Monday June 6 Housing and Economic stories

KeNosHousingPortal.blogspot.com

TOP STORIES:

Greece fails to pay medical bills - (www.ft.com) The Greek government has fallen sharply behind on payments to healthcare companies only months after restructuring its €5.4bn ($7.6bn) debt to suppliers, raising doubts about patient safety while revealing the looming cash-flow crisis faced by the state. The pharmaceutical industry says only 30 per cent of €1.2bn in payments owed by public hospitals since the start of last year have been made. Of debt due from the start of 2011, just 1 per cent has so far been paid. The cash crunch in the health sector adds to the urgency of measures planned by the Greek government to raise revenue through a pledge to sell €50bn of state-controlled assets. Fears are mounting in eurozone capitals, however, that the socialist leadership of George Papandreou, prime minister, is not committed to the painful measures necessary to meet revenue targets. “The situation has become dramatic,” the Hellenic Association of Pharmaceutical Companies said in a letter to the ministry of health, warning that it was “only a matter of time before drug shortages on the market begin to occur”. The concerns are shared by other medical suppliers, many of which have tightened payment terms and some of which are themselves struggling to continue operating.

States shorten duration for unemployment benefits - (finance.yahoo.com) Some of the states that have drained their unemployment insurance funds are cutting the number of weeks that a laid-off worker can count on those benefits. Legislators are trying to limit tax increases for businesses to replenish the pool and are hoping the federal government keeps stepping in when the economy slumps. Michigan, Missouri and Arkansas recently reduced the maximum number of weeks that the jobless can get state unemployment benefits. Florida is on the verge of doing so. Unemployment in those states ranges from 7.8 percent in Arkansas to 11.1 percent in Florida. The benefit cuts come as legislatures deal with the damage that the recession inflicted on state unemployment insurance programs. The sharp increase in the number of people who lost their jobs drained the reservoir of money dedicated to paying out benefits. About 30 states borrowed more than $44 billion from the federal government to continue payments to laid-off workers. Many states hastened the insolvency of their funds by keeping balances at historically low levels going into the downturn. The burden of replenishing the funds and paying off the loans will fall primarily on businesses through higher taxes, but the benefit cuts are an effort to limit the tax increases. States usually provide up to 26 weeks of benefits to laid-off workers. Michigan and Missouri have cut that to a maximum 20 weeks. Arkansas went to 25.

Spain's Socialists trounced amid economic woes - (finance.yahoo.com) Spain's ruling Socialists suffered a crushing defeat to conservatives in local and regional elections Sunday, yielding power even in traditional strongholds against a backdrop of staggering unemployment and unprecedented sit-ins by Spaniards furious with what they see as politicians who don't care about their plight. Prime Minister Jose Luis Rodriguez Zapatero said the result was due punishment of his government for the state of the economy -- the jobless rate is a eurozone high of 21.3 percent. But he said he had no plans to move up general elections, which must be held by March of next year, and pledged to press on with job-creating reforms despite the loud outcry of opposition to his party. The win for the conservative opposition Popular Party puts it in even a stronger position to win the general elections and return to power after eight years of Socialist rule. In what Spanish media said was the worst performance on record by the Socialist Party in local and regional elections, the numbers reflecting the loss were stunning: the conservative Popular Party won at the municipal level by about two million votes, compared to 150,000 in its win in 2007, and in 13 regional governments that were up for grabs, Zapatero's party lost in virtually all of them.

