The Eco Economy

What is missing in the public debate? It is Climate Change, Stupid!

noreply@blogger.com (Anonymous) — Fri, 12 Apr 2013 04:25:00 +0000

There are many issues in the forefront in the public debate in America. There is gun control, which we all could agree needs some resolution. There is also immigration. Again, a matter that is important to the future of America. And, of course, there is the budget, which is soon to morph into the debt ceiling crisis. This too clearly is an important issues; however, I remember back last fall we all were discussing another important issue that would impact the United States, the World and future generations. No, I am not talking about that Gangham Style dance or whether or not Kate and Prince Andrew are going to have a baby. I am not even talking about the U.S. presidential election, which definitely was big. I am talking about Hurricane Sandy, which brought to the forefront the issue of climate change. However, like everything in this 24 hour news cycle, it faded away just like the storm itself. And we will not have a discussion about the climate change until the next cataclysmic event. It could be another long hot summer which creates the next dust bowl or another super storm to hit the east coast or the gulf coast. Who knows. But, it is truly unfortunate that we cannot address an issue in the United States until there is a crisis. I assume that is how we are conditioned. We have short attention spans and focus on the next shiny object or issue in this case With climate change, however, we cannot wait for another crisis because resolution to this issue requires short term and long term thinking and planning. It requires the world to develop a new strategy in how we operate in business and in our lives. It requires new thinking about technology for creating and preserving energy. We have the skill set, the desire, the resources and the intelligence to do so. It just requires a unified effort. We did it in the past. In the 60s, we sent a man to the moon and passed a civil rights act, which was a combination of scientific skill with a moral compass. We still have it and can do it. We just need the focus and direction. Let's get started now. Quite frankly, I do not want to have to see another Weather Channel anchorman standing out in the middle of the hurricane telling me that this is the storm of a century just a year after I just experienced the storm of the century. Sooner or later it is no longer called a one-time event and instead is called a pattern. That is a pattern that we have to deal with now, not just when there is a crisis.

A Storm of a Century Every Year

noreply@blogger.com (Anonymous) — Tue, 30 Oct 2012 14:20:00 +0000

I noticed that we keep on hearing the news say that this is "a storm of a century" or "a once in generation event" when it comes to natural disasters and the weather. The problem is that they seem to be saying that all too often. Perhaps, we should consider that these events are no longer a nominally, but rather a permanent change in the weather. Like 50 million other Americans on the East Coast, I got up close and personal with Hurricane Sandy, aka Franken Storm or the Super Storm. These names are effective for good headlines, but we should look at the facts here. Here in the northeast corridor of America, we had hurricane Irene last year and Sandy this year. We have become the Florida of north for Hurricanes without the nice warm weather or the early bird dinner specials. Prior to last year, we had a record breaking amount of snow and then last year we broke a record with the lowest amount of snow fall. We are getting hotter summers, longer Falls and shorter Springs. Half the country is going through a record breaking draught and the other side is deluged with an amount of rain that would have any rationally thinking person of building an ark. We all know what is happening here and, yet, we cannot talk about it. Heck, none of the presidential and vice president debates discussed the bogeyman, the white elephant in the room or the Lord Voldemort of the twenty first century. It is climate change. Let's drop the reference to global warming and just call it climate change. That is what it is here. And any person who denies it is, quite frankly, a moron. I am sorry to insult a half of the American population, including politicians running this country, but you are. I am amazed how the rest of the world acknowledges climate change, but a portion of America still remain in this "Denial of Climate Change Bubble". Of course, that same bubble is in black and white, has Leave it to Beaver and still thinks the Soviet Union is our biggest threat. Look, we have a major problem here. We can worry about the economy, birth control, the right to chose and same sex marriage. However, if we do not have a serious adult discussion about climate change here, there will be no economy to worry about, no birth control needed because human procreation will be irrelevant with the human species being wiped out and marriage will not be an issue because humans will just be trying to survive as opposed deciding to who the want to spend the rest of their lives with when they may not live to se the next day. I hate writing this "end of the world", "red alert", "Danger Will Robinson" blog entry, but I have no choice. We all should be doing the same. I spent 48 hours or more watching the Weather Channel about Hurricane Sandy. Perhaps, that is too much time. But, it worked. Tt scared me enough to get really prepared for this storm and thank goodness I did. If the news can successfully do that for a hurricane, why can't they do it for something bigger like climate change? Perhaps, I should start a blog about that. I just need to get some readers. It reminds me of that old chinese proverb: "If a man rights a blog and no one reads it, will he be heard." The answer is no, but at least I have company with the issue of climate change. I really should start building that ark.

Unlike the President, Climate Change Never Showed Up to the Debate

noreply@blogger.com (Anonymous) — Wed, 17 Oct 2012 03:55:00 +0000

For the environmentalists out there, it was another disappointing debate. No, I am not talking about whether or not a certain candidate "won" the debate. One of the most important issues within this decade was not asked by the moderator or any of the attending audience of this town hall debate. That issue would be climate change. In fact, it was not asked in the previous presidential debater nor the one and only vice presidential debate. There was discussion about energy in this debate, but such discussion never broached the topic of climate change. Chris Hayes of MSNBC described it best by saying "To discuss energy without discussing climate changes is like discussing smoking without discussing cancer." Unfortunately, the last presidential debate is on foreign policy and most likely climate change will not be asked unless there is a question about how the change of the climate will impact our foreign policy with respect to protecting natural resources. It is a real shame here. Mitt Romney is part of the deniers of climate changes and President Obama has not done enough to bring this issue to the forefront. I would have loved if someone asked Governor Romney on why he does not believe in climate change and how he plans to combat it when this myth becomes a reality. If the person seeking one of the most important jobs is not asked in his "interview" about how he would deal with climate change, how can we really expect that he will do anything about it. This seems another issue that will be kicked down the road to be discussed at another time. Sooner or later we are going to have to deal with it. At least in the 2016 election there will be discussion about this issue because I believe by that time global warming will be having a significant impact on the US economy and the world. Unfortunately, any policy to address it will be reactionary as opposed to preventive. Let's just hope that the next president believes this is an important issue even if he media does not. Unfortunately, I believe only one of them believes it is an important issue. That same person also believes that in the science of climate change.

