Category Archives: Governance

Headlines again, with anxieties and ironies


First up, one of the world’s smallest nations takes on nine heavy hitters: The U.S., Russia, Britain, France, China, Israel, India, Pakistan and North Korea. Via the Japan Times:

Tiny Marshall Islands sues nine nuclear-armed powers

The tiny Pacific nation of the Marshall Islands is taking on the United States and the world’s eight other nuclear-armed nations with an unprecedented lawsuit demanding that they meet their obligations toward disarmament and accusing them of “flagrant violations” of international law.

The island group that was used for dozens of U.S. nuclear tests after World War II was filing suit Thursday against each of the nine countries in the International Court of Justice in The Hague, Netherlands. It also was filing a federal lawsuit against the United States in San Francisco, naming President Barack Obama, the departments and secretaries of defense and energy and the National Nuclear Security Administration.

The Marshall Islands claims the nine countries are modernizing their nuclear arsenals instead of negotiating disarmament, and it estimates that they will spend $1 trillion on those arsenals over the next decade.

From CNN Investigations, a national shame, and another neoliberal triumph:

A fatal wait: Veterans languish and die on a VA hospital’s secret list

At least 40 U.S. veterans died waiting for appointments at the Phoenix Veterans Affairs Health Care system, many of whom were placed on a secret waiting list.

The secret list was part of an elaborate scheme designed by Veterans Affairs managers in Phoenix who were trying to hide that 1,400 to 1,600 sick veterans were forced to wait months to see a doctor, according to a recently retired top VA doctor and several high-level sources.

For six months, CNN has been reporting on extended delays in health care appointments suffered by veterans across the country and who died while waiting for appointments and care. But the new revelations about the Phoenix VA are perhaps the most disturbing and striking to come to light thus far.

Internal e-mails obtained by CNN show that top management at the VA hospital in Arizona knew about the practice and even defended it.

Salon covers another national shame:

Massive new fraud coverup: How banks are pillaging homes — while the government watches

  • When financial crimes go unpunished, the root problem of fraud never gets fixed — and these are the consequences

From Boing Boing, another imminent national shame from the administration of Hope™ and Change™:

FCC planning new Internet rules that will gut Net Neutrality. Get ready to pay more for the stuff you love online.

The Wall Street Journal was first to report that The Federal Communications Commission will propose new open Internet rules this Thursday that will allow content companies to pay Internet service providers “for special access to consumers.”

Under the new rules, service providers may not block or discriminate against specific websites, but they can charge certain sites or services for preferential traffic treatment if the ISPs’ discrimination is “commercially reasonable.”

Bye-bye, Net Neutrality, and the internet as we know it. Hello, greater connectivity gap between rich and poor in America.

The covers another neoliberal triumph:Associated Press:

Postal workers unions protest Staples program

Postal workers around the country protested in front of Staples stores on Thursday, objecting to the U.S. Postal Service’s pilot program to open counters in stores, staffed with retail employees.

Rallies were planned at 50 locations in 27 states. In New York, about 100 workers marched from the main office on 8th Avenue to a Staples store about five blocks away, carrying signs and chanting, “Hey, hey, ho, ho, Staples deal has got to go.”

In Washington, D.C., more than 200 people gathered at a Staples, drumming on buckets and holding signs that read: “Stop Staples. The US Mail is Not for Sale.”

Bloomberg casts doubt:

Is the U.S. Shale Boom Going Bust?

It’s not surprising that a survey of energy professionals attending the 2014 North American Prospect Expo overwhelmingly identified “U.S. energy independence” as the trend most likely to gain momentum this year. Like any number of politicians and pundits, these experts are riding high on the shale boom — that catch-all colloquialism for the rise of hydraulic fracturing and horizontal drilling that have unleashed a torrent of hydrocarbons from previously inaccessible layers of rock.

But this optimism belies an increasingly important question: How long will it all last?

Among drilling critics and the press, contentious talk of a “shale bubble” and the threat of a sudden collapse of America’s oil and gas boom have been percolating for some time. While the most dire of these warnings are probably overstated, a host of geological and economic realities increasingly suggest that the party might not last as long as most Americans think.

