Hey Barry:
I think we're awake now......
Cops do it.
Firefighters do it.
Even teachers in the spring do it.
We all get it.
We get that the RICH are taking even what we have left.
They took our jobs to China, our houses to foreclosure, our roads and bridges to ruin, our schools to disaster and now they want our pensions, our medical care and our collective bargaining rights.
But, Barry, we are going to fight them.
We are going to fight them hard.
This is our country, Barry.
It does NOT belong to the RICH.
We will recall them, sue them, impeach them and vote them out.
So, Barry, if you are with us, then you need to start governing from the left.
You tried the middle and all we, and you, got was screwed.
Time to turn left, Barry.
Listen to the voters and decide where we are going. The link and transcript below may help you.
First, here's a link to a column by Paul Farrell titled: Tax The Super Rich Now or Face A Revolution:
http://www.marketwatch.com/story/tax-the-super-rich-now-or-face-a-revolution-2011-03-29?pagenumber=1
And, below is a long exerpt from the Cenk Uygur show on MSNBC of April 1 which details some of today's citizen's actions:
Your pal,
MSNBC LIVE WITH CENK UYGUR for April 1, 2011
Cenk Uygur
WISCONSIN
All right. One down, seven to go. Wisconsin Democrats say they have officially begun to recall the first republican senator after Governor Scott Walker`s union-busting bill passed. They`re not messing around. We`ll show you why that state senator is actually in a world of trouble and tell you if there are more recalls on the way. The battle has been joined. And some hypocrisy you won`t believe. Or maybe you will after we tell you it involves Florida Governor Rick Scott. And this one has a particularly cruel twist.
UYGUR: Republicans be aware. Today, the backlash inspired by the conservative crackdowns on unions enters a whole new chapter. See those eight people? They`re the eight republican state senators in Wisconsin whom Democrats have bowed to recall because of their anti-union votes. Well, not that recall effort has officially begun. Democrats say, they`ve collected the signatures required to recall the first of those state senators, Dan Kapanke. And they`re filing the petition today. The filing begins a 31-day review period of the signatures. An election could be held this summer. Votes have consequences. Those consequences are on the way for Mr. Kapanke.
By the way, the situation for him is seriously dire. A political scientist at the University of Wisconsin Madison says, Kapanke is the quote, "only one of those Republicans who looks like they`re situated in a democratic-leaning district." In a pole last month showed that 57 percent of those in Kapanke`s own district would vote for a generic someone else. By the way, you should know the move on commissioned that poll but it was done by a professional polling organization. But given all this, hanky panke Kapanke looks like he`s in a lot of trouble. Yes, I know, I just gave him that nickname. It`s a vice I share with George Bush. It doesn`t speak well of me.
OHIO
All right. Meanwhile, it`s new ball game in Ohio as well. Governor John Kasich signed an anti-union bill into law yesterday, that`s even harsher than the one in Wisconsin stripping collective bargaining rights from roughly 350,000 public workers. But if Democrats can collect just over 250,000 signatures in the next 90 days, that bill does not go into effect. Instead it goes to a referendum. And Ohio voters get to vote on it. And guess what? Polls show that Ohio voters definitely do not like the measure. Fifty four percent in favor, 35 percent against. That`s according to a recent Quinnipiac poll. But the really bad news for Republicans is that the backlash isn`t just in Wisconsin and Ohio. It`s everywhere. We`ve told you about plummeting poll numbers for republican governors who backed anti-union measures including Walker, Kasich and Chris Christie. They`re all dropping.
UNIONS AND POLLS
Now, a new Gallup poll shows that 48 percent of the Americans side with state employee labor unions in these disputes and only 39 percent agree with the governors. And check this out. As Politico pointed out in November, a Hart Research poll showed 47 percent of the building trade union members describing themselves as Democrats. Twenty five percent as Republicans. In January, 63 percent called themselves Democrats and only 18 percent went to Republicans. Now, that`s a significant shift. And that was even before the Wisconsin and Ohio bills passed. But the news just keeps getting worse and worse for Republicans.
COPS AND FIREFIGHTERS FIGHT BACK
It now appears that even police and firefighter unions are jumping from the republican ship. Cops and firefighters, remember, those are the two unions, they were actually exempted from the Wisconsin bill. The president of the Ohio Association of professional firefighters says, some republican members have actually apologized for supporting John Kasich. Quote, "they are never voting that way again." And today, the backlash is spreading the Pennsylvania, a state where anti-union measures are even on the table yet. Almost, 3,000 of union coal mine workers from several states staged a rally today in Pennsylvania, an early warning signal to any and all conservatives bent on taking the fight elsewhere. Look, they get it. This republican attack is against them, the workers in this country, the middle class. And they have decided they`re going to fight back.
All right. Joining me now is Tim Burga, he`s president of the Ohio AFL-CIO, and Chuck Canterbury, national president of the Fraternal Order of Police. Chuck, let me start with you. The cops were exempted in the Wisconsin bill, why are you joining this fight and why are you so animated by it?
CHUCK CANTERBURY, FRATERNAL ORDER POLICE:
We`re joining the fight because Wisconsin was just the first. Ohio`s bill SP5 that`s passed this week, it`s a terrible official legislation that rolls back, the police labor movement 30 years in Ohio. And we`re not going to stand for it. We`re going to stand up and let the American public know that we`re not the evil doers, we`re the police officers, the firefighters and the teachers that live in their communities. So, we`re going to continue to stand up, get the numbers up from the people as you`ve said earlier in your intro, the American public supports us. We`ve just got to get our message out.
UYGUR: You know, of course, a lot of people supported the Republicans before, Chuck, I want to stay with you for a second, what made you change your mind here? What woke you up, if you will?
CANTERBURY: Well, this isn`t about bipartisan issue or a republican or democrat issue. This is an issue of the police officers in this country standing up for those that stand up for us. Right now, the republican governors around the country have decided to point an X on us as a target. And we`re going to have to use our voices on our votes to answer back. That`s going to cause us to lean towards people that support our causes.
UYGUR: All right. Tim, talk to me about how much these republican governors might have ironically helped the AFL-CIO by showing people, how against the workers they really are.
TIM BURGA, PRESIDENT, AFL-CIO: All right.
Good evening, Cenk. And President Canterbury is right. There is a tremendous outpouring of opposition against Senate bill 5, because it`s being seen as a politically motivated attempt to scapegoat police officers, nurses, firefighters and teachers for the economic challenges of the day. And what Senate bill 5 will do, and Ohioans are seeing this, is going to punish all working families, and to take away worker rights. And not only is a galvanized union men and women, but it also has all working families, and the general public up and arms, and we`re very confident that we`re going to get this issue on a ballot, and there will be a citizens veto of Senate bill 5 in November.
UYGUR: But I want to ask you about that. First, I just kind of say, well, it really drives me crazy. And I think I`m hearing it from both of you guys, that they seem to be blaming you guys for the budget problems. You didn`t cause the budget problems. And then they could turn around and say, oh, no, no, it`s not the taxes, it`s not anything else, it`s not our give-aways, you guys and we`ve got to cut your pay. But Tim, I want to focus on what you guys are you`re going to do about it in Ohio. What is the plan of action and how it will work?
BURGA: Well, the process is Ohioans from every corner and all walks of life, will be circulating petitions to get the necessary signatures, to get the citizens veto on the ballot in November. So, the end of April, all of May and all of June, we`ll be gathering signatures and that will be campaigning the issue in November. And I can tell you that there`s been an outpouring of opposition against Senate bill 5 because it`s being seen as a stream, politically motivated overreach and an attack on workers` rights. And Ohioans are up in arms and they want to do something about it. And fortunate for us here in Ohio, we have the ability to go to the ballot for a citizens veto and I believe we`ll be successful.
UYGUR: You know, Chuck, you know, in Wisconsin, at some point, Governor Walker gave an order to clear out the protesters from the state house and the cops there said, we`re not going to do it. We`re going to do the right thing. And some of the cops even shouted out, we`re going to join you guys, right? It was an amazing moment, a really interesting moment. But, you know, a lot of politicians after 9/11 has said, oh, we`re with the cops, we`re with the cops. I mean, there`s a lot of empty talk. When it came to action, what are you seeing on the ground lately? In all these states, I mean, it seems like, particularly in the Midwest, but it seems like they`re coming after you. Do you feel particularly betrayed by that?
CANTERBURY: We feel extremely betrayed because these are the people that have brought our country into this economic problem. They`re the ones that underfunded pensions. They`re the ones that negotiated contracts, they don`t want to keep, it wasn`t the police officers, the firefighters, the teachers, it was them. And now, we`ve become their scapegoat, so we`re extremely annoyed by it. And the over one million police officers in this country are going to stand up.
UYGUR: You know, last thing for the viewers at home, look, the banks, whenever they run into trouble they say oh, the bankers contract, we can`t violate those. No, no, no, those are contracts. But when it comes to Chuck`s contractors, guys have the four as well, those contracts well, they`re not quite good enough. We can cut your pay. When it comes to working guys that Tim is representing, well, we can cut that pay, we didn`t mean that contract, we meant rich people`s contracts. I think that what drives people crazy. But look, Tim Burger and Chuck Canterbury, we really appreciate you guys coming out here and talking about it tonight. Thank you both so much.
BURGA: Thank you.
CANTERBURY: Thanks for having us.
FLORIDA - RICK SCOTT
UYGUR: Tonight, Florida Governor Rick Scott goes under the spotlight and this one isn`t pretty. Florida`s agency for persons with disabilities is facing a $170 million budget gap. So, Governor Scott has used emergency powers to order the agency to cut payments to group homes and social workers by 15 percent. The agency provides services about 35,000 people in Florida with Down`s syndrome, autism, cerebral palsy, and other disabilities. Amy Van Bergen who directs the Down`s Syndrome Association of Central Florida says, quote, "potentially this cuts have life and death implications of these people." Now, of course, Scott didn`t have enough room of the budget for the disabled people, but he did have enough room to propose $1.5 billion corporate tax cut over the next two years. So, this story is already pretty bad, but it`s about to get worse. After Scott ordered those cuts yesterday, he then participated in a run for the Special Olympics and he had this to say.
(BEGIN VIDEO CLIP)
GOV. RICK SCOTT (R), FLORIDA: Special Olympics is extremely important. We`ve got to make sure we take care of those who have struggled, having disadvantaged. So, this is a great event.
(END VIDEO CLIP)
UGYUR: Right. So, Governor Scott carries deeply about the developmentally disabled when there`s an opportunity for a good photo op. But when it comes to actual services, the 35,000 people need, well, that`s a little inconvenient. His corporate buddies need a tax break. What`s a standup guy to do? We`ll be back.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
April 1, 2011
Saturday, April 2, 2011
Friday, April 1, 2011
Tax the Rich - Even Republicans Agree
Hey Barry:
It's sure looking like most of our folks are catching up to reality. A new poll shows that even 60% of Republicans [!] are in favor of taxing rich folks to close budget problems.
Read it here; http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/03/31/MNP21INRMH.DTL&tsp=1
It's just California for now, but it'll spread soon.
God bless America.
Your pal,
PS: And, it is NOT an April fool joke.
It's sure looking like most of our folks are catching up to reality. A new poll shows that even 60% of Republicans [!] are in favor of taxing rich folks to close budget problems.
Read it here; http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/03/31/MNP21INRMH.DTL&tsp=1
It's just California for now, but it'll spread soon.
God bless America.
Your pal,
PS: And, it is NOT an April fool joke.
Tuesday, March 29, 2011
UPDATE 4.27.11: Tunisia Economic Analysis
Hey Barry:
MIEPA's econnomic policy analysis of Tunisia in revolution has been updated.
Please read it at:
http://www.mkeever.com/tunisia.html
*********************************************
I am taking the unusual step of posting an unfinished and unedited work on the economy of Tunisia in the middle of a revolution because of the rapidly developing events in North Africa. It is unusual for an economic analysis to be performed as a revolution is taking hold of the country.
Perhaps some analysts will find the raw study of interest, bearing in mind that it will be updated as it is revised.
Here is the link to the Economic Analysis of Tunisia as it undergoes revolution: http://www.mkeever.com/tunisia.html
Your pal,
MIEPA's econnomic policy analysis of Tunisia in revolution has been updated.
Please read it at:
http://www.mkeever.com/tunisia.html
*********************************************
I am taking the unusual step of posting an unfinished and unedited work on the economy of Tunisia in the middle of a revolution because of the rapidly developing events in North Africa. It is unusual for an economic analysis to be performed as a revolution is taking hold of the country.
Perhaps some analysts will find the raw study of interest, bearing in mind that it will be updated as it is revised.
Here is the link to the Economic Analysis of Tunisia as it undergoes revolution: http://www.mkeever.com/tunisia.html
Your pal,
Saturday, March 26, 2011
Honor of the United States
Hey Barry:
You are receiveing a lot of flak for the Libya action, but it is the right thing to do.
Here's why action in Libya is good for the United States:
1. Act in concert with our values and principles - we value freedom and democracy over violence and fear;
2. Restore and enhance the honor of the United States of America - we are doing the right thing even if we are limited in our abilities;
3. Humanitarian response - we should not stand by while women, children and unarmed men are brutalized by their government - and we are saving lives;
4. Get on the right side of history for a change - clearly a movement among Arab youth is rocking the world and we have been on the dictators' side in reputation and fact;
5. Our stance is already reaping positive change in other countries - whether or not anyone intervenes, repressive governments are looking over their shoulder;
6. Improve our national security - fewer terrorists will attack us when they have some freedom and hope in their own country;
7. Quick turnover of leading role to NATO helps our image in the world;
8. Involve other countries in NATO and the Arab league in our action - it is not a unilateral USA act; and,
9. We can wear our flag with pride again.
Your pal,
You are receiveing a lot of flak for the Libya action, but it is the right thing to do.
Here's why action in Libya is good for the United States:
1. Act in concert with our values and principles - we value freedom and democracy over violence and fear;
2. Restore and enhance the honor of the United States of America - we are doing the right thing even if we are limited in our abilities;
3. Humanitarian response - we should not stand by while women, children and unarmed men are brutalized by their government - and we are saving lives;
4. Get on the right side of history for a change - clearly a movement among Arab youth is rocking the world and we have been on the dictators' side in reputation and fact;
5. Our stance is already reaping positive change in other countries - whether or not anyone intervenes, repressive governments are looking over their shoulder;
6. Improve our national security - fewer terrorists will attack us when they have some freedom and hope in their own country;
7. Quick turnover of leading role to NATO helps our image in the world;
8. Involve other countries in NATO and the Arab league in our action - it is not a unilateral USA act; and,
9. We can wear our flag with pride again.
Your pal,
Friday, March 25, 2011
U. S Class War, II
Hey Barry:
This is an unusual posting because it is a very long excerpt from a transcript of The Ed Show on MSNBC.
It is important because it provides evidence of class war in the United States. The class war is in the form of some state governors stealing assets from the public and putting the proceeds in their own pockets.
We would expect this behavior from the Gadafi's of the world but not from American public officials.
Our expectations would be wrong. Read below and you will see.
Ohio, Wisconsin, Michigan, Alaska, Florida
We can hope the the good people of the afflicted states will sue the officials and will vote them out of office. Time will tell. Some recent polls show that voters are ready to vote the governors out as soon as they can.
THE ED SCHULTZ SHOW, MARCH 23, 2011
ED SCHULTZ, HOST: Good evening, Americans. And welcome to THE ED SHOW, tonight from New York.
If you‘re middle class, pay attention—our top story tonight is out of Ohio. I just can‘t believe this one. It‘s on the table.
Republicans promised to be what? The party of jobs? But their top six priorities have been anything but jobs. That‘s in “The Takedown” tonight.
OHIO
All right. This is the story that should have every American fired up. It comes from the—I can‘t believe this department. Ohio Governor John Kasich—you‘ll understand why I say this—is kind of drunk with power.
Kasich‘s budget plan is all about one word: privatization—just like the rest of the guys on the right side.
Now, the governor wants to sell five state-run prisons to private companies. He wants to open state parks to oil and gas drilling. And he wants to sell leases of state-owned liquor stores for pennies on the dollar. This is a hell of scheme let me tell you.
You see—the state of Ohio licenses businesses to run liquor stores for a commission. Now, liquor sales generate about $228 million in revenue for the state treasury every year. Governor Kasich wants to funnel that money to a private, economic development organization called—catch this
Jobs Ohio.
Remember that—Jobs Ohio.
Kasich created this private organization to replace the Ohio Department of Development, which was a state-run agency for job recruitment and retention.
Now, Jobs Ohio, you know what they‘re going to do? They‘re going to buy the liquor licenses from the state for $1.5 billion.
But, Houston, we got a small problem here. They don‘t have the money.
So, they‘re going to raise $1.5 billion by selling the 30-year lease of nearly $6.8 billion of Ohio liquor profits to where? Wall Street investors.
Well, liquor revenue, which belongs to the state of Ohio, will now be sitting in the bank accounts of Wall Street investors.
Who would make such a stupid business decision after what we‘ve been through with Wall Street? Oh, I should have done this earlier in the show.
I should have introduced you to the new chairman of Jobs Ohio—you got it: Governor John Kasich. He appointed himself the chairman.
Now, this plan, folks, you need to know this does nothing to create jobs but it takes money from the Ohio treasury to pay off Kasich‘s buddies on Wall Street. Governor Kasich says the liquor revenues are a good investment because he expects Ohioans just to keep on drinking more.
(BEGIN VIDEO CLIP)
GOV. JOHN KASICH ®, OHIO: There are people that want to buy this thing because there is a natural wedge that gets created because over here, people drink more. I mean, it‘s just a natural revenue stream so everybody wanted to buy it. Everybody was interested in it.