Bill on Bill

noreply@blogger.com (Anonymous) — Sat, 06 Oct 2012 03:13:00 +0000

I am watching Bill McKibben on Bill Maher. Here is some interesting facts: 1. The average temperature has been higher than recorded temperature from the last century for 330 consecutive months; 2. Only 25% of the Arctic Polar Cap remains; and 3. 60% of the US suffered a drought this past summer. Unfortunately, there is still one party in the US and a Presidential candidate that does not believe in climate change. The issue is how we get over this divide. There is a not a Republican Senator that believes in climate change. I guess we can push them out or wait until they come around. It seems to me that the environmentalists are too weak and timid on this issue. They need to learn from the counterparts and take more aggressive tactic to change peoples' minds. One way to convince them is to prove that green technological will also benefit the economy. There is a current belief by many in the business world that green technology is a money loser. In fact, Mitt Romney criticized the President in the Presidential debate this week of the money wasted by the government in green technology. Then again he worked for Bain Capital, which had as many failures as successes. Does anyone remember what happened to KB Toys? The point is that there needs to a be a new message from the environmentalists. Here are some suggestions: 1. The climate is changing and you can either believe in the supporting science or ignore the science and continue believing in unicorns and leprechauns; 2. Green technology will help the economy and America grow or we can let it die on the vine and watch China, Brazil and India become the new environmental superpowers; 3. Taking care of mother earth is not a democratic, republican or patriotic thing. It is just a human thing. 4. I told you so!!!

republican party and global warning

noreply@blogger.com (Anonymous) — Sat, 01 Sep 2012 12:35:00 +0000

I find it somewhat disheartening that Mitt Romney, potentially the next president of the United States,mock President Obama in his speach about his efforts to fight global warming. Is it not time to stop this and acknowledge that the climate change is and will be a serious issue. We have all heard the statistics about how rapid the planet is warming,yet we have people who may run our government ignore it. I heard the best solution from the actor Jason Alexander. Put all the naysayers on an iceberg and if in five years they and the iceberg are still there, then they are right and the rest of us will apologize. I recommend that the bring some life jackets. It is this myopic backward thinking that will hurl us into the dark ages. I am sharpening my broad sword and shining my chiainmail now.

Health Care Law, the Supreme Court and the Environment

noreply@blogger.com (Anonymous) — Sat, 30 Jun 2012 15:14:00 +0000

Another politically charged week here in the US and as the weather heats up, so will the political rhetoric being that it is a presidential election year. The Affordable Health Care Act ("Obamacare") has survived via the Supreme Court ruling in a 5 to 4 decision upholding its constitutionality. What does this mean for America and why I am talking about this on an environmental blog? The law itself is not the issue here. The significance is the ruling. Many Americans, particularly, the liberal base have questioned the Supreme Court's activities because they have viewed it acting more of a rulemaking branch of the conservative party. Perhaps, the conservatives had said the same thing forty years ago. In fact, maybe they are saying that now. Nonetheless, in order for this democracy to function, there has to be faith in the three branches of government. Clearly, the American public's level of confidence with the other two branches, Congress and the President, is at an all time low, but to lose the faith in the Supreme Court could be cataclysmic. Perhaps, some people who are against the ruling have lost faith in the highest court of the land; however, it was Chief Justice John Roberts whose decision broke the tie brand more importantly, he wrote the decision upholding the constitutionality of the Act, specifically as it relates to mandatory coverage. Again, so what does this have to do with the environment? Well, in the near future the government will have to take action in regard to the environment that will impact many lives, which will result in many legal challenges by both the liberals and the conservatives. Therefore, it is important that Americans believe in the legal system. This means that they must accept the decision of the courts and follow the legal process as permitted under the law to challenge these decisions. However, once the highest court has made a decision or they exhausted all procedures for appealing or overturning the decision, they must abide by the decision. They do not have to agree with the decision, but they must abide by it. It is unfortunate that the people who we have elected to uphold the constitution and the laws of the land have somehow forgotten this principal at times. Again, you do not have to agree with the decision, but as a representative of the public, an elected official must uphold these principals. Without them, we do not have a democracy. Perhaps both political parties can take a look at what Chief Justice Robert did as an example. He made a decision on the law. He was doing what he swore in his oath as a supreme court justice and he did it. He did not let his personal views impact his decision. That is what Congress and the President must do. They must perform the services that they swore to when the accepted the position. Let's put all of that bipartisan personal emotional crap aside and get to work. We got a lot of issues that we need to work together to get done, especially with the changing global climate. Over the horizon I see a big storm coming and we are going to need each other to get through it. Seriously, I actually see a big storm coming from the West due to this heat wave in the East. I better turn off the computer, grab a flash light, a snickers bar and head to the basement. I just hope that my cell phone get reception in the basement because I think it might be a long night.

The Insurance Industry: How strong is that safety net?

noreply@blogger.com (Anonymous) — Sat, 26 May 2012 16:25:00 +0000

Among the fallout of natural disasters is the cost of rebuilding. Where does a lot of that financing come from? The government is one of the primary sources; however, the insurance industry is another source. Japan's earthquakes may cost insurance companies up to $34 billion. These insurance companies are also insured by reinsurer companies. They basically insure the insurance companies. This is a small group of companies and this coverage helps keep insurance companies' coverage lower.

It has been a tough 2 years for the insurance industry with disasters in Australia, Chile, New Zealand and now Japan. Fortunately, they are wellfunded; however, with a growing population, especially in areas known for natural disasters and the uncertainty with climate change, these well funded coffers may start shrinking. The result may be us paying more in insurance coverages. These expenses can grow significantly if any of the reinsurer companies go under, which at this time is not an issue. Also, the current expense for Japan may increase depending how the nuclear reactor situation plays out. Let's just all hope that we continue to remain in good hands.