And from Los Angeles Times, signs of a bubble deflating?:

Homes selling slower in Southern California. A sign of stability?

The share of houses that have been listed for sale for at least two months climbed in the Los Angeles, Orange County, Inland Empire and Ventura regions of Southern California compared with a year ago, according to an analysis by real estate website Trulia.

Thanks to perennially tight supply, Southern California housing markets are still pretty “fast” by historic standards, notes Trulia chief economist Jed Kolko. More than half of all homes in Los Angeles and Orange Counties sold in less than two months — among the 10 highest rates in the country.

But compared with last year, when prices were significantly lower and the supply of homes for sale was even tighter, the market has slowed a bit. The share of homes on the market for two months in Los Angeles climbed to 44% from 40 a year ago, to 45% from 38% in Orange County and to 53% from 49% in Riverside-San Bernardino. By comparison, that share fell in the Bay Area, Denver and Seattle.

The Guardian nags:

Big riders mean bigger horses on US’s western trails

  • Ranches are turning to draft horses – the ‘diesels’ of the horse world – to accommodate flood of overweight tourists

Wranglers in the US west who have for decades cashed in on the allure of getting on a horse and setting out on an open trail say they have had to add bigger horses to their stables to help carry larger tourists over the rugged terrain.

The ranches say they are using draft horses, the diesels of the horse world, in ever greater numbers to make sure they don’t lose out on income from potential customers of any size who come out to get closer to the west of yesteryear.

“Even though a person might be overweight, or, you know, heavier than the average American, it’s kind of nice we can provide a situation where they can ride with their family,” said wrangler T James “Doc” Humphrey.

And from the New York Times, a deal with the devil:

F.B.I. Informant Is Tied to Cyberattacks Abroad

An informant working for the F.B.I. coordinated a 2012 campaign of hundreds of cyberattacks on foreign websites, including some operated by the governments of Iran, Syria, Brazil and Pakistan, according to documents and interviews with people involved in the attacks.

Exploiting a vulnerability in a popular web hosting software, the informant directed at least one hacker to extract vast amounts of data — from bank records to login information — from the government servers of a number of countries and upload it to a server monitored by the F.B.I., according to court statements.

The details of the 2012 episode have, until now, been kept largely a secret in closed sessions of a federal court in New York and heavily redacted documents. While the documents do not indicate whether the F.B.I. directly ordered the attacks, they suggest that the government may have used hackers to gather intelligence overseas even as investigators were trying to dismantle hacking groups like Anonymous and send computer activists away for lengthy prison terms.

The Los Angeles Times covers cops gone bad:

Ex-deputies charged in planted-guns case

Two former Los Angeles County sheriff’s deputies are accused of cutting off electricity and security cameras in order to plant weapons and arrest two men at a medical marijuana dispensary.

Two former Los Angeles County sheriff’s deputies have been charged with planting guns at a medical marijuana dispensary to arrest two men, one of whom prosecutors said was sentenced to a year in jail before the bad evidence was discovered.

Julio Cesar Martinez, 39, and Anthony Manuel Paez, 32, face two felony counts of conspiracy to obstruct justice and altering evidence, the Los Angeles County district attorney’s office announced Wednesday. Martinez was charged with two additional felony counts of perjury and one count of filing a false report.

If convicted of the charges, the former deputies face more than seven years in prison.

While the London Daily Mail covers the Case of the Homicidal Snitch:

How KKK ‘Jewish center shooter’ entered the witness protection program after he was caught having sex with a black male prostitute dressed as a woman

  • Frazier Glenn Cross was arrested on April 14 for shooting three at Kansas City Jewish centers
  • Previously worked as a government informant after he was arrested under his original name, Frazier Glenn Miller
  • Had a history of arrests- including one following a tryst with a black male prostitute posing as a woman- that led to his 1987 capture
  • Was released and given a new identity as part of his 1990 informant deal

And from the Washington Post, a high-flier brought low:

Navy reassigns ex-Blue Angels commander after complaint he allowed sexual harassment

The Navy has reassigned a former commander of the Blue Angels, its acrobatic fighter squadron, and is investigating allegations that the elite team of pilots was a hotbed of hazing, sexual harassment and other forms of discrimination, documents show.

