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JPMorgan Puts $30B Toward Fixing Banking’s ‘Systemic Racism’
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From the Associated Press:

JPMorgan puts $30B toward fixing banking’s ‘systemic racism’

By KEN SWEET AND ALEXANDRA OLSON

CHARLOTTE, N.C. (AP) — JPMorgan Chase said Thursday it will extend billions in loans to Black and Latino homebuyers and small business owners in an expanded effort toward fixing what the bank calls “systemic racism” in the country’s economic system.

The New York bank said it is committing $30 billion over the next five years toward programs that include earmarking more money for getting Black and Latino families into homeownership and providing additional financing to build affordable rental housing units.

“Systemic racism is a tragic part of America’s history,” said JPMorgan Chase CEO Jamie Dimon in a statement. “We can do more and do better to break down systems that have propagated racism and widespread economic inequality.”

In the immediate aftermath of the police killing of George Floyd, JPMorgan announced a commitment of $1.75 billion toward programs they said would help address racial inequalities. But since then, as protests have remained constant in some urban centers, there has been a push for banks to do more. …

JPMorgan, which has $3.2 trillion in assets, said it expects the $30 billion to help finance 40,000 additional mortgages for Black and Latino households, another 20,000 loans that will refinance mortgages and help construct 100,000 affordable rental units. Additional funds will go to finance 15,000 small business loans to Black and Latino-owned businesses. …

American banking still has a long way to go to fix the problems of the past. Banks large and small are still regularly cited for discriminatory practices, including allegations of “redlining” Black homebuyers. Redlining is a practice in which banks deny or avoid providing credit services to consumers because of racial demographics or the neighborhood where they live.

Ed Golding, the executive director of the MIT Golub Center for Finance Policy, said JPMorgan’s investment is impressive but narrowing the gap requires more fundamental changes to the financial system. He noted that there’s a 30% gap between Black and white homeownership, amounting to about 4.5 million households. JPMorgan’s investment would go to a fraction of those.

“We are not going to do it overnight,” said Golding, who served as the head of the Federal Housing Administration under the Obama administration. “I applaud the energy and the direction but it’s going to take massive government policy changes to really move the needle and make up for hundreds of years of systemic racism.”

According to a recent study that Golding co-authored, African Americans on average pay higher mortgage interest payments, insurance premiums and property taxes than white families, adding an average of $67,320 to their homeownership costs. The study said Black families are disadvantaged by a risk-based pricing system, which charges higher mortgage rates for lower down payments and credit scores. Golding called for a system that would pool risk among borrowers.

What the Diversity Inclusion Equity movement wants most is the equity you’ve built up in your home.

By the standards of the Bush Push for Increasing Minority Homeownership, $30 billion is small change. In January 2005 Angelo Mozilo announced that Countrywide Financial was devoting one trillion dollars to mortgages for minorities and lower income borrowers by 2010.

Interestingly, Bush and Mozilo were more focused on lending more money to Hispanics than to blacks. Mexicans were the new kids in town back then, so it was easier to imagine that they’d pay back the massive mortgages needed to buy even crummy houses in immigrant dense California, Arizona, Nevada, and Florida. In contrast, blacks didn’t need huge loans to buy into black neighborhoods in places like Detroit. Moreover, lots of lenders back in 2005 could recall being burned on lending to black neighborhoods in previous frenzies to prove the old redliners were WRONG.

But now it’s 2020, and nobody can remember nothing except FDR’s redlining and Emmett Till.

 
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  1. So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    • LOL: AndrewR
    • Replies: @Arclight
    @BenKenobi

    Mostly correct, although I suspect they will come in for a pro forma spanking for not providing more home owner counseling, financial literacy, etc. prior to making all those loans. But this will just mean they run this scam a second or third time with the same result to atone.

    Anyway, if you have the means to stockpile some cash over the next 2-5 years you should, and be ready to jump on some bargain real estate.

    Replies: @Brian Reilly

    , @TomSchmidt
    @BenKenobi

    Yes. Mortgage bankers aren't getting their cut of the income of Black and Hispanic (autocorrect just changed black to upper case back there, but didn't do so the second time!) Americans, the way they can drain white wealth through mortgages on houses that might need to be dumped quickly if the neighborhood goes "not good schools." They'll do whatever they need to do to wet their beaks on the blacks too.

    I noticed this a few years back, before Trump eliminated the AMT for non-rich people. State and local taxes did not decrease tax liability at all under the AMT, because what you saved in regular income tax you mostly paid in AMT. By contrast, Mortgage interest ALWAYS reduced taxes. That had to be by design.

    , @Anon
    @BenKenobi

    Funny ... but in reality lenders do not want defaulted property to return to them. It costs a fortune to deal with it. They have to hire people to regularly check it out, keep out squatters, cut the grass and shovel the snow, pending a sale. These properties sell at cheap prices. If the loans have been packaged then HUD is likely to own the defaulted properties, which works out better for the lenders.

    , @Jim Don Bob
    @BenKenobi


    Have I missed something?
     
    Yes. They will sell these loans to the Feds, just like last time.
    , @Pop Warner
    @BenKenobi


    Have I missed something?
     
    You forgot to say they'll blame it on white people when it all comes crashing down
    , @Achmed E. Newman
    @BenKenobi


    Have I missed something?
     
    Yes. It may be hard to put on the flowchart, Ben, but during this entire sequence of events, JP Morgan, the company, knows that no matter what happens, the taxpayers will be told that they will be bailing out the big banks when the time comes.

    C'mon guys, it's all "Too big to fail" nowadays! Big Bankers are the new Alfred E. Newmans, but with better teeth, as they ask us "What, me worry?"

    Replies: @Paul Jolliffe

    , @SaneClownPosse
    @BenKenobi

    Or not going directly (nor indirectly) at all to any supposed "victims".

    The money will be transferred to a Trust or a LLC, to be used to "combat" racism.
    (((SJW))) C-level warriors will be hired by the Trust/LLC, at market salaries, to direct the funding to appropriate entities. Those entities will deposit the funds back into JPMorgan bank accounts.

    JPM will then fractionally reserve lend those deposits out to cronies, crooks, and thieves. The 30B become 300B+.

    Better for All colors of Mankind, if the Banks stopped usury, and creating money out of thin air.

  2. For JPMorgan, this kind of move is a no brainer. They extend $30 B in finance to black homeowners and businesses. They make money on the financing and get PR benefits as well.

    My bet is that they sell these loans to Fannie Mae so they won’t take the default risk. That will be picked up by we the tax payers.

    Private profit, public risk. Name of the game in banking these days.

    • Replies: @Rob McX
    @NJ Transit Commuter

    You're probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab. And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?

    Replies: @Change that Matters, @Reg Cæsar

    , @HammerJack
    @NJ Transit Commuter

    https://i.ibb.co/gzGCKRJ/Capture-2020-10-12-01-03-32-2.png

    Although I detest nearly every single thing about the Democrats, there's no denying that when it comes to playing politics they run rings around the feckless Republicans.

    Nancy Pelosi and Schumer are holding up the corona relief bill demanding another trillion dollars for their corrupt cities and states, which is enough to bail them out completely from their irresponsible spending and promising habits.

    The downside? If they don't get what they want, they're even more likely to clean up next month, in which case they'll be in a position to write themselves all the blank checks they want. They can't lose.

    Barring a miracle.

  3. Pardon my French, but fuck this.

    I saved for YEARS to buy a house. I drove $500 cars with rotted off quarter panels and swapped transmissions in the middle of winter in an unheated garage to save money. My kid lived in apartments until eighth grade. I put 25% cash down, and at the time a 7% interest rate was considered a “deal.”

    Nobody gave a fuck. No bank CEO gave me a damn thing.

    I am so fucking sick of hearing about blacks and minorities and “systemic racism” and “white privilege” that I could puke.

    • Replies: @HammerJack
    @Dr. X

    You had an unheated garage? Looxury.

    Replies: @Gary in Gramercy

    , @anon
    @Dr. X

    My wife and I both worked all our lives to buy a house and save for our child's college education.
    She cashiered for over 40 years, and I started on night crew throwing freight and worked up to a spot in management at the corporate office.
    We've taken few vacations. We don't eat out often and don't spend on the social life. We always set money aside for retirement, college, and pre-payments on the mortgage before we considered spending on anything fun.
    Not complaining - in my book that is just the way life is supposed to be.
    But am I willing to pay what's left of my money in taxes to give these things free to people who can't and won't work for them as I did?
    No.

    Replies: @Mild Mike

    , @MBlanc46
    @Dr. X

    Alas, no one gives an eff about you now. Nor me. Nor will they tomorrow.

  4. I think old Emmit Till is smiling down on JPMorgan today.

  5. It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I’d say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    • Replies: @Hibernian
    @DonutsMan

    Tiny, you're back!

    Replies: @HammerJack, @duncsbaby

    , @Thud
    @DonutsMan

    Steve seems to spend his time showing the myriad ways in which the others are a blight on the rest of us, seems a life well spent to me.

    , @SC Rebel
    @DonutsMan

    Yeah because the 75% black illegitimacy rate has absolutely nothing to do with black poverty.

    LOL.

    , @MBlanc46
    @DonutsMan

    I trust that these are the jokes. They could use some work. If not, you’re lost.

    , @Art Deco
    @DonutsMan

    By no comparative scale - temporal or spatial - are blacks impoverished. Personal income per capita among American blacks is about what it is in Mediterranean Europe and about what it was in this country in the bad old days of...1990. Life expectancy for blacks is also similar to what it was for the generic American that year. What's deemed the 'poverty level' today (a personal income of $12,700 for a single person living alone) in real terms put you around the 67th percentile of the population in 1950. There's a great deal of insecurity in and among the black population, but that's something distinct from deprivation.

  6. Anon[345] • Disclaimer says:

    Questions:

    — How does “committing $30 billion over the next five years” differ from “lowering borrowing standards”?

    — Will lending requriements be different for blacks versus whites and Asians? Will whites and Asians have to meet higher standards; will whites and Asians be rejected for loans even though they have the proverbial “exact same credit profile” as black applicants?

    — Will white and Asian neighborhoods be redlined such that where they live or want to move to has more difficult-to-meet lending requirements?

    — Will the way that credit scores are determined be changed, and if so will the changes disproportionately negatively affect whites and Asians via changes that have no rational purpose other than giving higher scores for blacks?

    — If blacks can get loans more easily than whites with the same creditworthiness, how is that O.K.? How is that legal?

    • Agree: Almost Missouri
    • Replies: @usNthem
    @Anon

    It’s only fair. You know, systemic racism, historic injustice, legacy ob da slabery - wash, rinse, repeat...

    , @stillCARealist
    @Anon

    I wonder if Chase has been discriminating against blacks and Hispanics all these years. All these people with great income and credit are being denied home loans? Pretty doubtful. And no, they won't deny loans to equivalent white/Asians either. In fact, my guess is tons of these loans will go to immigrants with some color in them who talk a good game.