What floated up on the shore? A Brand New Harley Davidson

noreply@blogger.com (Anonymous) — Sat, 26 May 2012 16:21:00 +0000

I always wanted a Harley Davidson. Actually, I am lying. After my disastrous experience at summer camp where I lost control on the Honda 75 bike and wound up in a lake, I have this phobia of riding motorcycles. Nonetheless, one lucky person somewhere on the Alaska shoreline happened to come across a ship cargo container. Inside that cargo container was, you guessed it, a Harley Davidson. Either the person had the same experience that I had with motorcycles or was just an honest person. They ended up reporting this discovery to the local officials. I am not sure if that Harley and the real owner were ever united. Actually, it sounds like a good reality show on network TV, Harley and Me: Reunited. So how in the world did a cargo container with a motorcycle windup on the Alaskan shorelines. Was there some capsized ship in the area holding this cargo? Actually, this cargo originated from Japan. Yes, Japan. Apparently, the West Coast of the United States is coming across many floating items washing up on the shore from Japan. The cause of this beachcomber bounty is the 2011 Tsunami in Japan. Thousands of thousands items from Japan were sucked into the Pacific Ocean as a result of the Tsunami last March. They are slowly floating toward America. Many of these items are on the surface, but there is a lot that are floating underwater. Experts expect that over the next two to two and a half years, the coastlines of California, Oregon, Washington and Alaska will be getting more and more surf with this refuge. It is uncertain whether or not these items would have any significant radiation levels due to the Fukushima Daiichi nuclear plant accident. So next time you are surfing in Huntington Beach and you feel a large object hit your leg, don't worry, it is not a shark. It is probably a Smart Car from Japan. Let's hope that they have perfected the water resistant and impervious Smart Car. If so, you could be driving a brand-new car out of the Pacific onto the sunny shores of California. Also, considering the odds are extremely low that a US customs official will be hanging out on the shoreline to meet you, this is also a great way to avoid any U.S. import tax.

A Soft Winter Results in Hard Cash

noreply@blogger.com (Anonymous) — Sat, 05 May 2012 13:48:00 +0000

Ignoring the unnerving sense that the climate may be going through drastic changes, there were many benefits of this past mild winter. Chiropractor visits were down due to the reduction in pulled out backs due to shoveling. The number of magical snowmen was reduced in size, which allowed the police force to spend more time on addressing day to day safety and security issues as opposed to fielding calls about snowmen in top hats prancing and dancing down the town streets. On average, many cities in the US saw less than half their average snow. New York City's annual snow average is 25.1 inches. This past winter it was 7.4 inches. Boston has an annual average of 43.8 inches and ended this year with only 9.3 inches. Salt Lake City and Minneapolis average 55.8 and 54.4 inches, respectively. Minneapolis only saw 22.3 inches and Salt Lake had 24.8 inches. The result of these seasonally lower snow falls is more cash in the city's budget because they did not have to spend money on salting the streets and removing snow. In fact, the last two years before this year, many cities were in the red because of the expense of snow removal. In fact, some had to get emergency funding from the state. For example, Lake Tahoe spent about $700,000 this year on snow removal or 24% less than last year. Milwaukee came $2 million under budget for snow removal. Iowa spent only $19.4 million in snow removal this past winter compared to $31.6 million the year before. Also, the cost of maintenance of the streets has reduced because the harsh winter cause wear and tear on the roads, which creates potholes. The other benefits is that many road projects where able to get a jump start this year due to the mild winter. It is easier to do road work when it is 40 degrees and clear skies vs. 10 degrees and driving snow. Unfortunately, the industries that rely on snow for tourism did suffer. And that does has an impact on the states' and cities' tax coffers due to lower taxable revenue. Therefore, for some of these cities, the budget windfall was reduced by the decrease in taxable revenue. In the end, this mild winter provided some form of relief to city and state budgets and the backs of many Americans. Does this mean that cities and states are reducing their snow removal budgets for next winter? The answer is no. In this environment, the only thing that we can count on is the weather is never predictable. Personally, I would not mind another snow free winter. No offense, Frosty. Source: Wall Street Journal, Tuesday, May 1, 2012.

Derailed in America

noreply@blogger.com (Anonymous) — Mon, 27 Feb 2012 01:09:00 +0000

Considering that it was the railroad that help propel this country into a mega economic power and connect the west to the east, it is somewhat perplexing on why many states have stalled or cancelled projects to build high speed rail lines that connect cities throughout the state.

Last year, Florida turned down federal funding for a high speed line. The governor claimed that it was cost prohibitive based on a incomplete analysis.

California is facing funding issues for its bullet train from Southern California to the Bay Area. As a result, that program is on hold.

Now, Honolulu may be facing delay or cancellation of an elevated train project. This project has been in the making since 1968. The ex-governor of Hawaii, Ben Cayetano, is running for Mayor of Honolulu and he is against this project. He claims that it will not alleviate the increased congestion on the major highways and the $5.2 billion in funding could be spent on updating the cities water and sewage infrastructure. He has vowed that if elected, he will prevent this project from being completed. Regardless of his campaign commitments and potential victory of the mayoral seat, it is uncertain that this project can be stopped by this former Governor because of the momentum and push to get this done by other external forces. The first phase of the railway will be in service by 2015.

This does bring up a general question about America. Why do we not like having a fast efficient rail system? It can promote economic growth by reducing traffic and congestion on the highways. Many work hours are lost due to traffic congestion. It also will help the environment by offering a form of transportation that is low pollutant. In addition, it will save people money considering that gas is averaging close to $4 a gallon. Most important, we are not reinventing the wheel here. We can look to the successes in Europe, South Korea and Japan where there are efficient fast rail systems.

If we want to continue to progress and maintain our economic superpower status, we need to stop having a myopic point of view of things. It seems that we are taking steps back instead of forward. We currently have to rely on the Russians to send us into space because we have do not our own rocket ship to send our own astronauts into outer space.

I am not asking for us to shoot to the moon here. I am just asking to get me from LA to San Fran in 4 hours. Is that too much? Apparently, in this climate, it is.

Energy Industry: The New Job Creator

noreply@blogger.com (Anonymous) — Wed, 08 Feb 2012 11:58:00 +0000

There is an industry in the US that growing jobs at an accelerated rate. It is not IT industry or the financial sector. And it is not the renewable energy sector; however, you are getting warmer, no pun intended.

The gas and oil industry is going through a major resurgence on US soil. I know that we heard about the record breaking profits of oil companies and have never heard how those profits benefit the US, especially considering the subsidies they receive and the prices at the gas pump continue to rise.

According to the Wall Street Journal, this new energy boom has helped add about 158,500 new oil and gas jobs. This is the result of new drilling techniques to tap oil and gas in shale rocks. This has created jobs in the oil and gas fields, but it also has created job at the companies that provide the equipment and machinery to this industry. In addition, it has brought in revenue to the local communities where the drilling is occurring.

