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Gary Edwards

Told Ya So: NSA's Collection Of Metadata Is Screamingly Illegal - Forbes - 1 views

  • The PCLOB disagrees.  While “the matter is not free from doubt, we believe that these decisions are wrong. ‘[I]t is a commonplace of statutory construction that the specific governs the general,’ the Supreme Court has said.” If Congress said telephone companies can share customer data in specific circumstances, but not in response to Section 215 orders, that’s what the law is.  That conclusion seems, to us if not to Judge Pauley, crystal clear.
  • So the NSA’s telephone metadata spying program exceeds the agency’s authority under the Patriot Act, and violates ECPA in the process. But we’re still not done – it gets worse yet. For there are good reasons to believe the NSA’s phone records collection is not just illegal, but criminal.
  • Telephone and Internet metadata are protected by law under the aforementioned “pen register” statute.  That statute says that “no person may install or use a pen register or a trap and trace device without first obtaining a court order under section 3123 of this title or under the Foreign Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 et seq.).” Pen registers and trap and trace devices collect dialing, routing, signaling or addressing information. Violation of the statute is a criminal misdemeanor.
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  • We suspect that the phone companies have put in place a process adopted specifically to collect the information that the government demands via its section 215 orders and transmit that information to the government according to technological specifications that the government establishes.  We have seen just this sort of cooperative relationship in another of the NSA’s mass surveillance programs – PRISM – which collects the content of emails, text messages, IMs, and other Internet communications.
  • The government works with telephone and Internet companies to get access to the data it wants in a specific, interoperable format. And this is the problem: If the process for collecting data in response to section 215 orders is in any way different from the process for regular billing, without meeting the statutory requirements for installation of a pen register device, it is a crime.
Paul Merrell

Chris Hedges: Overthrow the Speculators - Chris Hedges - Truthdig - 0 views

  • Speculators at megabanks or investment firms such as Goldman Sachs are not, in a strict sense, capitalists. They do not make money from the means of production. Rather, they ignore or rewrite the law—ostensibly put in place to protect the vulnerable from the powerful—to steal from everyone, including their shareholders. They are parasites. They feed off the carcass of industrial capitalism. They produce nothing. They make nothing. They just manipulate money. Speculation in the 17th century was a crime. Speculators were hanged. We can wrest back control of our economy, and finally our political system, from corporate speculators only by building local movements that decentralize economic power through the creation of hundreds of publicly owned state, county and city banks.
  • The establishment of city, regional and state banks, such as the state public bank in North Dakota, permits localities to invest money in community projects rather than hand it to speculators. It keeps property and sales taxes, along with payrolls for public employees and pension funds, from lining the pockets of speculators such as Jamie Dimon and Lloyd Blankfein. Money, instead of engorging the bank accounts of the few, is leveraged to fund schools, restore infrastructure, sustain systems of mass transit and develop energy self-reliance. The Public Banking Institute, founded by Ellen Brown, the author of “Web of Debt: The Shocking Truth About Our Money System and How We Can Break Free,” Marc Armstrong and other grass-roots activists are attempting to build a system of public banks. States such as Vermont and Washington and cities such as Philadelphia, Washington, D.C., San Francisco and Reading, Pa., have begun public banking initiatives. Public banks return economic power, and by extension political power, to the citizens. And because they are local they are possible. These and other grass-roots revolts, including sustainable agriculture, will be the brush fires that will, if they succeed, ignite the overthrow of the corporate state.
Gary Edwards

Statism: Whether Fascist or Communist, It's The Deadly Opposite of Capitalism - Forbes - 0 views

shared by Gary Edwards on 02 Jan 14 - No Cached
  • So, we observe a fundamental difference: one system grants the state unlimited power, holding that the individual is the rightless slave of the state; the other system holds individual rights to be supreme and inalienable, with the state limited to a single function: the protection of those rights from physical force and fraud.
  • That is the distinction that must be made. We can expect no clarity in political discussion until the pure, consistent poles are identified: the opposition between dictatorship and liberty, between the individual as the nothing and the individual as sovereign. “Left” and “Right” have to be defined accordingly.
  • But “Left” and “Right” are informal shorthand. The actual terms are: “statism,” on the Left, and “capitalism,” on the Right.
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  • Today’s political-economic system is not capitalism–not pure, consistent, uncontrolled, laissez-faire capitalism. Today in America we live in the Entitlement State and the Regulatory State.
  • A government that taxes 40 percent or more of our income, that controls our medical care, that regulates business so thoroughly that every firm large enough to afford it has a department of “compliance,” a government that controls the money supply, sets bank reserve-ratios, regulates stock offerings, margin-ratios, home construction, determines what pharmaceuticals and medical innovations can be sold, operates schools and universities, runs the passenger rail system, forbids “offensive” speech, increasingly intervenes in diet, subsidizes agriculture and “green” businesses, imposes tariffs, decides which businesses may merge, and, we have just learned, spies on its own citizens–is not a government remotely consistent with capitalism.
  • The closest the world ever came to actual capitalism was the United States in the 19th Century, the era of this country’s fastest economic growth. Even in that era, the capitalist, industrial North had to fight a bloody Civil War to end the South’s infamous anti-capitalist institution: slavery.
  • the political spectrum–Left vs. Right–must be defined in terms of statism vs. individual liberty.
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    The political spectrum of Left vs Right must be defined in terms of STATISM vs Individual Liberty. Liberty as understood by the Founding Fathers, and baked into the founding documents.
Paul Merrell

Faced With The Security State, Groklaw Opts Out | Popehat - 0 views

  • For ten years Pamela Jones has run Groklaw, a site collecting, discussing, and explaining legal developments of interest to the open-source software community. Her efforts have, justifiably, won many awards. She's done now.
  • That's not why she's stopping. Pamela Jones is ending Groklaw because she can't trust her government. She's ending it because, in the post-9/11 era, there's no viable and reliable way to assure that our email won't be read by the state — because she can't confidently communicate privately with her readers and tipsters and subjects and friends and family.
  • In making this choice, Jones echoes the words of Lavar Levison, who shut down his encrypted email service Lavabit. Levison said he was doing so rather than "become complicit in crimes against the American people": “I’m taking a break from email,” said Levison. “If you knew what I know about email, you might not use it either.” Lavabit was joined by encryption provider Silent Circle:
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  • The extent of NSA surveillance is unknown, but what little we see is deeply unsettling. What our government says about it can't be believed; the government uses deliberately misleading language or outright lies about the scope of surveillance. So I don't blame Pamela Jones or question her decision. It's not the only way. I don't think it's my way, yet — though I am having some very concerned conversations about whether it's safe, or even ethical, to have confidential attorney-client communications by email.
  • I hope that Pamela's decision will arouse the interest, or attention, or outrage, of a few more people, who will in turn talk and write and advocate to get more people involved. Groklaw was a great resource; citizens will care that it's gone. (The government and its minions won't.) Pamela's choice will likely be met with the usual arguments: the government doesn't care about your emails. If you have nothing to hide you have nothing to worry about. This is about protecting us from terrorist attacks, not about snooping into Americans' communications. Don't you remember 9/11? I tire of responding to those. Let me offer one response that applies to all of them: I don't trust my government, I don't trust the people who work for my government, and I believe that the evidence suggests that it's irrational to offer such trust.
Paul Merrell

