Empty threats were issued toward political powers in Iran. The very foundation of democracy is threatened in the divided country, but the world’s “saviors” offered nothing.

The strong foundation of the worldwide economic recession shook not one bit; no economic plans were laid out. In the worst economic crisis in about 80 years, the richest offered no solutions.

In perhaps the largest disappointment of the summit the leaders made such a wavering, uncommitted “commitment” to climate change, simply declaring that the eight superpowers had agreed to “substantially reducing global emissions by 2050.” Weak. Those who have been lambasted and forced to be environmentally-friendly were flipped off by their own leaders.

The plan drafted in L’Aquila, according to the LA Times, specifies no real interim targets either, just that global emissions reduction progress will be reviewed every so often.

Sadly enough, the recession will hinder climate control progress as well as the ability of developing countries to adapt to changes that have already occurred. Some groups predict that as much as $150 billion is needed every year to aid regions in developing countries that have already been affected by climate change. No one has that money, and may not any time soon since no solid economic revisions were drafted.

Other countries have demanded the G8 dramatically reduce their emissions by as much as 40 per cent. From these eight leaders however, there was no urgency. No commitment. No sense.

In 2010, the leaders meet in Muskoka, Ontario. By then, even more criticism will be launched their way. Hopefully it knocks some sense into them.

AIG, a company that is currently staying afloat only because of federal bailouts, announced the bonuses on Sunday. President Obama, CNN reports, called the action an “outrage” because AIG “is a corporation that finds itself in financial distress due to recklessness and greed.”

Over the past six months, AIG has received nearly $173 billion in government bailout money, which is provided by taxpayers. Obama spared AIG’s new CEO Edward Liddy of criticism, saying the contracts that led to these bonuses were drafted last year. Nevertheless, they should have been shredded.

Obama was visibly dismayed and angry at the press conference. “All across the country, there are people who are working hard and meeting their responsibilities every single day, without the benefit of government bailouts or multimillion-dollar bonuses. You’ve got a bunch of small-business people here who are struggling just to keep their credit line open,” he said, referencing the tough times faced by many working Americans.

Obama’s words have garnered support from other democrats as well. Connecticut Sen. Christopher Dodd noted in a written statement that other companies receiving federal bailouts have been ordered to forgo bonuses, and there is no reason that AIG should view themselves above this rule.

Obama also told reporters that he would work with Congress to change laws in an effort to ensure this would never occur again.

Currently, New York Attorney General Andrew Cuomo is trying to work with Liddy to find out who was set to receive these bonuses and if any of them have been paid. Cuomo ordered Liddy to surrender a list of potential bonus receivers by 4 p.m. Monday, saying that if he failed to receive them he would seize them by order of subpoenas.

“Covering up the details of these payments breeds further cynicism and distrust in our already shaken financial system,” said Cuomo, CNN reports.

When history is written, George W. Bush’s worst critics will accuse him of everything from willful negligence in handling 2008’s economic crisis to war crimes in the context of the catastrophic mistake that is the war in Iraq. In the end, they very well may be correct, but it is possible that all of his mistakes were not of the completely sinister nature like they’re sometimes characterized, but rather can be traced back to overall tragedy that he was simply a president stuck in the wrong century. Bush’s core beliefs — that the free market could police itself, that oil is always our answer, and that we can bomb and kill others into submission without chain reactions of consequences — were dying an eventual death around the time of Y2K, but Bush made sure to keep them on life support much longer than they ever should have survived.

