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Sunday, July 31, 2011

Editor's Note

Dear Readers
I am still on travel and will be out of commission for the next day or so. Will resume posting for a few
hours Monday morning, but then will be on air travel for a substantial portion of the rest of the day.
Stay tuned.
Michele Kearney

Turning Japanese The absence of leadership in the West is frightening—and also rather familiar

Turning Japanese

The absence of leadership in the West is frightening—and also rather familiar

Robert Fisk: The Arab world's dictators cling on, but for how long?

Robert Fisk: The Arab world's dictators cling on, but for how long?

George Jonas: If cars use less oil, we can say farewell to OPEC

George Jonas: If cars use less oil, we can say farewell to OPEC

The Truth About Chinese Threats To Dump US Debt

The Truth About Chinese Threats To Dump US Debt 

The Great Recession in the US Is Worse Than We Were Previously Told

The Great Recession in the US Is Worse Than We Were Previously Told

Who Owns US Treasury Debt?

Who Owns US Treasury Debt?

Behind Norway’s Kristallnacht from Dissident Voice by Eric Walberg

Behind Norway’s Kristallnacht

from Dissident Voice

Evilism: There Is No Lesser from Dissident Voice by Kim Petersen

Evilism: There Is No Lesser

At the beginning of his essay, “Ron Paul’s Challenge to the Left,” John Walsh writes, “On the question of war and empire, the Republican presidential candidates from Romney to Bachmann are clones of Obama, just as surely as Obama is a clone of Bush.” Hence the contention of my title, there is little substantive difference between the Republicans and Democrats; they are both corporate dominated and controlled parties. As futile as lesser evilism is, it is also futile to talk about there being a lesser evilism between the two utterly dominant political parties in the United States.1
Walsh argues there is a difference: “Rep. Ron Paul (R, TX) the only contender who is a consistent, principled anti-interventionist, opposed to overseas Empire, and a staunch defender of our civil liberties so imperiled since 9/11.” His argument is that because Ron Paul is anti-war that the Left should embrace his candidature, and he views it as a challenge to the Left.2

Ron Paul’s Challenge to the Left from Dissident Voice by John V. Walsh

Ron Paul’s Challenge to the Left

from Dissident Voice

On the question of war and empire, the Republican presidential candidates from Romney to Bachmann are clones of Obama, just as surely as Obama is a clone of Bush.
There is, however, one exception, Rep. Ron Paul (R, TX) the only contender who is a consistent, principled anti-interventionist, opposed to overseas Empire, and a staunch defender of our civil liberties so imperiled since 9/11. These are not newfound positions for Paul, come upon along the campaign trail or via a focus group, but long standing convictions, rooted in libertarian principles and verified by countless votes in the House and speeches on the Floor. You can take them to the proverbial bank. Nothing approaching this phenomenon has been seen in a major party since George McGovern. And even McGovern did not identify, let alone oppose, the U.S. as an Empire.
Paul must be taken seriously; he is not a candidate without real prospects. In New Hampshire, he is running third in the Republican race behind the chameleonic Romney and the looney Bachmann. And in the latest national Rasmussen poll, Dr. Paul runs 37% to 41% against Obama, clearly within striking distance of victory. Interestingly when Paul is put up against Obama, as opposed to others, the percentage choosing Obama drops. Paul has money from his grass roots “money bomb” fundraising and he has an enthusiastic base, especially among the under 30 set.

Obama unveils new car efficiency standards

Obama unveils new car efficiency standards

US President Barack Obama on Friday unveiled a new deal with automakers on fuel economy standards that he said would be a crucial step towards reducing US dependence on foreign oil.

