I am sure you hear it from everyone lately, just as I have. Everyone is completely uncertain about what the administration and Congress will do next to add taxes, help unionize the planet, declare everything including breathing as a threat to the environment, declare everyone who works hard and earns a lot of money to be a crook or a pig, and has screwed up the war effort by declaring our exit before we even got the surge underway. Some of us voted for McCain despite Sarah because we feared the alternative was even worse-and it is. McChrystal did not do a dumb thing. According to a source extremely well connected in the Pentagon, it was intentional because he viewed it as his only way to get out from an extremely frustrating situation and away from Holbrook and the administration’s losing policies. Between the healthcare disaster crammed down our throats, the tax increases coming from every direction, and new regulations about everything, the cramming of the bondholders in Chrysler, protecting the UAW and not creditors in GM, why is anyone surprised that corporations have the largest hoard of cash in history. They view the risks of the unknown with this administration and Congress led by grinning Nancy, as being too great to take a chance of investing, merging, or hiring. Why would you hire anyone unless you had to, when you will face government sponsored unionization, tougher labor laws, higher taxes, and higher benefits costs.

The EU seems to have understood at the G20 that the European model is dead, except in America. They warn that spending and regulation and pensions must be cut. They are standing up to their unions. The IMF says cut. The US voters say stop the spending. So what do Obama and Nancy do, step up spending, and regulating and favoring unions. They do not seem to understand that every such action has a major impact on investment decision making. The combination of the government thinking it knows better, and that all of us upper income earners should carry the 47% who pay no tax at all, is doing grave harm to the economy. They blame the banks for not lending. I say, why lend when there is no certainty of repayment and there is every chance you will be attacked by Washington for charging risk adjusted rates.

This is not a rant to vote Republican. They screwed up badly as well, and they do not impress me as having many who are bright leaders. It is not a Tea Party vote of confidence. I am not even sure what they stand for. It is a plea for a return to the center. To a true balance between free enterprise and regulation. To a ceasing of the attacks on people and firms who do what they are supposed to do- maximize profits for their shareholders. To stopping the blatant pro union actions that have destroyed the sense of being a country of laws, and not union payoffs. The head of the SIEU had more meetings at the White House than almost all the CEO’s combined. Did they really think jamming bondholders in Chrysler and GM would have no consequences?

The right wing had it’s shot for 8 years, and blew it. Now the left wing had it’s shot, and it has already badly blown it. We all said Obama had no executive experience, and now the consequences are apparent. America eventually reverts to the mean –the political center, and if the economy is to prosper that is where we need to get. There are no great world leaders at the moment when one is needed desperately. Maybe now a third party, middle of the road, free enterprise candidate like Bloomberg could really win. It makes you long for Maggie Thatcher.

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Joel Ross

Joel Ross began his career in Wall St as an investment banker in 1965, handling corporate advisory matters for a variety of clients. During the seventies he was CEO of North American operations for a UK based conglomerate, and sat on the parent company board. In 1981, he began his own firm handling leveraged buyouts, investment banking and real estate financing. In 1984 Ross began providing investment banking services and arranging financing for real estate transactions with his own firm, Ross Properties, Inc. In 1993 Ross and a partner, Lexington Mortgage, created the first Wall St hotel CMBS program in conjunction with Nomura. They went on to develop a similar CMBS program for another major Wall St investment bank and for five leading hotel companies. Lexington, in partnership with Mr. Ross established a hotel mortgage bank table funded by an investment bank, and making all CMBS hotel loans on their behalf. In 1999 he formed Citadel Realty Advisors as a successor to Ross Properties Corp., focusing on real estate investment banking in the US, UK and Paris. He has closed over $3.0 billion of financings for office, hotel, retail, land and multifamily projects. Ross is also a founder of Market Street Investors, a brownfield land development company, and has been involved in the acquisition of notes on defaulted loans and various REO assets in conjunction with several major investors. Ross was an adjunct professor in the graduate program at the NYU Hotel School. He is a member of Urban Land Institute and was a member of the leadership of his ULI council. In 1999, he conceived and co-authored with PricewaterhouseCoopers, the Hotel Mortgage Performance Report, a major study of hotel mortgage default rates.