Tuesday Morning Breakfast Links

Businesses are leaving California. Illinois too.

Remember the movie “The Great Escape”? One of my favs. Steve McQueen is the ultimate in cool. They are doing some archeology work on the prison camp. There were three escape tunnels, Tom, Dick and Harry. They found another, George.

The SuperCommittee failed. But, what’s really driving our debt? It’s entitlement spending, not other types of spending as Democrats would want you to believe. Especially with the addition of Obamacare.

MF Global might have double the cash hole, 1.2 billion instead of 600 million. I think there are a couple of things that are important to note. $MF didn’t default with the $CME clearing house. CME is whole. MF defrauded its own customers, and in essence the industry.

The next loan bubble to pop in the US. Student loans. With the politics so bad for Obama, you know he will float a program to forgive them in exchange for votes. By the way, if you need a student loan, or have to pay off a student loan, check out the website alltuition.com. They make the entire process transparent.

The job picture isn’t exactly rosy on Wall Street. I know plenty of good people that worked for MF Global that are out right now and scrambling.

Hey Occupy Wall Streeters, read this. It can be done.

I understand that governments all over want a start up community in their town, but putting government money into these projects rarely if ever works. Eventually, crony capitalism always ensues no matter which party is in charge. Creating an ecosystem always works better with private capital because private capital has constraints on it that public capital does not. Return on Investment is a real term.

Get ready for a new wave of wireless innovation. I can’t wait. The $ATT cell service in the Loop here in Chicago is terrible. You simply can’t download any data to your webpage. It makes my smart phone pretty useless. If you are a start up in Chicago, one of the smartest things you could do is locate on the west side, west of Canal street where the cell reception is good and people can use two highways to get to you (along with the L and bus).

Blackstone eyeing India. I know that India is booming in a very different way than China. In China, you have a huge problem with the Party. In India, it’s bribing the right private or public citizen. Wastes a lot of resources. Might be much more efficient to hire Indians as outsourced employees or contract workers rather than start a business there.

Harry Reid simply isn’t that smart. He was lucky the Tea Party installed such a wacko candidate in Nevada. Otherwise he would be marching with the Occupy Wall Street crowd. Now he says regulations aren’t holding the economy back. Really? How about oil drilling? Harry needs to learn his George Stigler.

If you are traveling in the next two days, have safe travels.

  • Anon

     “But, what’s really driving our debt? It’s entitlement spending, not other types of spending as Democrats would want you to believe. Especially with the addition of Obamacare.”

    This is absolute BS but maybe if you keep repeating it people will believe you.  Total costs for the US wars in Iraq and Afghanistan is over 3 trillion.  Costs for bailouts are over 2 trillion yet you and the other neoliberals want to frame things as if entitlements are the problem. 

    • Jeff Carter

      Math is hard for you isn’t it?

    • Math and reading budgets is really hard for some people I know.  Perhaps you could get your eyes checked or buy a new battery for your calculator.  

      By all accounts, the war doesn’t hold a candle to the amount of increased spending that has happened since Obama took office, or projected spending ten years into the future.  Entitlements are the largest part of the budget using both economic and accounting numbers.

      • Anon

        “Math and reading budgets is really hard for some people I know”

        It must be easy for you to read, it’s the comprehension part that trips you up.  The fact of the matter is that total federal expenditures as a percentage are not growing any faster under Obama compared to Bush.  Source CBO website.  The deficit is increasing because the recession is causing increased spending and falling revenue.  So when you “by all accounts” whose accounts are you referring to?  What is your source?