There is no bigger example of The Past sucking the blood out of The Future than GM, Ford, and Chrysler begging for money from the U.S. Government yet again. This past month, we saw the Big Three auto companies fly in their private jets to Washington to request billions of dollars because for the past 25 years they have steadfastly refused to look at the calendar. They defiantly rejected efforts to increase their fuel efficiency standards as every country—even China—passed us in their mandatory requirements. Because executives lobbyied Congressmen to vote against everyone’s interests but theirs, their companies made short term profits that both crippled them and damaged the country. After all, only a 7.6 mile per gallon increase in our collective car efficiency would be enough to completely free ourselves from Middle East oil, while saving the individual American consumer critical pocket money. Instead, these companies marketed trucks that could pull airplanes down a runway and consumed oil at a breakneck pace. But why would they care about those details? They could just shove SUVs down Americans’ throats by luring them through tax breaks into a choice so obviously against their interests.

This is just the most blatant example of our chronic sickness of holding onto the past. It illustrates that the worst flaw of George Bush, and in turn of the corporations he represents, may be that he simply did not realize what century we lived in. The banking crisis, car company meltdown, and failed fight against Islamist extremism can be boiled down to using 20^th century policies in a 21^st century world.

———

As tears were streaming down the faces of millions of Americans on the night of November 4, 2008, President-elect Barack Obama said, in words that would ring loudly far after the last piece of confetti had fallen, “The time for change has come.” It was a beautiful sight for more reasons than one. Many were crying because the sight of a black man winning the American presidency was possibly the most powerful symbol of American exceptionalism anyone had ever seen. But those words were much more than a symbol of tolerance and the triumph of ability. They were a prologue to the tangible changes that will dramatically alter this country in the coming months—much more change than has ever happened in our lifetime.

Obama has spent his transition months putting together what has been almost universally lauded as a cabinet filled with experience, pragmatism, and overall excellence. It is a cabinet based solely on achievement, without regard for partisanship or political and financial connections.

While all of Obama’s cabinet picks have been praised for their qualifications and temperance, none exemplifies the stark realities of the new way of doing things better than Obama’s pick for Energy Secretary, Dr. Steven Chu. Chu is a Nobel Prize winning physicist who is a professor at the University of California at Berkeley and the director of the Lawrence Berkeley National Laboratory, a global warming research center whose primary goal is “to develop methods to “store” solar energy in the form of renewable transportation fuel.” There is a reason Al Gore is planning a Green Inaugural. It’s because The Age of Oil is coming to a close and Obama plans to kick it out the door.<!–nextpage–>

Bush’s pick for Energy Secretary, on the other hand, was Spencer Abraham, a Michigan senator most famous for taking more campaign donations from those same dinosaurs in the American Auto Industry than any other senator, and led the fight against corporate average fuel efficiency standards in automobiles. Change indeed.

But this is not just a Liberal president replacing Conservatives with more of the same from the other side. It’s a complete change in a philosophy that has run our government since its inception. Obama, when asked what he would do to help his “friends” in Springfield, Illinois to stem their State’s budget shortfalls,  challenged the very nature of the question.

“Part of the charge [of the budget team] is to make sure that we are proceeding on projects and investments based on national priorities and not based on politics,” he said. “Now you mentioned, sort of, ‘my friends.’ I want to be clear friendship doesn’t come into this. That’s part of the old way of doing business.

“The new way of doing business is, let’s figure out what projects, what investments are going to give the American economy the most bang for the buck. How can we protect taxpayer dollars so this money is not wasted; restore a sense of confidence among taxpayers that when we spend their money, it’s on things that are actually gonna improve their quality of life; create the jobs that are so desperately needed; help to spur on economic growth and business creation in the private sector? That’s all part of the new way of doing business.”

Being friends with the President is no longer a means to an end in any sense. Just ask John Kerry, one of Obama’s biggest and earliest supporters. He was passed over for Secretary of State in favor of Hillary Clinton, a person many accused of secretly rooting for Obama’s political destruction only months ago. While Kerry was certainly qualified, Obama’s decision underscored the notion that the age of cronyism is over. No more “Heckuva Job” Brownies or “I do not recall” Alberto Gonzaleses.