Analysis: the debt deal and you

Analysis: the debt deal and you

20 things that could happen if no debt deal is reached

By RICHARD S. DUNHAM WASHINGTON BUREAU

Dennis Blair rips Obama White House

Dennis Blair rips Obama White House

Saturday, July 30, 2011

An Economy at Stall Speed By John Mauldin

An Economy at Stall Speed

GDP numbers make double dip threat real

GDP numbers make double dip threat real

“Moody’s Places AAA Ratings Of 177 U.S. Public Finance Issuers On Review For Possible Downgrade Due To Review Of U.S. Government’s AAA Rating”



“Is Standard and Poor’s Manipulating US Debt Rating to Escape Liability for the Mortgage Crisis?”

“Is Standard and Poor’s Manipulating US Debt Rating to Escape Liability for the Mortgage Crisis?”

Analysis: Debt mess shows Washington's awful side

Analysis: Debt mess shows Washington's awful side
By BEN FELLER, AP White House Correspondent

Still True Today: Frequently Forgotten Facts of the Debt Debate By Michael Grunwald

Still True Today: Frequently Forgotten Facts of the Debt Debate


Read more: http://swampland.time.com/2011/07/27/still-true-today-frequently-forgotten-facts-of-the-debt-debate/#ixzz1TcgYHFvx

Friday, July 29, 2011

President Obama's Statement on Debt Negotiations

President Obama's Statement on Debt Negotiations

The White House
Friday, July 29, 2011


This morning President Obama delivered a statement once again calling on Congress to compromise to avoid defaulting on the Nation’s debt and calling on the American people to make their voices heard in this debate.

Watch the video.
Read the President’s statement:
Good morning, everybody.  I want to speak about the ongoing and increasingly urgent efforts to avoid default and reduce our deficit.
Right now, the House of Representatives is still trying to pass a bill that a majority of Republicans and Democrats in the Senate have already said they won’t vote for.  It’s a plan that would force us to re-live this crisis in just a few short months, holding our economy captive to Washington politics once again.  In other words, it does not solve the problem, and it has no chance of becoming law.  
What’s clear now is that any solution to avoid default must be bipartisan.  It must have the support of both parties that were sent here to represent the American people -– not just one faction.  It will have to have the support of both the House and the Senate.  And there are multiple ways to resolve this problem.  Senator Reid, a Democrat, has introduced a plan in the Senate that contains cuts agreed upon by both parties.  Senator McConnell, a Republican, offered a solution that could get us through this.  There are plenty of modifications we can make to either of these plans in order to get them passed through both the House and the Senate and would allow me to sign them into law.  And today I urge Democrats and Republicans in the Senate to find common ground on a plan that can get support -- that can get support from both parties in the House –- a plan that I can sign by Tuesday. 
Now, keep in mind, this is not a situation where the two parties are miles apart.  We’re in rough agreement about how much spending can be cut responsibly as a first step toward reducing our deficit.  We agree on a process where the next step is a debate in the coming months on tax reform and entitlement reform –- and I’m ready and willing to have that debate.  And if we need to put in place some kind of enforcement mechanism to hold us all accountable for making these reforms, I’ll support that too if it’s done in a smart and balanced way.   
So there are plenty of ways out of this mess.  But we are almost out of time.  We need to reach a compromise by Tuesday so that our country will have the ability to pay its bills on time, as we always have -- bills that include monthly Social Security checks, veterans’ benefits and the government contracts we’ve signed with thousands of businesses.  Keep in mind, if we don’t do that, if we don’t come to an agreement, we could lose our country’s AAA credit rating, not because we didn’t have the capacity to pay our bills -- we do -- but because we didn’t have a AAA political system to match our AAA credit rating.
And make no mistake -– for those who say they oppose tax increases on anyone, a lower credit rating would result potentially in a tax increase on everyone in the form of higher interest rates on their mortgages, their car loans, their credit cards.  And that’s inexcusable.
There are a lot of crises in the world that we can’t always predict or avoid -– hurricanes, earthquakes, tornadoes, terrorist attacks.  This isn’t one of those crises.  The power to solve this is in our hands.  And on a day when we’ve been reminded how fragile the economy already is, this is one burden we can lift ourselves.   We can end it with a simple vote –- a vote that Democrats and Republicans have been taking for decades, a vote that the leaders in Congress have taken for decades.
It’s not a vote that allows Congress to spend more money.  Raising the debt ceiling simply gives our country the ability to pay the bills that Congress has already racked up.  I want to emphasize that.  The debt ceiling does not determine how much more money we can spend, it simply authorizes us to pay the bills we already have racked up.  It gives the United States of America the ability to keep its word. 
Now, on Monday night, I asked the American people to make their voice heard in this debate, and the response was overwhelming.  So please, to all the American people, keep it up.  If you want to see a bipartisan compromise -– a bill that can pass both houses of Congress and that I can sign -- let your members of Congress know.  Make a phone call.  Send an email.  Tweet.  Keep the pressure on Washington, and we can get past this.
And for my part, our administration will be continuing to work with Democrats and Republicans all weekend long until we find a solution.  The time for putting party first is over.  The time for compromise on behalf of the American people is now.  And I am confident that we can solve this problem.  I’m confident that we will solve this problem.  For all the intrigue and all the drama that’s taking place on Capitol Hill right now, I’m confident that common sense and cooler heads will prevail.
But as I said earlier, we are now running out of time.  It’s important for everybody to step up and show the leadership that the American people expect.
Thank you. 
P.S. Check out this infographic to find out how we accumulated so mach national debt in the first place:
See the Chart