So is this good for us? Clearly, it is good for the oil and gas industry. There is an initial benefit in discovering more local resources of energy. It keeps the natural gas and oil prices lower. I would argue that that natural gas prices are lower than oil prices. It can also bring in tax revenue for the states and local communities. However, in places like Pennsylvania, the have not taxed this industry until now. Even with the new legislation, it is a flat fee that the state would charge, a minimum of $190,000 a well and a maximum of $355,000. Of course, the person who owns the land and leases it to the natural gas companies will benefit from the gas and oil royalties. And as I mentioned before, companies like the ones who provide the drilling technology, trucks and even the prefab housing for the workers in the fields benefit because of the increase in purchase orders from the oil and gas companies.

On the other side, there is the potential of people being hurt We all know about the documentary, Gasland, which showed a person lighting their faucet of running water on fire. It was believed that the nearby drilling for the natural gas was contaminating the local communities drinking water. In addition, a town in Arkansas suspended drilling because of the increase in seismic activity following the commencement of drilling in the area. Also, there is a real risk of a boom and bust cycle in these small towns. They reap the immediate profits with the industry being there drilling new wells, but once all the wells are complete, these companies will leave along with the potential revenue for the local business.

I am not saying this is a bad thing. I believe it does make sense to find local energy resources. I also believe that one solution to our energy problem is not feasible. Also, natural gas as an alternative to coal make sense. It is cleaner than coal. Furthermore, drilling for more oil makes sense because oil is used in many of our products and were are never going to get completely off of oil as an energy resource in the near term. However, we have to balance all of this with smart choices, including instituting appropriate environmental controls. Also, local communities should develop a rainy day fund for when these industries go away and there should be a reoccurring tax revenue from this business to cover any aftermath expense that these companies may cause to the communities, such as water contamination or other unforeseen problems. In addition, even though Pennsylvania is providing statewide ordinance requirements, I believe it really should be left to the local communities. They know better than anyone else what local ordinances are needed.

Of course the contrarian will say that if you place all these restrictions, these company will never want to drill. The one thing you have and they don't is the natural resource. These companies are not going to give up the opportunity to make millions. Sure they can go to another town over; however, if there are certain standards set at the state level to protect communities from not sacrificing its future for short term gains and some flexibility to control its ordinances, in the end these companies will accept these regulations and taxes and not walk away. It is just good business sense.

A New Ice Age?

noreply@blogger.com (Anonymous) — Sun, 15 Jan 2012 16:14:00 +0000

I just read an interesting article in the Wall Street Journal about whether we are approaching another Ice Age. That is hard to imagine considering I saw some people wearing shorts in mid-December in the Northeast. However, according to the article, it has been as warm as this or warmer for less than 10% of the time over the past million years. Ironically, Newsweek in the 1970s had an article in which lead climatologists were fearing another Ice Age. Of course, if you talk to people in Eastern Europe right now, they would say that we are already in an Ice Age with record low temperatures.

There are theories that the Earth's climate in more prone to Ice Ages. This has been tied to the salinity levels in the ocean. In fact, there are theories that as the fresh water glaciers melt in Greenland and run into the Atlantic Ocean, this will reduce the salt water levels in the ocean. As a result this could slow down the conveyor belt effect in the Atlantic Ocean that brings the warm waters from the Gulf of Mexico, which in turn keeps the temperature levels higher in the Atlantic Ocean, which avoids us going into a deep freeze. Some scientists claim this is already happening. It has been reported there is a fresh body of water the size of Lake Victoria coming down from the Greenland.

So who would be impacted more by this? It is believed that Northern Europe would feel this deep freeze effect, especially in the UK and Scandinavia. It does seem counter intuitive with rising temperatures and more mild winters that there is a threat of an Ice Age, but then again who could really predict the weather anyway.

Dodd Frank Legislation: Protector of Civil Rights

noreply@blogger.com (Anonymous) — Sat, 17 Dec 2011 14:59:00 +0000

There are many controversial provisions in the Dodd Frank legislation; however, one that seems to be going under the radar without much notice from the protagonists against this legislation is a provision that requires companies to disclose whether raw materials essential to their products include minerals from Congo and neighboring nations.

The Congo? What does the Congo have to do with legislation that was designed to overhaul the rules and regulations of the financial industry to prevent another financial market meltdown?

This is what happens in Congress. Many times random pieces of provisions are included in legislation that have no association with each other. For example, the unemployment benefits and employer payroll tax extension bills include provisions for the construction of an oil pipeline from Canada to Houston, Texas.

Here, there was pressure by human rights groups to some how fight back against the atrocities in the Democratic Republic of Congo. As a result, Congress ordered the US Securities and Exchange Commission in the Dodd Frank legislation to require companies to disclose this information about whether certain materials it uses for its products come from Congo and its neighbors. Clearly, this will not effect every company. The minerals from the Congo are casserite, columbite-tantalite, gold and wolframite. The only mineral here that I recognize is gold. Then again, I am not a geologist. However, if you take a look at your phone and many other electronic products around your house, including this computer that I am using to type this posting on my blog, many of these products include this minerals. Unfortunately, the mining industry in that region consists of corruption, kidnapping, child labor, racism, torture and murder.

The intent here is that if companies have to disclose that some of their suppliers are rapists, murders, kidnappers and just all around bad dudes, perhaps that will force the company to find a more friendlier, gentler and kinder supplier. Let's face it. In today's society, image is almost as important as the quality of the product. Does that mean there will be a shortage of iPhones and other electronic devices because companies stop doing business with the Congo. Most likely, the answer is no. The Congo only supplies 20% of the global demand for these raw materials. However, companies will face additional cost because of the added cost for auditing its suppliers in order to properly disclose on its 10K whether or not it has such a nefarious supplier. This also has not had an impact on companies' stock prices. For those companies that already disclosed this information, their stock was not impacted by this information. I guess investors are not concerned about companies being human rights stalwarts. As long as the company is meeting it numbers, investors are happy. However, that may become a different story with consumers. There is this hidden intangible capital about people feeling good. Perhaps, people will not feel comfortable to do his or her Facebook update on a computer that includes minerals that came from children mining the mines in the Congo. Maybe I should check Apple's disclosure. It would be contradictory for me to write this story and not confirm that this computer does not have any components with such Congolese minerals.

Then again, I have stock in Apple and there is no way I am going to sel that stock right when its 2012 growth projections are through the roof. What can I say, I am a pragmatist not an idealist.

Update on Climate Change Conference

noreply@blogger.com (Anonymous) — Sun, 11 Dec 2011 14:24:00 +0000

It was the last day of the talks and the last hours of the Conference. It seemed as if this would be another conference of failed opportunities. However, at the end of this conference, an agreement was made between all 194 participating groups.