The Navy announced Friday that it had relieved Capt. Gregory McWherter, a two-time commander of the Blue Angels, of duty for alleged misconduct. At the time, the Navy did not describe the nature of the accusations or provide other details except to say that the case remained under investigation.

From Eyes on Trade, Barry O continues the sell-out:

As Obama Visits TPP Countries, New Obama Administration Report Targets Their Public Interest Policies as “Trade Barriers” to be Eliminated

As President Obama leaves on his Asia tour today to try to paper over the deep divisions that have bewitched the Trans-Pacific Partnership (TPP) negotiations, he will likely refrain from reiterating the criticisms his administration recently levied against the sensitive domestic policies of the TPP governments he will be visiting.

The 2014 National Trade Estimate Report, published earlier this month by the Office of the U.S. Trade Representative (USTR), targets financial, privacy, health, and other public interest policies of each TPP nation as “trade barriers” that the U.S. government seeks to eliminate. The report offers unusual insight into why negotiations over the sweeping, 12-nation deal are contentious and have repeatedly missed deadlines for completion.

And a helpful reminder, via ExposeTheTPP:

BLOG TPP

Gawker covers a sensible but long-belated move:

Brooklyn DA to Stop Prosecuting for Low-Level Pot Arrests

The Brooklyn district attorney’s office will stop prosecuting low-level marijuana arrests, according to a confidential memo obtained by the New York Times.

The district attorney, Kenneth P. Thompson sent the policy proposal to the New York Police Department earlier this month.

The memo states that charges against anyone arrested with a small amount of marijuana who lacks a prior conviction will be “immediately dismissed,” and “the police will be directed to destroy the defendant’s fingerprints.” Some 8,500 people were processed last year in Brooklyn on low-level drug charges.

From the National Post, a story that raises so many questions north of the border and raises the prospect of another drinking buddy for Toronto’s mayor::

‘Intoxicated’ 18-year-old girl reportedly rushed to hospital from Prime Minister Harper’s residence

  • 24 Sussex medical call won’t be investigated by RCMP

The RCMP have confirmed that Ottawa EMS was called to the Prime Minister’s residence at 24 Sussex Drive last Saturday night as media reports said an 18-year-old girl needed to be taken to hospital for severe intoxication.

RCMP would not confirm who the call was for, only that it was not Stephen Harper or one of his family members.

On to Europe with some rare good news for workers from the Portugal News:

EU workers to enjoy fully portable pension rights when moving abroad

EU workers moving to a different EU country will be able to take their full pension rights with them following a draft law passed by the European Parliament last week. It still needs to be formally approved by the Council of Ministers.

“The text represents a genuine improvement for many workers. It is a big step forwards for the free movement of workers and a boost for a social Europe”, said Dutch MEP Ria Oomen-Ruijten, adding that “a good pension is a necessity, now that Europeans can expect to live much longer.”

Current EU rules ensure that workers moving to another EU country do not lose their statutory pension rights, i.e. those provided by the state.

However, no such EU-wide rules exist for supplementary pension schemes, financed or co-financed by employers. So people who move between member states risk losing entitlements built up over a period that is not deemed long enough by the state to which they move.

From intelNews.org, the second oldest profession with familiar adversaries:

Russian espionage in Germany rising sharply, says Berlin

Russian espionage activity in Germany has reached levels not seen since the days of the Cold War, according to senior counterintelligence officials in Berlin.

An article published in weekly newspaper Die Welt am Sonntag on Sunday said Russian intelligence-gathering activities in the German capital center on infiltrating German political institutions and corporations. The Berlin-based publication said Russian spies typically seek to gain “intimate knowledge” of German energy policy as well as corporate practices.