 
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GDP numbers make double dip threat real Cross-posted from Credit Writedowns

GDP numbers make double dip threat real

Cross-posted from Credit Writedowns

Third Way Document Proves Democratic Party Supports Institutionalized Looting by Banks

Third Way Document Proves Democratic Party Supports Institutionalized Looting by Banks

It is one thing to suspect that something is rotten in Denmark, quite another to have proof. Ever since Obama appointed his Rubinite economics team, it was blindingly obvious that he was aligning himself with Wall Street. The strength of the connection became even more evident in March 2009, when Team Obama embarked on its “stress test” charade and bank stock cheerleading. Rather than bring vested banking interests to heel, the administration instead chose to reconstitute, as much as possible, the very same industry whose reckless pursuit of profit had thrown the world economy off the cliff.
But now we see evidence in a new paper by the think tank Third Way of an even deeper commitment to pro-financier policies. The Democratic party has made clear that it supports institutionalized looting by banks, via the innocuous-seemeing device of rejecting the idea of writedowns on bonds they hold.

http://www.nakedcapitalism.com/2011/07/third-way-document-proves-democratic-party-supports-institutionalized-looting-by-banks.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+NakedCapitalism+%28naked+capitalism%29

O.K., Smart Guys: Fix the Energy Problem

O.K., Smart Guys: Fix the Energy Problem

How should the U.S. solve its energy problems? The experts brainstorm

What’s Love Got to Do With It?

What’s Love Got to Do With It?
The U.S.’s decision to withhold $800 million in military assistance to Pakistan further sours the AmPak relationship.
By Shuja Nawaz | From the July 22‚ 2011‚ issue

Anomalies at area 51 and S-4

Anomalies at area 51 and S-4
http://www.darkgovernment.com/news/anomalies-at-area-51-and-s-4/


[flashvideo
filename=http://w2aiq.servebbs.com/wp-content/uploads/2011/07/area51-s4-craft.flv

US Debt Debate Annihilating Democracy with the Tea Party

US Debt Debate

Annihilating Democracy with the Tea Party

A Commentary by Gregor Peter Schmitz in Washington

Arabs look to Turkey, not Iran, says poll

Arabs look to Turkey, not Iran, says poll

Book Review 'Age of Greed' By JEFF MADRICK, NYT

'Age of Greed'

By JEFF MADRICK
Reviewed by SEBASTIAN MALLABY
Jeff Madrick traces the regulatory and cultural changes that led to the country's current financial trouble.

