magicJack - Make unlimited local and domestic long-distance calls for $40/year.

Power companies have historically made more money by selling more power. But increasingly there's a move to do the reverse: some states are now rewarding their local power companies for getting people to use less energy. The Baltimore Sun reports that Maryland is now the fourth state to set it up so that power companies actually make more when their customers reduce their energy consumption. Clark believes there's a real need to do this in all 50 states. However, California, Idaho and New York are the only other states that have done anything about it so far. California has come a long way when you look at its power companies. Earlier this decade, power companies in the Golden State conspired to cheat customers by creating a false shortage of power and driving up the prices. So individuals and businesses there started fighting the rising costs by conserving. To this day, Californians still use far less power per person than the rest of us. But as a whole, Americans use six to seven times more energy per person than the citizens of other developed countries. Sometimes we are not always capable of seeing what the return on investment will be for practicing energy conservation. So Clark wonders if there should be monetary incentives to get homeowners to reduce household energy consumption.

Minneapolis' Star Tribune reports that sales of extended electronics warranties at Best Buy and Circuit City are down 12 percent and eight percent, respectively. Clark really rejoices in these stats because he hates when these warranties are crammed down your throat by salespeople. Speaking of that, Clark recently bought an LCD TV (on sale) at a major electronics retailer. When the salesperson started his spiel about the warranty and Clark declined, the salesperson dropped him like a hot potato. He actually left Clark by himself to lift the TV onto his cart and didn't even fill out a customer ticket! Clark thinks the man probably acted this way because he may have needed a certain close rate on the customer tickets he writes up. So rather than risk being penalized for not selling the warranty, the sales associate didn't even bother writing up a ticket. At Circuit City, for example, the only way they survive is through warranty sales. Best Buy, meanwhile, reported some $800 million -- more than half of their $1.38 billion in profits -- came from the sale of extended warranties.

Clark says the payback on warranties is worse than on a Vegas slot-machine. In fact, he jokingly advises people to get a quote on a warranty and then go drop that chunk of change in a one-armed bandit. At least then you'll get flashing lights, racket and noise, plus have some fun taking in the atmosphere! But seriously, for every dollar you pay on an electronics warranty, you only get back about eight to15 cents, after you account for depreciation and how quickly technology becomes outdated. Clark thinks you should never buy an extended warranty on computers and electronics. You're a little bit safer with a warranty on your appliances. Finally, keep in mind that credit cards will sometimes double the manufacturer's warranty on electronics. It's like getting an extended warranty for free!

It's been several years since the last "Clarkonomics" segment, but today we have another installment for you. This may again become a regular feature on the show since we're in a time of economic uncertainty. Before coming to the studio today, Clark was talking to a man about the stock market. It got him thinking about how what happens on Wall Street affects Main Street America. If you're one of those people with leveraged investments (investments you've made with borrowed money) this is not a good time. You may be getting "margin calls" from the broker who lent you the money. That's when they call you up and basically ask for more dough or they'll sell out your position.

A lot of people are hurting financially; the very rich have gotten burned by hedge funds and those who are struggling to get ahead in the housing market are getting clobbered on their mortgages. Are the rest of us also going to get squeezed soon? There are so many unknowns. But Clark has a standard piece of advice he gives people when the economy is facing tough times: Reduce the amount of debt you carry. Get your life in a position so that regardless of larger economic trends you're not feeling squeezed. Clark himself is now doing something that he hasn't done in 26 years: He's putting cash into a tax-free money market fund. He wants to build reserves because he believes that next year there'll be good opportunities to buy distress real estate.

Clark's gotten a couple of tips from his listeners about a new product called magicJack. This product offers unlimited local and domestic long-distance calling via your Internet connection. The cost is $40 for the first year and about $20 for subsequent years. The way it works is very simple. You plug your phone into the magicJack and then plug magicJack into your computer's USB port. It takes about a minute to load up the first time, but once it assigns you a phone number you're on your way. Clark's very happy with the service so far, but about a third of people he calls through magicJack report poor sound quality. If you're cheap and want to be a pioneer, you can buy this now. And if the company goes bust, you've lost $40 bucks -- not the hundreds some people (including Clark himself) lost on SunRocket.