Category Archives: Business/Economics

Business/Economics, Idaho

Idaho Higher Education a Must by 2018. Political Candidates Fail to Help Idaho Students

According to a Georgetown University study, Idaho will see an 61% increase in jobs requiring some level of higher education, by 2018.  Last night, during the Idaho gubernatorial debates, all three candidates, Gov. C. L. “Butch” Otter, Keith Allred and Jana Kemp, failed to explain how they would help Idahoans with college.

The candidates seemed to miss the fact that the number one issue with potential college students is cost.

As a non-traditional college graduate (I went to college late in life because it seemed like the only way to progress in the workplace was to get a degree) I can tell you the piddly grants are not enough, you must get student loans.  I also worked part time because the loans did not cover my family’s living expenses.  But who wants to get a loan that will be with you until you die?  I was never told how student loans are exempt from bankruptcy, or about the cases where graduates lost their apartments, and their jobs, because they couldn’t make the full student loan payment.  Why couldn’t they make their payments?  Because the jobs they got with their degrees didn’t pay them enough.  I also learned that it’s only the Federal loans that can be deferred.  I have two private loans and they could care less that I can not make their full monthly payments.  One of them actually sent me fake court documents with a letter that said if I didn’t start paying in full, that the next court documents would be real.

My oldest daughter is currently working full time in Boise, and she attends Boise State University thanks to student loans (even working full time she can’t afford the college expense).  My other two adult kids have decided that if the cost of going to college means getting into lifelong debt, then it’s not worth it.  They are right!  Crap, I could have bought a house with the money I owe for college, and it would have been a better investment!

So what did Otter, Allred and Kemp have to say about the issue of higher education?  Basically they all agreed that it was an issue of concern, because Idaho was going to need more college graduates for its workforce.  Otter and Allred said students should look into going to a community college, if they are worried about cost.

Eastern Idaho Technical College says its part time credit fee is $82.00, full time fee of $884.00.  Idaho State University (my Alma mater) says its current part time fee is $273.00 per credit (much more than what I paid), full time $2,708.00.  That’s a big difference between an eastern Idaho vo-tech and an eastern Idaho university.  Don’t forget those are just the credit fees. There are other fees and book costs, all of which have been going up.  Also, the per credit cost of the vo-tech seems low, but, that is only $60.00 less than what I paid when I started attending ISU.

When it comes to money, potential college students are not dumb.  Why get into debt when the job you get with your degree most likely will not pay you enough to meet living expenses and your student loan payments?  Vo-tech seems the most practical choice, and they usually help you find a job with your degree.  But if your sights are set on a higher degree forget it.

Jana Kemp talked about, basically, an add campaign to raise awareness of the importance of higher education. That is already happening, but it doesn’t address the concerns of students, and their families, about affording college.

Keith Allred mentioned a program where high school students can get college credits by enrolling in courses run by colleges.  That’s true, but, you still have to pay a per credit hour fee, and for some families it’s still unaffordable.

Butch Otter mentioned the expansion of financial aid, but the majority of so called financial aid still comes in the form of loans.

So, once again, the problem is cost. Is it affordable, and can the student avoid a huge debt burden?

Essentially, not one of the candidates said anything about bringing down the actual cost of higher education, or making it easier for students to pay for college without incurring a heavy debt burden, or making sure the jobs that want college graduates will pay enough to cover all expenses.  Even though all three candidates are college and university graduates, it appears they are out of touch with the current reality of getting a higher education.

Business/Economics, Idaho, U.S.

Idaho in Top 5 for Foreclosures, Right Behind California

The latest Realty Trac survey puts Idaho in the top five states for home foreclosures.  Idaho is ranked number 5, right behind California at number 4.

Realty Trac says Idaho saw a 13.67% increase over the same time last year, and a 19.74% increase since the 2nd quarter of this year. For the 3rd quarter of 2010, one out of 86 homes in Idaho are in some stage of foreclosure.  California, while seeing a drop in foreclosures, still has one out of 70 homes in foreclosure.

LOS ANGELES, CA - AUGUST 12: A 'bank foreclosure sale' sign is posted in front of townhomes on August 12, 2010 in Los Angeles, California. U.S. banks repossessed homes at a near record pace to drive up July foreclosures. (Photo by Kevork Djansezian/Getty Images)

The top 5 states, Nevada, Arizona, Florida, California and Idaho, make up 50% of foreclosures in the United States.

This news comes as the big banks involved in the foreclosure fiasco are reporting big profits for the same quarter.

Business/Economics, Idaho

Hoku Turning to China to Help Finish Pocatello Plant

13 October 2010

Hoku Corporation has taken on several millions of dollars in loans, from Chinese banks, in order to finish construction of their Pocatello, Idaho, polysilicon plant.   That’s according to information on Hoku’s website.

Also, Hoku has amended its construction contract with JH Kelly.  A result of delays due to Hoku having difficulty with funding the construction.