Watch Top U.S. Intelligence Officials Repeatedly Deny NSA Spying On Americans Over The ... - 0 views

  • As the NSA’s surveillance scandal widens, I thought it would be worthwhile to look back at a few of the recorded moments over 2012 and 2013 when top NSA officials publicly denied–often with carefully hedged words–participating in the kind of snooping on Americans that has since become nearly undeniable.
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    Nice small collection of U.S. intelligence community lies about domestic surveillance put together in early June 2013. With videos and text. 
Gary Edwards

Why Mark-To-Market Accounting Rules Must Die - Forbes.com - 0 views

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    Good explanation of this 2007 FASB accounting rule that wrecked havoc in September of 2008 when GSA subprime mortgage giants Fannie Mae and Freddie Mac both failed. When the bottom fell out from under the government backed securitized mortgage pools, banks were forced by this accounting rule to radically downgrade their assets. Since banks can only lend against their assets using government controlled ratios, as the asset value was marked to a market decimated by Fannie and Freddie failures and falling housing values, this accounting rule triggered the failure of Lehman Brothers. Because of credit default swaps used to insure these thought to be publicly guaranteed securities, the Lehman failure triggered a massive default at AIG as all Lehman security holders filed insurance claims. What a mess. The authors here propose an end or at the least suspension of mark-to-market accounting rules as an immediate solution. ".... In the 1930s, because mark-to-market accounting existed, we limited the amount of time available to fix problems. At the same time, the U.S. raised taxes, increased spending and economic interference, and became protectionist. This hurt growth. The reason the Great Depression was so bad is that we took away time and growth.
Paul Merrell

Start-Up Site Hires Critic of Wall St. - NYTimes.com - 0 views

  • Matt Taibbi, who made a name as a fierce critic of Wall Street at Rolling Stone magazine, has joined First Look Media, the latest big-name journalist to leave an established brand to enter the thriving and well-financed world of news start-ups.Mr. Taibbi will start his own publication focusing on financial and political corruption, he said in an interview on Wednesday. First Look is financed by the eBay founder Pierre Omidyar, who is worth $8.5 billion, according to Forbes. Mr. Omidyar has pledged $250 million to the project.
  • “It’s obvious that we’re entering a new phase in the history of journalism,” Mr. Taibbi said. “This is clearly the future, and this was an opportunity for me to be part of helping to found something and create something that might carry us into the next generation.”The site, as yet unnamed, will open this year. Mr. Taibbi will write for it and take an editorial role, while based in New York. There will be “an emphasis on bringing in talented writers who can have fun with the subject in addition to producing solid investigative journalism,” he said.
  • Mr. Taibbi is noted for capturing the spirit of the aftermath of the financial crisis with a series of articles in Rolling Stone that examined the misbehavior of Wall Street executives and the risky lending practices that led to a near collapse of the global economy. He used vivid writing and colorful language to describe the root causes of the crisis, including the now-famous metaphor he used to describe Goldman Sachs, calling the bank “a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money.”
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    More detail here on Taibbi's move to First Look Media. If correct, the new mag will retain Taibbi's focus on Wall Street misbehavior but will bring in other writers to "have fun with the subject." Tyler Durden of ZeroHedge.com would seem like a natural fit. 
Paul Merrell

China Steps In as World's New Bank - Bloomberg View - 0 views

  • Thanks to China, Christine Lagarde of the International Monetary Fund, Jim Yong Kim of the World Bank and Takehiko Nakao of the Asian Development Bank may no longer have much meaningful work to do. Beijing's move to bail out Russia, on top of its recent aid for Venezuela and Argentina, signals the death of the post-war Bretton Woods world. It’s also marks the beginning of the end for America's linchpin role in the global economy and Japan's influence in Asia. What is China's new Asian Infrastructure Investment Bank if not an ADB killer? If Japan, ADB's main benefactor, won't share the presidency with Asian peers, Beijing will just use its deep pockets to overpower it. Lagarde's and Kim’s shops also are looking at a future in which crisis-wracked governments call Beijing before Washington. 
  • China stepping up its role as lender of last resort upends an economic development game that's been decades in the making. The IMF, World Bank and ADB are bloated, change-adverse institutions.  When Ukraine received a $17 billion IMF-led bailout this year it was about shoring up a geopolitically important economy, not geopolitical blackmail. Chinese President Xi Jinping's government doesn't care about upgrading economies, the health of tax regimes or central bank reserves. It cares about loyalty. The quid pro quo: For our generous assistance we expect your full support on everything from Taiwan to territorial disputes to deadening the West’s pesky focus on human rights.
  • This may sound hyperbolic; Russia, Argentina and Venezuela are already at odds with the U.S. and its allies. But what about Europe? In 2011 and 2012, it looked to Beijing to save euro bond markets through massive purchases. Expect more of this dynamic in 2015 should fresh turmoil hit the euro zone, at which time Beijing will expect European leaders to pull their diplomatic punches. What happens if the Federal Reserve’s tapering slams economies from India to Indonesia and governments look to China for help? Why would Cambodia, Laos or Vietnam bother with the IMF’s conditions when China writes big checks with few strings attached? Beijing’s $24 billion currency swap program to help Russia is a sign of things to come. Russia, it's often said, is too nuclear to fail. As Moscow weathers the worst crisis since the 1998 default, it’s tempting to view China as a good global citizen. But Beijing is just enabling President Vladimir Putin, who’s now under zero pressure to diversify his economy away from oil. The same goes for China’s $2.3 billion currency swap with Argentina and its $4 billion loan to Venezuela. In the Chinese century, bad behavior has its rewards.
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    Note that this article is in a Bloomberg publication. Is economic reality beginning to dent the MSM propaganda on Wall Street?
Paul Merrell

Yahoo to begin offering PGP encryption support in Yahoo Mail service | Ars Technica - 0 views

  • Yahoo Chief Information Security Officer Alex Stamos announced today at Black Hat 2014 that starting in the fall of this year, the purple-hued company will begin giving users the option of seamlessly wrapping their e-mails in PGP encryption. According to Kashmir Hill at Forbes, the encryption capability will be offered through a modified version of the same End-to-End browser plug-in that Google uses for PGP in Gmail. The announcement was tweeted by Yan Zhu, who has reportedly been hired by Yahoo to adapt End-to-End for use with Yahoo Mail. Zhu formerly worked as an engineer at the Electronic Frontier Foundation, an organization that has consistently been outspoken in its call for the widespread use of encryption throughout the Web and the Internet in general.
Paul Merrell

The Latest Rules on How Long NSA Can Keep Americans' Encrypted Data Look Too Familiar |... - 0 views

