Category Archives: Business/Economics

Mental Health Decrease = Violent Crime Increase

A recent story in the Idaho State Journal showed that a random shooting, that took place at the end of September, may be linked to the state of Idaho ending health care coverage for people with certain mental disorders.

On September 27th, a man was shot outside a Pocatello, Idaho, coffee shop. He nearly died after losing 40% of his blood.  The shooter was a man who had not been on his mental health meds because the state cut off the funding.  The article showed there are other instances of violent behavior since the cuts took place.  One man, in court after assaulting his own house and car, was “suggested” by the local judge to get control of his mental problem (findarticles.com).  Hello? Isn’t that part of a ‘mental’ health problem?  They can’t control it without outside help, and many of them are not in a position pay for it.

This year Idaho lawmakers claim they saved taxpayers $9 million by cutting the mental health budget.  They also said, earlier in the year, that only people with private insurance would be dropped from state assistance.  Yet, I’ve read several recent articles that say, in actuality people without any insurance have been cut.  To give you an example of how insensitive lawmakers are; according to an article in the Idaho Statesman, State Representative Ken Andrus, a Republican from Lava Hot Springs, Idaho, said he considers the Pocatello shooting, by a man dropped from state help, to be an isolated case (www.idahostatesman.com).

Several mental health care professionals, here in Eastern Idaho, are warning that this is just the beginning of bad things to come.  The family of the shooting victim are outraged.

This reminds me of the Federal cuts for mental health care, pushed by President Ronald Reagan in the 1980s.  Instead of saving money, it cost more money in the long run, because of increased incarcerations, and lawsuits, due to resulting violent crime by people who were pushed onto the streets, and, went off their meds.  The difference between then and now is that then the government was trying to save money.  Now, there is no money.  The results will be the same.

Extra Long Receipts, saving paper?

When going to the store, even if it is just to purchase a few items, you are often faced at the end of your shopping trip with a long, very long receipt.  Gone are the days of simple receipts with a barcode at the bottom, company logo at the top, and you items purchased in the middle.  Surveys, coupons, even company bios can be found causing your receipt to grow.

This is what a receipt should look like.

Whether this is a good choice for the company financially, well, I don’t know.  I do know that it is a hassle for consumers, most of which don’t even read their receipts.  However, I can crunch some numbers.

On Amazon.com, I can buy 50 85 ft rolls of receipt paper for $18.29, which is 4250 ft.  Now, if the average receipt length I print is two feet, then I can print 2150 receipts at a cost of .8¢ a piece.  If I print an average receipt length of 8 inches, then I can print 6381.38 receipts at a cost of .2¢ a piece.  Of course there are some variables that can be involved, but this is to be used a static comparison.  The averages are not a number from any sort of study, simply made up as a comparison.

That may not seem like much, but for a very large retailer, that is a lot of money per week spent on paper.  Which, of course, could be potential jobs.  Maybe not very many jobs, but still jobs none-the-less.

There is hope, however.  Apple, Inc. has been asking if you would like the receipt emailed to you instead of a paper one since 2005.  Many store are following suit.  Also, some stores are starting to reduce the length of their receipts.  Alas, the store that aren’t cutting back on receipt length, are still complaining of running out of paper and their printers breaking all the time.

Here is a bit I personally would like to see on my receipts; percentage of the total an item cost, so I can see where I am spending the most.  This wouldn’t require a longer receipt, just a little number in the white space next to the item price.

Idaho’s New Privatized Medicaid. Patient Care Falls, Company Profits Up.

“…Americans will not stand for privatization of the nation’s most successful programs.” This is what a critic of President Bush Jr. said back in 2007, regarding the privatization of Medicare, Medicaid and Social Security. I think the critic is uninformed because many states have already privatized some or most of their Medicaid programs. And there is plenty of evidence that shows it is not successful, at least for the recipients.

Idaho is one of the states leading the country in radical reforms to it’s Medicaid program. On June 7th, 2010, they contracted out the medical payment program of Medicaid to a California company called Molina. Payments were expected to restart July 1st. The Idaho Medical Association says some providers have been paid for only 1% of what they billed (yes, one percent). A small number of providers have been overpaid, to the sum of $1 million. Most health care providers get a message stating “pending hold”. At the same time, Molina is reporting a net income of $10.6 million for the 2nd quarter of this year. $5 million of that coming from their Medicaid unit, know as Molina Medicaid Solutions.

Idaho had another contractor running Medicaid payments, for 30 years. Then the state decided to get a new contractor, one that could provide more flexible technology. Is that new lingo for cutting services?

Molina initially blamed the payment issue on it’s computer program, but, then in August, said it was because they were understaffed. The state is also being blamed by some critics for intentionally holding back claims until the Molina takeover.

Some providers say they’re getting the “pending hold” message because Molina’s program is designed to take care of people with secondary insurance first. Patients with no secondary insurance seem to be stuck in limbo under Molina’s system.

The Idaho government shares some of the blame, of course. On top of hiring the new contractor, the state wants to cut Medicaid funding by $22 million. I can’t help think that the cuts have something to do with this Medicaid payment fiasco.