U.S. State Legal Chiefs Sharpen Mortgage Investigation, WSJ Says - (www.bloomberg.com) U.S. state attorneys general are sharpening their inquiries into mortgage-business practices by looking for misdeeds when banks originated home loans and packaged them into securities, the Wall Street Journal reported, citing unidentified people familiar with the matter. New York State Attorney General Eric Schneiderman has issued subpoenas to four bond-insurance companies, Ambac Financial Group Inc. (ABKFQ), Assured Guaranty Ltd. (AGO),MBIA Inc. (MBI) and Syncora Holdings Ltd. (SYCRF), as part of his investigation, the newspaper said. While the four companies have been asked to provide information, they aren’t the subject of the investigation, the Journal said. An MBIA spokesman said the company will comply with the subpoena; a Syncora spokeswoman confirmed that a subpoena has been received, while declining to comment further; an Assured Guaranty spokeswoman declined to comment on whether a subpoena has been received; and a spokesman for Ambac declined to comment, the newspaper said.

S&P’s Italy Warning May Fan Contagion as Greece Cuts - (www.bloomberg.com) Greek Prime Minister George Papandreou’s Cabinet is set to endorse additional deficit cuts and asset sales, fending off speculation that the country is headed to a restructuring. The cost to insure Greek debt against default rose to a record and the yield on its 10-year bonds increased to a euro- era high after Standard & Poor’s said May 20 it may cut Italy’s credit rating. That warning came hours after Fitch Ratings cut Greece three grades. “Greece risks a sovereign default and finance ministers have expressed strong doubts about the sluggish progress,” French Finance Minister Christine Lagarde said in a May 20 interview with Austria’s Der Standard. More than a year after European policy makers approved a 750 billion-euro ($1.1 trillion) bailout blueprint to stem the sovereign crisis, bond yields in debt-laden peripheral countries are at record highs and officials are floating plans to extend Greek repayments.

OTHER STORIES:

Moody's warns Japan recession is negative for rating - (www.reuters.com)

Risk Rally Ending for Currencies Turns Focus to New Least Ugly-Alternative - (www.bloomberg.com)

Emerging market bond fund flows signal shift - (www.ft.com)

Zapatero’s Socialists Routed in Backlash Over Austerity - (www.bloomberg.com)

Greece discusses fiscal plan, lenders' pressure up - (www.reuters.com)

Italy to bring forward deficit-cutting decree: sources - (www.reuters.com)

BOE’s Dale Says Weak Recovery Shouldn’t Stop Rate Increase - (www.bloomberg.com)

U.S. Debt Limit Increase Agreement May Take Until August, Ryan Tells NBC - (www.bloomberg.com)

Fed Focusing on Inflation Expectations - (www.bloomberg.com)

As Lenders Hold Homes in Foreclosure, Sales Are Hurt - (www.nytimes.com)

Sunday June 5 Housing and Economic stories

KeNosHousingPortal.blogspot.com

TOP STORIES:

Thousands storm Oregon's capitol steps rallying for "a better way" - (www.kmtr.com) Taking to the steps of the state capitol in Salem on Friday, thousands of state workers, union members and advocacy groups rallying for alternatives to budget cuts, wage freezes and furlough days in Oregon. At least 36 busses carried people in to Salem from communities across all corners of Oregon. Many rally members say they're tired of making concessions while corporation and wealthy Oregonians “aren't paying their fair share.” Most of the participants in Friday's rally were state workers on an unpaid furlough day, one of 10 the state is forcing employees to take this year to help balance the budget. Public union members want to preserve the status quo, just as they do in Greece and Spain. Well the status quo is broken, and proof is easy to find: Public union wages and benefits have bankrupted many cities and states. The way to fix the problem is to get rid of public unions not increase their power.

O.C. beach towns have most vacant homes - (lansner.ocregister.com) Beach towns with higher numbers of vacation rentals have Orange County”s highest percentages of empty homes, 2010 Census Bureau figures show. But even when seasonal-use housing is eliminated, the communities of Sunset Beach, Seal Beach, Laguna Beach, Newport Beach and Dana Point have some of Orange County’s highest vacancy rates. Nearly one out of every five housing units in Sunset Beach were empty when the census was conducted last year. The census reported that 126 of its 641 homes were empty. After removing its 64 seasonal housing units from the mix, Sunset Beach ranked second in O.C. — behind the retirement community of Laguna Woods — with 9.7% of its homes empty. Villa Park had the lowest vacancy rate among O.C. communities. Just 2% of its 2,016 homes — or 40 units — were empty.