    Hey, I just thought of something. Remember when Denny's was accused of being racist back in the 90's and they pledged all this money to new black managers and owners? I think they gave a big chunk to the NAACP too. Anybody know what happened with all that? Did any blacks even wind up benefitting from the whole scheme?

    Replies: @Jack D

  7. @NJ Transit Commuter
    For JPMorgan, this kind of move is a no brainer. They extend $30 B in finance to black homeowners and businesses. They make money on the financing and get PR benefits as well.

    My bet is that they sell these loans to Fannie Mae so they won’t take the default risk. That will be picked up by we the tax payers.

    Private profit, public risk. Name of the game in banking these days.

    Replies: @Rob McX, @HammerJack

    You’re probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab. And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?

    • Replies: @Change that Matters
    @Rob McX


    Anyone remember Joseph Jett?
     
    The real Hidden Figures story.
    , @Reg Cæsar
    @Rob McX



    For JPMorgan, this kind of move is a no brainer. They extend $30 B in finance to black homeowners and businesses. They make money on the financing and get PR benefits as well.
     
    You’re probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab.
     
    So this is not the time to short JP Morgan?

    And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?
     
    Oh, yeah. Joe Jett and the Blackguards. "I Hate Myself For Trusting You".


    (Yes, I know how to pronounce blackguard. Don't be a nickguard about it.)

  8. $30 billion over five years is walkin’ around money for JP Morgan Chase. This move is strictly to keep the mobs from smashing its windows, assuming the mob reads the news.

    Just look at its balance sheet:

    https://www.marketwatch.com/investing/stock/jpm/financials/balance-sheet

    It has close to $1 trillion in outstanding loans. It has $236 billion in real estate mortgages, and a good portion of that is likely in collateralized commercial real estate and jumbo mortgages.

    Heck, in the process of doing business, it writes off $15 billion of loans or thereabouts every year. What’s another $5 bill? Should shrugging would ensue. And of course some of the systemic racism loans WILL be paid back. They are not going lend the dough to CEO of the CRIPs.

    At least not knowingly

    This is a bunch of sugar candy to Black Lives Matter ass lickers, and it will keep the diversity mavens in HR busy doing metrics and crap like that.

    Full disclosure: I own the stock.

    Jamie Dimon is a VERY skilled executive, apart from this SOP to wokeness and his Democrat political inclinations.

    • Replies: @Whiskey
    @kpkinsunnyphiladelphia

    Wait wait wait ... Real estate? Like in NYC? Detroit West?

    So they are broke then.

    Replies: @kpkinsunnyphiladelphia

    , @Yngvar
    @kpkinsunnyphiladelphia

    They'll deduct everything as a charitable contribution.

    Replies: @Muggles

  9. In other news, now we know why Seinfeld hates Neuman.

    Because he’s a fat lying fuck with a bad dye job who deals with the devil, that’s why.

  10. @kpkinsunnyphiladelphia
    $30 billion over five years is walkin' around money for JP Morgan Chase. This move is strictly to keep the mobs from smashing its windows, assuming the mob reads the news.

    Just look at its balance sheet:

    https://www.marketwatch.com/investing/stock/jpm/financials/balance-sheet

    It has close to $1 trillion in outstanding loans. It has $236 billion in real estate mortgages, and a good portion of that is likely in collateralized commercial real estate and jumbo mortgages.

    Heck, in the process of doing business, it writes off $15 billion of loans or thereabouts every year. What's another $5 bill? Should shrugging would ensue. And of course some of the systemic racism loans WILL be paid back. They are not going lend the dough to CEO of the CRIPs.

    At least not knowingly

    This is a bunch of sugar candy to Black Lives Matter ass lickers, and it will keep the diversity mavens in HR busy doing metrics and crap like that.

    Full disclosure: I own the stock.

    Jamie Dimon is a VERY skilled executive, apart from this SOP to wokeness and his Democrat political inclinations.

    Replies: @Whiskey, @Yngvar

    Wait wait wait … Real estate? Like in NYC? Detroit West?

    So they are broke then.

    • Replies: @kpkinsunnyphiladelphia
    @Whiskey


    Wait wait wait … Real estate? Like in NYC? Detroit West?

    So they are broke then.

     

    Real estate in LOTs of places -- Florida, Texas, states where people pay their money back. And then there's the international stuff. They have their mitts in other poor places, like Singapore.

    But that's only part of their entire set of assets. It's a gigantic money machine run by a guy who has an IQ in the stratosphere and a work ethic to match.

    And as I mentioned, $5 billion a year in the memory of George Floyd is chump change.

    Anyway, what only matters is the stock. And over the last 4 years, the stock has provided an annualized return of 17%, including a nice 3.5% annual dividend. That's not the performance of a "broke" company.

    YMMV.

    Theranos, on the other hand....

    See, here's how it works. They pay a higher interest rate to their shareholders than they do to the depositors in Detroit.

    They are the poster child for "too big to fail." Do I have a moral and ethical problem with that?

    In the land of moral and ethical problems, it is way way down on the proverbial totem pole.
  11. As I recall, this bank was broke, bailed out, and renamed as Chase.

    Then it bought naming rights to some arena.

    • Replies: @ScarletNumber
    @Abolish_public_education

    This is incorrect. Washington Mutual (WaMu) went broke and JPMorgan Chase bought their assets. At the time WaMu was running commercials where their hip, black banker showed how wonderful their bank was as opposed to the stodgy, old, white bankers. I wonder how many people appreciated the irony.

    https://www.youtube.com/watch?v=BJ7EIKbnnkw

  12. @Rob McX
    @NJ Transit Commuter

    You're probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab. And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?

    Replies: @Change that Matters, @Reg Cæsar

    Anyone remember Joseph Jett?

    The real Hidden Figures story.

    • Agree: Rob McX
  13. @DonutsMan
    It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I'd say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    Replies: @Hibernian, @Thud, @SC Rebel, @MBlanc46, @Art Deco

    Tiny, you’re back!

    • Replies: @HammerJack
    @Hibernian

    He never left.

    , @duncsbaby
    @Hibernian

    I think he got a spell-checker app. Although he didn't capitalize blacks or Mexicans & his multiple paragraph usage was unneeded.

  14. @Dr. X
    Pardon my French, but fuck this.

    I saved for YEARS to buy a house. I drove $500 cars with rotted off quarter panels and swapped transmissions in the middle of winter in an unheated garage to save money. My kid lived in apartments until eighth grade. I put 25% cash down, and at the time a 7% interest rate was considered a "deal."

    Nobody gave a fuck. No bank CEO gave me a damn thing.

    I am so fucking sick of hearing about blacks and minorities and "systemic racism" and "white privilege" that I could puke.

    Replies: @HammerJack, @anon, @MBlanc46

    You had an unheated garage? Looxury.

    • Replies: @Gary in Gramercy
    @HammerJack

    Agreed. The sixteen of us lived in a brown paper bag in a septic tank...

    Replies: @Achmed E. Newman

  15. @Hibernian
    @DonutsMan

    Tiny, you're back!

    Replies: @HammerJack, @duncsbaby

    He never left.

  16. anon[316] • Disclaimer says:
    @Dr. X
    Pardon my French, but fuck this.

    I saved for YEARS to buy a house. I drove $500 cars with rotted off quarter panels and swapped transmissions in the middle of winter in an unheated garage to save money. My kid lived in apartments until eighth grade. I put 25% cash down, and at the time a 7% interest rate was considered a "deal."

    Nobody gave a fuck. No bank CEO gave me a damn thing.

    I am so fucking sick of hearing about blacks and minorities and "systemic racism" and "white privilege" that I could puke.

    Replies: @HammerJack, @anon, @MBlanc46

    My wife and I both worked all our lives to buy a house and save for our child’s college education.
    She cashiered for over 40 years, and I started on night crew throwing freight and worked up to a spot in management at the corporate office.
    We’ve taken few vacations. We don’t eat out often and don’t spend on the social life. We always set money aside for retirement, college, and pre-payments on the mortgage before we considered spending on anything fun.
    Not complaining – in my book that is just the way life is supposed to be.
    But am I willing to pay what’s left of my money in taxes to give these things free to people who can’t and won’t work for them as I did?
    No.

    • Replies: @Mild Mike
    @anon

    ''But am I willing to pay what’s left of my money in taxes to give these things free to people who can’t and won’t work for them as I did?
    No.''

    Whether you're willing to or not, you will pay up to the State. And that whole life illustration you've given us sounds depressing--but ya did what ya had to do I suppose.

  17. The New York bank said it is committing $30 billion over the next five years toward programs that include earmarking more money for getting Black and Latino families into homeownership and providing additional financing to build affordable rental housing units.

    How do they know that this money is going to blacks and Hispanics? It’s all about the boxes you check on the application.

    When you apply for a mortgage loan or a job be sure to check the box marked “African-American.” Most businesses will be more than happy to take credit for hiring or giving a mortgage loan to another black.

    It’s time to start crashing this system good and hard.

    • Agree: HammerJack
  18. As the real J.P. Morgan once said, everyone has two reasons; a good reason and the real reason.

  19. @NJ Transit Commuter
    For JPMorgan, this kind of move is a no brainer. They extend $30 B in finance to black homeowners and businesses. They make money on the financing and get PR benefits as well.

    My bet is that they sell these loans to Fannie Mae so they won’t take the default risk. That will be picked up by we the tax payers.

    Private profit, public risk. Name of the game in banking these days.

    Replies: @Rob McX, @HammerJack


    Although I detest nearly every single thing about the Democrats, there’s no denying that when it comes to playing politics they run rings around the feckless Republicans.

    Nancy Pelosi and Schumer are holding up the corona relief bill demanding another trillion dollars for their corrupt cities and states, which is enough to bail them out completely from their irresponsible spending and promising habits.

    The downside? If they don’t get what they want, they’re even more likely to clean up next month, in which case they’ll be in a position to write themselves all the blank checks they want. They can’t lose.

    Barring a miracle.

  20. JPMorgan Chase said Thursday it will extend billions in loans to Black and Latino homebuyers and small business owners in an expanded effort toward fixing what the bank calls “systemic racism” in the country’s economic system.

    But who’s on the hook for those loans when they go south?

  21. Just a reminder, folks, that is 30 billion that could be spent helping out Americans, black, white, yellow, and brown, whose lives they and their ilk damaged in 2008, and are being destroyed now by their friends in the government.

    Call it “paying for collateral damage”.

  22. “…. risk-based lending standards…..” figuring out risk is a banker’s job, dumbass.