Another area of interest for Russian intelligence concerns Germany’s activities in the European Union and the North Atlantic Treaty Organization. Citing Hans-Georg Maassen, Director of the Office for the Protection of the Constitution (BfV —Germany’s primary counterintelligence agency), Die Welt said that no foreign intelligence service is more active on German soil than Russia’s SVR —one of the KGB’s successor agencies. Most Russian intelligence officers “pose as embassy workers”, said the paper, adding that the BfV believes up to a third of all Russian diplomats stationed at the German capital have a “background in intelligence gathering”.

On to France and more familiar adversaries from TheLocal.fr:

Neo-Nazi Hitler party shocks French village

The mayor of a small village in eastern France was forced to explain this week how he ended up giving the green light for a neo-Nazi party commemorating the 125th anniversiary of Hitler’s birth. The mayor said he presumed it was just going to be an ordinary birthday party.

When André Sherrer, the mayor of the tiny village of Oltingue, in the Alsace region of Eastern France, gave the go-ahead for a function in a municipal building he had no idea the outrage it would provoke.

Sherrer, who is in charge of the village of 700 residents thought he was renting the room out for an ordinary birthday party but little did he know that 150 to 200 neo-Nazis would be turning up to commemorate the 125th anniversary of Hitler’s birth on April 20th 1889.

And from France 24, when all else fails, play up flesh:

Ségolène Royal denies banning cleavage at French ministry

Ségolène Royal, French President François Hollande’s former partner and the mother of his four children, has denied claims she ordered female staff at the Environment Ministry to “dress appropriately” and avoid revealing tops.

The report, published by French weekly Le Point on Thursday, claimed Royal, who joined Hollande’s Socialist government following a cabinet reshuffle earlier this month, had also banned smoking in the ministry’s courtyard and gardens in her presence.

Denying the “ridiculous rumours” on her Twitter account, Royal said the only instruction she had given colleagues was to be sparing in their use of public funds.

From TheLocal.ch, a Swiss challenge to the financializers:

Vote set for ban on food trading ‘speculation’

The Swiss will vote on a proposal to ban speculation on agricultural commodities and food, the government said on Wednesday, announcing that organizers had gathered enough signatures to put the issue to a referendum.

The Swiss Socialist Party’s youth wing gathered nearly 116,000 valid signatures — well beyond the 100,000 needed to organize a popular vote in Switzerland, one of the world’s main trading hubs for commodities.

The initiative, entitled “No speculation in food commodities”, will likely come up for a vote within the next two or three years, giving voters the possibility to put a stop to all trading in financial instruments linked to agricultural products.

From thinkSPAIN, voices against austerity:

Doctors from Médicos del Mundo collect 43,000 signatures calling for ‘free healthcare for all’

DOCTORS working for a worldwide charity have raised a petition of 43,000 signatures in protest over the healthcare reform proposed by minister Ana Mato.

Médicos del Mundo (‘world doctors’) say the restrictions are ‘unjust and cruel’ and that ‘two years of reforms’ had ‘put more human lives at risk’ by ‘targeting those who are the most vulnerable’.

The charity says it has seen literally hundreds of immigrants without residence cards being denied medical care, and Spanish families with low incomes struggling to pay for treatment they need, ‘endangering their lives and health’.

Opprobrium for Madrid from The Guardian:

Spain restricting people’s right to protest, Amnesty report finds

  • Report paints picture of heavy-handed government response to country’s growing social movements

The Spanish government is using fines, harassment and excessive police force to limit the right to protest, Amnesty International warned in a new report released on Thursday.

Against a backdrop of chronic unemployment and shrinking public funds for education, health and social services, a growing number of Spaniards have taken to the streets in recent years. But “instead of listening to their demands, instead of starting a dialogue, authorities are doing everything they can to impede people from protesting”, said the report’s author, Virginia Álvarez.

Amnesty International tracked several protests in Madrid and Barcelona during the past year, gathering first-person accounts, interviewing journalists and lawyers and analysing videos and photographs.

And from TheLocal.es, allegations of book-cooking:

Spain ‘fiddles numbers’ to shave jobless rate

Spain has managed to push down its unemployment rate to 25.77 percent — by adjusting the formulas used to establish the country’s jobless rate to include the latest census data.