They agreed to start negotiations on a new accord that would place all countries under the same international requirements with respect to controlling the emission of greenhouse gases, which would take effect, at the latest, by 2020. This is a historical deal like the Kyoto treaty; however, the participants in this deal would be more expansive, especially if the US, China and India follow their commitments here.

In addition, to the agreement on greenhouse gas emissions, the parties agreed to set up bodies that will collect, govern and distribute tens of billions of dollars a year for poor countries. This is very important because many of the countries that will be hit hardest economically by climate change are the poor countries and, more importantly, the poor countries need additional funding to advance their technology to more green/carbon neutral type of products.

Also, the agreement sets out rules for monitoring and verifying emission reductions, protecting forests and transferring clean technologies to developing countries.

This is a good start, with the emphasis "start". They key will be all the parties to this agreement following through. More importantly, following through sooner than later. Unfortunately, the Earth's climate is already changing. Depending how quickly we act, we may be able to slow down this process of change where the concept of a white Christmas in the Northeast of the United States does become something of folklore and myths, like that red nosed reindeer.

Update from Durban- Drama at Sunnyvale High

noreply@blogger.com (Anonymous) — Sat, 10 Dec 2011 15:40:00 +0000

Surprise, surprise, surprise. Another stalemate on an agreement for carbon emissions cuts at the Climate Summit in Durban, South Africa. It seems to be a repeat of a teenage coming of age made for TV movie.

There is the rich spoiled powerful character that is being played by the U.S. She is the most popular girl in the school. This character has caused serious damage and harm to many people's social lives; however, everyone is afraid to stand up to this diva type of character because of the repercussions, especially her click of friends known as the industrialized countries, like Japan and Europe. Then there is a new character that has recently arrived into town, who lives on the other side of the tracks and is getting the attention of the US friends. Of course, these this character, being played by either India and China, is relatively poor compared to the US, but is getting to be popular with everyone in the high school. Now, in this story, there is a major crisis that the US caused, but the US will not agree to a solution unless China/India agrees to it. Unfortunately, China/India will not agree because the US wants China/India to make certain sacrifices for things that US did. That is the problem in a nutshell.

Now back to reality. The US has been the largest emitter of carbon emissions in the world over the past decades and will agree to a emission reducing pact as long as China and India agree to the same restrictions. China, in particular, will agree to it only if the US agrees to a larger amount in emission cuts to catch up for the enormous levels of Co2 emissions it released in the atmosphere over the past decades. Of course, the US will not do it.

So there you are. It is the same story in Copenhagen and that is now playing out in Durban. It is also the same story you could find in any high school teenage drama on ABC Family, CW or Nickteen on cable/satellite TV. In these stories there is some happy ending where the popular girl realizes she is wrong and becomes friends with the outsider girl and they work together to resolve the major crisis at the high school. Of course, there really is no happy ending here. We hear it all the time. If there is not immediate commitment and action to reduce our carbon emissions, the end result will be catastrophic. These two high school girls will not be fighting over who gets elected president or gets to take the star athlete to prom. Instead they will be fighting for their own survival.

It is time for the US, China and India and the rest of the world to grow up and act like adults instead of teenagers in high school. At least, that is what the main characters did in Sunnyvale High School Day, the made for TV movie on Nickteen. They acted like adults and resolved their differences.

Kepler 22b- The Goldilocks Planet

noreply@blogger.com (Anonymous) — Wed, 07 Dec 2011 02:48:00 +0000

Great news. If things do not work out here, we can hop on the space ark and go to Kepler 22b. Yes, NASA has discovered a new planet where life can exist. Apparently, it meet the Goldilocks principle. It's location to its sun in its own solar system is not too hot and not to cold, but just right.

We have to thank the kepler planet-hunting telescope that spotted it launched by NASA in May 2009. The planet is 2.4 times the size of Earth and orbits a star similar to Earth's sun. Also the surface temperature is 22 degrees Celsius. So pack your bags. Well, unfortunately, it is 3,600 trillion miles away, 600 light years. Therefore, we most likely not visit it in my generation or my children's generation. However, the kepler telescope is looking for other plants the matches Earth's climate. So far the telescope has detected 2,326 planets. They are still going through the data to see if any of these planets have a similar climate to Earth, but a little closer in distance. Keep your fingers crossed. At the very least, check for updates on ticket prices for that space ark on Travelocity.

China- The Climate Change Leader

noreply@blogger.com (Anonymous) — Wed, 07 Dec 2011 02:33:00 +0000

Unbeknownst to many of us, South Africa is hosting the United Nations-led climate change talks. There was a surprise yesterday when China called for binding emission cuts. In addition, they have requested that $100 billion a year be set aside to to held poor countries impacted by climate change and a system be created for rich countries help poor ones with technology. Of course, there is still great skepticism here by the West. Many believe it is nothing more than a political stunt. However, if China is sincere here, this is a major step. At last major climate change summit, China pulled out of any commitments to cut green house gases. As a result, there was no green house gas emission deal in Copenhagen because the US was unwilling to commit to anything without China.

The big question here is what does China really want or why are they concerned now. Keep in mind that China has a population that exceeds a billion people with an increasing demand for resources. More importantly, China has seen the impact that a global crisis can have on China when the financial markets melted down and then there was the real nuclear melt down in Japan. In addition, it witnessed excessive flooding in Thailand and its own natural disasters. China has invested a lot of money in green technology; however, it is realizing that without a united efforts from all industrialized countries, its and the rest of the world's economic growth and future will be in jeopardy. The big question is what will the US do here. I am hoping that there is no role reversal here and the US walks away from any deal with China, just like China did to the US in Copenhagen. Of course, if things do not work out here, we can all jump on that Space Ark and go to Kepler 22b that was just discovered by NASA.

La Nina Returns, maybe

noreply@blogger.com (Anonymous) — Fri, 18 Nov 2011 13:59:00 +0000

There was El Nino and now returns La Nina. Quite frankly, I am never really know if it an El Nino or La Nina year because of the schizophrenic climate patterns. Fortunately, at least, I can speak Spanish.

So what does this mean to you beside the issue of your winter being 50+ inches vs. 2 inches of snow. Well, this weather pattern can have an impact on crop growth through out the world. And with crop surplus or shortage, food prices go up and down, respectively.