  23. Minority Mortgage Meltdown II, here we come!

    • Replies: @Father O'Hara
    @Nicholas Stix

    Which will hit who the hardest?? Minorities!😄

    , @Barnard
    @Nicholas Stix

    The government will take the financial hit and decide not to foreclose except in the most extreme cases. It will be free houses for blacks. Many of the houses will not be properly maintained either.

  24. $30 billion – an *awful* lot of moolah for one firm to expend on one cause.

    Yep. There’s one cause and one cause only that unites the ultra capitalistic predatory devil-take-the-hindmost Capitalist and the extreme dogmatic communist Marxist – that is how to screw over whitey the hardest.

  25. Related, is that Soros’s ploy? Blackmail the REITs with more threats of blm violence unless they pay up somehow?

    The problem is, once a city goes Detroit, it never comes back. Looks like Denver, Seattle, Portland, San Francisco, and Los Angeles are going Detroit. Also NYC. And Chicago. And Milwaukee, and Minneapolis.

    Ask the residents of Baltimore, Cleveland, Philly, New Orleans, Detroit, Newark, Atlanta, Cincinnati, St. Louis, and Gary if their cities ever came back.

    What, black crime is suddenly going away? Cops will suddenly be arresting Tookie and Ray-Ray and sending them away for twenty years so that downtown is not a war zone for workers? Who at any rate can commute from their bedrooms to dens easily enough.

    All that real estate is suddenly worthless. Look at Detroit. That’s the future of urban America.

    • Replies: @The Germ Theory of Disease
    @Whiskey

    Los Angeles is not going Detroit, it is going Matamoros y Nuevo Laredo. It is a fully conquered, foreign-occupied city. (Don't tell Steve he's living in Vichy California.) Already, the Brown Blob has reached as far as LaBrea. In another five years, Doheny. By 2030, it'll be from Si to Shining Si.

    , @black sea
    @Whiskey


    Ask the residents of Baltimore, Cleveland, Philly, New Orleans, Detroit, Newark, Atlanta, Cincinnati, St. Louis, and Gary if their cities ever came back.
     
    I don't have any direct experience with most of the cities you've listed, but I can talk about Atlanta, which actually never fell as far as places like Newark and Detroit, and which 0ne can reasonably say more than "came back" from this less precipitous decline.

    When I was a kid, Midtown Atlanta was a sort of open-air drug market, a la Haight Ashbury. It's now one of the nicest districts in the city, and its population has doubled in the past 20 years. The population within the city limits has recovered from its decline in the 1970s and 80s, and the metro population has more than tripled since the mid 1980s.

    There are parts of the city you wouldn't want to venture into, but there have always been such areas.
  26. @Nicholas Stix
    Minority Mortgage Meltdown II, here we come!

    Replies: @Father O'Hara, @Barnard

    Which will hit who the hardest?? Minorities!😄

  27. anon[215] • Disclaimer says:

    Is $30 billion a lot of money for this program? Yes, it seems like a lot more than say lottery winnings per year.

    But it is 5 years, so $6B/year.

    They do about $10B/month in mortgage originations, or $120B/year.

    So they are promising black+hispanic 5% of mortgages. But they are 30% of US!!!!

    And the loans will be sold to the GSE’s. No risk to JPM.

    This is a nothing burger.

  28. @DonutsMan
    It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I'd say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    Replies: @Hibernian, @Thud, @SC Rebel, @MBlanc46, @Art Deco

    Steve seems to spend his time showing the myriad ways in which the others are a blight on the rest of us, seems a life well spent to me.

    • Agree: Redman
  29. @Hibernian
    @DonutsMan

    Tiny, you're back!

    Replies: @HammerJack, @duncsbaby

    I think he got a spell-checker app. Although he didn’t capitalize blacks or Mexicans & his multiple paragraph usage was unneeded.

  30. So, in banking:

    Systemic Racism = Applying the same lending formula to everyone equally.

    Loan To Value (LTV) ratio, Income, Credit history. Pretty simple, but racist because disparate impact.

    To correct this, we have to “pool risk among borrowers,” which means make White people cover the losses.

    • Agree: Gordo
    • Replies: @Jack D
    @Buzz Mohawk

    "Pooling of risk" = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.

    Separating people into risk categories (not because businesses hate black people but because of actual financial expectations based on historical performance) is market efficient, not just for the businesses in question but for consumers - the people in the lower risk pool can receive the pricing that they deserve and don't need to subsidize the higher risk group. But this is not how socialists think.

    This has been going on for a long time. One of Ginsburg's early cases back when she was doing advocacy law was suing TIAA (the teacher's pension fund). TIAA used to pay higher pension annuities to men than to women because women live longer and so you have to keep paying them pensions for more years after they retire. (My MIL is a retired teacher. She is now 33 years into collecting her pension, much longer than she worked as a teacher. Whatever money she paid in to the fund (including investment returns) is long gone and they are using other people's money to keep paying her. Her husband has been dead for a decade). This was just a simple matter of actuarial probabilities. It wasn't because they hated women and thought that they were less deserving of high pensions. But Ginsburg won and the pension tables are now unified, so the "risks are pooled" between men and women and they both collect the same pensions - i.e. women get more than they are entitled to on an actuarial basis and men get less than they deserve. Ginsburg was proud of this "accomplishment".

    This also goes on with auto insurance. Various laws prohibit insurance companies from asking certain questions so that they can assign you to the correct risk pool. Socialists want to assign everyone to the same pool so that J'mail can get lower insurance rates (assuming J'mail buys insurance at all) and you are forced to pay higher rates to subsidize J'mail's higher claims expectation.

    Of course the ultimate evil unpooling of risk was redlining. Erase those red lines from the map so that the mortgage rates for Grosse Pointe and for Detroit are the same even though the default risks are very different.

    Replies: @Reg Cæsar, @Buzz Mohawk

  31. 40 acres and a mule might be cheaper in the long run.

    • Replies: @usNthem
    @The Alarmist

    Those clowns wouldn’t have a clue what to do with it. “Yo mofo, dey ain’t no sail serbice out heah “!

    , @Gordo
    @The Alarmist


    40 acres and a mule might be cheaper in the long run.
     
    We gave them Rhodesia and all they ended up with was Zimbabwe, so unfair.

    Replies: @Muggles

  32. @HammerJack
    @Dr. X

    You had an unheated garage? Looxury.

    Replies: @Gary in Gramercy

    Agreed. The sixteen of us lived in a brown paper bag in a septic tank…

    • Replies: @Achmed E. Newman
    @Gary in Gramercy

    Right! You were lucky to have a bag! We had to get up in the morning, at 10 O'clock at night, half an hour before we went to bed, eat a lump of cold poison ...

    Man, when my boy was about 6 y/o, we would watch this on youtube every night, sometimes twice, for three weeks or so. We had 1/2 of it down cold... course, then I would slash him in two with a bread knife and dance about on his grave...

    (He got tired of it and moved on to Dogman, Grime and Punishment.)

    Just for the woefully un-informed here:

    https://www.youtube.com/watch?v=ue7wM0QC5LE

    Replies: @Mr. Anon

  33. @Whiskey
    Related, is that Soros's ploy? Blackmail the REITs with more threats of blm violence unless they pay up somehow?

    The problem is, once a city goes Detroit, it never comes back. Looks like Denver, Seattle, Portland, San Francisco, and Los Angeles are going Detroit. Also NYC. And Chicago. And Milwaukee, and Minneapolis.

    Ask the residents of Baltimore, Cleveland, Philly, New Orleans, Detroit, Newark, Atlanta, Cincinnati, St. Louis, and Gary if their cities ever came back.

    What, black crime is suddenly going away? Cops will suddenly be arresting Tookie and Ray-Ray and sending them away for twenty years so that downtown is not a war zone for workers? Who at any rate can commute from their bedrooms to dens easily enough.

    All that real estate is suddenly worthless. Look at Detroit. That's the future of urban America.

    Replies: @The Germ Theory of Disease, @black sea

    Los Angeles is not going Detroit, it is going Matamoros y Nuevo Laredo. It is a fully conquered, foreign-occupied city. (Don’t tell Steve he’s living in Vichy California.) Already, the Brown Blob has reached as far as LaBrea. In another five years, Doheny. By 2030, it’ll be from Si to Shining Si.

  34. @Nicholas Stix
    Minority Mortgage Meltdown II, here we come!

    Replies: @Father O'Hara, @Barnard

    The government will take the financial hit and decide not to foreclose except in the most extreme cases. It will be free houses for blacks. Many of the houses will not be properly maintained either.

  35. I can never figure out if this is some sort of hedge against regulators, whom they figure will be harassing them ‘ere long, or if the ranks of the nation’s corporation executives are just shot-through with shallow fad-chasers.

    • Replies: @Jack D
    @Art Deco

    There is also the PR aspect and not being Cancelled aspect. Chase does not want a WARNING:RACIST stamp on their Yelp page.

    As others have pointed out, $6 billion/yr in mortgage originations is chump change for them. If they manage this correctly they will lose very little on this. They figure that the PR value and the value of not being made a BLM target is worth more than what this will cost.

    All these big corporations changing the names of their products, etc. may seem cowardly and craven (just announced today - Eskimo Pies are now "Edy's Pies" - production is "paused" until they can rebrand) but these people are not fools. Nestle (who owns the brand) is a giant global conglomerate. They want the Eye of Soros to turn its gaze to someone else. They want the wolves to tear some less nimble competitor to shreds, not them. They want to stay ahead of the game and preempt criticism before they can even be criticized. A few million $ in temporary lost sales is nothing to them. They are looking at the long term. "Eskimo Pie" was a dead man walking - if not this year then next year or in 2 or 5 - it only gets worse every year. So get it over with, take the hit now and be positioned for the next few decades.

    Replies: @anon, @black sea

  36. US federal debt to (inflated) GDP ratio: 137%

    https://usdebtclock.org/

    Who is not going to have his bread in the morning to pay this back?

    I can’t wait for the New Economy to arrive. Hurry.

    • Replies: @The Wild Geese Howard
    @El Dato


    I can’t wait for the New Economy to arrive. Hurry.
     
    Hidin' Biden is promising $7T in stimulus.

    Future's so bright I gotta wear shades.
  37. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Mostly correct, although I suspect they will come in for a pro forma spanking for not providing more home owner counseling, financial literacy, etc. prior to making all those loans. But this will just mean they run this scam a second or third time with the same result to atone.

    Anyway, if you have the means to stockpile some cash over the next 2-5 years you should, and be ready to jump on some bargain real estate.