Joe Conason on the Danger of an American Downgrade

Joe Conason on the Danger of an American Downgrade
"Why China Is Laughing All the Way to the Bank" -- A downgrading of U.S. Treasury securities will mean enormous and completely unnecessary increases in our interest payments to the nation's largest creditor-and our most important competitor in the international arena.
http://www.truthdig.com/report/item/why_china_is_laughing_all_the_way_to_the_bank_20110729/

Venture Capitalists' Confidence Falls in Silicon Valley and China

Venture Capitalists' Confidence Falls in Silicon Valley and China

Mexico Becoming a New Manufacturing World Hub in the Aerospace Market

Mexico Becoming a New Manufacturing World Hub in the Aerospace Market

PR Newswire
Quality of Work, Strong Engineering Skills, Cost Efficiencies, Safety and Security, and Visionary Mexican Framework Among Most Attractive Factors for International Aerospace Investors

World Politics Review Media Roundup: 29 Jul 2011

World Politics Review

Media Roundup: 29 Jul 2011

Chavez Opponents See an Opportunity

By: Juan Forero | The Washington Post
Chavez's adversaries sense that they may be in a position to get the upper hand in next year's presidential election.

Bahrain Reform Proposals Fail to Win Over Opposition

By: ANDREW HAMMOND | Reuters
Proposals for a stronger lower house of parliament in Bahrain after the suppression of pro-democracy unrest give it more powers of scrutiny but not to pass legislation, preserving the dominance of an upper house appointed by the royal elite.

U.S. Should Not Retreat From the Hemisphere

By: BILL RICHARDSON | Miami Herald
Just two months ago, I joined a delegation of 70 international observers in Lima to ensure a free and fair presidential election run-off in Peru. The electoral process worked, and our neighbors to the south are completing a peaceful transition of power.

More News


Libya years away from oil recovery

Libya years away from oil recovery Libyan oil production will take years, not months, to return to full capacity once a political solution to the conflict is found, according to Barclays Capital. “The reincorporation of Libyan oil into the world market increasingly seems a distant possibility” according to the study, which warns of a lasting political vacuum after the potential fall of the Gaddafi regime. Libya is Africa’s third largest oil-producer but in the five months since the civil war, crude production has dropped from 1.6 million barrels per day to less than 100,000 b/d. Domestic consumption is estimated at 270,000 b/d, but over 85% of …

http://link.ft.com/r/0QSDPP/GDYBS5/RNF1Y5/7204MF/MSSHMH/B7/h?a1=2011&a2=7&a3=29

The Chart That Should Accompany All Discussions of the Debt Ceiling

The Atlantic - http://www.theatlantic.com/politics/archive/2011/07/the-chart-that-should-accompany-all-discussions-of-the-debt-ceiling/242484/
Jul 25 2011

By James Fallows

The Chart That Should Accompany All Discussions of the Debt Ceiling

DOD Space Program Broadens Industry, Foreign Partnerships

DOD Space Program Broadens Industry, Foreign Partnerships
Washington DC (AFNS) Jul 21, 2011 - The Defense Department is expanding partnerships with spacefaring companies and nations to maintain the strategic advantage it gains in space, the deputy assistant secretary of defense for space policy has said. Speaking with reporters from the Defense Writers Group here, Ambassador Gregory L. Schulte said NASA's final space shuttle flight this week represents "a time of transition" for th ... more

Top of the Agenda: Libyan Rebel Chief Killed from the CFR

Top of the Agenda: Libyan Rebel Chief Killed
The head military commander of the Libyan rebel movement, Gen. Abdul Fattah Younes, was assassinated Thursday, triggering violence and fueling fears (NYT) that a tribal feud could erupt and undermine efforts by the rebels to overthrow embattled Libyan leader Muammar al-Qaddafi. A former interior minister for Qaddafi, Younes defected (BBC) and joined the rebel uprising in February, though rumors have circulated that he maintains ties with Qaddafi.
Younes was killed before he could appear before a judicial inquiry over alleged ties (al-Jazeera) to the Qaddafi regime. Mustafa Abdul Jalil, head of the rebel National Transitional Council (NTC), said Younes had been summoned over a "military matter." He added that rebel security had arrested the head of the group behind the murders, but had not located the bodies.
The NTC could face internal strains at a time when the United States and other Western nations have recognized the council as the legitimate governing authority of Libya. Younes' death came as rebel forces in the Western mountains (WashPost) -- supported by NATO intelligence -- moved closer to descending on the capital of Tripoli.
Analysis:
The Younes assassination is bad news for Western governments that have just taken the step of recognizing the rebel Transitional National Council (TNC) as the sole legitimate representative of the Libyan people, says the Economist.
http://mm.cfr.org/webview/91f751?fe=1&pact=4607618717

