HEALTH CARE REFORM - "A RED HERRING"

The term “red herring” refers to the practice of drawing a red herring across a trail to confuse hunting dogs: something that distracts attention from the real issues.

Has Health Care Reform been a diversion that has kept all news media narrowly focused on this one topic for over a year?

Nationwide Unemployment is Not Getting Better
Are unemployment benefits no longer temporary?
It is time for both Democrats and Republicans to truthfully admit that Government cannot solve this problem, and that it will likely continue for some time. Americans who are underemployed and those living on employment benefits cannot support what has been a consumer driven economy. Reckless spending will only make matters worse.

What Happens to Government subsidized jobs when funds runout?
Stimulus Jobs on State’s Bill in Mississippi


States are Broke

Quite a few states are in deep trouble, and unable to continue paying unemployment benefits. Many are forced to fire those on their own payrolls adding to the unemployment rolls.

Budget Nightmare: 10 Most Broke States
From Road Paving to Services for the Poor, States Cut Back to Balance Budgets Crushed by Recession.


America's 5 Worst Deadbeat States
Deficits, Political Gridlock, Unemployment: the States Facing the Most Frightening Fiscal Crises.


 N.J. Gov. Christie Freezes Spending
With State's Budget In 'Shambles,' New Governor Slices Into School Surpluses, NJ Transit Subsidies.


The Metropolitan Transportation Authority plans to let go more than 1,000 employees as it struggles to rein in ballooning deficits.


Major Crisis Remains in Housing and Commercial Real Estate
In a further attack on the housing market, the New York Times recently reported that President Obama may be amending his loan modification program to make it even more difficult for defaulting homeowners to be foreclosed upon. The Times states:

U.S. Housing Aid Winds Down, and Cities Worry
Refinancing unavailable for many borrowers

Rising FHA default rate foreshadows a crush of foreclosures

For the past year, the Federal Housing Administration has backed home loans that most big lenders wouldn't touch.

About 9.1 percent of FHA borrowers had missed at least three payments as of December, up from 6.5 percent a year ago, the agency's figures show.

Although the FHA's default rate has been climbing for months and eating into the agency's cash, the latest figures show that the FHA's woes are getting worse even as the housing market shows signs of improvement. The problems are rooted in FHA mortgages made in 2007 and 2008. Those loans are now maturing into their worst years because failures most often occur two to three years after a mortgage is made.


If the trend continues and the FHA's cash reserves are exhausted, the federal government would automatically use taxpayer money to cover the losses -- a first for the agency, which has always used the fees it charges borrowers to pay for its losses.

Citigroup Inc. plans to let homeowners on the verge of foreclosure stay in their homes for six months -- if they turn over the deed to their property.
U.S. Watchdog: Bailout Funds Must Be Used to Help Commercial Real Estate
House GOPs: Where are Obama's Fannie Mae and Freddie Mac overhaul plans?
Fannie is allowing homeowners to hand back the deed to their properties, then rent them back at market rates.


Many Financial Institutions Remain in Serious Trouble

President Obama has boldly declared No 'second Depression'. The news media as usual fails to seriously ask the President why he believes this is true. Instead, they all breathlessly cover every bone the President chooses to toss to them with his daily announcements. As if his very words will actually, solve the countries problems.

Economists: Another Financial Crisis on the Way

Regulators report 27 percent jump in problem banks. Regulators have closed 20 U.S. banks so far this year and 185 since January 2008, as banks continue to struggle with loan portfolios stocked with souring loans.