This Cult of Competence has been put in place to help Obama alter our policies as smoothly as possible, and the cornerstone to this change will come in the form of a massive stimulus package that Obama plans to sign perhaps as early as Inauguration Day, every single element of which is designed take take us out of the antiquated 20^th Century once and for all.

For a month now, Obama’s economic team has been crafting this new package, not aimed at Wall Street Banks or the crumbling car companies, but for Middle Class Americans. And it starts with the Internet. The money will be spent on laying broadband across the country, with the goal of giving every American free Internet access, a move that’s been on the FCC’s desk for years but which the Bush Administration has stubbornly tabled. As Obama has said, “we are the nation that invented the Internet, yet we are 15^th in the world in broadband adoption. It is unacceptable that the United States ranks 15th in the world in broadband adoption. Here, in the country that invented the Internet, every child should have the chance to get online.”

But that is just the start of what may come to be known as America 2.0. Every goal of the stimulus bill is designed to put Americans to work immediately, but even more importantly, set us up for the future. A nationwide high-tech power grid that will allow states to share solar and wind power will accelerate our ability to get off our dependence on foreign oil. Along with that universal access to the Web, a transfer of all hospital records to an electronic broadband system will eventually save the country billions of savings in administrative costs annually. Moreover, massive construction efforts to modernize public schools will encourage young Americans to learn and save massive amounts of money by making the buildings more energy efficient with new lighting and insulation.

As Obama often said during the campaign, the money that we spent on the Iraq War could have been used to rebuild every road, bridge, and school in our country — an intriguing thought that some might say is farfetched. Not anymore. This stimulus package could reach as high as $800 billion, actually approaching the number we have fiddled away in Iraq.

With all of this new technology helping the lives of people in the United States, Obama’s foreign policy will be aimed at change for everyone that lives outside of the country. He is in the midst of planning a major foreign policy speech to be given in an Islamic country in his first 100 days, through which he hopes to win the hearts and minds of everyone looking for an end to the seemingly never ending violence in the Middle East and beyond. This has never taken on greater importance than now as Israel’s War against Hamas threatens to put the region and the world on an even greater imbalance. The 20th Century was filled with religious wars and intolerance on a global scale, and as the leader of the Free World, the weight of moving not only our country, but the world in a new direction has fallen squarely on Obama’s shoulders

Our new president will face tough questions about how to bring the Iraq War to an end and how to fix a war in Afghanistan that now includes Pakistan, India, and even complications with Iran—a daunting challenge. But if we learned anything from Barack Obama on that historic November night, while the path to the future may be tough, there is only one answer to the question as to whether this country and the world can succeed. Yes We Can.

The ways to save money these days are countless and living on a tight budget is not as difficult as it seems. Here are some tips to stay budget-friendly and become a recession-style shopper:

Make a List

The luxury of roaming around a department store or strolling through a mall is wonderful, but that can only lead to unnecessary purchases. Before you set out on your shopping trip, decide what exactly it is you want or need. No matter how large or small the item, making a list will keep your shopping fixed and focused.

Cut back on driving

Once you’ve established what you need to buy, plan a driving route for your shopping outing. Establish where you’re going, in what order and do a little research to find out the quickest way to get there. Gas prices may be on the decline for now, but who knows what will happen in the future. Be strategic with your transportation and better yet, ask a friend to carpool.

Purchase online

Everything found in brick and mortar stores can be bought online, often for less.

Never shop hungry

When it comes to grocery shopping, shopping on an empty stomach can empty your wallet pretty fast. Make sure to have a snack before heading out. Roaming up and down food aisles will lead to impulse grocery spends. Not only will having a snack make your tummy a little more full, you’re sure to be saving a few calories as well by skipping the pint of ice cream. It’s always a good idea to keep a box of granola bars (or an alternative healthy snack) in the car for emergency situations.

Courtesy of ARAcontent

Claus, 145, is holding his annual Christmas preparation meeting, which takes place every Dec. 1.

