Tuesday, December 25, 2007

You need willpower.

You need willpower.

Willpower is to do something that must be done but you don't feel like doing it.

The most important factor to do things is sheer willpower.

There is no substitute for will.

You need self-confidence and persistence, the feeling that is right to do what you plan to do and you can certenly do it.







Wednesday, December 19, 2007

Why I am betting a recession will happen.

The Fed's actions will not help.

Strong global growth that is propping up the U.S. economy is based on irrational indebtedness.

The economy is still creating jobs but they are low-paying jobs.

The housing downturn's pain has not damaged much yet.

Unfortunately government spending remains strong.




Monday, December 17, 2007

How to solve the subprime mess?

The best move to solve the subprime mess is to do nothing at all.

The government must be careful about anything that props up home prices because
it would delay the point at which investors -- in both real estate and mortgage-backed securities – believe prices have touched bottom.

It is common sense that the financial erosion will come to an end when the prices of homes and equity in homes stabilize.




Thursday, December 13, 2007

It stands to be a big question mark until 2009

Mortgage securities typically consist of 10 or more different slices -- from highly rated slices for conservative investors all the way down to low-rated, riskier slices for investorslooking for bigger returns.

Each slice has its own set of rules governing when and how investors will get paid or suffer losses.

Rising defaults can actually be good for some highly rated slices, which get paid off faster as a result.

Many lower-rated slices, though, pay back the original investment only after three years, and only on the condition that defaults remain low.

That means the value of a security issued in 2006 stands to be a big question mark until 2009.

Wednesday, December 12, 2007

Relocating jobs to the U.S.

European businesses struggling to stay competitive in global markets as the euro and pound hit new highs against the dollar, are shifting more of their cost into dollars by rising their purchases from America suppliers and relocating jobs to the U.S.

Sunday, December 9, 2007

In a free market competition is the rule.

Mexican telephone and retail magnate Carlos Slim, in a normal defeat,(because
outside US few entrepreneurs know what competition is) will exit the U.S. Consumer
electronics market, shutting the last 100 CompUSA Inc. stores after
sinking about $2 billion into the business.

He doesn't know how to play in a free market field.
In a free market competition is the rule.

Tuesday, December 4, 2007

Subprime mortgages available to Americans

Lenders who made subprime mortgages available to Americans with poor credit also gave more and more of the the high interest loans to those with relatively good histories.

The findings could hold implications for how banks and regulators address the meltdown in those loans.

Saturday, December 1, 2007

Foreign-born students

Foreign-born students holding temporary visas received 33% of all research doctorates
awarded by U.S. universities in 2006, according to an annual survey by the
National Opinion Research Center at the University of Chicago.

But more to the point of business competitiveness, foreign students comprised 44% of science and engineering doctorates last year.