Another Clean Tech Startup Goes Down: Better Place Is Bankrupt

The big lesson? Be a little more like Tesla

 

Electric car infrastructure company Better Place's move to file bankruptcy today marks the end of the road for a billion-dollar bet that Silicon Valley-style technological disruption could wean the world from fossil fuels.

Founded in 2007 in Palo Alto, California, by a charismatic former SAP executive named Shai Agassi, Better Place sought in one stroke to solve a conundrum: most electric cars were too expensive and too limited in their range to become a mass market alternative to the internal combustion engine. Agassi's solution was to separate the most expensive component of an electric vehicle, the battery, from the car. Drivers would buy or lease an electric car for a price comparable to a gasoline-powered model and Better Place would own the batteries. Paying a monthly fee based on how much they drove, drivers would gain access to Better Place's network of robotic switch stations to let them swap out depleted batteries for fresh ones in a matter of minutes.

READ MORE:  http://www.theatlantic.com/technology/archive/2013/05/another-clean-tech-startup-goes-down-better-place-is-bankrupt/276257/

HOLTZ-EAKIN: Sharp shoppers scuttle Obamacare

The young drop coverage to avoid higher premiums

The political travails of the Affordable Care Act — aka Obamacare — continue, as witnessed by the furor surrounding Health and Human Services Secretary Kathleen Sebelius‘ attempts to solicit funds to pay for its implementation. Politics do garner the bulk of the media attention, and the public may think that partisan battles will determine the law’s future. A recent poll sponsored by the American Action Forum, though, shows that the nuts and bolts of consumer decision-making may be its real Achilles heel.

At the heart of Obamacare is the goal of expanded health insurance coverage, and the law as originally passed envisioned coverage for an additional 30 million or so Americans. About one-half of these would purchase their insurance in the so-called “exchanges” — state-based marketplaces where approved coverage will be for sale for individuals and small businesses to purchase. An elaborate system of government subsidies would assist insurance for those making up to $89,000. Of course, as was settled by the Supreme Court decision, those who do not purchase insurance will be subject to a penalty, or extra tax.

Read more: http://www.washingtontimes.com/news/2013/may/20/sharp-shoppers-scuttle-obamacare/#ixzz2UmeYL5GR

Quantitative Easing: CNBC Explains

If you’ve been reading about the markets recently, it’s likely you’ve heard about quantitative easing, also known as QE. The U.S. central bank engages in quantitative easing to influence the economy by increasing cash in order to stimulate economic activity. But how does QE differ from normal federal reserve open market operations? Also, how does U.S. quantitative easing differ from Japan’s quantitative easing program? Salman Khan of the Khan Academy explains the finer points of quantitative easing.
From the first video, you’ll understand:

• How quantitative easing differs from normal Fed operations
• The types of assets purchased by the Fed under QE 

READ MORE:  http://www.cnbc.com/id/43268061

Electric-Car Maker Coda Files for Bankruptcy to Seek SaleCoda Holdings Inc., parent of the electric-car maker backed by billionaire Philip Falcone, filed for bankruptcy and will seek to sell its assets to a group led by a Fortress Investment Group LLC (FIG) unit for $25 million. The Los Angeles-based company, whose Coda Automotive unit also sought court protection, listed assets of as much as $50 million and debt of as much as $100 million today in the Chapter 11 filing in Wilmington, Delaware. The company said it intends to sell its assets within 45 days.

Coda Holdings Inc., parent of the electric-car maker backed by billionaire Philip Falcone, filed for bankruptcy and will seek to sell its assets to a group led by a Fortress Investment Group LLC (FIG) unit for $25 million.

The Los Angeles-based company, whose Coda Automotive unit also sought court protection, listed assets of as much as $50 million and debt of as much as $100 million today in the Chapter 11 filing in Wilmington, Delaware. The company said it intends to sell its assets within 45 days.

Coda’s bankruptcy is at least the third by an electric vehicle-related company in just over a year. A123 Systems Inc. (AONEQ), a battery supplier to Fisker Automotive Inc., another California-based maker of electric cars, filed for bankruptcy in October. Ener1 Inc., also a maker of batteries for electric cars, entered bankruptcy in January 2012. 