Spain’s official unemployment rate fell from 26.03 percent to 25.77 percent in one fell swoop on Thursday.

The sudden drop came after the national statistics institute (INE) revised its formulas to include data from the 2011 national census.

Spain’s official unemployment rate is based on a survey of 65,000 households across the country, known as the EPA, or Active Population Survey.

On to Italy and more hard times intolerance from EUobserver:

Italian right calls for end to migrant rescue programme

Italian right-wing politicians have called for the country’s programme to rescue North African refugees from the Mediterranean sea to be scrapped after figures suggested that 1,100 immigrants had been rescued in the past two days.

The figures are the highest since Italy launched a naval operation known as “Mare Nostrum” (Our Sea) last October to rescue would-be migrants at sea in the wake of two shipwrecks off the Sicilian island of Lampedusa which killed more than 600 people.

Since its creation, Mare Nostrum has rescued more than 20,000 people from the Mediterranean at an estimated cost of €9 million a month, according to Italian media reports.

From EUobserver, currency losing currency:

Anti-euro talk spreads in Italy

Rome – In the 1990s, qualifying against the odds for eurozone membership was a matter of pride for most Italians. Now leaving the euro – once a political taboo – is routinely discussed by the media, as the campaign for next month’s European Parliament elections gets into full swing.

Polls suggest that eurosceptics may win as much as 50 percent of the votes, if support levels for Grillo’s Five Star Movement (M5S) and Berlusconi’s Forza Italia are totted up with those for smaller right-wing parties such as the Northern League and Brothers of Italy.

“There is more talk about Europe, but it is being talked about in bad terms,” Franco Frattini, a former EU commissioner and ex-Italian foreign minister, lamented at a public event in Rome on 16 April.

From TheLocal.it, feeling cross, or when symbolism turns lethal:

Italian man crushed to death by giant crucifix

An Italian man was crushed to death on Wednesday by a giant crucifix honouring John Paul II that collapsed during a ceremony ahead of the late pope’s canonization.

A piece of the 30-metre high wooden cross fell during the event near an Alpine village, killing the young man on the spot, Italian media reported.

The Jesus Christ statue on the cross is six metres high and weighs 600 kilogrammes and the crucifix was curved and fixed to the ground with cables, the reports said. The victim’s age was given at 20 or 21 years old.

And for our final Italian item, a symbolic step from ANSA:

Napolitano signs tax-cut decree

  • Includes ban on hiring for late-paying local administrations

Italian President Giorgio Napolitano on Thursday signed the government’s decree bringing in 10 billion euros of tax cuts for low earners, ANSA sources said. Napolitano met Economy Minister Pier Carlo Padoan earlier on Thursday for clarification about aspects of the legislation.

Opposition parties have expressed doubts about the financing of the cuts.

Premier Matteo Renzi, on the other hand, said Wednesday that the cuts were the start of a “revolution in the relationship between citizens and the State”.

After the jump, the latest from Greece [including bailout news and rising discontent], a Putinesque pronouncement, pot rules in Montevideo, the latest Asian zonal games, religious resurgence in China, and the curious case of the the not-so-green geothermal Icelandic woes. . . Continue reading

Radiation leak report reveals serious problems


Valentine’s Day was anything but happy for workers at the at the Department of Energy’s New Mexico Waste Isolation Pilot Plant [WIPP] near Carlsbad Caverns. At 11;14 p.m., alarms shrieked warning of a radiation release from an exhaust vent moving air out of the underground storage facility.

Part of the waste stored in the interim facility [no permanent repository has yet been approved as each site, in turn, proved vulnerable to leaks] hailed from the nearby Lawrence Livermore National Laboratory, where UC scientists work with others to build next generation nuclear weaponry.

From the 18 October 2004 [PDF] edition of TRU Teamworks, the WIPP newsletter for employees:

In a true California-style send-off, the first shipment of TRU [transuranic — esnl] waste from Lawrence Livermore National Laboratory [LLNL] left the Golden State October 19 I n a downpour. The shipment and its payload of forty-two 55-gallon drums began the 1,400-mile trip to WIPP with a forecast of favorable weather and road conditions ahead.

