Portrait of a Puppy

It's been a while since I posted. Mostly I've been putting things on my FaceBook page. But here's a recent picture of our puppy. She is a real sweetheart. 

Election Summary

This is what happened Tuesday.

Roses in Texas

For Mother's Day, our son and daughter-in-law sent Susan a very pretty miniature rose bush. We had it on the back porch in the basket it came in, but it wasn't doing very well. I transplanted it to the front of the house in one of our beds and it has really flourished. It just started popping out new blooms.

We hope it continues to do this well. One problem with raising roses in Texas is that the deer love them. We're hoping that the plant's proximity to the house and its location in the front will offer it some protection.

Ginger

Ginger loves to keep watch. Here she is checking out activity in the neighbors' backyard.

Only to be distracted by something going on in the front of the house.

Sometimes there's just nothing going on.

We bought the rug because it went so well with Ginger.

Naptime

Grandchild in Texas

One of the joys of having retired to Texas is that we get to spend a lot of time with our granddaughter here.  She likes having her picture taken, so I have a lot of shots. Here are a set of her trying on my UT hat:

She also loves to ride in our golf cart. Apparently she is also ready to take the wheel:

Chicago

We spent a few days in Chicago (Naperville, actually) admiring our new grandson and getting reacquainted with the other four. The older ones were a little camera shy--unusual for them--but I did get some good shots of the new arrival. We had a great time while we were there.

Here are some photos:

The newbie: 

  

The next youngest (she wasn't camera shy):

  

And second oldest (focused on Wii)

What Can this Be?

Today the Fed announced that it would act directly on the credit markets by purchasing short term commercial paper (90 days in maturity) from qualifying businesses and banks. This will no doubt be met with outrage by many who believe that the Fed is abandoning its traditional role (which is apparently lagging the business cycle and screwing up the economy) for something new. Actually those who know the history of the Fed also know that this is in fact the exact role the Fed was created to play in the economy--provide liquidity in the financial markets by discounting short term commercial loans (then known as "bills") to supply  needed liquidity. The mechanism is slightly different due to structural changes in the economy, but the purpose is exactly the same.

The Fed became involved in the government securities market for the sole purpose of financing (through the banking system) WWII. Prior to that time, the notion that the Fed would buy government securities or loans backed by government securities was considered anathema and the quickest way to an inflationary bubble.

Could this be the return of the discount rate?

Jonathan Alter on McCain

Alter is a senior editor at Newsweek. 

Teddy or FDR?

Garrison Keillor's Take on the Financial Crisis

Please note the complimentary attitude toward bank examiners.

They Played a Losing Game with our Money

A Post-Debate Oddity

Did any one besides me find it odd that the Democratic vice presidential nominee showed up for questions after the debates, but the Republicans sent Guliani instead of Palin.  For goodness sake, Guliani's not even a Republican. Couldn't they have sent Lieberman instead?

A View of the Debate--and a Prediction

I watched the debate last night from beginning to end. In a campaign sense, I didn't really see a clear winner, especially because Obama gave up a couple of chances to nail McCain on the economy. I thought Obama carried off the foreign policy questions very well and should have satisfied people who were worried about his abilities there. I imagine most people came off thinking that McCain demonstrated his experience in that area very well, although if he really spent as much time visiting foreign countries and talking to their leaders (all his very good friends) as he said he did, I'm not sure how he managed to spend any time in the US at all. 

However, the two things that bothered me most (and surprised me least) were first, when McCain almost lost it when Obama reminded him of his "muddling through" comment about Afghanistan--on the split screen you could see that he really clinched up and looked like he wanted to punch someone. This aspect of McCain's temperament really scares me. Second, McCain showed a complete absence of flexibility with respect to foreign policy. There are our friends and there are our enemies--no shades of gray. I don't think he's moved very far into this century in a lot of his thinking. His message to everyone with whom we have a disagreement seems to be "our way or the highway."

And here's my prediction: When Bush started doing poorly in the polls after the first two debates, that's when the Republican strategists really moved almost all their ads to the low road. I think (even though I really hope I'm wrong) that we are soon going to see a real change in the Republican strategy--stuff even worse than the "sex ed for kindergartners" nonsense. 