READ MORE:  http://www.bloomberg.com/news/2013-05-01/electric-car-maker-coda-files-for-bankruptcy-to-seek-sale-1-.html

Employee Benefits Fall As Firms Brace For ObamaCare

Employer spending on benefits rose at the slowest pace on record in the first quarter, as companies began bracing for higher health costs with next year's launch of ObamaCare.

Total benefits, such as insurance and pension contributions, rose just 0.1% vs. the end of last year, the smallest gain in Labor Department data going back to 2001. By comparison, payroll employment grew by a half-million, or 0.4%, in Q1. So benefits-per-worker declined.

Total employee benefits provided outside of government jobs declined outright.

Read More At Investor's Business Daily: http://news.investors.com/050113-654209-companies-cut-employee-benefits-as-obamacare-looms.htm#ixzz2UDl0NsLr

The Federal Reserve: CNBC Explains

The Federal Reserve System—or the "Fed" as it's known—arguably plays the most crucial role in the U.S. economy.

Yet most people have little idea how the Fed works, what it actually does and why its decisions have so much impact. Here are the details.

What is the Federal Reserve? 

The Fed is the gatekeeper of the U.S. economy and is part of the federal government.
Based in Washington, D.C., the Fed is the bank of the U.S. government and regulates the nation's financial institutions. It's comprised of a network of 12 Federal Reserve Banks and a number of branches. This is all overseen by the Fed's Board of Governors, which we'll detail a little later.

READ MORE:  http://www.cnbc.com/id/43752521

Center City Job Fair For Ex-Offenders Is Canceled After 3,000 Show Up

By Cherri Gregg

PHILADELPHIA (CBS) — The City of Philadelphia shut down a career fair for ex-offenders today after an unexpected crowd of thousands showed up, résumés in hand.

There were lots of disppointed job seekers and potential employers this morning.

The city was expecting about 1,000 people to show up, but about three times that number were standing in a line that wrapped around the Municipal Services Building, across from City Hall.

And when someone jumped the line, order collapsed.

There was no yelling, no shoving — just 3,000 people all trying to get into the job fair at once.

READ MORE:  http://philadelphia.cbslocal.com/2013/05/17/center-city-job-fair-for-ex-offenders-is-canceled-after-3000-show-up/

Want a Glimpse of Obamacare? Look at Massachusetts

Anyone curious about the future of health care in the United States needn't look much further than Massachusetts, which already has its own form of health care reform—Romneycare.

Signed into law in 2006 by then governor and later GOP presidential candidate Mitt Romney, the measure had backing from both political parties and became a blueprint of sorts for Obamacare—which goes into full effect next year.

There are some some key differences between the two laws: For example, Romneycare has lower penalty fees, lower numbers of workers before insurance is mandated for small companies, and it's funded differently. But Romneycare provides at least a small window for what's coming in 2014, say analysts.

READ MORE:  http://www.cnbc.com/id/100723888

States More Aggressive in Competing With One Another

In its ninth annual survey of CEO opinion about the best and worst states in which to do business, 736 CEOs—the highest response on record—rendered their verdict. Business leaders were asked to grade states with which they are familiar on a variety of competitive metrics that CEOs themselves regard as critical. These include: 1) taxation and regulation; 2) quality of workforce; and 3) living environment. The tax and regulatory grade includes a measure of how CEOs grade a state’s attitude toward business, a key indicator.

In the minds of most leaders, a state’s friendliness is closely aligned with its tax and regulatory regime. Similarly, workforce quality also measures the perceived cooperativeness of workers with management, as well as the people’s general work ethic and education attainment. The living environment metric measures the perceived quality of education and public health facilities, as well as the affordability and quality of real estate, the transportation system and related environmental factors.

For the ninth consecutive year, the Lone Star state continues to rank first, with the Golden State continuing to rank dead last. Florida, North Carolina, Tennessee and Indiana place second through fifth respectively—unchanged from last year’s ranking—while Arizona elbows its way into sixth place, up from 10th place in 2012. Virginia and South Carolina follow, with Nevada moving into a solid ninth place up from 12th in 2012. The most dramatic ranking change was scored by Ohio, which moved up 13 places, and by Delaware, which dropped 13 places. Louisiana, Wisconsin, Kansas, Montana and Minnesota also advanced in the rankings since 2012.  

