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Javier E

White House condemns Fox News over 'sickening attack' on Arab Americans | Fox News | The Guardian - 0 views

  • n a statement sent to the Guardian, the White House deputy press secretary, Andrew Bates, called Watters’ remarks “unacceptable” and said: “Fox News owes an apology to every single viewer for this sickening attack on the rights and dignity of their fellow Americans.”
  • Watters also said: “I want to say something about Arab Americans and about the Muslim world. We – and when I say we I mean the west and western technology – have created the Middle East. We made them rich. We got that oil out of the ground, our military protects all of these oil shipments flying around the world, making them rich. We fund their military. We respect their kings. We kill their terrorists. OK? But we’ve had it. We’ve had it with them!”
  • Bates said: “These hateful lies about ‘Arab Americans and … the Muslim world’ highlight the urgency of President Biden’s work to ensure hate has no safe harbor in America, and why he committed to the first national anti-Islamophobia strategy in our history.”
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  • Bates also pointed to a killing in Plainfield, Illinois, in which Wadea Al-Fayoume, aged six, was stabbed to death in an attack his mother survived. The family’s landlord has been charged with murder and a hate crime. Prosecutors said the accused, who has pleaded not guilty, “listen[ed] to conservative talk radio on a regular basis”, “hated Muslims” and was obsessed with the Israel-Hamas war.A family friend said the attacker shouted “you Muslims have to die” and “you are killing our kids in Israel. You Palestinians don’t deserve to live.
Javier E

Cognitive Biases and the Human Brain - The Atlantic - 0 views

  • If I had to single out a particular bias as the most pervasive and damaging, it would probably be confirmation bias. That’s the effect that leads us to look for evidence confirming what we already think or suspect, to view facts and ideas we encounter as further confirmation, and to discount or ignore any piece of evidence that seems to support an alternate view
  • At least with the optical illusion, our slow-thinking, analytic mind—what Kahneman calls System 2—will recognize a Müller-Lyer situation and convince itself not to trust the fast-twitch System 1’s perception
  • The whole idea of cognitive biases and faulty heuristics—the shortcuts and rules of thumb by which we make judgments and predictions—was more or less invented in the 1970s by Amos Tversky and Daniel Kahneman
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  • versky died in 1996. Kahneman won the 2002 Nobel Prize in Economics for the work the two men did together, which he summarized in his 2011 best seller, Thinking, Fast and Slow. Another best seller, last year’s The Undoing Project, by Michael Lewis, tells the story of the sometimes contentious collaboration between Tversky and Kahneman
  • Another key figure in the field is the University of Chicago economist Richard Thaler. One of the biases he’s most linked with is the endowment effect, which leads us to place an irrationally high value on our possessions.
  • In an experiment conducted by Thaler, Kahneman, and Jack L. Knetsch, half the participants were given a mug and then asked how much they would sell it for. The average answer was $5.78. The rest of the group said they would spend, on average, $2.21 for the same mug. This flew in the face of classic economic theory, which says that at a given time and among a certain population, an item has a market value that does not depend on whether one owns it or not. Thaler won the 2017 Nobel Prize in Economics.
  • “The question that is most often asked about cognitive illusions is whether they can be overcome. The message … is not encouraging.”
  • Kahneman and others draw an analogy based on an understanding of the Müller-Lyer illusion, two parallel lines with arrows at each end. One line’s arrows point in; the other line’s arrows point out. Because of the direction of the arrows, the latter line appears shorter than the former, but in fact the two lines are the same length.
  • In this context, his pessimism relates, first, to the impossibility of effecting any changes to System 1—the quick-thinking part of our brain and the one that makes mistaken judgments tantamount to the Müller-Lyer line illusion
  • that’s not so easy in the real world, when we’re dealing with people and situations rather than lines. “Unfortunately, this sensible procedure is least likely to be applied when it is needed most,” Kahneman writes. “We would all like to have a warning bell that rings loudly whenever we are about to make a serious error, but no such bell is available.”
  • Because biases appear to be so hardwired and inalterable, most of the attention paid to countering them hasn’t dealt with the problematic thoughts, judgments, or predictions themselves
  • Is it really impossible, however, to shed or significantly mitigate one’s biases? Some studies have tentatively answered that question in the affirmative.
  • what if the person undergoing the de-biasing strategies was highly motivated and self-selected? In other words, what if it was me?
  • I met with Kahneman
  • Confirmation bias shows up most blatantly in our current political divide, where each side seems unable to allow that the other side is right about anything.
  • Over an apple pastry and tea with milk, he told me, “Temperament has a lot to do with my position. You won’t find anyone more pessimistic than I am.”
  • “I see the picture as unequal lines,” he said. “The goal is not to trust what I think I see. To understand that I shouldn’t believe my lying eyes.” That’s doable with the optical illusion, he said, but extremely difficult with real-world cognitive biases.
  • he most effective check against them, as Kahneman says, is from the outside: Others can perceive our errors more readily than we can.
  • “slow-thinking organizations,” as he puts it, can institute policies that include the monitoring of individual decisions and predictions. They can also require procedures such as checklists and “premortems,”
  • A premortem attempts to counter optimism bias by requiring team members to imagine that a project has gone very, very badly and write a sentence or two describing how that happened. Conducting this exercise, it turns out, helps people think ahead.
  • “My position is that none of these things have any effect on System 1,” Kahneman said. “You can’t improve intuition.
  • Perhaps, with very long-term training, lots of talk, and exposure to behavioral economics, what you can do is cue reasoning, so you can engage System 2 to follow rules. Unfortunately, the world doesn’t provide cues. And for most people, in the heat of argument the rules go out the window.
  • Kahneman describes an even earlier Nisbett article that showed subjects’ disinclination to believe statistical and other general evidence, basing their judgments instead on individual examples and vivid anecdotes. (This bias is known as base-rate neglect.)
  • over the years, Nisbett had come to emphasize in his research and thinking the possibility of training people to overcome or avoid a number of pitfalls, including base-rate neglect, fundamental attribution error, and the sunk-cost fallacy.
  • we’ve tested Michigan students over four years, and they show a huge increase in ability to solve problems. Graduate students in psychology also show a huge gain.”
  • about half give the right answer: the law of large numbers, which holds that outlier results are much more frequent when the sample size (at bats, in this case) is small. Over the course of the season, as the number of at bats increases, regression to the mean is inevitabl
  • When Nisbett asks the same question of students who have completed the statistics course, about 70 percent give the right answer. He believes this result shows, pace Kahneman, that the law of large numbers can be absorbed into System 2—and maybe into System 1 as well, even when there are minimal cues.
  • Nisbett’s second-favorite example is that economists, who have absorbed the lessons of the sunk-cost fallacy, routinely walk out of bad movies and leave bad restaurant meals uneaten.
  • When Nisbett has to give an example of his approach, he usually brings up the baseball-phenom survey. This involved telephoning University of Michigan students on the pretense of conducting a poll about sports, and asking them why there are always several Major League batters with .450 batting averages early in a season, yet no player has ever finished a season with an average that high.
  • , “I know from my own research on teaching people how to reason statistically that just a few examples in two or three domains are sufficient to improve people’s reasoning for an indefinitely large number of events.”
  • isbett suggested another factor: “You and Amos specialized in hard problems for which you were drawn to the wrong answer. I began to study easy problems, which you guys would never get wrong but untutored people routinely do … Then you can look at the effects of instruction on such easy problems, which turn out to be huge.”
  • Nisbett suggested that I take “Mindware: Critical Thinking for the Information Age,” an online Coursera course in which he goes over what he considers the most effective de-biasing skills and concepts. Then, to see how much I had learned, I would take a survey he gives to Michigan undergraduates. So I did.
  • he course consists of eight lessons by Nisbett—who comes across on-screen as the authoritative but approachable psych professor we all would like to have had—interspersed with some graphics and quizzes. I recommend it. He explains the availability heuristic this way: “People are surprised that suicides outnumber homicides, and drownings outnumber deaths by fire. People always think crime is increasing” even if it’s not.
  • When I finished the course, Nisbett sent me the survey he and colleagues administer to Michigan undergrads
  • It contains a few dozen problems meant to measure the subjects’ resistance to cognitive biases
  • I got it right. Indeed, when I emailed my completed test, Nisbett replied, “My guess is that very few if any UM seniors did as well as you. I’m sure at least some psych students, at least after 2 years in school, did as well. But note that you came fairly close to a perfect score.”
  • In 2006, seeking to prevent another mistake of that magnitude, the U.S. government created the Intelligence Advanced Research Projects Activity (iarpa), an agency designed to use cutting-edge research and technology to improve intelligence-gathering and analysis. In 2011, iarpa initiated a program, Sirius, to fund the development of “serious” video games that could combat or mitigate what were deemed to be the six most damaging biases: confirmation bias, fundamental attribution error, the bias blind spot (the feeling that one is less biased than the average person), the anchoring effect, the representativeness heuristic, and projection bias (the assumption that everybody else’s thinking is the same as one’s own).
  • For his part, Nisbett insisted that the results were meaningful. “If you’re doing better in a testing context,” he told me, “you’ll jolly well be doing better in the real world.”
  • The New York–based NeuroLeadership Institute offers organizations and individuals a variety of training sessions, webinars, and conferences that promise, among other things, to use brain science to teach participants to counter bias. This year’s two-day summit will be held in New York next month; for $2,845, you could learn, for example, “why are our brains so bad at thinking about the future, and how do we do it better?”
  • Philip E. Tetlock, a professor at the University of Pennsylvania’s Wharton School, and his wife and research partner, Barbara Mellers, have for years been studying what they call “superforecasters”: people who manage to sidestep cognitive biases and predict future events with far more accuracy than the pundits
  • One of the most important ingredients is what Tetlock calls “the outside view.” The inside view is a product of fundamental attribution error, base-rate neglect, and other biases that are constantly cajoling us into resting our judgments and predictions on good or vivid stories instead of on data and statistics
  • most promising are a handful of video games. Their genesis was in the Iraq War
  • Nevertheless, I did not feel that reading Mindware and taking the Coursera course had necessarily rid me of my biases
  • Together with collaborators who included staff from Creative Technologies, a company specializing in games and other simulations, and Leidos, a defense, intelligence, and health research company that does a lot of government work, Morewedge devised Missing. Some subjects played the game, which takes about three hours to complete, while others watched a video about cognitive bias. All were tested on bias-mitigation skills before the training, immediately afterward, and then finally after eight to 12 weeks had passed.
  • he said he saw the results as supporting the research and insights of Richard Nisbett. “Nisbett’s work was largely written off by the field, the assumption being that training can’t reduce bias,
  • “The literature on training suggests books and classes are fine entertainment but largely ineffectual. But the game has very large effects. It surprised everyone.”
  • even the positive results reminded me of something Daniel Kahneman had told me. “Pencil-and-paper doesn’t convince me,” he said. “A test can be given even a couple of years later. But the test cues the test-taker. It reminds him what it’s all about.”
  • Morewedge told me that some tentative real-world scenarios along the lines of Missing have shown “promising results,” but that it’s too soon to talk about them.
  • In the future, I will monitor my thoughts and reactions as best I can
Javier E