Hoku Corp. produces fuel cell membranes, photovoltaic systems, and hopes to produce polysilicon for solar panels at the new Pocatello facility.

Hoku has made several supply agreements with companies based in Asia, but, those agreements hinge on the completion of the Pocatello plant, and, successful demonstration of polysilicon production.  Those agreements have resulted in hundreds of millions of dollars of pre-payments by the Asian companies.

Hoku is hoping to get production started by the end of the year.

Business/Economics, Idaho, U.S.

Idaho Investigating Foreclosure Fiasco

Officials from 50 states, including Idaho, along with the District of Columbia, announced they were launching investigations into possible foreclosure abuses.  Today, one of the biggest banks involved announced a $4.4 billion profit in the 3rd quarter.

There is growing evidence that bank employees falsified information on foreclosure paperwork.  RealityTrack says more than 2.7 million homes have been lost to foreclosure since 2007.

CHICAGO - JULY 15: A demonstrator protests outside the offices of JPMorgan Chase July 15, 2010 in Chicago, Illinois. He was demonstrating in support of families being evicted from an apartment building because the building has been deemed uninhabitable by the city. Residents claim the building was not maintained after the bank took over the building following a 2008 foreclosure. Residents are required to be out of the building by Saturday. (Photo by Scott Olson/Getty Images)

JP Morgan Chase, Bank of America and Ally Financial/GMAC  have admitted that their paperwork has errors.  Citigroup and Wells Fargo deny they have done anything wrong (www.detnews.com).

On Friday, Bank of America halted foreclosure processes in all 50 states.

Idaho Deputy Attorney General Brett DeLange stated on Tuesday that, “We currently know about this at the national level and we have received complaints, some recent, of specific defects under Idaho law.” (www.idahopress.com).

Business/Economics, International, U.S.

Staples Office Supply Going Russian

The worlds largest office supply store, Staples, has joined up with a Russian company, Pragmatic Express.

The two companies will work jointly to serve international customers in Russia.

The deal allows U.S. based Staples to continue its worldwide expansion.  It also allows Staples to take advantage of Russia’s growing economy, while the U.S. economy falters.

Recently the IMF predicted 4.3% economic growth for Russia in 2011.  Compare that to the forecast of 2.3% growth for the United States.  Also, Russia’s unemployment rate is expected to drop to 7.3%, while unemployment in the U.S. is expected stay around 9.6% (www.imf.org).

Pocatello, Idaho.

Business/Economics, U.S.

JP Morgan Chase Foreclosing Homes Making Big Profits

Today JP Morgan Chase reported a 23% profit for the 3rd quarter of 2010.  That’s $4.4 billion profit.

JP Morgan Chase is one of the companies involved in questionable home foreclosures. They are also one of the big banks that got a big taxpayer bailout.

NEW YORK - MARCH 24: (FILE PHOTO) A man walks on the sidewalk in front of the JP Morgan Chase building March 24, 2008 in New York City. The bank has reported large third-quarter earnings but has also allocated $2 billion to cover loan losses. (Photo by Chris Hondros/Getty Images)

According to Mother Jones, JP Morgan Chase paid back only $68.3 billion of the $229.7 billion they got from taxpayers.  Our government acted like it was fully paid.

JP Morgan Chase halted 56,000 foreclosures, in states that require court approval, after “mistakes” were found.  The Attorney General of California, a state that does not require court approval, has demanded that JP Morgan prove its foreclosure practices are lawful in that state (www.adi-news.com).  Only 23 states require court approval of foreclosures.

CHICAGO - JULY 15: Crystal Richard demonstrates with her children outside the offices of JPMorgan Chase on July 15, 2010 in Chicago, Illinois. Richard's family is being evicted from the apartment building where they live because the building has been deemed uninhabitable by the city. Residents claim the building was not maintained after the bank after took over the building following a 2008 foreclosure. Residents are required to be out of the building by Saturday. (Photo by Scott Olson/Getty Images)

In a recent Bloomberg article, attorneys claim they have found “errors” in 75% of foreclosure paperwork.  Again, this is only in the states that require court approval.  JP Morgan, along with other big banks, have admitted that their employees may have filled out foreclosure paperwork without checking the facts.  In other words, they filed foreclosure claims arbitrarily.  Attorney Richard Kessler said it will take decades to straighten out the foreclosure fiasco.

Business/Economics, Idaho

New Pocatello School Builds Character with Baseball

A new business in Pocatello wants to help your kids become all they can be, using the sport of baseball.

Sandlot Baseball & Softball Academy, located in the Westwood Mall, in Pocatello, opened a week ago, and is taking new students now.

The Sandlot website states: “Our programs are designed to help parents create successful, dedicated and respectful children by reinforcing positive values in our unique baseball/softball setting.”

Sandlot Academy, Pocatello, Idaho.

