Some Interest Rate Perspective

When I was home from college for Christmas vacation in December 1980, these were some of the business statistics our country faced, compared with the statistics at the close of trading today. Granted, I am looking at only three statistics and I am cherry picking the ones that, to me, paint a picture that is certainly not as dire as the mainstream media would have us believe; yet, I am tickled pink that my credit card interest rate isn’t calculated off the older prime rate.

1980
Dow Jones Index (December 31, 1980)*: 963.99
Prime Rate**: 21.50%
Average mortgage interest rate***: 14.95%

2008
Dow Jones Index: 8852.22
Prime Rate**: 4.50%
VA mortgage rate (30 year) @ my local credit union: 5.75%

Here is something else I found interesting. A look at the history of the prime rate in America reveals that 1980 was a pretty depressing year. Just look at these numbers from a table on the Wall Street Journal prime rate page. Between September and December 1980, the prime rate increased 10.00%, with more than six points of that increase coming in the last eight weeks of that period:

August 27, 1980 11.50%

September 8, 1980 12.00%
Septmeber 12, 1980 12.25%
September 19. 2008 12.50%
September 26, 1980 13.00%
1.50-point increase. Minimum increase 0.25%.

October 1, 1980 13.50%
October 17, 1980 14.00%
October 29, 1980 14.50%
1.50-point increase. Minimum increase 0.50%.

November 6, 1980 15.50%
November 17, 1980 16.25%
November 21, 1980 17.00%
November 26, 1980 17.75%
3.25-point increase. Minimum increase 0.75%.

December 2, 1980 18.50%
December 5, 1980 19.00%
December 10, 1980 20.00%
December 16, 1980 21.00%
December 19, 1980 21.50%
3.25-point increase. Minimum increase 0.50%

Just imagine if you had a credit card whose interest rate was calculated at prime + 3%. In 1980, the interest rate on that credit card could have changed from 14.50% to 24.50% from Labor Day to Christmas. Talk about putting the brakes on spending.

So, how do you feel about the current financial crisis now?

*Dow Jones Industrial Average History
**Prime Rate History
***Mortgage Rates Slides to 17.54%

Cat on the Roof!

This morning, just before lunch, Katherine the Great came in the back door announcing that the neighbor’s cat was on our roof. I didn’t believe her at first because:

1) I have never seen a cat on the roof of a house, and
2) I couldn’t reason out how a cat could get on the roof of our house, seeing as we have no trees or poles or ladders that could afford access to the higher heights of our abode.

What kind of cat climbs onto a roof? The kind that curiosity kills? Well, this furry black maniac lived to see another day. She was rescued by my daughter and a very sturdy ladder.

Nothing like a little excitement in your day.

Making History

Tonight (10/10/08), my daughter had the tremendous privilege of participating in an historical first: the premier of an opera at the Ivoryton Playhouse in Ivoryton, Connecticut. Built in 1908, the facility originally served as a recreation hall for employees of the Comstock-Cheney factory. By 1930, the building had become a theater, opening operations with a Broadway play called “Broken Dishes.”

The theater gained in prestige to the point that invitations to work there were highly prized in the theater profession. Its reputation grew nationally and Paramount Pictures produced a short film showing its complete operation.

- snip –

Ivoryton’s fame as one of Americas leading summer showplaces continued to grow until the outbreak of World War II when the theater went dark for several seasons, mainly because severe tire and gasoline rationing made it virtually impossible for audiences to get to Ivoryton.

The Playhouse reopened after the war, hosting an array of well-known stars that included the likes of Marlon Brando, Art Carney, Talullah Bankhead, Helen Hayes, Betty Grable, Groucho Marx, June Lockhart, Gloria Vanderbilt, Kitty Carlisle, Don Ameche, John Forsythe, June Allison, Alan Alda, and Treat Williams (just to name a few). It continued to operate successfully until the late 1970’s when the owner, Ken Krezel, decided to sell the property.

It was then, amid rumors that the historic theater might be torn down to make way for a discount drug store that the non-profit Ivoryton Playhouse Foundation was organized and with the help of The Essex Savings Bank, came up with a mortgage to buy the property…for $115,000.

Over the course of the past 28 years, the Ivoryton Playhouse Foundation has completed a total renovation of the building, including new shingles, a new heating and air-conditioning system, new seats and state-of-the-art theatrical sound and lighting systems. The Playhouse has maintained its reputation as a first-class summer theatre and now produces a year-round professional season of musicals, comedies and dramas.

...as well as opera; kudos to The Salt Marsh Opera Company for adding such a distinction to an already important historical venue for the arts in America. Congratulations on a job well done!