(END VIDEO CLIP)
SCHULTZ: Ah, tough times, everybody‘s buying booze. Now, you have to be drunk to have this make any sense. But Kasich is following the new Republican playbook for power in revenue—use deceptive advertising, push polls, rig the elections and lie about your opponent to get elected.
Pass laws creating new departments through tactical maneuvers that cut out minority input, and, of course, make sure that new department is a public/private partnership. That always works.
Make yourself chairman of that new department. And then you really got control.
Take that government revenue stream—you know what you got to do with it? You got to sell it to Wall Street.
And, of course, use a lame duck session in office to privatize the new department. And who knows? You might retire rich when it‘s all said and done.
Governor Kasich is following that model to a T and he is showing no signs of stopping.
(BEGIN VIDEO CLIP)
KASICH: There are more privatizations to come. They are not in this budget, but we‘re seeking broad authority for additional privatization.
(END VIDEO CLIP)
SCHULTZ: Additional privatization. It‘s the answer to everything.
Republicans want to treat government like a business and people like commodities. They have no sense of economic patriotism or social justice, so Governor John Kasich and other Republicans, I think, need to quit acting like used car salesmen and start acting like the public servants that they were elected to be. It is hard to believe that the country is not totally focused on what this group of Republican governors is actually doing to the infrastructure of America. We are talking about millions of American workers who are being affected by this. And we‘re also talking about the next generation that may not have a say in all of this.
MICHIGAN
I mean, you look at the state of Michigan and what they‘re doing with education. It‘s unbelievable. They‘re making cuts to the point where they‘ve got this new law in there that we talked about the other night that if you run a deficit the state can come over, come in and take over your district. Where do you think that‘s going to put public education?
I mean, it is just one domino after another with these Republican governors. And what‘s happening in Ohio, it is going to be happening in other states that are run by Republicans.
This is the way they are going to chip away at wages, break unions, kill collective bargaining, and turn to the public and say, hey, we‘re giving you a real good deal and we think you can make more money on Wall Street. Who wants to gamble like that with the public‘s money?
Get your cell phones out. I want to know what you think. Tonight‘s question: Will Governor Kasich‘s privatization plans create jobs in Ohio? Text “A” for yes, text “B” for no to 622639. Or go to our new blog at Ed.MSNBC.com. We‘ll bring you the results later on in the show.
OHIO
Now, joining me now is Ohio State Senator Nina Turner.
Nina, good to have you with us tonight.
When I first read this story, I thought of you first because you‘ve been on this show and you have been—you know, a “tell it like it is” representative senator for the state of Ohio. What was your reaction when you first heard about this plan dealing with the liquor licenses ending up as an investment on Wall Street?
STATE SEN. NINA TURNER (D), OHIO: Well, thank you, Ed, so much. I was surprised. I think everybody in the general assembly should pause.
And let me tell you, Ed, this bill at least in the Senate did receive some bipartisan support because folks are desperate for jobs. But the way it was sold to the general assembly is that they were going to utilize private money to market, for—to spur employment, and now come to find out they want to use the liquor sales to do this -- $700 million to pay back bonds and $500 million as one time funds to close the budget deficit for $1.2 billion.
And as you stated so eloquently—I mean, these bonds are going to be sold on the market. Somebody is going to make that money, and it‘s surely not going to be the teacher that‘s making $50,000 a year or the firefighter or the police officer that may be making $60,000 or $70,000 a year.
Something is awfully wrong with the plan in the state of Ohio that seeks to privatize the profits but socialize the risks.
SCHULTZ: Senator Turner, what will the loss of this kind of money mean, you know, $6 billion, in liquor revenue over the next few decades? I mean, this is a gamble. There‘s no guarantee this is going to work. Can the state play with this money?
TURNER: Really, there is no guarantee. And liquor, you know, the money that comes into the—into the general fund for that is a—it is a stable funding source. So, yes, we‘re taking a risk. Why wouldn‘t it be more prudent to put a shorter time line but to lock in future governors and future general assemblies over 20, 25 years for a plan that has not created one job? It is absolutely irresponsible.
SCHULTZ: So this plan, in your opinion, will not create jobs?
TURNER: Well, that remains to be seen. But it hasn‘t created one yet.
And again, all of the tax we have on middle class and working class men and women in this state and then to have the unadulterated gall to put the state at risk like this, to deceive the general assembly—because that‘s exactly what happened. Again, when this bill was touted it was touted as one that would use private money to spur this kind of development and now, the turn-around to use money that comes—
SCHULTZ: Yes.
TURNER: -- to the state of Ohio in this way is absolutely unconscionable.
SCHULTZ: What‘s your response to the governor appointing himself chairman of Jobs Ohio?
TURNER: Well, Ed --
SCHULTZ: I mean, this is unbelievable. I mean, this guy gets elected. He dumps the state agency, makes himself the chairman of Jobs Ohio, gets some help with his Republican buddies to take the liquor money and go play with it on Wall Street.
TURNER: We certainly need to have an objective approach to do this. It‘s almost like the fox watching the hen house, Ed. I mean, we should definitely question the way that this is being run.
SCHULTZ: Can the Democrats do anything to stop this?
TURNER: Well, Ed, again, in the Senate, it passed bipartisan and in a bipartisan way. We are certainly for economic development. But why should the taxpayers bear the brunt of the burden on an experiment that has not proven itself? I will tell you that the Democrats are going to stand strong. We‘re going to stand strong for working class men and women in the state of Ohio.
And I want to remind us we are fighting—fighting in the state of Ohio to make sure that our workers continue to have the collective bargaining rights.
You know, the American Dream is going to be no more. It‘s turning into the American nightmare. And if you are not ultra wealthy, you can forget about it. And that‘s why all of us should care about what‘s happening in Ohio, what‘s happening in Wisconsin.
You know, Dr. King once said that the arc of the moral universe is long but it bends towards justice.
And I want the folks in the state of Ohio to remain encouraged that we‘re going to continue to be vigilant to make sure that folks still have the opportunity to pursue the American Dream. For some, if you‘re middle class and working class, you shouldn‘t have any rights. But we‘re not going to stand idly by and let this happen in the state of Ohio.
SCHULTZ: Nina Turner, you are a fighter for the people, no doubt about it.
But I want to ask you one final question on this issue. Now, this obviously is going to line the pockets of some Wall Streeters. They‘re going to remember who the guy in Ohio—you know, who was responsible for this. If this works, it‘s a big gamble—if it works, do you think John Kasich has presidential aspirations? You can‘t get to the White House without connections on Wall Street.
TURNER: Well, Ed, that is—we should certainly deal with how much it cost to run a presidential campaign. But for now, the citizens of the state of Ohio need a governor who cares about what happens here in Ohio for the 11.5 million people he was elected to serve.
SCHULTZ: Does he care more about Wall Street—does he care more about Wall Street than he does the citizens of Ohio?
TURNER: Well, Ed, that is a question for the governor, but I will tell you that we have a lot of suffering going on here besides Senate Bill 5. This House Bill 159 that seeks to take away some voting rights. I mean, we have a lot of issues in the state of Ohio that we have to work on collectively, and I hope all of the citizens in this state, both Democrat and Republican, are watching what happens as the middle class goes, so do the rest of us.
So, I am really about working very, very hard, along my other Democratic colleagues and some other folks of good consciousness, to make sure that there is an American Dream for other folks to inherit and to make sure that all folks had the opportunity to pursue happiness.
SCHULTZ: All folks. That is the key phrase.
TURNER: Yes.
SCHULTZ: Ohio State Senator Nina Turner, thank you for joining us tonight. Thanks for your time.
(BEGIN VIDEOTAPE)
SHULTZ (voice-over): It‘s not only Kasich. From Alaska to New Jersey, Republican budget plans just don‘t add up. I‘ll tell you why.
Next: tax breaks for millionaires at the expense of school kids. I mean school kids, little school kids who aren‘t going to be resourced properly. It‘s all part of the broad Republican effort to crush the middle class in America. Former Pennsylvania Governor Ed Rendell will join me on that issue.
WISCONSIN
SCHULTZ: Welcome back to THE ED SHOW tonight and thanks for watching.
Wisconsin Governor Scott Walker‘s attack on public workers is just one part of a larger Republican agenda. Break the middle class and call it deficit reduction.
Wisconsin‘s Republican attorney general wants to appeal a judge‘s order blocking Walker‘s anti-worker bill. So, the state Justice Department filed a petition and listed Secretary of State Doug La Follette as the petitioner, as the petitioner. But as John Nichols reports, La Follette was never consulted on the petition, probably because he opposes the Walker bill and has obeyed the judge‘s order.
Meanwhile big rallies are planned in Wisconsin for this weekend. Organizers hope it will move the recall effort for several Republican senators forward in a big way.
ALASKA
Now, you would think that it would serve as a warning sign for Republicans in other states. Well, it hasn‘t. And the ones up in Alaska don‘t seem to be paying too much attention to any of this. In fact, a GOP proposal to curb collective bargaining is being modeled after the Walker bill. He‘s the hero.
Alaska‘s first overhauled its state retirement and health care system a few years back. Democratic lawmakers say the state has had difficulty retaining qualified teachers and police officers ever since that move.
NEW JERSEY
That hasn‘t stopped Governor Chris Christie in New Jersey from steamrolling public workers in his state. In fact, his cuts to education are so deep New Jersey schools have been unable to provide a, quote, “thorough and efficient education to their students.”
Now, folks, that‘s not my opinion. That‘s a ruling from a state superior court judge. He found Christie‘s budget cuts are affecting poor kids the most. He says, “Our ‘at risk‘ children are now moving further from proficiency.”
Where are we going in this country?
Joining me now is former Democratic governor of Pennsylvania, now an NBC News political analyst, Ed Rendell.
Governor, good to have you with us tonight.
I mean, it‘s not in one state. It‘s in a number of states. And they just all happen to have Republican governors and the cuts go far beyond balancing any budget.
I mean, this is so agenda driven. The millionaires get the breaks and the kids in the classroom are going to—are going to pay the price. What are they doing here, Governor?
ED RENDELL, NBC NEWS POLITICAL ANALYST: Well, no question, Ed. And as bad as the collective bargaining assault is, the assault on public education is worse because we are mortgaging our future—Pennsylvania‘s future, Florida‘s future, Ohio‘s future, Michigan‘s future.
You can‘t countenance these cuts, particularly when in those states we‘re not—not only not increasing business taxes to share the pain but we‘re cutting business taxes. We‘re giving corporations—many of whom don‘t need it—tax breaks and we‘re punishing children.
And it‘s interesting. You know, people are always fond of saying money doesn‘t make a difference in educational outcomes, Ed. Consider this -- in my years as governor, we raised education funding for our K through 12 by over $4 billion annually, over $4 billion annually.
We went from being in the bottom third in 2002 in the national test to third in the nation in 2010 on the national test. Our 8th graders finished first in reading in the country. We cut the achievement gap between minority and majority students by 28 percent.
SCHULTZ: So, this is—this is proof positive that real investment does work and real cuts will send it the other way. I want your opinion on
RENDELL: No question.
SCHULTZ: I want your opinion on this. Governor Rick Snyder in Michigan, he is going to cut per student $715, per student. Local superintendents have called the proposed cuts unfair and unacceptable, and they say it‘s nothing but an agenda to privatize all of public education. Do you agree with that?
RENDELL: Well, it is certainly tending that way. You cannot have—look, does money guarantee a great education? No. But does not having it guarantee that you‘re not going to be able to provide that education? Absolutely. We‘ve seen it time after time after time.
And, unfortunately, the burden falls most on urban school districts who have the most minority kids who come from the most difficult background to educate.
SCHULTZ: Yes.
RENDELL: And that‘s the whole ball of wax for this country. Where this country is going to be in 20 years, on the world economic stage, whether we‘re going to be the leader depends on the state of our education.
SCHULTZ: Well, can‘t we answer that tonight? We‘re not going to be the leader.
RENDELL: We‘re not.
SCHULTZ: We‘re not going to be able to compete on an international level and create the jobs we want the way we are treating public education and not everybody can afford to go to a private school.
Now, earlier tonight in the show, we talked about John Kasich‘s plan in Ohio and in Pennsylvania, Republican Governor Tom Corbett, as you know, wants to privatize state liquor stores. What do you make of all of this?
RENDELL: Well, look, privatization can be effective in certain instances, Ed. You know, we privatized a few functions, but you can‘t mortgage the future. For example, the state liquor stores produce over $100 million a year in positive income for Pennsylvania. That‘s important. That $100 million a year allowed us to do certain things. And you can‘t mortgage the future.
What you get if you sold the state stores in Pennsylvania is a one-time infusion of cash, but if you use it to try to balance the budget and Governor Corbett is now proposing that—
SCHULTZ: Yes.
RENDELL: -- it‘s gone in that year. The next year, that hole, that deficit hole comes back again in full force.
SCHULTZ: Do you think the public gets it? Do you think that there is now a strong awareness of what is unfolding in front of their eyes?
RENDELL: To some extent, yes. And it‘s interesting. I don‘t fault Tom Corbett. Tom Corbett is doing exactly what he said during the campaign.
SCHULTZ: Yes.
RENDELL: He didn‘t lie to people. He said he wasn‘t going to raise any tax. He wouldn‘t sign any increase in taxes, fees. Not even on the shale drillers in Pennsylvania who are reaping enormous profits. And he stood by it.
And I give him credit for consistency. But the public is now going to understand what they voted for, Ed.
SCHULTZ: Yes.
RENDELL: They voted for these cuts. Everybody likes the idea of cuts before raising revenue—until they specifically get confronted with cuts in education. There was a recent poll in Pennsylvania. This is amazing—
98 percent of Pennsylvanians said they didn‘t want to balance the budget by cutting public education.
RENDELL: Well, welcome to the party. That‘s exactly where he‘s going to be going, along with these other Republican governors across the country.
This is an unusual posting because it is a very long excerpt from a transcript of The Ed Show on MSNBC.
It is important because it provides evidence of class war in the United States. The class war is in the form of some state governors stealing assets from the public and putting the proceeds in their own pockets.
We would expect this behavior from the Gadafi's of the world but not from American public officials.
Our expectations would be wrong. Read below and you will see.
Ohio, Wisconsin, Michigan, Alaska, Florida
We can hope the the good people of the afflicted states will sue the officials and will vote them out of office. Time will tell. Some recent polls show that voters are ready to vote the governors out as soon as they can.
THE ED SCHULTZ SHOW, MARCH 23, 2011
ED SCHULTZ, HOST: Good evening, Americans. And welcome to THE ED SHOW, tonight from New York.
If you‘re middle class, pay attention—our top story tonight is out of Ohio. I just can‘t believe this one. It‘s on the table.
Republicans promised to be what? The party of jobs? But their top six priorities have been anything but jobs. That‘s in “The Takedown” tonight.
OHIO
All right. This is the story that should have every American fired up. It comes from the—I can‘t believe this department. Ohio Governor John Kasich—you‘ll understand why I say this—is kind of drunk with power.
Kasich‘s budget plan is all about one word: privatization—just like the rest of the guys on the right side.
Now, the governor wants to sell five state-run prisons to private companies. He wants to open state parks to oil and gas drilling. And he wants to sell leases of state-owned liquor stores for pennies on the dollar. This is a hell of scheme let me tell you.
You see—the state of Ohio licenses businesses to run liquor stores for a commission. Now, liquor sales generate about $228 million in revenue for the state treasury every year. Governor Kasich wants to funnel that money to a private, economic development organization called—catch this
Jobs Ohio.
Remember that—Jobs Ohio.
Kasich created this private organization to replace the Ohio Department of Development, which was a state-run agency for job recruitment and retention.
Now, Jobs Ohio, you know what they‘re going to do? They‘re going to buy the liquor licenses from the state for $1.5 billion.
But, Houston, we got a small problem here. They don‘t have the money.
So, they‘re going to raise $1.5 billion by selling the 30-year lease of nearly $6.8 billion of Ohio liquor profits to where? Wall Street investors.
Well, liquor revenue, which belongs to the state of Ohio, will now be sitting in the bank accounts of Wall Street investors.
Who would make such a stupid business decision after what we‘ve been through with Wall Street? Oh, I should have done this earlier in the show.
I should have introduced you to the new chairman of Jobs Ohio—you got it: Governor John Kasich. He appointed himself the chairman.
Now, this plan, folks, you need to know this does nothing to create jobs but it takes money from the Ohio treasury to pay off Kasich‘s buddies on Wall Street. Governor Kasich says the liquor revenues are a good investment because he expects Ohioans just to keep on drinking more.
(BEGIN VIDEO CLIP)
GOV. JOHN KASICH ®, OHIO: There are people that want to buy this thing because there is a natural wedge that gets created because over here, people drink more. I mean, it‘s just a natural revenue stream so everybody wanted to buy it. Everybody was interested in it.
(END VIDEO CLIP)
SCHULTZ: Ah, tough times, everybody‘s buying booze. Now, you have to be drunk to have this make any sense. But Kasich is following the new Republican playbook for power in revenue—use deceptive advertising, push polls, rig the elections and lie about your opponent to get elected.
Pass laws creating new departments through tactical maneuvers that cut out minority input, and, of course, make sure that new department is a public/private partnership. That always works.
Make yourself chairman of that new department. And then you really got control.
Take that government revenue stream—you know what you got to do with it? You got to sell it to Wall Street.
And, of course, use a lame duck session in office to privatize the new department. And who knows? You might retire rich when it‘s all said and done.
Governor Kasich is following that model to a T and he is showing no signs of stopping.
