CNN Spins Dollar News

The greenback has slid to the value of the Canadian dollar. Yes, it is true. Parity was reached today. And how did CNN spin it?

Canadian dollar catches up to U.S. dollar

Value of 'loonie' reaches that of American dollar for the first time in over 30 years.

September 20 2007: 2:39 PM EDT

TORONTO (AP) -- The Canadian dollar reached parity with the U.S. dollar on Thursday for the first time since November 1976.

(More here)

Please do not be fooled. The loonie did not climb to the value of the U.S. dollar; The U.S. dollar has plummeted to the value of the Canadian dollar.

Still not convinced? Check this out:

NOTE: Recent events do not show on this graph. Today the blue line slid off the bottom of the chart.
(here)

This is not a symptom of a strong US economy

More gin might be in order.

Tax on Bond's Ball --Boo Hoo

I can't stand hearing supposed experts saying that they would not want to be in the position of having to pay taxes on Barry Bond's home run ball.

One talking head on CNN just said that he would run away from the ball if it was coming his way because of the IRS. Is he insane?

Let me play in out for you.

• Game starts, dude doesn't have a home run ball.
• Dude catches the ball.
• Dude fights off idiots who try to steal the ball from him.
• IRS calls up the dude and tells him he has to pony up 35% of the ball's value.
• Dude has to sell the ball for $500,000 because he can't afford the tax.
• Dude pays IRS $175,000.
• Dude puts $325,000 in the bank.
• Dude doesn't have a home run ball.
• Game over.

So, horror of horrors, the guy from Queens ends up like he began, without the ball. But now he has almost a third of a million smackers in the bank. Bummer.

Now the legitimacy of collecting tax on the ball immediately is a subject for another post. I would like to see it categorized as a capital gain and taxed only after it is sold. But, as I said, that is for another post.