    • Replies: @Brian Reilly
    @Arclight

    Arc, At the rate we are going, it will take a 20 cy dump truck to stockpile enough US dollars to buy much of anything in 2-3 years. And it is not at all clear that the goldbugs will be allowed to use their savings if another Rooseveltian order banning private holding of bullion comes down. Anything except common sense is possible, these are crazy times

    Replies: @Reg Cæsar

  38. @anon
    @Dr. X

    My wife and I both worked all our lives to buy a house and save for our child's college education.
    She cashiered for over 40 years, and I started on night crew throwing freight and worked up to a spot in management at the corporate office.
    We've taken few vacations. We don't eat out often and don't spend on the social life. We always set money aside for retirement, college, and pre-payments on the mortgage before we considered spending on anything fun.
    Not complaining - in my book that is just the way life is supposed to be.
    But am I willing to pay what's left of my money in taxes to give these things free to people who can't and won't work for them as I did?
    No.

    Replies: @Mild Mike

    ”But am I willing to pay what’s left of my money in taxes to give these things free to people who can’t and won’t work for them as I did?
    No.”

    Whether you’re willing to or not, you will pay up to the State. And that whole life illustration you’ve given us sounds depressing–but ya did what ya had to do I suppose.

  39. @El Dato
    US federal debt to (inflated) GDP ratio: 137%

    https://usdebtclock.org/

    Who is not going to have his bread in the morning to pay this back?

    I can't wait for the New Economy to arrive. Hurry.

    Replies: @The Wild Geese Howard

    I can’t wait for the New Economy to arrive. Hurry.

    Hidin’ Biden is promising $7T in stimulus.

    Future’s so bright I gotta wear shades.

  40. @Anon
    Questions:

    -- How does "committing $30 billion over the next five years" differ from "lowering borrowing standards"?

    -- Will lending requriements be different for blacks versus whites and Asians? Will whites and Asians have to meet higher standards; will whites and Asians be rejected for loans even though they have the proverbial "exact same credit profile" as black applicants?

    -- Will white and Asian neighborhoods be redlined such that where they live or want to move to has more difficult-to-meet lending requirements?

    -- Will the way that credit scores are determined be changed, and if so will the changes disproportionately negatively affect whites and Asians via changes that have no rational purpose other than giving higher scores for blacks?

    -- If blacks can get loans more easily than whites with the same creditworthiness, how is that O.K.? How is that legal?

    Replies: @usNthem, @stillCARealist

    It’s only fair. You know, systemic racism, historic injustice, legacy ob da slabery – wash, rinse, repeat…

  41. @The Alarmist
    40 acres and a mule might be cheaper in the long run.

    Replies: @usNthem, @Gordo

    Those clowns wouldn’t have a clue what to do with it. “Yo mofo, dey ain’t no sail serbice out heah “!

  42. @The Alarmist
    40 acres and a mule might be cheaper in the long run.

    Replies: @usNthem, @Gordo

    40 acres and a mule might be cheaper in the long run.

    We gave them Rhodesia and all they ended up with was Zimbabwe, so unfair.

    • Replies: @Muggles
    @Gordo


    We gave them Rhodesia and all they ended up with was Zimbabwe, so unfair.
     
    But they all ended up with those Trillion dollar Zimbabwe dollars!

    "They's rich, rich as bankers!"

    https://collectiblescurrency.com/collections/zimbabwe-banknotes?gclid=Cj0KCQjwoJX8BRCZARIsAEWBFMLOxiWhDqwOPy3Apre4GQF9V9lT3DYc70UEeUjZbCOrgZc3XCuU2nIaAnzNEALw_wcB
  43. First, teach them what a loan means. They have an understanding of “pay back” but that means getting even.

  44. @Art Deco
    I can never figure out if this is some sort of hedge against regulators, whom they figure will be harassing them 'ere long, or if the ranks of the nation's corporation executives are just shot-through with shallow fad-chasers.

    Replies: @Jack D

    There is also the PR aspect and not being Cancelled aspect. Chase does not want a WARNING:RACIST stamp on their Yelp page.

    As others have pointed out, $6 billion/yr in mortgage originations is chump change for them. If they manage this correctly they will lose very little on this. They figure that the PR value and the value of not being made a BLM target is worth more than what this will cost.

    All these big corporations changing the names of their products, etc. may seem cowardly and craven (just announced today – Eskimo Pies are now “Edy’s Pies” – production is “paused” until they can rebrand) but these people are not fools. Nestle (who owns the brand) is a giant global conglomerate. They want the Eye of Soros to turn its gaze to someone else. They want the wolves to tear some less nimble competitor to shreds, not them. They want to stay ahead of the game and preempt criticism before they can even be criticized. A few million $ in temporary lost sales is nothing to them. They are looking at the long term. “Eskimo Pie” was a dead man walking – if not this year then next year or in 2 or 5 – it only gets worse every year. So get it over with, take the hit now and be positioned for the next few decades.

    • Replies: @anon
    @Jack D

    I could elaborate on the extent to which this is a totally underwhelming gesture, but it is better to let them make their statement. And not wise up the woke.

    Suffice it to say that if it were materially large, then it would be a disaster. If anyone cares, all the relevant background is on their slides supporting their quarterly earnings announcements. They are a cliff notes version of their 10-Qs, so no heavy reading is required.

    So, other than general disgust, no need to get too worked up about this one.

    , @black sea
    @Jack D

    Paul Gottfried has made the point that what we are seeing with these woke corporate moves is similar to the support given to the Nazi party during its rise to power by German companies who were not necessarily enthusiastic about the Nazis, but who were hoping to pre-emptively buy them off.

    A disturbing precedent, but then people who rise to the top of corporations aren't really known for their adherence to difficult principles.

    Replies: @Art Deco

  45. @Arclight
    @BenKenobi

    Mostly correct, although I suspect they will come in for a pro forma spanking for not providing more home owner counseling, financial literacy, etc. prior to making all those loans. But this will just mean they run this scam a second or third time with the same result to atone.

    Anyway, if you have the means to stockpile some cash over the next 2-5 years you should, and be ready to jump on some bargain real estate.

    Replies: @Brian Reilly

    Arc, At the rate we are going, it will take a 20 cy dump truck to stockpile enough US dollars to buy much of anything in 2-3 years. And it is not at all clear that the goldbugs will be allowed to use their savings if another Rooseveltian order banning private holding of bullion comes down. Anything except common sense is possible, these are crazy times

    • Replies: @Reg Cæsar
    @Brian Reilly


    ...if another Rooseveltian order banning private holding of bullion comes down.
     
    Americans think Prohibition ended in 1933, but it did not. It was merely transferred from liquor to gold.

    For an over forty-year period, holding a martini in one hand and an ingot in the other made one a criminal. Nixon, not FDR, ended Prohibition. And the draft, as well.


    https://i.pinimg.com/originals/0f/2a/7a/0f2a7a17cb6ecc06d7eb001533bbe791.jpg

    Replies: @Jack D

  46. @Anon
    Questions:

    -- How does "committing $30 billion over the next five years" differ from "lowering borrowing standards"?

    -- Will lending requriements be different for blacks versus whites and Asians? Will whites and Asians have to meet higher standards; will whites and Asians be rejected for loans even though they have the proverbial "exact same credit profile" as black applicants?

    -- Will white and Asian neighborhoods be redlined such that where they live or want to move to has more difficult-to-meet lending requirements?

    -- Will the way that credit scores are determined be changed, and if so will the changes disproportionately negatively affect whites and Asians via changes that have no rational purpose other than giving higher scores for blacks?

    -- If blacks can get loans more easily than whites with the same creditworthiness, how is that O.K.? How is that legal?

    Replies: @usNthem, @stillCARealist

    I wonder if Chase has been discriminating against blacks and Hispanics all these years. All these people with great income and credit are being denied home loans? Pretty doubtful. And no, they won’t deny loans to equivalent white/Asians either. In fact, my guess is tons of these loans will go to immigrants with some color in them who talk a good game.

    Hey, I just thought of something. Remember when Denny’s was accused of being racist back in the 90’s and they pledged all this money to new black managers and owners? I think they gave a big chunk to the NAACP too. Anybody know what happened with all that? Did any blacks even wind up benefitting from the whole scheme?

    • Replies: @Jack D
    @stillCARealist

    I don't know what happened with Denny's in particular, but generally speaking wealth has a way of not sticking around black people. No matter how much of it you give to them, after a time it is gone. There are countless cases of black lottery winners, former pro athletes, etc. that have shown this over and over.

    Every once in a while you'll read a story about some large bequest left to charity by a secretary or school teacher. The woman (it's usually a woman) never made that much money at her job but she lived frugally and invested her savings in the stock market for many decades and by the time she died she had millions of $ and none of her neighbors ever suspected that she was that rich - she drove a 12 year old economy car, never took fancy vacations, etc. Well black people are the opposite.

    Replies: @Achmed E. Newman

  47. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Yes. Mortgage bankers aren’t getting their cut of the income of Black and Hispanic (autocorrect just changed black to upper case back there, but didn’t do so the second time!) Americans, the way they can drain white wealth through mortgages on houses that might need to be dumped quickly if the neighborhood goes “not good schools.” They’ll do whatever they need to do to wet their beaks on the blacks too.

    I noticed this a few years back, before Trump eliminated the AMT for non-rich people. State and local taxes did not decrease tax liability at all under the AMT, because what you saved in regular income tax you mostly paid in AMT. By contrast, Mortgage interest ALWAYS reduced taxes. That had to be by design.

  48. Can’t they just proclaim a National Minority Homebuyer Month? Give them April, I don’t think that’s taken yet

  49. @Whiskey
    @kpkinsunnyphiladelphia

    Wait wait wait ... Real estate? Like in NYC? Detroit West?

    So they are broke then.

    Replies: @kpkinsunnyphiladelphia

    Wait wait wait … Real estate? Like in NYC? Detroit West?

    So they are broke then.

    Real estate in LOTs of places — Florida, Texas, states where people pay their money back. And then there’s the international stuff. They have their mitts in other poor places, like Singapore.

    But that’s only part of their entire set of assets. It’s a gigantic money machine run by a guy who has an IQ in the stratosphere and a work ethic to match.

    And as I mentioned, $5 billion a year in the memory of George Floyd is chump change.

    Anyway, what only matters is the stock. And over the last 4 years, the stock has provided an annualized return of 17%, including a nice 3.5% annual dividend. That’s not the performance of a “broke” company.

    YMMV.

    Theranos, on the other hand….

    See, here’s how it works. They pay a higher interest rate to their shareholders than they do to the depositors in Detroit.

    They are the poster child for “too big to fail.” Do I have a moral and ethical problem with that?

    In the land of moral and ethical problems, it is way way down on the proverbial totem pole.

  50. @Buzz Mohawk
    So, in banking:

    Systemic Racism = Applying the same lending formula to everyone equally.

    Loan To Value (LTV) ratio, Income, Credit history. Pretty simple, but racist because disparate impact.

    To correct this, we have to "pool risk among borrowers," which means make White people cover the losses.

    Replies: @Jack D

    “Pooling of risk” = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.

