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Gary Edwards

Housing Boom and Bust - Thomas Sowell - National Review Online - 0 views

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    A classic dissection of the financial collapse of 2008.  Genius! excerpt: EDITOR'S NOTE: The following is adapted from Thomas Sowell's new book, The Housing Boom and Bust. Let us go back to square one to consider the empirical consequences of policies in the housing market. Politicians in Washington set out to solve a national problem that did not exist - a nationwide shortage of "affordable housing" - and have now left us with a problem whose existence is as undeniable as it is painful. When the political crusade for affordable housing took off and built up steam during the 1990s, the share of their incomes that Americans were spending on housing in 1998 was 17 percent, compared to 30 percent in the early 1980s. Even during the housing boom of 2005, the median home took just 22 percent of the median American income. What created the illusion of a nationwide problem was that, in particular localities around the country, housing prices had skyrocketed to the point where people had to pay half their income to buy a modest-sized home and often resorted to very risky ways of financing the purchase. In Tucson, for example, "roughly 60% of first-time home buyers make no down payment and instead now use 100% financing to get into the market," according to the Wall Street Journal. Almost invariably, these locally extreme housing prices have been a result of local political crusades in the name of locally attractive slogans about the environment, open space, "smart growth," or whatever other phrases had political resonance at the particular time and place.
Paul Merrell

Ukraine Protests Carefully Orchestrated: The Role of CANVAS, US-Financed "Color Revolut... - 0 views

  • The US is strongly pushing the Ukraine EU integration just as it had been behind the 2004 failed “Orange Revolution” to split Ukraine from Russia in a  bid to isolate and weaken Russia. Now Ukrainians have found evidence of direct involvement of the Belgrade US-financed training group, CANVAS behind the carefully-orchestrated Kiev protests. A copy of the pamphlet that was given out to opposition protestors in Kiev has been obtained. It is a word-for-word and picture-for-picture translation of the pamphlet used by US-financed Canvas organizers in the 2011 Cairo Tahrir Square protests that toppled Hosni Mubarak and opened the door to the US-backed Muslim Brotherhood.[1] The photo below is a side-by-side comparison:
  • Canvas, formerly Otpor, received significant money from the US State Department in 2000 to stage the first successful Color Revolution against Slobodan Milosovic in then-Yugoslavia. Since then they have been transformed into a full-time “revolution consultancy” for the US, posing as a Serbian grass-root group backing “democracy.” [2]
  • The recent protests in Ukraine have the stench of a foreign-orchestrated attempt to destabilize the government of Viktor Yanukovych after he walked away from signing an EU Association Agreement that would have driven a deep wedge between Russia and Ukraine. Glamor-star boxer-turned political guru, Vitaly Klitschko, has been meeting with the US State Department and is close to Angela Merkel’s CDU political machine in Germany.
Paul Merrell

Intelligence Archives - Secrecy News - 0 views

  • The U.S. military has been investigating the use of sophisticated data mining tools to probe social media and other open sources in order to support military operations against money laundering, drug trafficking, terrorism and other threats.  But the window for doing so may be closing as the social media landscape changes, according to an internal assessment. U.S. Special Operations Command (SOCOM) National Capital Region (NCR) conducted a series of experiments over the past year under the rubric “QUANTUM LEAP” that was intended to test “non-traditional” tools and techniques to advance the SOCOM mission. An after-action report on the first experiment said it “was successful in identifying strategies and techniques for exploiting open sources of information, particularly social media, in support of a counter threat finance mission.”  Counter threat finance refers to efforts to disrupt an adversary’s finances.  A copy of the SOCOM NCR report was obtained by Secrecy News.  See “Project QUANTUM LEAP: After Action Report,” 12 September 2012. “Major lessons learned were the pronounced utility of social media in exploiting human networks, including networks in which individual members actively seek to limit their exposure to the internet and social media…,” the report said.
  • The report said that as valuable as the opportunity created by new techniques for data mining of open sources appears to be, it may prove to be transient. “We are currently in a ‘window’ of opportunity for exploitation of social media sources for application to CTF [counter threat finance] or other SOCOM NCR missions. This window could be as narrow as 18-24 months before the social media phenomenon transforms. This future transformation is unknown and could offer additional opportunities, or existing opportunities could be closed, but the only thing that is certain is that there will continue to be rapid change.”
Gary Edwards

Who owns the Bank of England? |Dark Politricks - 0 views

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    "Who owns the Bank of England? A brief history of World Banksters By Dark Politricks First a few historical comments by people who helped create two of the worlds most famous central banks, the Bank of England and the Federal Reserve. "I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men." - Woodrow Wilson, after signing the Federal Reserve into existence The Bank of England was created in 1694 by a Scotsman William Paterson who famously said: The bank hath benefit of interest on all moneys which it creates out of nothing. - William Paterson The history of the Bank of England and how it was taken over by one powerful family hundreds of years ago. Up until 1946 when it was nationalised the Bank of England was a private run bank that lent money it created out of nothing to the English government and was paid back with interest. A very famous story relates to the Bank of England and the infamous Rothschilds, that all powerful banking family. This story was re-told recently in a BBC documentary about the creation of money and the Bank of England. It revolves around the Battle of Waterloo in which Nathan Rothschild used his inside knowledge of the outcome and his faster horses and couriers to play the market by getting the result of the battle before anyone else knew the outcome. He quickly sold his English bonds and gave all the traders who looked to him for guidance the impression that the French had won at Waterloo. The other traders all rus
Paul Merrell

Derivatives and the Government Shutdown: Wall Street Bets One Thousand Trillion Dollars... - 1 views

  • The notional value of derivative financial instruments is now estimated at $1.2 quadrillion – that is, one thousand two hundred trillion dollars. This statistic is fantastic in every sense of the word, amounting to 16.7 times the Gross World Product, which is the value of all the goods and services produced per year by every man, woman and child on the planet: $71.83 trillion. Derivatives are valued at six times more than the total accumulated wealth of the world, including all global stock markets, insurance funds, and family wealth: $200 trillion. The great bulk of known derivative deals are held by banks that are considered too big to be allowed to fail, with the top four banks accounting for more than 90 percent of the exposure: J.P. Morgan Chase, Citibank, Bank of America, and Goldman Sachs. We are told that derivatives are simply bets between knowledgeable partners – hedges against loss – and that every time one of these financial institutions loses, another gains, so that there is no net loss or threat of global collapse. But that’s a lie. Never in the history of the world has finance capital so dominated the real economy, and only in the past two decades have derivatives been so central to finance capitalism. The players do not know what they are doing, nor do they care. The meltdown of 2008 was caused primarily by derivatives, requiring a bailout in the tens of trillions of dollars that is still ongoing, with the Federal Reserve buying up securities that no one would purchase – that is, bet on – otherwise. Yet, the universe of derivatives deals has grown much larger than in 2008, effectively untouched by President Obama’s so-called financial reforms.
  • The casino has swallowed the system. The sums the players are betting are not only far larger than the value of the rest of their portfolios, but six times larger than the combined assets of every human institution and family on Earth, and almost 17 times bigger than the worth of humankind’s yearly output. Even if the whole planet were offered as collateral, it could not cover Wall Street’s bets. The events of 2008 demonstrated that derivatives collapses, like other speculative financial events, behave as cascades of consequences, rather than orderly “resolutions.” Derivatives deals infest or overhang every nook and cranny of the U.S. and other “mature” economies, poisoning pension systems and municipal finance structures. Detroit has been rendered a failed city by the full range of derivatives and securitization. When the casino is the economy, everyone is forced to play, and the poor go broke first. Reformers of various stripes tell us that derivatives can either be regulated to a less lethal scale or abolished, altogether, while leaving Wall Street otherwise intact. That’s manifestly untrue. Finance capital creates nothing, reproducing itself through the manipulation of money. The derivatives explosion occurred because Wall Street needed a form of “fictitious” capital to continue posting ever higher profits, and ultimately, fictitious portfolios full of tradable bets. Derivatives deals are the ultimate expression of financial capitalism: they are primarily bets on transactions, rather than investments in production. The rise of derivatives signals that capitalism has run its course, and can only do further harm to humanity. The derivatives economy – all $1.2 quadrillion of it – is the last stage of capitalism.
Paul Merrell