So here in the US we can expect excess rains in the Northwest, which will benefit winter wheat, but, in contrast, the southeast can face dry and warm weather, which will impact corn, soybeans and wheat crops.

In South America, Columbia is expected to receive heavy rains, which can impact coffee bean crops. I guess my Starbucks cup of coffee will be more expensive this year. Argentina will be dry. This will impact corn and soybean crops.

Southeast Asia faces heavy rains and will continue to be inundated with rain. This has already destroyed rice fields and is impacting rubber, palm oil, coal and tin production.

Down under in Australia on the west coast, there will be heavy rain. This will impact the corn, wheat and sugar cane crops.

In addition, there is a threat of an Artic oscillation. This is the wild card. According to Mike Halpert of the US Climate Prediction Center, the erratic Artic Oscillation can change a shift in climate pattern or amplify La Nina's impact. With a negative oscillation, like the last two years, cold air is pushed down and that creates a colder winter and larger snow accumulation totals year in North America. This could push up the demand for natural gas heating and kill some of the warm weather winter crops in areas like Florida and other parts of the South.

Generally speaking, the weather is becoming more unpredictable, which can create fluctuations in commodity prices. For us, that can mean gyrating food, heating and electricity prices.

Buenos suertes.

The Economy is about Jobs, Jobs and more Jobs

noreply@blogger.com (Anonymous) — Sat, 04 Jun 2011 13:31:00 +0000

Well, the 2012 campaign is beginning just when the 2011 summer is about to start. Amazing, the presidential campaign seems to be coming earlier and earlier each cycle, similar to the summer weather. We just experienced a mid-August type of heat wave at the end of May. Of course, the big issue for this presidential campaign will be jobs and the economy. Unfortunately, the economic numbers released for this past month do not look good. Only 54,000 jobs were added in May. This is not the pace we need to get the unemployment rate down to pre-recession levels. In fact, it is not a good pace to get below 8%. The unemployment rate is now at 9.1%.

Who is the blame? The president, Congress, the state governments, or private businesses? Perhaps, it could be the weather, human incompetence and other global events. Many economist believe the weak growth in jobs and the sluggish economic numbers are due to weather related and global events, such as Japan's tsunami, tornadoes and flooding in the US south and mid-west and high oil and food prices.

In Japan, we are learning how much supply chain management has become a globally connected system. US companies get parts from all around the world and many car parts and electronic parts are from Japan. In fact, the Prius car sold by Toyota has seen an increase in the value of a used Prius because of the delays in new Prius car production due of the damage to Japanese factories that supply Prius cars and parts to the US. This disruption in supply chain management has also impacted electronic devices. In China, a major factory that builds products for Apple and HP caught on fire. Once again, this impacts parts and products getting to the US to be sold to the American consumer. If companies cannot produce product to sell to the American consumer, they do not need to employ additional workers, which impacts job growth.

Then there is the destruction in the South and mid-west with all of the tornadoes and flooding. This has impacted agriculture production and the movement and production of goods. The south has become a major area for manufacturing of goods for the US and many parts of the mid-west represent the US breadbasket. Clearly, this destruction in this region has impacted many families on a personal level, but it also has impacted the economy. This has also raised questions on whether the federal government should take responsibility to cover damages due to weather related events. Some Congressman have stated that funding to help the victims should be money that is actually available in the budget, which would mean taking money from other programs to pay for the reconstruction of these communities. This haggling over who should foot the bill could delay getting these communities up and back on their feet, which could also impact growth in our economy. If there is no funding to help rebuild these communities, many potential job opportunities in the construction sector sit idle until there is funding to pay for this work.

Then there is the issue of rising oil prices. One could argue that this is not weather related and due more to the events in the Middle East. That is probably true. Regardless, the rising cost of oil has impacted the prices at the pump and has cut into Americans' budgets. This means that money that they could use to purchase electronics, clothes and other goods is going to pay for filling their cars. Also, the cost of oil has impacted companies in manufacturing products due to rising energy costs. That cuts into their profit margins. That means there is less money and demand to higher more people, which again impacts job growth.

Another issue that has impacted the American wallet is the price of food. Because of the rising cost of oil and weather related event in the middle of the country and the South along with other weather related events impacting food production around the world, the price for groceries is going up. Once again, the discretionary spending of Americans are impacted. Therefore, a person has to chose between feeding his or her family or purchasing the latest Ipad. I would assume they would chose feeding the family over an electronic device. Although that might be a tough decision considering all the cool apps you can get on the Ipad.

The last thing is the government. The U.S. and state governments are concerned about deficit reduction are are cash strapped. As a result, they are forced to cut back on spending and to reduce staff. In the month of May the government shed 29,000 workers.

Based on the foregoing, it is not surprising that the US economy has slowed down and job growth has decreased. The question here is whether this is temporary or signs of another double dip recession. I am hoping the former rather than the later. One person that could help us is mother nature by cutting back on these devastating natural disasters. I am just hoping that she is a capitalist.

A Snow Job over the Economy

noreply@blogger.com (Anonymous) — Sat, 12 Mar 2011 21:24:00 +0000

This has been a horrible winter where I live. In fact, this year's record snowfall total surpassed last year's total, which was also a record. I have packed up that U-haul to move to a warmer climate. But where do I move?

It seems that most of the US had a bad winter. There was one satellite picture of North America taken after the onslaught of several storms across the US and it looked like all of North America was covered in snow. This snow not only has taken a toll on our bodies and psyche, it has taken a toll on our economy and the economy in other countries too.

For example, the UK got hit with extremely bad weather in December and its GDP dropped .5% due to the in climate weather. Germany's industrial production in December shrank 1.5% due to the snow. Part of the weak job growth in the US earlier this year was due to the bad weather. According to the Economist magazine, the Federation of Small Businesses (FSB), a British trade group, estimated that the UK economy lost £1.2 billion ($1.9 billion) for each day of the December freeze.

Of course, some people benefit from these snow days, and I am not including kids who are off from school. There are many people earning extra income in offering snow plowing services. Also, the ski resorts' profit margins increase due to the increase of skiers and the decrease in the need to make snow. In addition, tree removal services benefit from the downed trees caused by the bad weather. Moreover, car repair shops benefit from the fender benders caused by the treacherous driving.