How Germany's Green Party Lost Its Luster - The New York Times - 0 views

  • he has conceded he misjudged the mood of crisis fatigue in the country after a winter of coping with surging energy prices in the wake of Russia’s invasion of Ukraine.
  • “The feeling of great time pressure has dissipated; instead of the fear of a loss of gas supplies, other concerns have come to the fore,” he told the newspaper Frankfurter Allgemeine Zeitung. “This change wasn’t so clear to me at first, and maybe that’s why I didn’t do everything right in the situation.”
  • Indeed, what was pragmatic to many Germans was seen as a betrayal of the party’s long-cherished principles by many of the Greens’ rank and file.
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  • “The Greens were on the way to being a party of the political middle,” said Manfred Güllner, director of the Berlin-based Forsa Institute, a polling firm. “Now the Greens have landed back to exactly where they were for a long time: a small party that caters to its followers that is far removed from being a major party.”
  • Exhibit A in voter disillusionment was a bill that Mr. Habeck promoted requiring that newly installed home heating systems run on at least 65 percent renewable energy starting next year.
  • As the Greens have pivoted back to their traditional agenda, the party has bumped up against the limits of what many Germans are willing to sacrifice at a time of economic insecurity stemming from the war in Ukraine, higher inflation and the lingering effects of the Covid pandemic.
  • “They squandered a lot of their success because they seemed detached from ordinary people,” said Markus Ziener, a visiting fellow at the German Marshall Fund. “Instead of setting incentives, they were seen as telling people what’s right and what’s wrong, as wanting to lecture people.”
  • Experts said the law, which was passed in weakened form in September, has helped fuel the growing popularity of the far-right Alternative for Germany party, or AfD, which is polling at more than 20 percent, around the highest in its history.
  • Like other far-right parties across Europe, the AfD has added opposition to climate policies to its agenda, alongside issues like immigration, seeking to capitalize on the economic anxieties of working people.
  • “What happened with the Heizungsgezetz was all of a sudden literally the Greens were knocking on people’s doors, asking, ‘Show me your heating, and it has to change,’” said Andrea Römmele, a political scientist at the Hertie School in Berlin. “It was too fast.”
  • “It’s the deepest crisis in the Greens’ history,” he said. “Robert Habeck is the most talented politician in Germany by far. He has become a scapegoat. But he can get them past it.”
Javier E

The Great Disconnect: Why Voters Feel One Way About the Economy but Act Differently - The New York Times - 0 views

  • By traditional measures, the economy is strong. Inflation has slowed significantly. Wages are increasing. Unemployment is near a half-century low. Job satisfaction is up.
  • Yet Americans don’t necessarily see it that way. In the recent New York Times/Siena College poll of voters in six swing states, eight in 10 said the economy was fair or poor. Just 2 percent said it was excellent. Majorities of every group of Americans — across gender, race, age, education, geography, income and party — had an unfavorable view.
  • To make the disconnect even more confusing, people are not acting the way they do when they believe the economy is bad. They are spending, vacationing and job-switching the way they do when they believe it’s good.
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  • “People have faced higher prices and that is difficult, but that doesn’t explain why people have not cut back,” she said of a phenomenon known as revealed preference. “They have spent as if they see nothing but good times in front of them. So why are their actions so out of whack with their words?”
  • Many said their own finances were good enough — they had jobs, owned houses, made ends meet. But they felt as if they were “just getting by,” with “nothing left over.” Many felt angry and anxious over prices and the pandemic and politics.
  • Also, economists said, wages have increased alongside prices. Real median earnings for full-time workers are slightly higher than at the end of 2019, and for many low earners, their raises have outpaced inflation. But it’s common for people to think about prices at face value, rather than relative to their income, a habit economists call money illusion.
  • “The pandemic shattered a lot of illusions of control,” Professor Stevenson said. “I wonder how much that has made us more aware of all the places we don’t have control, over prices, over the housing market.”
  • Inflation weighed heavily on voters — nearly all of them mentioned frustration at the price of something they buy regularly.
  • Consumer prices were up 3.2 percent in October from the year before, a decline in the year-over-year inflation rate from more than 8 percent in mid-2022. But inflation “casts a long shadow on how people evaluate things,” said Lawrence Katz, an economist at Harvard. Some people may expect prices to return to what they were before — something that rarely happens
  • Those feelings may be driving attitudes about the economy, economists speculated, sounding more like their colleagues from another branch of social science, psychology.
  • Younger people — who were a key to President Biden’s win in 2020 but showed less support for him in the new poll — had concerns specific to their phase of life. In the poll, 93 percent of them rated the economy unfavorably, more than any other age group.
  • “Everyone thinks a wage increase is something they deserve, and a price increase is imposed by the economy on them,” Professor Katz said.
  • There’s a sense that it’s become harder to achieve the things their parents did, like buying a home. Houses are less affordable than at the height of the 2006 bubble, and less than half of Americans can afford one.
  • “More than likely, half my income will go toward rent,” he said. “I was really hoping on that student loan forgiveness.”
  • Yet overall, economists said, data shows that more people are quitting jobs to start better ones, moving to more desirable places because they can work remotely, and starting new businesses.
  • He said he makes almost $80,000, serving in the military and working as a DoorDash deliverer, yet feels he had more spending money a decade ago, when he was two pay grades lower.
  • he uncertainty Mr. Blanck and Ms. Linn share about the future ran through many voters’ stories, darkening their economic outlook.
  • “The degree of volatility that we’ve experienced from different events — from the pandemic, from inflation — leaves them not confident that even if objectively good things are going on, it’s going to persist,”
  • In response to the pandemic, the United States built an extensive welfare state, and it has since been dismantled. While wealth has increased for families across the income spectrum, data shows, and there are indications that inequality could be shrinking, the changes have been small relative to decades of growing inequality, leading to a sense for some that the system is rigged.
  • “When things are going well, that means rich people are getting richer and all of us are pretty much second,” said Manuel Zimberoff, 26, a manufacturing engineer in Philadelphia. “And if things are going poorly, rich people are still getting richer, and all of us are screwed.”
  • For roughly two decades, partisanship has increasingly been correlated with views about the economy: Research has shown that people rate the economy more poorly when their party is not in power. Nearly every Republican in the poll rated the economy unfavorably, and 59 percent of Democrats did.
  • He brought up U.S. funding in Ukraine and the Middle East. He wanted to know: Is that the reason our economy is “slowing down?” He wasn’t sure, but he thought it might be. He plans to vote for “the Republican, any Republican,” he said. “Democrats have disappointed me.”
Javier E