Former Intel Chief: Call Off The Drone War (And Maybe the Whole War on Terror)

http://www.wired.com/dangerroom/2011/07/call-off-the-drone-war/

Former Intel Chief: Call Off The Drone War (And Maybe the Whole War on Terror)

Sad and amazing photographs of Afghanistan

http://www.foreignpolicy.com/articles/2011/07/25/the_war_in_hipstamatic

Sad and amazing photographs of Afghanistan

Ian Bremmer: Don’t start wars you don’t know how to end

Ian Bremmer: Don’t start wars you don’t know how to end The Saudis and Iranians don’t agree on much, but they do share a deep dislike for Muammer Gaddafi. In fact, outside of Venezuela’s President Hugo Ch├ívez, there really is no one in the international community who does. That is why it was so easy to build international support for a Nato bid to push him from power.

The trouble is that, unless it gets exceptionally lucky, Nato is unlikely to either force Col Gaddafi from his stronghold or cut a politically saleable deal with him anytime soon. Meanwhile, the opposition are making little progress, a fact now worsened by the death of their military leader, Abdel Fattah Younis, who defected from Col Gaddafi in February. The most likely outcome remains a country in pieces, with substantial volumes of crude oil offline for at least the new few months.
http://link.ft.com/r/BLH300/EXKTUY/18GC39/3OGZEJ/YBB7UI/UP/h?a1=2011&a2=7&a3=29

US economy grows by 1.3%

US economy grows by 1.3% The US economy grew at a dismal annualised rate of 1.3 per cent in the second quarter, towards the bottom of the range of already weak expectations.

The figures confirm the depths of the spring economic slowdown in the US and raise questions about whether the country can achieve a widely expected recovery in the second half.
http://link.ft.com/r/9ULF66/97M3GL/ZBHOFE/FX5QLZ/5VVD6I/T3/h?a1=2011&a2=7&a3=29

Moody’s puts Spain on review for downgrade

Moody’s puts Spain on review for downgrade Moody’s rating agency has put Spain on review for possible downgrade, increasing pressure on a government already struggling to fix its finances.

The agency said the terms of the Greece package were a key driver of its decision, as the agreement, which included private sector participation, “has signalled a clear shift in risk for bondholders.”

Moody’s last changed Spain’s rating in March 2010 when it downgraded the country’s sovereign debt to Aa2, three months after putting the then Aa1 rating on review for possible downgrade.
http://link.ft.com/r/OZMCDD/C4WUB2/40OA1R/ZBL0WG/DWWR31/D5/h?a1=2011&a2=7&a3=29

Beware of perceived safe havens

Beware of perceived safe havens By favouring triple A government debt, regulators are increasing the risks throughout the financial system and in sovereign bonds
http://link.ft.com/r/4RNQTT/16OYN2/UUPHQX/0GTC2E/HYYRFN/LE/h?a1=2011&a2=7&a3=29

The euro is still far from out of danger

The euro is still far from out of danger After the latest Greek rescue, the chances of a federal solution are much higher – but muddling through is still in the lead, writes Samuel Brittan
http://link.ft.com/r/4RNQTT/16OYN2/UUPHQX/0GTC2E/ZGG2A6/LE/h?a1=2011&a2=7&a3=29

