Government Publishes Detailed Instructions (700 Words) on How to Safely Roast Marshmallows

Come on now, I know what you are thinking.  But, really, it is not as easy as it looks.  That is why the government has provided us with a detailed, 700 words, instruction on how to exactly roast those marshmallows.  The key according to the article is to have a stick of at least "two and a half feet." However, the article does not stipulate a maximum length for the roasting stick.  (That just might be a good research study for the government to institute.)  The bottom-line for the perfect roasted marshmallow is to keep it directly out of the fire.  Bon Appetit.

Tax Inversion Deals

Warren Buffett's Berkshire Hathaway will finance approximately $3 billion for Burger King's planned acquisition of Tim Hortons, which is located in Canada. Of course, there is nothing wrong with financing this  acquisition by Buffett. But, this is when this financial transaction gets very interesting, because Buffett is backing Burger King, who will move its headquarters from Florida to Canada where corporate taxes are much lower. How low? The U.S. corporate tax rate is 39.1%, but 26.5% in Ontario, Canada, where Tim Hortons is based. (The 39.1% nominal corporate tax rate in the U.S. includes national, state, and city-level tax rates, which is the highest across all 34 Organization for Economic Cooperation and Development (OECD) member countries. Canada's, by comparison, is 26.5%.)

This "inversion deal" will allow Burger King to shift its entire corporate tax liability from the United States to a much lower tax cost country (Canada).  Now, there is nothing wrong with trying to reduce one's tax bill, but Buffett has supported President Obama's push to increase taxes on the wealthiest individuals while making deals to reduce taxes on his own entities. I guess the old adage applies here to Mr. Buffet that states, "Do what I say, not what I do."  

A simply solution would be for the United States to reduce its corporate tax rates to be more competitive in the world environment. That would be one great way to stop these "Inversion Deals." What say, you?

What Will $100 Buy You in Your State?

The following map shows the real value of $100 in each state.  (If you live in AL, AR, MO, MS, SC, and TN, you better stay there!  On the other hand, if you live in AK, CA, HI, NY, and DC, you may want to pack your bags and move out!)

What's Up with the 10-Year TSY Note Rate?

Spread of the Caliphate: Islamic State (Part 5)

Cisco Epitomizes Wall Street’s Greed at the Expense of Main Street’s Misery

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Since 2011, Cisco has repurchased $21.9 billion of its stock and fired has fired 21,000 of its Fed's “Zero Interest Rate Policy (ZIRP) allowing Cisco, and companies like it, to issue debt at virtually zero, which allowed them to buy back it shares. 

Spread of the Caliphate: Islamic State (Part 4)

Spread of the Caliphate: Islamic State (Part 3)

Russian Humanitarian Armed Forces

Is that really a tank disguised as a Red Cross vehicle heading to Eastern Ukraine?

Spread of the Caliphate: Islamic State (Part 2)

Spread of the Caliphate: Islamic State (Part 1)

CNN May Need to Provide Geography Lessons for its Reporters

Boost FICO Scores by Changing How It's Calculated

Tens of millions of individuals will now be eligible to get additional credit to take on more debt to buy that new car, home, or just anything, because Fair Isaac Corporation (FICO) is about to change how your FICO score is calculated.  (Can anyone say sub-prime mortgage debt?)  According to the Wall Street Journal, Fair Isaac will stop including in its FICO credit-score calculations any record of a consumer failing to pay a bill if the bill has been paid or settled with a collection agency.  Given this revision alone, some borrowers' FICO scores could increase by at least 50 points.  Lenders, for one, better be caution about these new FICO scores.  If these lending institutions do increase loans of any type, based on these revised scores, they better start increasing their "loan-loss provisions."

You Know the Economy is in Bad Shape When Americans Can Not Even Afford to Eat Off McDonald's Dollar Menu

Year over year domestic July sales for McDonald's Corporation declined 3.2%, which is the ninth month in a row for declining same store sales.  (See the following chart.)  If Americans are spending less on food, what else are they not buying?  This does not portend well for the economy.  But, then again, for those of you that I have been following my blog, you already do that the economy is in the "tank" in spite of what the Wall Street pundits are saying.

Let's Bring Back the Good Old Days (1949-79)

Those good old days were when the middle-class, "Main Street," actually benefited more than "Wall Street." By Main Street, I am referring to the "bottom 90%.  On the other hand, Wall Street is represented by the "top 10%."  Since 1982, it has been all about the growth discrepancy between Wall Street and Main Street, with the major advantage to Wall Street by a wide margin.  (See the following bar graph.)

Ebola Terror in London as Passenger Dies Getting off an African Flight

i24 News

i24news is an international 24-hour news and current affairs television channel based in Jaffa Port/Tel Aviv, Israel. 

Wal-Mart is Hiring. Guess Who?

Old Workers (Wal-Mart Greeters) Hit Record High

As the following bar-chart illustrates (Zero Hedge), while all other age groups posted a jobs uptick for July 2014, it was those in the 25-54 age group that saw a 142,000 jobs decline for July.  (Historically, this age group is the most important and has the highest earnings.)  Those in the 55-69 age group saw an increase of 159,000 jobs. Welcome to the "NEW" normal.