Before OpenAI, Sam Altman was fired from Y Combinator by his mentor - The Washington Post - 0 views

  • Four years ago, Altman’s mentor, Y Combinator founder Paul Graham, flew from the United Kingdom to San Francisco to give his protégé the boot, according to three people familiar with the incident, which has not been previously reported
  • Graham had surprised the tech world in 2014 by tapping Altman, then in his 20s, to lead the vaunted Silicon Valley incubator. Five years later, he flew across the Atlantic with concerns that the company’s president put his own interests ahead of the organization — worries that would be echoed by OpenAI’s board
  • Though a revered tactician and chooser of promising start-ups, Altman had developed a reputation for favoring personal priorities over official duties and for an absenteeism that rankled his peers and some of the start-ups he was supposed to nurture
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  • The largest of those priorities was his intense focus on growing OpenAI, which he saw as his life’s mission, one person said.
  • A separate concern, unrelated to his initial firing, was that Altman personally invested in start-ups he discovered through the incubator using a fund he created with his brother Jack — a kind of double-dipping for personal enrichment that was practiced by other founders and later limited by the organization.
  • “It was the school of loose management that is all about prioritizing what’s in it for me,” said one of the people.
  • a person familiar with the board’s proceedings said the group’s vote was rooted in worries he was trying to avoid any checks on his power at the company — a trait evidenced by his unwillingness to entertain any board makeup that wasn’t heavily skewed in his favor.
  • Altman’s clashes, over the course of his career, with allies, mentors and even members of a corporate structure he endorsed, are not uncommon in Silicon Valley, amid a culture that anoints wunderkinds, preaches loyalty and scorns outside oversight.
  • The same qualities have made Altman an unparalleled fundraiser, a consummate negotiator, a powerful leader and an unwanted enemy, winning him champions in former Google Chairman Eric Schmidt and Airbnb CEO Brian Chesky.
  • “Ninety plus percent of the employees of OpenAI are saying they would be willing to move to Microsoft because they feel Sam’s been mistreated by a rogue board of directors,” said Ron Conway, a prominent venture capitalist who became friendly with Altman shortly after he founded Loopt, a location-based social networking start-up, in 2005. “I’ve never seen this kind of loyalty anywhere.”
  • But Altman’s personal traits — in particular, the perception that he was too opportunistic even for the go-getter culture of Silicon Valley — has at times led him to alienate even some of his closest allies, say six people familiar with his time in the tech world.
  • Altman’s career arc speaks to the culture of Silicon Valley, where cults of personality and personal networks often take the place of stronger management guardrails — from Sam Bankman-Fried’s FTX to Elon Musk’s Twitter
  • But some of Altman’s former colleagues recount issues that go beyond a founder angling for power. One person who has worked closely with Altman described a pattern of consistent and subtle manipulation that sows division between individuals.
  • AI executives, start-up founders and powerful venture capitalists had become aligned in recent months, concerned that Altman’s negotiations with regulators were dangerous to the advancement of the field. Although Microsoft, which owns a 49 percent stake in OpenAI, has long urged regulators to implement guardrails, investors have fixated on Altman, who has captivated legislators and embraced his regular summons to Capitol Hill.
Javier E

Opinion | The Israel-Hamas War Was Not Inevitable - The New York Times - 0 views

  • For the last few years, though, I’ve felt the opposite — that so much of my work was decrying bad choices made by big players
  • Vladimir Putin’s tightening dictatorship and aggression, culminating in his brutal invasion of Ukraine; Xi Jinping’s reversal of China’s opening; Israel’s election of the most right-wing government in its history; the cascading effects of climate change; the loss of control over America’s southern border; and, maybe most ominously, an authoritarian drift, not only in European countries like Turkey, Poland and Hungary but in America’s own Republican Party as well.
  • If I think about the three pillars that have stabilized the world since I became a journalist in 1978 — a strong America committed to protecting a liberal global order with the help of healthy multilateral institutions like NATO, a steadily growing China always there to buoy the world economy, and mostly stable borders in Europe and the developing world — all three are being shaken by big choices by big players over the last decade
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  • This is triggering a U.S.-China cold war, mass migrations from south to north and an America that has become more unreliable than indispensable.
  • that’s not the half of it. Because now that advanced military technologies like drones are readily available, smaller players can wield much more power and project it more widely than ever before, enabling even their bad choices to shake the world
  • This is why I referred to Russia’s invasion of Ukraine as our first true world war, and why I feel that Hamas’s war with Israel is in some ways our second true world war.
  • They are being fought on both physical battlefields and digital ones, with huge global reach and implications.
  • Indeed, in today’s tightly wired world, it is possible that the war over the Gaza Strip — which is roughly twice the size of Washington, D.C. — could decide the next president in Washington, D.C., as some young Democrats abandon President Biden because of his support for Israel.
  • before we become too pessimistic, let us remember that these choices are just that: choices. There was nothing inevitable or foreordained about them
  • Gorbachev, Deng, Anwar el-Sadat, Menachem Begin, George H.W. Bush and Volodymyr Zelensky, to name but a few, faced excruciating choices, but they chose forks in the road that led to a safer and more prosperous world, at least for a time
  • What is the essential ingredient that Dubai has and Gaza lacks? Because both began, in one sense, as the convergence of sand and seawater at crucial intersections of the world.
  • The short answer is visionary leadership.Dubai has benefited from two generations of monarchs in the United Arab Emirates who had a powerful vision of how the U.A.E. in general and the emirate of Dubai in particular could choose to be Arab, modern, pluralistic, globalized and embracing of a moderate interpretation of Islam
  • Their formula incorporates a radical openness to the world, an emphasis on free markets and education, a ban on extremist political Islam, relatively little corruption, a strong rule of law promulgated from the top down and a relentless commitment to economic diversification, talent recruitment and development.
  • Any of Dubai’s neighbors — Kuwait, Qatar, Oman, Bahrain, Iran and Saudi Arabia — could have done the same with their similar coastlines, but it was the U.A.E. that pulled it off by making the choices it made.
  • Compare that with Gaza, where the role models today are Hamas martyrs in its endless war with Israel.
  • Among the most ignorant and vile things that have been said about this Gaza war is that Hamas had no choice — that its wars with Israel, culminating on Oct. 7 with a murderous rampage, the kidnappings of Israelis as young as 10 months and as old as 86 and the rape of Israeli women, could somehow be excused as a justifiable jailbreak by pent-up males.
  • Let’s go to the videotape: In September 2005, Ariel Sharon completed a unilateral withdrawal of all Israeli forces and settlements from Gaza, which Israel occupied in the 1967 war. In short order, Hamas began attacking the crossing points between Gaza and Israel to show that even if Israel was gone, the resistance movement wasn’t over; these crossing points were a lifeline for commerce and jobs, and Israel eventually reduced the number of crossings from six to two.
  • In January 2006, the Palestinians held elections hoping to give the Palestinian Authority legitimacy to run Gaza and the West Bank. There was a debate among Israeli, Palestinian and Bush administration officials over whether Hamas should be allowed to run in the elections — because it had rejected the Oslo peace accords with Israel.
  • Yossi Beilin, one of the Israeli architects of Oslo, told me that he and others argued that Hamas should not be allowed to run, as did many members of Fatah, Arafat’s group, who had embraced Oslo and recognized Israel. But the Bush team insisted that Hamas be permitted to run without embracing Oslo, hoping that it would lose and this would be its ultimate refutation.
  • Fatah ran unrealistically high numbers of candidates in many districts, dividing the vote, while the more disciplined Hamas ran carefully targeted slates and managed to win the parliamentary majority.
  • Hamas then faced a critical choice: Now that it controlled the Palestinian parliament, it could work within the Oslo Accords and the Paris protocol that governed economic ties between Israel, Gaza and the West Bank — or not.
  • Hamas chose not to — making a clash between Hamas and Fatah, which supported Oslo, inevitable
  • That led to the first Israeli economic blockade of Gaza — and what would be 22 years of on-and-off Hamas rocket attacks, Israeli checkpoint openings and closings, wars and cease-fires, all culminating on Oct. 7.
  • These were fateful choices. Once Sharon pulled Israel out of Gaza, Palestinians were left, for the first time ever, with total control over a piece of land. Yes, it was an impoverished slice of sand and coastal seawater, with some agricultural areas. And it was not the ancestral home of most of its residents. But it was theirs to build anything they wanted.
  • Hamas had a choice: to replicate Dubai in 2023 or replicate Hanoi in 1968. It chose to replicate Hanoi, whose Củ Chi tunnel network served as the launchpad for the ’68 Tet offensive.
  • Hamas is not simply engaged in some pure-as-the-driven-snow anticolonial struggle against Israel. Only Hamas’s useful idiots on U.S. college campuses would believe that.
  • Hamas is engaged in a raw power struggle with Fatah over who will control Gaza and the West Bank, and it’s engaged in a power struggle in the region — alongside other pro-Muslim Brotherhood parties and regimes (like Turkey and Qatar) — against pro-Western monarchies like Saudi Arabia, Jordan, Kuwait and the U.A.E. and military-led regimes like Egypt’s.
  • In that struggle, Hamas wanted Gaza isolated and in conflict with Israel because that allowed Hamas to maintain its iron-fisted political and Islamist grip over the strip, foregoing elections and controlling all the smuggling routes in and out, which funded its tunnels and war machine and the lifestyle of its leaders and loyalists
  • The only exit from this mutually assured destruction is to bring in some transformed version of the Palestinian Authority in the West Bank — or a whole new P.L.O.-appointed government of Palestinian technocrats — in partnership with moderate Arab states like Egypt, Jordan and Saudi Arabia. But when I raise that with many Israelis right now, they tell me, “Tom, it’s not the time. No one wants to hear it.”
  • please, spare me the Harvard Yard nonsense that this war is all about the innocent, colonized oppressed and the evil, colonizing oppressors; that Israel alone was responsible for the isolation of Gaza; and that the only choice Hamas had for years was to create an underground “skyline” of tunnels up to 230 feet deep (contra Dubai) and that its only choice on Oct. 7 was martyrdom.
  • But our story about agency and choices does not stop there. Benjamin Netanyahu, Israel’s longest-serving prime minister — 16 years — also made choices. And even before this war, he made terrible ones — for Israel and for Jews all over the world.
  • Before this war, Netanyahu actively worked to keep the Palestinians divided and weak by strengthening Hamas in Gaza with billions of dollars from Qatar, while simultaneously working to discredit and delegitimize the more moderate Palestinian Authority in Ramallah, committed to Oslo and nonviolence in the West Bank.
  • Netanyahu’s goal has always been to destroy the Oslo option once and for all. In that, Bibi and Hamas have always needed each other: Bibi to tell the United States and Israelis that he had no choice, and Hamas to tell Gazans and its new and naïve supporters around the world that the Palestinians’ only choice was armed struggle led by Hamas.
  • This is now a common strategy for consolidating and holding power forever by a single political faction and disguising it with an ideology of resistance. It’s no wonder they all support one another.
  • Don’t they get it? Netanyahu’s greatest political achievement has been to persuade Israelis and the world that it’s never the right time to talk about the morally corrosive occupation and how to help build a credible Palestinian partner to take it off Israel’s hands.
  • He and the settlers wore everyone down. When I covered the State Department in the early 1990s, West Bank settlements were routinely described by U.S. officials as “obstacles to peace.” But that phrase was gradually dropped. The Trump administration even decided to stop calling the West Bank “occupied” territory.
  • Israel is being surrounded by what I call Iran’s landcraft carriers (as opposed to our aircraft carriers): Hamas, Hezbollah, the Houthis and Shiite militias in Iraq. Iran is squeezing Israel into a multifront war with its proxies. I truly worry for Israel.
  • But Israel will have neither the sympathy of the world that it needs nor the multiple allies it needs to confront this Iranian octopus, nor the Palestinian partners it needs to govern any post-Hamas Gaza, nor the lasting support of its best friend in the world, Joe Biden, unless it is ready to choose a long-term pathway for separating from the Palestinians with an improved, legitimate Palestinian partner.
  • For all these reasons, if Netanyahu keeps refusing because, once again, politically, the time is not right for him, Biden will have to choose, too — between America’s interests and Netanyahu’s.
  • In sum, this war is so ugly, deadly and painful, it is no wonder that so many Palestinians and Israelis want to just focus on survival and not on any of the choices that got them here
  • The Haaretz writer Dahlia Scheindlin put it beautifully in a recent essay:The situation today is so terrible that people run from reality as they run from rockets — and hide in the shelter of their blind spots. It’s pointless to wag fingers. The only thing left to do is try and change that reality.
criscimagnael