READ MORE:  http://chiefexecutive.net/states-more-aggressive-in-competing-with-one-another-2013

Get Ready for Huge Drug Cost Gap in Obamacare

Cancer patients could face high costs for medications under President Barack Obama's health care law, industry analysts and advocates warn.

Where you live could make a huge difference in what you'll pay.

To try to keep premiums low, some states are allowing insurers to charge patients a hefty share of the cost for expensive medications used to treat cancer, multiple sclerosis, rheumatoid arthritis and other life-altering chronic diseases.

READ MORE:  http://www.cnbc.com/id/100731024

China may not overtake America this century after all

Doubts are growing about whether China can pass the US to become the world's biggest economy this century amid warnings that the country’s 30-year miracle is nearing exhaustion. 

 

The world's tallest tower should have been built by now. Officials said last year that the great edifice with 220 floors would be erected in three months flat in China's inland city of Changsha by March, snatching the crown from Dubai's Burj Khalifa.

The deadline has come and gone, yet the wasteland sits untouched. It now looks as if the fin d'époque project – using prefab blocs – may never be approved. Even China knows its limits.

Prime minister Li Keqiang has asked the State Council to clamp down on the excesses of the regions. Not before time. A top regulator says local government finances are "out of control".


READ MORE:  http://www.telegraph.co.uk/finance/comment/10044456/China-may-not-overtake-America-this-century-after-all.html

 

The Government’s Mortgage Fix Is Failing

The U.S. Treasury's mortgage bailout is failing at an "alarming rate," according to a government watchdog, but architects of the four-year-old plan say that it is no worse than they expected.

The Home Affordable Modification Program (HAMP) was launched in early 2009 with the goal of helping 3 to 4 million borrowers avoid foreclosure. So far fewer than one million borrowers are in permanent modifications, and default rates on these modifications are high.

A new report from Special Inspector General for the Troubled Asset Relief Program points to disturbing numbers, but offers no reason for the high rates.

READ MORE:  http://www.cnbc.com/id/100674924

New Housing Barons Widen Their Sights and Bets

As home prices rise, there are fewer bargains in single family homes, but not fewer investors. Their ranks and property portfolios continue to grow. Last month Five Ten Capital, a Piedmont, California-based asset manager, inked a one hundred million dollar deal with Deutsche Bank to open a new fund to buy and manage single family rental homes, expanding Five Ten's range to Texas and Missouri.

"Obviously, home prices are up, so did you miss an opportunity? Yes, you'd have been better off buying a year ago than today, but we think for the most part we are in the third inning of this housing recovery," said Rob Bloemker, Five Ten's CEO.

Unlike the "flippers" of the last decade, today's investors in single family homes have a longer-term strategy. They buy largely with cash and seem intent on growing their portfolios, rather than recycling them. While some credit these bulk buyers with saving the housing market, they seem uneasy with that characterization.

READ MORE:   http://www.cnbc.com/id/100700113

New Rule Signals Kiss of Death for Pensions

A little-known rule change that allows companies to contribute fewer dollars to pension funds is signaling just how meaningless the retirement vehicle has become.

"This proves that pensions are pretty much dead," said Greg McBride, chief economist at Bankrate.com. "The change is just another charade to mask the underfunding of pensions and increases the odds of having less money for retirement."

"It's not necessarily the immediate end of pensions but it's not good for them and it's certainly a bad sign," McBride added.

READ MORE:  http://www.cnbc.com/id/100694955

Spring Slowdown Paints Ugly Picture for Jobs: ADP

The gloomy news continued for jobs as ADP reported Wednesday that private companies created just 119,000 new positions in April.

That was well below expectations and confirmation that the labor market is slowing heading into late spring and early summer.

Economists surveyed by Reuters expected the ADP report to show the private sector created 150,000 jobs in April, down from 158,000 in March.

READ MORE:  http://www.cnbc.com/id/100693906

US employers add 165K jobs, rate falls to 7.5 pct.

US employers added 165K jobs in April, lowering unemployment rate to 4-year low of 7.5 pct.

 

WASHINGTON (AP) -- U.S. employers added 165,000 jobs in April, and hiring was much stronger in the previous two months than first thought. The gains trimmed the unemployment rate to a four-year low of 7.5 percent. 