All quotes in this article are from the website of the Ivoryton Playhouse.

Another Sad Driving Tale

Several weeks ago, my girlfriend was involved in an auto accident in the parking lot of a nearby medical center. The incident was not her fault; it was determined to be the fault of the teenage driver who plowed into the rear quarter panel of the van my friend was driving. The force of the impact broke the tire on my friend’s vehicle and bent the rear axel to the point where the entire assembly had to be replaced. Despite this extensive damage, my friend (being the compassionate mom that she is) consoled the young lady while the police collected information at the scene. Fortunately, everyone was ok.

Sadly, this morning (10/8/08) the news was not so encouraging. Yesterday afternoon, this same teenager was involved in another accident…and this time she had two friends in the car. Our local newspaper is reporting that the young lady lost control of the Volkswagen Jetta she was driving, hitting a pickup truck being driven by a gentleman from Rhode Island. He is ok, treated and released from a nearby hospital (Lawrence & Memorial) after suffering a leg injury. The driver didn’t fare so well. She is currently in stable condition at Hartford Hospital after being transported there by Life Star helicopter. Her passengers remain hospitalized as well, one of them at Yale-New Haven; the other at William Backus Hospital in Norwich, CT. The accident continues to be investigated.

Let us pray for everyone involved in this mishap, for speedy recovery, and for timely resolution of the legalities that inevitably seem to follow these things.

Landmark Day

Amid the hustle and bustle associated with the end of my daughter’s opera internship, I didn’t want this headline to pass without recognition:

Same-Sex Marriage OK’d by State Supreme Court

Despite widely differing personal opinions regarding same-sex marriage, no one can deny the importance of this decision to the debate about whether the act of marriage belongs exclusively to a man and a woman, or whether civil unions are sufficient. My view falls in the latter camp, but that is not the point of this entry. I merely wanted to recognize the moment and to provide some information about the possible fallout here in my state of residence, as evidenced by this headline:

Ruling Spawns Movement to Revisit Connecticut Constitution

It was interesting for me (and for my daughter) to hear a personal reaction to this legislation, given by a younger gentleman who is working on the opera. He was thrilled that the case was decided in the affirmative; many of my acquaintances were not. I am waiting to see if the case ends here, even though the first article I referenced stated that no possibility exists for federal appeal.

Connecticut is now the third state in the union to recognize same-sex marriage. The other states to sanction this practice are Massachusetts and California.

Down Again!

It is 4:00 PM and the market just closed. Dow Jones: 9447.11.

Big losers
- Bank of America: -8.06 or -25.01%
- Morgan Stanley: -5.49 or -23.36%

Some perspective
Dow Jones closing on December 31, 1980 (the year I graduated from high school): 963.99

Happy Birthday, Chloe!

I didn't have a card for you, nor did I buy a gift. Instead, I give you this. Have a wonderful day.

Tight Credit? Better Lending Behavior?

This morning, after breakfast, I went through the Monday mail and found, to my astonishment, a credit card offer --- for my daughter! It is her first such offer. So, amongst all the talk of tightening up lending standards, my eighteen-year-old who is still in high school and has no income to speak of (and, therefore, no conceivable way to pay for any charges that my be placed on the card), received an invitation to apply for a Platinum MasterCard®. So much for a higher standard of behavior in the credit market.

NOW Opinion Poll

NOW on PBS has posted an opinion poll that asks:

Do you think Sarah Palin is qualified to serve as Vice President of the United States?

Follow this link to vote. The website also has some election-related videos. If you have time, check them out.

Another One Bites the Dust?

Up here in the Northeast, Connecticut is surrounded by states that rigorously regulate home education: New York, Massachusetts, Rhode Island, and (a bit further away) Pennsylvania. New Jersey is actually one of our allies, so to speak, having a similar statute under which their families homeschool.* That is (possibly), until this week. A New Jersey assemblywoman and her fellow assemblyman introduced Assembly Bill No. 3123, an act that requires the registration and oversight of home education programs. To say that this bill may dramatically alter the homeschooling landscape in New Jersey is an understatement. What remains to be seen is if Connecticut will follow suit. Let’s hope not!

So what is New Jersey proposing?

1. That parents register their children in a homeschool program. Such registration will be accomplished via a notarized letter that includes:

- evidence that required subjects will be offered
- an outline of education objectives by subject
- evidence of immunization
- evidence of age-appropriate health/medical care
- certification that the education supervisor, all adults living in the home, and any person having legal custody of the children have not been convicted of specific criminal offenses within the preceding five years.

2. That each student shall receive 180 days of instruction per year in the subject areas determined by the education supervisor.