    Separating people into risk categories (not because businesses hate black people but because of actual financial expectations based on historical performance) is market efficient, not just for the businesses in question but for consumers – the people in the lower risk pool can receive the pricing that they deserve and don’t need to subsidize the higher risk group. But this is not how socialists think.

    This has been going on for a long time. One of Ginsburg’s early cases back when she was doing advocacy law was suing TIAA (the teacher’s pension fund). TIAA used to pay higher pension annuities to men than to women because women live longer and so you have to keep paying them pensions for more years after they retire. (My MIL is a retired teacher. She is now 33 years into collecting her pension, much longer than she worked as a teacher. Whatever money she paid in to the fund (including investment returns) is long gone and they are using other people’s money to keep paying her. Her husband has been dead for a decade). This was just a simple matter of actuarial probabilities. It wasn’t because they hated women and thought that they were less deserving of high pensions. But Ginsburg won and the pension tables are now unified, so the “risks are pooled” between men and women and they both collect the same pensions – i.e. women get more than they are entitled to on an actuarial basis and men get less than they deserve. Ginsburg was proud of this “accomplishment”.

    This also goes on with auto insurance. Various laws prohibit insurance companies from asking certain questions so that they can assign you to the correct risk pool. Socialists want to assign everyone to the same pool so that J’mail can get lower insurance rates (assuming J’mail buys insurance at all) and you are forced to pay higher rates to subsidize J’mail’s higher claims expectation.

    Of course the ultimate evil unpooling of risk was redlining. Erase those red lines from the map so that the mortgage rates for Grosse Pointe and for Detroit are the same even though the default risks are very different.

    • Agree: Almost Missouri
    • Thanks: Johann Ricke
    • Replies: @Reg Cæsar
    @Jack D


    “Pooling of risk” = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.
     
    This is where the more responsible denizens of the ghetto have a valid point, but don't bother to make it. They're less the victims of discrimination than of its lack.


    As a very cautious teen, I learned this the hard way. After passing driver's ed at 16, I put off getting a license for years because I wasn't about to pay the elevated insurance rates. I understood the logic of discriminating by sex; it was the absence of of any further discrimination within my sex that was the problem.

    This issue will rear its head again in a few years, when my equally (if not more) cautious sons start to drive. Their reckless sister, whom I'm hesitant to trust with her tricycle, will get the insurance breaks.
    , @Buzz Mohawk
    @Jack D

    Thank you, Jack, for that excellent elaboration and restatement of my original point.

    I wish you were one of my employees, because then I could give you assignments and you would come back with reams of good work.

    Bravo, and keep up the good work.

    https://i.ytimg.com/vi/Hd29jEaGERk/hqdefault.jpg

  51. Anon[280] • Disclaimer says:
    @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Funny … but in reality lenders do not want defaulted property to return to them. It costs a fortune to deal with it. They have to hire people to regularly check it out, keep out squatters, cut the grass and shovel the snow, pending a sale. These properties sell at cheap prices. If the loans have been packaged then HUD is likely to own the defaulted properties, which works out better for the lenders.

  52. @Rob McX
    @NJ Transit Commuter

    You're probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab. And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?

    Replies: @Change that Matters, @Reg Cæsar

    For JPMorgan, this kind of move is a no brainer. They extend $30 B in finance to black homeowners and businesses. They make money on the financing and get PR benefits as well.

    You’re probably right. When you want to earn points for wokeness, the taxpayer is the best person to pick up the tab.

    So this is not the time to short JP Morgan?

    And giving out loans to blacks is safer than hiring them as employees. Anyone remember Joseph Jett?

    Oh, yeah. Joe Jett and the Blackguards. “I Hate Myself For Trusting You”.

    (Yes, I know how to pronounce blackguard. Don’t be a nickguard about it.)

  53. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Have I missed something?

    Yes. They will sell these loans to the Feds, just like last time.

  54. @Jack D
    @Buzz Mohawk

    "Pooling of risk" = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.

    Separating people into risk categories (not because businesses hate black people but because of actual financial expectations based on historical performance) is market efficient, not just for the businesses in question but for consumers - the people in the lower risk pool can receive the pricing that they deserve and don't need to subsidize the higher risk group. But this is not how socialists think.

    This has been going on for a long time. One of Ginsburg's early cases back when she was doing advocacy law was suing TIAA (the teacher's pension fund). TIAA used to pay higher pension annuities to men than to women because women live longer and so you have to keep paying them pensions for more years after they retire. (My MIL is a retired teacher. She is now 33 years into collecting her pension, much longer than she worked as a teacher. Whatever money she paid in to the fund (including investment returns) is long gone and they are using other people's money to keep paying her. Her husband has been dead for a decade). This was just a simple matter of actuarial probabilities. It wasn't because they hated women and thought that they were less deserving of high pensions. But Ginsburg won and the pension tables are now unified, so the "risks are pooled" between men and women and they both collect the same pensions - i.e. women get more than they are entitled to on an actuarial basis and men get less than they deserve. Ginsburg was proud of this "accomplishment".

    This also goes on with auto insurance. Various laws prohibit insurance companies from asking certain questions so that they can assign you to the correct risk pool. Socialists want to assign everyone to the same pool so that J'mail can get lower insurance rates (assuming J'mail buys insurance at all) and you are forced to pay higher rates to subsidize J'mail's higher claims expectation.

    Of course the ultimate evil unpooling of risk was redlining. Erase those red lines from the map so that the mortgage rates for Grosse Pointe and for Detroit are the same even though the default risks are very different.

    Replies: @Reg Cæsar, @Buzz Mohawk

    “Pooling of risk” = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.

    This is where the more responsible denizens of the ghetto have a valid point, but don’t bother to make it. They’re less the victims of discrimination than of its lack.

    As a very cautious teen, I learned this the hard way. After passing driver’s ed at 16, I put off getting a license for years because I wasn’t about to pay the elevated insurance rates. I understood the logic of discriminating by sex; it was the absence of of any further discrimination within my sex that was the problem.

    This issue will rear its head again in a few years, when my equally (if not more) cautious sons start to drive. Their reckless sister, whom I’m hesitant to trust with her tricycle, will get the insurance breaks.

  55. @Brian Reilly
    @Arclight

    Arc, At the rate we are going, it will take a 20 cy dump truck to stockpile enough US dollars to buy much of anything in 2-3 years. And it is not at all clear that the goldbugs will be allowed to use their savings if another Rooseveltian order banning private holding of bullion comes down. Anything except common sense is possible, these are crazy times

    Replies: @Reg Cæsar

    …if another Rooseveltian order banning private holding of bullion comes down.

    Americans think Prohibition ended in 1933, but it did not. It was merely transferred from liquor to gold.

    For an over forty-year period, holding a martini in one hand and an ingot in the other made one a criminal. Nixon, not FDR, ended Prohibition. And the draft, as well.

    • Replies: @Jack D
    @Reg Cæsar

    Ford, not Nixon, repealed gold prohibition.

    It was never illegal to drink a martini or to possess alcohol. The 18th Amendment prohibited the "manufacture, sale, or transportation of intoxicating liquors" but not their ownership or consumption. So if you had the foresight to stock a large wine cellar beforehand, it remained fully legal to drink its contents throughout Prohibition.

    Replies: @Buzz Mohawk, @Reg Cæsar

  56. @stillCARealist
    @Anon

    I wonder if Chase has been discriminating against blacks and Hispanics all these years. All these people with great income and credit are being denied home loans? Pretty doubtful. And no, they won't deny loans to equivalent white/Asians either. In fact, my guess is tons of these loans will go to immigrants with some color in them who talk a good game.

    Hey, I just thought of something. Remember when Denny's was accused of being racist back in the 90's and they pledged all this money to new black managers and owners? I think they gave a big chunk to the NAACP too. Anybody know what happened with all that? Did any blacks even wind up benefitting from the whole scheme?

    Replies: @Jack D

    I don’t know what happened with Denny’s in particular, but generally speaking wealth has a way of not sticking around black people. No matter how much of it you give to them, after a time it is gone. There are countless cases of black lottery winners, former pro athletes, etc. that have shown this over and over.

    Every once in a while you’ll read a story about some large bequest left to charity by a secretary or school teacher. The woman (it’s usually a woman) never made that much money at her job but she lived frugally and invested her savings in the stock market for many decades and by the time she died she had millions of $ and none of her neighbors ever suspected that she was that rich – she drove a 12 year old economy car, never took fancy vacations, etc. Well black people are the opposite.

    • Replies: @Achmed E. Newman
    @Jack D

    Ha! Great comment, Jack.

  57. @Reg Cæsar
    @Brian Reilly


    ...if another Rooseveltian order banning private holding of bullion comes down.
     
    Americans think Prohibition ended in 1933, but it did not. It was merely transferred from liquor to gold.

    For an over forty-year period, holding a martini in one hand and an ingot in the other made one a criminal. Nixon, not FDR, ended Prohibition. And the draft, as well.


    https://i.pinimg.com/originals/0f/2a/7a/0f2a7a17cb6ecc06d7eb001533bbe791.jpg

    Replies: @Jack D

    Ford, not Nixon, repealed gold prohibition.

    It was never illegal to drink a martini or to possess alcohol. The 18th Amendment prohibited the “manufacture, sale, or transportation of intoxicating liquors” but not their ownership or consumption. So if you had the foresight to stock a large wine cellar beforehand, it remained fully legal to drink its contents throughout Prohibition.

    • Replies: @Buzz Mohawk
    @Jack D

    My father, born in 1923, told me about his parents making beer in their basement during prohibition. He also told me about his father buying "Dago Red" wine from local Italian Americans there in the San Joaquin valley, Northern California.

    His sister, my aunt, was in school classes with the Gallo sisters. The Gallo family went on to build a huge wine business after prohibition.

    My cousin was the mayor of one humble wine town up there. He also published a newspaper and then sold it. Currently, he is working on a history of our family. I have been answering questions for him of late, and I look forward to the end product. He has written and published history books about that part of the valley, where I was born.

    Replies: @Jack D

    , @Reg Cæsar
    @Jack D


    It was never illegal to drink a martini or to possess alcohol.
     
    It was more than the Eighteenth Amendment. The Volstead Act translated that into federal government policy. (Be careful what you attach your name to-- Volstead wasn't much of a prohibitionist himself, just carrying the water for others.)

    On top of that, there were 48 sets of state laws on the subject, and their countless subdivisions' to boot(leg).. You'd have to comb through all of them to know whether possession of a cocktail was illegal in whichever jurisdiction.

    Just for fun, though, here is a more realistic goal than equalizing output by race, or even reratifying Prohibition: restoring the Dutch Empire. Een man kan dromen, nietwaar?


    https://www.youtube.com/watch?v=Bql--oQUGik

    Replies: @Redneck farmer

  58. anon[157] • Disclaimer says:

    One question: what will JPM do with the higher risk paper? Banks do not hold loan portfolios as they did in the previous century, so someone has to take it off of their books. Last time around, the game was to slice and dice different mortgages up into various tranches and market them as collateralized debt obligations to various entities as secured paper. Worked great until it stopped working.

