The Natural Law Part IV

So what is a law? Aquinas says a law is a rule made through reason for the common good by one who has care of the community. There are basically four types of law: 1) Eternal Law—which is God’s concept of things (and if you don’t believe in God go back to Part I). 2) Divine Law—what God has told us about Himself/us through the Old and New Testaments as well as through Tradition (the Church has custody of that law, especially of interpretation). 3) Natural Law which is the participation of the Eternal Law by rational human beings, people of rational nature. 4) Human Law, which is self explanatory.

Everything in existence has a nature and the ‘nature’ of the thing is built into it by the maker. A car made by GM tells you that in order for that automobile to run properly you should put gas in it not pomegranate juice. Same with a flat. You pull out the manual to find out how to change that flat tire. Now suppose that one, after looking at the manual, decides that GM is full of it. The owner can either ignore the directions or not. If he ignores those directions the car will probably not work correctly or at all for that matter especially if he puts pomegranate juice in the gas tank. But on top of that why would someone ‘resent’ GM for explaining how to maintain and run that car properly? The analogy is the same for human beings. When the remark is made “…this is my body. I can do with it what I want. There are no rules because I make the rules. And I resent anyone who tells me differently, tells me that I can’t do what I want to do. I will.” The breakdown of society begins with the breakdown of the individual and then the family. When one decides that he does not have to adhere to the natural law, he can do whatever he wills what ever and whenever as long as it’s not hurting anyone else, he is creating a situation that is not only going to lead him down the road of misery, but eventually that misery will overflow. And it will overflow first into the family and then society.

Natural law is the story of how things work. It is the cradle of reason given to us by God so that we will know how we should act to achieve our proper end. And the end? To live in perfect happiness for eternity with our Creator.

The Ten Commandments are specifications of the Natural Law. Christ said, “If you love me keep my commandments.” This is rooted in our nature. Aquinas through and with the Church has incorporated the teaching of the Natural Law into the teaching of Christ.

What can we know? And eventually how do we “know” what is wrong? St. Thomas says that you have two aspects of reason a) the speculative and b) the practical.

The object of speculative reasoning is “being”. And the first principle of the speculative reasoning is self-evident. ‘Being’ cannot be ‘non-being’. This involves the principle of contradiction. A thing cannot be and be at the same time under the same aspect. If I hold up a rock and someone says to me “that’s a pen”. No, it’s not. It’s a rock. It doesn’t write nor have any of the attributes of a pen. And no matter how many times that individual tells me or himself, at times over and over again, that the rock is a pen—does not matter. It is not a pen. Chaos does not come out of order.

Practical reasoning involves the good of something. The good is that which all things seek after. True good is that which is in accord with the nature of thing. Driving to England with that car in Part I would not be a good thing—for you or the car.

The first principle of the natural law, which is the imprint of the eternal law on rational beings, is ‘good’ is to be sought after and ‘evil’ avoided. ‘Evil’ is the absence of ‘good’. John Paul II stated many times, “Do good and avoid evil.”

We know ‘naturally’, espoused by Aquinas, that there are five basic inclinations of human nature which we know to be good: 1) seek the good and the highest good is God. 2) preserve yourself 3) preserve the species 4) live in community 5) to know and to choose.

By making ‘deductions’ from those inclinations we decide good or bad on any action. How do we know stealing is wrong? The very concept goes against community. Abortion, permanent marriage between two people other than a man and a woman, adultery, contraception all involve ‘preserving the species’. John Paul II said that same sex marriage is inherently evil. Why? Because it contradicts the Natural Law. Every January, I believe it’s the 22nd, two completely different sets of groups get together and pray for diametrically opposed reasons or beliefs. One group prays for the end of abortion. The second group prays, thanking God for the ‘right’ to abortion. Reason dictates that the two beliefs cannot be morally correct. They are in conflict. Again, diametrically opposed stances. Both cannot be right.

What is needed to be kept in mind, about the Natural Law, is between the subjective and the objective view. In stealing, is one culpable in that did he know it was wrong to steal and chose to do it anyway. Aquinas says that a specific action can be both morally right and wrong. Was the individual stealing a loaf of bread to keep from starvation? Was there no other way this person could feed himself. Stealing is in and of itself morally wrong. The action is condemned but we are never free to condemn the individual. Not our job.

Subjective culpability is rampant through our culture. Why? Because a major portion of society has either had an incorrect formation of conscience, and ignoring of conscience or a lack of will, laziness, in regards to finding truth and how it should, could and does affect conscience. Why is the Natural Law so important? It is the essential ingredient for the recovery of reason. Moral decisions should not be a question of ‘feeling’. One of the problems of society today is that individuals are ‘feeling’ that some action is correct because it doesn’t hurt anyone else and it ‘feels’ right. Conscience is not an expression of ‘feeling’ or ‘will’ but of judgment.

Do good which is the nature of the thing. A friend wouldn’t tell me to put pomegranate juice in my car in place of gasoline. It is the nature of the car to have gasoline put in it in order for it to run properly. If you are a friend then you want the best advice going to your friend. Gas vs. pomegranate juice. The same applies to abortion. Even though an individual may react by stating that it’s my body and I can do what I want with it, does not preclude the element of stating the reasons and consequences of why abortion is evil and why it should not be committed.

Freedom involves being committed to the “Truth”. If you are not committed to the “Truth” you will end up being a slave in one form or another.

A Wonderful, Holy and Merry Christmas and Happy Hanukkah

For all of you politically correct bloggers out there we want to wish you a Very Merry Christmas and a Happy Hanukkah! May the Lord's Peace, as only He can give it, be upon you, your families and your countrymen.

For you politically incorrect bloggers, family members, friends and acquaintances, my family and I wish yours also......A Very, Very, Merry Christmas and Happy Hanukkah!!!

Part IV of the Natural Law will be posted sometime in the next couple of days. God Bless.

The Management and Tim Crawley

The List Part II

One day I was sitting on the grass in the front yard of our home. My three children came up to me, plopped their little rear ends in my lap and asked, although Paddy couldn't speak at the time since he was only one, "Why did you marry Mommy?"
I thought about it for a moment before I answered Brianna who was asking the question. I looked at all three of them and answered, "I had a List".
Timmy asked, "Was it a long list, Daddy?"
"Not so long..." I answered.
"What was on the List, Dad?"
"Things I wanted in a mommy for you guys."
"Like a Santa Claus List?"
"Sort of."
"Did you send it to Santa?"
"No. It's not quite that kind of list."
"What kind of List?" asked Brianna.
"What was on it?" added Timmy.
"Well, let's see if I can remember some of the things. I knew you guys would want a mommy that was beautiful...."
"And Mommy is beautiful," added Brianna. "So you got that."
"Yes I did. In spades."
"What are spades?"
"They're in a deck of cards."
"Oh."
"And I wanted someone who could and would stay home with you...."
"God that in spades, too." Brianna, thinking herself clever, added again.
"Yes, I did. And I wanted someone who could teach you about music and how to play the piano...."
Timmy said, "Brianna has started piano. How come I can't?"
"Because you're still too little. That will come soon enough. But you know what?"
"What?" two out of the three chimed in.
"I really wanted someone who would sprinkle Fairy Dust on your cereal in the morning and help me read to you and pray with you at bed time....."
"Mmlubjhghjojddkg..." drooled Paddy.
"Exactly." I said.
"And did you get everything on the List, Daddy?"
I could feel the smile growing over my face and if I would have had a mirror at the moment I would have seen that smile curing upwards, paradoxically, probably wrapped in an enigma. And looking at my three beautiful children, I answered,
"....and a lot more...."



I have often wondered through the years what "a lot more" meant when my Mother mentioned the List so long ago. And after thirty-two years of marriage, five years of courtship (because I wanted to make sure) and three kids later, I now know what Mom meant. I did get everything on my list...and a lot more.