Afghanistan Tries to Stamp Out Opium Again - The New York Times - 0 views

  • For years, opium has been the monster too big to slay. One Afghan government after another has pledged to stamp out opium production and trafficking, only to prove unable to resist billions of dollars in illicit profits.
  • But after the U.S.-led invasion in 2001, opium taxes and smuggling helped fuel the Taliban’s own 20-year insurgency.
  • The Taliban announced on April 3 that poppy cultivation had been outlawed, with violators to be punished under Shariah law.
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  • Water pumps powered by cheap and highly efficient solar panels are able to drill deep down into rapidly dwindling desert aquifers. The solar panels have helped generate bumper opium harvests year after year since farmers in southern Afghanistan’s poppy-growing belt began installing them around 2014.
  • The opium trade earned about $1.8 billion to $2.7 billion last year, the United Nations has estimated. Opium sales have provided 9 to 14 percent of Afghanistan’s gross domestic product, compared with 9 percent provided by legal exports of goods and services.
  • The solar arrays have been central to ensuring Afghanistan’s status as the global leader in opium.
  • The Taliban, for their part, have condemned opium as anti-Islamic, as Afghanistan’s poppy crop sustains addicts in Europe and the Middle East, as well as a huge number inside Afghanistan. But given their own deep ties to opium smuggling during the insurgency, Taliban leaders are walking a fine line between hypocrisy and holiness.
  • Now, solar power is a defining feature of southern Afghan life. Tiny solar panels power light bulbs in mud huts, and solar-driven pumps irrigate cash crops like wheat and pomegranates, as well as subsistence farmers’ vegetable plots.
  • The panels, which supplanted more expensive and less reliable diesel to run water pumps, have helped turn the desert green.
  • Opium farmers now rely on at least 67,000 solar-power-fed water reservoirs across Afghanistan’s desert southwest, according to a European Union-funded research project by David Mansfield, a consultant who has studied illicit economies and rural livelihoods in Afghanistan for two decades.
  • “For many opium farmers, abundant water is now a given,” he said. “No one perceives it to have a cost.”
  • “Do not destroy the fields, but make the fields dry out,” Gov. Maulave Talib Akhund said in a statement. He added, “We are committed to fulfilling the opium decree.”
  • The opium ban was met with a collective shrug this spring by southern farmers, many of whom were already harvesting their spring crops. Opium prices surged almost immediately, several farmers said, to roughly $180 per kilogram from $60 per kilogram.
  • But the Taliban have vowed to crack down on farmers who try to cultivate any new crops.
  • Dr. Mansfield said that determining how long the aquifers could continue to supply water was uncharted territory because no one had been able to conduct a rigorous scientific study of the desert groundwater.
  • “We have to continue to dig our wells deeper and deeper,” Mr. Armani said.
  • Even when prices are high, many poppy farmers say, they earn only about $2 a day for each family member. They are at the very bottom of a narcotic trafficking system in which profits increase exponentially from growers to middlemen to processing labs to major cross-border traffickers.
  • Farmers whose poppy fields were plowed under by the previous government could send their sons to paying jobs as soldiers or police officers — or to the constellation of unskilled jobs provided by the United States and NATO. But those options are gone, and unemployment has soared under the Taliban.
  • “Growing poppies is the only option to survive right now,” he said.
lilyrashkind

Rapid grocery delivery start-ups Getir, Gorillas slash jobs - 0 views

  • Fears of an impending recession are forcing rapid grocery delivery companies to slam the brakes on growth.This week, two of the largest instant grocery apps, Getir and Gorillas, announced decisions to lay off hundreds of employees. Another firm, Zapp, said it is proposing redundancies in its U.K. team.Getir told staff Wednesday that it plans to reduce its global headcount by 14%. The Turkish company employs more than 6,000 people worldwide, according to LinkedIn.
  • Gorillas on Tuesday said it was making the “extremely hard decision” to let go about 300 of its employees, citing the need to reach profitability in the long run.The Berlin-based company is also evaluating a possible exit from Italy, Spain, Denmark and Belgium, among other “strategic options,” as it shifts focus to more profitable markets like the U.S., U.K. and Germany.
  • Getir and Gorillas have raised $1.8 billion and $1.3 billion to date, respectively. Getir scored a $12 billion valuation in March, while Gorillas was last valued at $3 billion. Both firms have burned through significant amounts of cash to expand in the U.S.London-based grocery start-up Zapp on Wednesday confirmed reports that it is considering making layoffs of up to 10% of staff. A final decision hasn’t yet been made as a consultation is underway with the firm’s U.K. employees.
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  • “As a venture-backed scale-up that will need to fundraise again in the future, we therefore need to adjust our business plan to reduce costs and accelerate our path to profitability.”
  • The recent raft of layoffs in the industry highlights a broader shift in investor sentiment toward high-growth tech companies, many of which have taken steps to cut down on costs recently against the backdrop of a sharp plunge in global stock markets. Earlier this week, buy now, pay later firm Klarna said it would lay off about 10% of staff following reports the company was seeking a new round of funding that would reduce its valuation by a third.
  • Meanwhile, New York start-ups Fridge No More and Buyk — which both raised money from Russian investors — wound down their operations after facing issues with fundraising after Russia’s invasion of Ukraine.
  • Earlier this month, London-based grocery service Jiffy said it would stop making deliveries and instead shift its focus toward in-person grocery collection, in a bid to convince investors that it can achieve profitability. The company has since announced plans to resume deliveries through a deal with Zapp.
lilyrashkind