  • Does the National Security Agency (NSA) have the authority to collect and keep all encrypted Internet traffic for as long as is necessary to decrypt that traffic? That was a question first raised in June 2013, after the minimization procedures governing telephone and Internet records collected under Section 702 of the Foreign Intelligence Surveillance Act were disclosed by Edward Snowden. The issue quickly receded into the background, however, as the world struggled to keep up with the deluge of surveillance disclosures. The Intelligence Authorization Act of 2015, which passed Congress this last December, should bring the question back to the fore. It established retention guidelines for communications collected under Executive Order 12333 and included an exception that allows NSA to keep ‘incidentally’ collected encrypted communications for an indefinite period of time. This creates a massive loophole in the guidelines. NSA’s retention of encrypted communications deserves further consideration today, now that these retention guidelines have been written into law. It has become increasingly clear over the last year that surveillance reform will be driven by technological change—specifically by the growing use of encryption technologies. Therefore, any legislation touching on encryption should receive close scrutiny.
  • Section 309 of the intel authorization bill describes “procedures for the retention of incidentally acquired communications.” It establishes retention guidelines for surveillance programs that are “reasonably anticipated to result in the acquisition of [telephone or electronic communications] to or from a United States person.” Communications to or from a United States person are ‘incidentally’ collected because the U.S. person is not the actual target of the collection. Section 309 states that these incidentally collected communications must be deleted after five years unless they meet a number of exceptions. One of these exceptions is that “the communication is enciphered or reasonably believed to have a secret meaning.” This exception appears to be directly lifted from NSA’s minimization procedures for data collected under Section 702 of FISA, which were declassified in 2013. 
  • While Section 309 specifically applies to collection taking place under E.O. 12333, not FISA, several of the exceptions described in Section 309 closely match exceptions in the FISA minimization procedures. That includes the exception for “enciphered” communications. Those minimization procedures almost certainly served as a model for these retention guidelines and will likely shape how this new language is interpreted by the Executive Branch. Section 309 also asks the heads of each relevant member of the intelligence community to develop procedures to ensure compliance with new retention requirements. I expect those procedures to look a lot like the FISA minimization guidelines.
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  • This language is broad, circular, and technically incoherent, so it takes some effort to parse appropriately. When the minimization procedures were disclosed in 2013, this language was interpreted by outside commentators to mean that NSA may keep all encrypted data that has been incidentally collected under Section 702 for at least as long as is necessary to decrypt that data. Is this the correct interpretation? I think so. It is important to realize that the language above isn’t just broad. It seems purposefully broad. The part regarding relevance seems to mirror the rationale NSA has used to justify its bulk phone records collection program. Under that program, all phone records were relevant because some of those records could be valuable to terrorism investigations and (allegedly) it isn’t possible to collect only those valuable records. This is the “to find a needle a haystack, you first have to have the haystack” argument. The same argument could be applied to encrypted data and might be at play here.
  • This exception doesn’t just apply to encrypted data that might be relevant to a current foreign intelligence investigation. It also applies to cases in which the encrypted data is likely to become relevant to a future intelligence requirement. This is some remarkably generous language. It seems one could justify keeping any type of encrypted data under this exception. Upon close reading, it is difficult to avoid the conclusion that these procedures were written carefully to allow NSA to collect and keep a broad category of encrypted data under the rationale that this data might contain the communications of NSA targets and that it might be decrypted in the future. If NSA isn’t doing this today, then whoever wrote these minimization procedures wanted to at least ensure that NSA has the authority to do this tomorrow.
  • There are a few additional observations that are worth making regarding these nominally new retention guidelines and Section 702 collection. First, the concept of incidental collection as it has typically been used makes very little sense when applied to encrypted data. The way that NSA’s Section 702 upstream “about” collection is understood to work is that technology installed on the network does some sort of pattern match on Internet traffic; say that an NSA target uses example@gmail.com to communicate. NSA would then search content of emails for references to example@gmail.com. This could notionally result in a lot of incidental collection of U.S. persons’ communications whenever the email that references example@gmail.com is somehow mixed together with emails that have nothing to do with the target. This type of incidental collection isn’t possible when the data is encrypted because it won’t be possible to search and find example@gmail.com in the body of an email. Instead, example@gmail.com will have been turned into some alternative, indecipherable string of bits on the network. Incidental collection shouldn’t occur because the pattern match can’t occur in the first place. This demonstrates that, when communications are encrypted, it will be much harder for NSA to search Internet traffic for a unique ID associated with a specific target.
  • This lends further credence to the conclusion above: rather than doing targeted collection against specific individuals, NSA is collecting, or plans to collect, a broad class of data that is encrypted. For example, NSA might collect all PGP encrypted emails or all Tor traffic. In those cases, NSA could search Internet traffic for patterns associated with specific types of communications, rather than specific individuals’ communications. This would technically meet the definition of incidental collection because such activity would result in the collection of communications of U.S. persons who aren’t the actual targets of surveillance. Collection of all Tor traffic would entail a lot of this “incidental” collection because the communications of NSA targets would be mixed with the communications of a large number of non-target U.S. persons. However, this “incidental” collection is inconsistent with how the term is typically used, which is to refer to over-collection resulting from targeted surveillance programs. If NSA were collecting all Tor traffic, that activity wouldn’t actually be targeted, and so any resulting over-collection wouldn’t actually be incidental. Moreover, greater use of encryption by the general public would result in an ever-growing amount of this type of incidental collection.
  • This type of collection would also be inconsistent with representations of Section 702 upstream collection that have been made to the public and to Congress. Intelligence officials have repeatedly suggested that search terms used as part of this program have a high degree of specificity. They have also argued that the program is an example of targeted rather than bulk collection. ODNI General Counsel Robert Litt, in a March 2014 meeting before the Privacy and Civil Liberties Oversight Board, stated that “there is either a misconception or a mischaracterization commonly repeated that Section 702 is a form of bulk collection. It is not bulk collection. It is targeted collection based on selectors such as telephone numbers or email addresses where there’s reason to believe that the selector is relevant to a foreign intelligence purpose.” The collection of Internet traffic based on patterns associated with types of communications would be bulk collection; more akin to NSA’s collection of phone records en mass than it is to targeted collection focused on specific individuals. Moreover, this type of collection would certainly fall within the definition of bulk collection provided just last week by the National Academy of Sciences: “collection in which a significant portion of the retained data pertains to identifiers that are not targets at the time of collection.”
  • The Section 702 minimization procedures, which will serve as a template for any new retention guidelines established for E.O. 12333 collection, create a large loophole for encrypted communications. With everything from email to Internet browsing to real-time communications moving to encrypted formats, an ever-growing amount of Internet traffic will fall within this loophole.
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    Tucked into a budget authorization act in December without press notice. Section 309 (the Act is linked from the article) appears to be very broad authority for the NSA to intercept any form of telephone or other electronic information in bulk. There are far more exceptions from the five-year retention limitation than the encrypted information exception. When reading this, keep in mind that the U.S. intelligence community plays semantic games to obfuscate what it does. One of its word plays is that communications are not "collected" until an analyst looks at or listens to partiuclar data, even though the data will be searched to find information countless times before it becomes "collected." That searching was the major basis for a decision by the U.S. District Court in Washington, D.C. that bulk collection of telephone communications was unconstitutional: Under the Fourth Amendment, a "search" or "seizure" requiring a judicial warrant occurs no later than when the information is intercepted. That case is on appeal, has been briefed and argued, and a decision could come any time now. Similar cases are pending in two other courts of appeals. Also, an important definition from the new Intelligence Authorization Act: "(a) DEFINITIONS.-In this section: (1) COVERED COMMUNICATION.-The term ''covered communication'' means any nonpublic telephone or electronic communication acquired without the consent of a person who is a party to the communication, including communications in electronic storage."       
Paul Merrell