10 States with a Backlog of Bargain Houses - (www.thefiscaltimes.com) Several states in the U.S. are facing a multi-year backlog of distressed homes, ready to keep prices weak for months to come, according to the latest real estate market report from CoreLogic. Their research shows that while home prices may be rising in some places, or at least stabilizing, there's plenty of supply out there ready to keep prices depressed for years to come. Further, the negative equity levels, or how underwater people are on their mortgages, is staggering in many states making it even harder for home owners to move on from their investments. #10 Marland: Supply of distressed homes: 25.5 months. House price index (year-over-year): Down 5.2%. Negative equity share: 23.7

Housing Market Still Blessed by Foreclosures, Tumbling Prices - (www.pbs.org) There was fresh evidence today of weakness in the housing market and the overall economic recovery. New home construction was expected to rise, but it fell last month by more than 10 percent. And new building permits dropped by 4 percent. The housing news followed other troubling data, including the continued foreclosure problems. In the broader economy, factory output slowed in April, after the earthquake in Japan caused an auto parts shortage. And a day earlier, a national survey predicted that the economy will now grow by less than 3 percent this year. We take a look at the developments on housing and its impact with Guy Cecala -- he's the publisher of the trade journal Inside Mortgage Finance -- and Dina ElBoghdady of The Washington Post. And we thank you both for being here.

Future homebuyers benefit as current loanowners suffer - (www.irvinehousingblog.com) If you’re a 20-something or even younger, your economic future is at best clouded. Your taxes will almost certainly be higher than today’s; your public services (schools, police, sanitation, defense, scientific research) will almost certainly be lower. Paying for old people, covering rising health-care costs, repairing dilapidated roads and servicing government pensions and the huge federal debt will squeeze take-home pay. Is there any hope for economic gains? We are also making college much more expensive for young people so they begin their working lives with massive debts. What little discretionary income they have will not support the entitled lives granted an earlier generation. Do We Owe Baby Boomers Their Imagined Home Equity for Retirement?

OTHER STORIES:

Is America Going Back to a Gold Standard Someday? - (www.usawatchdog.com)

Student loan debt now equivalent to 7 percent of US GDP - (www.doctorhousingbubble.com)

Buyer optimism about better (lower!) prices grows - (www.sbsun.com)

US Housing Inflation Postponed Until 2014 - (www.bloomberg.com)

Chart of the Day: Housing Sentiment - (www.theatlantic.com)

California Foreclosure Attorney Michael Pines Jailed on $227,000 Bail - (www.4closurefraud.org)

Will the Banks Finally Have to Answer for the Fiscal Crisis? - (www.nytimes.com)

20 Wacky Statistics About The US Real Estate Crisis - (www.theeconomiccollapseblog.com)

Metro Phoenix rental homes dominate housing market - (www.azcentral.com)

All-Cash Buyers Preventing Really Good Prices In Housing Markets - (www.minyanville.com)

Houston housing market gets better for buyers once again - (www.chron.com)

Saturday June 4 Housing and Economic stories

KeNosHousingPortal.blogspot.com

TOP STORIES:

Huge Drop in Realtor Membership - (www.housingpredictor.com) Slammed by the real estate crash, the National Association of Realtors membership has dropped 21% since 2006 when real estate agents and brokers began to realize markets were heading down to just 1.06-million members, according to a real estate survey conducted annually. Real estate agents and brokers are also finding that the dramatic changes in the housing market has led them to work more, earn less and deal with more troubled properties like foreclosures and lenders’ short sales in order to make a living, the study by Inman News found. The huge drop in Realtor membership represents a major shift in the industry. Foreclosures and bank-assisted short sales do not pay agents as much as sales of homeowners’ properties because banks require a discount to sell bank owned (REO) properties. “The findings in the report, show in the past five years the national median sales price for existing homes has fallen 27% to $177,000,” said Inman News CEO Tim Smith, whose company specializes in news for agents and industry professionals.