June Poised to be Major Month for Coronavirus Vaccine Decisions | Health News | US News - 0 views

  • The Food and Drug Administration’s vaccine advisory committee has several meetings scheduled for June, including a two-day meeting in mid-June when experts will consider whether to allow shots from Moderna and Pfizer in America’s youngest kids – a major milestone that has eluded parents for months.
  • Additionally, the committee meets at the end of June to discuss whether and how to modify the coronavirus vaccine to combat circulating variants.The pair of developments could mean major changes on the vaccine front. Many parents have criticized the Biden administration for moving too slowly to authorize a coronavirus vaccine for the youngest children as record numbers became infected and hospitalized during the omicron wave. Meanwhile, experts have raised concerns over waning vaccine efficacy while waves of new coronavirus variants wash over the country and show no signs of slowing.
  • The company said that the majority of infections were mild and that no kids developed severe cases of COVID-19, but it acknowledged that efficacy of the vaccine dropped during the omicron surge. It added that it is “preparing to evaluate the potential of a booster dose for all pediatric populations.”
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  • Despite mounting anticipation for the decision, the percentage of parents who will get their young children vaccinated is likely to be low compared to other age groups. A survey from February found that 31% of parents of children in the age range will get their kid vaccinated right away if a vaccine is authorized.
  • The decision has to come this month “because of the time required for manufacturing the necessary doses,” three of FDA’s top officials – FDA Commissioner Robert Califf, vaccine expert Peter Marks and principal deputy commissioner Janet Woodcock – wrote in a paper published by the journal JAMA in May.Both Pfizer and Moderna are studying vaccines designed to combat omicron and other strains. However, data on the shots remains scarce.
  • Clinical data from Moderna’s shot is expected this month, according to the company. Moderna in April released findings to support its booster shot development strategy, but the data comes after research in animals suggested the omicron-specific shot might not provide additional protection. A study from scientists at the National Institutes of Allergy and Infectious Diseases’s Vaccine Research Center found that primates boosted with the original vaccine had similar levels of protection as monkeys who got an omicro
  • The Biden administration has warned of potential fall and winter surges infecting up to 100 million Americans as it gears up for a fall booster shot campaign, whether that is with an omicron-specific shot or not. The FDA authorized a fourth vaccine dose for people ages 50 and older in March, and expanding the shot to more age groups is under consideration.“Administering additional COVID-19 vaccine doses to appropriate individuals this fall around the time of the usual influenza vaccine campaign has the potential to protect susceptible individuals against hospitalization and death, and therefore will be a topic for FDA consideration,” the officials wrote.In fact, the officials said that coronavirus booster shots could be on their way to becoming a yearly occurrence.
  • It is time to “accept that the presence of SARS-CoV-2, the virus that causes COVID-19, is the new normal,” according to the officials.“It will likely circulate globally for the foreseeable future, taking its place alongside other common respiratory viruses such as influenza,” they wrote.But paying for the shots remains an issue for the Biden administration as Congress shows little appetite for approving more COVID-19 funding.
Javier E

Why My M.B.A. Students Turned Against Business - The Atlantic - 0 views

  • that does not require society to ignore the trouble that befalls individuals as the economy changes around them. In 1776, Adam Smith, the prophet of classical liberalism, famously praised open competition in his book The Wealth of Nations. But there was more to Smith’s economic and moral thinking. An earlier treatise, The Theory of Moral Sentiments, called for “mutual sympathy”—what we today would describe as empathy.
  • A modern version of Smith’s ideas would suggest that government should play a specific role in a capitalist society—a role centered on boosting America’s productive potential (by building and maintaining broad infrastructure to support an open economy) and on advancing opportunity (by pushing not just competition but also the ability of individual citizens and communities to compete as change occurs).
  • The U.S. government’s failure to play such a role is one thing some M.B.A. students cite when I press them on their misgivings about capitalism. Promoting higher average incomes alone isn’t enough. A lack of “mutual sympathy” for people whose career and community have been disrupted undermines social support for economic openness, innovation, and even the capitalist economic system itself.
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  • The global financial crisis and the coronavirus pandemic alike deepen the need for the U.S. government to play a more constructive role in the modern economy
  • My students’ concern is that business leaders, like many economists, are too removed from the lives of people and communities affected by forces of change and companies’ actions
  • That executives would focus on general business and economic concerns is neither surprising nor bad. But some business leaders come across as proverbial “anywheres”—geographically mobile economic actors untethered to actual people and places—rather than “somewheres,” who are rooted in real communities.
  • As my Columbia economics colleague Edmund Phelps, another Nobel laureate, has emphasized, the goal of the economic system Smith described is not just higher incomes on average, but mass flourishing.
  • The Business Roundtable and the Chamber of Commerce should strongly support federally funded basic research that shifts the scientific and technological frontier and applied-research centers that spread the benefits of those advances throughout the economy.
  • After World War II, American business groups understood that the Marshall Plan to rebuild Europe would benefit the United States diplomatically and commercially. They should similarly champion high-impact investment at home now.
  • the U.S. as a whole should do more to help people compete in the changing economy—by offering block grants to community colleges, creating individualized reemployment accounts to support reentry into work, and enhancing support for lower-wage, entry-level work more generally through an expanded version of the earned-income tax credit.
  • These proposals are not cheap, but they are much less costly and more tightly focused on helping individuals adapt than the social-spending increases being championed in Biden’s Build Back Better legislation
Javier E

Revealed: Credit Suisse leak unmasks criminals, fraudsters and corrupt politicians | Credit Suisse | The Guardian - 0 views