The List Part I

Somewhere between my fifth and sixth birthday in Manhattan Beach, California, I stuttered one day and, looking up at my mother, said,

“Mom, what did you ever see in Dad?”

“What do you mean, what did I see in Dad?”

“Why did you marry Dad?”

“I had a lot of reasons.”

“Like what?”

“Well, I had a List.”

“A List?”

“Yes, I had a List of what I wanted in a husband…a father, a friend.”

“Like a grocery List?”

“Yes, well, kind of….”

I chuckled at my first grade humor, “…no tomatoes, right?”

“No. No tomatoes.”

“Well….what was on the List?”

“Lots of things.”

“Like what?”

“I wanted someone who was handsome, musical….”

“Is Dad handsome?”

“Yes. Very.”

“Was it a long list?”

“Somewhat.”

“How long.”

“Long enough.”

“What did you do about it?”

“About the List?”

“Yeah, do you still have it?”

“No. No I don’t have it anymore. I shouldn’t say that. I still kind of have it.” She pointed towards her head.

“Did you check stuff off? You know, like you do when you put the tomatoes in the grocery basket.”

“You mean when I saw your father?”

“Yeah.”

“Sort of.”

“So what’d you do about it....the List?”

“Well, I asked God to give me what was on the List?”

“You did?”

“Yes.

“Did he answer you?”

“Are you talking about Dad or God now?”

“God. You mean God answers people?”

“Of course.”

"Like wow. Was it in a hugely loud voice?"

"No. It was more of a whisper. As a matter of fact, it wasn't even that loud."

“Did you read the List to God?”

“Yes. I went to Mass several times a week and asked God to give me what was on the List. If it was His will.”

“He really answered, huh?”

“Yes. The Lord always answers. Not always the way we’d like, but He answered.”

“And did you get everything on the List you wanted? Did God give you everything on the List?”

She smiled, a very particular and peculiar smile. One that I have never seen before or since. She said simply, “….and a lot more….”

God vs. Science

God vs. Science

'Let me explain the problem science has with religion.' The atheist professor of philosophy pauses before his class and then asks one of his new students to stand.

'You're a Christian, aren't you, son?'

'Yes sir,' the student says.

'So you believe in God?'

'Absolutely. '

'Is God good?'

'Sure! God's good.'

'Is God all-powerful? Can God do anything?'

'Yes'

'Are you good or evil?'

'The Bible says I'm evil.'

The professor grins knowingly. 'Aha! The Bible! He considers for a moment. 'Here's one for you. Let's say there's a sick person over here and you can cure him. You can do it. Would you help him? Would you try?'

'Yes sir, I would.'

'So you're good!'

'I wouldn't say that.'

'But why not say that? You'd help a sick and maimed person if you could. Most of us would if we could. But God doesn't.'

The student does not answer, so the professor continues. 'He doesn't, does he? My brother was a Christian who died of cancer, even though he prayed to Jesus to heal him. How is this Jesus good? Can you answer that one?'

The student remains silent. 'No, you can't, can you?' the professor says. He takes a sip of water from a glass on his desk to give the student time to relax. 'Let's start again, young fella. Is God good?'

'Er..yes,' the student says.

'Is Satan good?'

The student doesn't hesitate on this one. 'No.'

'Then where does Satan come from?'

The student falters. 'From God'

'That's right. God made Satan, didn't he? Tell me, son. Is there evil in this world?'

'Yes, sir..'

'Evil's everywhere, isn't it? And God did make everything, correct?'

'Yes'

'So who created evil?' The professor continued, 'If God created everything, then God created evil, since evil exists, and according to the principle that our works define who we are, then God is evil.'

Again, the student has no answer. 'Is there sickness? Immorality? Hatred? Ugliness? All these terrible things, do they exist in this world?'

The student squirms on his feet. 'Yes.'

'So who created them?'

The student does not answer again, so the professor repeats his question. 'Who created them?' There is still no answer. Suddenly the lecturer breaks away to pace in front of the classroom. The class is mesmerized. 'Tell me,' he continues onto another student. 'Do you believe in Jesus Christ, son?'

The student's voice betrays him and cracks. 'Yes, professor, I do.'

The old man stops pacing. 'Science says you have five senses you use to identify and observe the world around you. Have you ever seen Jesus?'

'No sir. I've never seen Him.'

'Then tell us if you've ever heard your Jesus?'

'No, sir, I have not..'

'Have you ever felt your Jesus, tasted your Jesus or smelt your Jesus? Have you ever had any sensory perception of Jesus Christ, or God for that matter?'

'No, sir, I'm afraid I haven't.'

'Yet you still believe in him?'

'Yes'

'According to the rules of empirical, testable, demonstrable protocol, science says your God doesn't exist. What do you say to that, son?'

'Nothing,' the student replies.. 'I only have my faith.'

'Yes, faith,' the professor repeats. 'And that is the problem science has with God. There is no evidence, only faith.'

The student stands quietly for a moment, before asking a question of His own. 'Professor, is there such thing as heat? '

Yes.

'And is there such a thing as cold?'

'Yes, son, there's cold too.'

'No sir, there isn't.'

The professor turns to face the student, obviously interested. The room suddenly becomes very quiet. The student begins to explain. ' You can have lots of heat, even more heat, super-heat, mega-heat, unlimited heat, white heat, a little heat or no heat, but we don't have anything called 'cold'. We can hit d own to 458 degrees below zero, which is no heat, but we can't go any further after that. There is no such thing as cold; otherwise we would be able to go colder than the lowest -458 degrees. Every body or object is susceptible to study when it has or transmits energy, and heat is what makes a body or matter have or transmit energy. Absolute zero (-458 F) is the total absence of heat. You see, sir, cold is only a word we use to describe the absence of heat. We cannot measure cold. Heat we can measure in thermal units because heat is energy. Cold Is not the opposite of heat, sir, just the absence of it.'

Silence across the room. A pen drops somewhere in the classroom, sounding like a hammer.

'What about darkness, professor. Is there such a thing as darkness?'

'Yes,' the professor replies without hesitation. 'What is night if it isn't darkness?'

'You're wrong again, sir. Darkness is not something; it is the absence of something. You can have low light, normal light, bright light, flashing light, but if you have no light constantly you have nothing and it's called darkness, isn't it? That's the meaning we use to define the word. In reality, darkness isn't. If it were, you would be able to make darkness darker, wouldn't you?'

The professor begins to smile at the student in front of him. This will be a good semester. 'So what point are you making, young man?'

'Yes, professor. My point is, your philosophical premise is flawed to start with, and so your conclusion must also be flawed.'

The professor's face cannot hide his surprise this time. 'Flawed? Can you explain how?'

'You are working on the premise of duality,' the student explains. 'You argue that there is life and then there's death; a good God and a bad God. You are viewing the concept of God as something finite, something we can measure. Sir, science can't even explain a thought.' 'It uses electricity and magnetism, but has never seen, much less fully understood either one. To view death as the opposite of life is to be ignorant of the fact that death cannot exist as a substantive thing. Death is not the opposite of life, just the absence of it.' 'Now tell me, professor. Do you teach your students that they evolved from a monkey?'

'If you are referring to the natural evolutionary process, young man, yes, of course I do.'

'Have you ever observed evolution with your own eyes, sir?'

The professor begins to shake his head, still smiling, as he realizes where the argument is going. A very good semester, indeed.

'Since no one has ever observed the process of evolution at work and cannot even prove that this process is an on-going endeavor, are you not teaching your opinion, sir? Are you now not a scientist, but a preacher?'

The class is in uproar. The student remains silent until the commotion has subsided. 'To continue the point you were making earlier to the other student, let me give you an example of what I mean.' The student looks around the room. 'Is there anyone in the class who has ever seen the professor's brain?' The class breaks out into laughter. 'Is there anyone here who has ever heard the professor's brain, felt the professor's brain, touched or smelt the professor's brain? No one appears to have done so. So, according to the established rules of empirical, stable, demonstrable protocol, science says that you have no brain, with all due respect, sir.' 'So if science says you have no brain, how can we trust your lectures, sir?'