Foreclosure rate slows because banks taking longer to foreclose - (www.latimes.com) Increased scrutiny of how lenders foreclose on Americans has dragged the repossession process out to unprecedented lengths, driving down the pace at which banks are taking back homes. Big banks are taking longer not only to push borrowers into foreclosure, but also to move homeowners through each stage of the process than in previous years, according to a report by Irvine-based RealtyTrac. The extended timelines have meant a reprieve for troubled borrowers. But economists said the delays could hold back a national housing rebound if foreclosures remain a significant part of the market for years to come. In April, U.S. foreclosure activity fell for the seventh month in a row on a year-over-year basis to the lowest point in more than three years, RealtyTrac said. The sharp April drop was the result of the foreclosure-processing slowdown and not an indication of a housing rebound lifting people out of default, experts said. "The banks have had to slow down and get more lawyers involved because of all of the fuss over the robo-signing scandal," said Christopher Thornberg, principal of Beacon Economics, referring to the revelations last year that banks foreclosed on properties using faulty paperwork.

McMansions dead at last. The kind of houses well build in the future - (www.slate.com) The U.S. housing market is going through an adjustment of historic proportions. Before 2006, when the housing slump commenced, American home builders regularly built as many as 2 million new houses annually, rarely less than a million. This amount was needed to keep up with new household formation, immigration, homeowners moving up, and replacement due to obsolescence. Since then the number of new houses built has dropped drastically—the seasonally adjusted annual figure announced by the federal government in February 2011 was about 400,000! What's going on? The recession, obviously. High unemployment and unease about the economy have made potential first-time homebuyers leery of entering the market, and many have decided to wait on the side lines.

The People vs. Goldman Sachs - (www.rollingstone.com) They weren't murderers or anything; they had merely stolen more money than most people can rationally conceive of, from their own customers, in a few blinks of an eye. But then they went one step further. They came to Washington, took an oath before Congress, and lied about it. Thanks to an extraordinary investigative effort by a Senate subcommittee that unilaterally decided to take up the burden the criminal justice system has repeatedly refused to shoulder, we now know exactly what Goldman Sachs executives like Lloyd Blankfein and Daniel Sparks lied about. We know exactly how they and other top Goldman executives, including David Viniar and Thomas Montag, defrauded their clients. America has been waiting for a case to bring against Wall Street. Here it is, and the evidence has been gift-wrapped and left at the doorstep of federal prosecutors, evidence that doesn't leave much doubt: Goldman Sachs should stand trial.

Why Military Spending Remains Untouchable - (www.countercurrents.org) In defense circles, “cutting” the Pentagon budget has once again become a topic of conversation. Americans should not confuse that talk with reality. Any cuts exacted will at most reduce the rate of growth. The essential facts remain: U.S. military outlays today equal that of every other nation on the planet combined, a situation without precedent in modern history. The Pentagon presently spends more in constant dollars than it did at any time during the Cold War -- this despite the absence of anything remotely approximating what national security experts like to call a “peer competitor.” Evil Empire? It exists only in the fevered imaginations of those who quiver at the prospect of China adding a rust-bucket Russian aircraft carrier to its fleet or who take seriously the ravings of radical Islamists promising from deep inside their caves to unite the Umma in a new caliphate.