  • The huge trove of banking data was leaked by an anonymous whistleblower to the German newspaper Süddeutsche Zeitung. “I believe that Swiss banking secrecy laws are immoral,” the whistleblower source said in a statement. “The pretext of protecting financial privacy is merely a fig leaf covering the shameful role of Swiss banks as collaborators of tax evaders.”
  • Swiss financial institutions manage about 7.9tn CHF (£6.3tn) in assets, nearly half of which belongs to foreign clients.
  • It identifies the convicts and money launderers who were able to open bank accounts, or keep them open for years after their crimes emerged. And it reveals how Switzerland’s famed banking secrecy laws helped facilitate the looting of countries in the developing world.
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  • his case is one of dozens discovered by reporters appearing to show Credit Suisse opened or maintained accounts for clients who had serious convictions that might be expected to show up in due diligence checks. There are other instances in which Credit Suisse may have taken quick action after red flags emerged, but the case nonetheless shows that dubious clients have been attracted to the bank.
  • Like every other bank in the world, Credit Suisse professes to have stringent control mechanisms to carry out extensive due diligence on its customers to “ensure that the highest standards of conduct are upheld”. In banking parlance, such controls are called know-your-client or KYC checks.
  • A 2017 leaked report commissioned by Switzerland’s financial regulator shed some light on the bank’s internal procedures at that time. Clients would face intensified scrutiny when flagged as a politically exposed person from a high-risk country, or a person involved in a high-risk activity such as gambling, weapons trading, financial services or mining, the report said.
  • Such controls might be expected to prevent a bank from opening accounts for clients such as Rodoljub Radulović, a Serbian securities fraudster indicted in 2001 by the US Securities and Exchange Commission. However, the leaked data identifies him as the co-signatory of two Credit Suisse company accounts. The first was opened in 2005, the year after the SEC had secured a default judgment against Radulović for running a pump-and-dump scheme.
  • One of Radulović’s company accounts held 3.4m CHF (£2.2m) before they closed in 2010. He was recently given a 10-year prison sentence by a court in Belgrade for his role trafficking cocaine from South America for the organised crime boss Darko Šarić.
  • Due diligence is not only for new clients. Banks are required to continually reassess existing customers. The 2017 report said Credit Suisse screened customers at least every three years and as often as once a year for the riskiest clients. Lawyers for Credit Suisse told the Guardian these periodic reviews were introduced “more than 15 years ago”, meaning it was continually running due diligence on existing clients from 2007.
  • The bank might, therefore, have been expected to have discovered that its German client Eduard Seidel was convicted of bribery in 2008. Seidel was an employee of Siemens. As the multinational’s lead in Nigeria, he oversaw a campaign of industrial-scale bribery to secure lucrative contracts for his employer by funnelling cash to corrupt Nigerian politicians.
  • After German authorities raided the Munich headquarters of Siemens in 2006, Seidel immediately confessed his role in the bribery scheme, though he said he had never stolen from the company or appropriated its slush funds. His involvement in the corruption led to his name being entered into the Thomson Reuters World-Check database in 2007.
  • However, the leaked Credit Suisse data shows his accounts were left open until at least well into the last decade. At one point after he left Siemens, one account was worth 54m CHF (£24m). Seidel’s lawyer declined to say whether the accounts were his. He said his client had addressed all outstanding matters relating to his bribery offences and wished to move on with his life.
  • The lawyer did not respond to repeated invitations to explain the source of the 54m CHF. Siemens said it did not know about the money and that its review of its own cashflows shed no light on the account.
  • A representative for Sederholm said Credit Suisse never froze his accounts and did not close them until 2013 when he was unable to provide due diligence material. Asked why Sederholm needed a Swiss account, they said that he was living in Thailand when it was opened, adding: “Can you please tell me if you would prefer to put your money in a Thai or Swiss bank?”
  • One client, Stefan Sederholm, a Swedish computer technician who opened an account with Credit Suisse in 2008, was able to keep it open for two-and-a-half years after his widely reported conviction for human trafficking in the Philippines, for which he was given a life sentence.
  • Swiss banks have cultivated their trusted reputation since as far back as 1713, when the Great Council of Geneva prohibited bankers from revealing details about the fortunes being deposited by European aristocrats. Switzerland soon became a tax haven for many of the world’s elites and its bankers nurtured a “duty of absolute silence” about their clients affairs.
  • The custom was enshrined in statute in 1934 with the introduction of Switzerland’s banking secrecy law, which criminalised the disclosure of client banking information to foreign authorities. Within decades, wealthy clients from all over the world were flocking to Swiss banks. Sometimes, that meant clients with something to hide.
  • One former Credit Suisse employee at the time alleges there was a deeply ingrained culture in Swiss banking of looking the other way when it came to problematic clients. “The bank’s compliance departments [were] masters of plausible deniability,” they told a reporter from the Organized Crime and Corruption Reporting Project, one of the coordinators of the Suisse secrets project. “Never write anything down that could expose an account that is non-compliant and never ask a question you do not want to know the answer to.”
  • The 2000s was also a decade in which foreign regulators and tax authorities became increasingly frustrated at their inability to penetrate the Swiss financial system. That changed in 2007, when the UBS banker Bradley Birkenfeld voluntarily approached US authorities with information about how the bank was helping thousands of wealthy Americans evade tax with secret accounts.
  • Birkenfeld was viewed as a traitor in Switzerland, where banking whistleblowers are often held in contempt. However, a wide-ranging US Senate investigation later uncovered the aggressive tactics used by UBS and Credit Suisse, the latter of which was found to have sent bankers to high-end events to recruit clients, courted a potential customer with free gold, and in one case even delivered sensitive bank statements hidden in the pages of a Sports Illustrated magazine.
  • The revelations sent shock waves through Switzerland’s financial sector and enraged the US, which pressured Switzerland into unilaterally disclosing which of its taxpayers had secret Swiss accounts from 2014. That same year, Switzerland reluctantly signed up to the international convention on the automatic exchange of banking Information.
  • By adopting the so-called common reporting standard (CRS) for sharing tax data, Switzerland in effect agreed that its banks would in the future exchange information about their clients with tax authorities in foreign countries. They started doing so in 2018.
  • Membership of the global exchange system is often cited by Switzerland’s banking industry as a turning point. “There is no longer Swiss bank client confidentiality for clients abroad,” the Swiss Bankers Association told the Guardian. “We are transparent, there is nothing to hide in Switzerland.”
  • Switzerland’s almost 90-year-old banking secrecy law, however, remains in force – and was recently broadened. The Tax Justice Network estimates that countries around the world collectively lose $21bn (£15.4bn) each year in tax revenues because of Switzerland. Many of those countries will be poorer nations that have not signed up to the CRS data exchange.
  • More than 90 countries, most of which are in the developing world, remain in the dark when their wealthy taxpayers hide their money in Swiss accounts.
  • This inequity in the system was cited by the whistleblower behind the leaked data, who said the CRS system “imposes a disproportionate financial and infrastructural burden on developing nations, perpetuating their exclusion from the system in the foreseeable future”.
  • “This situation enables corruption and starves developing countries of much-needed tax revenue. These countries are the ones that therefore suffer most from Switzerland’s reverse-Robin-Hood stunt,” they said.
  • “I am aware that having an offshore Swiss bank account does not necessarily imply tax evasion or any other financial crime,” they said. “However, it is likely that a significant number of these accounts were opened with the sole purpose of hiding their holder’s wealth from fiscal institutions and/or avoiding the payment of taxes on capital gains.”
Javier E

To Keep Putin and His Oligarchs Afloat, It Takes a System - The New York Times - 0 views

  • We tend to think of corruption as a failure of morality, when a greedy person decides to benefit by steering public resources toward private gain.
  • But while that’s not exactly untrue, it misses the most important thing: namely, that corruption is a group activity. You need bribe-payers and bribe-takers, resource-diverters and resource-resellers, look-the-other-wayers and demand-a-share-of-the-takers.
  • When that kind of corrupt network behavior becomes widespread, it creates its own parallel system of rewards — and punishments.
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  • “What is different with systemic corruption is that it’s the expected behavior,”
  • “These expectations make it very difficult for all individuals, actually, to stand against corruption, because it’s very costly in all different ways to resist that kind of system.”
  • Those who refuse to participate in the parallel economy of favors and bribes get passed over for promotion, cut off from benefits, and frozen out of power.
  • The result is a system where power and wealth accrue to those willing to play the corruption game, and those who are not get left behind.
  • Corruption “serves as a regressive tax, it’s like Robin Hood in reverse,” Persson told me. “All the resources are moved to the top of the system, to the great cost of the majority of the population.”
  • But why did corruption in Russia get that bad? The answer, and maybe a counterintuitive one, is in democratization.
  • There was corruption in the Soviet Union. But after its dissolution in 1991, the sudden explosive growth of freedom of expression and freedom of association in Russia and the other former Soviet countries and satellites brought new opportunities, not just for political and economic development, but for crime and corruption.
  • “Freedoms of expression and association don’t only have to be used for good things, they can be used for illegal activities, too,” McMann said. “When people can more easily get together and talk, that enables them to actually plan corrupt activity.”
  • That wouldn’t have been so bad if democratization had also brought in checks on executive power, an independent judiciary to investigate and prosecute crimes. “In order to have capitalism have functioning markets, you also need to build institutions. You need banks that can provide credit, you need a strong legal system that will protect property.”
  • Estonia followed that path. After the Soviet Union fell, Estonia’s new, democratically elected parliament strengthened the judiciary and introduced new checks on executive power. There, corruption fell.
  • But in Russia, the government heeded Western advisers’ urging to get the state out of the economy as much as possible in order to let free markets flourish. Institutions and constraints fell by the wayside. In that vacuum, the parallel structures of corruption flourished, crowding honest politicians out of government and honest businesses out of the market.
  • By the late 1990s, official corruption had flourished at every level of the government. In 1999, as President Boris Yeltsin’s presidency began to weaken, elites pressured him to leave office on their terms. If Yeltsin would anoint their handpicked successor, they would ensure that he and his family did not face prosecution for misappropriation of government funds.
Javier E

London Is Losing Its Crown as a Luxury Shopping Destination - WSJ - 0 views

  • London is missing out on a spending boom by wealthy American and Middle Eastern tourists that began last summer and has benefited big cities on the European continent, mainly Paris and Milan. In January, VAT receipts from Middle Eastern visitors to continental Europe, a good proxy for luxury spending, were up 224% compared with the same month of 2019, based on data from tax refund company Global Blue
  • American spending was even heavier, with receipts up 297% over the period. The strong dollar means the discount available on luxury goods in Europe has been historically wide recently and U.S. tourists outspent all other nationalities in every month of 2022.
  • Britons are spending heavily on tax-free goods in the European Union. 
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  • London’s luxury retailers are lobbying the U.K. government to reinstate VAT-free shopping for visitors. Big department stores like Harrods, owned by Qatar’s sovereign wealth fund, and Selfridges, which was sold for £4 billion in 2021 to Thai and Australian investors, relied heavily on tourist spending before the pandemic.
  • If overseas visitors continue to shop in Europe instead of Britain, landlords on the U.K. capital’s poshest streets could suffer. In 2022, London’s New Bond Street slipped out of the top-three ranking of the world’s most expensive retail streets, according to real estate firm Cushman & Wakefield. It was overtaken by Via Montenapoleone in Milan, where rents are now 9% above 2019 levels.
Javier E