    Can banksters run the same game twice and still find rubes willing to buy? Or will they have to repackage with a slightly different name as, oh, “collateralized mortgage obligations”, avoiding the toxic CDO label?

    Someone’s gonna hafta take the paper, someone has to hold the hot rock. Who gets it this time?

    • Replies: @Almost Missouri
    @anon


    Who gets it this time?
     
    Feds.

    I.e., you.
  59. “How much money in mortgages are we projected to loan in the next 10 years?”

    “About $500 billion”

    “What percentage of our mortgage clients is nonwhite?”

    “About 6%”

    “Thanks. Let’s take the rest of the afternoon off.”

  60. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Have I missed something?

    You forgot to say they’ll blame it on white people when it all comes crashing down

  61. First citibank, now chase, I think I’m going to go full Godfree Roberts and invest only in the Chinese. I can’t see the Chinese ever giving in to this odd, insane “altruism”. They must be laughing at us in Peking.

    • Replies: @Muggles
    @Rich


    First citibank, now chase, I think I’m going to go full Godfree Roberts and invest only in the Chinese. I can’t see the Chinese ever giving in to this odd, insane “altruism”. They must be laughing at us in Peking.
     
    So you have your retirement assets in Yuan and in safe mainland Chinese financial institutions?

    Who do you think is buying up most of the US treasuries?

    The Chinese economic picture is so opaque you need a flashlight to find your own ass.

    Credit in China is totally dominated by the CCP and directed towards "socially useful" targets. For the Five Year Plans or to keep those billion Chinese from tearing their rulers apart. You see how tiny prosperous Hong Kong loves the mainlanders (or their government).

    What Chase and other banks here claim to be doing with credit set asides is what the entire Chinese government is based upon. If you don't trust Chase, why do you trust President Xi and comrades even more?

    Godfree Roberts works for them and tells his shining tales. Your local Chase banker probably isn't as smart or literate. But he'll tell you the same sort of tale. (I bank w/ Chase, full disclosure...)

  62. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Have I missed something?

    Yes. It may be hard to put on the flowchart, Ben, but during this entire sequence of events, JP Morgan, the company, knows that no matter what happens, the taxpayers will be told that they will be bailing out the big banks when the time comes.

    C’mon guys, it’s all “Too big to fail” nowadays! Big Bankers are the new Alfred E. Newmans, but with better teeth, as they ask us “What, me worry?”

    • Replies: @Paul Jolliffe
    @Achmed E. Newman

    Gotta love a “Fletch” reference!

    https://youtu.be/pbWWxGmbS9s

  63. @Jack D
    @stillCARealist

    I don't know what happened with Denny's in particular, but generally speaking wealth has a way of not sticking around black people. No matter how much of it you give to them, after a time it is gone. There are countless cases of black lottery winners, former pro athletes, etc. that have shown this over and over.

    Every once in a while you'll read a story about some large bequest left to charity by a secretary or school teacher. The woman (it's usually a woman) never made that much money at her job but she lived frugally and invested her savings in the stock market for many decades and by the time she died she had millions of $ and none of her neighbors ever suspected that she was that rich - she drove a 12 year old economy car, never took fancy vacations, etc. Well black people are the opposite.

    Replies: @Achmed E. Newman

    Ha! Great comment, Jack.

  64. @Gary in Gramercy
    @HammerJack

    Agreed. The sixteen of us lived in a brown paper bag in a septic tank...

    Replies: @Achmed E. Newman

    Right! You were lucky to have a bag! We had to get up in the morning, at 10 O’clock at night, half an hour before we went to bed, eat a lump of cold poison …

    Man, when my boy was about 6 y/o, we would watch this on youtube every night, sometimes twice, for three weeks or so. We had 1/2 of it down cold… course, then I would slash him in two with a bread knife and dance about on his grave…

    (He got tired of it and moved on to Dogman, Grime and Punishment.)

    Just for the woefully un-informed here:

    • Replies: @Mr. Anon
    @Achmed E. Newman

    I used to like Monty Python, but don't enjoy them anymore, given how they wag their entertainment-industry-approved politics about. The only ones I can abide are Michael Palin, who as far as I know has stayed mum about his political beliefs, and Graham Chapman, who died before he could get woke.

    Replies: @Rob McX

  65. JPMorgan puts $30B toward fixing banking’s ‘systemic racism’

    To paraphrase Paul Lynde, this may be systemic, but it certainly isn’t racism.

  66. @Jack D
    @Buzz Mohawk

    "Pooling of risk" = socializing losses. Something socialists are in favor of. Unpooling of risks = discrimination. Discrimination is bad.

    Separating people into risk categories (not because businesses hate black people but because of actual financial expectations based on historical performance) is market efficient, not just for the businesses in question but for consumers - the people in the lower risk pool can receive the pricing that they deserve and don't need to subsidize the higher risk group. But this is not how socialists think.

    This has been going on for a long time. One of Ginsburg's early cases back when she was doing advocacy law was suing TIAA (the teacher's pension fund). TIAA used to pay higher pension annuities to men than to women because women live longer and so you have to keep paying them pensions for more years after they retire. (My MIL is a retired teacher. She is now 33 years into collecting her pension, much longer than she worked as a teacher. Whatever money she paid in to the fund (including investment returns) is long gone and they are using other people's money to keep paying her. Her husband has been dead for a decade). This was just a simple matter of actuarial probabilities. It wasn't because they hated women and thought that they were less deserving of high pensions. But Ginsburg won and the pension tables are now unified, so the "risks are pooled" between men and women and they both collect the same pensions - i.e. women get more than they are entitled to on an actuarial basis and men get less than they deserve. Ginsburg was proud of this "accomplishment".

    This also goes on with auto insurance. Various laws prohibit insurance companies from asking certain questions so that they can assign you to the correct risk pool. Socialists want to assign everyone to the same pool so that J'mail can get lower insurance rates (assuming J'mail buys insurance at all) and you are forced to pay higher rates to subsidize J'mail's higher claims expectation.

    Of course the ultimate evil unpooling of risk was redlining. Erase those red lines from the map so that the mortgage rates for Grosse Pointe and for Detroit are the same even though the default risks are very different.

    Replies: @Reg Cæsar, @Buzz Mohawk

    Thank you, Jack, for that excellent elaboration and restatement of my original point.

    I wish you were one of my employees, because then I could give you assignments and you would come back with reams of good work.

    Bravo, and keep up the good work.

  67. @Achmed E. Newman
    @Gary in Gramercy

    Right! You were lucky to have a bag! We had to get up in the morning, at 10 O'clock at night, half an hour before we went to bed, eat a lump of cold poison ...

    Man, when my boy was about 6 y/o, we would watch this on youtube every night, sometimes twice, for three weeks or so. We had 1/2 of it down cold... course, then I would slash him in two with a bread knife and dance about on his grave...

    (He got tired of it and moved on to Dogman, Grime and Punishment.)

    Just for the woefully un-informed here:

    https://www.youtube.com/watch?v=ue7wM0QC5LE

    Replies: @Mr. Anon

    I used to like Monty Python, but don’t enjoy them anymore, given how they wag their entertainment-industry-approved politics about. The only ones I can abide are Michael Palin, who as far as I know has stayed mum about his political beliefs, and Graham Chapman, who died before he could get woke.

    • Replies: @Rob McX
    @Mr. Anon

    There's potential for a song there..."Hope I Die Before I Get Woke".

  68. @Jack D
    @Reg Cæsar

    Ford, not Nixon, repealed gold prohibition.

    It was never illegal to drink a martini or to possess alcohol. The 18th Amendment prohibited the "manufacture, sale, or transportation of intoxicating liquors" but not their ownership or consumption. So if you had the foresight to stock a large wine cellar beforehand, it remained fully legal to drink its contents throughout Prohibition.

    Replies: @Buzz Mohawk, @Reg Cæsar

    My father, born in 1923, told me about his parents making beer in their basement during prohibition. He also told me about his father buying “Dago Red” wine from local Italian Americans there in the San Joaquin valley, Northern California.

    His sister, my aunt, was in school classes with the Gallo sisters. The Gallo family went on to build a huge wine business after prohibition.

    My cousin was the mayor of one humble wine town up there. He also published a newspaper and then sold it. Currently, he is working on a history of our family. I have been answering questions for him of late, and I look forward to the end product. He has written and published history books about that part of the valley, where I was born.

    • Replies: @Jack D
    @Buzz Mohawk

    During Prohibition, Busch sold cans of Budweiser brand Barley Malt Syrup (preserved with hops) in grocery stores. This withstood court challenges - the stuff contained no alcohol. The label directions said something like "WARNING: Do not dilute the contents of this can with water and add yeast to it or it may turn into alcohol." One of their ads feature a grocer in an apron standing in from of a display shelf full of this stuff and one of the decorations on the display is a picture of a guy in Lederhosen holding a can of Budweiser Malt in one hand and a glass of an unspecified foamy yellow beverage in his other hand. And the grocer is winking.

    The German Catholics of the Midwest were strongly NOT in favor of Prohibition.

  69. @Jack D
    @Reg Cæsar

    Ford, not Nixon, repealed gold prohibition.

    It was never illegal to drink a martini or to possess alcohol. The 18th Amendment prohibited the "manufacture, sale, or transportation of intoxicating liquors" but not their ownership or consumption. So if you had the foresight to stock a large wine cellar beforehand, it remained fully legal to drink its contents throughout Prohibition.

    Replies: @Buzz Mohawk, @Reg Cæsar

    It was never illegal to drink a martini or to possess alcohol.

    It was more than the Eighteenth Amendment. The Volstead Act translated that into federal government policy. (Be careful what you attach your name to– Volstead wasn’t much of a prohibitionist himself, just carrying the water for others.)

    On top of that, there were 48 sets of state laws on the subject, and their countless subdivisions’ to boot(leg).. You’d have to comb through all of them to know whether possession of a cocktail was illegal in whichever jurisdiction.

    Just for fun, though, here is a more realistic goal than equalizing output by race, or even reratifying Prohibition: restoring the Dutch Empire. Een man kan dromen, nietwaar?

    • Replies: @Redneck farmer
    @Reg Cæsar

    According to Walter Russell Meade, the past 400 years can be summed up in 10 letters: UP to UK to US.

  70. @Buzz Mohawk
    @Jack D

    My father, born in 1923, told me about his parents making beer in their basement during prohibition. He also told me about his father buying "Dago Red" wine from local Italian Americans there in the San Joaquin valley, Northern California.

    His sister, my aunt, was in school classes with the Gallo sisters. The Gallo family went on to build a huge wine business after prohibition.