(BEGIN VIDEO CLIP)
KASICH: There are more privatizations to come. They are not in this budget, but we‘re seeking broad authority for additional privatization.
(END VIDEO CLIP)
SCHULTZ: Additional privatization. It‘s the answer to everything.
Republicans want to treat government like a business and people like commodities. They have no sense of economic patriotism or social justice, so Governor John Kasich and other Republicans, I think, need to quit acting like used car salesmen and start acting like the public servants that they were elected to be. It is hard to believe that the country is not totally focused on what this group of Republican governors is actually doing to the infrastructure of America. We are talking about millions of American workers who are being affected by this. And we‘re also talking about the next generation that may not have a say in all of this.
MICHIGAN
I mean, you look at the state of Michigan and what they‘re doing with education. It‘s unbelievable. They‘re making cuts to the point where they‘ve got this new law in there that we talked about the other night that if you run a deficit the state can come over, come in and take over your district. Where do you think that‘s going to put public education?
I mean, it is just one domino after another with these Republican governors. And what‘s happening in Ohio, it is going to be happening in other states that are run by Republicans.
This is the way they are going to chip away at wages, break unions, kill collective bargaining, and turn to the public and say, hey, we‘re giving you a real good deal and we think you can make more money on Wall Street. Who wants to gamble like that with the public‘s money?
Get your cell phones out. I want to know what you think. Tonight‘s question: Will Governor Kasich‘s privatization plans create jobs in Ohio? Text “A” for yes, text “B” for no to 622639. Or go to our new blog at Ed.MSNBC.com. We‘ll bring you the results later on in the show.
OHIO
Now, joining me now is Ohio State Senator Nina Turner.
Nina, good to have you with us tonight.
When I first read this story, I thought of you first because you‘ve been on this show and you have been—you know, a “tell it like it is” representative senator for the state of Ohio. What was your reaction when you first heard about this plan dealing with the liquor licenses ending up as an investment on Wall Street?
STATE SEN. NINA TURNER (D), OHIO: Well, thank you, Ed, so much. I was surprised. I think everybody in the general assembly should pause.
And let me tell you, Ed, this bill at least in the Senate did receive some bipartisan support because folks are desperate for jobs. But the way it was sold to the general assembly is that they were going to utilize private money to market, for—to spur employment, and now come to find out they want to use the liquor sales to do this -- $700 million to pay back bonds and $500 million as one time funds to close the budget deficit for $1.2 billion.
And as you stated so eloquently—I mean, these bonds are going to be sold on the market. Somebody is going to make that money, and it‘s surely not going to be the teacher that‘s making $50,000 a year or the firefighter or the police officer that may be making $60,000 or $70,000 a year.
Something is awfully wrong with the plan in the state of Ohio that seeks to privatize the profits but socialize the risks.
SCHULTZ: Senator Turner, what will the loss of this kind of money mean, you know, $6 billion, in liquor revenue over the next few decades? I mean, this is a gamble. There‘s no guarantee this is going to work. Can the state play with this money?
TURNER: Really, there is no guarantee. And liquor, you know, the money that comes into the—into the general fund for that is a—it is a stable funding source. So, yes, we‘re taking a risk. Why wouldn‘t it be more prudent to put a shorter time line but to lock in future governors and future general assemblies over 20, 25 years for a plan that has not created one job? It is absolutely irresponsible.
SCHULTZ: So this plan, in your opinion, will not create jobs?
TURNER: Well, that remains to be seen. But it hasn‘t created one yet.
And again, all of the tax we have on middle class and working class men and women in this state and then to have the unadulterated gall to put the state at risk like this, to deceive the general assembly—because that‘s exactly what happened. Again, when this bill was touted it was touted as one that would use private money to spur this kind of development and now, the turn-around to use money that comes—
SCHULTZ: Yes.
TURNER: -- to the state of Ohio in this way is absolutely unconscionable.
SCHULTZ: What‘s your response to the governor appointing himself chairman of Jobs Ohio?
TURNER: Well, Ed --
SCHULTZ: I mean, this is unbelievable. I mean, this guy gets elected. He dumps the state agency, makes himself the chairman of Jobs Ohio, gets some help with his Republican buddies to take the liquor money and go play with it on Wall Street.
TURNER: We certainly need to have an objective approach to do this. It‘s almost like the fox watching the hen house, Ed. I mean, we should definitely question the way that this is being run.
SCHULTZ: Can the Democrats do anything to stop this?
TURNER: Well, Ed, again, in the Senate, it passed bipartisan and in a bipartisan way. We are certainly for economic development. But why should the taxpayers bear the brunt of the burden on an experiment that has not proven itself? I will tell you that the Democrats are going to stand strong. We‘re going to stand strong for working class men and women in the state of Ohio.
And I want to remind us we are fighting—fighting in the state of Ohio to make sure that our workers continue to have the collective bargaining rights.
You know, the American Dream is going to be no more. It‘s turning into the American nightmare. And if you are not ultra wealthy, you can forget about it. And that‘s why all of us should care about what‘s happening in Ohio, what‘s happening in Wisconsin.
You know, Dr. King once said that the arc of the moral universe is long but it bends towards justice.
And I want the folks in the state of Ohio to remain encouraged that we‘re going to continue to be vigilant to make sure that folks still have the opportunity to pursue the American Dream. For some, if you‘re middle class and working class, you shouldn‘t have any rights. But we‘re not going to stand idly by and let this happen in the state of Ohio.
SCHULTZ: Nina Turner, you are a fighter for the people, no doubt about it.
But I want to ask you one final question on this issue. Now, this obviously is going to line the pockets of some Wall Streeters. They‘re going to remember who the guy in Ohio—you know, who was responsible for this. If this works, it‘s a big gamble—if it works, do you think John Kasich has presidential aspirations? You can‘t get to the White House without connections on Wall Street.
TURNER: Well, Ed, that is—we should certainly deal with how much it cost to run a presidential campaign. But for now, the citizens of the state of Ohio need a governor who cares about what happens here in Ohio for the 11.5 million people he was elected to serve.
SCHULTZ: Does he care more about Wall Street—does he care more about Wall Street than he does the citizens of Ohio?
TURNER: Well, Ed, that is a question for the governor, but I will tell you that we have a lot of suffering going on here besides Senate Bill 5. This House Bill 159 that seeks to take away some voting rights. I mean, we have a lot of issues in the state of Ohio that we have to work on collectively, and I hope all of the citizens in this state, both Democrat and Republican, are watching what happens as the middle class goes, so do the rest of us.
So, I am really about working very, very hard, along my other Democratic colleagues and some other folks of good consciousness, to make sure that there is an American Dream for other folks to inherit and to make sure that all folks had the opportunity to pursue happiness.
SCHULTZ: All folks. That is the key phrase.
TURNER: Yes.
SCHULTZ: Ohio State Senator Nina Turner, thank you for joining us tonight. Thanks for your time.
(BEGIN VIDEOTAPE)
SHULTZ (voice-over): It‘s not only Kasich. From Alaska to New Jersey, Republican budget plans just don‘t add up. I‘ll tell you why.
Next: tax breaks for millionaires at the expense of school kids. I mean school kids, little school kids who aren‘t going to be resourced properly. It‘s all part of the broad Republican effort to crush the middle class in America. Former Pennsylvania Governor Ed Rendell will join me on that issue.
WISCONSIN
SCHULTZ: Welcome back to THE ED SHOW tonight and thanks for watching.
Wisconsin Governor Scott Walker‘s attack on public workers is just one part of a larger Republican agenda. Break the middle class and call it deficit reduction.
Wisconsin‘s Republican attorney general wants to appeal a judge‘s order blocking Walker‘s anti-worker bill. So, the state Justice Department filed a petition and listed Secretary of State Doug La Follette as the petitioner, as the petitioner. But as John Nichols reports, La Follette was never consulted on the petition, probably because he opposes the Walker bill and has obeyed the judge‘s order.
Meanwhile big rallies are planned in Wisconsin for this weekend. Organizers hope it will move the recall effort for several Republican senators forward in a big way.
ALASKA
Now, you would think that it would serve as a warning sign for Republicans in other states. Well, it hasn‘t. And the ones up in Alaska don‘t seem to be paying too much attention to any of this. In fact, a GOP proposal to curb collective bargaining is being modeled after the Walker bill. He‘s the hero.
Alaska‘s first overhauled its state retirement and health care system a few years back. Democratic lawmakers say the state has had difficulty retaining qualified teachers and police officers ever since that move.
NEW JERSEY
That hasn‘t stopped Governor Chris Christie in New Jersey from steamrolling public workers in his state. In fact, his cuts to education are so deep New Jersey schools have been unable to provide a, quote, “thorough and efficient education to their students.”
Now, folks, that‘s not my opinion. That‘s a ruling from a state superior court judge. He found Christie‘s budget cuts are affecting poor kids the most. He says, “Our ‘at risk‘ children are now moving further from proficiency.”
Where are we going in this country?
Joining me now is former Democratic governor of Pennsylvania, now an NBC News political analyst, Ed Rendell.
Governor, good to have you with us tonight.
I mean, it‘s not in one state. It‘s in a number of states. And they just all happen to have Republican governors and the cuts go far beyond balancing any budget.
I mean, this is so agenda driven. The millionaires get the breaks and the kids in the classroom are going to—are going to pay the price. What are they doing here, Governor?
ED RENDELL, NBC NEWS POLITICAL ANALYST: Well, no question, Ed. And as bad as the collective bargaining assault is, the assault on public education is worse because we are mortgaging our future—Pennsylvania‘s future, Florida‘s future, Ohio‘s future, Michigan‘s future.
You can‘t countenance these cuts, particularly when in those states we‘re not—not only not increasing business taxes to share the pain but we‘re cutting business taxes. We‘re giving corporations—many of whom don‘t need it—tax breaks and we‘re punishing children.
And it‘s interesting. You know, people are always fond of saying money doesn‘t make a difference in educational outcomes, Ed. Consider this -- in my years as governor, we raised education funding for our K through 12 by over $4 billion annually, over $4 billion annually.
We went from being in the bottom third in 2002 in the national test to third in the nation in 2010 on the national test. Our 8th graders finished first in reading in the country. We cut the achievement gap between minority and majority students by 28 percent.
SCHULTZ: So, this is—this is proof positive that real investment does work and real cuts will send it the other way. I want your opinion on
RENDELL: No question.
SCHULTZ: I want your opinion on this. Governor Rick Snyder in Michigan, he is going to cut per student $715, per student. Local superintendents have called the proposed cuts unfair and unacceptable, and they say it‘s nothing but an agenda to privatize all of public education. Do you agree with that?
RENDELL: Well, it is certainly tending that way. You cannot have—look, does money guarantee a great education? No. But does not having it guarantee that you‘re not going to be able to provide that education? Absolutely. We‘ve seen it time after time after time.
And, unfortunately, the burden falls most on urban school districts who have the most minority kids who come from the most difficult background to educate.
SCHULTZ: Yes.
RENDELL: And that‘s the whole ball of wax for this country. Where this country is going to be in 20 years, on the world economic stage, whether we‘re going to be the leader depends on the state of our education.
SCHULTZ: Well, can‘t we answer that tonight? We‘re not going to be the leader.
RENDELL: We‘re not.
SCHULTZ: We‘re not going to be able to compete on an international level and create the jobs we want the way we are treating public education and not everybody can afford to go to a private school.
Now, earlier tonight in the show, we talked about John Kasich‘s plan in Ohio and in Pennsylvania, Republican Governor Tom Corbett, as you know, wants to privatize state liquor stores. What do you make of all of this?
RENDELL: Well, look, privatization can be effective in certain instances, Ed. You know, we privatized a few functions, but you can‘t mortgage the future. For example, the state liquor stores produce over $100 million a year in positive income for Pennsylvania. That‘s important. That $100 million a year allowed us to do certain things. And you can‘t mortgage the future.
What you get if you sold the state stores in Pennsylvania is a one-time infusion of cash, but if you use it to try to balance the budget and Governor Corbett is now proposing that—
SCHULTZ: Yes.
RENDELL: -- it‘s gone in that year. The next year, that hole, that deficit hole comes back again in full force.
SCHULTZ: Do you think the public gets it? Do you think that there is now a strong awareness of what is unfolding in front of their eyes?
RENDELL: To some extent, yes. And it‘s interesting. I don‘t fault Tom Corbett. Tom Corbett is doing exactly what he said during the campaign.
SCHULTZ: Yes.
RENDELL: He didn‘t lie to people. He said he wasn‘t going to raise any tax. He wouldn‘t sign any increase in taxes, fees. Not even on the shale drillers in Pennsylvania who are reaping enormous profits. And he stood by it.
And I give him credit for consistency. But the public is now going to understand what they voted for, Ed.
SCHULTZ: Yes.
RENDELL: They voted for these cuts. Everybody likes the idea of cuts before raising revenue—until they specifically get confronted with cuts in education. There was a recent poll in Pennsylvania. This is amazing—
98 percent of Pennsylvanians said they didn‘t want to balance the budget by cutting public education.
RENDELL: Well, welcome to the party. That‘s exactly where he‘s going to be going, along with these other Republican governors across the country.
Tuesday, March 22, 2011
Propping Up the Free State
Hey Barry:
Seems from media reports that military and civil structures in the Benghazi area are a little weak. Let's be clear, whoever stays around will be involved in nation building. We have given them hope with our military actions.
We have to deliver results to avoid a return of despair and violence. Libya now is governed by fear and violence. After Gadafi goes, they will need a better system. If the West fails to see a better system installed, then we will see the rise of terrorism.
Here's a strategy to fix that problem while avoiding the 'Ugly American' perplex we see in Iraq.
One of the problems in Iraq was that we destroyed all civil structures and then would not allow anybody from the prior regime to work. Result - no talent and a big mess.
Let's riff on the early Roman model: they invited in anyone who wanted to come provided they would work. Later, they turned to slavery, but in the beginning they had a very open, egalitarian society.
It's hard to create the best system for Libya from an armchair in California, but perhaps some suggestions will be useful.
A critical first step is to establish effective military command and control, then develop rapid training of raw recruits. If that does not happen the war will either be lost or devolve into a deadly stalemate.
Regards civil society, there are some basic steps:
1. Secure oil revenues by controlling the fields and opening the port - needed to provide revenue source;
2. Divide territory into smallish areas and hold elections immediately for a constitutional convention and/or legislature - needed to defuse tensions and begin building civil society;
3. Offer amnesty to all Gadafi deserters who sign a loyalty pledge and pass a personal interview - needed to obtain talent;
4. Establish civil society organizations immediately - schools, police, fire, water, roads, etc, etc - start the construction process; and,
5. Recruit qualified language speakers from other countries to take positions that locals do not have experience for - leave Western expats out of picture.
Well Barry, it's a start.
We are all with you and we thank you for the hope.
Your pal,
Seems from media reports that military and civil structures in the Benghazi area are a little weak. Let's be clear, whoever stays around will be involved in nation building. We have given them hope with our military actions.
We have to deliver results to avoid a return of despair and violence. Libya now is governed by fear and violence. After Gadafi goes, they will need a better system. If the West fails to see a better system installed, then we will see the rise of terrorism.
Here's a strategy to fix that problem while avoiding the 'Ugly American' perplex we see in Iraq.
One of the problems in Iraq was that we destroyed all civil structures and then would not allow anybody from the prior regime to work. Result - no talent and a big mess.
Let's riff on the early Roman model: they invited in anyone who wanted to come provided they would work. Later, they turned to slavery, but in the beginning they had a very open, egalitarian society.
It's hard to create the best system for Libya from an armchair in California, but perhaps some suggestions will be useful.
A critical first step is to establish effective military command and control, then develop rapid training of raw recruits. If that does not happen the war will either be lost or devolve into a deadly stalemate.
Regards civil society, there are some basic steps:
1. Secure oil revenues by controlling the fields and opening the port - needed to provide revenue source;
2. Divide territory into smallish areas and hold elections immediately for a constitutional convention and/or legislature - needed to defuse tensions and begin building civil society;
3. Offer amnesty to all Gadafi deserters who sign a loyalty pledge and pass a personal interview - needed to obtain talent;
4. Establish civil society organizations immediately - schools, police, fire, water, roads, etc, etc - start the construction process; and,
5. Recruit qualified language speakers from other countries to take positions that locals do not have experience for - leave Western expats out of picture.
Well Barry, it's a start.
We are all with you and we thank you for the hope.
Your pal,
Monday, March 21, 2011
UPDATE May 17, 2011:Fix the Nukes
Hey Barry:
So, here's the thing. I was driving home and heard a PBS/NPR interview on Japan with an English expert whose name I do not remember.
No nice way. Barry.
Bottom line, Barry: TEPCO lied to us for two months. AND, we all - USA, English, et al - use the same approaches to managing nuclear power.
THAT UNIVERSAL APPROACH IS WRONG. IT DOES NOT WORK.
"Managing nuclear power safely is beyond human capacity."
Our best is not enough, Barry.
We gotta get out of this ASAP.
No more nukes.
your pal,
**********************************************
Hey Barry:
This is personal: we knew someone who died in Russia because of Chernobyl.
Cuomo's right - no time for BS here.
We gotta shut them down until we fix what we learn from Japan or replace them with safer plants.
Don't even think about profits in the bizness, Barry. That's not your job. Your job is not to kill us.
Sorry for the tone, Barry, but it's life and death here.
The plants will fail. Period
They will fail and people - Americans this time - will die.
Don't want to hear about risk calculations and odds, Barry, I just don't want to die from radiation poisoning so some corporation can make a couple dollars.
Your pal,
So, here's the thing. I was driving home and heard a PBS/NPR interview on Japan with an English expert whose name I do not remember.