3. That guidelines for home education programs will be developed by the Commissioner of Education.

4. That parents may request use of public school textbooks, curriculum, etc.

5. That homeschooled students may have access to public school extracurricular activities provided the students meet all participation/tryout criteria and comply with all policies, rules, and regulations of the organizations governing the activities.

6. That the education supervisor will maintain a portfolio of work for each student enrolled in a homeschool program, including:

- a list of reading materials, samples of writing, worksheets, etc.
- standardized test results for students in grades three, five, and eight
- an annual written evaluation of student progress as determined by a qualified evaluator.

7. That a portfolio of student work will be submitted to the local school district annually by the education supervisor. If the superintendent of the local school district suspects that education is not occurring, he may request an early portfolio review. In such cases, the supervisor of the homeschool program has thirty days to respond. If the supervisor fails to comply, the home education program will be declared unsatisfactory and the children will be placed in a public or private school.

8. That the superintendent of the local school district has the authority to declare a home education program unsatisfactory. Upon such declaration, the supervisor of the program must be notified in writing. He has twenty days to respond by submitting additional portfolio documentation.

9. That in the case of a request for additional portfolio documentation, the home education program will declared unsatisfactory if the education supervisor fails to submit additional information. If the program is declared unsatisfactory, the children will be placed in a public or private school. If additional documentation is submitted, the superintendent will review it. If the home education program is still considered unsatisfactory, the local school board will hold a hearing on the matter and issue a determination. If the school board finds the program lacking as well, the children will be placed in a public or private school.

My biggest problem with this legislative proposal? It removes the parent as the “education supervisor.” I am not exactly sure who the New Jersey assemblyfolk plan to put in this position, but it isn’t the parent. Observe in section six:

b. for students in grade levels three, five, and eight, the results of nationally normed standardized achievement test in reading/language arts and mathematics administered by the supervisor…The test administrator shall not be the student’s parent or guardian.

c. an annual written evaluation of the student’s educational progress as determined by a qualified evaluator…The evaluator shall not be the supervisor or his spouse or the student’s parent or guardian.

If homeschooling isn’t done by the parent, then is it truly homeschooling? The nature of home education isn’t merely that it occurs in a location outside the brick and mortar walls of a public or private educational institution. The nature of home education is that it nurtures and strengthens the bonds of family relationships through the process of teaching and learning. Through the close mentor relationship that is established between parent and child, excellence is achieved. Taking the parent out of the picture by assigning, for example, some public school official to the position of “education supervisor” succeeds in transforming the homeschool into nothing more than a public school satellite program. I can’t think of a better way to quash the innovation that is so badly needed in education today. Can you?

* Every parent, guardian or other person having custody and control of a child between six and 16 shall cause such child regularly to attend the public schools of the district or a day school in which there is given instruction equivalent to that provided in the public schools for children of similar grades and attainments or to receive equivalent instruction elsewhere than at school.

Opening Night

Tonight was opening night of Lucia di Lammermoor. After two months of music memorization, four weeks of rehearsals, and three weeks of dance lessons, it was time to put it all to the test. How did it go? At the moment, I cannot answer that question. At the moment, I am sitting in the Tim Horton’s donut shop across the parking lot from the George Kent Performance Hall waiting for the first offering to conclude. I arrived here at 9:30 pm, figuring the production would finish around 10:00 pm. That expectation was just dashed by the lighting designer who snuck over for a latte. He informed me that the performance runs until 11:00 pm.

And so, I wait.

Note: At the request of Katherine the Great, I did not attend this evening’s performance. She was concerned that having a parent in the audience would make her nervous. I will be attending the Sunday night show with some of our homeschooling friends.

Cue Up the Jeopardy Music

Forty-five minutes late, the House is now voting on the bailout bill. Speaker Pelosi had some closing comments, which I won’t reiterate. Michelle Malkin blogged the discussion session this morning. You can read her entry here. I despise the bill and all the “sweeteners,” but I don’t know as I like the idea of risking the lack of confidence and downright fear that may result from waiting. I suppose I owe that reaction to my liberal economics training. This is a vote between many bad choices. If it flies, I will be dogging my Congressman to scrutinize every provision for possible reversals or improvements. I am also going to pay off my credit card!

The vote is in:
Yea 263
Nay 171

4:15 PM...The market is now closed. DOWN 157.47. This morning, before the vote, the market was up over 200 points. Yup. That bailout really helped.

Less Than 100 Days!!!

As you will see by the date below, I started this entry several days ago. Being busy with homeschool coursework and the support of Katherine the Great in her opera internship, I haven't had time to write. Now that I am sitting in my car outside the local dance studio, I thought I would finish this off and get it posted.