Russia Gets Very Serious on De-dollarizing | nsnbc international - 0 views

  • Russia is about to take another major step towards liberating the Ruble from the Dollar System. Its Finance Ministry just revealed it is considering issuing Russian state debt in Chinese Yuan. That would be an elegant way to decouple from the dependence and blackmail pressures from the US Treasury financial terrorism operations while at the same time strengthening the bonds between China and Russia–Washington’s worst geopolitical nightmare.
  • Russian Deputy Minister of Finance, Sergei Storchak, announced that his ministry is making a careful study of what would be required to issue Russian bonds denominated in Chinese Yuan. The latest news is part of a long-term strategy between Russia and China that goes at the heart of American hegemony—the role of the dollar as the leading world central bank reserve currency. The dollar is used in some 60% of central bank reserves today. The second largest is the Euro. Now clearly China is carefully moving, as the world’s largest trading nation, to create its Renminbi or Chinese Yuan as another major reserve currency. That has huge geopolitical implications. So long as the US dollar is leading reserve currency, the world must de facto buy US dollar Treasury bonds for its reserves. That has allowed Washington to have budget deficits since 1971 when the dollar left the gold exchange standard. In effect, China, Japan, Russia, Germany—all trade surplus countries, finance Washington’s deficits that allow her to make wars around the world. It is a paradox that Russia and China at least, are determined to end as soon as possible.
  • What all this indicates is that Russia and China are carefully planning a long-term strategy of getting out from dependence on the US currency, something that, as the US sanctions last year revealed, make both countries vulnerable to US currency wars of devastating impact. China has just been accepted “in principle” by the Group of 7 finance ministers to have its yuan included in the International Monetary Fund basket of currencies making up IMF Special Drawing Rights. Today only US dollar, Euro and Japanese Yen are included in the basket. Including the yuan would be a huge step towards making the yuan a recognized international reserve currency, and at the same time would weaken the dollar share. China’s foreign reserves consist overwhelmingly of US dollar claims, mainly US Treasury bonds, which is a strategic weakness, because in case of war these can be frozen, as Iran knows too well. It is imperative for China to increase the gold content of the reserves and to diversify the rest into other currencies. China has also agreed with Russia to unify the new Silk Road high-speed rail project with Russia and Russia’s Eurasian Economic Union. At the same time Beijing has announced it is creating a huge $16 billion fund to develop gold mines along the rail route linking Russia and China and Central Asia. That suggests plans to greatly build up gold as central bank reserve share. China’s central bank has greatly increased its gold holdings in recent years, though whether it is now greater than the alleged Federal Reserve gold holdings of 8000 tons is not yet public. It is expected China must reveal its gold reserves on being formally accepted into the IMF SDR basket perhaps later this year.
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  • Last year, 2014, Song Xin, president of the China Gold Association stated, “We need to establish our gold bank as soon as possible…It can further help us acquire reserves and give us more say and control in the gold market.” A gold sector fund involving countries along the Silk Road has been set up in northwest China’s Xi’an City this May, led by Shanghai Gold Exchange (SGE), part of China’s national bank, PBOC. China is the world’s largest gold producer. Among the 65 countries along the routes of the Silk Road Economic Belt, there are numerous Asian countries identified as important reserve bases and consumers of gold. Xinhua reports that 60 countries have invested in the fund, which will facilitate central banks of member states to increase their holdings of gold. Dr. Diedrick Goedhuys, former economic adviser to the Reserve Bank of South Africa in an interview told me, “I want to emphasize the unique quality of gold, when viewed as a financial asset, of being an asset that is no-one’s liability. A treasury bond, for instance, is an asset in my hands, but a liability, or debt to be repaid, in the books of the treasury. Gold is a pure asset. The Chinese gold mining plan is of vast importance. It’s a long-term plan; it may take ten years before it has a significant effect.”
Gary Edwards

Thoughts from the Frontline: The Center Cannot Hold by John Mauldin - 0 views

  • The Minsky Journey is where investment goes from what Minsky called a hedge unit, where the investment is its own source of repayment; to a speculative unit, where the investment only pays the interest; to a Ponzi unit, where the only way to repay the debt is for the value of the investment to rise.
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    "Our examination of the future of public debt leads us to several important conclusions. First, fiscal problems confronting industrial economies are bigger than suggested by official debt figures that show the implications of the financial crisis and recession for fiscal balances. As frightening as it is to consider public debt increasing to more than 100% of GDP, an even greater danger arises from a rapidly ageing population. The related unfunded liabilities are large and growing, and should be a central part of today's long-term fiscal planning. "It is essential that governments not be lulled into complacency by the ease with which they have financed their deficits thus far. In the aftermath of the financial crisis, the path of future output is likely to be permanently below where we thought it would be just several years ago. As a result, government revenues will be lower and expenditures higher, making consolidation even more difficult. But, unless action is taken to place fiscal policy on a sustainable footing, these costs could easily rise sharply and suddenly. "Second, large public debts have significant financial and real consequences. The recent sharp rise in risk premia on long-term bonds issued by several industrial countries suggests that markets no longer consider sovereign debt low-risk. The limited evidence we have suggests default risk premia move up with debt levels and down with the revenue share of GDP as well as the availability of private saving. Countries with a relatively weak fiscal system and a high degree of dependence on foreign investors to finance their deficits generally face larger spreads on their debts. This market differentiation is a positive feature of the financial system, but it could force governments with weak fiscal systems to return to fiscal rectitude sooner than they might like or hope. "Third, we note the risk that persistently high levels of public debt will drive down capital accumulation, productivity growth and lon
Gary Edwards

How the Money Vanished - The Bear Stearns "House of Cards" story by William Cohan - 0 views