Among those flanking Claus are his director of transportation, Rudolph the Red-Nosed Reindeer as well as several veteran elves who head his manufacturing team. They look anxious as Claus begins the meeting.

The annual meeting is typically a festive — if dizzying — affair, as key Christmas officials plan for their busy season. It is, after all, almost Christmas: a multibillion-dollar, worldwide project that not only brings joy to millions of families, but may also be the most ambitious commercial enterprise in modern history.

But this year is different. Faced with the worst economic crisis since the 1930s, this year’s meeting is absent the yuletide giddiness that Christmas executives often exude as they enter the home stretch of the holiday season.

While the North Pole may be, from a geographical standpoint, the most isolated place to work in the entire world, Claus and his staff of more than 1,000 now find themselves in the thick of the global recession.

And, as is always the case when standing at the North Pole, all directions are pointing south.

“My friends, I cannot mince words. The global economic downturn has turned our financial structure on its head, and we must find a way to make ends meet,” said Claus, whose bright red nose contrasted mightily with the look of abject fear in his eyes. “Nothing is off the table — layoffs, cuts in services, government aid, increased fundraising — we must act now to remain sustainable, or there may be no Christmas this year.”

‘Perfect storm’

Indeed, the finances are not pretty. While Claus maintains that he kept impeccable records of all his expenses, he said the current crisis constitutes a perfect storm of economic trouble.

In July, facing record-high oil prices, Claus feared that, if the cost of heating fuel rose any further, he would struggle to heat his headquarters, which are located in a region where winter temperatures range from 45 below zero to minus 15. So Claus locked in on a contract for heating oil at about $5 per gallon; since then, the price of crude oil has plummeted from its peak of $147 at a barrel to around $40 now, and heating oil is now selling for less than $3 a gallon.

“It is so frustrating,” he said. “I thought it was going to keep going up. I thought I was doing the right thing.”

And that is just the start of the problems facing the Christmas industry this year. Claus’ elves, who live together in a large housing complex, foolishly bought into an adjustable-rate subprime mortgage in 2006, before the housing bubble had burst. Now, unable to make their monthly payments and still send the kids through Elf School, they are 23 days into a foreclosure process.

Further, Claus has been disproportionately affected by the rising costs of health care. Elves, which make up the bulk of Santa’s work force, are thought to be immortal, meaning their pensions and health-care benefits never stop. Further, they are also thought to be “gods of fertility,” according to Germanic mythology, and reproduce more often than humans.

“My labor costs are through the roof. If I hired elves overseas, they could work for 8 cents an hour,” Claus said, who noted that massive elf layoffs are possible if they are not willing to make concessions.

The Elves Union has publicly cautioned Santa to rule out layoffs.

“Elves are the lifeblood of Christmas, even if they may not get the recognition that Santa Claus gets,” said one representative of the Elves Union. “Besides, maybe Santa ought to consider ways to cut his own health-care costs. I have heard of him eating thousands of cookies in a single night, and he has a body mass index of 34.9, which makes him morbidly obese.”

Too big to fail

“I don’t want to see anyone lose his or her job,” Claus said, and layoffs will be used only as a last resort.

Claus has sent formal letters to President-elect Barack Obama; Sen. Max Baucus, chairman of the Senate Finance Committee; and Rep. Barney Frank, chairman of the House Finance Committee, asking for a government loan of $39 billion.

“AIG gets a bailout. Citigroup gets a bailout,” said a disheveled-looking Claus as his sipped his third cup of eggnog. “I bring Christmas cheer to millions of people all over the globe and singlehandedly keep the retail sector afloat for months at a time. Where is my bailout?”

According to The Economist, American retailers make 25 percent of their yearly sales and 60 percent of their profits between Thanksgiving and Christmas.

“Christmas is simply too big to fail,” Claus said.

Frank, the Massachusetts congressman, said he’s aware of how important Christmas is to the national economy, and his committee will look at a Christmas bailout. But, he warned, any package would include far more intrusive regulations than Claus has been subject to in the past.