Americans Want America To Run On Solar and Wind - 2 views

  • Americans “overwhelmingly” prefer solar and wind energy to coal, oil, and nuclear energy, according to a Harvard political scientist who has conducted a comprehensive survey of attitudes toward energy and climate for the last 12 years. Americans see natural gas as a bridge fuel that falls somewhere in between, offering some benefits over traditional fuels but more “harms” than solar and wind, said Harvard Government Professor Stephen Ansolabehere during a December appearance at the University of Chicago. “Americans want to move away from coal, oil and nuclear power and toward wind and solar,” said Ansolabehere, introduced as “the leading energy political scientist in the world” to climate scientists, physicists, economists and public-policy experts at The Energy Policy Institute of Chicago (EPIC). Ansolabehere described solar and wind energy as “hugely popular, overwhelmingly popular.”
  • So popular, in fact, that they easily cross the partisan divide that polarizes Americans on so many other issues. About 80 percent of Americans said they want solar and wind energy to “increase a lot,” and another 10 percent or so want it to increase somewhat. “In order to get 90 percent, that means a lot of Republicans like solar and wind—more than coal. Everybody likes those sources. This is non-partisan.”
  • Ansolabehere began surveying Americans on their energy preferences in 2001, when engineers and scientists at the Massachusetts Institute of Technology, including now-Energy Secretary Ernest Moniz, asked him to gauge public support for a plan to address climate change by building 300 new nuclear power plants. Ansolabehere found that even Americans who worry about climate change don’t support nuclear power. While such a result would not be surprising post-Fukushima, it surprised the engineers, who were envisioning a nuclear renaissance. “People who were concerned about global warming did not want the technology that they were going to put forward. For the engineers, this was a show stopper.” Ansolabehere’s findings might also be a show stopper for the Obama Administration’s “all-of-the-above” energy strategy.
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  • “There are very few conservationists, people who want to use less electricity overall,” he said. “There are also very few people who say all of the above, and this is an interesting note because I don’t know if you remember a few years ago the Obama administration decided this would be a good thing to campaign on, this all-of-the-above strategy. It might have been a good idea to placate West Virginia coal miners, but in fact there aren’t a lot of people who want all of the above in the energy sector.”
  • But Ansolabehere also found that Americans do not have a good grasp of the true cost of solar and wind, nor are they willing to shoulder that cost. They believe solar and wind are cheaper than nuclear power and oil, which they perceive to be the most expensive sources. “The average member of the American public has the picture about right,” he said. “People have the relative harms about right. People have the relative costs for traditional fuels about right. They’re way too optimistic about [the cost of] solar and wind, and the caution is that if you inform them, you’re going to get lower support.”
Paul Merrell

18 Signs That The Global Economic Crisis Is Accelerating As We Enter The Last Half Of 2014 - 0 views

  • #1 The Bank for International Settlements has issued a new report which warns that "dangerous new asset bubbles" are forming which could potentially lead to another major financial crisis.  Do the central bankers know something that we don't, or are they just trying to place the blame on someone else for the giant mess that they have created? #2 Argentina has missed a $539 million debt payment and is on the verge of its second major debt default in 13 years. #3 Bulgaria is desperately trying to calm down a massive run on the banks that threatens of spiral out of control. #4 Last month, household loans in the eurozone declined at the fastest rate ever recorded.  Why are European banks holding on to their money so tightly right now? #5 The number of unemployed jobseekers in France has just soared to another brand new record high.
  • #6 Economies all over Europe are either showing no growth or are shrinking.  Just check out what a recent Forbes article had to say about the matter... Italy’s economy shrank by 0.1% in the first three months of 2014, matching the average of the three previous quarters. After expanding 0.6% in Q2 2013, France recorded zero growth. Portugal shrank 0.7%, following positive numbers in the preceding nine months. While figures weren’t available for Greece and Ireland in Q1, neither country is showing progress. Greek GDP dropped 2.5% in the final three months of last year, and Ireland limped ahead at 0.2%. #7 A few days ago it was reported that consumer prices in Japan are rising at the fastest pace in 32 years.
  • #8 Household expenditures in Japan are down 8 percent compared to one year ago. #9 U.S. companies are drowning in massive amounts of debt, but the corporate debt bubble in China is so bad that the amount of corporate debt in China has actually now surpassed the amount of corporate debt in the United States. #10 One Chinese auditor is warning that up to 80 billion dollars worth of loans in China are backed by falsified gold transactions.  What will that do to the price of gold and the stability of Chinese financial markets as that mess unwinds? #11 The unemployment rate in Greece is currently sitting at 26.7 percent and the youth unemployment rate is 56.8 percent.
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  • #12 67.5 percent of the people that are unemployed in Greece have been unemployed for over a year. #13 The unemployment rate in the eurozone as a whole is 11.8 percent - just a little bit shy of the all-time record of 12.0 percent. #14 The European Central Bank is so desperate to get money moving through the system that it has actually introduced negative interest rates. #15 The IMF is projecting that there is a 25 percent chance that the eurozone will slip into deflation by the end of next year. #16 The World Bank is warning that "now is the time to prepare" for the next crisis. #17 The economic conflict between the United States and Russia continues to deepen.  This has caused Russia to make a series of moves away from the U.S. dollar and toward other major currencies.  This will have serious ramifications for the global financial system as time rolls along.
  • #18 Of course the U.S. economy is struggling right now as well.  It shrank at a 2.9 percent annual rate during the first quarter of 2014, which was much worse than anyone had anticipated.
Paul Merrell

Does Our Military Know Something We Don't About Global Warming? - Forbes - 0 views