  • At 2:00 a.m. on Friday -- Mr. Cohan tells us -- Mr. Geithner called Donald Kohn, the vice chairman of the Federal Reserve, and told him that he "wasn't confident that the fallout from the bankruptcy of Bear Stearns could be contained." Taxpayers reading this fascinating tale may wonder whether the fallout from the government's intervention can be contained and, if so, at what cost.
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    Meeting the characters in "House of Cards," it's not easy to conceive of people less deserving of federal assistance. In 1997, Bear Stearns helped pioneer the subprime mortgage-backed security by serving as co-underwriter on a $385 million offering. By the mid-2000s, Bear was the leading issuer of such securities and a leader in collateralized debt obligations, which offered even less transparency to investors. Bear was a vertically integrated manufacturer of mortgage chaos, making individual loans to home buyers, servicing the loans, bundling them into pools for investors, marketing the securities and also borrowing huge sums to finance internal hedge funds that held onto these dodgy assets. House of Cards By William D. Cohan (Doubleday, 468 pages, $27.95) Mr. Cohan describes the succession of government policies that encouraged Bear and others to invest so heavily in mortgage finance, from the Fed's easy money to Clinton-era changes to the Community Reinvestment Act requiring more loans to low-income borrowers. But the firm itself deserves the lion's share of the blame for its own collapse. Suggestions to sell some of its risky mortgage assets, or to raise capital, or to consider merger partners were brushed aside in the years and months leading up to the debacle. Paul Friedman, chief operating officer of Bear's fixed-income division, tells Mr. Cohan that "we did this to ourselves. . . . It's our fault for allowing it to get this far, and for not taking any steps to do anything about it."
Gary Edwards

The Election Choice: Socialism or Capitalism - The Tax Policy differences between Obam... - 0 views

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    In sum, Mr. Obama is proposing to use the tax code to substantially redistribute income -- raising tax rates on a minority of taxpayers to finance tax credits and direct income supplements to millions of others. How much revenue his higher rates would raise depends on how much less those high-earners would work, or how much they would change their practices to shelter their income from those higher rates. By contrast, Mr. McCain is proposing some kind of tax reduction for most Americans who pay taxes. He says he would finance those cuts by reducing the rate of growth in federal spending.
Gary Edwards

Fanniegate: Gamechanger For The GOP? | Via Meadia - 0 views

  • The story doesn’t just attack a failure of Democratic policy execution; it exposes a key flaw in New Democratic thinking.  The Third Way as dreamed up by Bill Clinton and Tony Blair sought to harness the power of financial markets to a public service agenda.  Old style command and control liberalism believed in directly mandating business to do what politicians thought should be done.  AT&T had to serve rural communities, but in exchange it had a phone monopoly and regulators made sure that it made a good profit.  The airlines and bus companies had to service unprofitable routes, but regulators made sure that their route networks as a whole were profitable.
  • a new and updated liberalism appeared.
  • The sad fact remains that the current president, according to longstanding government clearance protocols, could not be hired as a janitor in a federal building with the amount of personal background information that he has provided. Run for President? No problem. Get any other federal job? No way. Quite apart from the issue of any sort of birth certificates, real or imagined, genuine or forged, is the fact that Barack Obama’s school records, SAT and LSAT scores, college and law school admission records and scholarship paperwork and grade transcripts and thesis papers, medical records, passport history, Illinois state senate tenure records, presidential campaign foreign donor lists, complete White House visitor logs and many other relevant records and documents have all never been released or allowed to be subjected to any sort of scrutiny, despite several years of repeated requests for disclosure by numerous individuals and non-traditional media organizations. Virtually the entire paper trail of Barack Obama’s existence has always been deeply hidden away in a tight shroud of secrecy. The Obama 2008 campaign and subsequent administration have to date spent a substantial sum on legal fees, estimated in the millions of dollars, to fight Freedom of Information Act filings and other motions and requests to examine some of this material. The powerful international law firm Perkins Coie, the counsel of record to the Democractic National Committee, has been their primary provider of these services and continues in that role.
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    excerpt:  Democrats, watch out. The Republican Party and especially its Tea Party wing have just acquired a new weapon of mass destruction - and it has nothing to do with any of Congressman Wiener's rogue body parts.  If they deploy this weapon effectively in the next election cycle - a big if - then they have the biggest opportunity to move the country rightward since Ronald Reagan took the oath of office back in 1981. The Tea Party WMD stockpile is currently stored in book form:  Reckless Endangerment: How Outsized Ambition, Greed, and Corruption Led to Economic Armageddon. By Gretchen Morgenson, one of America's best business journalists who is currently at The New York Times, and noted financial analyst Joshua Rosner, Reckless Endangerment gives the best available account of how the growing chaos in the mortgage and personal finance markets and the rampant bundling of dubious loans into exotically toxic securities plunged the world, and millions of American families, into the gravest financial crisis since World War Two. It is gripping reading as well, and its explanations are clear enough that readers without any background in finance will have no trouble following the plot.  The villains?  An unholy alliance between Wall Street, the Democratic establishment, community organizing groups like ACORN and La Raza, and politicians like Barney Frank, Nancy Pelosi and Henry Cisneros.  (Frank got a cushy job for a lover, Pelosi got a job and layoff protection for a son, Cisneros apparently got a license to mint money bilking Mexican-Americans of their life savings in cheesy housing developments.)
Gary Edwards

The Daily Bell - Occupy Wall Street Demands Global UN Tax and Worldwide G20 Protest - 0 views

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    Occupy's busting out on a new path ... So Adbusters is asking people all around the world to march on Oct. 29. "We want to send a clear message that we the people want to slow down this global casino." And Adbusters does have one specific demand, a 1 percent tax on financial-sector transactions (perhaps stocks, bonds, foreign-currency trades and derivatives). Some form of that idea, known as the "Robin Hood" tax, has been around for a while and might actually fly. - Jerry Large/Seattle Times Dominant Social Theme: We want justice for the world and the UN will give it to us. Free-Market Analysis: Kalle Lasn, founder of Adbusters magazine, based in Vancouver, B.C. - the magazine that issued the call for the initial Occupy Wall Street protests - has called on people to protest the upcoming G20 while demanding a one-percent tax on financial transactions. The revenue raised would be enormous and the lingering question is where this incredible revenue stream would be directed. The answer is obvious to those who follow what we call "directed history." The intention is likely to fund the UN as part of a final push to rationalize and perfect the initial stages of true world government. As we have written before, the movement toward world government is happening very quickly now. The ramifications are enormous and people who write off these protests as spontaneous and short-lived are not grasping what is taking place, in our humble opinion. The financial sales tax has been around for a very long time but has found its most recent voice in a column by Jerry Large of the Seattle Times. He recently gained an exclusive interview with Kalle Lasn, who sounds as if he hopes that a large protest on Oct 29th will mark the beginning of a push for such a tax. What's going on is pure one-worldism, an OWS ideology that is gradually revealing itself in dribs and drabs. It is one reason that that the OWS leaders have made no specific demands. They have hoped to create a momentu
Gary Edwards

Jim Kunstler's 2014 Forecast - Burning Down The House | Zero Hedge - 0 views

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    Incredible must read analysis. Take away: the world is going to go "medevil". It's the only way out of this mess. Since the zero hedge layout is so bad, i'm going to post as much of the article as Diigo will allow: Jim Kunstler's 2014 Forecast - Burning Down The House Submitted by Tyler Durden on 01/06/2014 19:36 -0500 Submitted by James H. Kunstler of Kunstler.com , Many of us in the Long Emergency crowd and like-minded brother-and-sisterhoods remain perplexed by the amazing stasis in our national life, despite the gathering tsunami of forces arrayed to rock our economy, our culture, and our politics. Nothing has yielded to these forces already in motion, so far. Nothing changes, nothing gives, yet. It's like being buried alive in Jell-O. It's embarrassing to appear so out-of-tune with the consensus, but we persevere like good soldiers in a just war. Paper and digital markets levitate, central banks pull out all the stops of their magical reality-tweaking machine to manipulate everything, accounting fraud pervades public and private enterprise, everything is mis-priced, all official statistics are lies of one kind or another, the regulating authorities sit on their hands, lost in raptures of online pornography (or dreams of future employment at Goldman Sachs), the news media sprinkles wishful-thinking propaganda about a mythical "recovery" and the "shale gas miracle" on a credulous public desperate to believe, the routine swindles of medicine get more cruel and blatant each month, a tiny cohort of financial vampire squids suck in all the nominal wealth of society, and everybody else is left whirling down the drain of posterity in a vortex of diminishing returns and scuttled expectations. Life in the USA is like living in a broken-down, cob-jobbed, vermin-infested house that needs to be gutted, disinfected, and rebuilt - with the hope that it might come out of the restoration process retaining the better qualities of our heritage.
Paul Merrell

