As the United States continues to gush billions of dollars each week in Iraq and Afghanistan, states are selling off airports, parks, and other public areas to pay for basic services. This week, Gov. Arnold Schwarzenegger will propose selling San Quentin Prison, the Los Angeles Coliseum and other state-owned properties.
The fireside sale of such historic properties would raise less than a billion dollars but such short-term acts are now common. At some point the image of the U.S. giving billions to an oil rich nation like Iraq will cause a public backlash against our leaders. We have reached a point of anaerobic breakdown of our country where we are selling off basic public areas at bargain prices. The result is that a small number of companies and individuals will become fantastically wealthy by giving politicians a short-term infusion of cash.
For the story, click here.
This is the equivalent of the State pawning its belongings. It’s a final desperate tactic before bankruptcy.
This approach still has a way to go, however.
I expect to see states sell off toll collection rights on today’s free highways, to offer casino rights for cash, and perhaps even decades worth of lottery rights all for money paid today. Why not sell the ability to collect years worth of back taxes for 50 cents on the dollar? All of these will be tried.
Ultimately I expect the federal government will be used to bail out states, perhaps under the guise of stimulus and government stability. This money will not be borrowed from our bankrupted population or from China, but will simply be loaned to us by the Federal Reserve, the only entity that can loan money it doesn’t have. This monetization cycle of what will become trillions in debt started in March 2009 and was openly announced by the Fed itself.
I should clarify one statement in my comment above.
ALL banks can loan money they don’t have in our fractional reserve lending system. It is the Federal Reserve that will be used to buy trillions in US Treasuries – which are the instrument of borrowing by the federal government – until the US dollar itself collapses as worthless.
And to think that Bush could be blamed for all of the ills of society. It was the one right before Geo I. I think its initials are RWR, I don’t like to think that name out loud. The trickle down theory really does work, does it not?
I am standing in a puddle and it is yellow, so it must work well.
This is a smart idea. Not only will it force lawmakers to enact some sort of prison reform, but it will make the state a good amount of cash as San Quentin would be some really nice real estate.
Hard to believe that, after one hundred-plus years of jokes, the Brooklyn Bridge might actually be sold given the state of things.
puzzling:
Have you been reading Chris Martenson? Cause your making way to much sense.
Finally, at my advanced age and being a person of modest means all my life the opportunity of a lifetime arises. I am announcing right here on JT’s site that I am putting a consortium together to purchase San Quentin and its’ scenic isle. I envision a mix of very upscale Townhouses and Condos,
with a Country Club, Shopping Mall, Boutique Hotel and park.
Visitors will be permitted but only at the behest of residents,
maids for instance, or as sightseers/shoppers providing they have a favorable credit rating. The complex will boast its’ owned armed police force, with full peace officer status. Think of the views! Think of the money! Think of the exclusivity!
Investors please contact me at 1-800-Elitist.
Puzzling:
the land and structures that rightfully belong to individuals will be returned to indiviiduals. I see this as a very good thing indeed. The government controls too much land and too many resources and it should be put into production and generating revenues.
Looks like the looters are on their last legs and dont know what to do.
This has actually been an issue for a while… SQ is located on some prime real estate and some people have been pushing to develop bayside properties on it.
Buyers beware, a title search might disclose that the state of California does not own the Los Angeles Coliseum. I also wouldn’t recommend buying a used car from Arnold…
Mike S.,
Your witticism only is exceeded by your sarcasm. I love it. How do I say, “here I sit trying to” . . .think!!!!
Big Fella,
Aren’t you aware that Arnold is an indestructible robot from the future, obviously built by other German robots? He was elected Governor because Californians always get it right. After all Ronald Reagan was a war hero and one tough hombre.
As for Senator George Murphy, that man could dance.
AY,
Got any extra cash laying around the house, because I know an Island in San Francisco Bay that we can buy cheap.
Sell the durn place to Obamer for his new Gitmo….
“The government controls too much land and too many resources and it should be put into production and generating revenues.”