  • Every branch of the United States Military is worried about climate change. They have been since well before it became controversial. In the wake of an historic climate change agreement between President Obama and President Xi Jinping in China this week (Brookings), the military’s perspective is significant in how it views climate effects on emerging military conflicts.
  • At a time when Presidents Ronald Reagan and Bush 41, and even British Prime Minister Margaret Thatcher, called for binding international protocols to control greenhouse gas emissions, the U.S. Military was seriously studying global warming in order to determine what actions they could take to prepare for the change in threats that our military will face in the future. The Center for Naval Analysis has had its Military Advisory Board examining the national security implications of climate change for many years. Lead by Army General Paul Kern, the Military Advisory Board is a group of 16 retired flag-level officers from all branches of the Service. This is not a group normally considered to be liberal activists and fear-mongers.
  • This year, the Military Advisory Board came out with a new report, called National Security and the Accelerating Risks of Climate Change, that is a serious discussion about what the military sees as the threats and the actions to be taken to mitigate them. “The potential security ramifications of global climate change should be serving as catalysts for cooperation and change. Instead, climate change impacts are already accelerating instability in vulnerable areas of the world and are serving as catalysts for conflict.”
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  • Bill Pennell, former Director of the Atmospheric Sciences and Global Change Division at Pacific Northwest National Laboratory, summed up the threat in recent discussions about climate and national security: “The environmental consequences of climate change are a significant threat multiplier, which by itself, can be a cause for future conflicts. Global warming will affect military operations as well as its theaters of operations. And it poses significant risks and costs to military and civilian infrastructure, especially those facilities located on the coastline.” “The countries and regions posing the greatest security threats to the United States are among those most susceptible to the adverse and destabilizing effects of climate change. Many of these countries are already unstable and have little economic or social capital for coping with additional disruptions.” “Whether in Africa, the Middle East, South Asia, or North Korea, we are already seeing how extreme weather events – such as droughts and flooding and the food shortages and population dislocations that accompany them – can destabilize governments and lead to conflict. For example, one trigger of the chaos in Syria has been the multi-year drought the country has experienced since 2006 and the Assad Regime’s ineptitude in dealing with it.”
  • So why is the country as a whole, and those who normally support our military, so loathe to prepare for possible threats from this direction? In 1990, Eugene Skolnikoff summarized the national policy issues surrounding global warming and why it has been so difficult to rationally develop policy to address it. “The central problem is that outside the security sector, policy processes confronting issues with substantial uncertainty do not normally yield policy that has high economic or political costs. This is especially true when the uncertainty extends not only to the issues themselves, but also to the measures to avert them or deal with their consequences.” “The climate change issue illustrates – in fact exaggerates – all the elements of this central problem. Indeed, no major action is likely to be taken until those uncertainties are substantially reduced, and probably not before evidence of warming and its effects are actually visible. Unfortunately, any increase in temperature will be irreversible by the time the danger becomes obvious enough to permit political action.” And this was in 1990!
  • As Arctic ice diminishes, the region will see new shipping routes, new energy zones, new fisheries, new tourism and new sources of conflict not covered by existing maritime treaties. Since the United States is not party to the United Nations Convention on the Law of the Sea (UNCLOS) treaty, we will not have maximum operating flexibility in the Arctic. Even seemingly small administrative issues may become important in the new era, e.g., the Unified Command Plan presently splits Arctic responsibility between two Combatant Commands: U.S. Northern Command (NORTHCOM) and U.S. European Command (EUCOM). This type of things needs to be resolved with the coming global changes in mind. Source: Center for Naval Analysis
Paul Merrell

No Slap On The Wrist: Wells Fargo Plunges After Federal Reserve Bars Lender's Growth - 0 views

  • Wells Fargo WFC -9.22%Wells FargoWFC$58.16$-5.91(-9.22%)As of 02/06/2018, 01:01am EST is facing far more than a fine for its fake accounts scandal, in which employees at the lender's branches across the country opened over a million fraudulent checking and credit card accounts to hit their numbers. Late on Friday, the Federal Reserve decided to restrict growth at America's third-largest bank by assets until its risk and governance is improved. The order, which also called for a revamp of Wells Fargo's board of directors, sent the bank reeling in early trading Monday. Wells Fargo shares plunged 9% lower in Monday trading, erasing most of its gains over the past 12 months. For its top shareholder, Warren Buffett's Berkshire Hathaway, the Fed-inspired stock slide meant its Wells Fargo holdings lost over $2.7 billion in value. "We cannot tolerate pervasive and persistent misconduct at any bank and the consumers harmed by Wells Fargo expect that robust and comprehensive reforms will be put in place to make certain that the abuses do not occur again," said chair Janet L. Yellen on Friday. The order was her last as head of the Federal Reserve. On Monday, successor Jerome Powell was sworn in. Added Yellen, "the enforcement action we are taking today will ensure that Wells Fargo will not expand until it is able to do so safely and with the protections needed to manage all of its risks and protect its customers." In September 2016, Wells Fargo paid a $185 million fine to the Consumer Financial Protection Bureau after the agency found branch bankers had opened well over a million fake accounts, which generated millions of dollars in fees to the lender. When the scandal, which occurred over almost a decade, was first revealed, Wells Fargo and its board didn't immediately overhaul their leadership, or sanction top executives in the divisions where fake accounts were created. Only after significant public outcry, in addition to a widening scope of the scandal, did Wells Fargo begin a revamp, firing CEO John Stumpf and clawing back bonuses for numerous executives. Backer Warren Buffett later said in an appearance on CNBC the bank and its leadership had misjudged the severity of the problem.
  • In addition to harsh words, the Fed is ordering a sanction of almost unprecedented severity. It will restrict the bank's growth until its governance and risk management improve, though it will allow Wells to continue current operations from taking deposits to offering loans.
  • Three Wells Fargo long-standing board directors, John Chen, Lloyd Dean and Enrique Hernandez, will likely retire at the firm's annual meeting as part of the Fed's additional order for a refreshment of four board directors. Analysts did not brush off the Fed's move, as they have large fines coming out of the crisis.
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  • The bottom line is that the consent and decree order will mean Wells will have a harder time maintaining market share and will have to compete more on price or credit terms versus peers, in our view. Wells will also have to maintain the balance sheet while other banks are growing, and we view this as defensive versus peers," Kleinhanzl added.
Paul Merrell

Boundless Informant: the NSA's secret tool to track global surveillance data | World ne... - 0 views

  • The National Security Agency has developed a powerful tool for recording and analysing where its intelligence comes from, raising questions about its repeated assurances to Congress that it cannot keep track of all the surveillance it performs on American communications. The Guardian has acquired top-secret documents about the NSA datamining tool, called Boundless Informant, that details and even maps by country the voluminous amount of information it collects from computer and telephone networks.
  • The focus of the internal NSA tool is on counting and categorizing the records of communications, known as metadata, rather than the content of an email or instant message. The Boundless Informant documents show the agency collecting almost 3 billion pieces of intelligence from US computer networks over a 30-day period ending in March 2013. One document says it is designed to give NSA officials answers to questions like, "What type of coverage do we have on country X" in "near real-time by asking the SIGINT [signals intelligence] infrastructure."An NSA factsheet about the program, acquired by the Guardian, says: "The tool allows users to select a country on a map and view the metadata volume and select details about the collections against that country."
  • A snapshot of the Boundless Informant data, contained in a top secret NSA "global heat map" seen by the Guardian, shows that in March 2013 the agency collected 97bn pieces of intelligence from computer networks worldwide.
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  • The heatmap gives each nation a color code based on how extensively it is subjected to NSA surveillance. The color scheme ranges from green (least subjected to surveillance) through yellow and orange to red (most surveillance).The disclosure of the internal Boundless Informant system comes amid a struggle between the NSA and its overseers in the Senate over whether it can track the intelligence it collects on American communications. The NSA's position is that it is not technologically feasible to do so.
  • At a hearing of the Senate intelligence committee In March this year, Democratic senator Ron Wyden asked James Clapper, the director of national intelligence: "Does the NSA collect any type of data at all on millions or hundreds of millions of Americans?" "No sir," replied Clapper.
  • Other documents seen by the Guardian further demonstrate that the NSA does in fact break down its surveillance intercepts which could allow the agency to determine how many of them are from the US. The level of detail includes individual IP addresses.
  • Senators have expressed their frustration at the NSA's refusal to supply statistics. In a letter to NSA director General Keith Alexander in October last year, senator Wyden and his Democratic colleague on the Senate intelligence committee, Mark Udall, noted that "the intelligence community has stated repeatedly that it is not possible to provide even a rough estimate of how many American communications have been collected under the Fisa Amendments Act, and has even declined to estimate the scale of this collection."At a congressional hearing in March last year, Alexander denied point-blank that the agency had the figures on how many Americans had their electronic communications collected or reviewed. Asked if he had the capability to get them, Alexander said: "No. No. We do not have the technical insights in the United States." He added that "nor do we do have the equipment in the United States to actually collect that kind of information".
  •  
    Have NSA and other Administration officials perjured themselves in testimony to Congress? It look that way. Next question: will they be prosecuted?  See also related article at and the leaked FAQ on BoundlessInformant itself at . 
Gary Edwards

