Economy

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

What can you buy for a buck these days? Sure, a chicken sandwich at McDonald's. But also the services of GM CEO Rick Wagoner for 2009. However, is that really a good deal?

Washington’s efforts to unfreeze the credit markets have had only mixed success but a Federal Reserve announcement last week at least showed quick results: Mortage rates quickly fell by half a percent.

The Federal Reserve announced plans to buy up mortgage-backed securities and debt to the tune of $600 billion from Fannie Mae, Freddie Mac and Ginnie Mae.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

Three questions are getting deserved attention after the death of a Long Island Wal-Mart worker during Black Friday.

1. Will retailers change how they promote the biggest shopping date of the year?

2. Will American shoppers, by themselves, take a different approach to Black Friday?

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

Taxpayers better hope House Speaker Nancy Pelosi wasn't just bluffing last month when she said of the Big 3 automakers: "Until they show us the plan, we cannot show them the money."

By Barb Shelly, Kansas City Star editorial page columnist

I asked my mother today if her dad was put out of work during the Great Depression.

He was, she said. He was a baker, along with his brother, and they lost their shop in New Jersey, and their homes, along with it.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

The death of a Long Island Wal-Mart employee crushed by Black Friday shoppers has raised legitimate questions about Americans and our shopping mania.

Among them:

-- Have stores gone too far in trying to convince shoppers to arrive in throngs in early morning hours the day after Thanksgiving?

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

A crowd of shoppers trampled a store worker to death while rushing toward Black Friday specials at a Long Island Wal-Mart.

It's an appalling event, made even more newsworthy by the fact that American shoppers have been encouraged in recent days to make sure they get out and spend money to boost the economy.

Denise Tiller, Midwest Voices Panelist 2008

I got home at 8:30 this morning after my first Black Friday Shopping experience. I'm an internet shopper myself, but my daughter came up from Texas, and she is a Black Friday pro. Based on remarks from other shoppers at Wal-Mart, Target, and Kohls, the crowds were much larger than in past years, but people were just there for sale items. They all expect bigger bargains as Christmas approaches. They felt the prices today were okay, but not overly low, and they were all watching their money this year.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

Black Friday starts in less than 5 hours at some shopping centers across the KC area. Are you ready?

Here are the hints you need to get the best deals:

Gift cards can be useful for holiday shoppers, especially when it comes to that distant cousin nobody knows very well. But the cards carry some risks, and consumers should take the time to consider them.

With the economy in a tailspin, the financial status of a company becomes important because of the limited protection given to holders of their gift cards.

By Barb Shelly, Kansas City Star Editorial Page columnist

At the stores, it looks like any holiday shopping season.

President-elect Barack Obama’s new economic recovery plan, together with today’s scheduled presentation of a high-powered economic team, offer some badly needed hope to the American public that better days are ahead.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

For at least one day Timothy Geithner was a VIP for U.S. investors.

The Dow shot up almost 500 points in the last two hours of trading Friday -- in a large part because of the possibility that Barack Obama would name Geithner as the new Treasury Secretary.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

Think it can't happen? Think the Dow Jones Industrial Average can't fall further -- to 6,000, 5,000 -- or even down to 1,000 points?

Then you haven't been watching the stocks of CitiGroup, Apple, GM, Ford and dozens of other major U.S. companies this year.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

The catch-phrase that gained popularity in Bill Clinton's 1992 campaign -- "It's the economy, stupid" -- ought to be stamped on the forehead of every elected official going back to Washington in 2009.

Denise Tiller, Midwest Voices 2008 Panelist

The top seven executives of Goldman Sachs requested the board of directors not pay them bonuses for 2008 given the poor financial results and the $10 billion bailout they received from the government. I think it's wise idea under the circumstances and I hope other bailed out companies follow their lead. Bonuses should reflect an employee's contribution to the success of a company. Top executives should not be rewarded for bad decisions.

By Marcia Gorrell, Special to The Kansas City Star

I grew up in the Kansas City area, a typical “city kid” until I went to the University of Missouri-Columbia and fell head over heels for a farm boy from Saline County.

I have seen both sides of the agriculture debate.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

Even as failed U.S. automakers plead for billions from taxpayers, Chrysler is on the hook for millions in bonuses to top executives who have presided over the near-demise of their company.

By Matthew Palcher, Kansas City Star Reader Advisory panelist

The perils that have plagued the U.S. economy in recent months have affected all levels of American enterprise. The American auto industry has particularly been damaged by this recent economic downturn.

Denise Tiller, Midwest Voices 2008 Panelist

In the business world, there are two types of managers--those who spend their time putting out "fires" and don't move forward and those who practice "fire prevention" and succeed.

Back in September, the Bush Administration told us the economy would crumble within a week if we didn't cough up $700 billion to bail out Wall Street. Those of us who asked for a bail-out plan for tax-paying consumers were ridiculed. Since then, new "fires" keep breaking out and the plan keeps changing. Now, the government tells us we need to help consumers, but their constantly shifting views don't inspire confidence.

Denise Tiller, Midwest Voices 2008 Panelist

Even before I lived in Detroit and had Michigander in-laws, I understood that the auto industry was an important factor in our economy. I truly don't understand why the Republicans are so adamantly opposed to spending $25 billion to retool the auto industry but have no problem tossing more than $125 billion to the "Mavericks" at AIG. Are they so tied to big oil that they do not want more fuel efficient cars? Are they upset that Michigan went in the Obama Column? Remember "Detroit" is here in Kansas City, and our local economy will take a big hit if plants close.

Expectations for this weekend’s economic summit in Washington are fairly low, which is realistic given the bewildering variation in financial regulation among the 20 participating nations. Among those attending will be the leaders of Britain, France, Germany, Russia and China.

Mounting financial problems at the American-owned car companies are a deep concern around the country, and particularly in manufacturing centers like Kansas City.

The Bush administration and Congress are struggling with huge economic challenges. But political leaders could certainly help calm the public — and the financial markets — if they could focus on three fundamentals:

Stay ahead of the curve, set priorities for federal assistance, and improve cooperation with each other.

Stay ahead of the curve:

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

General Motors, Chrysler and other U.S. automakers are insisting that taxpayers fork over $25 billion to their mismanaged companies.

Here's what taxpayers ought to demand and get in return.

By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist

America's about to find out whether General Motors, yet another poorly managed company that refused to change its ways, will get a government handout.

GM announced Friday it's burned through billions in cash, and analysts say the iconic company now hovers near bankruptcy.

By Lewis Diuguid, Kansas City Star Editorial Page columnist

The bailout of the corporate and banking systems in the U.S. has struck a chord of disharmony among working folks.

To many people, the aggressive government rescue efforts are grossly unfair. As this tragedy continues to unfold, everyday people are watching from the ground. They’re looking up from perches in the middle class, working poor and among homeless to financial altitudes they’ll likely never occupy.

It has been hard enough for American taxpayers to swallow a massive bailout for financial companies, even though it appears that’s necessary to avert an economic meltdown.

Millions of worried Americans, after all, are tightening their belts and, in many cases, losing their jobs. Unlike AIG executives, they won’t be visiting lavish resorts in exotic locales any time soon.

The collapse of the credit markets had many causes, but one clear problem was the flawed work of the bond-rating agencies — organizations that gave their stamp of approval to mortgage-backed securities now seen as toxic.

Denise Tiller, Midwest Voices 2008 Panelist

The nest check the government writes AIG needs to be made out to "Reality." After promising to cancel conventions and junkets, AIG executives spent $86,000 hunting partridges in England. These people just don't seem to get it. Perhaps it's time to consider a management change. The old mentality isn't working.