“We want coal and wood to be placed in each stocking, so we can help needy families who are struggling with heating their homes,” Frank said. “And we will make sure that Claus is investing in green technology as well.”

Alaska Gov. Sarah Palin has also come out in favor of a Christmas bailout.

“Darn right Santa needs a bailout. He is crucial to U.S. economic stability and bringing good jobs,” she said. “I should know; I can see the North Pole from my home in Alaska.”

Santa Claus and an Elf leave the Capitol Building after testifying before the House Finance Committee; Claus is asking for money from U.S. taxpayers to help fund Christmas this year

If Claus is unable to secure a bailout, he said he will have to make painful cuts.

He has already raised his standards for children to be put on his “nice” list, and as a result more than 27,000 children who were eligible for Christmas services in 2008 will be placed on the “naughty list.” That saved Claus more than $3 million, but he said it is still not nearly enough.

Christmas officials have suggested other controversial ideas, such as having Claus send e-cards to cut down on shipping and administrative costs, basing eligibility for services on income, and even selling some treasures from his headquarters.

“Did you know that I, St. Nick, am the ‘patron saint of pawnbroking’?” Claus joked. “It is true. So maybe we will start liquidating some of our items. There must be a museum or two out there that would want a titanium sled with NORAD tracking capabilities.”

But above all else, Claus said, he is concerned about the children and how they may be affected this Christmas.

“I want children to know that, just because there may not be as many gifts under the tree this year, that does not mean it cannot be a great Christmas,” Claus said. “It is just a tough year for a lot of parents, and for Santa. But we will get through it.”

Photo Credit: Timothy A. Clary/AFP/Getty Images

Several global media outlets, including International Herald Tribune, Deutsche Welle and CBC, are running articles about what Obama’s victory means to their country and the world.

Obama knows his international expectations; he spoke with nine world leaders about the global economy and climate change soon after his victory.

For Americans, Obama’s triumph solidifies a new face and identity. For citizens around the world, his victory is a symbol of America’s renewal and rebirth.  People know the country needs a saviour after the Bush era.

Bush’s presidency changed America’s reputation among foreign countries. Before they were peacemakers, now they are despised in more places than ever.

To the public, his presidency will largely be defined by a war under false pretences, an incompetence that defies logic and now, an economic meltdown that is causing individuals and corporations alike to sink in ever deepening waters; waters Obama is expected to shallow.

Jason Rosenstiel, a dual-citizen with Israeli roots, believes Obama’s economic policy is much better than his former opponent’s.  “McCain’s idea to implement a spending freeze was crazy. Obama’s plans are much better, he can actually prevent this thing from getting worse around the globe.”

Rosenstiel also believes Obama’s relationships with world leaders will help define his presidency.  “He became friends with these leaders before even getting elected.  He made sure that if he did win, the pieces for change would be in place and that’s what will make him a great president. His ambition.”

While Obama’s win is historic, some are baffled.  How could a country that just four years ago re-elected a man so detested today, elect a man like Obama?

In all actuality, it makes sense.  The last time America went with the “safer” option, look what happened.

This time around, Americans took a chance, a chance on a candidate that is promising so much at a time when the United States has so little.

Even so, Rosenstiel has high hopes. “I truly hope he’s more than just a good president.  I hope he’s a world changer.”

Scheduled to be published in the Toronto Star next week.

The Associated Press is reporting that Rahm Emanuel has been asked to serve as Obama’s Chief of Staff. Emanuel, who is apparently still mulling over his options, is a curious choice. While few doubt that Emanuel has the respect of his party — he is the fourth ranking House Democrat and has chaired the Democratic Congressional Campaign Committee (DCCC) — he is not generally viewed as a change agent.