    My cousin was the mayor of one humble wine town up there. He also published a newspaper and then sold it. Currently, he is working on a history of our family. I have been answering questions for him of late, and I look forward to the end product. He has written and published history books about that part of the valley, where I was born.

    Replies: @Jack D

    During Prohibition, Busch sold cans of Budweiser brand Barley Malt Syrup (preserved with hops) in grocery stores. This withstood court challenges – the stuff contained no alcohol. The label directions said something like “WARNING: Do not dilute the contents of this can with water and add yeast to it or it may turn into alcohol.” One of their ads feature a grocer in an apron standing in from of a display shelf full of this stuff and one of the decorations on the display is a picture of a guy in Lederhosen holding a can of Budweiser Malt in one hand and a glass of an unspecified foamy yellow beverage in his other hand. And the grocer is winking.

    The German Catholics of the Midwest were strongly NOT in favor of Prohibition.

    • Agree: Johann Ricke
  71. @kpkinsunnyphiladelphia
    $30 billion over five years is walkin' around money for JP Morgan Chase. This move is strictly to keep the mobs from smashing its windows, assuming the mob reads the news.

    Just look at its balance sheet:

    https://www.marketwatch.com/investing/stock/jpm/financials/balance-sheet

    It has close to $1 trillion in outstanding loans. It has $236 billion in real estate mortgages, and a good portion of that is likely in collateralized commercial real estate and jumbo mortgages.

    Heck, in the process of doing business, it writes off $15 billion of loans or thereabouts every year. What's another $5 bill? Should shrugging would ensue. And of course some of the systemic racism loans WILL be paid back. They are not going lend the dough to CEO of the CRIPs.

    At least not knowingly

    This is a bunch of sugar candy to Black Lives Matter ass lickers, and it will keep the diversity mavens in HR busy doing metrics and crap like that.

    Full disclosure: I own the stock.

    Jamie Dimon is a VERY skilled executive, apart from this SOP to wokeness and his Democrat political inclinations.

    Replies: @Whiskey, @Yngvar

    They’ll deduct everything as a charitable contribution.

    • Replies: @Muggles
    @Yngvar


    They’ll deduct everything as a charitable contribution.
     
    I hate to nitpick here, but bad loan losses have always been tax deductible.

    Banks aren't charities, in case you have forgotten.
  72. @BenKenobi
    So what’s the simplest flowchart of events here?

    JPMorgans loans out $30b to joggers and dreamers, who then buy property. JPMorgan gets $30b worth of upvotes. Fast forward X years and JPMorgan and its cronies now owns $30b (plus appreciation) of property that has been defaulted upon and the upvotes remain.

    Have I missed something?

    Replies: @Arclight, @TomSchmidt, @Anon, @Jim Don Bob, @Pop Warner, @Achmed E. Newman, @SaneClownPosse

    Or not going directly (nor indirectly) at all to any supposed “victims”.

    The money will be transferred to a Trust or a LLC, to be used to “combat” racism.
    (((SJW))) C-level warriors will be hired by the Trust/LLC, at market salaries, to direct the funding to appropriate entities. Those entities will deposit the funds back into JPMorgan bank accounts.

    JPM will then fractionally reserve lend those deposits out to cronies, crooks, and thieves. The 30B become 300B+.

    Better for All colors of Mankind, if the Banks stopped usury, and creating money out of thin air.

  73. @Achmed E. Newman
    @BenKenobi


    Have I missed something?
     
    Yes. It may be hard to put on the flowchart, Ben, but during this entire sequence of events, JP Morgan, the company, knows that no matter what happens, the taxpayers will be told that they will be bailing out the big banks when the time comes.

    C'mon guys, it's all "Too big to fail" nowadays! Big Bankers are the new Alfred E. Newmans, but with better teeth, as they ask us "What, me worry?"

    Replies: @Paul Jolliffe

    Gotta love a “Fletch” reference!

  74. OT: The FBI and the Left media are kicking our ass again by waiting until three weeks before the election to bust the Michigan militia and reveal their nefarious plan to kidnap Michigan’s governor.

    Ten minutes of “You see? It’s the right-wing conservative gun-loving domestic terrorists you should be afraid of! And Trumpf encourages them!!” every single night until the election. There is no mention of how the FBI had been watching them (guiding them with infiltrators?) since at least June.

    And has there ever been a prosecution of one of those “Antifa” rioters shown on television? or is antifa just an idea?

  75. @Reg Cæsar
    @Jack D


    It was never illegal to drink a martini or to possess alcohol.
     
    It was more than the Eighteenth Amendment. The Volstead Act translated that into federal government policy. (Be careful what you attach your name to-- Volstead wasn't much of a prohibitionist himself, just carrying the water for others.)

    On top of that, there were 48 sets of state laws on the subject, and their countless subdivisions' to boot(leg).. You'd have to comb through all of them to know whether possession of a cocktail was illegal in whichever jurisdiction.

    Just for fun, though, here is a more realistic goal than equalizing output by race, or even reratifying Prohibition: restoring the Dutch Empire. Een man kan dromen, nietwaar?


    https://www.youtube.com/watch?v=Bql--oQUGik

    Replies: @Redneck farmer

    According to Walter Russell Meade, the past 400 years can be summed up in 10 letters: UP to UK to US.

  76. And the elevation of the noble savage continues..

  77. @DonutsMan
    It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I'd say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    Replies: @Hibernian, @Thud, @SC Rebel, @MBlanc46, @Art Deco

    Yeah because the 75% black illegitimacy rate has absolutely nothing to do with black poverty.

    LOL.

  78. “Systemic racism is a tragic part of America’s history,” said JPMorgan Chase CEO Jamie Dimon in a statement. “We can do more and do better to break down systems that have propagated racism and widespread economic inequality.”

    Right. ~$30B over five years. Reminds me of when my dad took me to establish my first bank account.

    In the lobby my dad let me read the brochures and stuff. They used to give away toasters and cheap household appliances as incentives for creating new savings accounts. It occurred to me then, and it occurs to me now: If you can throw away that much cash on trivial crap, you must be profiting like crazy on my investment.

    So Mr. Dimon and co. are profiting at levels that are beyond my comprehension.

  79. @Dr. X
    Pardon my French, but fuck this.

    I saved for YEARS to buy a house. I drove $500 cars with rotted off quarter panels and swapped transmissions in the middle of winter in an unheated garage to save money. My kid lived in apartments until eighth grade. I put 25% cash down, and at the time a 7% interest rate was considered a "deal."

    Nobody gave a fuck. No bank CEO gave me a damn thing.

    I am so fucking sick of hearing about blacks and minorities and "systemic racism" and "white privilege" that I could puke.

    Replies: @HammerJack, @anon, @MBlanc46

    Alas, no one gives an eff about you now. Nor me. Nor will they tomorrow.

  80. @DonutsMan
    It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I'd say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    Replies: @Hibernian, @Thud, @SC Rebel, @MBlanc46, @Art Deco

    I trust that these are the jokes. They could use some work. If not, you’re lost.

  81. @Mr. Anon
    @Achmed E. Newman

    I used to like Monty Python, but don't enjoy them anymore, given how they wag their entertainment-industry-approved politics about. The only ones I can abide are Michael Palin, who as far as I know has stayed mum about his political beliefs, and Graham Chapman, who died before he could get woke.

    Replies: @Rob McX

    There’s potential for a song there…”Hope I Die Before I Get Woke”.

  82. anon[385] • Disclaimer says:
    @Jack D
    @Art Deco

    There is also the PR aspect and not being Cancelled aspect. Chase does not want a WARNING:RACIST stamp on their Yelp page.

    As others have pointed out, $6 billion/yr in mortgage originations is chump change for them. If they manage this correctly they will lose very little on this. They figure that the PR value and the value of not being made a BLM target is worth more than what this will cost.

    All these big corporations changing the names of their products, etc. may seem cowardly and craven (just announced today - Eskimo Pies are now "Edy's Pies" - production is "paused" until they can rebrand) but these people are not fools. Nestle (who owns the brand) is a giant global conglomerate. They want the Eye of Soros to turn its gaze to someone else. They want the wolves to tear some less nimble competitor to shreds, not them. They want to stay ahead of the game and preempt criticism before they can even be criticized. A few million $ in temporary lost sales is nothing to them. They are looking at the long term. "Eskimo Pie" was a dead man walking - if not this year then next year or in 2 or 5 - it only gets worse every year. So get it over with, take the hit now and be positioned for the next few decades.

    Replies: @anon, @black sea

    I could elaborate on the extent to which this is a totally underwhelming gesture, but it is better to let them make their statement. And not wise up the woke.

    Suffice it to say that if it were materially large, then it would be a disaster. If anyone cares, all the relevant background is on their slides supporting their quarterly earnings announcements. They are a cliff notes version of their 10-Qs, so no heavy reading is required.

    So, other than general disgust, no need to get too worked up about this one.

  83. @Whiskey
    Related, is that Soros's ploy? Blackmail the REITs with more threats of blm violence unless they pay up somehow?

    The problem is, once a city goes Detroit, it never comes back. Looks like Denver, Seattle, Portland, San Francisco, and Los Angeles are going Detroit. Also NYC. And Chicago. And Milwaukee, and Minneapolis.

    Ask the residents of Baltimore, Cleveland, Philly, New Orleans, Detroit, Newark, Atlanta, Cincinnati, St. Louis, and Gary if their cities ever came back.

    What, black crime is suddenly going away? Cops will suddenly be arresting Tookie and Ray-Ray and sending them away for twenty years so that downtown is not a war zone for workers? Who at any rate can commute from their bedrooms to dens easily enough.

    All that real estate is suddenly worthless. Look at Detroit. That's the future of urban America.

    Replies: @The Germ Theory of Disease, @black sea

    Ask the residents of Baltimore, Cleveland, Philly, New Orleans, Detroit, Newark, Atlanta, Cincinnati, St. Louis, and Gary if their cities ever came back.

    I don’t have any direct experience with most of the cities you’ve listed, but I can talk about Atlanta, which actually never fell as far as places like Newark and Detroit, and which 0ne can reasonably say more than “came back” from this less precipitous decline.

    When I was a kid, Midtown Atlanta was a sort of open-air drug market, a la Haight Ashbury. It’s now one of the nicest districts in the city, and its population has doubled in the past 20 years. The population within the city limits has recovered from its decline in the 1970s and 80s, and the metro population has more than tripled since the mid 1980s.

    There are parts of the city you wouldn’t want to venture into, but there have always been such areas.

  84. @Jack D
    @Art Deco

    There is also the PR aspect and not being Cancelled aspect. Chase does not want a WARNING:RACIST stamp on their Yelp page.

    As others have pointed out, $6 billion/yr in mortgage originations is chump change for them. If they manage this correctly they will lose very little on this. They figure that the PR value and the value of not being made a BLM target is worth more than what this will cost.