More shipments were to follow.

And today the DOE released a major investigative report on the St. Valentine’s Day leak.

Here’s the press release:

Today, the Department of Energy’s Office of Environmental Management (EM) released the initial accident investigation report related to the Feb. 14 radiological release at the Waste Isolation Pilot Plant (WIPP) near Carlsbad, New Mexico.

“The Accident Investigation Board reviewed procedures related to safety, maintenance, and emergency management to better understand the aboveground events surrounding the radiological incident,” said Matt Moury, EM Deputy Assistant Secretary, Safety, Security, and Quality Programs. “The Department believes this detailed report will lead WIPP recovery efforts as we work toward resuming disposal operations at the facility.”

The report is comprised of two phases. The document released today includes the initial investigation that focused on the release of radioactive material from the underground facility into the environment and related exposure to aboveground workers, as well as the actions taken by Nuclear Waste Partnership, the management and operations contractor at WIPP, and federal employees in response to the release. Once entry teams determine the source of the radiological event, the board will gather additional information and release a supplemental report that focuses on the direct cause of the release and worker protection measures in the underground.

“This report will serve as guidance for the recovery team moving forward,” said, Joe Franco, DOE’s Carlsbad Field Office Manager. “We understand the importance of these findings, and the community’s sense of urgency for WIPP to become operational in the future. We are fully committed to pursuing this objective.”

WIPP has already begun implementing corrective actions to address many of the issues raised in the report. These include enhanced work planning, nuclear safety controls, deploying experienced supplemental contractor and federal staff to assist, and implementing additional senior contractor and federal oversight. A formal corrective action process will also be implemented to ensure that all of the issues raised in the report are addressed.

The 302-page report is available online here [PDF].

In skimming the document we were struck by the following graphic, which offers a shocking look at the apparent negligence of site operators and the sad state of critical equipment. Click on the image to embiggen:

Microsoft Word - Final WIPP Rad Release Phase 1 04 22 2014 r2 (2

Headlines again, with global warning signs


Today’s entries cover everything from social media to troubling tensions in Asia.

We open with a tale of corporatized medicine from the Los Angeles Times:

UC OKs paying surgeon $10 million in whistleblower-retaliation case

The settlement ends a case brought by the ex-head of UCLA’s orthopedic surgery department, who says the medical school allowed doctors to take industry payments that may have compromised patient care.

The settlement reached Tuesday in Los Angeles County Superior Court came just before closing arguments were due to begin in a whistleblower-retaliation case brought by Dr. Robert Pedowitz, 54, a surgeon who was recruited to UCLA in 2009 to run the orthopedic surgery department.

In 2012, the surgeon sued UCLA, the UC regents, fellow surgeons and senior university officials, alleging they failed to act on his complaints about widespread conflicts of interest and later retaliated against him for speaking up.

From Reuters, a tale of not-so-rigorous regulation:

Special Report: For private deals, no one is watching the watchdogs

The Financial Industry Regulatory Authority, the industry’s self-regulating body, requires that broker-dealers conduct “a reasonable investigation” of a private placement before selling it for the issuer. That’s the due diligence. At a minimum, FINRA requires that for each new placement, the broker’s investigation entail a review of the issuer and its management; its business prospects; assets it holds or plans to acquire; the intended use of proceeds from the offering; and claims made in any offering documents.

Some brokers lack the resources to cover all of that, so they rely on reports supplied by third-party due diligence firms. The reports are paid for by the issuer of the private placement. Brokers are meant to use the reports to help them decide whether to market the placements. They don’t typically show the reports to clients.

The set-up constitutes what many see as a fundamental conflict of interest: Companies that raise money through private placements, such as Provident, are paying due diligence firms to review their deals so that broker-dealers will sell them. “They have to write these reports in such a manner that it’s gotta be acceptable” to the issuer, said Michael Miller, a due diligence officer at Sigma Financial, a broker-dealer in Ann Arbor, Michigan.

