Principal reduction would help the problem

To the editor:

In your Aug. 13 editorial, you claimed that Fannie and Freddie regulator Ed DeMarco made the correct call in denying principal reduction for thousands of Nevada homeowners. Both the editorial and Mr. DeMarco have missed the mark on a few key points.

Principal reduction has the support of dozens of economists from across the political spectrum and is a tool that a growing number of servicers and investors are implementing. Why? Being underwater is the No. 1 predictor of default, and as a result restructuring debt saves homes and assets. Remember that 70 percent of the economy is tied to consumer spending - imagine the growth of the Nevada economy if our families (the real job creators) were freed of the underwater portion of their mortgage payments!

As for protecting the taxpayers who bailed out Fannie and Freddie, principal reduction has been estimated to save taxpayers $1 billion, while keeping families in their homes. Now homeowners may seek short sales, which still reduces the property value while destroying a family's American Dream.

Mr. DeMarco is not just saying no to this critical program. He is saying "no" to economic recovery, "no" to taxpayers, and "no" to homeowners, families and neighborhoods. Given the circumstances, he has said "no" to executing the basic responsibilities of his job, too, and we should all join together to say "no" to Mr. DeMarco and demand that President Obama replace him.

Howard Watts III

Las Vegas

Warming and snow

To the editor:

In his recent letter, Marc Jeric claims that snow in South Africa is contra-factual to global warming. Actually it is exactly what one would expect from global warming.

Global warming means that the warming takes place all over the globe. That means that the oceans are warmer. If the oceans are warmer, then there will be more water in the atmosphere. The average low for Pretoria in the winter is about 40 degrees. The record low is about 25 degrees. Obviously there will be many days when the temperatures are down around freezing for an extended period of time. Pretoria is actually just a bit warmer than Las Vegas. It is mostly desert and at an elevation of 4,500 feet. If there is more water going into the atmosphere because the oceans are warmer, that water must still come down.

If the water comes down in the winter when temperatures are below freezing, then it will come down as snow.

It is often below freezing in Pretoria. This takes place during the dry season. The dry season is now less dry. It is less dry because there is more water in the atmosphere. This water has to come down somewhere. So, in fact, global warming often means more snow in the winter.

For places that get a lot of snow, it may mean less snow and more rain. An example is the western United States where warmer climate means shorter winters. Though individual snowstorms may be more severe. (Remember global warming means more water in the atmosphere, which means that when it does snow, you will often get more of it.)

Doug Nusbaum

Las Vegas

Romney's rate

To the editor:

In response to The Associated Press article, "Romney: I've paid taxes," in Friday's Review-Journal:

The article mistakenly states that "Mitt Romney declared Thursday that he has paid at least 13 percent of his income in federal taxes every year for the past decade." But Mr. Romney has never used the term "federal taxes" when he has proclaimed to have paid taxes. The taxes he refers to could be any type of taxes. Property tax, sales tax, public utility tax.

Let's just get it straight. Mr. Romney has probably paid at least 13 percent in taxes, but that does not mean he is forthright about what type of taxes he has paid and what loopholes he has used to avoid federal taxes. We have a right to know what his philosophy is about paying federal taxes. Loopholes are legal. Fine, but let's define what's fair for everyone.

Paying 13 percent in taxes is a far cry from what the majority of working Americans have to pay - whether it's federal, state or otherwise. As workers we all pay a higher rate.

Alex Fekete

Laughlin