Now the room is silent. The professor just stares at the student, his face unreadable. Finally, after what seems an eternity, the old man answers. 'I Guess you'll have to take them on faith.'

'Now, you accept that there is faith, and, in fact, faith exists with life,' the student continues. 'Now, sir, is there such a thing as evil?' Now uncertain, the professor responds, 'Of course, there is. We see it everyday. It is in the daily example of man's inhumanity to man. It is in the multitude of crime and violence everywhere in the world. These manifestations are nothing else but evil.'

To this the student replied, 'Evil does not exist sir, or at least it does not exist unto itself. Evil is simply the absence of God. It is just like darkness and cold, a word that man has created to describe the absence of God. God did not create evil. Evil is the result of what happens when man does not have God's love present in his heart. It's like the cold that comes when there is no heat or the darkness that comes when there is no light.'

The professor sat down.



If you read it all the way through and had a smile on your face when you finished, mail to your friends and family with the title 'God vs. Science'

PS: the student was Albert Einstein

Albert Einstein wrote a book titled God vs. Science in 1921.


Noone can change truth.
Saint Maxmillian Kolbe

The Natural Law Part III

An example of where all three, Secularism, Individualism, and Relativism have come together is in the most important of human endeavors, procreation. Here are a few observations in relationship to the Natural Law.

Procreative contraception was never considered objectively valid, in other words, objectively morally right, by any Christian sect until 1930. What contraception does is separates the unitive from the procreative elements of sex. It gives man, pejoratively speaking, the attributes of becoming his own “god”. How? By giving him the ability to determine when “a life is or is not worth living”. Contraception frustrates the total self donation that is supposed to characterize the conjugal act, and for that matter, marriage. People separate themselves through contraception in a time when the purpose should be to unify. I will give up myself except for my fertility, or my goods (pre-nup), or in my case my 1970 VW Bus. Sex is reserved for marriage. Remember that metaphorical automobile manual? Sex, very simply, is reserved for marriage because of babies. Marriage is permanent because sex has something to do with babies. Why is it that any noted psychologist or psychiatrist talks about the incredible value of the nuclear family, a father, mother, and child? In relationship to each other? Is it because each component needs the other to ‘function properly’, both in respect to the present as well as the future? Is the family not the basic building block of all societies? Security, selflessness, the feeling of self worth, of being valuable, and ultimately loved is that “oil” which allows not only that unit to function properly but also directs each person within that unit towards happiness, peace and growth as an individual. Is not society a reflection of that nuclear unit? When we have over a fifty percent divorce rate in this country are there not effects that can obviously be seen from perpetuating divorce, of having children out of wedlock, absentee fathers, mothers that don’t understand how to be a mother? Because their mother did not understand how to be a mother? It is a perpetuating philosophy and system that spirals downward and ultimately out of control. And from that society becomes broken, sometimes irreparably.

Epistemology is the science of knowing. Descartes said that the only thing a person can know is his own idea. Aquinas, on the other hand, said that an idea is by which we know the outside world. All knowledge comes through the senses. Aquinas also wrote that the intellect has an active and passive component but the second aspect of intellect is judgment. Judgment is based on information received by the senses.

Descartes entire philosophy rests on relativism. If one can only know one’s own idea, then everything, everyone else’s thoughts, ideas, processes are relative. They can be acquired or dismissed subjectively and totally based on one’s own ideas. There is no objective truth.

The first act of the intellect is the act of forming the idea. The second is judgment. The third is reasoning. The Natural Law is part of the recovery of reason. John Paul II said, and he stole it from Aquinas (and Aquinas stole it basically from Socrates, Plato and Aristotle---something about “there is nothing new under the son”), that in order for man to ascend to truth he has two wings to fly on—one being reason, the other faith. Is the Natural Law objective truth? Is there a “nature” to human beings? The Natural Law is the story of how things work—including human beings. And where do we get the natural law? From the Law Giver.

An Open Letter in response to Archbishop Quinn

An Open letter to Archbishop Quinn

You Eminence:

I read your letter of August 31, 2009 which was intended originally for the National Conference of Catholic Bishops. You were correct in your opening statement which was intended for the June meeting of the American Bishops in that you said, “The right to life is a paramount and pre-eminent moral issue of our time.” All social justice stems from the right to life, for if you do not have ‘life’ you have nothing else—including social justice.

You are also correct in that there is no disagreement “…within this conference about the moral evil of abortion, it’s assault upon the dignity of the human person, or the moral imperative of enacting laws that prohibit abortion in American society”. But your folly begins to ascend when you make the statement “The bishops’ voice has been most credible in the cause of life when we have addressed this issue (abortion) as witnesses and teachers of a great moral tradition, and not as actors in the political arena.” You continue that folly with the statement, “…Republican candidates are, in general, more supportive of the church’s position on abortion and euthanasia, while Democratic candidates are generally stronger advocates for the Catholic vision on issues of poverty and world peace.” Why are those statements folly? First, because you, whether you believe it or not, want to or not, become “actors” in the political arena. By stating publicly with clarity why abortion is evil you are considered to be those ‘actors’ by every group from NARAL to Planned Parenthood to the Gay and Lesbian Alliance. When you don’t state the truth with clarity, or you mask it completely, for whatever reason, you become shells, ‘actors’, for the faithful. Words do mean something. And by making the statement that the “Democratic candidates are generally stronger advocates for the Catholic vision on issues of poverty and world peace,” you make a mockery of truth, reason, logic, the Natural Law and self-sacrifice. I’m not a Republican nor a Democrat. I find both parties lacking in so many respects. But if you’re going to make generalizations such as these then you need to be reminded of history. Speaking of social justice it was the GOP headed by Lincoln that ended slavery. Not the Democrats. Of world peace, it was a Democrat who was in power at the beginning and during the First World War, the Second World War, the Korean War and Vietnam. It was a Republican who ended Vietnam. Hoover, FDR and Truman, the latter two being Democrats, who shipped more illegal immigrants out of this country than any other president. LBJ began the war on poverty in 1963 and the per capita for poverty has increased, according to the Heritage Foundation, consistently at the hands of government even after billions of tax money has been thrown at the “problem”. It is the National Democratic Party that has a platform of death, not just abortion, but in Oregon, euthanasia; the Republicans have a party platform of protecting life. The general philosophy for helping the poor and the downtrodden from the Republican perspective is to stimulate economic growth so that people can work—those who wish to work. For those who do not for legitimate reasons, need to be taken care of by people from a basis of subsidiarity, which as you know has been a Catholic philosophy for over a hundred and fifty years. When the government takes from those who produce, i.e. taxes, in order to fund what ‘they’ wish, they are stealing. There is not a whit of concern for that individual. The concern of this secular government, of all governments for that matter, is growing itself in power at the expense of freedom, of individual responsibility, and most importantly, Charity—the ability for the individual to choose ‘Charity’ as part of his or her commitment to Christ. Forced ‘charity’ is not charity at all. I can’t tell you how many times I have heard before or after Mass that an individual is not giving to a particular charitable cause because the government is now doing that for them. Your Eminence, if you want to build a socially just and charitable society, you must build it from the ground up, not the top down. Christ did not begin with Caesar. In an instance, it seems to me, that’s exactly what you are proposing and calling for.

Why are you even concerned about how people perceive you? You need to speak the ‘truth’. Your comment “The bishops are believed to communicate that for all the promise the Obama administration has on issues of health care, immigration reform, global poverty and war and peace, the leadership of the church in the United States has strategically tilted in favor of an ongoing alliance with the Republican Party. A sign of this stance is seen to be the adoption of a policy of confrontation rather than a policy of engagement with the Obama administration.” My question to you, your Eminence, is would you have had a policy of engagement with Pol Pot, Hitler, Stalin, Kim Jong Il, knowing what you know about them now? Well, you do know what Obama’s philosophy is on abortion—as being the most radical of any president to take the Oval Office. But what about closer to home? Nancy Pelosi claiming to be a Catholic and claiming that she knows the Church’s teaching on abortion because she’s read Augustine? Or Biden, or Dodd, or especially Kennedy? HHS Secretary, Kathleen Sebelius, a Catholic, who is radically for abortion including what is called infanticide and whose candidacy for governor was supported by the only late term abortionist in the country? There is no transcendency with evil, your Eminence. You speak the ‘truth’ and you will suffer for it. By merely speaking the truth you will draw confrontation to you.