Now, Idaho has contracted out the dental care program of Medicaid. The contractor, DentaQuest, has been given the green light to cut 150-200 providers from the program (in Idaho that’s a lot). The changes go into affect on November 1st. Several East Idaho dentists said it could force people with serious dental problems into hospital emergency rooms. Also, according to Dr. Justin Bell of Idaho Falls, DentaQuest is reducing compensation to .30 cents for every dollar of care. Dr. Bell thinks this will force dentists to stop taking Medicaid.

Here’s a couple of questions: If Americans don’t want privatized Medicare, Medicaid or Social Security, where is the protest?

Also, what’s the use of the Federal Health Care Reforms if states are making up their own reforms?

Once Again Experts Get It Wrong

Who are these “experts” who keep getting monthly job numbers wrong? Once again the “experts” have been surprised by job creation data that didn’t go the way they thought it would. According to reports our “experts” expected to see a net increase in September’s job numbers. Somewhere around 24,000 jobs created. But oh no, the actual numbers came in negative; 39,000 jobs lost.

This trend has been going on for a couple of years now. Officially things are supposed to be getting better, but when the actual data comes in it’s obvious things are getting worse. On top of that, when you look at the quietly issued “revised” data, it’s even worse. And our main stream U.S. media keeps towing the official line.

As a result of today’s jobs numbers, the big money players are hoping the Federal Reserve will ease up even more on monetary policy. Basically the big money players want the Federal Reserve to lend them money for free, while we continue paying outrageous interest rates to the big money players.

The International Monetary Fund even downgraded the anticipated growth of the U.S. economy. Why? Domestic consumer spending is going to continue to drop. Why? Significant domestic job creation is not happening. The IMF pointed out that there was a continuous difference in projected economic activity and actual economic activity. In other words, our “experts” keep getting it wrong.

Also, for the first time I’ve ever heard, Canada’s economy is now better off than ours. The IMF’s exact phrase is “relatively buoyant”, compared to the U.S.

Well, what-a-know. Canada!

Currency Wars Pushing Global Inflation

On October 2nd, the head of the International Monetary Fund (IMF) warned the world’s countries not to start a currency war. Such action could end any economic recovery. The problem is that it appears that the world is already in a currency war.

Today, October 6th,  an RT (I think it stands for Russia Today) program called Cross Talk, interviewed three currency analysts about the race, by most countries, to devalue their money.

Countries want their money to be low in value in order to attract foreign customers. International trade is key to growing a country’s economy. An economy that’s based on domestic trade only, leads to stagnation. But, if all the major traders in the world crash the value of their money the result could be worse than an economy based only on domestic trade.

The analysts interviewed on RT represent companies/organizations from Hong Kong, Russia and the U.S.

They said currency devaluation works only if a handful of countries do it. The problem is that “everyone” is doing it. The result will be global inflation.

The analysts agreed that the coming global inflation will not affect the ‘western’ countries as badly as the rest of the world. They didn’t give any example of how bad it would get.

An allegory was used to explain the effect of most countries trying to devalue their money at the same time: It’s like a marathon where you have so many runners that they knock each other out of the race. I other words, some countries are going to have their economies “knocked” out.

To solve the problem of currency wars, the analysts said world leaders might create a common global currency, or at least common rules on currency trading.

Increasing commodity prices, currency wars, actual wars, massive debts owed by governments, continuing job losses, etc. It seems to me that despite the positive spin our leaders, and main stream media puts on our economy, the evidence is clear that things are going to get worse. Buckle up.

Food Crisis: Idaho Hit by Crop Diseases


This afternoon, after a long awaited rain finally hit (possibly redeeming local weather forecasters), I discovered that my small plot of maize is suffering from an infestation of Smut. In researching this Smut I discovered that Idaho grain farmers are facing a new disease potentially more harmful, because it is attacking wheat & barely as well as corn.

Smut infected corn kernel. Some South Americans eat this.

Smut is a common corn fungus. It looks almost like the maize had been popped right in the husk. It’s nasty looking, the puffed corn kernels turning black as the fungus progresses. According to some sources, South Americans like to eat the young Smut galls as a delicacy.

I’ve grown maize for several years now, changing the location in my backyard field every year, but I’ve never had this problem. Turns out that weather plays a big role in the growth of Maize Smut. The weather factors are; cooler than normal temperatures, and dryer than normal conditions during the growing season (ipm.illinois.edu). That’s exactly what we’ve had this year in South East Idaho.

Maize Smut, Chubbuck, Idaho.

This is no problem, corn Smut shouldn’t cause a food crisis. But, in my research I discovered that, for the first time, the Pacific Northwest is being hit by a crop disease that attacks maize, wheat & barely. Earlier this year it was discovered in the Magic Valley of Idaho.

It is a type of Fusarium (not associated with Corn Smut), a fungus that is common in soil, but this particular version is dangerous to crops, and people. The Soviet Union actually developed a strain of Fusarium into a biological weapon during the Cold War (en.wikipedia.org).