Ford to invest $1bn in Gujarat plant

Ford to invest $1bn in Gujarat plant http://link.ft.com/r/UXDMSS/ZG8KKD/C5MKOT/OJQPRE/ORRLH5/82/h?a1=2011&a2=7&a3=29

Eight lessons of the Arab spring

Eight lessons of the Arab spring With Ramadan about to start, youth movements intend to escalate their campaigns for freedom – but the price of dismantling decades of autocratic rule is proving high
http://link.ft.com/r/R5WAEE/WTH5QK/D45D0H/A72X9Y/IIIFJV/AZ/h?a1=2011&a2=7&a3=29

New Global Rules for Sensitive Nuclear Trade

Mark Hibbs Nuclear Energy Brief, July 28, 2011

Exxon/Shell: high on gas

Exxon/Shell: high on gas
http://link.ft.com/r/H60H77/VLT5GV/GKXE28/XTU6VA/GDDJRR/9A/h?a1=2011&a2=7&a3=29

Iran oil talks with India continue

Iran oil talks with India continue http://link.ft.com/r/H60H77/VLT5GV/GKXE28/XTU6VA/U116O8/9A/h?a1=2011&a2=7&a3=29

Why We Need a National Manufacturing Technology Strategy

http://www.technologyreview.com/business/37958/?nlid=nlbus&nld=2011-07-29

Why We Need a National Manufacturing Technology Strategy

The nation's economic health depends on a federal plan to support the revival of advanced manufacturing, says the president of a Washington-based think tank.
  • Wednesday, July 27, 2011
  • By Robert D. Atkinson

Data Show Weaknesses, Strengths in U.S. Manufacturing

Data Show Weaknesses, Strengths in U.S. Manufacturing
by David Rotman
Jobs and exports are weak, but productivity may be on the rise.
Read More »

Thursday, July 28, 2011

Getting Away With Torture: The Ill Treatment of Detainees

Getting Away With Torture: The Ill Treatment of Detainees
Stephen Rohde, Truthout: "In a new comprehensive 107-page report entitled 'Getting Away with Torture: The Bush Administration and Mistreatment of Detainees,' Human Rights Watch (HRW) concludes that 'there is sufficient basis for the U.S. government to order a broad criminal investigation into alleged crimes committed in connection with the torture and ill-treatment of detainees, the CIA secret detention program, and the rendition of detainees to torture' focusing on alleged criminal conduct by 'former President George W. Bush, Vice President Dick Cheney, Defense Secretary Donald Rumsfeld, and CIA Director George Tenet.'"
Read the Article

America Held Hostage to Two-Party Failure: Government of, by and for the Corporations

America Held Hostage to Two-Party Failure: Government of, by and for the Corporations
Michele Swenson, Truthout: "Washington rhetoric waxes Orwellian in proportion to inside-the-Beltway disconnect around cause and effect of the US economic crisis. Ranging from the Ryan Budget - 'kill Medicare to save it' - and some Democrats - 'cut Medicare and Social Security to save them' - to claims that deficit reduction (not jobs) is 'what the people want,' to the 'greed is good' creed that assigns entitlements in the form of taxpayer bailouts to wealthy financial institutions that take for granted the ability to shift risk for their liar's loans and speculative transactions."
Read the Article

Lest we forget:


“The fact that we are here today to debate raising
America ’s debt limit is a sign of leadership failure. It
is a sign that the US Government cannot pay its own
bills. It is a sign that we now depend on ongoing
financial assistance from foreign countries to finance
our Government’s reckless fiscal policies. Increasing
America’s debt weakens us domestically and
internationally. Leadership means that ‘the buck stops
here.' Instead, Washington is shifting the burden of
bad choices today onto the backs of our children and
grandchildren. America has a debt problem and a
failure of leadership. Americans deserve better.”
 