U.S. urges allies to think twice before joining China-led bank - Yahoo Finance - 0 views

  • (Reuters) - The United States urged countries on Tuesday to think twice about signing up to a new China-led Asian development bank that Washington sees as a rival to the World Bank, after Germany, France and Italy followed Britain in saying they would join. The concerted move by U.S. allies to participate in Beijing's flagship economic outreach project is a diplomatic blow to the United States and its efforts to counter the fast-growing economic and diplomatic influence of China. Europe's participation reflects the eagerness to partner with China's economy, the world's second largest, and comes amid prickly trade negotiations between Brussels and Washington.
  • European Union and Asian governments are frustrated that the U.S. Congress has held up a reform of voting rights in the International Monetary Fund that would give China and other emerging powers more say in global economic governance.
  • Washington insists it has not actively discouraged countries from joining the new bank, but it has questioned whether the Asian Infrastructure Investment Bank (AIIB) will have sufficient standards of governance and environmental and social safeguards. "I hope before the final commitments are made anyone who lends their name to this organization will make sure that the governance is appropriate," Treasury Secretary Jack Lew told U.S. lawmakers. Lew warned the Republican-dominated Congress that China and other rising powers were challenging American leadership in global financial institutions, and he urged lawmakers to swiftly ratify stalled reform of the IMF.
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  • In a joint statement, the foreign and finance ministers of Germany, France and Italy said they would work to ensure the new institution "follows the best standards and practices in terms of governance, safeguards, debt and procurement policies." Luxembourg’s Finance Ministry confirmed the country, a big financial centre, has also applied to be a founding member of the $50 billion AIIB.
  • A spokeswoman for the European Commission, the EU's executive arm, endorsed member states' participation in the AIIB as a way of tackling global investment needs and as an opportunity for EU companies.
  • Lew told lawmakers that the U.S. delay in ratifying the agreement was undermining its credibility and influence as countries question the United States' commitment to international institutions. “It's not an accident that emerging economies are looking at other places because they are frustrated that, frankly, the United States has stalled a very mild and reasonable set of reforms in the IMF,” Lew said.
  • Some Republicans have complained the changes would cost too much at a time Washington is running big budget deficits. The reforms have also ran afoul of a growing isolationist trend among the party's influential Tea Party wing.
  • Washington says it sees a role for the IAAB given Asia's immense infrastructure needs and regards it as a potential partner for established institutions like the ADB. But its strategy of questioning the IAAB's standards has drawn criticism from some observers, who say the administration should have been more accepting of the new bank or offered alternatives within the existing institutions. "If you try to fight the rising power's peaceful ascent you sow big problems in the future," said Fred Bergsten, a former top international affairs official at the U.S. Treasury and currently a fellow at the Peterson Institute in Washington. Scott Morris, a former U.S. Treasury official who led U.S. engagement with the multilateral development banks during the first Obama administration, said Washington was paying the price for delay on IMF reform. "It's a clear sentiment among a pretty diverse group of countries: We would like to mobilize more capital for infrastructure through MDBs (multilateral development banks)," said Morris, now with the Washington-based Center for Global Development. "And the U.S. stands in the way of that and now finds itself increasingly isolated as a result.”
  • Japan, Australia and South Korea remain notable regional absentees from the AIIB. Australian Prime Minister Tony Abbott said at the weekend he would make a final decision on membership soon. South Korea has said it is still in discussions with China and other countries about possible participation. Japan is unlikely to join the AIIB, but ADB head Takehiko Nakao told the Nikkei Asian Review that the two institutions were in discussions and could work together.
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    Oh, man. Angela Merkel just hitched Germany's wagon to China's, which implictly means Russia's and the rest of BRICS too. Plus the European Commission, UK, France, Italy, and Luxembourg   Keep in mind that China will open its RMB trading centers in the major financial hubs in September and that the folks in Brussels are making noises about a European combined defense organization, independent of NATO anjd the U.S.   I want more information to be certain that there is more here than moves to create bargaining leverage with Washington, D.C.. but it might soon be time to buy a wheelbarrow to carry my walkabout spending money. Wow!
Paul Merrell

Michael Hand, Fugitive Who Ran Scandalous CIA Front Bank, Found Alive in U.S. - WhoWhatWhy - 0 views

  • Michael Hand, co-founder of the infamous Nugan Hand Bank who disappeared in 1980 after authorities began investigating the bank’s shadowy past following its sudden collapse, has been found. The Nugan Hand bank was a CIA-linked cesspool of drugs, money laundering, and organized crime.  In the words of Jonathan Kwitny, the bank was “a true tale of dope, dirty money, and the CIA.” Hand, who now lives under the name Michael Fuller, was found by an Australian news crew in Idaho, where he runs a company that makes survival knives for U.S. military clients, including Special Operations personnel. (Hand, a former green beret, previously resurfaced in the early 1980s working as a military advisor to CIA-linked military forces in Central America.) Hand has been dubbed “one of Australia’s most wanted fugitives,” but does Australia have the political will to seek the extradition of a man widely believed to have been a CIA asset? Initial indications appear to be no.
  • Michael Hand, co-founder of the infamous Nugan Hand Bank who disappeared in 1980 after authorities began investigating the bank’s shadowy past following its sudden collapse, has been found. The Nugan Hand bank was a CIA-linked cesspool of drugs, money laundering, and organized crime.  In the words of Jonathan Kwitny, the bank was “a true tale of dope, dirty money, and the CIA.” Hand, who now lives under the name Michael Fuller, was found by an Australian news crew in Idaho, where he runs a company that makes survival knives for U.S. military clients, including Special Operations personnel. (Hand, a former green beret, previously resurfaced in the early 1980s working as a military advisor to CIA-linked military forces in Central America.) Hand has been dubbed “one of Australia’s most wanted fugitives,” but does Australia have the political will to seek the extradition of a man widely believed to have been a CIA asset? Initial indications appear to be no. As one observer noted, “The fact that Hand has been allowed to live the free life in the United States suggests he belongs to a protected species, most likely of the intelligence kind.” Hand’s partner at the bank (Frank Nugan) was not as lucky, dying under murky circumstances prior to Hand’s disappearance.
  • If Australia summons the political will to seek Hand’s extradition, will the US agree? For those who follow the dark undercurrent of “deep politics,” this one is well worth watching…
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    Blast from the past! In ye olde days, The Wall Street Journal covered this scandal as it unfolded. Nugan Hand Bank was beyond shady; it was a classic Ponzi scheme and its board of directors was like a who's who of former high U.S. government officials. Its director of legal affairs was former CIA Director William Colby. Nugan Hand funneled drug money and illicit treasure for, inter alia, the Shah of Iran, Imelda Marcos, wealthy Saudis, gun-runners, et ilk. But it also bilked many Australians out of millions of dollars. Then poof! It was gone and so was co-founder Michael Hand. Turns out he's been living in Idaho under an assumed name, but using the same Social Security number he got as a teen-ager, which suggests that the FBI didn't look for him very hard when the Interpol and Australian arrest warrrants were received.  
Paul Merrell