According to the University of Idaho, Idaho is getting hit with this strain because of increased corn production (thank you ethanol). After the maize is harvested, Fusarium hangs around in the soil, attacking any wheat or barley planted in the same field. The U of I recommends not planting other grain crops in the same field that corn was grown. Also, plow under the field and spray with fungicides. As with Smut, cooler than normal temperatures promote Fusarium growth. (www.capitalpress.com)

Just one more concern over the coming food crisis.

Europeans Strike! Who Cares About Terrorism?

Europeans were told that a Mumbai style terrorist attack in Europe was foiled, do they care? Hell no! Why? Because, according to strikers in Latvia, people are dying because of the drastic measures undertaken by their government to deal with their crashing economy. In other words, Europeans are more afraid of their governments than random terrorists.

Today, people in France, Spain, Belgium, Ireland, Greece and several other countries not mentioned in U.S. media, went on strike. What happened to the economic recovery? A former European Union commissioner is quoted as saying “The party is over…”. European governments want even more drastic belt tightening, increasing the burden of paying for the partying of political and business leaders upon the average European taxpayer. No wounder Europeans are outraged.

Is this a sign of pending doom for the U.S. recovery? The same caca del toro is happening with our leadership here in the U.S. Where are the mass strikes? Are we so afraid of our leadership that we’d rather continue playing along with their war on terror game?

The real terrorism is being waged on the average U.S. worker, by corporate America and their puppets; our political leaders. Let me give you an example: When my son was 17 he got a job working for a movie theater here on the east side of Idaho. His first two weeks he put in 90 hours. We though he was going to get overtime pay, nope, not under the Fair Labor Standards Act. According to the Idaho Department of Labor, movie theater employees are number 5 on the list of jobs exempted from overtime pay.

We also learned that Idaho employers do not have to provide breaks under Idaho state law. My son was told that he would be fired if he was caught taking a break or eating, even when he worked 8-9 hour shifts. Here is what Idaho says: “IDAHO LAW DOES NOT REQUIRE
1. vacation, holiday, severance or sick pay;
2. a discharge notice or a reason for discharge;
3. rest periods, breaks, lunch breaks, holidays
off or vacations;
4. premium pay rates for weekends or holidays
worked;
5. pay raises or fringe benefits; or
6. a limit on the number of hours an employee
can work per day or week for employees 16
years of age or older.”

Visit labor.idaho.gov

Wake up America!

Lowe’s Defective Drywall, China Strikes Again

Anyone who bought drywall from Lowe’s prior to July 27, 2010, and it was defective causing damage or injury, could collect a settlement payment.

Lowe’s has made a settlement offer in a lawsuit, that will be heard for approval by a Georgia Superior Court on November 19th.

Faulty drywall can emit sulfur gas, which can damage electrical wiring, or anything using copper like air conditioner coils, as well as make you sick. Copper items might require replacing, as well as the drywall. Some cases involve homeowners who rebuilt their homes after damage by Hurricane Katrina. It seems most of the drywall came from China.

The bad drywall wasn’t sold just by Lowe’s. A local supplier in Florida was successfully sued, for the same issue, bad drywall from China.

Lowe’s settlement offer is in the form of gift cards ranging from $50.00 to $2,000.00. For cases with more than $2,000.00 in damage Lowe’s will add up to $2,500.00 in cash. Anyone who thinks they are entitled should visit www.drywallsettlement.info. Be advised there is a lawsuit in Louisiana that is targeting the Chinese manufacturer of the drywall, and attorneys in that case have challenged the Georgia/Lowe’s settlement.

A warning to building contractors; some legal sources say contractors could be sued for using the defective Chinese drywall. The most common, and obvious, sign of the bad drywall is the sulfur smell, which is like rotten eggs.

LED street lights for Arlington County, VA

Over the next 6 years, Arlington County, Virginia, is planning to replace all 4,200 high pressure sodium (HPS) street lights owned by the county with LED street lights. Spending approximately $1.5 million just in 2010 to replace 1,800 fixtures with LED technology.

However, Dominion Power owns 12,000 street lights in Arlington County. The county is discussing with Dominion Power about working together to replace all 16,200 street lights with LED technology over the next decade. This will result in an estimated a $1 million per year savings once the project is complete.

“We anticipate reducing our total streetlight energy costs by nearly 50%, and when we successfully convert all 16,000 streetlights, we will be saving about $1 million per year.” Chief of Transportation Wayne Wentz, Arlington County.

from www.newstreetlights.com

Arlington County, VA, isn’t the only one switching to LED street lighting. Los Angeles, CA, Seattle, WA, and Pittsburgh, PA, are just a few of the many cities planning to convert to the new lighting.

LED street lighting emits a whitter and brighter light, which studies suggest may decrease or displace crime in the better lit areas. Some argue the bluer light has a calming effect as opposed to the harsher orange-yellow HDS street lights. However, some argue that it may increase crime due to the increased visibility.

Reasons for opposition include; glare, light pollution, light trespass, operations to upgrade lighting being disruptive, officials attempting to disrupt livelihood. Opposition can also come from nearby neighborhoods in the form of jealousy or concern for displacement of crime to their neighborhood. Opposition in business districts can be similar.

from U.S. Department of Justice – Improving Street Lighting to Reduce Crime in Residential Areas