When you make the statement, “The approach of the Holy See might justly be characterized as a policy of cordiality” you don’t even know your own history. Before Benedict became Pope he was Cardinal Ratzinger and called for any individual in office who considered to be supporting the ‘right’ to abortion to be refused the Sacrament of Communion. Other than outright ex-communication that’s about as confrontational as it gets.

You place all forms and formats of irrationality within your scope. You equate what went on at Notre Dame, your quote, “….the spirited condemnation of the president’s visit and degree at Notre Dame last May have reinforced for many African-American Catholics those feelings of hurt and alienation. It is not that African-American Catholics do not understand that the church must oppose abortion, or that they themselves personally believe that the bishops are acting out of racist motivations. It is rather that when the church embraces a new level of confrontation when an African-American is involved, this readily raises widespread questions about our racial sensitivity. And these questions will only continue to be raised more forcefully if we continue to walk down the path of confrontation with this administration.” more important than proclaiming the ‘truth’ that over forty million pre-born children have died since 1973.
I suggest to you strongly that by making statements or insinuating that racial sensitivity is more important than speaking the ‘truth’ boldly only alienates and confuses the ‘faithful’, those who are truly trying to follow the Magesterium of the Church. The Church today has less credibility than ever because of the sexual scandals it has wrought on itself. Your American Catholic Bishops, with their continuation of taking not only the government’s money but also that of the Church’s faithful to support operations like Acorn just adds to the lack of trust. And when you make such erroneous statements, as you have done throughout your piece, I cry for Pilgrim Church.

As St. Francis of Assisi did, although this writer is of no comparison with that great Saint, with a priest he had gently chastised several hundred years ago, I too will gladly kneel and kiss your ring and hands. For your hands still hold the power to change simple bread and wine into the Body and Blood, Soul and Divinity, of our Lord Christ Jesus.

Essay/Letter from Archbishop Quinn

The Public Duty Of Bishops Lessons from the storm in South BendJohn_F. . Quinn I AUGUST 31, 2009the cover of America, the Catholic magazineditors’ note: Archbishop Quinn prepared these observations for consideration at the June meeting of the American bishops. Circumstances did not make that possible at the time. He has submitted them to America as a contribution to the debate on the role of bishops in dealing with public issues.The right to life is a paramount and pre-eminent moral issue of our time. The Catholic bishops have borne a consistent and prophetic witness to the truth that all other rights are anchored in the right to life. When Roe v. Wade was handed down in 1973. this conference was nearly alone among institutional voices pointing out the defects and dangers of this decision and calling for its reversal.Our witness to the sanctity of human life cannot diminish and our effort cannot cease. We must continue to enlist new vehicles of communication to highlight the grave moral evil inherent in abortion. We have to design effective and imaginative strategies to help people see that the choice for life is the most compassionate choice, And we have to speak with courtesy and clarity about why the protection of the unborn is a requirement of human rights and not their diminishment.There is no disagreement within this conference about the moral evil of abortion, its assault upon the dignity of the human person, or the moral imperative of enacting laws that prohibit abortion in American society.But there is deep and troubled disagreement among us on the issue of how we as bishops should witness concerning this most searing and volatile issue in American public life. And this disagreement has now become a serious and increasing impediment to our ability to teach effectively in our own community and in the wider American society.The bishops’ voice has been most credible in the cause of life when we have addressed this issue as witnesses and teachers of a great moral tradition, and not as actors in the political arena. Coming out of the Catholic moral tradition, this conference has defended human life in the context of the pursuit of justice, covering the whole continuum of life from its beginning in the mother’s womb to its natural end. The Second Vatican Council rightly described abortion and infanticide as “unspeakable crimes.” But the council did not stop there. In a coherent moral logic, the council exhorted bishops to be faithful to their duty of teaching and witnessing concerning “the most serious questions concerning the ownership, increase, and just distribution of material goods, peace and war, and brotherly relations among all countries” (“Decree on the Pastoral Office of Bishops in the Church,” No. 12). The more recent “Doctrinal Note on Some Questions Regarding the Participation of Catholics in Political Lifl proposes an equally broad spectrum of concerns. This consistent focus over nearly 50 years, as well as the teaching of the popes, including Pope Benedict XVI, underline that neither the bishop nor the Catholic Church can confine itself to one single issue of concern in human society, If we proclaim that the right to life is necessary for the exercise of all other rights, then we must also address and defend those other rights as well. Consequently, the Catholic Church brings to the defense of life and the pursuit of justice in this world the vision of faith and a living hope that transcends the limitations of what can be accomplished in this world. This comprehensive and transcendent vision must provide the benchmark in weighing proposed pathways through the thicket of public policy choices that confront us. This traditional benchmark provides a challenge to us bishops today in evaluating our future approach to those who disagree with us on issues of fundamental importance.The dilemma that confronts us today is whether the church’s vision is best realized on the issue of abortion by focusing our witness on the clear moral teaching about abortion and public law, or whether it is preferable or obligatory to add to that teaching role the additional role of directly sanctioning public officials through sustained, personally focused criticism, the denial of honors or even excommunication.This dilemma has troubled us for many years now, but it has been crystallized in thc controversy over the decision of the University of Notre Dame to award an honorary degree in May of this year to the president of the United States This is the first time in the history of this conference that a large number of bishops of the United States have publicly condemned honoring a sitting president, and this condemnation has further ramifications due to the fact that this president is the first African-American to hold that high office.False MessagesThe case for sanctioning President Obama by declaring him ineligible to receive a Catholic university degree is rooted in a powerful truth: The president has supported virtually every proposed legal right to abortion in his public career, and abortion constitutes the pre-eminent moral issue in American government toda.Notwithstanding this fact, the case against a strategy of such sanctions and personal condemnations is rooted in a more fundamental truth: Such a strategy of condemnation undermines thc church’s transcendent role in the American political order. For the Obama controversy, in concert with a series of candidate-related condemnations during the 2008 election, has communicated several false and unintended messages to much of American society. There are four such messages that call for our serious consideration today.I. The message that the Catholic bishops of the United States function as partisan political actors in American life. The great tragedy of American politics from a Catholic perspective is that party structures in the United States bisect the social teachings of the church, thus making it impossible for most citizens to identify and vote for a candidate who adequately embraces the spectrum of Catholic teaching on the common good. For instance, Republican candidates are, in general, more supportive of the church’s position on abortion and euthanasia, while Democratic candidates are generally stronger advocates for the Catholic vision on issues of poverty and world peace. For most of our history, the American bishops have assiduously sought to avoid being identified with either political party and have made a conscious effort to be seen as transcending party considerations in the formulation of their teachings. The condemnation of President Obama and the wider policy shift that represents signal to many thoughtful persons that the bishops have now come down firmly on the Republican side in American politics. The bishops are believed to communicate that for all the promise the Obama administration has on issues of health care, immigration reform, global poverty and war and peace, the leadership of the church in the United States has strategically tilted in favor of an ongoing alliance with the Republican Party. A sign of this stance is seen to be the adoption of a policy of confrontation rather than a policy of engagement with the Obama administration.Such a message is alienating to many in the Catholic community, especially those among the poor and the marginalized who feel that they do not have supportive representation within the Republican Party. The perception of partisanship on the part of the church is disturbing to many Catholics given the charge of Gaudium c Spes that the church must transcend every political structure and cannot sacrifice that transcendence, and the perception of transcendence, no matter how important the cause.2. The message that the bishops are rari/j’ing the “culture war mentality, which corrodes debate both in American politics and in the internal life of the church. Both poles of the American political spectrum see our society as enmeshed in a culture var over the issues of abortion, marriage, immigration rights and the death penalty. In such a war, they argue, the demonization of alternative viewpoints and of opposing leaders is not merely acceptable, but required. More intense tactics and language are automatically seen as more effective, as necessary and more in keeping with the importance of the issues being debated. The “culture war mentality” has also seeped into the life of the church, distorting the debate on vital issues and leading to campaigns against bishops for their efforts to proclaim the Gospel with charity’ rather than with affiagonism.The movement toward sanctions against public officials will be seen as ratil this trajectory in our political, cultural and ecelesial lil Whatever our intention may be, the acceptance and employment of a strategy that deliberately moves beyond teaching and pointing up the moral dimensions of public issues to labeling those with whom we disagree, will inevitably embolden those who dc-Christianize our public debate both within and outside the church.3. The message that the bishops are effective l ind rent to all grave evils other than abortion. Perhaps the most difficult task we face, as teachers on the moral dimensions of public policy in the United States today, is emphasizing the pre-emiiiencc of abortion as a moral issue while defending a holistic view oh’ the rights intrinsic to the deftnse of the dignity of the human person. This task of balancing arises not only in the formulation of our policy statements, but also in the steps we as bishops take to achieve justice in the political order. The pathway of sanctions and personal condemnation will open every bishop to the charge that if we do not use the tactic of sanctions and condemnations on issues such as war and peace or global poverty, we are tacitly relegating those issues to a level of unimportance. And it would indeed be difficult to explain how it is appropriate for a Catholic university to honor those who authorize torture or initiate an unjust war or cut assistance to the world’s poor. To assert on the one hand that the tactics of sanction and personal condemnation are legitimate tools for episcopal action in the public order. while on the other hand refusing to employ those tactics for any issue other than abortion will only deepen the suspicions of those in American society who believe that we bishops of the church in the United States are myopic in our approach to Catholic social teaching.4. The message that the bishops are insensitive to the heritage and the continuing existence of racism in America. The election of Senator Barack Obama as President of the United States in November 2008 was a unique and signal moment in the history of racial solidarity in the United States. L’Osservatore Romano compared it to the fall of the Berlin Wall. All over the world the election was hailed as ushering in a new chapter in the rejection of racial stereotypes and the enhancement of international relations. America Magazine - The Public Duty Of Bishops Page 4 of 4Yet here in the United States, there has been the perception that we bishops did not grasp the immense significance of the moment. African-American priests, religious and lay persons have related that they felt they had to mute their jubilation at the election of an African-American president, and that we bishops did not share their jubilation. Some have expressed deep hurt over this, precisely because they respect the bishops and they love the church.Added to this, the spirited condemnation of the president’s visit and degree at Notre Dame last May have reinforced for many African-American Catholics those feelings of hurt and alienation. It is not that African-American Catholics do not understand that the church must oppose abortion, or that they themselves personally believe that the bishops are acting out of racist motivations. It is rather that when the church embraces a new level of confrontation when an African-American is involved, this readily raises widespread qucstions about our racial sensitivity. And these questions will only continue to be raised more brccfully if we continue to walk down the path of confrontation with this administration,A Policy of CordialityAs we confront the admittedly difficult task of balancing the need to uphold the sanctity of human life while avoiding the enormously destructive consequences of the strategy of sanction and condemnation, we bishops could profitably look to the example of the l-loly See, which wrestles with these same complex issues of integrity of witness. fidelity to truth, civility in discourse, and political, national and racial sensitivities evcry day.The approach of the l-loL See might justly be characterized as a policy of cordiality. It proceeds from the conviction that the integrity of Catholic teaching can never be sacrificed. It reflects a deep desire to enshrine comity at the center of public discourse and relations with public officials. It is willing to speak the truth directly to earthly power.Yet the I-Iolv See shows great reluctance to publicly personalize disagreements with public officials on elements of church teaching. And the approach of the Holy See consistently favors engagement over confrontation. As Pope John Paul II put it, “The goal of the Church is to make of the adversary a brother.”These principles of cordiality will not make our task as bishops in the public square an easy one. But they do provide the best anchor for insuring that our actions and statements remain faithful to the comprehensive and transcendent mission of the church, our ultimate mandate. Much of this is summed up in the council’s decree on bishops, C’hristus Dotninus (No. 13):The Church has to be on speaking terms with the human society in which it lives. It is therefore the duty of bishops especially to make an approach to people. seeking and promoline dialog with them. If truth is constantly to be accompanied by charity and understanding by love, in such salutary discussions they should present their positions in clear language, unagrcssiveiy and diplomatically. Likewise they should show prudence combined with confidence, for this is what brings about union of minds by encouraging friendship.