Putin's Revenge? The Fight for the Border - 0 views

  • “We have received additional information confirming that the oil controlled by Islamic State militants (ISIS) enters Turkish territory on an industrial scale. We have every reason to believe that the decision to down our plane was guided by a desire to ensure the security of this oil’s delivery routes to ports where they are shipped in tankers.” –Russian President Vladimir Putin, Paris, 11-30-15
  • In candid remarks to the Russian media, Putin implicated the US in the downing of the Su-24 stating that the US military was briefed on the warplane’s flight path and then immediately passed along that information to Turkey. Here’s what he said: “We told our US partners in advance where, when at what altitudes our pilots were going to operate. The US-led coalition, which includes Turkey, was aware of the time and place where our planes would operate. And this is exactly where and when we were attacked. Why did we share this information with the Americans? Either they don’t control their allies, or they just pass this information left and right without realizing what the consequences of such actions might be. We will have to have a serious talk with our US partners.” Putin’s damning remarks have not appeared in any of the western media. The censorship of this information is similar to the blackout of comments Putin made just two weeks earlier at the G-20 summit where he announced that “40 countries” are financing ISIS including members of the G-20.
  • Here’s an except of Putin’s bombshell announcement: “I provided examples based on our data on the financing of different Islamic State units by private individuals. This money, as we have established, comes from 40 countries and, there are some of the G20 members among them,” Putin told the journalists. “I’ve shown our colleagues photos taken from space and from aircraft which clearly demonstrate the scale of the illegal trade in oil and petroleum products. The motorcade of refueling vehicles stretched for dozens of kilometers, so that from a height of 4,000 to 5,000 meters they stretch beyond the horizon,” Putin added, comparing the convoy to gas and oil pipeline systems.” (Putin: ISIS financed from 40 countries, including G20 members, RT)
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  • It’s clear that Russia’s bombardment of jihadi groups operating near the Turkish-Syrian border has Turkish President Recep Tayyip Erdogan worried. Erdogan has long hoped that the area would be turned into a Safe Zone where Sunni militants– committed to removing Assad from power– could receive weapons and other support from their sponsors while coming and going as they pleased. The Russian-led coalition’s attempt to retake the area and seal the border to stop the flow of terrorists from Turkey, is probably what precipitated the attack on the Russian warplane. It was a desperate attempt to wave-off the Russian offensive and reverse the course of the war which has turned decisively in Assad’s favor. As for the militant groups that are operating in this area, analyst Pepe Escobar sums it up like this in a recent post at Sputnik News: “The Su-24s were actually after Chechens and Uzbeks — plus a few Uyghurs — smuggled in with fake Turkish passports (Chinese intel is also on it), all of these operating in tandem with a nasty bunch of Turkish Islamo-fascists. Most of these goons transit back and forth between the CIA-weaponized Free Syrian Army (FSA) and Jabhat al-Nusra. These were the goons who machine-gunned the Russian pilots as they parachuted down after the hit on the Su-24…. Turkey, for all practical purposes, has been a handy, sprawling Salafi-jihadi Infrastructure and Logistics Center; it offers everything from porous borders enabling countless jihadi return tickets from Syria to Europe, facilitated by corrupt police, to a convenient crossroads for all kinds of smuggling and a hefty money laundering ops.” (Sultan Erdogan’s War on…Russia, Pepe Escobar, Sputnik)
  • Escobar sums up Ankara’s role in Syria as succinctly as anyone. Erdogan has been ISIS best friend, of that, there is little doubt. The problem that Turkey faces now is that the Russian-led coalition is rapidly destroying the infrastructure that provides funding for ISIS, (oil refineries, fields and transport) while gradually retaking territory that was formally-controlled by the many anti-regime or al Qaida-linked groups in the north, west and central parts of the country. In the last few days alone, Russia and Co. have concluded the encirclement of Syria’s biggest city, Aleppo, vaporized a convoy of over 500 oil trucks in the vicinity of Raqqa, and intensified their bombing in the Turkmen Mountains, the Kurdish Mountains, and the Prophet Jonah Mountains. The coalition has moved as far north as Azaz along the Turkish border and recaptured the strategic Aleppo-Raqqa highway which completely cuts off ISIS supply-route from the east in Raqqa. All of the recent progress comes in the wake of the retaking of the strategic Kuweris Airbase which was the tipping point in the 4 and a half year-long conflict. Now the Russian coalition has focused on closing the border, a move that will sever vital supply-lines to pro-Turkish militias operating in Syria and force the terrorists to either flee or surrender. Russian Foreign Minister Sergei Lavrov emphasized this point last week saying, “We are convinced that by blocking the border we will in many respects solve the tasks to eradicate terrorism on Syrian soil.”
  • Keep in mind, that Erdogan is not the only one with designs on the so-called “Afrin-Jarabulus corridor” east of the Euphrates. Powerful politicians in the US, including John McCain, Lindsay Graham, Jeb Bush, Hillary Clinton and others, have all alluded to this area as the most suitable location for a no-fly zone. And, despite the fact that Obama refuses to send US ground forces to fight in Syria, he has continued to fuel the conflict in other less conspicuous ways. Just last Wednesday, under the cover of the Thanksgiving holiday when the media was preoccupied with other matters, Obama signed the National Defense Authorization Act of 2016 which provides another $800 million in aid to armed extremists in Syria and Ukraine. The NDAA, which effectively prevents the closing down of US concentration camp at Guantanamo Bay (Gitmo), reflects Obama’s determination to continue Washington’s vicious policy in Syria which has resulted in the deaths of more than 250,000 and the displacement of 11 million more. This helps to explain why the Russian offensive has set alarms off in Washington; it’s because the US plan to establish a permanent staging ground for terrorists in N Syria is quickly going up in smoke.
  • Seen in this light, Obama’s recent request for Turkey to deploy “30,000 (troops) to seal the border on the Turkish side”, (See: Wall Street Journal) should be viewed with extreme skepticism. Clearly, Washington has not relented in its “Assad must go” policy at all, in fact, Obama reiterated that mantra less than a week ago. That means the Obama crew may be hoping that Turkish ground forces can succeed where his jihadi proxies failed, that is, that the 30,000 troops will be used to clear and hold a 60×20-mile stretch of Syrian territory that can be used as the proposed safe zone. All Turkey would need is a pretext to invade and a little bit of air cover from the USAF. It wouldn’t be the first time a false flag was used to start a war. The bottom line is this: Putin had better move quickly before Washington and Ankara get their ducks in a row and begin to mobilize. The time to seize the border is now.
Gary Edwards