In fact, as a member of the “New Democrat” Caucus and the conservative-leaning Democratic Leadership Council (DLC), Emanuel is a pro-business Democrat who supported the War in Iraq and advocated for a run-to-the-right strategy that many think doomed the party for years. Adding to the intrigue, is the fact that Obama has made serious efforts to distance himself from this centrist coalition of Democrats, which is now infamous for its enthusiastic support for the invasion of Iraq.

In May 2003, when the DLC included Obama on its list of “100 New Democrats to Watch,” Obama responded in kind.

“I don’t know who nominated me for the DLC list of 100 rising stars, nor did I expend any effort to be included on the list…. I certainly did not view such inclusion as an endorsement on my part of the DLC platform.”

“The message was clear: The DLC needed Obama a lot more than Obama needed the DLC,” wrote Ari Berman in the Nation.

Emmanuel was also an opponent of Howard Dean’s “50-state strategy.” Implemented in 2005, the year Dean was chosen to chair the Democratic National Committee, the plan eschews the old strategy of ignoring red states to focus on more winnable contests. The strategy has been widely viewed as a major success: Democrats have made huge gains in the 2006 and 2008 elections, including in some former Republican strongholds.

Of course, given the state of the economy, many are wondering who will replace Treasury Secretary Hank Paulson. Some media reports have heard names, and if the reports are accurate, it appears Obama may pick someone whose approach to solving the current crises is not too distant from Bush’s.

CNBC reports (Bold text in original article):

Newspaper reports suggested New Jersey Governor Jon Corzine is being vetted for the position. Meanwhile we’re hearing other names on the short list include former Clinton Treasury head Larry Summers, New York Fed president Tim Geithner, former Fed Chair Paul Volker and possibly BlackRock CEO Larry Fink.

According Dylan Ratigan, it’s widely believed that Larry Summers is at the top of the list. What does that mean for the Street?

“I don’t think Larry Summers’ bag of tricks will be any different than Hank Paulsons,” says CNBC’s Steve Liesman on Fast Money. In other words Summers basically agrees with the prescriptions made by the Bush administration.

The names listed above are all friends of Wall Street, and in most cases, have direct ties to the industries that have caused the most damage to the US economy. They would all likely favor the status quo on the crises, trade policy and the other basic staples of the American finance system.

Now, Obama has earned a lot of good will from liberals, so he may be afforded some latitude from his supporters – such as unions and the liberal blogosphere. But the possibility exists that if Obama appoints a cabinet loaded with the old guard that dominated the last 30 years – and certainly both parties have supported the deregulation that is now blamed for economic collapse – some of his supporters may not be pleased.

Obama won this one.  He was articulate in his speech, meticulous in most of his policy and overall very calm.  He knocked the economy debate out of the park and effectively linked McCain to Bush on that issue, as well as on the debt and deficit.

McCain again proposed a spending freeze.  He proposed that the government buy and renegotiate bad loans to stabalize the economy.  I’m sorry, but how will you do that with no money?

McCain spoke well, but on the major issues like the economy and foreign policy, he was pretty weak.  It was surprising that he didn’t give better insight into his policy on foreign affairs, Obama came out on top on that topic which was surprising.

In the end both candidates were still quite unspecific, which was expected.  A lot of it was broad, especially their plans for health care.  You could hear a lot of their stump speeches incorporated into the answers.

What I found odd was McCain reluctance to priortize and order the issues he will tackle if elected.  He basically said he’ll work on everything at the same time. Sure.

Obama said he’d kill Bin Laden and crush Al Qaeda.  That’s a pretty bold promise.  He said he’d act if Pakistan refuses to aid or gets in the way of their hunt.

McCain, at one point, referred to Obama as “that one.”  It’s pretty clear these guys aren’t exactly amiable.  McCain initiated post-debate contact, but when Obama stretched out his hand to shake McCain’s he seemed to ignore it, and Obama settled on shaking Cindy McCain’s hand.

The candidates, for the most part, only attacked each other on policy; I was happy with that.