No nice way. Barry.
Bottom line, Barry: TEPCO lied to us for two months. AND, we all - USA, English, et al - use the same approaches to managing nuclear power.
THAT UNIVERSAL APPROACH IS WRONG. IT DOES NOT WORK.
"Managing nuclear power safely is beyond human capacity."
Our best is not enough, Barry.
We gotta get out of this ASAP.
No more nukes.
your pal,
**********************************************
Hey Barry:
This is personal: we knew someone who died in Russia because of Chernobyl.
Cuomo's right - no time for BS here.
We gotta shut them down until we fix what we learn from Japan or replace them with safer plants.
Don't even think about profits in the bizness, Barry. That's not your job. Your job is not to kill us.
Sorry for the tone, Barry, but it's life and death here.
The plants will fail. Period
They will fail and people - Americans this time - will die.
Don't want to hear about risk calculations and odds, Barry, I just don't want to die from radiation poisoning so some corporation can make a couple dollars.
Your pal,
Benghazi Free State
Hey Barry:
Been thinking about Libya. Here's my question: What's next?
Of course the best option is that Gadafi leaves the country - doesn't matter if he leaves on his feet or in a body bag - but that is not guaranteed.
We are locked into this one, Barry, we and our allies can't walk away until he is gone. It may take some time, but we have to stay the course. If we quit before he is gone, the future will be like the past - evil and miserable.
If he manages to stay around our second choice is to march in with guns blazing. Then, there we are in three wars. Itsa a bad idea, Barry, which I think you already know.
Third choice is that he holds on while we bleed money from him and fund a civil war. That's more likely, but lots of people will die.
Here's a twist on the third option - maybe it can speed up Gadafi's inevitable demise.
Let's create the Benghazi Free State. It's goal is to speed up Gadafi's demise by taking his people and his money. After that job is done, then the Free State can be absorbed back into Libya.
Here's how we can do it:
1. Establish refugee camps inside the Free State that offer shelter to anyone who comes in voluntarily from Libya. The attraction is food, shelter, Western style medical care and safety from retribution.
2. With force or bribery, take over the oil fields in the eastern part of the country. Then, sell the oil from Benghazi terminals. It won't even matter if some of the oil is 'donated' to the Free State from Libya. Even if some of the oil is bought by the Free State, the sellers have probably stolen it from the Libyan government and the money will not go to Gadafi.
After awhile most of the population will either be in the Free state or want to be there.
Your pal,
Been thinking about Libya. Here's my question: What's next?
Of course the best option is that Gadafi leaves the country - doesn't matter if he leaves on his feet or in a body bag - but that is not guaranteed.
We are locked into this one, Barry, we and our allies can't walk away until he is gone. It may take some time, but we have to stay the course. If we quit before he is gone, the future will be like the past - evil and miserable.
If he manages to stay around our second choice is to march in with guns blazing. Then, there we are in three wars. Itsa a bad idea, Barry, which I think you already know.
Third choice is that he holds on while we bleed money from him and fund a civil war. That's more likely, but lots of people will die.
Here's a twist on the third option - maybe it can speed up Gadafi's inevitable demise.
Let's create the Benghazi Free State. It's goal is to speed up Gadafi's demise by taking his people and his money. After that job is done, then the Free State can be absorbed back into Libya.
Here's how we can do it:
1. Establish refugee camps inside the Free State that offer shelter to anyone who comes in voluntarily from Libya. The attraction is food, shelter, Western style medical care and safety from retribution.
2. With force or bribery, take over the oil fields in the eastern part of the country. Then, sell the oil from Benghazi terminals. It won't even matter if some of the oil is 'donated' to the Free State from Libya. Even if some of the oil is bought by the Free State, the sellers have probably stolen it from the Libyan government and the money will not go to Gadafi.
After awhile most of the population will either be in the Free state or want to be there.
Your pal,
Tuesday, March 15, 2011
UPDATE 3.19.11: War for Benghazi
Hey Barry:
Today, 3.19.11 French government claims its planes are preventing Gadafi's planes from attacking Benghazi while Gadafi's mercenaries try to enter the city.
Yesterday, 3.17.11, the UN authorized a no fly zone and the government of Libya announced a cease fire.
Good news.
********************
My heart is heavy reading news from Benghazi [http://www.nytimes.com/2011/03/16/world/africa/16libya.html]. I have seen photos of a young man with his brains blown out of his skull by a .50 sniper rifle and of another with his thigh bone sticking our from his crossed legs where he was tortured before he was killed.
And now the Saudis are sending troops to Bahrain to 'control' the protestors. Saif Gadafi calls rebels 'rats and cats we will hunt down.'
Yes it is an old story, but sometimes it seems that evil is winning.
I know the USA cannot enter the battle with guns blazing. But, let us at least grieve for the hope that is dying today; and then let us give what support we can to the young people who want to feed their families and live in peace.
Your pal,
Today, 3.19.11 French government claims its planes are preventing Gadafi's planes from attacking Benghazi while Gadafi's mercenaries try to enter the city.
Yesterday, 3.17.11, the UN authorized a no fly zone and the government of Libya announced a cease fire.
Good news.
********************
My heart is heavy reading news from Benghazi [http://www.nytimes.com/2011/03/16/world/africa/16libya.html]. I have seen photos of a young man with his brains blown out of his skull by a .50 sniper rifle and of another with his thigh bone sticking our from his crossed legs where he was tortured before he was killed.
And now the Saudis are sending troops to Bahrain to 'control' the protestors. Saif Gadafi calls rebels 'rats and cats we will hunt down.'
Yes it is an old story, but sometimes it seems that evil is winning.
I know the USA cannot enter the battle with guns blazing. But, let us at least grieve for the hope that is dying today; and then let us give what support we can to the young people who want to feed their families and live in peace.
Your pal,
Thursday, March 10, 2011
Governing the Revolutions
Hey Barry:
Looks like a few countries will be installing brand new governments. I'm sure y'all will issue real congratulations and offer them any help they want.
That's all good so long as we don't be Ugly Americans about it. Here's the thing - we are not 'xactly seen as squeaky clean bearers of gifts in that area. After all, we are shooting and bombing people in at least two countries today and also we are big supporters of Israel.
So whatever we say or do is gonna be looked at real suspiciously. Hillary's all over that so we don't have to belabor it.
The rest of this is not about you, even though you may be interested.
It's a little out of my league of economic policies, but I'm gonna offer some ideas directly to the folks who will be running those countries soon. Maybe the ideas can be useful.
IT'S HARD - SO KEEP SOME FOLKS
Managing a country where your people just kicked out the people who ran the place is real hard. There's a temptation to arrest and ban anyone who was in the prior government. Only trouble is: they know what to do.
It's worth trying to keep some experts around so the country will run smoothly. It's a balancing act to keep the experts from the prior government in their job AND be sure they are loyal to the new government. And it'll be even harder when tribes are involved. Remember that most of the former regime's supporters just wanted a job and said what they had to say.
Suggestion: Make sure all the critical decisions require at least two people to sign off. Don't let any single person decide critical issues. And make sure one of the signers is loyal to the new government. For those folks from the prior government, make them sign a loyalty oath and personally interview them to decide if you can trust them. Do this with respect and sincerity. Together with requiring at least two people to approve major decisions, that should reduce problems.
Whenever you're in doubt about a person with critical skills, remember the world is full of expats who would love a good paying job. Hire a foreigner who has no connection in the country to run a technical operation.
THE OTHER GUYS ARE CROOKS
Of course they are. That's why your revolution won the war.
Now, you need to show compassion and grace. Do not torture or execute them. Do put them on trial for all their crimes and then put them in jail. Seize all their illegally gained assets. Any property they acquired while acting in an official capacity should be forfeit.
Don't waste time on vendettas. You have a lot of work that needs your attention. If you act wisely you will get respect from your people and from the international community - both of which are more important than lynching some petty crook.
MODERATING HOPE
Your followers want everything to change right now. If you encourage that feeling, you will disappoint them. It is inevitable; reality will always lag behind dreams. The difficulty for you is that when your follower's hopes run ahead of your delivering results, you may be the next government to suffer revolution.
Here's a two prong approach to that problem. First, frequently give speeches and press conferences where you list all the difficulties in running the country. The goal is to educate people about how hard it is and to simultaneously reduce their expectation about the pace of change.
Second, create real job openings and create real help for people who want to start small businesses. Your goal is to give some of your followers a real path to a good life. That will mean some new bureaucracies and maybe some help from expats. As word of the new programs spreads throughout your followers, it will reduece frustrations.
The combination of reducing expectations and simultaneously providing real opportunities makes it easier to keep the peace.
REDUCE CORRUPTION
A lot of money was leaving your country because some former government officials were stealing it and sending it to Swiss banks.
Of course, you will put those officials on trial. Then the big question is how to prevent a new generation of crooks.
One good answer is to create an open bidding process. In other words whenever there is a government contract to be awarded, award it to the highest bidder or lowest cost provider depending on the contract.
If the bidding process is public with a public review of the contracts, then corruption is less liklely.
ELECTIONS
Hold elections as quickly and as often as possible. Officials at every level should be elected - national, provincial, local.
Anyone who has authority should be elected by the people over whom he has authority. The only permissable deviation is when an election is so obviously crooked that the results will not represent the will of the people.
FREE PRESS
Please take a lesson from the USA. A free press is critical to any honest government. reporters are the eyes and ears of the public. They are what makes any government action subject to review. If there is no free press, there will be more corruption.
Everyone in the world wants you to succeed. Don't be shy about asking for help.
Your pal,
Looks like a few countries will be installing brand new governments. I'm sure y'all will issue real congratulations and offer them any help they want.
That's all good so long as we don't be Ugly Americans about it. Here's the thing - we are not 'xactly seen as squeaky clean bearers of gifts in that area. After all, we are shooting and bombing people in at least two countries today and also we are big supporters of Israel.
So whatever we say or do is gonna be looked at real suspiciously. Hillary's all over that so we don't have to belabor it.
The rest of this is not about you, even though you may be interested.
It's a little out of my league of economic policies, but I'm gonna offer some ideas directly to the folks who will be running those countries soon. Maybe the ideas can be useful.
IT'S HARD - SO KEEP SOME FOLKS
Managing a country where your people just kicked out the people who ran the place is real hard. There's a temptation to arrest and ban anyone who was in the prior government. Only trouble is: they know what to do.
It's worth trying to keep some experts around so the country will run smoothly. It's a balancing act to keep the experts from the prior government in their job AND be sure they are loyal to the new government. And it'll be even harder when tribes are involved. Remember that most of the former regime's supporters just wanted a job and said what they had to say.
Suggestion: Make sure all the critical decisions require at least two people to sign off. Don't let any single person decide critical issues. And make sure one of the signers is loyal to the new government. For those folks from the prior government, make them sign a loyalty oath and personally interview them to decide if you can trust them. Do this with respect and sincerity. Together with requiring at least two people to approve major decisions, that should reduce problems.
Whenever you're in doubt about a person with critical skills, remember the world is full of expats who would love a good paying job. Hire a foreigner who has no connection in the country to run a technical operation.
THE OTHER GUYS ARE CROOKS
Of course they are. That's why your revolution won the war.
Now, you need to show compassion and grace. Do not torture or execute them. Do put them on trial for all their crimes and then put them in jail. Seize all their illegally gained assets. Any property they acquired while acting in an official capacity should be forfeit.
Don't waste time on vendettas. You have a lot of work that needs your attention. If you act wisely you will get respect from your people and from the international community - both of which are more important than lynching some petty crook.
MODERATING HOPE
Your followers want everything to change right now. If you encourage that feeling, you will disappoint them. It is inevitable; reality will always lag behind dreams. The difficulty for you is that when your follower's hopes run ahead of your delivering results, you may be the next government to suffer revolution.
Here's a two prong approach to that problem. First, frequently give speeches and press conferences where you list all the difficulties in running the country. The goal is to educate people about how hard it is and to simultaneously reduce their expectation about the pace of change.
Second, create real job openings and create real help for people who want to start small businesses. Your goal is to give some of your followers a real path to a good life. That will mean some new bureaucracies and maybe some help from expats. As word of the new programs spreads throughout your followers, it will reduece frustrations.
The combination of reducing expectations and simultaneously providing real opportunities makes it easier to keep the peace.
REDUCE CORRUPTION
A lot of money was leaving your country because some former government officials were stealing it and sending it to Swiss banks.
Of course, you will put those officials on trial. Then the big question is how to prevent a new generation of crooks.
One good answer is to create an open bidding process. In other words whenever there is a government contract to be awarded, award it to the highest bidder or lowest cost provider depending on the contract.
If the bidding process is public with a public review of the contracts, then corruption is less liklely.
ELECTIONS
Hold elections as quickly and as often as possible. Officials at every level should be elected - national, provincial, local.
Anyone who has authority should be elected by the people over whom he has authority. The only permissable deviation is when an election is so obviously crooked that the results will not represent the will of the people.
FREE PRESS
Please take a lesson from the USA. A free press is critical to any honest government. reporters are the eyes and ears of the public. They are what makes any government action subject to review. If there is no free press, there will be more corruption.
Everyone in the world wants you to succeed. Don't be shy about asking for help.
Your pal,
Sunday, March 6, 2011
U S Policy in Post Revolutionary Africa, Asia
Hey Barry:
The revolutions will end soon. Now's the time to think about what the world will look like in a year or two.
Pretty much there will be two possibilities. We can hope that most of the countries will implement stable, representative governments similar to Turkey and Indonesia.
Middle East expert and Professor of Political Science at East Tennessee State University Dilshod A. Achilov has suggested that both countries can be models for future secular, representative governments; read an interview here: http://www.ibtimes.com/articles/117500/20110301/turkey-indonesia-arab-revolt.htm
The other possibility is that some dictators will survive and continue to torture their populations.
The best policy for our national security is for the US to establish contacts with each of the revolutionary movements immediately. The goal should be to see how we can help them create hope in their country without co-opting their energy. There is no doubt that countries where people hope for a better future are less likely to produce terrorists.
I want to repeat that: our national security is established ONLY when people in poor countries have hope for their future. People with no hope breed terrorists. Plain and simple, Barry; no doubt about it.
If we retreat to our past practice of choosing autocrats and dictators who say they will protect our commercial interests we will be attacked increasingly. And, we will deserve it.
We gotta be on the right side Barry. The world is changing fast. The world's population has grown from about 2 billion in 1950 to a projected 10 billion in 2150.
Last time I looked, there is no more water, oil or land being made Barry. That gonna mean we looking at more wars over survival coming down the road.
It's another big choice, Barry.
One you will make. Just you.
Please chose wisely.
Your pal,
The revolutions will end soon. Now's the time to think about what the world will look like in a year or two.
Pretty much there will be two possibilities. We can hope that most of the countries will implement stable, representative governments similar to Turkey and Indonesia.
Middle East expert and Professor of Political Science at East Tennessee State University Dilshod A. Achilov has suggested that both countries can be models for future secular, representative governments; read an interview here: http://www.ibtimes.com/articles/117500/20110301/turkey-indonesia-arab-revolt.htm
The other possibility is that some dictators will survive and continue to torture their populations.
The best policy for our national security is for the US to establish contacts with each of the revolutionary movements immediately. The goal should be to see how we can help them create hope in their country without co-opting their energy. There is no doubt that countries where people hope for a better future are less likely to produce terrorists.
I want to repeat that: our national security is established ONLY when people in poor countries have hope for their future. People with no hope breed terrorists. Plain and simple, Barry; no doubt about it.
If we retreat to our past practice of choosing autocrats and dictators who say they will protect our commercial interests we will be attacked increasingly. And, we will deserve it.
We gotta be on the right side Barry. The world is changing fast. The world's population has grown from about 2 billion in 1950 to a projected 10 billion in 2150.
Last time I looked, there is no more water, oil or land being made Barry. That gonna mean we looking at more wars over survival coming down the road.
It's another big choice, Barry.
One you will make. Just you.
Please chose wisely.
Your pal,
Wednesday, March 2, 2011
UPDATE 3.5.11: LSE Director Resigns Over Libya Funds
Hey Barry:
The Director of the London School of Economics, my gradschool, resigned because the school took funds from Gaddafi to train Libyans. One of his sons - Saif - took a PhD there - his dissertation is being examined for plagiarism.
read it here: http://english.aljazeera.net/video/europe/2011/03/20113552018397827.html
Tweet, Friday 3.4.11, 6.00 pm PST:... afeedalmukhtar RT @LibyaInMe: IT IS NOW CONFIRMED:More than 100 left dead in streets of Zawiya and snipers are killing the injured in the hospitals #libya #feb17 #gaddafi
3.2.11: Gaddafi is bombing cities.
From AlJazeera's live blog: http://blogs.aljazeera.net/live/africa/live-blog-libya-march-2
4:14pm
Al Jazeera's Tony Birtley was just on the phone with us - 10km away from the oil-rich town of Brega. As we spoke, he was watching a Libyan airforce jet bombing the area.
It’s now an air attack. We just watched an air force jet from the Libyan air force fly over Brega and drop at least one bomb - and huge plumes of smoke are now coming out over Brega. Another bombed near our position, where anti-Gaddafi forces have gathered.
All the fighters here are massing. We understand that something like 250-300 pro-Gaddafi fighters inside Brega and they are being surrounded.
Gaddafi is still a force to be reckoned with, he is not giving up.
The population here want an air exclusion zone to prevent this sort of attack - but they don'twant foreign troops on the ground.
All major oil and gas installations in the town are in thehands of the opposition. We believe this is the main reason for the attack.