The Labor Department report showed the job market is improving despite higher taxes and government spending cuts.

In addition to the April gains, the government said employers added 138,000 jobs in March and 332,000 in February. That's 114,000 more over the two months.

READ MORE: http://finance.yahoo.com/news/us-employers-add-165k-jobs-123048549.html

 

Private sector job increase smallest since September: ADP

(Reuters) - Private-sector hiring slowed again in April as companies added the fewest employees in seven months, the latest sign the economy is encountering a soft patch, a report by a payrolls processor showed on Wednesday.

Businesses added 119,000 employees to their payrolls last month, according to the ADP National Employment Report, falling short of economists' expectations for a gain of 150,000 jobs. It was the smallest gain since last September.

March's private payrolls were revised down to an increase of 131,000 from the previously reported 158,000.

The report is jointly developed with Moody's Analytics.

Stock futures were little changed immediately following the data, while the euro extended gains against the dollar and Treasury securities firmed.

READ MORE:  http://www.reuters.com/article/2013/05/01/us-usa-economy-employment-adp-idUSBRE9400G120130501?feedType=RSS&feedName=topNews&utm_source=dlvr.it&utm_medium=twitter&dlvrit=992637

'Real' Jobless Rate Still Above 10% In Most States

Two months from now, revised government estimates are likely to show that the economy is even bigger than the currently stated $15 trillion.

And while the numbers may make some blink or gasp, the mere size of gross domestic product won't hide the reality that in terms of actual growth, this is also the worst economy in 83 years.

GDP growth is in the midst of its longest sub-3 percent annual growth rate since 1929, the beginning of the Great Depression, according to Bespoke Investment Group. The economy hasn't topped 3 percent since 2005—before Federal Reserve Chairman Ben Bernanke took over—and is unlikely to do so this year.

READ MORE:  http://www.cnbc.com/id/100691168

Obamacare’s Tax Hike Train Wreck

The most destructive Obamacare tax increases are just around the bend 

 

Asked about Senator Max Baucus’s (D-Mont.) recent “train wreck” comments, President Obama today said, “A huge chunk of it [Obamacare] has already been implemented.” Unmentioned was the wave of destructive Obamacare tax increases that will begin to hit Americans during the next tax filing season and beyond:

Starting in tax year 2013:

Obamacare Surtax on Investment Income:  A new, 3.8 percent surtax on investment income earned in households making at least $250,000 ($200,000 single). This tax hike results in the following top tax rates on investment income:

Read more: http://atr.org/obamacares-tax-hike-train-wreck-a7587#ixzz2S8qcoOQW
Follow us: @taxreformer on Twitter

Everything Is Rigged: The Biggest Price-Fixing Scandal Ever

The Illuminati were amateurs. The second huge financial scandal of the year reveals the real international conspiracy: There's no price the big banks can't fix

 

 

Conspiracy theorists of the world, believers in the hidden hands of the Rothschilds and the Masons and the Illuminati, we skeptics owe you an apology. You were right. The players may be a little different, but your basic premise is correct: The world is a rigged game. We found this out in recent months, when a series of related corruption stories spilled out of the financial sector, suggesting the world's largest banks may be fixing the prices of, well, just about everything.

You may have heard of the Libor scandal, in which at least three – and perhaps as many as 16 – of the name-brand too-big-to-fail banks have been manipulating global interest rates, in the process messing around with the prices of upward of $500 trillion (that's trillion, with a "t") worth of financial instruments. When that sprawling con burst into public view last year, it was easily the biggest financial scandal in history – MIT professor Andrew Lo even said it "dwarfs by orders of magnitude any financial scam in the history of markets."

That was bad enough, but now Libor may have a twin brother. Word has leaked out that the London-based firm ICAP, the world's largest broker of interest-rate swaps, is being investigated by American authorities for behavior that sounds eerily reminiscent of the Libor mess. Regulators are looking into whether or not a small group of brokers at ICAP may have worked with up to 15 of the world's largest banks to manipulate ISDA fix, a benchmark number used around the world to calculate the prices of interest-rate swaps.

 

READ MORE: http://www.rollingstone.com/politics/news/everything-is-rigged-the-biggest-financial-scandal-yet-20130425#ixzz2S343yXEB