The Natural Law Part II

The Natural Law Part II November 4, 2009


What is the Natural Law? Again, according to Webster, the definition is, “rules of conduct supposedly inherent in the relations between human beings and discoverable by reason; law based upon man’s innate moral sense”. This is our ‘owner’s operating manual’ which was spoken of in the previous essay.

How do we know that humanity has known this from the beginning? Beyond the knowledge of Plato, Socrates and Aristotle writing about the Natural Law there are certain elements of all society and all cultures that adhere to this ‘Natural Law’. Through reason, again, we know that for everything created, there is a creator. Through man’s experience and reason we also know that everything created has a purpose and a function. That function can either work properly or not depending on the adherence to our ‘owner’s manual’, the Natural Law.

Within the past couple of decades or so several new and never seen before societies were discovered in both South America and in the Pacific (This harks back to that Stan Freeberg gag about Columbus showing up on the beach, meeting an Indian chief and telling the chief that he, Christopher Columbus, had discovered him. The chief, a little indignant retorted, ‘what you mean you discover us?…we discover you. ‘How’s that Chief? asked Columbus. ‘….well, we discovered you on beach here. It’s all how you look at it.). These small villages of people were living by a code. Surprising to the sociologists and anthropologists was the factor that each of these small communities were living by what we would consider a moral set of rules, a sort of universal code including the ‘commandment’ of no murder, no stealing, and interestingly enough a contract of marriage. None of these peoples had had any contact previously with the outside world.

What does this mean? That there is a ‘code’ that is somehow imprinted in our very being, that dictates to us, unlike anything in the remainder of the animal kingdom, a sense of ‘rightness’ and ‘wrongness’? Do we now have an implosion going on where society can no longer recognize this ‘moral code’, a confusion of what is ‘right’ and what is ‘wrong’ within community? Is there no longer an objective understanding of what is truth? Are we somehow today different then times past and suffering under the yoke of ‘moral relativism? And if so where did this philosophy and process come from and is it correct? What has happened to society, the world’s as well as ours, and why?

The breakdown of handing on morality from one generation to the next in regards to the modern era really had its beginnings in the Enlightenment Period of world history. We can trace the beginnings of relativism, secularism and individualism from the end of that period or the 18th century.

Secularism is that ‘ism’ which states there is no Creator, no God, no eternal being or ‘first cause’ according to Aquinas. Going back to the original essay in this series, every effect has a cause. This is self evident. I have encountered people who have argued that there was a time of absolute ‘nothingness’ in space and time. The response to that, through reason, is if there was a time of absolutely nothing then there could never be anything. Something cannot come from nothing.

Relativism purports that all things are relative; that you can’t know anything positively, that there is no objective truth or at least no way to come to objective truth. From there we come to, and more to our point, the concept of legal positivism which states since no one can know what objectively or ultimately is right or wrong then any law which is enacted is valid. Based on this assumption Hans Kelsen put forth the idea that then justice is an irrational ideal. It’s irrational because, according to him, justice cannot be known objectively. In other words, there is no ‘objective truth’. With this concept every two bit dictator, fascist, or group or law making body is correct in whatever law he, she or they put on the books and therefore the pseudo validity and the rise of Nazi Germany, Pol Pot, Stalin, Lenin, the Politburo, Il Duce, Nancy Pelosi, etc.