According to the website, the academy’s training fields are indoors, so no weather worries (www.sandlotacademies.com).

Mike Wise, owner of the Pocatello Sandlot Academy, said they are closed during school hours, but are open 4:30pm-9:00pm (check with Mike), so “…swing on by.”.  Mike’s contact info is on the Sandlot website.

The Westwood Mall is off Garrett Way, in Pocatello.

Business/Economics, Idaho

Pocatello Big Lots! In time for Halloween.

Despite store closings in Pocatello, Idaho, a new store is opening just in time for Halloween.

Big Lots! Pocatello, Idaho.

Big Lots! is located where the Rite Aid used to be, on 1000 Pocatello Creek Road, in the Foothill Plaza Shopping Center, right next to the WINCO grocery store.

Pocatello, Idaho.

Big Lots! is one of the country’s largest closeout stores.  Because of the nature of their business their inventory changes a lot, but bargain hunters love it.  Big Lots! is set to open October 28th.

Business/Economics, Idaho, U.S.

Lies, Lies and More Lies. Snidely the Illegal Forecloser Returns.

When the scandals of arbitrary home foreclosures were revealed, it was reported by some news sources to involve only people who missed payments (money.cnn.com).  Lies!

I have seen several reports where homes were foreclosed with no payments missed. In one example, a man paid cash for his home, no payments to make, and Bank of America foreclosed his home (www.sun-sentinel.com).  A foreclosure attorney admitted that mistakes “happen all the time”, and that they just aren’t reported.

Here’s some info to cause concern.  Those foreclosure fiasco cases are only being reported in states that require a court process to complete.  Almost half of the states do not require a court process, including Idaho (where I live) and California (where most of my relatives live).  The problem is, that the same financial Snidelys that are illegally foreclosing on people, in the states requiring Judicial Process, are also operating in the states with Non Judicial Process.  If you are getting unfairly foreclosed on you can do an internet search under ‘fighting foreclosure’.  You’ll probably have to hire an attorney anyway.

Here’s some data (updated October 12th, 2010) on the number of foreclosed homes for sale in selected Idaho counties.  Ada: 885.  Bonner: 342.  Bonneville: 85.  Twin Falls: 76.  Bannock: 38. (www.foreclosuredataonline.com)

Idaho’s foreclosure numbers may not seem like much, but compare Idaho’s  population of 1.5 million people, to California’s nearly 37 million (U.S. Census Bureau). According to a Bloomberg.com article, Idaho’s foreclosure rate increased 822% in the second quarter of 2010.  How many of those are bogus/illegal?  We’re seeing the return of the melodramatic bad guy, a Snidely who loves to foreclose the homes of little old ladies and ruin families.

Business/Economics, International, Opinion, U.S.

China No Longer Needs Us. November Elections. The Economy is Everything.

Beware of political promises, especially when it comes to the economy.  History shows politicians have a bad track record when it comes to ‘saving’ the economy.  Sometimes they get it right in the short term, but when it comes to long term planning, forget it.  Long term should be considered 20 years plus, not ten years, or more commonly, 5 years or less.

Big news in economics involving the world and the United States.  Last week a U.S. economics professor was quoted, in the European media, as saying the world was “…partially decoupling,” from the U.S. economy (www.bloomberg.com).  What he meant, and what I’ve be warning about in discussions with acquaintances and relatives, is that the “developing economies” (which should no longer be called “developing”) have now reached a point where they do not need the United States to be economically viable.  Those countries include India, Brazil and China.

How many times has you’ve heard how the Chinese need the U.S. economy in order to continue growing?  Remember how much the U.S. is in debt to the Chinese?  Now, realize they no longer need us economically.  Uh oh.

In other economic news, the IMF (International Monetary Fund) has revised, downward, it’s expectations for U.S. economic growth in 2011 (www.imf.org).  Some reasons are the amount of debt owed by the government, and, that economic data coming from the U.S. is never as good as predicted, and in some cases it’s worse.

Here’s an example: Today it was revealed, in a CNNMoney.com article, that according to the U.S. Department of Labor, for the second year in a row, the overall unemployment numbers need to be increased.  They are saying that, so far this year, 366,000 job losses have not been counted.  It was revealed, earlier this year, that 902,000 lost jobs had not been counted for 2009.  Also, the uncounted job losses for 2010 will not be officially added to the 2010 unemployment numbers until February 2011 (you have to keep that in mind every time you hear the “official” numbers reported this year).  One analyst says it is common in a bad economy to underestimate job losses.  Another analyst says the current employment models (formulas for predicting trends, or figuring out what happened) are not working.  Oh really?

We, the people of the United States, are in a predicament that was created by the short term policies of our corporate and political leaders.  Some countries called “developing economies” (formerly known as third world) have not only caught up with us, they are leaving us in their dust.  When you vote this November do your homework.  Investigate the candidates and the issues.  We need not only a high quantity of voting, but a high quality of voting.