The Director of the London School of Economics, my gradschool, resigned because the school took funds from Gaddafi to train Libyans. One of his sons - Saif - took a PhD there - his dissertation is being examined for plagiarism.
read it here: http://english.aljazeera.net/video/europe/2011/03/20113552018397827.html
Tweet, Friday 3.4.11, 6.00 pm PST:... afeedalmukhtar RT @LibyaInMe: IT IS NOW CONFIRMED:More than 100 left dead in streets of Zawiya and snipers are killing the injured in the hospitals #libya #feb17 #gaddafi
3.2.11: Gaddafi is bombing cities.
From AlJazeera's live blog: http://blogs.aljazeera.net/live/africa/live-blog-libya-march-2
4:14pm
Al Jazeera's Tony Birtley was just on the phone with us - 10km away from the oil-rich town of Brega. As we spoke, he was watching a Libyan airforce jet bombing the area.
It’s now an air attack. We just watched an air force jet from the Libyan air force fly over Brega and drop at least one bomb - and huge plumes of smoke are now coming out over Brega. Another bombed near our position, where anti-Gaddafi forces have gathered.
All the fighters here are massing. We understand that something like 250-300 pro-Gaddafi fighters inside Brega and they are being surrounded.
Gaddafi is still a force to be reckoned with, he is not giving up.
The population here want an air exclusion zone to prevent this sort of attack - but they don'twant foreign troops on the ground.
All major oil and gas installations in the town are in thehands of the opposition. We believe this is the main reason for the attack.
Saturday, February 26, 2011
2.27.11 Libya - U S Policy Choices
Hey Barry:
UPDATES 2.27.11
Maybe too loudly, but Clinton says US reaching out to Libyan opposition groups in east of country. US needs to be careful - not seen as meddling. Read it here:
http://www.live5news.com/Global/story.asp?S=14149682
Gadhafi forces abandoning Tripoli:
http://www.alarabiya.net/articles/2011/02/26/139272.html
************************
OK, I know y'all aint askin, but here's my two cents about what we - the good ol US of A - oughta be doing in all the Mid-East countries, starting now.
First, let's just realize that as you read this hundreds of people are dying and bleeding from gunshots in a whole bunch of countries.
Most of the people bleeding and dying are young, well-read kids. They are just like we were a long time ago, say in about 1776 or thereabouts.
All they are asking for is a chance to create a just place where they can live in peace and have a say about their government. And, whenever they get the chance as it appears in Benghazi, they are doing just that.
The folks doing the shooting are mostly old, rich and corrupt. They are the kind of folks that we tossed out of our country.
Question is: whom do we want to side with? Cuz, Barry, we gotta choose sides, aint no way round it. If we say nothing then we is supporting the old corrupt folks against the young folks.
And, if we speak out about how good are the young people, then we are choosing revolution instead of order and stability.
What we can NOT do is send in American troops - that will just prop up the old fogeys.
Here's what we should do, Barry: Keep quiet and choose the young. We choose the young by sending in some real quiet folks who can speak the language and encourage them to develop new government structures. Part of that job is to watch for and corral the few who want to take over the energy and push it in the wrong direction. It can be done quietly, Barry.
And, maybe we can send in some folks who are good at revolutionary tactics. I'm sure hoping we have some of them Barry - we need them now. And, maybe some better weapons, Barry. I do not want to stand in a street and call out Ghadafi with a shotgun - he has .50 cal machine guns and .50 cal sniper rifles that he is using now. It's not fair.
If that is not possible because the old, corrupt folks have too much power, then we gotta lean on the old fogeys real hard. Barry, when I say 'lean on them', I do NOT mean we should 'encourage them to offer reforms.'
What I mean is that we say - in private, mind - 'Make the changes on this list and allow the young folks some of what they want, or you will be gone.' Then, we gotta mean that.
Make no mistake, the US of A cannot choose the old fogeys in all these countries. If we do that, we'll be choosing the past and the world will pass us by even faster than it is doing now.
We gotta choose the future, Barry. We just gotta chose it quietly and effectively.
Your pal,
UPDATES 2.27.11
Maybe too loudly, but Clinton says US reaching out to Libyan opposition groups in east of country. US needs to be careful - not seen as meddling. Read it here:
http://www.live5news.com/Global/story.asp?S=14149682
Gadhafi forces abandoning Tripoli:
http://www.alarabiya.net/articles/2011/02/26/139272.html
************************
OK, I know y'all aint askin, but here's my two cents about what we - the good ol US of A - oughta be doing in all the Mid-East countries, starting now.
First, let's just realize that as you read this hundreds of people are dying and bleeding from gunshots in a whole bunch of countries.
Most of the people bleeding and dying are young, well-read kids. They are just like we were a long time ago, say in about 1776 or thereabouts.
All they are asking for is a chance to create a just place where they can live in peace and have a say about their government. And, whenever they get the chance as it appears in Benghazi, they are doing just that.
The folks doing the shooting are mostly old, rich and corrupt. They are the kind of folks that we tossed out of our country.
Question is: whom do we want to side with? Cuz, Barry, we gotta choose sides, aint no way round it. If we say nothing then we is supporting the old corrupt folks against the young folks.
And, if we speak out about how good are the young people, then we are choosing revolution instead of order and stability.
What we can NOT do is send in American troops - that will just prop up the old fogeys.
Here's what we should do, Barry: Keep quiet and choose the young. We choose the young by sending in some real quiet folks who can speak the language and encourage them to develop new government structures. Part of that job is to watch for and corral the few who want to take over the energy and push it in the wrong direction. It can be done quietly, Barry.
And, maybe we can send in some folks who are good at revolutionary tactics. I'm sure hoping we have some of them Barry - we need them now. And, maybe some better weapons, Barry. I do not want to stand in a street and call out Ghadafi with a shotgun - he has .50 cal machine guns and .50 cal sniper rifles that he is using now. It's not fair.
If that is not possible because the old, corrupt folks have too much power, then we gotta lean on the old fogeys real hard. Barry, when I say 'lean on them', I do NOT mean we should 'encourage them to offer reforms.'
What I mean is that we say - in private, mind - 'Make the changes on this list and allow the young folks some of what they want, or you will be gone.' Then, we gotta mean that.
Make no mistake, the US of A cannot choose the old fogeys in all these countries. If we do that, we'll be choosing the past and the world will pass us by even faster than it is doing now.
We gotta choose the future, Barry. We just gotta chose it quietly and effectively.
Your pal,
Monday, February 21, 2011
U.S. Class War - It's On
Hey Barry:
You will probably want to skip this posting - some things are better left unread by you.
CLASS WAR TODAY
Today, there is class war in the United States.
Sadly, only one side is fighting the war. Equally sadly, that side is winning.
The two sides are the Billionaires - not millionaires, billionaires - on one side and the rest of the people on the other side.
BILLIONAIRES ARE WINNING
The Billionaire side's objective is very simply to remove any and all protections for the middle class population in the USA and to return to social policy of the 1880's.
These include but are not limited to collective bargaining, publicly funded health insurance and health care, publicly funded retirement, minimum wage laws, regulations that protect public health and safety from business errors and/or practices, any restraint on financial institutions - specifically including the right of banks to buy corporate shares with federal reserve cash - welfare and a host of laws designed to secure a better life for the average working person and family.
The Billionaire side's methods are stunningly simple: obtain political power through the electoral process and reduce systematically taxes on corporations and Billionaires and then claim a budget crisis that requires forfeiture of protections for the population. The methods also include threats of violence - so far no actual violence - from their followers.
PEOPLE NOT FIGHTING
In a normal country, the reaction of the people to this type of class war would be equally simple and direct: overthrow with violence the government which allows these actions to proceed.
However, Americans are better than that. We do not resort to violence, except in extreme circumstances. And the circumstances of today are not extreme enough to justify violence.
But, the normal method of fighting against the attack, namely the electoral process, is so corrupt that only money interests are protected.
Unless the American people find some way to redress the situation, the war will be over before the fight has begun.
FIGHTING CIVILLY: LEGALLY AND NON-VIOLENTLY
I will suggest below an alternative method of fighting class war; this method is untried on a large scale and so I cannot predict its impact with certainty. But, I am sure that it will be as effective as it is widely mounted.
Personally I have been on the receiving end of such an attack and although it was not violent, it was destructive and distracting even though I did nothing wrong or illegal.
To read an example of how a single person can cause a problem for a company, read here how one such person targeted a restaurant for no apparent reason: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/03/05/BAIK1I4C48.DTL
It is time to begin such an attack on the interests that are destroying our social safety net.
Before discussing the specific methods of such an attack, let's examine its objectives.
OBJECTIVES OF FIGHTING CIVILLY
The objectives of the attack are twofold:
1. Distract the Billionaire organizers so that they must concentrate their funds and efforts on protecting their cash generating operations; and,
2. Limit Billionaire activities to strictly legal behavior. That is not to say that all Billionaires are law breakers, but it is to say that we want to be sure the laws of the land are followed by everyone, including the rich and privileged.
METHOD OF FIGHTING: REGULATIONS
The United States has many business regulations which dictate how business must behave. Such regulations are enacted at the Federal, State, County and City level. They are cumbersome and do in fact change how a company conducts its business.
This is a good thing for this fight.
Each of these business regulations has a bureaucracy whose sole job is to enforce its rules. While some of these regulators have police powers to arrest and prosecute, most do not. But they all have the right and responsibility to bring legal action whenever their rules are broken.
Here's the very good thing from our perspective: each regulation bureaucracy reacts to citizen complaints about rule breaking. They respond when they receive information that a rule is being broken.
Our method then is simply to find an employee of the Billionaire's businesses who is aware of real or POTENTIAL rule breaking and to notify the responsible regulator. The regulator will then conduct an investigation. If the business is found compliant with the regulation, then nothing further will happen. The good thing from our perspective is that it takes a lot of time and effort to defend yourself against such a complaint, even if you are found innocent of wrongdoing.
If the business is found in violation, then the regulator will issue a fine or criminal complaint, which is even more costly than exoneration.
METHOD OF FIGHTING CIVILLY: TARGET KOCH BROTHERS
There are hundreds of Billionaires. We can't target them all. It makes sense to target the specific folks who are driving the class war.
That will be the Koch Brothers. They are the people funding the class war.
STEP BY STEP CAMPAIGN CIVILLY TARGETING KOCH BROTHERS
Here's how to bring regulators to businesses owned by the Koch brothers.
1. Use the list below to locate your closest Koch owned company;
2. If there is no company listed in your area, do a little Googling to find one - this list is not an exhaustive list;
3. Find an employee you know socially or through your union who shares your views; if you don't know an employee, then make it a point to find one through Facebook, friends, or whatever method you can;
4. Research which regulations cover the job your new acquaintance does; the most widely known are the EPA, IRS, OSHA, local building codes and local zoning laws;
5. Research the regulation in order to understand how the Koch company is, or may be, violating it;
6. Ask your acquaintance for any specific ideas about regulations which are or may be violated;
7. Write a complaint to the regulator stating that the rules are being violated in each specific location and that you are personally harmed as a result; if you complain about more than one location, write a separate complaint about each;
8. If the regulation is covered by the Whistleblower law, be aware that you may be entitled to a money reward if the company is guilty of a violation.
KOCH BROTHERS COMPANIES
Below is a PARTIAL list of Koch owned companies and cities - note that company headquarters is Wichita Kansas and if no specific city is listed, chances are that it is located in Wichita:
Koch business solutions, LP, Wichita KS, Green Bay WI, Atlanta GA
Koch chemical tech group, LLC, Luxembourg LU
Koch companies public sector LLC, Arlington/Reston VA, Washington DC
Koch companies services LLC, Wichita KS
Koch energy services LLC Houston TX,
Koch Exploration Company, LLC Calgary, CA
Koch fertilizer Canada, ULC, BRANDON CA
Koch fertilizer LLC, Wichita KS
Koch financial corporation
Koch Glitsch GP LLC, Wichita KS
Koch heat transfer company LP, Houston TX
Koch industries Inc, Wichita KS
Koch knight LLC, Canton OH
Koch membrane systems Inc, Boston MA, Parramatta, NSW AU, Aachen Germany
Koch minerals LLC, Wichita KS
Koch nitrogen company LLC, Wichita KS, Aurora NE, Beatrice NE
Koch pipeline company LP, Wichita KS, Corpus Christi TX, Minneapolis MN, Eagleville MO,
Koch pulp & paper trading
Koch specialty plant services, Houston TX
Koch supply & trading LP, Houston TX
Koch supply company
MBM north america
Unifin chesapeake
Invista
Georgia pacific
Koch exploration company, LLC calgary CA
Optimized Process designs, Inc., Houston TX
Koch owns a coal company subsidiary with facilities in Green Bay, Manitowoc, Ashland and Sheboygan; six timber plants throughout Wisconsin; and a large network of pipelines in Wisconsin.
Coen Sacramento CA, Tulsa OK,
Flint Hills Resources, Wichita KS, North Pole AK, Corpus Christi TX, Houston TX, Beaumont TX Minneapolis MN, Forth Worth TX, Ames IA, Shell Rock IA, Joliet IL, Menlo IA, Calgary CA
John zink company, Tulsa OK
C. G. Koch Foundation, Washingto DC http://www.cgkfoundation.org
Your pal,
You will probably want to skip this posting - some things are better left unread by you.
CLASS WAR TODAY
Today, there is class war in the United States.
Sadly, only one side is fighting the war. Equally sadly, that side is winning.
The two sides are the Billionaires - not millionaires, billionaires - on one side and the rest of the people on the other side.
BILLIONAIRES ARE WINNING
The Billionaire side's objective is very simply to remove any and all protections for the middle class population in the USA and to return to social policy of the 1880's.
These include but are not limited to collective bargaining, publicly funded health insurance and health care, publicly funded retirement, minimum wage laws, regulations that protect public health and safety from business errors and/or practices, any restraint on financial institutions - specifically including the right of banks to buy corporate shares with federal reserve cash - welfare and a host of laws designed to secure a better life for the average working person and family.
The Billionaire side's methods are stunningly simple: obtain political power through the electoral process and reduce systematically taxes on corporations and Billionaires and then claim a budget crisis that requires forfeiture of protections for the population. The methods also include threats of violence - so far no actual violence - from their followers.
PEOPLE NOT FIGHTING
In a normal country, the reaction of the people to this type of class war would be equally simple and direct: overthrow with violence the government which allows these actions to proceed.
However, Americans are better than that. We do not resort to violence, except in extreme circumstances. And the circumstances of today are not extreme enough to justify violence.
But, the normal method of fighting against the attack, namely the electoral process, is so corrupt that only money interests are protected.
Unless the American people find some way to redress the situation, the war will be over before the fight has begun.
FIGHTING CIVILLY: LEGALLY AND NON-VIOLENTLY
I will suggest below an alternative method of fighting class war; this method is untried on a large scale and so I cannot predict its impact with certainty. But, I am sure that it will be as effective as it is widely mounted.
Personally I have been on the receiving end of such an attack and although it was not violent, it was destructive and distracting even though I did nothing wrong or illegal.
To read an example of how a single person can cause a problem for a company, read here how one such person targeted a restaurant for no apparent reason: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/03/05/BAIK1I4C48.DTL
It is time to begin such an attack on the interests that are destroying our social safety net.
Before discussing the specific methods of such an attack, let's examine its objectives.
OBJECTIVES OF FIGHTING CIVILLY
The objectives of the attack are twofold:
1. Distract the Billionaire organizers so that they must concentrate their funds and efforts on protecting their cash generating operations; and,
2. Limit Billionaire activities to strictly legal behavior. That is not to say that all Billionaires are law breakers, but it is to say that we want to be sure the laws of the land are followed by everyone, including the rich and privileged.
METHOD OF FIGHTING: REGULATIONS
The United States has many business regulations which dictate how business must behave. Such regulations are enacted at the Federal, State, County and City level. They are cumbersome and do in fact change how a company conducts its business.
This is a good thing for this fight.
Each of these business regulations has a bureaucracy whose sole job is to enforce its rules. While some of these regulators have police powers to arrest and prosecute, most do not. But they all have the right and responsibility to bring legal action whenever their rules are broken.
Here's the very good thing from our perspective: each regulation bureaucracy reacts to citizen complaints about rule breaking. They respond when they receive information that a rule is being broken.
Our method then is simply to find an employee of the Billionaire's businesses who is aware of real or POTENTIAL rule breaking and to notify the responsible regulator. The regulator will then conduct an investigation. If the business is found compliant with the regulation, then nothing further will happen. The good thing from our perspective is that it takes a lot of time and effort to defend yourself against such a complaint, even if you are found innocent of wrongdoing.
If the business is found in violation, then the regulator will issue a fine or criminal complaint, which is even more costly than exoneration.
METHOD OF FIGHTING CIVILLY: TARGET KOCH BROTHERS
There are hundreds of Billionaires. We can't target them all. It makes sense to target the specific folks who are driving the class war.
That will be the Koch Brothers. They are the people funding the class war.
STEP BY STEP CAMPAIGN CIVILLY TARGETING KOCH BROTHERS
Here's how to bring regulators to businesses owned by the Koch brothers.
1. Use the list below to locate your closest Koch owned company;
2. If there is no company listed in your area, do a little Googling to find one - this list is not an exhaustive list;
3. Find an employee you know socially or through your union who shares your views; if you don't know an employee, then make it a point to find one through Facebook, friends, or whatever method you can;
4. Research which regulations cover the job your new acquaintance does; the most widely known are the EPA, IRS, OSHA, local building codes and local zoning laws;
5. Research the regulation in order to understand how the Koch company is, or may be, violating it;
6. Ask your acquaintance for any specific ideas about regulations which are or may be violated;
7. Write a complaint to the regulator stating that the rules are being violated in each specific location and that you are personally harmed as a result; if you complain about more than one location, write a separate complaint about each;
8. If the regulation is covered by the Whistleblower law, be aware that you may be entitled to a money reward if the company is guilty of a violation.