Who Watches the Watchdog? The CJR's Russia Problem - Byline Times - 0 views

  • In December 2018, Pope commissioned me to report for the CJR on the troubled history of The Nation magazine and its apparent support for the policies of Vladimir Putin. 
  • My $6,000 commission to write for the prestigious ”watchdog” was flattering and exciting – but would also be a hard call. Watchdogs, appointed or self-proclaimed, can only claim entitlement when they hold themselves to the highest possible standards of reporting and conduct. It was not to be
  • For me, the project was vital but also a cause for personal sadness.  During the 1980s, I had been an editor of The Nation’s British sister magazine New Statesman and had served as chair of its publishing company. I knew, worked with and wrote for The Nation’s then-editor, the late Victor Navasky. He subsequently chaired the CJR. 
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  • Investigating and calling out a magazine and editor for which I felt empathy, and had historic connections to, hearing from its critics and dissidents, and finding whistleblowers and confidential inside sources was a challenge. But hearing responses from all sides was a duty.
  • I worked on it for six months, settling a first draft of my story to the CJR‘s line editor in the summer 2019. From then on my experience of the CJR was devastating and damaging.
  • After delivering the story and working through a year-long series of edits and re-edits required by Pope, the story was slow-walked to dismissal. In 2022, after Russian tanks had rolled towards Kyiv, I urged Pope to restore and publish the report, given the new and compelling public interest. He refused.
  • he trigger for my CJR investigation was a hoax concerning Democratic Party emails hacked and dumped in 2016 by teams from Russia’s GRU intelligence agency.  The GRU officers responsible were identified and their methods described in detail in the 2019 Mueller Report.  
  • The Russians used the dumped emails decisively – first to leverage an attack on that year’s Democratic National Convention; and then to divert attention from Donald Trump’s gross indiscretions at critical times before his election
  • In 2017, with Trump in the White House, Russian and Republican denial operations began, challenging the Russian role and further widening divisions in America. A pinnacle of these operations was the publication in The Nation on 9 August 2017 of an article – still online under a new editor – claiming that the stolen emails were leaked from inside the DNC.  
  • Immediately after the article appeared, Trump-supporting media and his MAGA base were enthralled. They celebrated that a left-liberal magazine had refuted the alleged Russian operations in supporting Trump, and challenged the accuracy of mainstream press reporting on ‘Russiagate’
  • Nation staff and advisors were aghast to find their magazine praised lavishly by normally rabid outlets – Fox News, Breitbart, the Washington Times. Even the President’s son.
  • When I was shown the Nation article later that year by one of the experts it cited, I concluded that it was technical nonsense, based on nothing.  The White House felt differently and directed the CIA to follow up with the expert, former senior National Security Agency official and whistleblower, William Binney (although nothing happened)
  • Running the ‘leak’ article positioned the left-wing magazine strongly into serving streams of manufactured distractions pointing away from Russian support for Trump.
  • I traced the source of the leak claim to a group of mainly American young right-wing activists delivering heavy pro-Russian and pro-Syrian messaging, working with a British collaborator. Their leader, William Craddick, had boasted of creating the ‘Pizzagate’ conspiracy story – a fantasy that Hillary Clinton and her election staff ran a child sex and torture ring in the non-existent basement of a pleasant Washington neighbourhood pizzeria. Their enterprise had clear information channels from Moscow. 
  • We spoke for 31 minutes at 1.29 ET on 12 April 2019. During the conversation, concerning conflicts of interest, Pope asked only about my own issues – such as that former editor Victor Navasky, who would figure in the piece, had moved from running and owning The Nation to being Chair of the CJR board; and that the independent wealth foundation of The Nation editor Katrina vanden Heuvel – the Kat Foundation – periodically donated to Columbia University.
  • In the series, writer Jeff Gerth condemns multiple Pulitzer Prize-winning reports on Russian interference operations by US mainstream newspapers. Echoing words used in 2020 by vanden Heuvel, he cited as more important “RealClearInvestigations, a non-profit online news site that has featured articles critical of the Russia coverage by writers of varying political orientation, including Aaron Maté”.
  • On the day we spoke, I now know, Pope was working with vanden Heuvel and The Nation to launch – 18 days later – a major new international joint journalism project ‘Covering Climate Now!‘
  • Soon after we spoke, the CJR tweeted that “CJR and @thenation are gathering some of the world’s top journalists, scientists, and climate experts” for the event. I did not see the tweet. Pope and the CJR staff said nothing of this to me. 
  • Any editor must know without doubt in such a situation, that every journalist has a duty of candour and a clear duty to recuse themselves from editorial authority if any hint of conflict of interest arises. Pope did not take these steps. From then until August 2020, through his deputy, he sent me a stream of directions that had the effect of removing adverse material about vanden Heuvel and its replacement with lists of her ‘achievements’. Then he killed the story
  • Working on my own story for the CJR, I did not look behind or around – or think I needed to. I was working for the self-proclaimed ‘watchdog of journalism’. I forgot the ancient saw: who watches the watchdog?
  • This week, Kyle Pope failed to reply to questions from Byline Times about conflicts of interest in linking up with the subjects of the report he had commissioned.
  • During the period I was preparing the report about The Nation and its editor, he wrote for The Nation on nine occasions. He has admitted being remunerated by the publication. While I was working for the CJR, he said nothing. He did not recuse himself, and actively intervened to change content for a further 18 months.
  • On April 16 2019, I was informed that Katrina vanden Heuvel had written to Pope to ask about my report. “We’re going to say thanks for her thoughts and that we’ll make sure the piece is properly vetted and fact-checked,” I was told
  • A month later, I interviewed her for the CJR. Over the course of our 100 minutes discussion, it must have slipped her mind to mention that she and Kyle Pope had just jointly celebrated being given more than $1 million from the Rockefeller Family and other foundations to support their climate project.
  • Pope then asked me to identify my confidential sources from inside The Nation, describing this as a matter of “policy”
  • Pope asked several times that the article be amended to state that there were general tie-ups between the US left and Putin. I responded that I could find no evidence to suggest that was true, save that the Daily Beast had uncovered RT attempting cultivation of the US left. 
  • Pope then wanted the 6,000-word and fully edited report cut by 1,000 words, mainly to remove material about the errors in The Nation article. Among sections cut down were passages showing how, from 2014 onwards, vanden Heuvel had hired a series of pro-Russian correspondents after they had praised her husband. Among the new intake was a Russian and Syrian Government supporting broadcaster, Aaron Maté, taken on in 2017 after he had platformed Cohen on his show The Real News. 
  • On 30 January 2023, the CJR published an immense four-part 23,000-word series on Trump, Russia and the US media. The CJR‘s writers found their magazine praised lavishly by normally rabid outlets. Fox News rejoiced that The New York Times had been “skewered by the liberal media watchdog the Columbia Journalism Review” over Russiagate”. WorldNetDaily called it a “win for Trump”.
  • Pope agreed. Trump had “hailed our report as proof of the media assault on Trump that they’ve been hyping all along,” he wrote. “Trump cheered that view on Truth Social, his own, struggling social-media platform
  • She and her late husband, Professor Stephen Cohen, were at the heart of my reporting on the support The Nation gave to Putin’s Russia. Sixteen months later, as Pope killed my report, he revealed that he had throughout been involved in an ambitious and lucratively funded partnership between the CJR and The Nation, and between himself and vanden Heuvel. 
  • As with The Nation in 2017, the CJR is seeing a storm of derisive and critical evaluations of the series by senior American journalists. More assessments are said to be in the pipeline. “We’re taking the critiques seriously,” Pope said this week. The Columbia Journalism Review may now have a Russia Problem.  
Javier E

Alexander Gabuev writes from Moscow on why Vladimir Putin and his entourage want war | The Economist - 0 views