Reinventing Banking: From Russia to Iceland to Ecuador - 1 views

  • Global developments in finance and geopolitics are prompting a rethinking of the structure of banking and of the nature of money itself. Among other interesting news items: * In Russia, vulnerability to Western sanctions has led to proposals for a banking system that is not only independent of the West but is based on different design principles. * In Iceland, the booms and busts culminating in the banking crisis of 2008-09 have prompted lawmakers to consider a plan to remove the power to create money from private banks. * In Ireland, Iceland and the UK, a recession-induced shortage of local credit has prompted proposals for a system of public interest banks on the model of the Sparkassen of Germany. * In Ecuador, the central bank is responding to a shortage of US dollars (the official Ecuadorian currency) by issuing digital dollars through accounts to which everyone has access, effectively making it a bank of the people.
  • A major concern with stripping private banks of the power to create money as deposits when they make loans is that it will seriously reduce the availability of credit in an already sluggish economy. One solution is to make the banks, or some of them, public institutions. They would still be creating money when they made loans, but it would be as agents of the government; and the profits would be available for public use, on the model of the US Bank of North Dakota and the German Sparkassen (public savings banks). In Ireland, three political parties – Sinn Fein, the Green Party and Renua Ireland (a new party) — are now supporting initiatives for a network of local publicly-owned banks on the Sparkassen model. In the UK, the New Economy Foundation (NEF) is proposing that the failed Royal Bank of Scotland be transformed into a network of public interest banks on that model. And in Iceland, public banking is part of the platform of a new political party called the Dawn Party.
  • Particularly interesting is a proposal to provide targeted lending for businesses and industries by providing them with low-interest loans at 1-4 percent, financed through the central bank with quantitative easing (digital money creation). The proposal is to issue 20 trillion rubles for this purpose over a five year period. Using quantitative easing for economic development mirrors the proposal of UK Labour Leader Jeremy Corbin for “quantitative easing for people.”
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  • William Engdahl concludes that Russia is in “a fascinating process of rethinking every aspect of her national economic survival because of the reality of the western attacks,” one that “could produce a very healthy transformation away from the deadly defects” of the current banking model.
  • Iceland’s Radical Money Plan Iceland, too, is looking at a radical transformation of its money system, after suffering the crushing boom/bust cycle of the private banking model that bankrupted its largest banks in 2008. According to a March 2015 article in the UK Telegraph: Iceland’s government is considering a revolutionary monetary proposal – removing the power of commercial banks to create money and handing it to the central bank. The proposal, which would be a turnaround in the history of modern finance, was part of a report written by a lawmaker from the ruling centrist Progress Party, Frosti Sigurjonsson, entitled “A better monetary system for Iceland”.
  • Under this “Sovereign Money” proposal, the country’s central bank would become the only creator of money. Banks would continue to manage accounts and payments and would serve as intermediaries between savers and lenders. The proposal is a variant of the Chicago Plan promoted by Kumhof and Benes of the IMF and the Positive Money group in the UK.
  • Ever since 2000, when Ecuador agreed to use the US dollar as its official legal tender, it has had to ship boatloads of paper dollars into the country just to conduct trade. In order to “seek efficiency in payment systems [and] to promote and contribute to the economic stability of the country,” the government of President Rafael Correa has therefore established the world’s first national digitally-issued currency.
  • Unlike Bitcoin and similar private crypto-currencies (which have been outlawed in the country), Ecuador’s dinero electronico is operated and backed by the government. The Ecuadorian digital currency is less like Bitcoin than like M-Pesa, a private mobile phone-based money transfer service started by Vodafone, which has generated a “mobile money” revolution in Kenya.
  • According to a National Assembly statement: Electronic money will stimulate the economy; it will be possible to attract more Ecuadorian citizens, especially those who do not have checking or savings accounts and credit cards alone. The electronic currency will be backed by the assets of the Central Bank of Ecuador.
  • That means there is no fear of the bank going bankrupt or of bank runs or bail-ins. Nor can the digital currency be devalued by speculative short selling. The government has declared that these are digital US dollars trading at 1 to 1 – take it or leave it – and the people are taking it. According to an October 2015 article titled “
  • Banking Moves into the 21st Century The catastrophic failures of the Western banking system mandate a new vision. These transformations, current and proposed, are constructive steps toward streamlining the banking system, eliminating the risks that have devastated individuals and governments, democratizing money, and promoting sustainable and prosperous economies.
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    Excellent article on banking, lending, and currency reform initiatives.  Thanks to Marbux!
Paul Merrell

Are Trump Sanctions Backfiring? Iran's Oil Revenues Are Soaring - 0 views

  • Despite the Trump administration’s “maximum pressure” campaign targeting the Iranian economy, Iran’s crude oil and oil product revenues jumped a surprising 60 percent from March 21 to July 23. In addition, figures provided by Iran’s Central Bank show that Iran’s revenues from oil sales soared by 84.2 percent over that same period, setting a new record. The increased revenues seem to have resulted from a jump in oil prices this year as well as Iran’s high oil export volume during part of that period. Notably, the increased revenues were reported despite the United States’ announcement in May that it would sanction those purchasing Iranian oil starting in early November, with the ultimate goal of reducing Iranian oil sales to zero in order to place pressure on the Iranian government
  • Further dashing U.S. hopes of crushing Iranian oil exports have been recent announcements from Iran’s top two customers, China and India, that they would continue to import Iranian crude despite the looming threat of U.S. sanctions. India, along with some other countries, has sought “waivers” from Washington that would allow them to continue to import Iranian oil and avoid retaliation from the U.S. for a certain period of time. In addition, the European Union, which had previously joined the U.S. in targeting Iranian oil exports in 2012, has shown its unwillingness to follow Washington’s lead this time around, openly vowing to rebel against the U.S. sanctions regimen and increasing the likelihood that Europe will continue to buy some Iranian oil despite U.S. threats.
  • Another indication that efforts to curb Iranian oil exports are backfiring for the Trump administration is the jump in oil prices that has resulted from concerns about the U.S. sanctions on Iran’s oil exports. The increase in oil prices is likely to be felt domestically in the U.S., the world’s largest consumer of oil, potentially posing a political risk to Trump and his fellow Republicans ahead of the November 6 midterm elections.  In addition, further oil price increases could trigger a slowdown in domestic or global economic growth, which could further complicate the U.S.’ Iran policy and Trump’s domestic political situation.
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  • While the Trump administration may have assumed that U.S. oil producers – and the U.S. economy in general — would benefit from the elimination of Iranian oil exports, the growing rejection of the impending U.S. sanctions by other countries shows that these nations are unwilling to pay for more expensive American oil or even Saudi oil, preferring less expensive Iranian oil despite potential future consequences. Furthermore, efforts to increase U.S. crude production have fallen short of government expectations, further complicating the U.S.’ efforts to offset an increase in oil prices resulting from Iranian oil sanctions.
Paul Merrell