OTHER STORIES:

24% of Laguna Beach homes sold at a loss Laguna Beach Homes - (lagunahomes.ocregister.com)

Western Australia suffers record low property transactions - (www.perthnow.com.au)

How the oil industry saves 44B a year on taxes - (news.yahoo.com)

US bankruptcies graph - (jan.ocregister.com)

Building Wealth Through Renting - (economix.blogs.nytimes.com)

Why I don't want to buy your flip - (www.patrick.net)

Census shows Calif median age at record, SF older - (www.sfgate.com)

Universal health care in Vermont: Will it come to the rest of America? - (www.slate.com)

On Housing, There Will Be More Lean Years Ahead - (online.wsj.com)

Redfin agents telling me NOT to buy yet - (www.patrick.net)

Census data: Indian / Chinese population in SF Bay area - (www.mercurynews.com)

Friday June 3 Housing and Economic stories

KeNosHousingPortal.blogspot.com

TOP STORIES:

States cut money sent to cities, counties - (www.reuters.com) To balance their budgets, states are cutting funds they send to local governments, worrying many in the $2.9 trillion municipal bond market, from cities to rating agencies. Fitch Ratings said in a report on Friday that school districts and counties will face their greatest funding reductions from states. It said cuts in aid can result in "intergovernmental downloading," where the financial burden for a service is shifted from a higher level of government to a lower level. "Even if a funding source is identified, it may prove insufficient to cover the service that needs to be provided or may not grow at the rate needed to keep pace with expenditure growth," Fitch said. It added that local governments may not be able to cut programs states stop funding "because of the essential nature or legal requirements of some services." Counties provide most of these services and are more susceptible to "downloading" than cities. States give heavy financial support to schools -- roughly half of the money school systems use -- and cuts in education funding can be painful because "districts themselves have little if any control over revenue raising," Fitch said.

Chris Christie on Sick Pay Payouts: "Only in Government" - (www.youtube.com) Partial Transcript: Right now, the total accumulated sick leave liability for governments across New Jersey is $825 million. That is how much we will have to pay out in sick-leave payouts, currently. If I were to sign a bill that allowed for a $7500 cap, do you know what the bill would be? The bill would be $3.25 billion. Now, I don't call that reform. It's not reform when you are going to take the tab you are running up, from $825 million to $3.25 billion. And how did the number $7500 happen? Just plucked out of the air. So here is the choice the legislature has to make: Are they with you, or are they with special interests? There is no way to justify paying people cash for not having been sick. Only in government would we do something like this!

Goldman Credit Swaps Rise to Highest Level Since December on Senate Probe - (www.bloomberg.com) The cost to protect debt issued by Goldman Sachs Group Inc. (GS) climbed to the highest level in almost five months. Credit-default swaps on New York-based Goldman Sachs increased 6.7 basis points to 141.9 basis points, according to data provider CMA. The contracts have risen 30.6 basis points since a U.S. Senate Permanent Subcommittee on Investigations’s report last month said the firm misled clients about its bets on mortgage-related investments. The panel’s findings were referred to theDepartment of Justice and the Securities and Exchange Commission. The contracts, which are are at the highest since Dec. 1., pay the buyer face value if a borrower fails to meet its obligations, less the value of the defaulted debt. A basis point equals $1,000 annually on a swap protecting $10 million of debt.

Greece worries markets on reform plan - (www.ft.com) The eurozone crisis deepened on Friday as Greek economic reform plans were delayed, sparking tension in the financial markets over the country’s ability to rein back its mounting public debt. The euro dropped against the dollar, Greek bond yields rose to euro-era highs and fears of contagion to Spain, the key economy, increased amid worries that Athens’ determination to implement its recovery plan was waning. Fitch, the rating agency, also hit Greece with a multi-notch credit downgrade, warning that the country faced big challenges in turning round its reversing economy. Harvinder Sian, euro rates strategist at RBC, said: “The Greek crisis has ratcheted up this week because policymakers and central bankers cannot decide the way forward.” Gary Jenkins, head of fixed income at Evolution Securities, added: “It is a mess. Division among the politicians and central bankers is not helping.

