Friday, September 24, 2004

Collaboration with Other Species

Creditoris Squaliformes thrives in part because of the diversity of other forms of life in the consumer ocean.

There is at least one symbiotic relationship working on a macro-economic scale that re-redistributes wealth back toward the upper-middle and upper classes; wealth that was originally taken from them by so-called "progressive taxation" policies.

As members of the investor economic class see diversification of their portfolios into the RMBS (bond) markets, the higher return issues generate cash flows that are coming directly from the higher-interest rate loans foisted onto the allegedly sub-prime borrowers.

So while the pro-tax contingent in Washington continues to try and reverse the tax cuts, they and their opponents both know full well that even if they do increase tax rates on the wealthiest 25% of Americans, those who have any investment guidance or sense will realize they can get much of that money back directly from the people who pay little or no taxes by investing in sub-prime RMBS issues.

Obviously while the lenders continue to feed off this interesting situation, neither side of the legislative aisle is willing to expose their designation of Creditoris Squaliformes as a protected species.

The Honorable Judge Roy Bean.

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