KOCH BROTHERS COMPANIES
Below is a PARTIAL list of Koch owned companies and cities - note that company headquarters is Wichita Kansas and if no specific city is listed, chances are that it is located in Wichita:
Koch business solutions, LP, Wichita KS, Green Bay WI, Atlanta GA
Koch chemical tech group, LLC, Luxembourg LU
Koch companies public sector LLC, Arlington/Reston VA, Washington DC
Koch companies services LLC, Wichita KS
Koch energy services LLC Houston TX,
Koch Exploration Company, LLC Calgary, CA
Koch fertilizer Canada, ULC, BRANDON CA
Koch fertilizer LLC, Wichita KS
Koch financial corporation
Koch Glitsch GP LLC, Wichita KS
Koch heat transfer company LP, Houston TX
Koch industries Inc, Wichita KS
Koch knight LLC, Canton OH
Koch membrane systems Inc, Boston MA, Parramatta, NSW AU, Aachen Germany
Koch minerals LLC, Wichita KS
Koch nitrogen company LLC, Wichita KS, Aurora NE, Beatrice NE
Koch pipeline company LP, Wichita KS, Corpus Christi TX, Minneapolis MN, Eagleville MO,
Koch pulp & paper trading
Koch specialty plant services, Houston TX
Koch supply & trading LP, Houston TX
Koch supply company
MBM north america
Unifin chesapeake
Invista
Georgia pacific
Koch exploration company, LLC calgary CA
Optimized Process designs, Inc., Houston TX
Koch owns a coal company subsidiary with facilities in Green Bay, Manitowoc, Ashland and Sheboygan; six timber plants throughout Wisconsin; and a large network of pipelines in Wisconsin.
Coen Sacramento CA, Tulsa OK,
Flint Hills Resources, Wichita KS, North Pole AK, Corpus Christi TX, Houston TX, Beaumont TX Minneapolis MN, Forth Worth TX, Ames IA, Shell Rock IA, Joliet IL, Menlo IA, Calgary CA
John zink company, Tulsa OK
C. G. Koch Foundation, Washingto DC http://www.cgkfoundation.org
Your pal,
Saturday, February 19, 2011
UPDATE 2.26: The Revolution Is Televised
Hey Barry:
Watch it here:
http://english.aljazeera.net/news/africa/2011/02/2011223125256699145.html
2.23.11 ShababLibya BREAKING: a caller confirms 1500 were found in an underground prison systemhttp://bit.ly/hJTQLl (Arabic) #Libya #Feb17 what is this man??!
Seems that Libya is heading to a real revolution.
See it here: http://english.aljazeera.net/news/africa/2011/02/2011219811665897.html
Twitter feeds from Al Jazeera say that some army units are joining the protestors and that the army has killed hundreds.
'May God grant that you live in interesting times', ancient curse.
Your pal,
Watch it here:
http://english.aljazeera.net/news/africa/2011/02/2011223125256699145.html
2.23.11 ShababLibya BREAKING: a caller confirms 1500 were found in an underground prison systemhttp://bit.ly/hJTQLl (Arabic) #Libya #Feb17 what is this man??!
Seems that Libya is heading to a real revolution.
See it here: http://english.aljazeera.net/news/africa/2011/02/2011219811665897.html
Twitter feeds from Al Jazeera say that some army units are joining the protestors and that the army has killed hundreds.
'May God grant that you live in interesting times', ancient curse.
Your pal,
2.19.11 Bahrain Update
Hey Barry:
The WSJ reports that the Bahraini army has left Pearl Roundabout and is turning crowd control to the police.
Read it here: http://online.wsj.com/article/SB10001424052748703407304576153730131759762.html
This was one of the protestors' demands and may be interpreted as good news by the protestors.
If so, that would encourage more protest actions; it could mean even more violence unless the government acts wisely.
Gene Sharp - Arabian Revolutionary Hero
On a related matter, seems that 83 year old US citizen Gene Sharp is the godfather of non-violent revolution. His free book 'From Dictatorship to Democracy ' can be downloaded in many languages here: http://www.aeinstein.org/
Your pal,
The WSJ reports that the Bahraini army has left Pearl Roundabout and is turning crowd control to the police.
Read it here: http://online.wsj.com/article/SB10001424052748703407304576153730131759762.html
This was one of the protestors' demands and may be interpreted as good news by the protestors.
If so, that would encourage more protest actions; it could mean even more violence unless the government acts wisely.
Gene Sharp - Arabian Revolutionary Hero
On a related matter, seems that 83 year old US citizen Gene Sharp is the godfather of non-violent revolution. His free book 'From Dictatorship to Democracy ' can be downloaded in many languages here: http://www.aeinstein.org/
Your pal,
Thursday, February 17, 2011
UPDATE 2.18 More Bahrain Violence
Hey Barry:
Government forces fire on demonstrators and mourners
Read it here:
http://www.nytimes.com/2011/02/19/world/middleeast/19bahrain.html
Only questions are these: will the government continue violence and will the Shiite majority react to government violence with more violence?
Your pal,
Government forces fire on demonstrators and mourners
Read it here:
http://www.nytimes.com/2011/02/19/world/middleeast/19bahrain.html
Only questions are these: will the government continue violence and will the Shiite majority react to government violence with more violence?
Your pal,
Wednesday, February 16, 2011
PROTESTS CLOSE SCHOOLS!
Hey Barry:
Teachers strike and schools are closed. Students grab bullhorns and march on government buildings. 30,000 educated, average people PROTEST economic policies.
And, Barry, this is MADISON, WISCONSIN!
TODAY! Wednesday and Thursday.
Here's what's happening: the new Republican governor slices taxes on corporations. Just exactly like Rep govs in other states.
Y'all can read it here: http://online.wsj.com/article/SB10001424052748704171004576149003027310600.html?mod=googlenews_wsj
He creates a budget shortfall. He blames public workers and their unions for the financial crisis. He proposes a bill to prohibit public employees from bargaining collectively.
Just another attack on the middle class.
EXCEPT - the middle class - teachers, police, EMT's, snowplow drivers, fire fighters, students - know EXACTLY what is happening.
They don't like it. They march to the capitol and demand the bill be stopped. They close schools.
They are not happy, Barry.
Not happy.
Y'all need to get in front of this, Barry.
We need you there
Your pal,
Teachers strike and schools are closed. Students grab bullhorns and march on government buildings. 30,000 educated, average people PROTEST economic policies.
And, Barry, this is MADISON, WISCONSIN!
TODAY! Wednesday and Thursday.
Here's what's happening: the new Republican governor slices taxes on corporations. Just exactly like Rep govs in other states.
Y'all can read it here: http://online.wsj.com/article/SB10001424052748704171004576149003027310600.html?mod=googlenews_wsj
He creates a budget shortfall. He blames public workers and their unions for the financial crisis. He proposes a bill to prohibit public employees from bargaining collectively.
Just another attack on the middle class.
EXCEPT - the middle class - teachers, police, EMT's, snowplow drivers, fire fighters, students - know EXACTLY what is happening.
They don't like it. They march to the capitol and demand the bill be stopped. They close schools.
They are not happy, Barry.
Not happy.
Y'all need to get in front of this, Barry.
We need you there
Your pal,
Saturday, February 12, 2011
UPDATE 2.16.11: Government Launches Security Review of Business Acquisitions
Hey Barry:
Well, seems we have a committee to do just that. But, it appears to focus on military acquisitions, or more precisely, acquisitions of companies and technologies that might compromise our ability to fight a war.
And, they only make recommedations to you, Barry Obama. You make the final decision as to whether to sell a company or technology to a company in another country.
The current case is Huwei, which bought some technology that our CFIUS folks think is a bad idea to sell. I hope you'll deny the technology transfer.
HUAWEI UPDATE - 2.19.11
Seems Huawei has dropped the deal and is withdrawing the challenge. Read it here: http://www.pcworld.com/businesscenter/article/220183/chinas_huawei_to_reverse_controversial_deal_for_3leaf.html
On a broader note, Barry, you need to expand the committee so that it examines technologies and companies which will create lots of jobs in the future regardless of military applications.
That's the best way to secure our national economic future.
Once again, it's up to you Barry.
Keep your eye on the ball and trust your hands [instincts].
Our committee to "check that merger and acquisition deals struck by foreign firms ...do not endanger "national security" can be read about here: the Committee on Foreign Investment in the US
[http://www.fas.org/sgp/crs/homesec/RS22863.pdf]. It has the same goal as the Chinese. And, it's been around for years.
Good on us.
Your pal,
Well, seems we have a committee to do just that. But, it appears to focus on military acquisitions, or more precisely, acquisitions of companies and technologies that might compromise our ability to fight a war.
And, they only make recommedations to you, Barry Obama. You make the final decision as to whether to sell a company or technology to a company in another country.
The current case is Huwei, which bought some technology that our CFIUS folks think is a bad idea to sell. I hope you'll deny the technology transfer.
HUAWEI UPDATE - 2.19.11
Seems Huawei has dropped the deal and is withdrawing the challenge. Read it here: http://www.pcworld.com/businesscenter/article/220183/chinas_huawei_to_reverse_controversial_deal_for_3leaf.html
On a broader note, Barry, you need to expand the committee so that it examines technologies and companies which will create lots of jobs in the future regardless of military applications.
That's the best way to secure our national economic future.
Once again, it's up to you Barry.
Keep your eye on the ball and trust your hands [instincts].
Our committee to "check that merger and acquisition deals struck by foreign firms ...do not endanger "national security" can be read about here: the Committee on Foreign Investment in the US
[http://www.fas.org/sgp/crs/homesec/RS22863.pdf]. It has the same goal as the Chinese. And, it's been around for years.
Good on us.
Your pal,
Thursday, February 10, 2011
Fat Cats on Board with Saving Oil
Hey Barry:
Looks like you have the Generals and CEO's on board with saving energy.
Go 'head and push on it. Maybe fat cat muscle can give it a final boost. Finally, we can put the oil RICH guys in second place to what's good for all of us.
Read it here: http://dc.streetsblog.org/2011/02/10/retired-military-leaders-corporate-ceos-driving-alone-aids-terrorists/
Your pal,
Looks like you have the Generals and CEO's on board with saving energy.
Go 'head and push on it. Maybe fat cat muscle can give it a final boost. Finally, we can put the oil RICH guys in second place to what's good for all of us.
Read it here: http://dc.streetsblog.org/2011/02/10/retired-military-leaders-corporate-ceos-driving-alone-aids-terrorists/
Your pal,
Saturday, February 5, 2011
BAHRAIN 2.13.11: Predicting Revolution
Hey Barry:
Totally got that you're upset at intelligence for not predicting the revolutions.
But Barry, it aint simple, not by a long shot.
Predicting economic problems is a cakewalk in comparison, see my proposal to do that here: www.mkeever.com/eda.doc
Wow, predicting revolution - not so easy.
Memory serves up an axiom of revolution: people take revolutionary action when, and only when, they perceive that things are getting BETTER. Then they have hope, but are frustrated that change happens too slowly.
Here's how I would forecast revolution timing:
Develop a list of countries 'at risk' for revolution because of extreme income inequality, repressive regime, history of torture, high percentage of youth in population, high unemployment among youth and highly educated youth.
Rank countries on list by closeness to revolution.
Then, monitor social media and opposition press for indications of frustration at the pace of change: "Things are getting better, but we want more, now."
Pretty sure the combination of 'at risk' countries, as above, with perceived frustration at the pace of change will predict imminent revolution.
Change criteria over time as facts develop.
Include in daily briefing 'five countries most likely to experience social unrest in next 90 days.'
That's about all the intelligence can do Barry; it's way harder than rocket science.
It'd sure be fun, though. Sign me up.
UPDATE: BAHRAIN
U S Navy has an important base in Bahrain. That country appears vulnerable to uprisings at this point. Leaders are offering concessions to demonstrators, a possible sign that protestors will think thngs are getting better. Read it here: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/02/13/international/i034830S98.DTL
UPDATE: NIGERIA
We get a lot of oil from Nigeria, and it is currently devolving into a Somalia like morass. Probably not looking at imminent revolution there - seems people have little hope of improvement.
Read this: http://www.osundefender.org/?p=11842
And this: http://www.nytimes.com/2011/02/09/world/africa/09nigeria.html?partner=rss&emc=rss
Your pal,
Totally got that you're upset at intelligence for not predicting the revolutions.
But Barry, it aint simple, not by a long shot.
Predicting economic problems is a cakewalk in comparison, see my proposal to do that here: www.mkeever.com/eda.doc
Wow, predicting revolution - not so easy.
Memory serves up an axiom of revolution: people take revolutionary action when, and only when, they perceive that things are getting BETTER. Then they have hope, but are frustrated that change happens too slowly.
Here's how I would forecast revolution timing:
Develop a list of countries 'at risk' for revolution because of extreme income inequality, repressive regime, history of torture, high percentage of youth in population, high unemployment among youth and highly educated youth.
Rank countries on list by closeness to revolution.
Then, monitor social media and opposition press for indications of frustration at the pace of change: "Things are getting better, but we want more, now."
Pretty sure the combination of 'at risk' countries, as above, with perceived frustration at the pace of change will predict imminent revolution.
Change criteria over time as facts develop.
Include in daily briefing 'five countries most likely to experience social unrest in next 90 days.'
That's about all the intelligence can do Barry; it's way harder than rocket science.
It'd sure be fun, though. Sign me up.
UPDATE: BAHRAIN
U S Navy has an important base in Bahrain. That country appears vulnerable to uprisings at this point. Leaders are offering concessions to demonstrators, a possible sign that protestors will think thngs are getting better. Read it here: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/02/13/international/i034830S98.DTL
UPDATE: NIGERIA
We get a lot of oil from Nigeria, and it is currently devolving into a Somalia like morass. Probably not looking at imminent revolution there - seems people have little hope of improvement.
Read this: http://www.osundefender.org/?p=11842
And this: http://www.nytimes.com/2011/02/09/world/africa/09nigeria.html?partner=rss&emc=rss
Your pal,
Thursday, February 3, 2011
Bankers Have Egyptian Blood on Their Keyboards
Hey Barry:
Well, it's really a mess in Egypt and a few other countries in the Middle East.
Sad to say, our good ol Merican bankers like the Golden Sox boys have contributed to the mess in a big way. It's not a big stretch to say they have blood on their computers.
Here's the thing: our bankers have been speculating big time in commodities like oil and wheat. That drives up the price. Then the poor folks in Egypt can't afford to eat. It is no surprise when they riot in the streets. What would you do if you have no money to feed your kids?
The background is this: Both FDR in the 1930's and the Dodd-Frank bill last year recognized that speculators could disrupt world commodity markets unless they were controlled. So FDR installed controls that stabilized the markets - until the Golden Sox boys and others lobbied Congress to remove the limits in the 1990's.
Dodd-Frank re-introduced controls on commodities and commodity derivatives, BUT, their implementation has been delayed because of lobbying in your White House.
Itsa cryin and a killin shame Barry. You gotta get on this soon.
Here's a transcript of MSNBC's Ed Shultz show of February 1, 2011 on the topic:
ED "So what else do these countries - Yemen, Jordan, Egypt - have in common?
One thing is high food prices, a factor in how all the riots really started and how all of it started. And it's not a coincidence that all of them have high food prices right now. Food prices have skyrocketed around the world and a big reason for that is wall street.
It started in 1991 with surprise, surprise Goldman Saachs. Before then, wall street speculateors played only a minor role in food prices. The way it worked food companies and their suppliers, America's farmers, wanted to keep their business stable. Even if prices spiked for wheat, corn, or other agricultural commodities. So they'd hedge their bets, signing contracts, futures, to lock in prices for some point in the future. Speculators helped, putting enough money in the system to keep things liquid.
After the depression, FDR saw that speculators could drive up the price of wheat, corn, whatever, by betting on commodity futures the way wall street later bet on dot coms. Distorting food prices like that could destroy the very stability future contracts were created to provide so FDR signed into law what are called position limits -- limits on how much of the total betting could be done by wall street. And what do you know it worked.
For decades the price of wheat was driven by fundamentals like the weather and wall street couldn't stand it.
In 1991, Goldman Sachs asked the commodity futures trading commission, the CFTC, to give them a waiver on those position limits, so they could bet as much as they wanted.
A CFTC appointee for the first President Bush said sure. More than a dozen other firms followed suit. Goldman Sachs even created commodities indexes. To simplify the betting and goose casual investors into the casino.
Again, wall street followed suit. Remember the real estate bubble? Wall street wanted to hedge all of those bets it made on mortgages. So they ramped up their bets on commodities.
And when wall street started losing money on sub primes, they bet it on commodities instead. By 2008, wall street had five times more futures contracts in commodities than it did in 2002. Commodity indexes held about $13 billion in 2003. By 2008 it was over a quarter trillion. That's how we got the oil bubble.
And record high gas prices added to the cost of shipping food plus speculators looking for another bubble, and you get a food bubble. Estimates are speculators held 65% of corn futures' contracts. 68% Of soybean, 80% of wheat. By mid 2008, the IMF food price index jumped more than 80% in just a year and a half before. It was the first time in history the proportion of people going hungry worldwide went up.
The number of chronically malnourished people rose by 75 million in 2007. 40 Million in 2008. That's why Egypt had riots back in 2008. Along with 30 other countries, Italian moms marched against the price of pasta. Wall street speculators admitted they were doing it.