The “ism” that is probably at the apex of the three or at least equal to the other two, in regards to the current generation, is Individualism. There is and has been a social philosophy, and in some ways a political philosophy, which makes the statement, mythical though it is, that the state of nature of all individuals is isolation, autonomous. Ultimately these individuals magically, somehow, come together to form a/the state. But in his/her very essence the human being is by nature, singular. Both Locke and Hobbes, in support of this philosophy, adhere to that by forming the concept that the state derives its authority horizontally, i.e. from individuals coming together and agreeing that they have the power as individuals to form a state. The problem that arises is obvious. What happens if one of the individuals does not agree to that state at some time or place? Doesn’t agree to the state’s principles? Wants out? Does he or she go form another state just as valid? Marriage, in this case, is a microcosm of that political state. If he doesn’t put the cap back on the toothpaste in the morning, is there validity enough for her to separate and go back to her original state of being—of that a singular entity? So the individual, with all power being derived from that individual, has no relationship other than what he/she “consents to” and therefore any relationship can be ended at the whims of the individual. The individual becomes his/her own god. Contrast that to Christ’s statement to Pilate, “…you have no authority, other than what has been given you….” The authority is vertical now and with many different consequences and implications.

An Observation on Government 11/2/2009

"Do not blame Caesar, blame the people of Rome who have so enthusiastically acclaimed and adored him and rejoiced in their loss of freedom and danced in his path and gave him triumphal processions. ... Blame the people who hail him when he speaks in the Forum of the 'new, wonderful good society' which shall now be Rome's, interpreted to mean 'more money, more ease, more security, more living fatly at the expense of the industrious.'" --Roman statesman Marcus Tullius Cicero (106-43 B.C.)

October 28 2009

October 18, 2009

The culture of not only this country but of the world begs for commentary based on reason. The problems, the confusion, and to some degree the metaphorical darkness that enfolds this world is a result of man not adhering to the design he was created for, which is to search for and adhere to truth. All ills of this world can be attributed to either the non recognition of “truth” or the rebellion against “truth”.

So then, the age old question raises its head again, ‘what is truth?’ How do we come to truth? Can everyone have ‘the’ truth? Is truth objective? Can each person have his or her own individual truth? According to Webster ‘truth’ is defined as ‘fact or reality’; ‘that which is’.

We are creatures of an environment. With being creatures and being created there must be a plausible or reasonable assumption that we have a creator. There is nothing in man’s experience that dictates otherwise. From the fountain pen, to the automobile, to the most esoteric of thoughts—there is a creator of each of these entities. So also with reason we can deduce, being creatures of a material world, that we have a creator. Each of these elements, the pen, the auto, a thought not only has a creator but also a purpose; the pen to write, the automobile to carry and travel, and Einstein’s Theory of Relativity to explain the cosmos and how it works through physics. What they all have in common is a creator and a purpose. These are ‘truths’ based on reason. One could say about the pen that it is a crow bar. Yet the pen will not work as a crowbar in prying or lifting a heavy load from a floor. No matter how many times an individual repeats the mantra that the pen is a crow bar or how many times an individual is told it is a crow bar or how many times an individual attempts using that pen as a crowbar—the pen will not work as nor is a crow bar. Pens do not fulfill that purpose because they were not designed for that purpose, were not created for that purpose. Is it the complete truth? No. But neither is it the complete truth that all pens are fountain pens; all automobiles are Hondas and all esoteric thoughts come from Einstein. There is a fullness of ‘truth’ which we will get into much later in our discussion.

Let’s take the automobile. The creator is Honda, or more specifically, a number of engineers. They created this marvel of engineering to take an individual or group of individuals from point ‘a’ to point ‘b’. It has an ‘owner’s manual’—usually in the glove compartment. That owner’s manual directs whoever owns the car on how it runs, what makes it run and how to keep it running properly. One would think that the creator of this automobile would know this information and for a variety of reasons would want the owner to know as well. Now Sam, who owns the automobile, normally would want to read the ‘owner’s manual in order to maintain and keep his car operating. Sam wants to find out the ‘truth’ in regards to changing the oil or what kind of gas he should put in the gas tank so that his car will operate properly and keep operating properly. But for a moment, let’s assume that he doesn’t want to find out from the manual what the ‘truth’ is in regards to keeping his auto running well (rebellion against truth). Sam goes to his neighbor. Now his neighbor, Joe, is from New York City. He’s never owned a car; has had no interest in anything mechanical, and could care less how they work because he always takes public transportation. Sam asks Joe, what he thinks he should put in the crankcase. Joe responds with ‘molasses’ (ignorance of truth). The motivation is irrelevant. The knowledge and advice is false. Sam doesn’t know it but when he gets home and puts molasses in the crank case because of his friends advice, starts the engine, and takes it out on the road, it will not be very long before the automobile will break down, not run any longer and could be irreparably damaged. Joe didn’t do this out of spite necessarily but from lack of knowledge and care. Even more so, Sam took it upon himself to inquire or get advice from someone who, at the very least, is incompetent, making himself partially responsible for the eventual breakdown of his car.

We, this wonderfully, ‘well knit’ creation of humanity that populates this world, have the same things metaphorically happening to us today, as with that automobile. We also have been created with an ‘owner’s manual’. And it has been with us since the beginning of time. We can see society today and its disintegration. It’s happening before our very eyes because we as individuals as well as collectively are trying to follow a manual that wasn’t produced by the entity that created us. Instead, society looks towards the media, the entertainment industry, Oprah, the secular and agnostic fathers of pop culture for answers, life styles, for thought processes, for perfect marriages, how to consistently be happy--to all of these elements as being in or should be in our ‘owner’s manual’. And the results? Marriages have over a fifty percent divorce rate; abortion is now numbering in the forty plus million; there are two states in the union that sanction suicide; a drug war declared by the government back in the Nixon era that has spent untold billions of dollars and yet the problem not only has not receded but in actuality has accelerated; a separation and attempted elimination of classes; forced redistribution of wealth; and the list goes on. Notice that the previous sentence involves nothing but death and destruction. Why? We don’t have to look back through the history of this world and see what has happened to humanity—it’s happening right before our very eyes. And it’s happening because of our almost total disregard of ‘our owner’s manual’. From Rome to present day society—there is nothing new under the sun. One can track historically the rise and fall of world cultures and societies when they disregard this ‘owner’s manual’. It’s not pretty.

But we really do have an ‘owner’s manual’. And because we are creations our creator has imbedded this ‘owners manual’ in our ‘glove compartment’--our soul, our very being, cross societal, cross cultural.

It’s called the Natural Law.