The bottom line is, right now people don’t care about Ayers or the Keating 5, they care about keeping their heads above stormy economic waters.  Having a large portion of this debate centered around the economy showed how unprepared McCain is to tackle the current crisis.  Neither is prepared, Obama just has a better outlook and implementation plan.

Obama did however dodge some questions, most obviously the last one.  The candidates were asked to specify something they do not know, and how they would go about learning it.  Obama told the audience what he DOES know; that America is in crisis blah, blah, blah.  His answer was an indirect one.

McCain answered the question directly and said what he does not know is “what is going to happen.”  He then told the audience exactly what shape the country is in and again, blah, blah, blah.  His answer was better organized.

It was a good debate, the idea for the format was great, I just rather the candidates got a chance to talk to each other directly.  Everyone wants to see that exchange.  The town hall setting made it seem very personal, but it was a safe setting for each candidate. It didn’t allow for any major slip-ups.

A CNN poll reports that 54% of viewers thought Obama won the debate, as opposed to 30% for McCain.  On CNN.com however, an overwhelming 83% of over 40,000 quick poll voters tagged Obama as the victor.

It’s starting to get pretty dangerous for McCain.  He’s loosing ground in key states like Florida and Ohio and to top it all off, he’s not performing well in the debates.  With only one debate left, republicans hope he steps it up.

SUBJECT: REQUEST FOR URGENT BUSINESS RELATIONSHIP

DEAR AMERICAN:

I NEED TO ASK YOU TO SUPPORT AN URGENT SECRET BUSINESS RELATIONSHIP WITH A TRANSFER OF FUNDS OF GREAT MAGNITUDE.

I AM MINISTRY OF THE TREASURY OF THE REPUBLIC OF AMERICA. MY COUNTRY HAS HAD CRISIS THAT HAS CAUSED THE NEED FOR LARGE TRANSFER OF FUNDS OF 800 BILLION DOLLARS US. IF YOU WOULD ASSIST ME IN THIS TRANSFER, IT WOULD BE MOST PROFITABLE TO YOU.

I AM WORKING WITH MR. PHIL GRAM, LOBBYIST FOR UBS, WHO WILL BE MY REPLACEMENT AS MINISTRY OF THE TREASURY IN JANUARY. AS A SENATOR, YOU MAY KNOW HIM AS THE LEADER OF THE AMERICAN BANKING DEREGULATION MOVEMENT IN THE 1990S. THIS TRANSACTIN IS 100% SAFE.

THIS IS A MATTER OF GREAT URGENCY. WE NEED A BLANK CHECK. WE NEED THE FUNDS AS QUICKLY AS POSSIBLE. WE CANNOT DIRECTLY TRANSFER THESE FUNDS IN THE NAMES OF OUR CLOSE FRIENDS BECAUSE WE ARE CONSTANTLY UNDER SURVEILLANCE. MY FAMILY LAWYER ADVISED ME THAT I SHOULD LOOK FOR A RELIABLE AND TRUSTWORTHY PERSON WHO WILL ACT AS A NEXT OF KIN SO THE FUNDS CAN BE TRANSFERRED.

PLEASE REPLY WITH ALL OF YOUR BANK ACCOUNT, IRA AND COLLEGE FUND ACCOUNT NUMBERS AND THOSE OF YOUR CHILDREN AND GRANDCHILDREN TO WALLSTREETBAILOUT@TREASURY.GOV SO THAT WE MAY TRANSFER YOUR COMMISSION FOR THIS TRANSACTION. AFTER I RECEIVE THAT INFORMATION, I WILL RESPOND WITH DETAILED INFORMATION ABOUT SAFEGUARDS THAT WILL BE USED TO PROTECT THE FUNDS.