The Stunning Hypocrisy of the U.S. Government - BlackListedNews.com - 1 views

  • Please read this rather good summary in this morning’s New York Times of the worldwide debate Snowden has enabled – how these disclosures have “set off a national debate over the proper limits of government surveillance” and “opened an unprecedented window on the details of surveillance by the NSA, including its compilation of logs of virtually all telephone calls in the United States and its collection of e-mails of foreigners from the major American Internet companies, including Google, Yahoo, Microsoft, Apple and Skype” – and ask yourself: has Snowden actually does anything to bring “injury to the United States”, or has he performed an immense public service?
  • The irony is obvious: the same people who are building a ubiquitous surveillance system to spy on everyone in the world, including their own citizens, are now accusing the person who exposed it of “espionage”.
  • It seems clear that the people who are actually bringing “injury to the United States” are those who are waging war on basic tenets of transparency and secretly constructing a mass and often illegal and unconstitutional surveillance apparatus aimed at American citizens – and those who are lying to the American people and its Congress about what they’re doing – rather than those who are devoted to informing the American people that this is being done.
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  • The Obama administration leaks classified information continuously. They do it to glorify the President, or manipulate public opinion, or even to help produce a pre-election propaganda film about the Osama bin Laden raid.
  • The Obama administration does not hate unauthorized leaks of classified information. They are more responsible for such leaks than anyone.
  • What they hate are leaks that embarrass them or expose their wrongdoing.
  • The “enemy” they’re seeking to keep ignorant with selective and excessive leak prosecutions are not The Terrorists or The Chinese Communists.
  • It’s the American people.
  • The people who have learned things they didn’t already know are American citizens who have no connection to terrorism or foreign intelligence, as well as hundreds of millions of citizens around the world about whom the same is true.
  • What they have learned is that the vast bulk of this surveillance apparatus is directed not at the Chinese or Russian governments or the Terrorists, but at them.
  • And that is precisely why the US government is so furious and will bring its full weight to bear against these disclosures.
  • What has been “harmed” is not the national security of the US but the ability of its political leaders to work against their own citizens and citizens around the world in the dark, with zero transparency or real accountability.
  • If anything is a crime, it’s that secret, unaccountable and deceitful behavior: not the shining of light on it.
  • At a press conference to discuss the accusations, an N.S.A. spokesman surprised observers by announcing the spying charges against Mr. Snowden with a totally straight face. “These charges send a clear message,” the spokesman said. “In the United States, you can’t spy on people.”
  • “The American people have the right to assume that their private documents will remain private and won’t be collected by someone in the government for his own purposes.”
  • “Only by bringing Mr. Snowden to justice can we safeguard the most precious of American rights: privacy,” added the spokesman, apparently serious.
  •  
    Extremely well linked story from "Washington's Blog" excerpt: "The Government's Hypocrisy Is the Core Problem Congress has exempted itself from the prohibition against trading on inside information … the law that got Martha Stewart and many other people thrown in jail. There are many other ways in which the hypocrisy of the politicians in D.C. are hurting our country. Washington politicians say we have to slash basic services, and yet waste hundreds of billions of dollars on counter-productive boondoggles.  If the politicos just stopped throwing money at corporate welfare queens, military and security boondoggles and pork, harmful quantitative easing, unnecessary nuclear subsidies,  the failed war on drugs, and other wasted and counter-productive expenses, we wouldn't need to impose austerity on the people. The D.C. politicians said that the giant failed banks couldn't be nationalized, because that would be socialism.  Instead of temporarily nationalizing them and then spinning them off to the private sector - or breaking them up - the politicians have bailed them out to the tune of many tens of billions of dollars each year, and created a system where all of the profits are privatized, and all of the losses socialized. Obama and Congress promised help for struggling homeowners, and passed numerous bills that they claimed would rescue the little guy.  But every single one of these bills actually bails out the banks … and doesn't really help the homeowner. The D.C. regulators pretend that they are being tough on the big banks, but are actually doing everything they can to help cover up their sins. Many have pointed out Obama's hypocrisy in slamming Bush's spying programs … and then expanding them  (millions more). And in slamming China's cyber-warfare … while doing the same thing. And - while the Obama administration is spying on everyone in the country - it is at the same time the most secretive administration ever (ba
Paul Merrell

The Stunning Hypocrisy of the U.S. Government | Washington's Blog - 0 views

  • Congress has exempted itself from the prohibition against trading on inside information … the law that got Martha Stewart and many other people thrown in jail. There are many other ways in which the hypocrisy of the politicians in D.C. is hurting our country. Washington politicians say we have to slash basic services, and yet waste hundreds of billions of dollars on counter-productive boondoggles. If the politicos just stopped throwing money at corporate welfare queens, military and security boondoggles and pork, harmful quantitative easing, unnecessary nuclear subsidies, the failed war on drugs, and other wasted and counter-productive expenses, we wouldn’t need to impose austerity on the people. The D.C. politicians said that the giant failed banks couldn’t be nationalized, because that would be socialism. Instead of temporarily nationalizing them and then spinning them off to the private sector – or breaking them up – the politicians have bailed them out to the tune of many tens of billions of dollars each year, and created a system where all of the profits are privatized, and all of the losses socialized. Obama and Congress promised help for struggling homeowners, and passed numerous bills that they claimed would rescue the little guy. But every single one of these bills actually bails out the banks … and doesn’t really help the homeowner.
  • The Federal Reserve promises to do everything possible to reduce unemployment. But its policies are actually destroying jobs. Many D.C. politicians pay lip service to helping the little guy … while pushing policies which have driven inequality to levels surpassing slave-owning societies. The D.C. regulators pretend that they are being tough on the big banks, but are actually doing everything they can to help cover up their sins. Many have pointed out Obama’s hypocrisy in slamming Bush’s spying programs … and then expanding them (millions more). And in slamming China’s cyber-warfare … while doing the same thing. And – while the Obama administration is spying on everyone in the country – it is at the same time the most secretive administration ever (background). That’s despite Obama saying he’s running the most transparent administration ever.
  • Glenn Greenwald – the Guardian reporter who broke the NSA spying revelations – has documented for many years the hypocritical use of leaks by the government to make itself look good … while throwing the book at anyone who leaks information embarrassing to the government. Greenwald notes today: Prior to Barack Obama’s inauguration, there were a grand total of three prosecutions of leakers under the Espionage Act (including the prosecution of Dan Ellsberg by the Nixon DOJ). That’s because the statute is so broad that even the US government has largely refrained from using it. But during the Obama presidency, there are now seven such prosecutions: more than double the number under all prior US presidents combined.
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  • The irony is obvious: the same people who are building a ubiquitous surveillance system to spy on everyone in the world, including their own citizens, are now accusing the person who exposed it of “espionage”. It seems clear that the people who are actually bringing “injury to the United States” are those who are waging war on basic tenets of transparency and secretly constructing a mass and often illegal and unconstitutional surveillance apparatus aimed at American citizens – and those who are lying to the American people and its Congress about what they’re doing – rather than those who are devoted to informing the American people that this is being done.
  • Similarly, journalists who act as mere stenographers for the government who never criticize in more than a superficial fashion are protected and rewarded … but reporters who actually report on government misdeeds are prosecuted and harassed. Further, the biggest terrorism fearmongers themselves actually support terrorism. And see this. In the name of fighting terrorism, the U.S. has been directly supporting Al Qaeda and other terrorists and providing them arms, money and logistical support in Syria, Libya, Mali, Bosnia, Chechnya, Iran, and many other countries … both before and after 9/11. And see this. The American government has long labeled foreigners as terrorists for doing what America does. Moreover, government officials may brand Americans as potential terrorists if they peacefully protest, complain about the taste of their water, or do any number of other normal, all-American things.
  • This is especially hypocritical given that liberals like Noam Chomsky and conservatives like the director of the National Security Agency under Ronald Reagan (Lt. General William Odom) all say that the American government is the world’s largest purveyor of terrorism. As General Odom noted: Because the United States itself has a long record of supporting terrorists and using terrorist tactics, the slogans of today’s war on terrorism merely makes the United States look hypocritical to the rest of the world. These are just a couple of ways in which the D.C. politicians are hypocrites.
Paul Merrell