Goldman Plunges, As Market Cap Shrinks By $8.3 Billion Just Since The Matt Taibbi Takedown - (www.businessinsider.com) If you haven't been paying attention, Goldman Sachs shares have been in freefall. They lost over 3% Friday amid a slew of headlines about imminent subpoenas related to Blankfein, the firm's activities during the crisis, and just generally for being the much-reviled Goldman Sachs. The stock has lost over 10% in just the last week since Matt Taibbi wrote his latest takedown, costing the firm over $8 billion in market cap. From its 52-week high made earlier this year, the stock is off 24%. At $134, it's only barely above its $129 book value, meaning that either A) people don't believe that the company's book value is real, or b) the value of the Goldman Sachs franchise has been reduced to $5/share, or just over $2.5 billion, based on 517 million shares outstanding. The stock is only barely above where it was at its depths last summer, before it settled civil fraud charges from the SEC.

OTHER STORIES:

Italy Outlook Revised to Negative by Standard & Poor’s; Ratings Affirmed - (www.bloomberg.com)

IMF Says Ireland’s Ability to Sell Bonds Remains ‘Elusive’ - (www.bloomberg.com)

Twenty SAC Capital Trades Examined by Senator Grassley, WSJ Says - (www.bloomberg.com)

BRICs Divisions Contrast With European Unity in Quest for Control of IMF - (www.bloomberg.com)

California unemployment edges below 12% - (www.latimes.com)

U.S. closes banks in Georgia and Washington state - (www.reuters.com)

Thursday June 2 Housing and Economic stories

KeNosHousingPortal.blogspot.com

TOP STORIES:

Iceland's Big Economic Thaw - (www.nytimes.com) If you want to understand what happened in Iceland — the whole story of the crash, the banks failing, the recent signs of recovery — start at the prime minister’s office in downtown Reykjavik and continue east for a bit until you ascend a steep bluff overlooking the icy waters of Faxafloi Bay. There you will arrive at a used-car lot. Ask for the owner of this establishment, who is a short, 61-year-old man with extremely thick glasses named Gudfinnur S. Halldorsson — he goes by the name Guffi (pronounced Goofy) — and have him to tell you the story of the Porsche that kept on giving. During Iceland’s boom years, which lasted from 2003 until 2008, a customer showed up at Guffi’s dealership wanting to buy a Porsche on credit, no money down. Guffi didn’t inquire about the man’s line of work; in fact, he didn’t care if the man paid back the loan — that was the bank’s problem, not his. Guffi sold the Porsche, and the customer drove it for a month or so until the first payment was due. The man had no interest in making the payment, and so Guffi, who always aimed to please, helped the man resell the vehicle for a profit. Guffi did the same thing a month later, and again a month after that; all told, Guffi sold the same car five times in six months, amazingly charging a higher price on each successive sale..... Guffi sold a lot of cars during the boom, but he didn’t save much. When I asked him what he spent his money on, he replied that he traveled widely, skied often and entertained a number of girlfriends from abroad. “Take a look at the beautiful girls from Ukraine and Switzerland,” he told me wistfully. “You’re like a kid in a toy store. Several times, I’ve brought them home so that they can have a vacation here. Then I show them Iceland.” He added, thoughtfully: “What I was doing was good for the tourism business.”

Banks Push Consumer Bureau to Hide Complaints - (www.bloomberg.com) The new U.S. consumer agency, which has yet to begin formal operations or write a rule, is already being squeezed between banks and advocacy groups over how to set up a complaint hotline. Under the Dodd-Frank regulatory overhaul, the Consumer Financial Protection Bureau must establish a way for banking customers to submit reports about their problems with products and services. At issue is what happens after they’re filed. Nonprofit groups such as Consumers Union and the Sunlight Foundation are pushing for an open system that would allow anyone to scan the raw submissions. Industry groups including the American Bankers Association argue that making them public could allow frivolous complaints to damage reputable brands. “The point of banking supervision is to get the system working properly, not to air dirty laundry and scare capital away from banks,” Richard Riese, senior vice president at the bankers association’s Center for Regulatory Compliance, said in an interview.

