Monday, June 22, 2009

Just added a new post....

Check it out at my new address http://orendobronsky.com and please update your RSS subscriptions for future posts....

Thursday, June 4, 2009

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See you there.

Wednesday, June 3, 2009

My blog has relocated to another address! please update your subscription.

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Thanks and Sorry.

Tuesday, June 2, 2009

The Day that America changed

What happened today is that the US Government, headed by President Barack Obama, has decided to Invest 30,000,000,000$ of its people money in GM, a BANKRUPT company!


What private investor would invest 30B$ in a company that goes Bankrupt? I guess that because the answer is “There is no such crazy investor in the entire world” then the US Government volunteered to be that investor. Make no mistakes, Barack Obama has decided to take Americans money and Invest it, making all Americans into Shareholders in a failing auto company.


Let me give you a small lesson in Logics.


Fact 1: Toyota (or any other car manufacturer in the US for that matter like Ford, Honda, Chrysler, Tesla…) is a direct competitor of GM in the Auto industry.


Fact 2: GM = United States Government. (The US government as of today holds 60% of GM shares)


Therefore: Toyota is now a direct competitor of the United States Government.

Is that Fair for Toyota or any other car company to be in direct competition with the US Government?

And more than that, as:


Fact 3: The US Government = is really representing the US people.


Therefore: The US people are now a direct competitor of Toyota.

Therefore: Should US people, as newly shareholders of GM now prefer to buy a GM car over a Toyota car in order to support their investment in GM?

Is that Fair to Toyota or any other car company in the US to be in a direct conflict of interest with the US consumers?


- And as for the tax-money that is collected from such car companies like Toyota and Ford, is it Morally fair that it will be used to fund a competitor? Does Toyota pay taxes to bail-out GM?


- And what about saving other Car companies that might fail in the future. Would it be fair NOT to bail them out if they will need help?


- Or for that matter, why not any company, why only car companies?


- And as for the Other Millions of individuals that have lost their jobs lately in Other failed companies, why didn’t the US government bail them out? Shouldn’t their companies be bailed out to spare their jobs? Are they less important that the GM workers? Is that morally fair to them?


- And wouldn’t the US Government be now in a conflict of interest regarding any future decision regarding the automotive industry? I mean, let’s say for instance the US Government will decide not to bail-out the next failing car company, wouldn’t such company claim that it is done because the US Government has already an interest in GM? I mean every decision will now be biased by definition, no?


Mr. President,

I believe that more than just a very bad financial decision, this is also a very MORALLY WRONG decision, towards all tax-paying Americans, all other car companies, all those that lost their jobs and totally contradict the spirit that brought this nation to greatness. I strongly believe it contradicts the constitution itself….

Saturday, May 2, 2009

The Master will become the Slave

A vicious cycle is going to happen.

1. All Starting by the current US government deflating the value of the dollar by trying to reverse the situation and therefore printing and borrowing more money.

2. At some point the dollar value will drop like a rock.

3. Then the Chinese will understand that their dollar reserves are deflated and try to get out of their dollar holding by using it to buy real assets around the world, buying metals and other basic commodities, as well as real assets in USA, as well as shares in the top 500 public companies in the USA. This Chinese dollar sellout will even intensify the dollar drop in value. Because the Chinese will not want to impact their own dollar holdings by selling much of it, they will do it quietly, buying anonymously more and more assets, which will make it very hard to track, but one day we will wake up to a new reality in which the Chinese government will become the new landlord of American top assets, or basically the new landlords of America.

4. There will be a very high inflation in America, the dollar will be worth much less. everything will cost a fortune and salaries will stay low.

5. The American people will need to move from service industries to manufacturing, but this time, they will get a small wage working for a Chinese owner, something very hard for us to adjust.

6. America will become the new China of cheap labor, not allowing the people to enjoy all the luxury but rather work for keeping them alive.


15-20 years from now, looking back into history, it will be seen that a combination of:

a. Decades of hard-working Chinese, saving their incoming dollars by their government, making the people save as much as possible while getting more and more American manufacturing outsourced to China,

b. And at the same time a corruption of American society, making it into an "Obese" mentality created by two factors:

i. The US Credit concept that allowed Americans to live beyond their means, with the option to borrow and re-finance at any point, both at the individual level as well as the corporate level and at the government level,

ii. And the prevalent of the social concept of consumerism that saving is bad and spending is what defines us as Americans,

have created a situation that the Master(Americans) became the Slave(cheap Chinese laborers) and the slave became the master. because the Master(Americans) have Borrowed money from the slave(cheap Chinese laborers) to buy his cheap services for years and now when it is time to pay back the loans, the slave comes to claim the Master house as a payout.


Unfortunately, this will be intensified by the current US administration that deflates the dollar even further. The new administration should have tried to stop the crisis at the last minute by doing Only three things: (i) Letting the markets take care of themselves, including letting large corporations to fail (ii) Reversing the spending and start saving both on a national level as well as encouraging individuals to save on a personal level, And by (iii) Start manufacturing more and giving private entrepreneurs incentives to manufacture more in the USA. But instead the US administration will continue to borrow and print money to artificially reduce the pain in the short term on expense of America’s long term future. The truth is that the administration is expected to do this by its voters as no nation has ever been in such a situation before and therefore nobody really knows what should be done. What American do want now, is a quick pain relief so instead of dealing with the real problem we take the shortcut pain-killer and let the CANCER grow ten times in size.


It's like laws of physics, there cannot be something out of nothing. There cannot be a way for a government to take us out of a hole (debt we took for so many years) by borrowing more money. In order to climb out of the hole we need to roll up our sleeves and climb, but as you may know, for an Obese it is very hard to climb.....