YOURS FAITHFULLY MINISTER OF TREASURY PAULSON

WashingtonWatch.com says American taxpayers could be hit with $2,000 and families with $6,500 in extra costs from the bailout

“It is possible that the federal government will not expend all of those $700 billion, or even make some money back later,” said WashingtonWatch.com’s Jim Harper, “but I agree with those who call that possibility laughable.”

The blog cites the Resolution Trust Corporation, tasked with cleaning up the Savings and Loan mess years ago. The estimated cost of that crisis was $50 billion, but taxpayers ended up paying $124 billion before all was said and done.

“The bailout is plainly a sop to the financial services companies whose profits were privatized and whose losses will now be socialized,” said Harper. “Proponents say that it’s needed to prevent further financial catastrophe. Treasury Secretary Henry Paulson says that reforms will follow. It’s up to you whom you agree with and whom you believe.”

The draft legislation would raise the public debt limit to $11.3 trillion dollars. That’s $116,000 per family, or $37,000 per person, in governmental debt.

Tuesday, Adobe said it earned 50 cents per share in its fiscal third quarter, which ended August 29. That beat Wall Street’s expectations of 46 cents per share and its own estimates of 39 to 41 cents per share.

Revenue climbed 4 percent to $887 million, beating Wall Street’s forecast of $877 million, the Associated Press reported Wednesday.

Adobe stock climbed 2 percent before losing ground with everyone else late in the day.

In other news, Google was down over 5 percent Wednesday. Amazon lost almost 8 percent.

The Federal Reserve Board on Tuesday, with the full support of the Treasury Department, authorized the Federal Reserve Bank of New York to lend up to $85 billion to the American International Group (AIG) under Section 13(3) of the Federal Reserve Act. The secured loan has terms and conditions designed to protect the interests of the U.S. government and taxpayers.

The Board determined that, in current circumstances, a disorderly failure of AIG could add to already significant levels of financial market fragility and lead to substantially higher borrowing costs, reduced household wealth and materially weaker economic performance.

The purpose of this liquidity facility is to assist AIG in meeting its obligations as they come due. This loan will facilitate a process under which AIG will sell certain of its businesses in an orderly manner, with the least possible disruption to the overall economy.

The AIG facility has a 24-month term. Interest will accrue on the outstanding balance at a rate of three-month Libor plus 850 basis points.

AIG will be permitted to draw up to $85 billion under the facility.

The interests of taxpayers are protected by key terms of the loan. The loan is collateralized by all the assets of AIG, and of its primary non-regulated subsidiaries. These assets include the stock of substantially all of the regulated subsidiaries. The loan is expected to be repaid from the proceeds of the sale of the firm’s assets. The U.S. government will receive a 79.9 percent equity interest in AIG and has the right to veto the payment of dividends to common and preferred shareholders.

In a statement, the Fed said “strains in financial markets have increased significantly and labor markets have weakened further.”

Read more.

A surprising beneficiary of the president’s Economic Stimulus Plan, aimed at encouraging spending and job creation, the porn industry recently enjoyed a banging good boost in profits, according to a research company that specializes in these kinds of things.

The Adult Internet Market Research Company, (AIMRCo) says that adult-themed and pornographic websites experienced a spike in sales and memberships during weeks in the spring and summer when people received their stimulus checks in the mail across the country.

“Many of the sites we surveyed have reported 20-30% growth in membership rates since mid-May when the checks were first sent out, and typically the summer is a slow period for this market,” said Kirk Mishkin, head researcher for AIMRCo.

The industry seems to agree, the stimulus checks did…er..uh…just that.

Jillian Fox, spokeswoman for LSGmodels.com, one of the sites reporting figures to AIMRCo, added, “In a June 15 survey to our members, 32 percent of respondents referenced the recent stimulus package as part of their decision to either become a new member, or renew an existing membership.”

The economic stimulus plan included checks of up to $600 for individuals and $1,200 for couples.

“Getting more people to buy porn was probably the last thing Bush had on his mind when he came up with his ’stimulus package,’” Fox said, “but we’ll take it.”