Still, the majority of businesses are hurt by this weather. It reduces the production level of its employees because either they cannot make it into work or if they can make it to work, other persons or resources needed to do their work are unavailable, Of course, technology has mitigated that slightly because many people who work in the office can work from home. That is assuming, however, that they did not lose power from the fallen tree that knocked down the power line or they have to spend their time entertaining their kids who are off from school. In general, it causes disruption from closing of schools and offices along to flight delays or cancellations and delays in public transportation.

Interestingly, many economist have stated that the potential profits are not lost completely, but rather delayed. In 2010, when there was bad weather, the month proceeding the bad weather saw a larger increase in output and production. In the end, you see less of an even growth, but you see growth.

Nonetheless, I am hoping for the rest of 2011 that I do not have to write about or see snow. I, among many of us, have seen enough snow for the next several winters. Perhaps, a sure guarantee for that is to move to Caribbean. Then again, they get hurricanes.

Not Apologizing is Costly

noreply@blogger.com (Anonymous) — Wed, 09 Mar 2011 12:22:00 +0000

Chevron got hit with a $9.47 billion fine from a court in Ecuador for polluting the water in the arc of the rainforest territory for polluting the region's water supply while pumping large amounts of oil in that region since the 1970s. If this judgement is upheld, the damage amount may be the highest-ever awarded in an environmental case. To add insult to injury, if Chevron does not make a public apology within 15 days of the issuing date of the judgement, the fine could go up to $17.2 billion.

At this point, the Company is not willing to apologize. Chevron is stating that the company it acquired Texaco cleaned up the polluted water before it ceased operations in the region and the current problems are due to another oil company, Petroecaudor, which is owned by the Ecuadorian government. Regardless of who is at fault, the inhabitants of that region complain of above-average cancer rates and the dumping of 15.8 billion gallons of toxic water into the streams of the rivers that supplies most of the areas drinking water.

At first blush, it would appear that Chevron has a pretty tough hill to climb because the entity it is blaming to have caused this problem is owned by the government. Chevron, however, has filed a suit in a New York court against the plaintiffs' lawyers alleging fraud and attempted extortion. Specifically, they claim that plaintiffs' lawyers have colluded with court officials to get this outrageously high amount of damages. In addition, Chevron has no assets in Ecuador. Therefore, collecting damages will be difficult. Ecuador will have to other authorities in countries where Chevron has assets to enforce this judgement. Most importantly, the Permanent Court of Arbitration at the Hague along with a court in New York issued an injunction temporally blocking this move by Ecuador.

In the end, Ecuador and the inhabitants of the plotted region may not receive an apology any type of damage payout. What seemed like a major victory now seems more like a Pyhric victory.

The Apocalypse or Just Another Day on the Planet Where Large Amounts of Wildlif Die

noreply@blogger.com (Anonymous) — Sun, 09 Jan 2011 15:35:00 +0000

eMany of you have heard about the "rare" occurrence of 5000 blackbirds dropping dead in Arkansas and dozens of jackdaws falling from the sky in Sweden along with a few hundred turtle doves in Italy. At least the last one sounds like a scrooge-like Christmas prank. Nevertheless, should I take out my bible and read about the signs of the apocalypse? According to many scientists, mass animal deaths are not a rare occurrence. According to the National Wild Life Center in Madison, WI, which has been tracking mass animal deaths since the 1970s, there have been 188 cases just involving birds with mortality exceeding one thousand per event over the last ten years.

There are a variety reasons besides the "Act of God" that causes these deaths, such as animal starvation, animals eating toxic foods or getting poisoned by people. Some people hypothesized that the massive bird death in Arkansas could have been due to New Year fireworks scaring birds and causing them to fly into buildings, trees and other large hard objects.

According to the US Geological Survey, on average, there are between 160 to 200 such "mass death" events in the wildlife reported each year. In fact, there have been much larger bird deaths than the ones that just happened. In 1996 more than 100,000 ducks died of botulism in Canada.

So should we be afraid? Perhaps not, but then again there are some events that concern the science community, such as over one millions bats dying over the last three years due to the fungal affliction called "nose syndrome." Bats help in pollination of plants and reduce the mosquito population.

In the end, these rare occurrences are not so rare. At the same time, we should still be concerned that the wildlife is dying off in large amounts. It might not be the apocalypse; however, it could be a sign that the ecosystem is deteriorating. Also, certain populations like bats dying off can have significant impacts on our lives. So next time you see a bird slam into your window, you can sit back and relax knowing that its just a "natural" occurrence. Just make sure you stock up on mosquito repellent.

A Heat Wave in Winter Time

noreply@blogger.com (Anonymous) — Fri, 31 Dec 2010 22:31:00 +0000

While we are digging out from another big snow storm on the east coat of the US and the West is facing another wet wintry mix, South America is in the middle of a heat wave. This is cutting into the harvest forecasts, which is pushing up crop prices to two year highs. Global food prices have been somewhat elastic even with the crop shortages from Russia this summer. This latest crop reduction may test this price elasticity. The dry weather in South America is caused by the La Nina weather pattern, which has already damaged the corn crops in Argentina. Argentina is the world's second largest exporter of corn and third largest exporter of soybeans. Both Brazil and Uruguay have declared a state of emergency with rising temperatures and small amounts of precipitation. Ironically, California has been experiencing an enormous amount of rain and snow during a La Nina season; however, many forecasters believe that California will soon be experiencing a dry winter.

Currently, the prices of corn, wheat and soybeans remain well below the peak prices in 2008. However, some analysts see a rise in prices of these crops in the near future, which means an increase in food prices at the supermarket. This may have a bigger impact in emerging markets where food inflation can have a significant impact on its population became more of their disposable income goes to food than in developed countries. A way countries may address this potential inflation is limit exports of its own crops like Russia did this summer. Countries like India are offering other alternatives, such as food subsidies, where the country is already dealing with food inflation surging to 12.13% from 9.46%.

In fact, corn and soybean futures contracts have already increased this month by 18% and 9%, respectively, to their highest prices since the financial crisis undercut commodity prices in 2008. Corn is up 51% since then and soybeans are up 31%. Also, wheat prices this month have increased 23% because of the significant amount of rain in Australia, which has ruined wheat crops there.

So in the end for Americans, this means that the lovely Chilean grapes that you have in the dead of winter might be a little more expensive this year. Unfortunately, this might have a great impact to a family in Haiti or India.

