Monday, August 16, 2010

Administration Goes After Private Again, Public is Off-Limits; Unemployment Rate in Focus ...

POTC believes Jimmy Carter's Department of Education (ED) should be disbanded; another dump for taxpayers' money.

Secretary of Education Arne Duncan is just another useless shill in this Change cabinet. Anyone taking notice of the Chicago political clout in B.O.'s hires? POTC is ...

Just as every person isn't able to afford a house as B.O.'s cronies pushed and continue to push for, not every person has the mental and emotional fortitude to finish college.

"Shares of for-profit education companies slid Monday as government data showed that many of their students aren't repaying school loans, which could imperil the ability of their students to receive federal financial aid, the bulk of the schools' revenue". 
Yet no government agency should bully its rules on any private sector in an economic downturn in our opinion. Unless that govt agency applies the same rules to its own, in this case the broken public school system under the auspices of Arne Duncan.
"The validity of the (ED)'s 'data dump' is suspect, in our view, given the shockingly low repayment rate for Strayer University," said Jeffrey Silber, an analyst with BMO Capital Markets. Strayer Education Inc. (STRA) has said in the past it believed its programs would pass the government's test, and calculated its own student debt repayment rate at 55.4 percent, rather than the ED's finding of 25 percent.

A familiar tune from B.O. and his cronies is reverberating throughout the stock market and ruining investors once again. The intellectual donkeys are changing the rules and tightening the clamps on another private sector, this time education.

Perhaps STRA should file a federal lawsuit against this Administration since Peter Orszag promised Unemployment would not surpass 8.1% if the $700B+ stimulus bill was passed; today's real unemployment rate is 15% in some states ...

Just as they berated Wall Street for months and finally shook Goldman Sachs (GS) down for $550M, now private education is their target. Some analysts think the monetary penalties from ED could be enough to force many private schools to shut their doors.

Government sponsored enterprises of Freddie (FRE) and Fannie (FNM) were never mentioned in H.R.4173 - Dodd-Frank Wall Street Reform and Consumer Protection Act; not once. We assume public schools are either off limits or treated with kid gloves as the economy is stagnant and unemployment rate soars; graduates of every school will difficulties paying back their loans. Why punish the private sector in one of the worst cyclical downturns?

The American people must begin paying more attention to these policies or welcome in a post capitalism  type of Quick-Fix-Socialism. The United States has endured a lot of stresses since 9/11, including Enron, accounting scandals at Arthur Andersen LLP, hurricane Katrina, the oil spike, and the ongoing credit and real estate problems. Yet we do not think any of those besides 9/11 holds a candle to the blatant anti free-market behavior directed at the private sector from this Administration.

This Change Administration is satisfying the ultimate goals of the 9/11 terrorists: to annihilate the United States' private sectors through one-sided restrictions, regulations, and intimidations. But why this is being done from within is unfathomable to us.

Thinking back on that morning of 9/11 shock; fog of death and stench in the air, men and women jumping from buildings, body parts strewn over sidewalks and roofs, others buried under molten metal, and the terrorists motivations were to do exactly what B.O. is doing "legally" today; collapsing the private sector at every chance. God forbid another 9/11 under such a heavy handed government and naive American people who voted for this Change.

Even if this Administration addresses mistakes with the Wall Street Reform Act, FRE and FNM, with the Department of Education as related to public schools' problems with loan repayments, with the Department of Energy's mistakes of not allowing drilling onshore and then forcing private companies to drill deep wells ... Well, we are not foolish enough to believe they would address any of those transparently and right their wrongs.

Though there will be a meeting to address FRE and FNM this week, we know it's just another mirage like the one pulled on the elephants in that televised health care meeting. And this was post Scott Brown's supposed crippling win? POTC believes the elephants are 100X more free-market thinkers, yet they have been duped of late big time.

This double standard of lynching the private sector and growing the public sector must end soon; and hope it happens peacefully.

1 comment:

Anonymous said...

Good evening

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