Posted on 06/07/2010 3:54:02 AM PDT by Scanian
For all the administration's tough talk on the oil gusher in the Gulf of Mex ico, the signs are already there that this crisis will actually play out like the financial crisis -- complete with BP's being declared "too big to fail."
Once again, politics and posturing will govern the response to catastrophe -- at the expense of both free-market discipline and the rule of law -- creating a bigger disaster for the economy and the environment. Oil and credit both grease the real economy.
But the economy won't work right if oil or credit is too expensive -- or too cheap.
As became obvious in 2008, credit was too cheap and plentiful for the last decade or so. Financial-engineering innovations had seemingly made the risk of borrowing and lending vanish. This illusion made mortgages and other loans cheaper than they should have been -- and people lent and borrowed too much.
(Excerpt) Read more at nypost.com ...
"British Petroleum (BP) pumped $71,000 into Barack Obama's 2008 presidential campaign"
"White House chief tied to BP adviser"
"Top PR firm for BP tied to White House Chief of Staff Rahm Emanuel"
bp will not get a bailout because the American People and the South will revolt... again. ENOUGH IS ENOUGH KENYAN... BLOCK THE DAMNED HOLE AND STFU!
LLS
Two things:
First off, if we bail out a foreign company that polluted our Gulf Coast, the Dems really might lose 100 seats!
Secondly, “nationalization” if that is his goal presents a different problem. An international one. BP is not, of course, a US company. More importantly, its shares are widely held in the institutional pensions of the UK citizens. Widely mentioned last week, when BP shares took a hit, was the effect on the pension funds of the UK citizens. An attempt at nationalization could provoke an international “incident” with an important ally, both diplomatic and military.
Something like that won’t end well, I promise.
Cool. Then the CEO can get his life back, and all the riches that go with it.
There is going to be a lame duck session after Nov. 2 that will attempt some things that will be mind-blowing.
On that, I agree with you. Between the election and the swearing in of the new Congress will be the most dangerous period of legislating prolly in my lifetime.
Which is why I am hoping the day after the election (provided things go our way), Mitch McConnell announces the following:
“The people of America have spoken loud and clear. Let this Congress be put on notice, here and now, that my entire membership will oppose any and all major legislation until the new Congress is seated in January. We will not permit a lame duck Congress to use it’s leftover power to impose things on the American people that they have rejected by their vote yesterday. And we will oppose these things on principle, not on the merits of the individual legislation.”
And then shut the whole damn place down until January.
you never hear the oil co’s complain about not drilling,
nor not new refineries.
instead, bp has published ads for years about global warming
and alternative energies.
If only the GOP had the votes to make it happen.
If they can keep those 41 cats in line, they prolly can.
*fingers crossed*
If, Zero could do it, he would have already done it. BP is is far too big and strong for the Chicago gangster to take over.
BP is not going to require a bailout because of the costs associated with this spill, a company like BP is in far more danger from falling oil prices than from even large costs associated with the accidental release of oil, for example BP’s replacement cost profit dropped from $25 billion in 2008 to $14 billion in 2009.
OTOH short of global economic catastrophe BP does not have to worry about a collapse of demand for it’s product - it is assured of long-term profitability.
So even if this event ends up costing BP $10-20 billion dollars, this would be a manageable cost compared to likely profits, especially as those costs would be spread out over perhaps as long as 10 to 15 years.
BP isn’t some free market economy stalwart worth defending. They are neck deep in the climate change fraud and are essentially part of the leftist corporatist powers that be. They want carbon trading and a push to a green economy. They might as well be part of the liberal government as it is.
This isn’t as simple as a private business vs government, because a few of these massive corporations and banks might as well be folded into the liberal fascist state.
We are long past the American Ideal of business and have entered a brave new world (we actually entered it years ago).
It doesn’t matter if Obama “takes over” BP, they are already on board with the program.
In fact, the tin foilers will have a field day that this mess actually ADVANCES BP’s and the left’s agenda.
Nicole, Nicole...... the well is the bailout. The well will pay all the costs with lots left over for taxes
LAS VEGAS -- The scale and carnage of BP's recent oil spill disaster continues to grow on a daily basis. BP shares have fallen 12% since the disaster. News organs report that several banks (including Goldman Sachs, GS and Citigroup, C ), recommended buying BP shares. They argue investors are over-reacting since the April 20 explosion.