Senator Barack Hussein Obama, March 2006

US debt crisis deepens ahead of vote

US debt crisis deepens ahead of vote Traders and investors sell down their holdings on the back of continued political brinkmanship as Wall Street writes to Obama over the dangers of a default or downgrade
http://link.ft.com/r/19JYUU/YBG4U9/FXWIVG/PR9UR0/IIIRK7/7V/h?a1=2011&a2=7&a3=28

Five questions for the Fed and Treasury

Five questions for the Fed and Treasury There are a host of more technical issues hanging over the markets beyond what payments the government could make a priority
http://link.ft.com/r/19JYUU/YBG4U9/FXWIVG/PR9UR0/GDDSW0/7V/h?a1=2011&a2=7&a3=28

Investors lose patience with US debt standoff

Investors lose patience with US debt standoff
Wall Street is once more feeling the heat as the political standoff in Washington over the country’s debt ceiling shows no sign of resolution
http://link.ft.com/r/19JYUU/YBG4U9/FXWIVG/PR9UR0/MSSPEK/7V/h?a1=2011&a2=7&a3=28
 

Poll: Sharp drop in Iran's popularity in Arab world

Poll: Sharp drop in Iran's popularity in Arab world

New poll by the Arab American Institute shows Arab public in Egypt, Saudi Arabia, Jordan, Morocco, and UAE sees Iran's role in the region as mostly negative.

By Natasha Mozgovaya

US military officials in Iraq warn of growing Iranian threat

http://www.csmonitor.com/World/Middle-East/2011/0727/US-military-officials-in-Iraq-warn-of-growing-Iranian-threat

US military officials in Iraq warn of growing Iranian threat

American military officials say the upcoming US withdrawal has emboldened Iranian-backed militias, which they blame for recent deadly attacks and allege are stockpiling weapons.

Patent hunting is latest game on tech bubble circuit

Patent hunting is latest game on tech bubble circuit You could call it the Great Patent Bubble of 2011, as the favourite game in tech circles this month has been to find the next big chest of buried gold
http://link.ft.com/r/73UJGG/JEQ14V/GKXE28/NSEFNB/97742S/ZH/h?a1=2011&a2=7&a3=28

Don’t put faith in voodoo tax cuts

Don’t put faith in voodoo tax cuts Economics is not religion. There are few absolutes. But it is a general truth that tax cuts do not lead to higher revenues, writes Chris Giles
http://link.ft.com/r/73UJGG/JEQ14V/GKXE28/NSEFNB/HYYQW4/ZH/h?a1=2011&a2=7&a3=28

America’s turbulent jobs flight By John Gapper

America’s turbulent jobs flight

Fed under fire over default talks

Fed under fire over default talks

Wall Street bankers complain of a failure to engage

Executive pay: The trickle-up effect

Executive pay: The trickle-up effect Just as tax rises and public spending cuts eat into the stagnant incomes of ordinary employees, bosses' earnings are on the rise once more – eroding trust in business, writes Brian Groom
http://link.ft.com/r/2SRI11/7AZEGF/GKXE28/TPFLT2/PFFP9R/VU/h?a1=2011&a2=7&a3=28

Robert Rubin: America’s success depends on a sound fiscal regime

Robert Rubin: America’s success depends on a sound fiscal regime Our country cannot afford politics as usual at a moment of such vital import for now and for the longer term. Many Americans have experienced great hardship since the recession began; unemployment has become long-term for large numbers, with potentially permanent damage through loss of skills; and current economic conditions could well remain stressed for an extended time due to the strong headwinds we face. Policy decisions can make a real, immediate difference to these conditions, for better or for worse.
http://link.ft.com/r/P75VYY/DWXNMP/8A25BP/BMAWO4/5VV5EK/XL/h?a1=2011&a2=7&a3=28

Minority Rules: Scientists Discover Tipping Point for the Spread of Ideas Science Blog

Minority Rules: Scientists Discover Tipping Point for the Spread of Ideas Science Blog

How America Could Collapse Matt Stoller, Nation

How America Could Collapse Matt Stoller, Nation

THE GREAT GULF COAST HOLOCAUST PART 3

THE GREAT GULF COAST HOLOCAUST
PART 3


By Dave Hodges
July
25, 2011
NewsWithViews.com
Political language is designed to make lies sound truthful and murder respectable. -George Orwell
Big Brother Says “All is Well, Go Back to Sleep”