Today (9/16/08) marks exactly 100 days until Christmas. Given that the United States is coping with the aftermath of Hurricane Ike and the fallout from yesterday's financial news (the collapse of Lehman Brothers), I am guessing that most Americans haven't thought about the holidays yet. I have...and so has my young friend, Alexia, who works at a local restaurant. We both purchased our first Christmas gifts this week. I wasn't planning to start my holiday shopping this early, but one of the regulars on my gift list let slip the smallest of clues about something she wanted and would never expect to receive. Fortunately, the item was available online for a reasonable price, so I bought it and had it shipped to the house. It is already labeled and queued up for wrapping in the storage box at the end of my bed.. This year, I have decided to wrap my gifts as they arrive/are purchased in an effort to avoid that mad rush of wrapping toward the end when I would rather be baking or enjoying the company of family and friends.

Later...OK. So, obviously, I wrote that before the proposed bailout of AIG (American International Group). I am now thinking that many Americans, rather than not thinking about Christmas at all because it is too early, may actually be looking ahead to Christmas with a feeling of apprehension. I know I am beginning to consider a scale back plan, one that is a bit more radical than my original scale-back plan. One tool that is helping in this area: the Family Values Worksheet. Check it out at OrganizedChristmas.com. Here are some of my answers (see below). I also started working on a Master Gift List to see where I can conserve on my holiday gift-giving.

So, what you are doing to prepare for the holidays?
----------------------------

What went well for your family last year?

I would say that the positives for Christmas 2007 were
- the early completion of gift shopping
- the financial ability to give generously to our friends and family members
- timely shipping of distance gifts to Florida and Minnesota family and friends
- an easy Christmas meal that was delicious and prepared ahead, especially breakfast
- my success at getting the Advent wreath set up, even though I was unable to stay on track with daily devotions

What stresses did your family face? Were there too many activities on the calendar?

Stressors during Christmas 2007:
- Hubby traveled for work until the week before Christmas
- we put up and decorated the Christmas tree very late
- some in the household had minor illnesses that slowed our holiday preparations a bit
- we had an extremely full calendar of music performances

While the latter did add more stress than most families endure during an average holiday season, what with a cantata at church and four or five handbell concerts, the rewards of celebrating with many different people in many different venues are well worth the effort.

Was your family spiritually invigorated by the holiday celebration? Did you participate in appropriate worship, service, or giving activities?

This is a difficult question to answer for the other members of my family; however, I can answer if for myself. I felt spiritually renewed. Kate and I did some Advent devotionals at home and the entire family attended Christmas Eve service for a cantata (Kate was performing). I did a short Crossways International Bible study on the "real" story of Christmas. It was great because I learned a lot about some of the Middle Eastern traditions, etc. that are not generally understood in the "traditional" Christmas story as told in America.

As for our giving, we donated to Samaritan's Purse by making an Operation Christmas Child shoebox.

What would you have done differently last year?

I would have done the same thing I should have done every year --- decluttered my house!!! That said, I also would have:
- picked up the Christmas tree a few days earlier
- done more holiday cookie baking ahead of time
- done more freezer meals ahead of time
- purchased a small chest freezer to hold the "do ahead" food
- actually written Christmas cards and sent them (which I haven't done for several years)
- made more of a point to get together for dinner with friends (which depends on my house being decluttered)

If we could only do three things to celebrate Christmas, what would they be?

Mom:
- tree tagging & decorating
- gift giving (small scale, if necessary)
- Advent devotionals

Daughter:
- tree tagging & decorating
- gift giving
- Christmas menu item: baked eggs

More Exciting Opera News

My daughter had her second opera rehearsal last night, plus her first reception. She met the principals, those individuals who are singing the major parts, and she was fitted for her costume, a beautiful hunter green dress from the Metropolitan Opera costume department. I won’t even attempt to describe it here, as I was not privileged to see it. However, Katherine the Great says it looks like what I would typically think of as a “medieval” dress: it has leg-o-mutton sleeves, the square neckline, and a Tudor-era headband-style headdress to complete the ensemble. Needless to say, she is psyched! I can’t wait to see her in it. Now all she needs are some shoes and a necklace. Maybe I should ask Grandma. She used to do costuming for the college theater in her younger days. She might have some interesting ideas as to how we can pull off some accessories. Hmmm....

Life around here gets more interesting by the minute.

When Is a Candidate Ready?

This morning, I was watching some election coverage when one of the commentators mentioned that he didn’t think Sarah Palin was ready to be President if, God forbid, anything happened to John McCain. I have heard folks say this about Barack Obama too. Considering that many people do not want a “Washington insider” to lead the country, a label that implies all kinds of experience working in Washington, D.C., my question for discussion is this:

What exactly makes an individual ready to be President?