Basic income - Wikipedia - 0 views

  • A basic income (also called basic income guarantee, Citizen's Income, unconditional basic income, universal basic income, or universal demogrant[2]) is a form of social security[3] in which all citizens or residents of a country regularly receive an unconditional sum of money, either from a government or some other public institution, in addition to any income received from elsewhere. An unconditional income transfer of less than the poverty line is sometimes referred to as a partial basic income. Basic income systems that are financed by the profits of publicly owned enterprises (often called social dividend, also known as citizen's dividend) are major components in many proposed models of market socialism.[4] Basic income schemes have also been promoted within the context of capitalist systems, where they would be financed through various forms of taxation.[5] Similar proposals for "capital grants provided at the age of majority" date to Thomas Paine's Agrarian Justice of 1795, there paired with asset-based egalitarianism. The phrase "social dividend" was commonly used as a synonym for basic income in the English-speaking world before 1986, after which the phrase "basic income" gained widespread currency.[6
  • Contents  [hide]  1 Policy aspects 1.1 Transparency 1.2 Administrative efficiency 1.3 Poverty reduction 1.4 Basic income and growth 1.5 Freedom 1.6 Work incentives 1.7 Affordability 1.7.1 Key principles 1.7.2 Case studies 2 Pilot programs 3 Basic income and ideology 3.1 Economic perspectives 3.2 Georgist views 3.3 Right-wing views 3.4 Feminist views 3.5 Technological unemployment 4 Criticism 4.1 Economics research 4.2 Political debate 5 Worldwide 6 Advocates 6.1 Europe 6.2 The United States and Canada 6.3 Asia, Africa, Latin America, Oceania 7 Petitions and referendums 8 Public opinions 9 See also 10 References 11 Further reading 12 External links
  • Technological unemployment[edit] Concerns about automation and other causes of technological unemployment have caused many in the high-tech industry to turn to basic income proposals as a necessary implication of their business models. Journalist Nathan Schneider first highlighted the turn of the "tech elite" to these ideas with an article in Vice magazine, which cited figures such as Marc Andreessen, Sam Altman, Peter Diamandis, and others.[47] The White House, in a report to Congress, has put the probability at 83% that a worker making less than $20 an hour in 2010 will eventually lose their job to a machine. Even workers making as much as $40 an hour face odds of 31 percent.[48] To better address both the funding concerns and concerns about government control, one alternative model is that the cost and control would be distributed across the private sector instead of the public sector. Companies across the economy would be required to employ humans, but the job descriptions would be left to private innovation, and individuals would have to compete to be hired and retained. This would be a for-profit sector analog of basic income, that is, a market-based form of basic income. It differs from a job guarantee in that the government is not the employer (rather, companies are) and there is no aspect of having employees who "cannot be fired", a problem that interferes with economic dynamism. The economic salvation in this model is not that every individual is guaranteed a job, but rather just that enough jobs exist that massive unemployment is avoided and employment is no longer solely the privilege of only the very smartest or highly trained 20% of the population. Another option for a market-based form of basic income has been proposed by the Center for Economic and Social Justice (CESJ) as part of "a Just Third Way" (a Third Way with greater justice) through widely distributed power and liberty. Called the Capital Homestead Act,[49] it is reminiscent of James S. Albus's Peoples' Capitalism[50][51] in that money creation and securities ownership are widely and directly distributed to individuals rather than flowing through, or being concentrated in, centralized or elite mechanisms.
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    Coming to grips with the fact that we do and will not have jobs for everyone: Can basic-income replace the failed welfare state system?
Paul Merrell

U.S. Caves to Russia on Syria - Won't Continue Protecting Al Qaeda - 0 views

  • On Friday, September 9th, America’s Secretary of State John Kerry, and Russia’s Foreign Minister Sergei Lavrov, came to an agreement on Syria, for the second time. (The previous agreement fell apart). Like the first ‘cease-fire’, this one concerns the ongoing occupation of many parts of Syria by foreign jihadists, who have been hired by America’s allies Saudi Arabia and Qatar, in order to overthrow Syria’s President, Bashar al-Assad. (It’s nothing like a democratic revolution there; it’s a war over pipelines.)The main sticking-point in these negotiations has been much the same as it was the first time around: America’s insistence that Russia and Syria be prohibited from bombing Al Qaeda in Syria, which is the international group under the name of “Al Nusra” there. The United States has not tried to protect ISIS in Syria — only Al Nusra (and their subordinate groups), and it protects them because Nusra has provided crucial leadership to the jihadist groups that the United States finances in Syria for overthrowing and replacing Assad. Whereas the U.S. government doesn’t finance all of the jihadist groups in Syria (as the allied royal owners of Saudi Arabia and of Qatar do), the U.S. does designate some jihadist groups as ‘moderate rebels’, and this second round of cessation-of-hostilities will protect these groups (but this time not the Nusra fighters who lead them) from the bombings by Syria and by Russia. This new agreement is a complex sequence of sub-agreements laying out the means whereby Syria and Russia will, supposedly, continue to bomb Nusra while avoiding to bomb the U.S.-financed forces in Syria. Now that the U.S. has 300 of its own military advisors occupying the parts of Syria that the U.S.-sponsored jihadists control, Nusra will (presumably) no longer be quite so necessary to America’s overthrow-Assad campaign.
  • In the joint announcement on Friday night in Geneva, Secretary Kerry said, “Now, I want to be clear about one thing particularly on this, because I’ve seen reporting that somehow suggests otherwise: Going after Nusrah is not a concession to anybody. It is profoundly in the interests of the United States to target al-Qaida — to target al-Qaida’s affiliate in Syria, which is Nusrah.”
  • Gareth Porter bannered on February 16th, “Obama’s ‘Moderate’ Syrian Deception”, and he reported that, “Information from a wide range of sources, including some of those the United States has been explicitly supporting, makes it clear that every armed anti-Assad organization unit in those provinces is engaged in a military structure controlled by Nusra militants. All of these rebel groups fight alongside the Nusra Front and coordinate their military activities with it,” and he stated that “instead of breaking with the deception that the CIA’s hand-picked clients were independent of Nusra, the Obama administration continued to cling to it.” Porter was pretending that the U.S. leadership originated at the CIA, instead of at the White House — which was actually the case. The CIA was simply doing what the U.S. President wanted it to do there. Porter continued his upside-down attribution of leadership and responsibility in the matter, by adding that, “President Obama is under pressure from these domestic critics as well as from Turkey, Saudi Arabia and other GCC allies to oppose any gains by the Russians and the Assad regime as a loss for the United States.” In no way was/is it obligatory for the U.S. President to adhere to “domestic critics” and “GCC [royal Arabic] allies,” much less for him to be ordered-about by his own CIA — quite the contrary: “The buck stops at the President’s desk.” Obama isn’t forced to hire and promote neoconservatives to carry out his foreign policies — he chooses them and merely pretends to be blocked by opponents.
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  • On February 20th, Reuters headlined “Syrian opposition says temporary truce possible, but deal seems far off”, and reported that, “A source close to peace talks earlier told Reuters [that] Syria’s opposition had agreed to the idea of a two- to three-week truce. The truce would be renewable and supported by all parties except Islamic State, the source said. It would be conditional on the al Qaeda-linked Nusra Front no longer being attacked by Syrian government forces and their allies.” In other words: up till at least that time, the U.S. was still at one with the Sauds’ insistence upon protecting Al Qaeda in Syria. On March 1st, Steve Chovanec headlined, “Protecting al-Qaeda”, and he made clear that the group that Obama was backing, the Free Syrian Army (so named with assistance from their CIA minders), were almost as despised by the Syrian people as were ISIS itself. Citing a Western polling firm’s findings, he noted that, “According to a recent poll conducted by ORB, it was found that most Syrians more or less hold both ISIS and the FSA in equal disdain, 9% saying the FSA represents the Syrian people while 4% saying that ISIS does. The similarity in [Syrians’] opinion is reflective of the similarity in [those two groups of jihadists’] conduct.” Furthermore, as I have noted, both from that polling-firm and another Western-backed one, the vast majority (82%) of Syrians  blame the U.S. for the tens of thousands of foreign jihadists who have been imported into their country, and 55% of Syrians want Assad to be not only the current President but their next President, as a consequence of which the U.S. government refuses to allow Assad to run for the Presidency in the next election. (Indeed, that’s largely the reason why Obama has been trying to overthrow Assad and replace him with a jihadist government, like the Sauds.)
  • Clearly, the U.S. Government’s top objective in Syria is to overthrow Assad, whereas the Russian Government’s top objective there is to prevent America’s allies from seizing the country. As Robert F. Kennedy Jr. has well explained and documented, the U.S. CIA has been trying ever since 1949 to overthrow Syria’s government and replace it with one that the Sauds (and etc., including U.S. oil, gas, and pipeline companies) want. So, this is normal American foreign policy. This doesn’t mean that our Presidents have to behave this way — only that they do (even if the U.S. ‘news’ media don’t report it, and many U.S. ‘historians’ likewise ignore it decades later).
Paul Merrell