BP released news that it has tested the dispersants (manufactured by Chicago-based Nalco Holding Co.) and authorized it's use on a larger scale. BP also added it is looking for additional suppliers to begin manufacturing the dispersant material in mass quantities. SOURCE http://tinyurl.com/2cachel
REFERENCE NALCO is associated with Exelon---Wall Street Rahm Emanuel's first big deal---Axelrod did the PR......and ComEd. (Bill Ayers' father was CEO of ComEd)
THE CHICAGO WAY UChicago Argonne controls major energy industry connections. ComED & Exelon are connected to NALCO through UChicago Argonne. All are connected to Fermilab. Stimulus millions is funding all these connections. They hire each other's executives. ComEd hired a CEO from NALCO and a director from the Dept of Ed.
UCHICAGO ARGONNE, LLC--Stimulus Contract: $163,724,912.00
US Department of Energy - May 22, 2009
SOURCES
http://www.chicagobusiness.com/cgi-bin/news.pl?id=22533
http://research.uchicago.edu/uc_anl_centers.shtml
www.EnergyStockAlerts.com--a premier source for microcap and blue chip research and commentary.
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Goldman reported readying BP for takeover defense (Rahm Emanuel is G/S dealmaker in the WH)
Marketwatch
FR Posted June 06, 2010 by Hamiltonian
LONDON (MarketWatch) -- BP PLC's regular advisor Goldman Sachs is rumored to be preparing to fend off any potential takeover attempts for the U.K. oil major, reports the Independent on Sunday.(Excerpt) Read more at marketwatch.com
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Goldman Sachs Will Be Sitting Pretty With Emanuel in the Obama White House
By Timothy P. Carney, Examiner Columnist, Nov 21, 2008
EXCERPT Today, in these tumultuous times of bailouts and meltdowns when the investment banking leviathan needs Washington more than ever before, Goldman Sachs can leverage its most valuable asset yet White House chief of staff Rahm Emanuel.
Traditionally a Democratic booster, and one of Barack Obama’s top sources of funds in this past election, Goldman has always had particularly strong allies in government.
Rahm Emanuel is one such ally. An interesting early chapter in the Goldman-Emanuel relationship took place in the setting of Bill Clinton’s 1992 campaign for the White House. Clinton hired Emanuel as his chief fundraiser.At the same time, however, Emanuel was on the payroll of Goldman Sachs, receiving $3,000 per month from the firm to “introduce us to people,” in the words of one Goldman partner at the time. This is certainly a noteworthy relationship, but it’s one that has almost entirely escaped scrutiny. (snip)
In his four terms in Congress, Emanuel raised $74,750 from Goldman, making the firm his number four source of funds. Goldman has helped Emanuel. How has Emanuel helped Goldman? The most obvious answer, as mentioned in this column two weeks ago, is in Emanuel’s lead role in shepherding the “$700 billion” bailout—first proposed by former a Goldman CEO, Bush Treasury Secretary Henry Paulson—through the skeptical House.
Of course, back in the Clinton days, Goldman benefited from NAFTA and the bailout of the Mexican currency, with Emanuel pushing NAFTA through Congress, and Rubin hammering out the peso bailout.
Did Goldman improperly funnel money to the Clinton campaign by subsidizing Emanuel’s salary in 1992? Did Goldman’s help to Clinton spur the Democratic president to push NAFTA and the Mexican bailout?
The answers to these questions are opaque, and with Emanuel burrowed deep within the Obama White House, the continued relationship between Goldman Sachs and Obama’s right hand man won’t be easy to follow.
Watch which regulations of Wall Street Obama fights for. Watch where the bailout money goes.
BP announced the deal in May 2007, promising an initial investment of $900 million to explore two Libyan areas -- one the size of Belgium and the other as large as Kuwait. But Libya did not approve the deal until after London dropped its objection to releasing al Megrahi, the Sunday Times alleged.
What everyone is ignoring is this SUPER GUSHER. This is idictive of a find that rivals any on Earth.
Every one please do not be distracted by a mere leak.
good point.
Yeah, weren’t we supposed to be “out of oil” at some point? Does this not prove the opposite?
Oil IS a renewable resource.
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