AIG is a HUGE company with tendrils extending into many countries, including Canada. It is a cornerstone of the mortgage market because it insures high-ratio mortgages. In other words, if you didn’t put down 20-25% when you bought your house, you probably had to pay some kind of insurance premium to cover the lender in case you default. In Canada, it is primarily CMHC that does this with a little additional coverage from AIG. In the USA, AIG covers a substantial percentage of the market.

If AIG had failed, it could have taken down a substantial portion of the banking system with it. The reason AIG is having so much trouble is because of a very small number of its own employees and a SUBSTANTIAL number of corrupt mortgage brokers who deceived them. When the U.S. housing market began to flail around like a steerage passenger on Titanic, it was not the banks who took the first ballshots – it was the companies that insured the mortgages like AIG. Read the rest of this entry »

State of Mind: Furious

Possibly the shortest conversation I will ever have with someone about the “fuel cost crisis” and global warming:

(Name Removed to protect the Stupid) (Simcoe Composite School) wrote at 11:23pm yesterday

Here’s an idea to think about. If some sort of law was made saying that buy (sic), 2010, everybody in the world either has to get an electric car or GO GREEN and change their Gas engine to run on canola oil. This way nobody needs to worry about gas prices, am I right?? Now obviously I can see that that is thinking BIG. But just think about all the other things that have happened by regular everyday people. Like people on facebook for example. And with electric cars or running on Canola Oil we won’t have to worry about people idling their cars all the time. So that would possibly slow done (sic) our arch nemesis known as GLOBAL WARMING!!!! Its (sic) our future and we should do something about it if we wanna live to watch our grandchildren grow up. We need more people in this group to (sic). Everybody send out invites. (: We need to stop this gas bullshit because if someone doesn’t we would eventually be looking gas prices as high as 2 dollars. Maybe higher and that would really suck!!!

The Angry PolarBear wrote in response at 1:08am

Brilliant (unnamed moron)! Cause, Canola Oil only costs about $2 a litre which would solve the problem of $1.20/litre gasoline and $1.30/litre diesel! Oh, and of course, Canola Oil does not in fact BURN, it only emits magical gases like butterfly farts in defiance of all physical laws of the planet. You wouldn’t expect something BURNED in a COMBUSTION engine to make CO2 or anything.

And we won’t even worry about how using all the farmland to grow Canola beans for oil to run engines will disrupt the food supply, because we can spin the butterfly farts into manna noodles and honey and solve the hunger crisis at the same time! YAY!

Way to think BIG! Only you forgot the THINK part!

Seriously?

This is what our schools produce nowadays?

REALLY? WTF!?!

Thanks, Al Gore!

State of Mind: WTF!?

I know I have said it before – stop wasting shit… right?

Well it applies to this Gasout/fuel boycott bullshit as well. In this case, the waste is one of time.

Temporary fuel BOYCOTTS will not help. Why? Because you CAN’T have the impact you think you have. If you truly simply stop driving for a few days, and could convince thousands of other drivers to do the same and join you in not burning fuel at all for a few days (fuel that you otherwise WOULD Have burned) you could reduce income marginally for a few days. The key word there is MARGINALLY – and no corporation is really going to care about that. The impact you have would be far greater on your local “fuel guy” if he is a franchisée, because he is the guy who needs people to come to his station so he can feed his family. So, if you want to send a message to the little guy, and give a guy who has little control over the price of fuel a good pummelling in the pocketbook, don’t burn gas for a few days. It’s a big waste of time, but as with most slacktivism, it will make you FEEL like you are doing something!

Lately there have been a lot of rumblings from the same typical group of morons wanting to boycott fuel for the Victoria Day weekend. What a FARCE! People open their cottages, and people get out for the first real long weekend of the summer season. They go out in their boats, and on their motorcycles, and their 4-wheelers. They aren’t going to skip that this year with the winter we had, so you are going to get very little response. IF someone “participates”, all they are going to do is buy gas in advance of the weekend, and that doesn’t change a damn thing except the day the company sold the fuel.

The only way to truly make an impact is to reduce consumption EVERY DAY, and work with others to help them do so, too. That means you have to stop wasting gas, and work at being efficient. That’s going to be very painful for some, because automobiles are ingrained in our culture as the basis of freedom.

How do you send a message about gas prices?

1. Call your MP and tell them to stop sending all the Canadian oil in Alberta to the US to profit American corporations and service Canadians first. DEMAND that Canadians come first – we have more than enough oil for our own needs. We need to start ACTING like an oil superpower for the short time we have that status.
2. Drive less, all the time. Car pool if you can, roll all your errands into one trip, take public transit, walk or ride a bike for short trips. Get a more efficient vehicle.
3. Learn to drive as efficiently as possible (see hypermiling.com)
4. Make investments with the money you SAVE by doing the above in companies pursuing alternative energy – just make sure they are bona-fide improvements, and not simply more-of-the-same (like hybrids – a RIDICULOUS attempt by the auto industry to prolong the inevitable demise of the gasoline engine). We need extreme efficiency and renewable resources – currently biofuels USE more energy than they produce and are devastating food markets worldwide.

If everyone works at this, it lowers demand, and will lower prices or at least slow down the rise of prices. Think about it – if there is a 20 year supply of oil left in the world, and we can use 25% less, it instantly becomes a 25 year supply – more time to develop alternatives!

“Gasouts” and boycotts are a waste of time and energy, and generally are just another way for people to pat themselves on the back for doing nothing.

State of Mind: Aggravated & Disgusted

I have been seeing a lot of these “Carbon Footprint” tests and the like online. Quite frankly, a lot of the stuff in them is total bullshit that is not proven to mean anything one way or another, they are just there to make you a) feel guilty or b) think you are doing something when you are not.

Fact: most of what you could do – even if EVERYONE did it – would not make any difference in the realm of “Global Warming” because ultimately Mother Earth and her relationship to the solar system has more to say about it than you do. Earth regulates herself, and trying to screw with that usually does more harm than good.

That is not to say that I don’t think people should treat the planet better. But, honestly, does ruining the economy of any nation to “stop global warming” – be it our advanced industrialized countries or Third-world ones – qualify as anything OTHER than plain stupid? (You do need to keep in mind that there are environmental extremists out there who would happily make the human race extinct in order to “preserve the environment” – and this agenda is beginning to creep closer and closer to the mainstream…)

I usually score “OK” on those quizzes, but never get a spectacular score because they never take into account the MOST important factor in these things: TIME. Just because you suddenly had an environmental epiphany when you watched that Al Gore movie doesn’t mean you did not do more harm to the environment before you clued in than you can solve by changing now. Sorry, folks, you ALREADY screwed it up. It’s like expanding foam, you can’t put it back in the can. So now I am going to get all Holier-than-thou because I am sick of having people act that way toward me. Read the rest of this entry »

State of Mind: Alarmed & Surprised