This isn’t the only instance of regulatees selecting their regulatory overseers. Developers seeking approval for their projects also select the folks who prepare their Environmental Impact Reports [EIRs]. During our coverage of tribal casinos in California we discovered that most of the projects we covered had EIRs prepared by one single company. Their reports always seemed to find that the casinos would have negligible impact. The same was true in communities like Berkeley, where successful developers generally used the same handful of consultants. . .

From BBC News, soaring profits from the intangible:

Facebook earnings surge on mobile advertising

Social networking giant Facebook reported profits of $642m (£383m) during the first quarter of 2014, beating analyst expectations.

The firm said surging mobile advertising helped push first quarter revenue 72% higher, to $2.5bn.

Mobile now makes up 59% of advertising revenue, from 30% a year ago.

BBC News again, this time with profits for a media makers whose products carry those Facebook ads:

Apple announces share buyback as earnings rise

Technology giant Apple reported profits of $10.2bn (£6.1bn) after selling 43.7 million iPhones during the three-month period ending 29 March.

Apple also announced plans to buy an additional $30bn of its stock back from shareholders and to increase its quarterly dividend by 8%.

It also said it would split its stock for the first time in nine years.

The moves are meant to appease investors as the firm reports slowing revenue growth.

From Jiji Press, hands across the Pacific struggle to engage in the neoliberal handshake:

Japan, U.S. to defer broad trade accord

Japan and the United States are now seen deferring a broad trade agreement until after a summit meeting set for Thursday due to differences over key issues, informed sources said Tuesday.

The two countries’ leaders are now expected to welcome progress so far made in bilateral trade talks under the multilateral Trans-Pacific Partnership framework and reaffirm their nations’ commitment to concluding the TPP negotiations, the sources said.

A stalemate over Japanese tariffs on U.S. pork continued during a working-level session in Tokyo on Tuesday.

On to Europe with this report of realism from From New Europe:

Majority of Germans think eurozone crisis not over

A new opinion poll shows that a majority of Germans believed the eurozone crisis is far from over, Germany’s Frankfurter Allgemeine Zeitung reported Wednesday.

According to a survey conducted by polling institute INSA, 81 percent of those asked said the European debt crisis was not yet over, while only 7 percent believed the crisis had ended.

The poll said many German citizens were concerned about developments in Greece. Only 34 percent of respondents saw the country on the right track. A further 39 percent said Greece was not making enough efforts to implement reforms.

The Portugal News covers lingering neoliberalism at work:

Austerity ‘certain’ to continue after troika – Socialist Party

  • The Portuguese Socialist Party said on Tuesday it was “certain” after a meeting with the troika (International Monetary Fund, European Central Bank and the European Commission) that austerity would continue in Portugal despite the financial assistance programme formally coming to an end shortly

And from Reuters, a billionaire and former chief executive gets a mere wrist-slap for profitable corruption:

Italy’s Berlusconi to start community service work next week

Former Italian Prime Minister Silvio Berlusconi said on Wednesday he would start doing community service with the elderly next week as part of a one-year tax fraud sentence.

A court ruled earlier this month that Berlusconi, one of Italy’s richest men, must spend four hours a week [emphasis added] in a Catholic old people’s home on the outskirts of Milan.

After completing the first six months, Berlusconi’s one-year sentence will automatically be reduced to 10 and a half months.

And from United Press International, Italian blackshirt nostalgia:

Mussolini’s birthplace in Italy to get a fascist museum

A museum dedicated to the history of fascism will be created in Predappio, Italy, the birthplace of dictator Benito Mussolini, Mayor Giorgio Frassineti announced.

A museum dedicated to the history of fascism will be created in Predappio, Italy, the birthplace of dictator Benito Mussolini, Mayor Giorgio Frassineti announced.

The northern Italian city, known for neo-fascist pilgrimages, already maintains the home in which Mussolini was born, as well as the mausoleum where he is buried. The museum will be located in the now-abandoned Casa del Fascio, built in the 1930s as part of an urban renewal program, to accommodate visitors and to glorify Mussolini.