M of A - Nusra On The Run - Trump Induces First Major Policy Change On Syria - 0 views

  • The first significant step of the new administration comes while Trump is not even in offices. Obama, selfishly concerned with his historic legacy, suddenly makes a 180 degree turn and starts to implement Trump polices. Lets consider the initial position: Asked about Aleppo in an October debate with Clinton, Trump said it was a humanitarian disaster but the city had "basically" fallen. Clinton, he said, was talking in favor of rebels without knowing who they were. The rebels fighting Assad in western Syria include nationalists fighting under the Free Syrian Army banner, some of them trained in a CIA-backed program, and jihadists such as the group formerly known as the al Qaeda-linked Nusra Front. The Obama administration, through the CIA led by Saudi asset John Brennan, fed weapons, training and billions of dollars to "moderate rebels". These then turned around (vid) and either gave the CIA gifts to al-Qaeda in Syria (aka Jabhat al Nusra) or joined it themselves. The scheme was no secret at all and Russia as well as Syria pointed this out several times. The Russian foreign Minister Lavrov negotiated with the U.S. Secretary of State Kerry who promised to separate the "moderate rebels" from al-Qaeda. But Kerry never delivered. Instead he falsely accuse Russia of committing atrocities that never happened. The CIA kept the upper hand within the Obama administration and continued its nefarious plans. That changed the day the president-elect Trump set foot into the White House. While Obama met Trump in the oval office, new policies, prepared beforehand, were launched. The policies were held back until after the election and would likely not have been revealed or implemented if Clinton had won.
  • The U.S. declared that from now on it will fight against al-Qaeda in Syria: President Obama has ordered the Pentagon to find and kill the leaders of an al-Qaeda-linked group in Syria that the administration had largely ignored until now and that has been at the vanguard of the fight against the Syrian government, U.S. officials said. That shift is likely to accelerate once President-elect Donald Trump takes office. ... possibly in direct cooperation with Moscow. ...U.S. officials who opposed the decision to go after al-Nusra’s wider leadership warned that the United States would effectively be doing the Assad government's bidding by weakening a group on the front line of the counter-Assad fight. ... Defense Secretary Ashton B. Carter and other Pentagon leaders initially resisted the idea of devoting more Pentagon surveillance aircraft and armed drones against al-Nusra.
  • Ash Carter is, together with John Brennan, the major anti-Russian force in the Obama administration. He is a U.S. weapon industry promoter and the anti-Russia campaign, which helps to sell U.S. weapons to NATO allies in Europe, is largely of his doing. He saw al-Qaeda in Syria as a welcome proxy force against Russia. But Obama has now shut down that policy. We are not yet sure that this is for good but the above Washington Post account is not the only signal: The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) took action today to disrupt al-Nusrah Front’s military, recruitment, and financing operations. Specifically, OFAC designated four key al-Nusrah Front leaders – Abdallah Muhammad Bin-Sulayman al-Muhaysini, Jamal Husayn Zayniyah, Abdul Jashari, and Ashraf Ahmad Fari al-Allak – pursuant to Executive Order (E.O.) 13224, which targets terrorists and those providing support to terrorists or acts of terrorism. ... These designations were taken in coordination with the U.S. Department of State, which today named Jabhat Fath al Sham as an alias of al-Nusrah Front – al-Qa’ida’s affiliate in Syria. ... Abdallah Muhammad Bin-Sulayman al-Muhaysini was designated for acting for or on behalf of, and providing support and services to or in support of, al-Nusrah Front. This is a major change in U.S. policy. Nusra will from now on be on the run not only from Russian and Syrian attacks but also from the intelligence and military capabilities of the United States. The newly designated Al-Muhaysini, a Saudi cleric, is Nusra's chief ideologue in Syria. Some considered him the new Osama Bin-Laden.
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  • Hadi Abdullah, friend of the designated al-Qaeda terrorist Muhaysini, just received the 2016 Press Freedom Price from the CIA/Soros financed "regime change" influence operation Reporters Without Borders. Might this mean that Hadi Abdullah is himself a CIA assets? He would not be the first such "journalist" in Syria. Obama, obviously as a direct consequence of the Trump election, now ordered the Pentagon to wage war on al-Qaeda in Syria just as the Russians do. This after five years of nearly unlimited U.S. support for al-Qaeda and its "moderate" Syrian affiliates. It is not yet know what new orders, if any, Obama gave to the CIA. Will the CIA follow these policies or will it (again) try to counter the Pentagon policies in Syria? It is unusual that the WaPo report above about this new direction includes no commenting voice from the CIA. Why is such missing? Russia and Syria will welcome the new Obama policies should they come to fruit on the ground. Hillary Clinton had planned and announced to widen the conflict in Syria and with Russia and Iran. Obama would surely not have acted against such policies if she had been elected. But with Trump winning and thereby a new policy on the horizon he now changed course to a direction that will provide "continuity" when Trump takes over. Not only is Trump kicking a black family out of its longtime limewashed home, he also ends U.S. government support for the disenfranchised Jihadis in Syria and elsewhere. This even months before taking office. He really is the menace we have all been warned about.
  • UPDATE: This interview in today's WSJ confirms that Trump is still in the pro-Syrian/anti-Jihadist camp that is opposed to Obama's original policy: Donald Trump, in Exclusive Interview, Tells WSJ He Is Willing to Keep Parts of Obama Health Law He said he got a “beautiful” letter from Russian President Vladimir Putin, adding that a phone call between them is scheduled shortly. ... Although he wasn’t specific, Mr. Trump suggested a shift away from what he said was the current Obama administration policy of attempting to find moderate Syrian opposition groups to support in the civil war there. “I’ve had an opposite view of many people regarding Syria,” he said. He suggested a sharper focus on fighting Islamic State, or ISIS, in Syria, rather than on ousting Syrian President Bashar al-Assad. “My attitude was you’re fighting Syria, Syria is fighting ISIS, and you have to get rid of ISIS. Russia is now totally aligned with Syria, and now you have Iran, which is becoming powerful, because of us, is aligned with Syria. … Now we’re backing rebels against Syria, and we have no idea who these people are.” If the U.S. attacks Mr. Assad, Mr. Trump said, “we end up fighting Russia, fighting Syria.”
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    I think b has it right here; this is Trump impact on U.S. foreign policy. And the fact the Trump is going full bore on al Nurah and ISIL suggests that Trump is not so strongly pro-Israel as he's been made out to be. (Israel's right-wing leadership has been very strongly anti-Assad.)
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