No Bailout?

I don't agree completely with this guy--for example, the bailout might be feasible if we (the taxpayers) take an ownership interest in the companies we bail out equal to the decline in value of the securities purchased by the government--but he makes a lot of sense. The clip is really worth watching to the end.

The one thing that really comes out in the clip is how often Paulsen, Bernanke, and others have either been wrong or lied about where things stood. Now they want, particularly Paulsen, carte blanche with our money to deal with the problem. I don't think so.

http://www.youtube.com/watch?v=TeWJZiJGc2s

The Current Economic Situation

I’m really torn about the goings on in our financial sector. On the one hand, I’m pleased that the Fed and the Treasury are getting it right this time—unlike 1929 they are not acting in a way that will make the situation worse. On the other hand, I’m really bummed that a lot of greedos are getting away with their largesse. One of the features of the 1929 crash was that the bust took down most of the people who caused it. Of course it also took the economy as a whole down. It looks like neither of those things are going to happen this time. The other part that bothers me is that those of us who didn’t take on debt beyond our ability to pay (personal or corporate) are going to suffer along with everyone else, even if it’s only indirectly. My grandkids will still be paying for all the liars who falsified their mortgage applications and all the financial executives who took fliers on credit default swaps (and received the corresponding bonuses) that they had do idea how to value.

No one will want to admit it but American capitalism is dead (it’s been moribund for decades). Dead at least for any company big enough to have a significant impact on the economy. The smaller fish will still be subject to the vagaries of the business cycle. In the new crypto-capitalist scheme the government should insist that any company expecting a bailout should install an executive compensation scheme (and the requisite contract clauses) that tie pay to performance—if you fail, you get nothing and bonus pay should be retrospective after the true outcomes are known.

The key now is deciding whether we want to act to prevent situations like the one we’re now enduring or just continue to clean up afterwards. My guess is that people are so confused about the capitalism/socialism issue that business special interests will be able to stave off any direct control—maybe even any really effective regulation. JK Galbraith should be required reading for anyone allowed to vote—the lone sane economic voice in the last 75 years.

Sarah Palin's Credentials

Check out this non-partisan comment on Palin's credentials.

http://www.newsweek.com/id/160080

More Pictures of Our New Grandson

He's a sweetie. We can't wait to see him in person.

We have a new Grandchild

Our sixth grandbaby was born on Monday night, September 8. He was earlier than expected by about 3 weeks, but weighed in at a healthy 7 pounds 5 ounces. Both he and his mother are doing fine. His siblings also seem to be doing well. We'll probably go up to Chicago in a couple of weeks after things settle down a bit to help out and pay a visit to everyone.

Here's an early picture.

You must see this clip from the Daily Show

Becoming Texans

For our anniversary, we decided to visit a part of Texas we hadn't seen before. We have a book called "Off the Beaten Path, Texas" by June Naylor. The book divides Texas into eight areas and suggests places to visit, eat and stay. The book was a bit spotty regarding information about attractions--some didn't live up to the hype in the book and the information regarding hours places were open was often wrong. But the book does give some ideas about things to see across Texas. We'll use it again, but we'll be more careful about checking the information in it next time.

The highlight of our trip (for me at least) was a stop at Washington-on-the-Brazos where Texas independence was declared in 1836. Here are some photos, including a reconstructed Independence Hall, where the declaration was signed.

We also saw some old oak trees that Susan really liked.

Our Granddaughter

One of the real benefits of living in Texas is the time we get to spend with our granddaughter. She visits often (her mom and dad come some, too). She and Ginger get along very well. Each likes to play with the other's toys. Last week our granddaughter decided to get in the crate we used to train Ginger. She teased Ginger with some of the toys that were inside. Ginger was very confused to have someone else in her crate. Here are some pictures.

Queen of the Household

Readers of my blog know that we got a puppy last fall. Ginger is almost a year old now and has turned into an exceptional dog. She is the sweetest puppy you've ever seen and is very well trained in the things that matter most--she's perfectly house broken. She's a little willful, but obedient most of the time. She pretty much runs the house now. Here's a picture of Ginger resting on her favorite spot--our bed.