Real estate nightmare for retirees! - (finance.yahoo.com) Five short years ago, many learned men and women warned Americans against thinking that rising home prices would eliminate or lessen the need for them to save for retirement. Institutions and advisers alike warned people against relying on the equity in their homes to finance part if not all of their consumption needs in retirement. Today, that's no longer the case. In fact, today, we have almost the opposite situation. With home prices falling for nearly five years, many Americans now must consider what to do with their homes should prices continue to collapse and the equity in their homes -- if they are still lucky enough to have any equity -- disappears completely. Should they stay in place and wait it out? Or should they bail out now and downsize? If they stay in place, should they pay down their mortgage, if they have one? And if they have a home equity loan, should they refinance that or, if possible, accelerate the payments on that debt?

Growing number of consumers pay credit card debt before mortgage - (www.washingtonpost.com) A significant number of Americans are now willing to lose their house to save the stuff that’s in it. That kitchen-table calculus provides a window into the deep-seated changes in consumer psyche wrought by the financial crisis. Traditionally, home loans have perched at the top of the payment hierarchy as families have strived to ensure that a roof stayed over their heads. But as Americans unload more than $100 billion in debt leftover from the economic boom, many households face a daunting question: What to pay off first? The answer increasingly has become the credit card. According to statistics from credit bureau TransUnion, the number of consumers who default on their mortgages but continue to pay their credit cards on time has remained well above normal even as the country has moved into an economic recovery. The steady climb — up from 37 percent before the recession to more than half at the end of last year — has some financial experts questioning whether the shift reflects a permanent change in how families manage their personal balance sheets.

Senate Bill Is Big Step Toward Government Censorship - (www.wired.com) Under the old COICA draft, the government was authorized to obtain court orders to seize so-called generic top-level domains ending in .com, .org and .net. The new legislation (.pdf), with the same sponsors, narrows that somewhat. Instead of allowing for the seizure of domains, it allows the Justice Department to obtain court orders demanding American ISPs stop rendering the DNS for a particular website — meaning the sites would still be accessible outside the United States. Either way, though, the legislation amounts to the holy grail of intellectual-property enforcement that the recording industry, movie studios and their union and guild workforces have been clamoring for since the George W. Bush administration. “As the guilds and unions that represent 400,000 creators, performers and craftspeople who create the multitude of diverse films, television programs and sound recordings that are enjoyed by billions of people around the world, we unequivocally support this bill which, by providing protection for our members’ work, clearly shows that our government will not condone or permit the wholesale looting of the American economy and American creativity and ingenuity — regardless of how that looting is disguised on the internet to fool the American consumer,” (.pdf) a host of unions said Wednesday, including the American Federation of Musicians, American Federation of Television and Radio Artists and the Directors Guild of America.

OTHER STORIES:

April house sales in Southern California hit three-year low - (www.latimes.com)

Inflation a less serious threat, economists say - (www.contracostatimes.com)

Nation's wealthiest kept spending, with assets stripped from middle class - (www.vegasinc.com)

Huge Profits for Health Insurers as Americans Put Off Care - (www.nytimes.com)

Lego-style apartment - (www.youtube.com)

NJ bubble blogger buys a house - (www.njrereport.com)

Where we are in the housing crash so far - (www.ritholtz.com)

House prices fall harder than the 1928 through 1933 Great Depression Collapse - (www.doctorhousingbubble.com)

Insurance against further price declines - (online.wsj.com)

Capital Accumulation and Opting Out of the Consumerist Machine - (Charles Hugh Smith - www.oftwominds.com)

Bay Area real estate is a market gone crazy - (www.contracostatimes.com)

Strategic default rises as house prices fall, 28% now underwater - (www.irvinehousingblog.com)

Do San Diegans still believe in home ownership - (www.signonsandiego.com)