Is this a lot of hot air? And it is not always sunny in Spain.

noreply@blogger.com (Anonymous) — Fri, 24 Dec 2010 13:59:00 +0000

The continuous battle between China and US in the WTO continues; however, this time it involves renewable energy. The US has requested to talk to China at the World Trade Organization to end the hundred of millions of dollars of subsidies China is spending to build up its wind-power production. Most of us would say, "What is wrong if China wants to build its own wind technology and spend government money on that?" The answer is that China is not just building technology for its own wind production. It is building technology for export to other countries. The US is already falling behind to China in renewable technology. Right now, China ranks among the top ten producers globally in wind-turbine production. So what is the American government's beef here? Actually, it is not just our government complaining. It is also the United Steelworkers complaining too.

The Chinese government is providing wind-power manufacturing grants to this Chinese producers using parts made domestically, which such grants ranges from $6.7 million to $22.5 million. This is a form of import subsidization that creates less incentive for Chinese wind turbine producers to use imported parts, such as US parts, because they will less likely get a grant from the Chinese government to operate their business. Thus, it creates an indirect barrier for US imported parts to get into the Chinese market.

Ironically, one way to mitigate this would be for the US government help develop its own wind-energy program and wind producing technology. Unfortunately, with a push for austerity in government, that is most likely not going to happen.

Solar Side Note: Spain is in the middle of a debt crisis and the Spanish government is looking to cut certain subsidized programs. It looks like Spain's solar energy program is one of the victims of the Spanish debt cutting. The Spanish government is expected to adopt a proposal within the next few days to cut solar-PV subsidies by as much as 30%. There is, however, some push back here. Many investors, including a foreign hedge fund investors in the UK, are pushing back arguing that this was never communicated to them when the invested in the first place. They view this as a "breach of trust." Ironically, some of this view that this action will cause solar producers to default on their loans with the banks without these subsidies. Which is worse, a business defaulting on it loans or the Spanish government? I believe most people in the EU, the US and IMF would say that the Spanish government defaulting would be worse as we saw the chaos created in Ireland and Greece as both countries were on the precipice of such default.

Business and the US Energy Policy- What a beautiful relationship

noreply@blogger.com (Anonymous) — Wed, 24 Nov 2010 19:42:00 +0000

The Wall Street Journal had its Annaul CEO Council Meeting. Among many issues discussed at this summit was energy. The following five recommendations came out of the those discussions:

1. Develop Domestic Energy: Clearly, this is a no-brainer. They want to promote development of domestic resources with appropriate environmental safeguards and a regulatory system that is timely and predictable and avoids a back-door, de facto moratorium. They also do not want to develop a system that picks winners. Instead, the business sectors prefers a diversified solution.

I believe we are all in agreement that we need to develop our own domestic energy resources; however, it seems to me our business leaders have contradictory policy. They say they want environmental safeguards, but want to limit the government's the ability to put in place moratorium in situations, such as off-shore drilling. We still need government to quickly intervene where we do not have time to hash out issue until Congress has multiple panels to discuss whether or not a new environmental or existing method is more detrimental to the environment than it is positive to our energy solution. This is an issue that Pennsylvania is facing with shale gas drilling where the methods of drilling have raised questions on the negative impact the drilling is having on the enviroment and in some cases in releasing natural gas into the water system where a person can litterally light on fire his or her running water from the sink faucet. The governor of Pennsylvania initiated a moratorim on this drilling until it can be further analyzed with respect to the level of safety. Most likely, that moritium will end with the new addministration coming into office next year. That administration was heavily supported by the US Chamber of Commerce in the most recent election. I wonder if part of their support was due to the newly elected adminstration's unwillingness to issue these type of moritoriums. In fact, one of it biggest supports were companies doing this shale gas drilling.

2. Support R&D: Business is requesting government involvement in promoting research and development in carbon capturing technology and new energy storage devices, which is something that we need if we really want to expand solar energy on a massive scale. They prefer R&D to reduce cost over mandates and subsidies.

Unfortunately, I believe you need a balance between the two in order for the US to quickly enter into this green technology revolution similar to the same way we did with the Internet.

3. Consistent Federal Regulation: They want a uniform federal policy on energy and setting certain standards, such as fuel cell efficiency in cars. They want to avoid the patchwork state by state solution. At the end of the day, they do not want states like California dictating the country's energy policy in the same way it has done setting certain car standards and other requirements.

I believe one way to solve this is for Congress to pass a comprehensive energy bill, which currently has been passed in the House and not sits in the Senate where it most likely flicker out at the end of this year. This is going to be a more difficult achievement at this time and the solution will be at the state level with the most innovative and job creating and business promoting states setting forth our future energy policy.

4. Competiviness: They want us to be the leaders in energy technology and export this technology to other countries. Unfortunately, we are way behind in this technology. Countries like Germany, South Korea, Japan and China are the current leaders in this technology. Ironically, back in the seventies the US was the leader in solar technology. In fact, President Carter put solar panels on the White House roof. Unfortunately, our competiveness edge in this technology disappeared when the Regan administration came in and removed those solar panels. That action was a message to the business world that the Government had no real interest to invest in this technology, which meant business concentrated on other potential opportunities, such as desktop computers, walkmans and the Delorian. Well, two out of three were good investments. And America continued its dependence on foreign oil. We lost ground over 30 years to Asia and Europe so it is going to take some time to catch up.

5. Energy Efficiency: They want to US to be leaders in energy efficiciency technology. This should include development of building codes, appliance standards and incentives to employ new energy efficient technology.

Actually, I believe this is a real winner. The US has become a leader in this technology and it continues to grow. Also, Americans are demanding this type of technology. We want to be able to consume more without suffering the cost for it; therefore, energy efficiency technology is the solution. This technology is the diet food for the voracious American energy appetite. There is nano technology out there now that will enable cellphones to be used for an entire month with only one charge. Furthermore, there is a big push to promote energy efficient buildings. Cable channels like HGN, DIY and Planet Green are making it trendy to have an eneregy efficient homes with the I-Pad that runs on one monthly charge. There is the drive and, more importanlty to the business sector, there is strong domestic demand for this technolgy.

The end result of this summit is that the business sector has good ideas, but they still have some steadfast contradictory principals, such as less government involvment, that may make it difficult for the US to have a comprehensive and competive energy policy. We might have to rely on the free-market to dictate the policy. I think for the most part that having the free market set policy has been a good thing. That is if you just exclude the little hicup we had with the financial meltdown in which we turned the financial regulatory reins over to the free market to set our policies. It was not too bad. It just cost us about One Trillion Dollars to get out of that mess.