In 2006 Merrill Lynch said speculation accounted for 50% of the price of commodities. Half the price.
In 2008 a Goldman Sachs research paper said, quote, without question, increased fund flow into commodities has boosted prices. 2009, Even republican senator Tom Coburn admits the speculation, quote, helped to inflate futures prices and there by disconnect futures from cash prices impairing farmers' and grain elevators' ability to hedge price risk.
Even Coburn said there was so much wall street money distorting prices that farmers and other guys who actually need commodity futures couldn't use them to keep their companies stable anymore. We don't notice price hikes so much because most of our food prices come from marketing and packaging.
But in the developing world, the price of food is everything. And what country imports more wheat than any other? Egypt. Where the price of wheat rose 70% last year. Last summer Goldman called a report on the role of speculation in food prices, quote, misleading and blamed other factors.
A lot of reports mentioned that Russia cut off its wheat supply last year. What they don't tell you is why. Because futures traders asked them to.
Let's bring in my colleague Dylan Rhadigan. He has his own show here on msnbc week days at 4:00. Formerly of cnbc and bloomberg news.
Thanks for coming in tonight, Dylan.
DYLAN: I appreciate it it's a pleasure.
ED I know you have talked a lot about speculators and what has happened on wall street but this has really been a tsunami in the food world, which has caused a lot of havoc around the world. Tell us, these price hikes, strictly due to speculation?
DYLAN No. First I want to compliment you on your reporting, Ed. I think you did an exquisitely good job of describing the contributing factor that financial speculation has been in the spike not just in food prices but also in energy prices. Unfortunately there are other factors also in the financial community that are even more sinister. There's a mathematical certainty, Ed, that is this.
All the paper currency in the world, all the money, all the paper must by definition equal the value of all the commodities because a commodity is equal to what the value of the currencies are in the world.
In order to cover up the massive bank theft that's been perpetrated in this country in 2008, the Federal Reserve under the guidance of first President Bush and now President Obama as you know, ed, has been printing trillions of new dollars and people, smart financial planners, have been concerned about the debasing effect that has on our currency.
Well, as a direct result of the Federal Reserve's money printing, to cover up our bank theft, that has been an additional factor in causing commodity prices to explode higher.
So in addition to the speculative aspects that you describe so well, a by product of the federal reserve and the white house and the treasuries decision to go with money printing as a way to prop up our economy, is driving food prices higher.
ED You know, it's just an amazing domino effect.
DYLAN There is no doubt.
ED But what exactly are these commodity markets supposed to be accomplishing?
DYLAN Well, very simply, they're supposed to create price stability as you described in your piece. There is a very, very valid role for a futures market in commodities both for food consumers who would like to be able to have a stable price for bread, a stable price for milk, a stable price for cheese and meat, not just here but around the world. Rice, tortillas, pasta, I don't care where you live.
And if you are a farmer, you want to know that you can lock in a price on your farm in this country or any other for that price.
The position limits, which you referenced, are critical in that they represent a limit as to how much grain could potentially actually exist. The elimination of the position limit makes it such that you can suddenly buy more grain than exists on the entire planet because now you're just speculating on the price or potential price and creating all the price inflation you described so well.
ED High prices, rural america does well. That ag dollar turns seven times on main street. So America is loving this stuff as far as the ag economy is concerned. Then you take a look at the construction of -- and the manufacturing of all the big equipment that goes with it.
But somebody pays a price down the line. In this case, it is people of these countries that are run by dictators that can't provide for their people. There is the snowball effect.
DYLAN I would say it's the poorest billion, whether it's the poor in the Middle East, the poor in Asia or the poor in Louisiana and Arkansas, those are the only people who suffer from the financial shenanigans.
ED What has struck me about this event in Egypt is for all of our carrying on about the spread of democracy through military assault and the death of our own soldiers and Iraqi civilians all you had to do was double the price of grain in the middle east from your trading floor in Goldman Sachs to receive the democratic revolution we claim to be in favor of with our military the past ten years."
Caint let this stand Barry. Ya gotta do something.
Your pal,
Well, it's really a mess in Egypt and a few other countries in the Middle East.
Sad to say, our good ol Merican bankers like the Golden Sox boys have contributed to the mess in a big way. It's not a big stretch to say they have blood on their computers.
Here's the thing: our bankers have been speculating big time in commodities like oil and wheat. That drives up the price. Then the poor folks in Egypt can't afford to eat. It is no surprise when they riot in the streets. What would you do if you have no money to feed your kids?
The background is this: Both FDR in the 1930's and the Dodd-Frank bill last year recognized that speculators could disrupt world commodity markets unless they were controlled. So FDR installed controls that stabilized the markets - until the Golden Sox boys and others lobbied Congress to remove the limits in the 1990's.
Dodd-Frank re-introduced controls on commodities and commodity derivatives, BUT, their implementation has been delayed because of lobbying in your White House.
Itsa cryin and a killin shame Barry. You gotta get on this soon.
Here's a transcript of MSNBC's Ed Shultz show of February 1, 2011 on the topic:
ED "So what else do these countries - Yemen, Jordan, Egypt - have in common?
One thing is high food prices, a factor in how all the riots really started and how all of it started. And it's not a coincidence that all of them have high food prices right now. Food prices have skyrocketed around the world and a big reason for that is wall street.
It started in 1991 with surprise, surprise Goldman Saachs. Before then, wall street speculateors played only a minor role in food prices. The way it worked food companies and their suppliers, America's farmers, wanted to keep their business stable. Even if prices spiked for wheat, corn, or other agricultural commodities. So they'd hedge their bets, signing contracts, futures, to lock in prices for some point in the future. Speculators helped, putting enough money in the system to keep things liquid.
After the depression, FDR saw that speculators could drive up the price of wheat, corn, whatever, by betting on commodity futures the way wall street later bet on dot coms. Distorting food prices like that could destroy the very stability future contracts were created to provide so FDR signed into law what are called position limits -- limits on how much of the total betting could be done by wall street. And what do you know it worked.
For decades the price of wheat was driven by fundamentals like the weather and wall street couldn't stand it.
In 1991, Goldman Sachs asked the commodity futures trading commission, the CFTC, to give them a waiver on those position limits, so they could bet as much as they wanted.
A CFTC appointee for the first President Bush said sure. More than a dozen other firms followed suit. Goldman Sachs even created commodities indexes. To simplify the betting and goose casual investors into the casino.
Again, wall street followed suit. Remember the real estate bubble? Wall street wanted to hedge all of those bets it made on mortgages. So they ramped up their bets on commodities.
And when wall street started losing money on sub primes, they bet it on commodities instead. By 2008, wall street had five times more futures contracts in commodities than it did in 2002. Commodity indexes held about $13 billion in 2003. By 2008 it was over a quarter trillion. That's how we got the oil bubble.
And record high gas prices added to the cost of shipping food plus speculators looking for another bubble, and you get a food bubble. Estimates are speculators held 65% of corn futures' contracts. 68% Of soybean, 80% of wheat. By mid 2008, the IMF food price index jumped more than 80% in just a year and a half before. It was the first time in history the proportion of people going hungry worldwide went up.
The number of chronically malnourished people rose by 75 million in 2007. 40 Million in 2008. That's why Egypt had riots back in 2008. Along with 30 other countries, Italian moms marched against the price of pasta. Wall street speculators admitted they were doing it.
In 2006 Merrill Lynch said speculation accounted for 50% of the price of commodities. Half the price.
In 2008 a Goldman Sachs research paper said, quote, without question, increased fund flow into commodities has boosted prices. 2009, Even republican senator Tom Coburn admits the speculation, quote, helped to inflate futures prices and there by disconnect futures from cash prices impairing farmers' and grain elevators' ability to hedge price risk.
Even Coburn said there was so much wall street money distorting prices that farmers and other guys who actually need commodity futures couldn't use them to keep their companies stable anymore. We don't notice price hikes so much because most of our food prices come from marketing and packaging.
But in the developing world, the price of food is everything. And what country imports more wheat than any other? Egypt. Where the price of wheat rose 70% last year. Last summer Goldman called a report on the role of speculation in food prices, quote, misleading and blamed other factors.
A lot of reports mentioned that Russia cut off its wheat supply last year. What they don't tell you is why. Because futures traders asked them to.
Let's bring in my colleague Dylan Rhadigan. He has his own show here on msnbc week days at 4:00. Formerly of cnbc and bloomberg news.
Thanks for coming in tonight, Dylan.
DYLAN: I appreciate it it's a pleasure.
ED I know you have talked a lot about speculators and what has happened on wall street but this has really been a tsunami in the food world, which has caused a lot of havoc around the world. Tell us, these price hikes, strictly due to speculation?
DYLAN No. First I want to compliment you on your reporting, Ed. I think you did an exquisitely good job of describing the contributing factor that financial speculation has been in the spike not just in food prices but also in energy prices. Unfortunately there are other factors also in the financial community that are even more sinister. There's a mathematical certainty, Ed, that is this.
All the paper currency in the world, all the money, all the paper must by definition equal the value of all the commodities because a commodity is equal to what the value of the currencies are in the world.
In order to cover up the massive bank theft that's been perpetrated in this country in 2008, the Federal Reserve under the guidance of first President Bush and now President Obama as you know, ed, has been printing trillions of new dollars and people, smart financial planners, have been concerned about the debasing effect that has on our currency.
Well, as a direct result of the Federal Reserve's money printing, to cover up our bank theft, that has been an additional factor in causing commodity prices to explode higher.
So in addition to the speculative aspects that you describe so well, a by product of the federal reserve and the white house and the treasuries decision to go with money printing as a way to prop up our economy, is driving food prices higher.
ED You know, it's just an amazing domino effect.
DYLAN There is no doubt.
ED But what exactly are these commodity markets supposed to be accomplishing?
DYLAN Well, very simply, they're supposed to create price stability as you described in your piece. There is a very, very valid role for a futures market in commodities both for food consumers who would like to be able to have a stable price for bread, a stable price for milk, a stable price for cheese and meat, not just here but around the world. Rice, tortillas, pasta, I don't care where you live.
And if you are a farmer, you want to know that you can lock in a price on your farm in this country or any other for that price.
The position limits, which you referenced, are critical in that they represent a limit as to how much grain could potentially actually exist. The elimination of the position limit makes it such that you can suddenly buy more grain than exists on the entire planet because now you're just speculating on the price or potential price and creating all the price inflation you described so well.
ED High prices, rural america does well. That ag dollar turns seven times on main street. So America is loving this stuff as far as the ag economy is concerned. Then you take a look at the construction of -- and the manufacturing of all the big equipment that goes with it.
But somebody pays a price down the line. In this case, it is people of these countries that are run by dictators that can't provide for their people. There is the snowball effect.
DYLAN I would say it's the poorest billion, whether it's the poor in the Middle East, the poor in Asia or the poor in Louisiana and Arkansas, those are the only people who suffer from the financial shenanigans.
ED What has struck me about this event in Egypt is for all of our carrying on about the spread of democracy through military assault and the death of our own soldiers and Iraqi civilians all you had to do was double the price of grain in the middle east from your trading floor in Goldman Sachs to receive the democratic revolution we claim to be in favor of with our military the past ten years."
Caint let this stand Barry. Ya gotta do something.
Your pal,
Sunday, January 30, 2011
Lessons From Egypt
Hey Barry:
Been thinking about the riots and revolution in Egypt, Tunisia, Jordan and other mid-east countries.
Here's a question for us: What can we learn from them?
I think we can watch carefully and learn what government actions 'work' to restore stability and which do not 'work'. 'Work' is in quotes because there can be a tendency to stop reforms after short term solutions create an appearance of calm. If the short term actions are not followed by solutions which address the underlying structural issues, a danger then exists that the unrest will reappear at a later time.
The common theme across the region appears to be frustration at economic injustice. You can read it here: http://www.google.com/hostednews/ap/article/ALeqM5hP9QSsUxtsG857BtLliCZ6mVJ0rQ?docId=963a7f0a2f72410b8724a8c39e9e40e9
Here's a link to a CNN history: http://edition.cnn.com/2011/WORLD/africa/01/31/egypt.protests.qanda/
Some mothers cannot feed their families and some university graduates cannot find jobs. At the same time, the populations have the perception that their society is corrupt - the rich people take all the money from the country and leave the rest to struggle and/or starve.
I fear that your government, Barry, will stand by and proclaim that 'democracy' will solve economic injustice. I don't think that plain ol democracy - in the form of free elections - is enough to prevent economic injustice. We have both, Barry. We have both.
Our foreign policy does not require that governments which receive our aid money make changes to reduce the levels of injustice. Street rioters then can blame the U S of A - with some justification - as supporting that injustice.
My hope is that one of the afflicted countries finds some mechanism to reduce the level of economic injustice so that average folks can have a decent life.
That would be a good lesson to bring home Barry. Then we could apply it here.
Your pal,
Been thinking about the riots and revolution in Egypt, Tunisia, Jordan and other mid-east countries.
Here's a question for us: What can we learn from them?
I think we can watch carefully and learn what government actions 'work' to restore stability and which do not 'work'. 'Work' is in quotes because there can be a tendency to stop reforms after short term solutions create an appearance of calm. If the short term actions are not followed by solutions which address the underlying structural issues, a danger then exists that the unrest will reappear at a later time.
The common theme across the region appears to be frustration at economic injustice. You can read it here: http://www.google.com/hostednews/ap/article/ALeqM5hP9QSsUxtsG857BtLliCZ6mVJ0rQ?docId=963a7f0a2f72410b8724a8c39e9e40e9
Here's a link to a CNN history: http://edition.cnn.com/2011/WORLD/africa/01/31/egypt.protests.qanda/
Some mothers cannot feed their families and some university graduates cannot find jobs. At the same time, the populations have the perception that their society is corrupt - the rich people take all the money from the country and leave the rest to struggle and/or starve.
I fear that your government, Barry, will stand by and proclaim that 'democracy' will solve economic injustice. I don't think that plain ol democracy - in the form of free elections - is enough to prevent economic injustice. We have both, Barry. We have both.
Our foreign policy does not require that governments which receive our aid money make changes to reduce the levels of injustice. Street rioters then can blame the U S of A - with some justification - as supporting that injustice.
My hope is that one of the afflicted countries finds some mechanism to reduce the level of economic injustice so that average folks can have a decent life.
That would be a good lesson to bring home Barry. Then we could apply it here.
Your pal,
Saturday, January 29, 2011
It's Official: Banks Caused Recession
Hey Barry:
Phil Angelides and the Financial Crisis Inquiry Commission have investigated the banking crisis. I list their conclusions below and there is plenty of blame to go around.
You can read the report here: http://fcic.gov/report
Clearly the major factors were bankers who acted recklessly, and occasionally criminally, and a poor to non-existent regulation structure.
The crisis was both preventable and predictable. Sadly, it WILL happen again unless strong additional steps are taken to prevent it.
Here are the conclusions:
"...We conclude this financial crisis was avoidable. The crisis was the result of human action and inaction, not of Mother Nature or computer models gone haywire. The captains of finance and the public stewards of our financial system ignored warnings and failed to question, understand, and manage evolving risks within a system essential to the well-being of the American public...
We conclude widespread failures in financial regulation and supervision proved devastating to the stability of the nation’s financial markets. The sentries were not at their posts, in no small part due to the widely accepted faith in the selfcorrecting nature of the markets and the ability of financial institutions to effectively police themselves. More than 30 years of deregulation and reliance on self-regulation by financial institutions, championed by former Federal Reserve chairman Alan Greenspan and others, supported by successive administrations and Congresses, and actively pushed by the powerful financial industry at every turn, had stripped away key safeguards, which could have helped avoid catastrophe...
We conclude dramatic failures of corporate governance and risk management at many systemically important financial institutions were a key cause of this crisis. There was a view that instincts for self-preservation inside major financial firms would shield them from fatal risk-taking without the need for a steady regulatory hand, which, the firms argued, would stifle innovation. Too many of these institutions acted recklessly, taking on too much risk, with too little capital, and with too much dependence on short-term funding...
We conclude a combination of excessive borrowing, risky investments, and lack of transparency put the financial system on a collision course with crisis. Clearly, this vulnerability was related to failures of corporate governance and regulation, but it is significant enough by itself to warrant our attention here...
We conclude the government was ill prepared for the crisis, and its inconsistent response added to the uncertainty and panic in the financial markets. As part of our charge, it was appropriate to review government actions taken in response to the
developing crisis, not just those policies or actions that preceded it, to determine if any of those responses contributed to or exacerbated the crisis...
We conclude there was a systemic breakdown in accountability and ethics. The integrity of our financial markets and the public’s trust in those markets are essential to the economic well-being of our nation...
We conclude collapsing mortgage-lending standards and the mortgage securitization pipeline lit and spread the flame of contagion and crisis...
We conclude over-the-counter derivatives contributed significantly to this crisis. The enactment of legislation in 2000 to ban the regulation by both the federal and state governments of over-the-counter (OTC) derivatives was a key turning point in the march toward the financial crisis...
We conclude the failures of credit rating agencies were essential cogs in the wheel of financial destruction. The three credit rating agencies were key enablers of the financial meltdown..."
On a related note, from Susanne Craig of the New York Times: "Lloyd C. Blankfein, the chief executive of Goldman Sachs, had a rough 2010. But at least he got a raise: his bonus increased by $3.6 million, according to a regulatory filing.
The firm’s board granted restricted stock valued at $12.6 million to Mr. Blankfein and other senior executives, including Gary D. Cohn, the firm’s president. The board also approved a new annual base salary of $2 million for its chief executive, up from $600,000. Mr. Cohn and others will see their base salaries increase to $1.85 million, according to the filing on Friday."