America, the Election, and the Dismal Tide « LobeLog - 0 views

  • I thought about that March night as the election results rolled in, as the New York Times forecast showed Hillary Clinton’s chances of winning the presidency plummet from about 80% to less than 5%, while Trump’s fortunes skyrocketed by the minute. As Clinton’s future in the Oval Office evaporated, leaving only a whiff of her stale dreams, I saw all the foreign-policy certainties, all the hawkish policies and military interventions, all the would-be bin Laden raids and drone strikes she’d preside over as commander-in-chief similarly vanish into the ether. With her failed candidacy went the no-fly escalation in Syria that she was sure to pursue as president with the vigor she had applied to the disastrous Libyan intervention of 2011 while secretary of state.  So, too, went her continued pursuit of the now-nameless war on terror, the attendant “gray-zone” conflicts — marked by small contingents of U.S. troops, drone strikes, and bombing campaigns — and all those munitions she would ship to Saudi Arabia for its war in Yemen. As the life drained from Clinton’s candidacy, I saw her rabid pursuit of a new Cold War start to wither and Russo-phobic comparisons of Putin’s rickety Russian petro-state to Stalin’s Soviet Union begin to die.  I saw the end, too, of her Iron Curtain-clouded vision of NATO, of her blind faith in an alliance more in line with 1957 than 2017. As Clinton’s political fortunes collapsed, so did her Israel-Palestine policy — rooted in the fiction that American and Israeli security interests overlap — and her commitment to what was clearly an unworkable “peace process.”  Just as, for domestic considerations, she would blindly support that Middle Eastern nuclear power, so was she likely to follow President Obama’s trillion-dollarpath to modernizing America’s nuclear arsenal.  All that, along with her sure-to-be-gargantuan military budget requests, were scattered to the winds by her ringing defeat.
  • Clinton’s foreign policy future had been a certainty.  Trump’s was another story entirely.  He had, for instance, called for a raft of military spending: growing the Army and Marines to a ridiculous size, building a Navy to reach a seemingly arbitrary and budget-busting number of ships, creating a mammoth air armada of fighter jets, pouring money into a missile defense boondoggle, and recruiting a legion of (presumably overweight) hackers to wage cyber war.  All of it to be paid for by cutting unnamed waste, ending unspecified “federal programs,” or somehow conjuring up dollars from hither and yon.  But was any of it serious?  Was any of it true?  Would President Trump actually make good on the promises of candidate Trump?  Or would he simply bark “Wrong!” when somebody accused him of pledging to field an army of 540,000 active duty soldiers or build a Navy of 350 ships. Would Trump actually attempt to implement his plan to defeat ISIS — that is, “bomb the shit out of them” and then “take the oil” of Iraq?  Or was that just the bellicose bluster of the campaign trail?  Would he be the reckless hawk Clinton promised to be, waging wars like the Libyan intervention?  Or would he follow the dictum of candidate Trump who said, “The current strategy of toppling regimes, with no plan for what to do the day after, only produces power vacuums that are filled by terrorists.” Outgoing representative Randy Forbes of Virginia, a contender to be secretary of the Navy in the new administration, recently said that the president elect would employ “an international defense strategy that is driven by the Pentagon and not by the political National Security Council… Because if you look around the globe, over the last eight years, the National Security Council has been writing that. And find one country anywhere that we are better off than we were eight years [ago], you cannot find it.”
  • Such a plan might actually blunt armed adventurism, since it was war-weary military officials who reportedly pushed back against President Obama’s plans to escalate Iraq War 3.0.  According to some Pentagon-watchers, a potentially hostile bureaucracy might also put the brakes on even fielding a national security team in a timely fashion. While Wall Street investors seemed convinced that the president elect would be good for defense industry giants like Lockheed Martin and General Dynamics, whose stocks surged in the wake of Trump’s win, it’s unclear whether that indicates a belief in more armed conflicts or simply more bloated military spending. Under President Obama, the U.S. has waged war in or carried out attacks on at least eight nations — Afghanistan, Iran, Iraq, Pakistan, Somalia, Yemen, Libya, and Syria.  A Clinton presidency promised more, perhaps markedly more, of the same — an attitude summed up in her infamous comment about the late Libyan autocrat Muammar Gaddafi: “We came, we saw, he died.”  Trump advisor Senator Jeff Sessions said, “Trump does not believe in war. He sees war as bad, destructive, death and a wealth destruction.”  Of course, Trump himself said he favors committing war crimes like torture and murder.  He’s also suggested that he would risk war over the sort of naval provocations — like Iranian ships sailing close to U.S. vessels — that are currently met with nothing graver than warning shots. So there’s good reason to assume Trump will be a Clintonesque hawk or even worse, but some reason to believe — due to his propensity for lies, bluster, and backing down — that he could also turn out to be less bellicose.
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  • Given his penchant for running businesses into the ground and for economic proposals expected to rack up trillions of dollars in debt, it’s possible that, in the end, Trump will inadvertently cripple the U.S. military.  And given that the government is, in many ways, a national security state bonded with a mass of money and orbited by satellite departments and agencies of far lesser import, Trump could even kneecap the entire government.  If so, what could be catastrophic for Americans — a battered, bankrupt United States — might, ironically, bode well for the wider world.
  • At the time, I told my questioner just what I thought a Hillary Clinton presidency might mean for America and the world: more saber-rattling, more drone strikes, more military interventions, among other things.  Our just-ended election aborted those would-be wars, though Clinton’s legacy can still be seen, among other places, in the rubble of Iraq, the battered remains of Libya, and the faces of South Sudan’s child soldiers.  Donald Trump has the opportunity to forge a new path, one that could be marked by bombast instead of bombs.  If ever there was a politician with the ability to simply declare victory and go home — regardless of the facts on the ground — it’s him.  Why go to war when you can simply say that you did, big league, and you won? The odds, of course, are against this.  The United States has been embroiled in foreign military actions, almost continuously, since its birth and in 64 conflicts, large and small, according to the military, in the last century alone.  It’s a country that, since 9/11, has been remarkably content to wage winless, endless wars with little debate or popular outcry.  It’s a country in which Barack Obama won election, in large measure, due to dissatisfaction with the prior commander-in-chief’s signature war and then, after winning a Nobel Peace Prize and overseeing the withdrawal of troops from Iraq, reengaged in an updated version of that very same war — bequeathing it now to Donald J. Trump. “This Trump.  He’s a crazy man!” the African aid worker insisted to me that March night.  “He says some things and you wonder: Are you going to be president?  Really?”  It turns out the answer is yes. “It can’t happen, can it?” That question still echoes in my mind.
  • I know all the things that now can’t happen, Clinton’s wars among them. The Trump era looms ahead like a dark mystery, cold and hard.  We may well be witnessing the rebirth of a bitter nation, the fruit of a land poisoned at its root by evils too fundamental to overcome; a country exceptional for its squandered gifts and forsaken providence, its shattered promises and moral squalor. “It can’t happen, can it?” Indeed, my friend, it just did.
Paul Merrell