The Constitution enumerates these qualifications in Article II, Section 1:

- must be a natural born citizen
- must be at least 35 years old
- must have lived in the United States for 14 years

Any ideas? Thanks for your input.

McCain campaign website
Obama campaign website

The Internship Has Begun

Last spring, Katherine the Great (who had only taken voice lessons for about seven months at the time) was offered an internship with a local opera company, singing as a chorus member. She filed the required paperwork in August and, yesterday, had an orientation meeting with the lady who takes care of the administrative tasks. Thirty minutes later, costume measurement sheet and rehearsal schedule in hand, her internship had officially begun. On the way home, I asked her how she was doing with the music. Current status: the first chorus piece is down cold. She sang part of it for me. Do you know who cool it is to have your Subaru filled with “live” opera music? I still have to pinch myself that my child has such a great voice. It truly astounds me. Best of all, I had nothing to do with it. It is totally her!

Catching the Bus

It is 6:45 AM and it is the first day of school for the 2008-2009 academic year. The bus that transports students to the local high school is about to stop a quarter-mile from my house. Thankfully, the school district scheduled two stops; one is a short walk in a northerly direction (6:52 AM); the other is a short walk in a southerly direction (6:50 AM). The distance is the same, regardless.

Do I know the whereabouts of my high school student? Yep. She is in bed! Oh no, she has exactly five minutes to catch the bus! Argh!!! What am I going to do? Well, because classes at the local high school don’t actually begin until 7:30 AM, I am not too worried. I am also not worried because I don’t need to be. You see, my family homeschools and the school year at “Home Education Academy” doesn’t begin until next week; and when classes do get up and running around here, the plan is to hit the math books about the same time the local kids hit the bus so my student can leave for three hours of organ and piano practice at a church 15-20 minutes from my house.

So, you see, the student who lives here still has to catch the bus. It is just that the bus looks more like a kitchen table (or a Subaru). I love homeschooling!

Fortune Cookies

Been away for awhile decluttering my house and preparing for yet another year of homeschooling. Tonight, my husband grabbed Chinese food for dinner and, as usual, the restaurant tossed in those fortune cookies. Now, I am not a believer in fortune telling, but I do wonder about the history of the practice of including fortune cookies with a meal. If anyone has information about that, I would love to hear more. In the meantime, here are the King family fortunes for tonight:

Don't take life too seriously. Laugh and smile at it once in a while.

No bird soars too high if he soars with his own wings.

Education is what survives when what has been learnt has been forgotten.

Courtesy is contagious.

Find any interesting tidbits in your Chinese food lately?

Now My Air Conditioner is Dead

Have you ever experienced one of those months where everything (or almost everything) you own seems to break? A while back it was my laptop computer. Then it was the two Firewire external hard drive enclosures that my husband purchased in an attempt to rescue the hard drive from the deceased laptop. Today, it was the air conditioner...on one of the most humid and uncomfortable days of summer thus far. Ugh!

Since my sinuses abhor humidity and his euthyroid state dislikes heat, it didn’t take long to study the available Internet dirt on the latest air conditioners. A little reading and we were off to Bernie's for a look-see. Nope; that air conditioner was too expensive, even with the Connecticut “Turn in Your Air Conditioner” rebate. Next up: Lowe’s; that air conditioner was the wrong model. Finally, Home Depot; that air conditioner was just right, so Papa Bear and I bought it before Goldilocks could say, “Maybe you should shop around a bit.” One gross, sticky afternoon later and the house is back at 70°F. Praise the Lord!

If civilization ever implodes, I am in big trouble because I am way too dependent on air conditioning. Stay cool.

Avoir, Steak & Ale

My girlfriend from Florida (2ravenhairedbeauties) informed me yesterday that the Bennigans restaurant in her area closed abruptly. I have no Bennigans in my area so I was unaware if the chain was struggling financially. Apparently, they were. As of a few days ago, all the company-owned Bennigans stores closed, as did all of the company-owned Steak & Ale restaurants. The Houston Chronicle had this to say:

... MetroMedia Restaurant Group confirmed that its subsidiary, S&A Restaurant Corp., had filed for Chapter 7 bankruptcy liquidation. All corporate locations of its well-known storefronts, including Bennigans, Steak & Ale, and Tavern, will be shuttered for good.

- snip –

MetroMedia will continue to operate its Ponderosa and Bonanza steakhouses, the company said in a statement.

Strangely enough, I lost my local Ponderosa many years ago. It is now a Japanese restaurant.

To read more, click here.