Energy subsidies cripple Pakistan economy, says study

Energy subsidies cripple Pakistan economy, says study Energy subsidies in Pakistan are contributing to “severe supply problems” according to a report from the country’s Petroleum Institute. Power consumption has grown by 80% over the last 15 years, but a failure to keep up with demand has led to crippling electricity shortfalls. Pakistan spent nearly $3.5 billion subsidising the power sector in the fiscal year ending in June, and the artificially low price of natural gas is creating a problem with supplies. Subsidies contribute to inflated demand and gas now accounts for over 45% of Pakistan’s domestic energy needs. The Institute warns that unless the government allows gas …

http://link.ft.com/r/0QSDPP/U1LZ5D/OJS3XZ/408AM1/HYYJ6T/9A/h?a1=2011&a2=7&a3=28

World Politics Review Media Roundup: 28 Jul 2011

World Politics Review

Media Roundup: 28 Jul 2011

Shift in Europe Seen in Debate on Immigrants

By: NICHOLAS KULISH | The New York Times
Less than a week after the mass killings in Norway, evidence of a shift in the debate over Islam and the radical right in Europe already appeared to be taking hold on a traumatized Continent.

Somali Famine: Fighting in Mogadishu After Aid Delivery

BBC
Heavy fighting has broken out in the Somali capital, Mogadishu, a day after the UN World Food Programme airlifted in its first famine emergency aid.

Exclusive: Eritrea Behind AU Summit Attack Plot: U.N. Report

By: David Clarke | Reuters
Eritrea was behind a plot to attack an African Union summit in Ethiopia in January and is bankrolling al Qaeda-linked Somali rebels through its embassy in Kenya, according to a UN report.

More News


Top of the Agenda: Investor Fears Rise over U.S. Debt Crisis from the CFR


Top of the Agenda: Investor Fears Rise over U.S. Debt Crisis
Investors are looking for alternatives (NYT) to U.S. Treasury bonds as Washington lawmakers remain deadlocked over a plan to raise the nation's $14.3 trillion debt ceiling just five days ahead of an August 2 deadline that could see the U.S. default. Institutional investors are increasingly concerned that if the U.S. defaults – or even has its AAA credit rating downgraded in the absence of a long-term deficit-reduction plan – the value of Treasury securities would plummet, prompting some to invest in a strengthening Swiss franc, and others in rapidly growing emerging markets like China.
Following losses on Wall Street at the end of Wednesday, stocks in Europe and Asia (FT) fell sharply after markets opened Thursday. U.S. debt markets faced diminished foreign interest, as yields for insuring U.S. debt rose. While U.S. stock futures made small gains (WSJ) Thursday morning, markets remained focused on Washington's inability to resolve the debt standoff.
After much wrangling by congressional Republicans, the House will likely vote Thursday on a two-step plan (Politico) to raise the debt ceiling, a bill that faces significant opposition in the Senate, and one that President Barack Obama has vowed to veto. The $2.5 trillion debt ceiling bill would prevent a default next week but threatens more conflict in six months.
Analysis:
Whereas a U.S. default triggered by a failure to raise the debt ceiling is the worst possible way to address the country's unsustainable deficits—causing borrowing rates to soar and hurting growth prospects—raising the debt ceiling without a credible deficit-cutting agreement still poses real risks of imminent market turmoil, explain these charts by CFR's Geo-Graphics.
As partisan wrangling over the U.S. debt ceiling continues in Washington, fears are mounting that a default could trigger another global economic crisis. This CFR Issue Guide offers timely analysis on the global implications of the U.S. debt crisis.
If linked to serious longer-term deficit reduction, a temporary stimulus could well be warranted to boost demand, writes CFR co-chairman and former Treasury secretary Robert Rubin in the Financial Times.
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