Your pal,
Phil Angelides and the Financial Crisis Inquiry Commission have investigated the banking crisis. I list their conclusions below and there is plenty of blame to go around.
You can read the report here: http://fcic.gov/report
Clearly the major factors were bankers who acted recklessly, and occasionally criminally, and a poor to non-existent regulation structure.
The crisis was both preventable and predictable. Sadly, it WILL happen again unless strong additional steps are taken to prevent it.
Here are the conclusions:
"...We conclude this financial crisis was avoidable. The crisis was the result of human action and inaction, not of Mother Nature or computer models gone haywire. The captains of finance and the public stewards of our financial system ignored warnings and failed to question, understand, and manage evolving risks within a system essential to the well-being of the American public...
We conclude widespread failures in financial regulation and supervision proved devastating to the stability of the nation’s financial markets. The sentries were not at their posts, in no small part due to the widely accepted faith in the selfcorrecting nature of the markets and the ability of financial institutions to effectively police themselves. More than 30 years of deregulation and reliance on self-regulation by financial institutions, championed by former Federal Reserve chairman Alan Greenspan and others, supported by successive administrations and Congresses, and actively pushed by the powerful financial industry at every turn, had stripped away key safeguards, which could have helped avoid catastrophe...
We conclude dramatic failures of corporate governance and risk management at many systemically important financial institutions were a key cause of this crisis. There was a view that instincts for self-preservation inside major financial firms would shield them from fatal risk-taking without the need for a steady regulatory hand, which, the firms argued, would stifle innovation. Too many of these institutions acted recklessly, taking on too much risk, with too little capital, and with too much dependence on short-term funding...
We conclude a combination of excessive borrowing, risky investments, and lack of transparency put the financial system on a collision course with crisis. Clearly, this vulnerability was related to failures of corporate governance and regulation, but it is significant enough by itself to warrant our attention here...
We conclude the government was ill prepared for the crisis, and its inconsistent response added to the uncertainty and panic in the financial markets. As part of our charge, it was appropriate to review government actions taken in response to the
developing crisis, not just those policies or actions that preceded it, to determine if any of those responses contributed to or exacerbated the crisis...
We conclude there was a systemic breakdown in accountability and ethics. The integrity of our financial markets and the public’s trust in those markets are essential to the economic well-being of our nation...
We conclude collapsing mortgage-lending standards and the mortgage securitization pipeline lit and spread the flame of contagion and crisis...
We conclude over-the-counter derivatives contributed significantly to this crisis. The enactment of legislation in 2000 to ban the regulation by both the federal and state governments of over-the-counter (OTC) derivatives was a key turning point in the march toward the financial crisis...
We conclude the failures of credit rating agencies were essential cogs in the wheel of financial destruction. The three credit rating agencies were key enablers of the financial meltdown..."
On a related note, from Susanne Craig of the New York Times: "Lloyd C. Blankfein, the chief executive of Goldman Sachs, had a rough 2010. But at least he got a raise: his bonus increased by $3.6 million, according to a regulatory filing.
The firm’s board granted restricted stock valued at $12.6 million to Mr. Blankfein and other senior executives, including Gary D. Cohn, the firm’s president. The board also approved a new annual base salary of $2 million for its chief executive, up from $600,000. Mr. Cohn and others will see their base salaries increase to $1.85 million, according to the filing on Friday."
Your pal,
Saturday, January 22, 2011
Open Letter to Keith Olbermann
Hey Barry:
I'm writing to Keith, but you can read.
Hey Keith:
Thanks for your vision and integrity. You are a hero. You have been telling truth to power for several years. It's really not a surprise that the power reacted.
Theirs was the oldest response in the books - kill the messenger, ignore the news.
I know you will find a new outlet and I look forward to hearing from you again soon.
In the meantime I offer you this space at any time you are interested. My audience is hundreds and not millions, but it is yours if you wish.
Your pal,
I'm writing to Keith, but you can read.
Hey Keith:
Thanks for your vision and integrity. You are a hero. You have been telling truth to power for several years. It's really not a surprise that the power reacted.
Theirs was the oldest response in the books - kill the messenger, ignore the news.
I know you will find a new outlet and I look forward to hearing from you again soon.
In the meantime I offer you this space at any time you are interested. My audience is hundreds and not millions, but it is yours if you wish.
Your pal,
Wrong Way to Jobs
Hey Barry:
It is good that you are concerned about American jobs, because Lord knows we need some more.
But I am concerned that you are taking some wrong turns to get more jobs.
SAN FRANCISCO MARCH AGAINST THE KOREAN FREE TRADE AGREEMENT
Wrong turn number one is a new Free Trade agreement with South Korea. The well documented history of FTA's is that they reduce total American jobs - they do not increase them. While there may be some few jobs generated as a result, on balance they reduce total US employment.
There will be a march in San Francisco next Saturday January 29, 2011. The march will go from Nancy Pelosi's house to the Korean consulate. People from a wide spectrum of political opinion will march to protest the FTA with Korea. Organizers are expecting academics, students, business leaders, union representatives and perhaps even Tea Baggers to participate.
To join the march supporting American jobs, please RSVP to Ian Fletcher at ian.fletcher@usbic.net for location and other details.
JOB KILLER IMMELT HEADS PANEL TO CREATE AMERICAN JOBS
Wrong turn number two is the appointment of GE's CEO Jeffrey Immelt to head a panel about creating American jobs. "General Electric (NYSE: GE) is hostile to the union movement and is committed to outsourcing American jobs to foreign (cheaper) workers", according to an article in the International Business Times [http://www.ibtimes.com/articles/103735/20110121/immelt-jobs-unions-outsourcing.htm#].
It just does not make any sense Barry. You really need to work on your econs in DC so they get a better understanding of the relationship between trade and US jobs.
Their ignorance is hurting us on Main Street. It may help the plutocrats on Wall Street, but it hurts us, Barry.
I'm worried.
Your pal,
It is good that you are concerned about American jobs, because Lord knows we need some more.
But I am concerned that you are taking some wrong turns to get more jobs.
SAN FRANCISCO MARCH AGAINST THE KOREAN FREE TRADE AGREEMENT
Wrong turn number one is a new Free Trade agreement with South Korea. The well documented history of FTA's is that they reduce total American jobs - they do not increase them. While there may be some few jobs generated as a result, on balance they reduce total US employment.
There will be a march in San Francisco next Saturday January 29, 2011. The march will go from Nancy Pelosi's house to the Korean consulate. People from a wide spectrum of political opinion will march to protest the FTA with Korea. Organizers are expecting academics, students, business leaders, union representatives and perhaps even Tea Baggers to participate.
To join the march supporting American jobs, please RSVP to Ian Fletcher at ian.fletcher@usbic.net for location and other details.
JOB KILLER IMMELT HEADS PANEL TO CREATE AMERICAN JOBS
Wrong turn number two is the appointment of GE's CEO Jeffrey Immelt to head a panel about creating American jobs. "General Electric (NYSE: GE) is hostile to the union movement and is committed to outsourcing American jobs to foreign (cheaper) workers", according to an article in the International Business Times [http://www.ibtimes.com/articles/103735/20110121/immelt-jobs-unions-outsourcing.htm#].
It just does not make any sense Barry. You really need to work on your econs in DC so they get a better understanding of the relationship between trade and US jobs.
Their ignorance is hurting us on Main Street. It may help the plutocrats on Wall Street, but it hurts us, Barry.
I'm worried.
Your pal,
Tuesday, January 18, 2011
Time Travel: Really
Hey Barry,
Two Australian physicists, University of Queensland's Jay Olson and Timothy Ralph, claim that the basic physics of quantum particles suggests that time travel may be possible someday.
Read it here: http://gizmodo.com/5736217/scientist-discovers-time-teleportation
Never a dull moment.
Your pal,
Two Australian physicists, University of Queensland's Jay Olson and Timothy Ralph, claim that the basic physics of quantum particles suggests that time travel may be possible someday.
Read it here: http://gizmodo.com/5736217/scientist-discovers-time-teleportation
Never a dull moment.
Your pal,
Monday, January 17, 2011
National Security: Status of the Country
Hey Barry:
READERSHIP OF THIS SPACE
Before reviewing my personal list of United States national security issues, I'll take a moment to acknowledge that this space has an international audience as well as an American one. Half the readers are from the US while the balance is from other countries including Netherlands, Malaysia, South Korea, Russia, South Africa, Germany, Ukraine, France, Sweden, Brazil and Switzerland. The proportion of international readers has been increasing lately.
GOAL OF THIS SCRIBE
So Barry, as you work on your address on the State of the Union, you most likely have your speech down pat and are just putting on the finishing touches. Probably your goal is to be as balanced as possible and to encourage hope about our future.
My goal here is a little different - I will try to be as realistic as possible without being overly cynical.
I began this exercise in 2007 by commenting on a list of nine items critical to the national security of the United States. An update of that list follows.
SUPPERRICH: GROWING THREAT TO NATIONAL SECURITY
A new item has come to the head of the list: The biggest threat to our future is the continuing creation of a class of super rich billionaires. As addressed in earlier posts, this trend has created a plutocracy which will be with us for generations. These vast fortunes take on a momentum of their own and corrupt the systems the Founding Fathers installed to prevent just the problem we face today.
At the same time this new class of billionaires has been created, the living standard of most Americans has remained the same or declined slightly from the 1970's. For example, African Americans have seen half of the total wealth they accumulated as a group since the civil war eliminated due to the recent housing bubble.
Without direct action to tax away the big fortunes and ensure the prosperity of the middle class, the United States will decline as a nation and a force for good in the world.
This situation is especially troubling for your administration since one of your campaign issues was specifically to address this issue.
POLITICAL CORRUPTION
Second on my list of national security issues is political corruption. This issue damages national security if private interests can sway public policy to favor private gain over public good. The United States of America is thoroughly corrupt. Money interests routinely gain laws that favor them over the greater public good.
MILITARY/INDUSTRIAL COMPLEX
Third is the military industrial complex. While the negative effect of this issue is somewhat subsumed under the income disparity issue above, the concentration of interests designed to promote war and wasteful government spending for weapons is still a major threat to our security. Your administration and Defense Secretary Gates have made some laudable moves to control this question, but so far the results are not adequate to remove this issue from the critical list. The Weapons Systems Acquisition Reform Act is only a start.
ENERGY POLICY
Fourth is energy. Although your administration has worked diligently to revise our national energy policy, political corruption has thwarted most of your proposals. This is a clear case where private interests act against the national interest.
UNION MEMBERSHIP
Fifth are unions. I perceive this issue as a means to counteract the influence of the plutocracy and to assist the middle class achieve a better living standard. I have not seen any progress in this area; of course, it is entirely possible I have missed it.
The Lilly Ledbetter Fair Pay Act helps women and the Health insurance reform helps families and small businesses. But, the health insurance reform does not bring the USA up to first world standards and will be attacked by the REPS.
ELECTION FRAUD
Sixth are elections. Electronic voting machines are susceptible to fraud and there has been no significant movement to restore more trustworthy voting methods. We are vulnerable to election fraud.
JUDICIAL INDEPENDENCE
Seventh is judicial independence. This question remains critical and there is little movement to repair it. Congress continues to block judicial appointments for spurious reasons. This inability to appoint an adequate number of judges compromises the integrity of the process.
TRADE DEFICIT
Eighth is our trade deficit. As a nation we continue to run a substantial trade deficit. Ultimately this imbalance will be corrected whether we correct it deliberately or wait for financial forces to make the adjustment. If we do not act deliberately, we will suffer greater hardship by letting outside forces make the adjustment for us. A continuing infatuation with the economic theory of Free Trade prevents us from examining the question honestly. It is past time to re-examine our trade policy.
BANKS
Last, but not least, our banks have continued to run amok. The recent housing bubble resulted from shoddy or criminal bank practices and brought ruin to millions of families worldwide. While you did pass a bank regulation act that promises better regulation, the law is not adequate to the task. We will see further crises until and unless the regulations are strengthened.
A banker told me that the next bubble will be in tech stocks. Already there are cubicle farms of people doing nothing while an IPO is being written. The founders' game plan: pocket the cash and disappear.
Your appointment of Elizabeth Warren is a notable bright spot.
OTHER CRITICAL ISSUES
In addition to the above challenges, we face a number of issues that demand immediate attention; among these are: huge and unsustainable budget deficits; the present and future fiscal crisis at the city, county and state levels that will reduce local services such as police, fire and schools [see article about Camden NJ - http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/01/18/national/a055102S83.DTL]; lack of domestic demand sufficient to promote domestic growth while that growth is required to overcome the budget deficits; a political deadlock with parties who refuse to act in the national interest; the looming shadow of a European financial meltdown; and, actively fighting two major wars drains our treasury, undermines political support of your government and kills our young people. There are others of course, but these spring to mind immediately.
We are with you Barry. We know your plate is full.
Just keep telling what we can do to help you.
Your pal,
READERSHIP OF THIS SPACE
Before reviewing my personal list of United States national security issues, I'll take a moment to acknowledge that this space has an international audience as well as an American one. Half the readers are from the US while the balance is from other countries including Netherlands, Malaysia, South Korea, Russia, South Africa, Germany, Ukraine, France, Sweden, Brazil and Switzerland. The proportion of international readers has been increasing lately.
GOAL OF THIS SCRIBE
So Barry, as you work on your address on the State of the Union, you most likely have your speech down pat and are just putting on the finishing touches. Probably your goal is to be as balanced as possible and to encourage hope about our future.
My goal here is a little different - I will try to be as realistic as possible without being overly cynical.
I began this exercise in 2007 by commenting on a list of nine items critical to the national security of the United States. An update of that list follows.
SUPPERRICH: GROWING THREAT TO NATIONAL SECURITY
A new item has come to the head of the list: The biggest threat to our future is the continuing creation of a class of super rich billionaires. As addressed in earlier posts, this trend has created a plutocracy which will be with us for generations. These vast fortunes take on a momentum of their own and corrupt the systems the Founding Fathers installed to prevent just the problem we face today.
At the same time this new class of billionaires has been created, the living standard of most Americans has remained the same or declined slightly from the 1970's. For example, African Americans have seen half of the total wealth they accumulated as a group since the civil war eliminated due to the recent housing bubble.
Without direct action to tax away the big fortunes and ensure the prosperity of the middle class, the United States will decline as a nation and a force for good in the world.
This situation is especially troubling for your administration since one of your campaign issues was specifically to address this issue.
POLITICAL CORRUPTION
Second on my list of national security issues is political corruption. This issue damages national security if private interests can sway public policy to favor private gain over public good. The United States of America is thoroughly corrupt. Money interests routinely gain laws that favor them over the greater public good.
MILITARY/INDUSTRIAL COMPLEX
Third is the military industrial complex. While the negative effect of this issue is somewhat subsumed under the income disparity issue above, the concentration of interests designed to promote war and wasteful government spending for weapons is still a major threat to our security. Your administration and Defense Secretary Gates have made some laudable moves to control this question, but so far the results are not adequate to remove this issue from the critical list. The Weapons Systems Acquisition Reform Act is only a start.
ENERGY POLICY
Fourth is energy. Although your administration has worked diligently to revise our national energy policy, political corruption has thwarted most of your proposals. This is a clear case where private interests act against the national interest.
UNION MEMBERSHIP
Fifth are unions. I perceive this issue as a means to counteract the influence of the plutocracy and to assist the middle class achieve a better living standard. I have not seen any progress in this area; of course, it is entirely possible I have missed it.
The Lilly Ledbetter Fair Pay Act helps women and the Health insurance reform helps families and small businesses. But, the health insurance reform does not bring the USA up to first world standards and will be attacked by the REPS.
ELECTION FRAUD
Sixth are elections. Electronic voting machines are susceptible to fraud and there has been no significant movement to restore more trustworthy voting methods. We are vulnerable to election fraud.
JUDICIAL INDEPENDENCE
Seventh is judicial independence. This question remains critical and there is little movement to repair it. Congress continues to block judicial appointments for spurious reasons. This inability to appoint an adequate number of judges compromises the integrity of the process.
TRADE DEFICIT
Eighth is our trade deficit. As a nation we continue to run a substantial trade deficit. Ultimately this imbalance will be corrected whether we correct it deliberately or wait for financial forces to make the adjustment. If we do not act deliberately, we will suffer greater hardship by letting outside forces make the adjustment for us. A continuing infatuation with the economic theory of Free Trade prevents us from examining the question honestly. It is past time to re-examine our trade policy.
BANKS
Last, but not least, our banks have continued to run amok. The recent housing bubble resulted from shoddy or criminal bank practices and brought ruin to millions of families worldwide. While you did pass a bank regulation act that promises better regulation, the law is not adequate to the task. We will see further crises until and unless the regulations are strengthened.
A banker told me that the next bubble will be in tech stocks. Already there are cubicle farms of people doing nothing while an IPO is being written. The founders' game plan: pocket the cash and disappear.
Your appointment of Elizabeth Warren is a notable bright spot.
OTHER CRITICAL ISSUES
In addition to the above challenges, we face a number of issues that demand immediate attention; among these are: huge and unsustainable budget deficits; the present and future fiscal crisis at the city, county and state levels that will reduce local services such as police, fire and schools [see article about Camden NJ - http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/01/18/national/a055102S83.DTL]; lack of domestic demand sufficient to promote domestic growth while that growth is required to overcome the budget deficits; a political deadlock with parties who refuse to act in the national interest; the looming shadow of a European financial meltdown; and, actively fighting two major wars drains our treasury, undermines political support of your government and kills our young people. There are others of course, but these spring to mind immediately.
We are with you Barry. We know your plate is full.
Just keep telling what we can do to help you.
Your pal,
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