Financial News October 15, 2009

Consumer Prices in U.S. Increased at Slower Pace in September2009-10-15 12:30:01.146 GMTBy Timothy R. Homan Oct. 15 (Bloomberg) -- The cost of living in the U.S. rose at a slower pace in September, showing inflation will not be a threat as the economy emerges from the worst recession since the Great Depression. The 0.2 percent gain in the consumer-price index followed a 0.4 percent increase in August, as forecast, figures from the Labor Department showed today in Washington. Excluding food and energy costs, the so-called core index also climbed 0.2 percent, more than anticipated and pushed up by health care and a rebound in auto prices. Rents dropped for the first time in 17 years. The worst economic slump since the 1930s has left unemployment at a 26-year high and record levels of homes sitting vacant, signaling companies and landlords will hold the line on prices in coming months. The lack of inflation may give the upper hand to the Federal Reserve policy makers who’ve said the central back can keep interest rates low for a long time. “Substantial excess capacity in the economy has dampened the pricing power of retailers,” Steven Wood, president of Insight Economics LLC in Danville, California, said before the report. “Accelerating inflation has retreated as a significant near-term concern but there are also fewer fears of deflation,”or a protracted decline in prices. Economists forecast consumer prices would rise 0.2 percent, according to the median of 79 projections in a Bloomberg News survey. Estimates ranged from a decline of 0.2 percent to a gain of 0.5 percent.To contact the reporter on this story:Timothy R. Homan in Washington at +1-202-624-1961 or thoman1@bloomberg.netTo contact the editor responsible for this story:Chris Anstey at +1-202-624-1972 or canstey@bloomberg.net New York Empire Factory Index Surges to Highest Since 20042009-10-15 12:30:01.0 GMTBy Bob Willis Oct. 15 (Bloomberg) -- Manufacturing in the New York region expanded in October for a third straight month, reinforcing signs that factories are helping pull the economy out of the worst recession in seven decades. The Federal Reserve Bank of New York’s general economic index soared to 34.6, the highest since mid-2004, from 18.9 in September, the bank said today, marking the first time the measure has shown expansion for at least three months since a period ending in January 2008. Readings above zero for the Empire State index signal manufacturing is growing. Government stimulus measures such as highway repairs and an auto trade-in program, record inventory cutbacks that set the stage for renewed production and a revival in overseas demand are helping factories expand again.Stabilization in manufacturing is one reason economists estimate that growth resumed last quarter. “The worst is over for the factory sector and the worst is over for the economy,” Michael Gregory, a senior economist at BMO Capital Markets in Toronto, said before the report. “Exports will increasingly be providing support to that sector. They’re at expansionary levels and that’s the key.” Economists forecast the Empire manufacturing gauge would drop to 17.3, according to the median of 50 estimates in a Bloomberg News survey. Projections ranged from 12 to 22.1. Manufacturers account for 6 percent of New York’s $1.1 trillion economy.To contact the reporter on this story:Bob Willis in Washington at +1-202-624-1837 or bwillis@bloomberg.netTo contact the editor responsible for this story:Christopher Wellisz at +1-202-624-1862, or cwellisz@bloomberg.net U.S. Initial Jobless Claims Fall to Lowest Level Since January2009-10-15 12:30:00.787 GMTBy Courtney Schlisserman and Timothy R. Homan Oct. 15 (Bloomberg) -- The number of Americans filing first-time claims for unemployment benefits dropped last week to the lowest level in nine months, indicating the improving economy is leading to a slowdown in firings. Applications fell by 10,000 to 514,000 in the week ended Oct. 10, lower than forecast, from a revised 524,000 the week before, Labor Department data showed today in Washington. The total number of people collecting unemployment insurance also decreased. Fewer dismissals don’t mean that companies will boost hiring, signaling the jobless rate is likely to keep climbing in the early stages of the economic rebound. Mounting joblessness is among reasons Federal Reserve policy makers, who project the recovery will be “restrained,” are likely to keep interest rates low for months to come. “What we expect for the most part is the downward trend to continue,” Maxwell Clarke, chief U.S. economist at IDEAglobal in New York, said before the report. “We will probably have more sustained growth in the labor market starting in early 2010. From there we will find a peak in the unemployment rate and ultimately create jobs.” Claims were forecast to fall to 520,000 from the 521,000 originally reported for the previous week, according to the median of 41 economists’ forecasts in a Bloomberg News survey.Estimates ranged from 490,000 to 550,000.To contact the reporters on this story:Courtney Schlisserman in Washington at +1-202-624-1943 or cschlisserma@bloomberg.netTimothy R. Homan in Washington at +1-202-624-1961 or thoman1@bloomberg.netTo contact the editor responsible for this story:Christopher Wellisz at +1-202-624-1862 or cwellisz@bloomberg.net Heard on the street... Corrective: Trade is pulling back better from the lower levels with the Philly Fed helping boost prices in a roundabout way. The market is also getting some corrective action as weak shorts get dragged out, with the curve out of joint. The once steeply steepening 2-10-yr yield spread has flipped back to flatter mode as the market reassesses its direction. The move to DJ 10K is being viewed as mostly spin, with the jump, even on a closing basis, being ephemeral, or as one long time player noted "a wanna-be. Feel good" moment.

Mortgage News

U.S. MBA Mortgage Applications Index Fell 1.8 Percent Last Week2009-10-14 11:00:03.0 GMTBy Courtney Schlisserman Oct. 14 (Bloomberg) -- Mortgage applications in the U.S. fell last week from the highest level in four months as borrowing costs increased. The Mortgage Bankers Association’s index of applications to purchase a home or refinance a loan declined by 1.8 percent to 742.9 in the week ended Oct. 9 from 756.3 a week earlier.The group’s gauge of purchases dropped 5 percent and its measure of refinancing decreased 0.1 percent. The index has jumped 52 percent over the last year as government efforts to bring down interest rates and on unclog credit have contributed to gains in sales. Economists are counting on stabilization in housing to help the economy recover from the worst recession since the 1930s. “We’ve seen bottom overall in terms of residential construction and home sales,” Scott Brown, chief economist at Raymond James & Associates Inc. in St. Petersburg, Florida, said before the report. “It’s going to be a long road back though.” The mortgage bankers’ purchase index decreased to 290.9 from 306.1 last week, the highest level since January, today’s report showed. The refinancing gauge fell to 3,374.6 from 3,377.1, the highest level since May. The share of applicants seeking to refinance loans rose to 67.4 percent of all applications from 66.3 percent.To contact the reporter on this story:Courtney Schlisserman in Washington at +1-202-624-1943 or cschlisserma@bloomberg.netTo contact the editor responsible for this story:

Current fiscal news Reply

By Matthew Brown and Wes Goodman Oct. 13 (Bloomberg) -- Treasuries rose for the first time in three days as investors bet the Federal Reserve will keep interest rates at an all-time low until late next year and the central bank prepared to buy securities. Ten-year notes led the gains after holidays in the U.S. and Japan. Fed Bank of St. Louis President James Bullard said yesterday that a falling unemployment rate is a precondition for an increase in the target interest rate from near zero. Treasuries fell last week after Fed Chairman Ben S. Bernanke said policy makers will tighten monetary policy once the economic outlook improves. “People are rethinking the negative spin on Bernanke’s comments of last week as there’s been no comments from the Fed saying they are thinking of raising rates sooner rather than later,” said Charles Diebel, head of European rate strategy at Nomura International Plc in London. “Treasury futures rose yesterday, so there is catch-up in the cash market today.” The yield on the benchmark 10-year note fell 3 basis points to 3.35 percent as of 7:12 a.m. in New York, according to BGCantor Market Data. The 3.625 percent security due August 2019 increased 9/32, or $2.81 per $1,000 face amount, to 102 10/32. Trading of Treasuries was closed yesterday in the U.S., Japan and London, because of a public holiday in North America. U.S. 10-year note futures expiring in December rose 0.2 percent yesterday, and were little changed at 118 19/32 today. The Fed will hold off raising interest rates until the third quarter of 2010 as the recovery is likely to be too weak to lift employment and incomes, according to a September survey of 57 economists by Bloomberg News. Futures on the Chicago Board of Trade show a 61 percent likelihood that the central bank will increase the target rate from the current range of zero to 0.25 percent by April.

Goldman Downgrade
Goldman Sachs Group Inc., the biggest U.S. securities firm before converting to a bank last year, was cut to “neutral” by Meredith Whitney today, after the stock rose 34 percent since she upgraded the company to a “buy” recommendation on July 13. New York-based Whitney, who correctly predicted in 2007 that Citigroup Inc. would cut its dividend, said on Sept. 10 that Goldman Sachs “still has a lot of gas in its tank.” The Fed is scheduled to purchase notes due from May 2016 to August 2019 today. The Fed has purchased $294.064 billion of U.S. debt since March under a $300 billion program scheduled to end this month. “You want to see the economy start to recover in all its dimensions, output and trade” before raising rates, Bullard said in a Bloomberg Radio interview in St. Louis. “We do have some of those turning around now.”