  • What actually drives the Kremlin are the tough ideas and interests of a small group of longtime lieutenants to President Vladimir Putin, as well as those of the Russian leader himself. Emboldened by perceptions of the West’s terminal decline, no one in this group loses much sleep about the prospect of an open-ended confrontation with America and Europe
  • In fact, the core members of this group would all be among the main beneficiaries of a deeper schism.
  • Consider Mr Putin’s war cabinet, which is the locus of most decision-making
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  • Their average age is 68 years old and they have a lot in common. The collapse of the Soviet Union, which Mr Putin famously described as the greatest geopolitical catastrophe of the 20th century, was the defining episode of their adult lives
  • Four out of five have a KGB background, with three, including the president himself, coming from the ranks of counterintelligence. It is these hardened men, not polished diplomats like Foreign Minister Sergey Lavrov, who run the country’s foreign policy.
  • In recent years members of this group have become very vocal. Messrs Patrushev and Naryshkin frequently give lengthy interviews articulating their views on global developments and Russia’s international role.
  • According to them, the American-led order is in deep crisis thanks to the failure of Western democracy and internal conflicts spurred by the promotion of tolerance, multiculturalism and respect for the rights of minorities. A new multipolar order is taking shape that reflects an unstoppable shift in power to authoritarian regimes that support traditional values.
  • Given the state of affairs in Western countries, the pair contend, it's only natural that they seek to contain Russia and to install pro-Western regimes in former Soviet republics. The West’s ultimate goal of a colour revolution in Russia itself would lead to the country’s conclusive collapse.
  • Washington sees unfinished business in Russia’s persistence and success, according to Mr Putin’s entourage. As America’s power wanes, its methods are becoming more aggressive. This is why the West cannot be trusted
  • The best way to ensure the safety of Russia’s existing political regime and to advance its national interests is to keep America off balance.
  • Seen this way, Ukraine is the central battleground of the struggle. The stakes could not be higher. Should Moscow allow that country to be fully absorbed into a western sphere of influence, Russia’s endurance as a great power will itself be under threat
  • The fact that the new elite in Kyiv glorifies the Ukrainian nationalists of the 20th century and thumb their noses at Moscow is a huge personal affront.
  • Messrs Patrushev, Bortnikov and Naryshkin all find themselves on the US Treasury’s blacklist already, along with many other members of Mr Putin’s inner circle. There is no way back for them to the West’s creature comforts. They are destined to end their lives in Fortress Russia, with their assets and their relatives alongside them.
  • As for sanctions by sector, including those that President Joe Biden’s team plans to impose should Russia invade Ukraine, these may end up largely strengthening the hard men’s grip on the national economy
  • Import substitution efforts have generated large flows of budget funds that are controlled by the coterie and their proxies, including through Rostec. The massive state conglomerate is run by a friend of Mr Putin’s from his KGB days in East Germany, Sergey Chemezov
  • In a similar vein, a ban on food imports from countries that have sanctioned Russia has led to spectacular growth in Russian agribusiness. The sector is overseen by Mr Patrushev’s elder son Dmitry, who is Mr Putin’s agriculture minister.
  • further sanctions wouldn’t just fail to hurt Mr Putin’s war cabinet, they would secure its members' place as the top beneficiaries of Russia’s deepening economic autarky.
  • The same logic is true of domestic politics: as the country descends into a near-permanent state of siege, the security services will be the most important pillar of the regime. That further cements the hard men’s grip on the country
  • Russia’s interests are increasingly becoming conflated with the personal interests of the people at the very top of the system.
woodlu

The economic consequences of the war in Ukraine | The Economist - 1 views

  • The immediate global implications will be higher inflation, lower growth and some disruption to financial markets as deeper sanctions take hold.
  • Sanctions after the invasion of Crimea did not prevent BP, ExxonMobil or Shell from investing in Russia, while American penalties on Rusal, a Russian metals firm, in 2018 were short-lived.
  • Russia is one of the world’s largest oil producers and a key supplier of industrial metals such as nickel, aluminium and palladium.
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  • Russia and Ukraine are major wheat exporters, while Russia and Belarus (a Russian proxy) are big in potash, an input into fertilisers.
  • the price of Brent oil breached $100 per barrel on the morning of February 24th and European gas prices rose by 30%.
  • Their delivery might be disrupted if physical infrastructure such as pipelines or Black Sea ports are destroyed. Alternatively, deeper sanctions on Russia’s commodity complex could prevent Western customers from buying from it.
  • The longer-term fallout will be a further debilitation of the system of globalised supply chains and integrated financial markets that has dominated the world economy since the Soviet Union collapsed in 1991.
  • Russia may retaliate by deliberately creating bottlenecks that raise prices. America may lean on Saudi Arabia to increase oil production and prod its domestic shale firms to ramp up output.
  • America is thus likely to put much tougher Huawei-style sanctions on Russian tech firms, limiting their access to cutting-edge semiconductors and software, and also blacklist Russia’s largest two banks, Sberbank and VTB, or seek to cut Russia off from the SWIFT messaging system that is used for cross-border bank transfers.
  • The tech measures will act as a drag on Russia’s growth over time and annoy its consumers.
  • The banking restrictions will bite immediately, causing a funding crunch and impeding financial flows in and out of the country.
  • Russia will turn to China for its financial needs. Already trade between the two countries has been insulated from Western sanctions, with only 33% of payments from China to Russia now taking place in dollars, down from 97% in 2014.
  • What does all this mean for the global economy? Russia faces a serious but not fatal economic shock as its financial system is isolated. For the global economy the prospect is of higher inflation as natural-resource prices rise, intensifying the dilemma that central banks face, and a possible muting of corporate investment as jittery markets dampen confidence.
Javier E

What Progressives Get Wrong About the Gilded Age - Bloomberg - 0 views

  • America’s plutocrats are transforming themselves into hereditary dynasties, thanks to a prolonged campaign against inheritance taxes (or “death taxes” as they have been ingeniously dubbed).
  • The research firm Cerulli estimates that almost half of the estimated $72.6 trillion that will be transferred to the next generation between 2020 and 2045 will come from the richest 1.5% of households. Welcome to the world of trillion-dollar trust fund babies.
  • The rise of such dynasties clashes with America’s fundamental belief in equal opportunity and upward mobility. It leads to social closure as the children of the privileged hoard positions at the top of society.
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  • It produces economic distortions as high IQ types get jobs as “money butlers.” (Chuck Collins, the author of “The Wealth Hoarders,” estimates that at least 90,000 people are employed in what he calls the “wealth defense industry.”)
  • Today the educated are losing their faith in upward mobility.
Javier E

Ukraine War and U.S. Politics Complicate Climate Change Fight - The New York Times - 0 views

  • Energy experts said that Mr. Biden missed an opportunity to connect the war in Ukraine to the need to more swiftly sever an economic reliance on fossil fuels. “The president did not articulate the long-term opportunity for the U.S. to lead the world in breaking free of the geopolitical nightmare that is oil dependency,” said Paul Bledsoe, a strategic adviser to the Progressive Policy Institute, a Washington-based think tank.
  • In exposing the enormous leverage that Russia has enjoyed with its energy exports, the Ukraine conflict is forcing European leaders to make some urgent choices: Should it build new fossil fuel infrastructure so that it can replace Russian fuel with liquefied natural gas from elsewhere, chiefly the United States? Or should it shift away from fossil fuels faster?
  • A draft of the report, reviewed by The New York Times, suggests that the new strategy will propose speeding up energy efficiency measures and renewable energy installations. It views imports of liquefied natural gas, or L.N.G., from the United States and elsewhere as a short term measure to offset Russian piped gas.
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  • Analysts have said European countries can quickly reduce gas dependence with energy efficiency measures and ramping up renewable energy investments, which are already in line with Europe’s ambition to stop pumping additional greenhouse gases into the atmosphere by midcentury
  • The conflict in Ukraine could fast-track some of that. It could also lead to what Lisa Fischer, who follows energy policy at E3G, a research group, called “a tectonic shift” — using renewables, rather than ample gas storage, to achieve energy security.
  • The President’s centerpiece legislative agenda, which he had called the Build Back Better act, is dead. Democrats still hope to pass approximately $500 billion of clean energy tax incentives that had been part of the package, but opportunities to do so are waning
  • The United States, for its part, has ramped up exports of L.N.G. to Europe to counter the decline in Russian piped gas. By the end of this year, the United States is poised to have the world’s largest L.N.G. export capacity.
  • White House officials said Mr. Biden wove climate change and clean energy throughout his speech. He noted that Ford and GM are investing billions of dollars to build electric vehicles, creating millions of manufacturing jobs in the United States. He also noted that funding from the infrastructure package will build a national network of 500,000 electric vehicle charging stations.
  • “Energy is a key weapon within this fight, and if there were far less dependency on gas there would be a different set of plays.”
  • If that investment does not come through and the Supreme Court also restricts the administration’s ability to regulate emission, Mr. Biden’s goal of cutting United States emissions roughly in half compared with 2005 levels could be essentially unattainable.
  • Even if climate wasn’t the stated focus of Mr. Biden’s Tuesday address, administration officials said that Russia’s war against Ukraine has not pushed climate change off the agenda. They noted that Mr. Biden has made climate change an emphasis in virtually every federal agency, and has moved ahead with major clean energy deployments including a record-breaking offshore wind auction last week that brought in more than $4 billion.
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