    All these big corporations changing the names of their products, etc. may seem cowardly and craven (just announced today - Eskimo Pies are now "Edy's Pies" - production is "paused" until they can rebrand) but these people are not fools. Nestle (who owns the brand) is a giant global conglomerate. They want the Eye of Soros to turn its gaze to someone else. They want the wolves to tear some less nimble competitor to shreds, not them. They want to stay ahead of the game and preempt criticism before they can even be criticized. A few million $ in temporary lost sales is nothing to them. They are looking at the long term. "Eskimo Pie" was a dead man walking - if not this year then next year or in 2 or 5 - it only gets worse every year. So get it over with, take the hit now and be positioned for the next few decades.

    Replies: @anon, @black sea

    Paul Gottfried has made the point that what we are seeing with these woke corporate moves is similar to the support given to the Nazi party during its rise to power by German companies who were not necessarily enthusiastic about the Nazis, but who were hoping to pre-emptively buy them off.

    A disturbing precedent, but then people who rise to the top of corporations aren’t really known for their adherence to difficult principles.

    • Replies: @Art Deco
    @black sea

    Except there aren't any 'difficult principles' to adhere to or reject, here. Some of this posturing is quite injurious to the companies doing it (see Gillette).

    Replies: @Jack D

  85. As I already posted

    https://www.yahoo.com/news/already-having-massive-effect-corporate-204635177.html

    USA TODAY
    ‘It’s already having a massive effect,’ corporate America demands Trump rescind executive order on diversity

    …………..

    The executive order’s stated goal is “to combat offensive and anti-American race and sex stereotyping and scapegoating.”

    A White House memo in late September suggested rooting out “ideologies that label entire groups of Americans as inherently racist or evil” in diversity training materials by searching for keywords such as “white privilege,” “systemic racism,” “intersectionality” and “unconscious bias.”

  86. @Abolish_public_education
    As I recall, this bank was broke, bailed out, and renamed as Chase.

    Then it bought naming rights to some arena.

    Replies: @ScarletNumber

    This is incorrect. Washington Mutual (WaMu) went broke and JPMorgan Chase bought their assets. At the time WaMu was running commercials where their hip, black banker showed how wonderful their bank was as opposed to the stodgy, old, white bankers. I wonder how many people appreciated the irony.

  87. @anon
    One question: what will JPM do with the higher risk paper? Banks do not hold loan portfolios as they did in the previous century, so someone has to take it off of their books. Last time around, the game was to slice and dice different mortgages up into various tranches and market them as collateralized debt obligations to various entities as secured paper. Worked great until it stopped working.

    Can banksters run the same game twice and still find rubes willing to buy? Or will they have to repackage with a slightly different name as, oh, "collateralized mortgage obligations", avoiding the toxic CDO label?

    Someone's gonna hafta take the paper, someone has to hold the hot rock. Who gets it this time?

    Replies: @Almost Missouri

    Who gets it this time?

    Feds.

    I.e., you.

  88. @DonutsMan
    It seems you Steve are quite interested in keeping blacks and other minorities impoverished.
    I'd say you ought to find a new hobby. This pathological fixation of yours is not a way to spend a life.
    Do you want to regret, in your dying breaths, how you wasted your energy and substance hating blacks and mexicans and anyone who tried to make things right?

    Replies: @Hibernian, @Thud, @SC Rebel, @MBlanc46, @Art Deco

    By no comparative scale – temporal or spatial – are blacks impoverished. Personal income per capita among American blacks is about what it is in Mediterranean Europe and about what it was in this country in the bad old days of…1990. Life expectancy for blacks is also similar to what it was for the generic American that year. What’s deemed the ‘poverty level’ today (a personal income of $12,700 for a single person living alone) in real terms put you around the 67th percentile of the population in 1950. There’s a great deal of insecurity in and among the black population, but that’s something distinct from deprivation.

    • Thanks: Johann Ricke
  89. @black sea
    @Jack D

    Paul Gottfried has made the point that what we are seeing with these woke corporate moves is similar to the support given to the Nazi party during its rise to power by German companies who were not necessarily enthusiastic about the Nazis, but who were hoping to pre-emptively buy them off.

    A disturbing precedent, but then people who rise to the top of corporations aren't really known for their adherence to difficult principles.

    Replies: @Art Deco

    Except there aren’t any ‘difficult principles’ to adhere to or reject, here. Some of this posturing is quite injurious to the companies doing it (see Gillette).

    • Replies: @Jack D
    @Art Deco

    What is Gillette doing?

    Replies: @Art Deco

  90. @Art Deco
    @black sea

    Except there aren't any 'difficult principles' to adhere to or reject, here. Some of this posturing is quite injurious to the companies doing it (see Gillette).

    Replies: @Jack D

    What is Gillette doing?

    • Replies: @Art Deco
    @Jack D

    https://campaignbrief.com/get-woke-go-broke-gillettes-toxic-masculinity-ad-via-grey-new-york-haunts-pg-as-shaving-giant-takes-us8-billion-writedown/

    Replies: @Jack D

  91. @Jack D
    @Art Deco

    What is Gillette doing?

    Replies: @Art Deco

    • Replies: @Jack D
    @Art Deco

    It would be nice to think that one idiotic ad campaign cost them $8 billion but more likely it's Harry's Razors and other more nimble online competitors who have cut the margins of the business. Top of the line razors used to be ridiculously overpriced (and have ridiculously too many blades - there are diminishing returns on each extra blade) because it was a sort of comfortable duopoly with Gillette taking the lead and Schick matching their prices. So they were charging dollars per blade that cost pennies to make. And good luck getting shelf space at CVS if you are a new entrant. But the internet disrupted this model like it disrupted a lot of businesses.

    Replies: @Art Deco

  92. @Art Deco
    @Jack D

    https://campaignbrief.com/get-woke-go-broke-gillettes-toxic-masculinity-ad-via-grey-new-york-haunts-pg-as-shaving-giant-takes-us8-billion-writedown/

    Replies: @Jack D

    It would be nice to think that one idiotic ad campaign cost them $8 billion but more likely it’s Harry’s Razors and other more nimble online competitors who have cut the margins of the business. Top of the line razors used to be ridiculously overpriced (and have ridiculously too many blades – there are diminishing returns on each extra blade) because it was a sort of comfortable duopoly with Gillette taking the lead and Schick matching their prices. So they were charging dollars per blade that cost pennies to make. And good luck getting shelf space at CVS if you are a new entrant. But the internet disrupted this model like it disrupted a lot of businesses.

    • Replies: @Art Deco
    @Jack D

    1. There's a limit to the price-making power of Cournot oligopolies.

    2. They had off-brand razors in chain drug stores where I grew up, and you had the option of using an electric razor as well.

    3. Why, if you're facing intensified competition, do you insult your customers?

    Replies: @Johann Ricke

  93. “Systemic racism”, what a joke… This is just one of their more elaborate virtue signalling misdirections! This to avert the attention away from the way more profitable “systemic swindle”, of which JPMorgan is a world class operator. Their amazingly profitable manipulations of the gold and silver markets makes the Gambino Organized Crime Family look like a bunch of Red Cross volunteers…

  94. @Gordo
    @The Alarmist


    40 acres and a mule might be cheaper in the long run.
     
    We gave them Rhodesia and all they ended up with was Zimbabwe, so unfair.

    Replies: @Muggles

    We gave them Rhodesia and all they ended up with was Zimbabwe, so unfair.

    But they all ended up with those Trillion dollar Zimbabwe dollars!

    “They’s rich, rich as bankers!”

    https://collectiblescurrency.com/collections/zimbabwe-banknotes?gclid=Cj0KCQjwoJX8BRCZARIsAEWBFMLOxiWhDqwOPy3Apre4GQF9V9lT3DYc70UEeUjZbCOrgZc3XCuU2nIaAnzNEALw_wcB

  95. @Rich
    First citibank, now chase, I think I'm going to go full Godfree Roberts and invest only in the Chinese. I can't see the Chinese ever giving in to this odd, insane "altruism". They must be laughing at us in Peking.

    Replies: @Muggles

    First citibank, now chase, I think I’m going to go full Godfree Roberts and invest only in the Chinese. I can’t see the Chinese ever giving in to this odd, insane “altruism”. They must be laughing at us in Peking.

    So you have your retirement assets in Yuan and in safe mainland Chinese financial institutions?

    Who do you think is buying up most of the US treasuries?

    The Chinese economic picture is so opaque you need a flashlight to find your own ass.

    Credit in China is totally dominated by the CCP and directed towards “socially useful” targets. For the Five Year Plans or to keep those billion Chinese from tearing their rulers apart. You see how tiny prosperous Hong Kong loves the mainlanders (or their government).

    What Chase and other banks here claim to be doing with credit set asides is what the entire Chinese government is based upon. If you don’t trust Chase, why do you trust President Xi and comrades even more?

    Godfree Roberts works for them and tells his shining tales. Your local Chase banker probably isn’t as smart or literate. But he’ll tell you the same sort of tale. (I bank w/ Chase, full disclosure…)

  96. @Yngvar
    @kpkinsunnyphiladelphia

    They'll deduct everything as a charitable contribution.

    Replies: @Muggles

    They’ll deduct everything as a charitable contribution.

    I hate to nitpick here, but bad loan losses have always been tax deductible.

    Banks aren’t charities, in case you have forgotten.

  97. @Jack D
    @Art Deco

    It would be nice to think that one idiotic ad campaign cost them $8 billion but more likely it's Harry's Razors and other more nimble online competitors who have cut the margins of the business. Top of the line razors used to be ridiculously overpriced (and have ridiculously too many blades - there are diminishing returns on each extra blade) because it was a sort of comfortable duopoly with Gillette taking the lead and Schick matching their prices. So they were charging dollars per blade that cost pennies to make. And good luck getting shelf space at CVS if you are a new entrant. But the internet disrupted this model like it disrupted a lot of businesses.

    Replies: @Art Deco

    1. There’s a limit to the price-making power of Cournot oligopolies.

    2. They had off-brand razors in chain drug stores where I grew up, and you had the option of using an electric razor as well.

    3. Why, if you’re facing intensified competition, do you insult your customers?

    • Replies: @Johann Ricke
    @Art Deco


    Why, if you’re facing intensified competition, do you insult your customers?
     
    CEO presumably got a little too full of himself. Or he's angling for the female market, albeit very indirectly.
  98. @Art Deco
    @Jack D

    1. There's a limit to the price-making power of Cournot oligopolies.

    2. They had off-brand razors in chain drug stores where I grew up, and you had the option of using an electric razor as well.

    3. Why, if you're facing intensified competition, do you insult your customers?

    Replies: @Johann Ricke

    Why, if you’re facing intensified competition, do you insult your customers?

    CEO presumably got a little too full of himself. Or he’s angling for the female market, albeit very indirectly.

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