Trump, Kissinger and Ma playing on a crowded chessboard | Asia Times - 0 views

  • And that brings us once again to Henry Kissinger, the putative dalang — puppet master — of Trump’s foreign policy. As leaked late last year in Germany’s Bild Zeitung newspaper, Kissinger has drafted a plan to officially recognize Crimea as part of Russia and lift the Obama administration’s economic sanctions.
  • The plan fits into Kissinger’s overall strategy — call it a traditional British Balance of Power, or Divide and Rule, approach — of breaking up the Eurasian front (Russia-China-Iran) that constitutes the real “threat” to what Mattis defines as the “established world order.” The strategy consists in seducing the alleged weaker top “threat” (Russia) away from the stronger (China), while keeping on antagonizing/harassing the third and weakest pole, Iran. Kissinger is certainly more sophisticated than predictable US Think Tankland in his attempt to dismember the Shanghai Cooperation Organization, one of key nodes of the Russia-China strategic partnership. The SCO has been on the go for a decade and a half now. Iran, an observer, will soon become a full member, as will India and Pakistan; and Turkey — after the failed coup against Erdogan — is being courted by Moscow. German analyst Peter Spengler adds a juicy teaser — if Kissinger’s “Metternichian approach would include some degree of ‘harmonization’ with Russia, how will a Trump presidency then manage to contain the re-engineered ally Germany?” After all, a key priority for sanctions-averse German industrialists is to vastly expand business with Russia.
  • Kissinger’s strategy essentially tweaks the early 1970s Trilateral Commission, largely advanced by his rival dalang Dr Zbigniew “Grand Chessboard” Brzezinski, according to which geopolitics is to be managed by North America, Western Europe and Japan.
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  • The US deep state plutocracy never sleeps. Admitting both Russia and China, linked by a strategic partnership, as equal stakeholders in the “established world order” is anathema; that would imply the end of US hegemony. And that’s where the top Western would-be dalangs diverge, as they look for the most efficient Divide and Rule opening. Kissinger privileges Russia; Dr Zbig privileges China, painting it as a threat to Russia. Meanwhile, Russian Eurasianists — in frontal opposition to the Atlanticists — visualize the US, China and Russia on an equal geopolitical footing. It will be fascinating to watch how the New Great Game develops in the Central Asian “stans”. That’s a privileged theater in which to see the Russia-China strategic partnership, or division of labor, in action: China goes no holds barred on investment — via One Belt, One Road, aka the New Silk Roads — while Russia remains paramount in politics and security.
  • The bottom line: Moscow feels no existential “threat” from Beijing because for China, Central Asia and the Russian Far East register essentially as economic/investment opportunities along the New Silk Roads.
  • Once again, Kissinger’s strategy will run into a solidified Russia-China strategic partnership — already manifested in Pipelineistan (multibillion-dollar oil and gas projects); security deals; the SCO; cooperation inside BRICS; exchange of cutting-edge military technology; and the progressive interlocking of the New Silk Roads and the Eurasian Economic Union. When the New Silk Roads hit the next level, by the start of the next decade, the Eurasian heartland, as well as the rimland, will be deeply immersed in a connectivity frenzy. Welcome to Mackinder and Spykman revisited — and there’s no “offer” Washington can come up with to make it go away.
  • Into this crucial juncture steps Jack Ma. The Trump-Ma meeting at Trump Tower was niskala disguised as sekala. The House That Ma Built — Alibaba — is no less than the New Great Wall, resisting the assault of behemoth Amazon.com in the ultimate commercial arena of the 21st century: e-commerce. Ma also happens to be very close to Chinese President Xi Jinping. Like an upgraded we-mean-business Deng Xiaoping, Ma proposed, on the record, the creation of 1 million US jobs. That’s an offer Trump cannot possibly refuse. And this after shadow US Secretary of State Jared Kushner had a Chateau Lafite Rothschild-inundated lunch with another Chinese tycoon, Anbang Insurance Group’s Wu Xiahoui, who married Deng’s niece and whose company owns the Waldorf Astoria hotel in Manhattan.
  • Ma’s business firepower should not be underestimated. Alibaba is involved in a massive project to modernize even rural China. He’s the face of Chinese business not only internally but globally. Xi Jinping knows this all too well — who better than Ma as China’s top business ambassador? This is not, as Japanese interests spin it, about the “death” of Made in China; it is about globalized China exporting business and jobs to the West. All of the above points to a very crowded chessboard. Trump will do business and clinch deals with China, while his deep state-tinged cabinet barks the usually explosive national security rhetoric, dalang Kissinger plots a Russia-China split, and Moscow-Beijing secretly concoct concerted moves. Place your bets on who will be the major partner in the Trump, Kissinger and Ma law firm.
Paul Merrell

Josh Mandel: Welders Make $150,000? Bring Back Shop Class - WSJ.com - 0 views

  • In American high schools, it is becoming increasingly hard to defend the vanishing of shop class from the curriculum. The trend began in the 1970s, when it became conventional wisdom that a four-year college degree was essential. As Forbes magazine reported in 2012, 90% of shop classes have been eliminated for the Los Angeles unified school district's 660,000 students. Yet a 2012 Bureau of Labor Statistics study shows that 48% of all college graduates are working in jobs that don't require a four-year degree.
  • A good trade to consider: welding. I recently visited Pioneer Pipe in the Utica and Marcellus shale area of Ohio and learned that last year the company paid 60 of its welders more than $150,000 and two of its welders over $200,000. The owner, Dave Archer, said he has had to turn down orders because he can't find enough skilled welders.
  • According to the 2011 Skills Gap Survey by the Manufacturing Institute, about 600,000 manufacturing jobs are unfilled nationally because employers can't find qualified workers. To help produce a new generation of welders, pipe-fitters, electricians, carpenters, machinists and other skilled tradesmen, high schools should introduce students to the pleasure and pride they can take in making and building things in shop class. American employers are so yearning to motivate young people to work in manufacturing and the skilled trades that many are willing to pay to train and recruit future laborers.
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    The wisdom of offshoring manufacturing jobs and busting trade unions bites the U.S. in the bohunkus; a shortage of skilled tradesmen.  
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