Jobless Rate
The jobless rate rose to a 26-year high last month of 9.8 percent, the Labor Department said on Oct. 2. Retail sales in the U.S. probably fell in September as auto showrooms sat empty after the “cash for clunkers” program expired, economists said ahead of the Commerce Department report tomorrow. Purchases dropped 2.1 percent after rising 2.7 percent in August, according to the median forecast of 72 economists surveyed by Bloomberg News. Other reports this week may show inflation and factory production cooled last month, according to Bloomberg surveys. The financial crisis started with the collapse of the U.S. property market in 2007 and has triggered $1.62 trillion of writedowns and credit losses at banks and other institutions, according to data compiled by Bloomberg.

Inflation Surge
Now investors are preparing for another potential crisis: a surge in the cost of living spurred by the $11.6 trillion the Federal Reserve and the government has lent, spent or guaranteed to shore up the economy and the financial system. BlackRock Inc., Pacific Investment Management Co. and Vanguard Group Inc., which together manage $3.45 trillion, say investors are pouring money into inflation-linked debt even as consumer prices post the longest series of contractions since Dwight D. Eisenhower was president in 1955. “Investors are really taking the long view and trying to hedge inflation risk,” said Mihir Worah, who oversees the $15.4 billion Real Return Fund for Newport Beach, California-based Pimco, the world’s biggest bond manager. “That’s the biggest reason why we’re seeing the flows.” Treasury Inflation Protected Securities, or TIPS, have gained 7.9 percent this year, according to Merrill Lynch & Co. indexes, while Treasuries overall lost 2.8 percent. That’s the biggest outperformance since the U.S. first issued TIPS in 1997.

Cheap TIPS
Bernanke said at a Board of Governors conference Oct. 8 in Washington that while “accommodative policies” will be in place for an extended period, the central bank will be prepared to tighten monetary policy “to prevent the emergence of an inflation problem down the road.” TIPS remain cheap by historical measures. The difference in yield between 10-year TIPS and 10-year notes is 1.85 percentage points, compared with an average of 2.18 over the past five years. A survey of investors by Ried, Thunberg & Co. shows fund managers turned more bearish on Treasuries. The company’s index measuring the outlook through the end of 2009 fell to 45 for the seven days ended Oct. 9 from 46 the week before. A figure below 50 shows investors expect prices to fall. The company, based in Jersey City, New Jersey, interviewed 21 fund managers controlling $1.54 trillion. *T Related News and Information: Bond yield forecasts: {BYFC } World bond markets: {WB } Credit market watch: {CMW } Sovereign debt monitor: {SOVR } Credit crunch page: {WWCC } Short-term liquidity {SLIQ } Bonds for sale: {PREL } *T --With assistance from Steve Matthews in Oklahoma City and Kathleen Hays and Daniel Kruger in New York. Editors: David Clarke, Peter Branton.

Today's financial news and commentary

In the markets, yesterday was a relatively quiet day. Rates are still low, and the stock market improved somewhat, which tends to make the US populace feel a little better about things. In fact, in spite of the profit margins, interest rates for 30-year fixed-rate mortgages are near last May’s levels. And 15-yr rates, where interestingly enough the principal portion of the early payments is about half of the total P&I, are the lowest in decades. So these rates, combined with the potential end of the $8,000 tax credit and some great pricing, are certainly helping to stabilize home sales. New home sales are the highest they’ve been in a year, and inventories are the lowest they’ve been in decades. One cloud on the horizon, as it always is, is this week's Treasury auction. Or, put another way, with the supply this week don’t look for a big drop in rates unless the stock markets continue their downward path, which may be unlikely. Yesterday we had $7 billion of 10-yr TIPS, today we have $39 billion of 3-yr notes, tomorrow $20 billion of 10-yr, and on Thursday $12 billion of 30-yr. bonds. Without much other news, we find the 10-yr currently yielding 3.24% and mortgage security prices about unchanged.

Well, in a nutshell there you have it. So what's the guess? My guess is buy real estate. Or maybe gold. Or maybe currencies of emerging countries such as China or India. Whatever you do, the dollar is fading. The government needs to shore it up by quit printing and spending money that we don't have. But that's just my opinion. Washington will probably extend, to some degree, the $8,000 tax credit for first time home buyers. Also, there maybe a new "cash for clunkers" in the works as well. But be careful. That money is taxable.

Economic report

Headline News and Market Report“Bond Market News and Perspective for Mortgage Professionals”Wednesday, 9/30/09Click on link for more information The MBA Weekly Mortgage Applications Survey: The Market Composite Index down 2.8%, The Refinance Index -0.8%, and the Purchase Index -6.2%. The refinance share of all activity increased to 65.3% of total apps, and the ARM share of activity decreased to 6.2%. The average 30 yr rate decreased to 4.94% from 4.97%, and the average 15 yr rate decreased to 4.34% from 4.41 percent, the lowest 15-year fixed-rate ever recorded in the survey. The average rate for one-year ARMs decreased to 6.40% from 6.52%. ADP Employment Report: U.S. Lost 254,000 Private-Sector Jobs in September, a greater loss than the 240,000 drop projected by economists. The estimated change of employment from July to August was revised from a decline of 298,000 to a decline of 277,000. The ADP survey tallies only private-sector jobs, while the Bureau of Labor Statistics' nonfarm payroll data, to be released Friday, include government workers. Expectations for the BLS to report due Friday are for September job cuts totaling 175,000, down from 216,000 jobs lost in August. However, the ADP survey, along with other worse-than-expected data, suggests some economists may raise their estimate of job losses before Friday's number. The September unemployment rate is projected to rise to 9.8% from 9.7% in August.Gross Domestic Product decreased 0.7% in 2Q 2010, revised from the earlier estimated 1.0% drop because business spending in the quarter wasn't as weak as initially thought. The 0.7% decline in GDP 2Q10 was softer than in the darkest days of the slump, when GDP plunged 5.4% in fourth-quarter 2008 and 6.4% in first-quarter 2009. Consumer Spending, the biggest component of GDP, decreased 0.9%, compared to the previously estimated 1.0% drop and the first quarter's 0.6% decrease. The GDP component that includes spending on housing decreased 23.3%, compared to the previously estimated 22.8% tumble and the first quarter's 38.2% drop.Chicago Purchasing Managers’ Index Unexpectedly Fell to 46.1 in September, weaker than consensus estimates of 52, and a fall back to levels indicating contraction after the index hit 50.0 in August. Any reading below 50 indicates contraction. The new orders index backtracked to 46.3% from 52.5% in August. The employment index was essentially unchanged at 38.8%.Treasuries Little Changed After a Slew of Numbers. Soft PMI Data Lift Treasurys after earlier selling on a better-than-expected gross domestic product for the 2Q. Philadelphia Fed President Charles Plosser said the central bank should tighten credit “promptly” when necessary to avert a recurrence of the high U.S. inflation during the 1970s. “Our credibility depends on it,” Plosser said yesterday in a speech “We recognize the costs that significantly higher inflation and the ensuing loss of credibility will impose on the economy if we fail to act promptly, and perhaps aggressively, when the time comes to do so.” Futures on the Chicago Board of Trade show a 2 percent chance the Fed will raise its target rate for overnight lending between banks to 0.5 percent by its meeting on Dec. 16. Central banks around the world are showing signs of moving towards exiting from their extraordinary measures as the shortage of credit eases. The IMF has raised its forecast for global economic growth next year to 3.1% from 2.5%. The Treasury will announce tomorrow plans to sell $39 billion in three-year notes, $20 billion in 10-year notes, $12 billion in 30-year bonds and $7 billion of 10-year TIPS next week.Mixed Data Show Fragility of Recovery. Home prices rose in July, but apprehension among consumers and chief executives underscored the fragility of the nation's economic recovery.


Everyone might want to think about this one. The recovery, if there is going to be one, is going to be shallow at best.

TC