power, ethics etc.
Or...Just get rid of it because it is an albatross, and better to do so before "The Big One" and it falls off of North America like Sri Lanka fell off of India.