You may have seen the commercial where the dog lures his master out of bed so he can take his place. Well, that happens around here, too. Here's another picture of her just after I got up one morning. She didn't waste much time taking my place.

One morning this week we couldn't find Ginger anywhere. We looked high and low, but she was nowhere to be found. We hadn't been outside, so we knew she had to be somewhere in the house, but all our searching failed to find her. Finally she poked her nose out from under the ottoman in our bedroom where she had been sleeping. Here's a picture.

 

There are Legacies and there Are Legacies

Another Transplant

At the beginning of June, my mom moved from Missouri to Sun City. We are so happy to have her with us down here. All of her relatives have now moved away from Missouri, so there is no remaining family connection there. Here in the Austin area, she has  a son and daughter-in-law, two granddaughters, a grandson-in-law, a great granddaughter and a niece and nephew-in-law. In short there is a significant family support group here. If only we could get our son and his family and my sister here, the circle would be complete.

I think mom likes her new place. It has just the right amount of space for her and to accommodate a visitor (like my sister, who is here now for a few days). Her place is about a mile from us--easy access, but not too close that we are a bother.

She's still getting settled and adjusting to Texas. Any move like this (mom lived all her life in Missouri except during and just after WWII) is stressful and it has been a challenge for her. She also moved during the hottest June since 1854. The average high temperature was 99.5. But I have to tell you that with the low humidity from noon on, it doesn't seem worse to me than KC or Chicago in the summer. Plus, the air is clean.

We're very happy mom is here and we hope she feels the same.

Another Fun Wedding

The middle of June, we went to Portland for our nephew's wedding (Susan's side--that's where all the nephews and nieces are). It was our second trip to the northwest in a month. All in all, I think I liked Portland better than Seattle, although with such short trips, it's hard to tell. Portland seemed more dynamic with a vibrant downtown. We got to see the famous rose garden and it compared well to the ones we have seen in Victoria and Ireland. (Gino--I've got about 200 shots of roses to send you.) 

Portland has a very well planned mass transit system and we were able to get around with ease. Ironically, we rented a car in Portland where we didn't need one and didn't rent one in Seattle where we did. Oh well, live and learn.

The wedding (on Friday the 13th, no less--the anniversary of the couple's first date) gave us a chance to see some of Susan's family that we haven't seen for years. Some of them grew up while we weren't looking. Susan's oldest nephew has gotten married since we last saw him. It's his second marriage and he acquired a couple of daughters in the match. This is a big deal for his mom and dad, because their sons have produced no girls up to now (of course they had four boys, so they can hardly complain).  Susan's youngest brother's kids are almost the same ages as ours (we just stopped two births sooner than they did). Their second son, who also lives in Portland, has two boys that we had never seen before. They are the spitting image of their father as a child and close enough in age that they are sometimes mistaken for twins. Their father and our daughter Christine were often mistaken for twins when they were younger.

Here are some sample photos from the trip. First, the bride and groom:

Our oldest nephew, his wife, his two boys and her two girls:

Second oldest with his wife and two boys (the boys are all decked out for the wedding):

The youngest nephew with his girl friend.

And finally, Susan's brother and sister-in-law:

Susan's oldest brother and his wife were also there:

 There was a lot of other family present, too. It was really great to see everyone, even for so short a time.

Oh yes, the roses. We must have some pictures of the roses. Here's a small sample:

You can see that they had some very unusual colors as well as some very unusual blossoms. I had never seen purple roses before.

Kristin and Bob's Wedding.

Our reason for going to the far northwest was to attend the wedding of some friends. It was a long trip, but it was certainly worth it. The wedding setting was perfect and all the activities surrounding it were great. The wedding was in an old church on the island. Here are some pictures of the building and its surroundings.

Shots of the wedding party. The bride.

The groom's family is of Irish descent, so they wore kilts.

The bride and groom.

There was even a bagpiper.

The reception was at the bed and breakfast where we stayed. It was a really nice outdoor setting and the weather was perfect. Here are some shots from the reception. ( I have some others that I'm saving for use later as blackmail.)

Mother and daughter.