Bron,
Right you are. Could you imagine the development that private industry could do with the Grand Canyon, Yellowstone,
Glacier National Park, The Washington Mall (Lincoln Memorial and Washington monuments are separate deals) and even Central Park in Manhattan? Why it would be thrilling and people could make a bundle. Selling the entire National Park system alone would wipe out the National Debt and I’m sure there are plenty of foreign buyers who would also be interested. Our motto should be “First the Parks, then the Parkways…..and finally the whole Damn Thing!.” Foreign Investors could do wonders with our country and the only down side is we’d have to learn the metric system, which you being an engineer would know anyway.
Mike S,
Count me in!! I’ll give you my hard earned cash to use as a downpayment!!!
Sally,
You’re in on the ground floor. Clean out your accounts now and wait for instructions. I prefer cash and no paperwork. Mu handshake is my bond. You know you can trust me I’m that nice old guy who wouldn’t harm a flea.
“Mu handshake is my bond. You know you can trust me…”
__________________
Sally! Never ever trust a guy who caint spell My and then says that you can trust him.
Now you tel me FFLEO?
After I sent him all my savings via western union? Darn it all!!
Well Sally, that has been *the* problem throughout humankind…a woman trusted a man and the problems began…
San Quentin should not only be sold, it should be shut down altogether. Alcatraz, San Quentin are a blight on the Bay Area. Streets named Alcatraz should have immediate name changes as well. How much fear mongering can these posers dish out? People actually tour Alcatraz daily, cameras in hand, kids in tow. Can you imagine? Will we soon make Abu Gharaib a tourist site?
FFLEO,
How could you do me so wrong? A “Mu” is the vehicle that Sumerian Gods used to ascend to the heavens. By invoking “Mu” rather than “My” I was evoking the holy to show my word and handshake are even more sacred. Sally, as a God fearing person understood this, so what if it was pagan gods the feeling was there and graciously sent me all of her cash. Which, until I make the purchase of the facility, is in the hands of a very nice man I’ve met down here in Palm Beach, who’s going to give me and Sally 12% on her investment.
I recieved his email about that deal today! He also said something about sending us a check for $80 million and we need to deposit it and send him back $45 thousand to help him with the legal costs of filing paper work and the such.
Between you and me, I say let’s just keep the check and screw him
Sally,
How could you? I am so disappointed!
Bron,
That statement supposes the government acquired the land through illegal means. If they bought it from private individuals, or simply claimed their ownership of it before some other person did wouldn’t the Gov’t be the rightful owner?
Mike….
AY is going to send us the $45,000 cash. We’ll send him the $80 million check and we can split the $45,000, okay?
I know it’s not much, but who wouldn’t want an extra $22,500 for fun money?
Why won’t my computer automatically sign me in on this thing?
And does anyone know how to link one’s own blog to their name? I thought I’d start one of my own
They’re going to sell San Quentin for 1 Billion, but they’ll probably wind up spending 2 billion building new prisons to house San Quentin’s former inmates.
On top of that, several million dollars will be needed to fund California’s newly created Department of Selling State Properties.
And with the states’ policy of allowing pretty much anything to be voted on, look for an initiative on the next ballot prohibiting the sale of San Quentin. Marin County will oppose, all other counties will support it.
Hey Mike Spindell,
You are still #1 in my blawg book. Also, I am a durn atheist so Mu was moo(t) to me.
If I were the legal counsel for a Native American tribe or Council(any Native American tribe or Council) that ever lived within 500 miles of a government owned tract of land for sale I’d file for it being returned to it’s rightful and official owners. Luck alone should insure some success if enough claims are filed. I’m not sure I’m kidding.
lkatz,
That is a good position. They should at least get first bids and perhaps a discount.
Perhaps we can sell Arnold back to Austria.
Sally
1, May 14, 2009 at 3:59 pm :
“Why won’t my computer…”
The fact that typed-in smileys are turned into icons are majik to me, sorry, but I can’t help you with Html type stuff.
Sally, If I click one of your names it takes me to MY homepage(!) and if I click on the last one it takes me to your homepage/blog.
I finally got it figured out. Lottakatz