On to Greece, in the first of three stories on the austerian numbers game, first from ANA-MPA:

Greek primary surplus totalled 3.4 billion euros in 2013?

  • Greece’s primary surplus totalled 3.4 billion euros in 2013 (excluding the financial support offered to banks), Alternate Finance Minister Christos Staikouras said on Wednesday.The primary surplus figure was based using Eurostat’s methodology, while the troika estimates this figure at 1.5 billion euros.

A contrary take from The Guardian:

Greece’s public finances are in a dire state, and cooking the books won’t help

  • Primary budget facts and details in the small print can no longer be hidden by creative accounting and a sleight of hand

It was dodgy accounting that got Greece into a mess in the first place. Now, more dodgy accounting is being used to dress up the dire state of the nation’s public finances.

When the government in Athens announced last week that it was running a surplus in its primary budget – a measure of financial health that strips out interest payments – it could only do so by recording more than €3bn (£2.5bn) in arrears owed to hospitals and the social security fund as assets. Without this creative accounting, there would have been a primary deficit.

And the third story, with Neos Kosmos covering one of the consequences:

Greece lines up tax cuts

  • Greece is set to ask its eurozone partners to gradually reduce corporation tax rates as part of a wider plan to generate growth in Greece

Greece is set to ask its eurozone partners when the Eurogroup meets on May 5 for permission to gradually reduce corporation tax rates as part of a wider plan to generate growth in Greece, Kathimerini understands.

Several government officials, including Finance Minister Yannis Stournaras and Development Minister Costis Hatzidakis met Tuesday to finalize a three-page proposal that will form the basis for a growth plan that will run from this year until 2020. Both coalition parties, New Democracy and PASOK, were represented at the meeting.

From EnetEnglish.gr, austerity’s fruit ripening:

Uninsured mother unable to afford medication loses her life

  • How many more patients must die from austerity, asks voluntary health clinic
  • Woman’s death proves once again that the government’s ‘policy of excluding our uninsured fellow citizens from healthcare means that human life is endangered and often lost’, says the Metropolitan Community Clinic in Elliniko, Athens

40-year-old uninsured single mother of two young children from the island of Mytilini died earlier this month from the effects of a stroke because she didn’t have the money to pay for her medication, the country’s leading voluntary health clinic said on Wednesday.

Raising the woman’s case, the Metropolitan Community Clinic at Elliniko, Athens, said the woman’s death proved once again that the government’s “policy of excluding our uninsured fellow citizens from healthcare means that human life is endangered and often lost”.

And from To Vima, more of that hard times intolerance:

ANTARSYA condemns fascist attack against election campaign offices

  • Attack took place on Easter Monday, on the anniversary of the military junta’s rise to power in 1967

Leftist party ANTARSYA has condemned a fascist attack against its election campaign offices in Athens, which took place on Monday the 21st of April, anniversary of the 1967 military dictatorship’s rise to power.

ANTARSYA’s municipal candidate Petros Konstantinou claimed to have personally received threatening telephone calls on Thursday evening, with the caller threatening “to show you what Golden Dawn can do”.

The attackers smashed the front door of the offices and ripped down anti-fascism posters that were in the building’s lobby. A trail of blood was discovered outside the offices on the 5th of floor, which the attackers unsuccessfully tried to break into.

On to the Ukraine and journalistic errata from Consortiumnews:

NYT Retracts Russian-Photo Scoop

  • Exclusive: After starting a propaganda stampede – with a lead story about photos of Russian troops purportedly in Ukraine – the New York Times admits the pictures really don’t prove much, and one photo was labeled as snapped in Russia when it was really taken in Ukraine, writes Robert Parry.

After the jump, more escalation and anxieties in Asia’s game of Thrones [with Uncle Sam jumping in], an almost-admirable death sentence, Asian environmental woes, the lLatest chapter of Fukushimapocalypse Now!, plus new developments in the world of Big Brothering and covert ops, plus the latest from the realm of cannabis and crime. . . Continue reading

Quote of the day: No more nuke power plants


From Terry Tamminen, former head of the California Environmental Protection Agnecy via NBC News:

Tell your electric utility: No new nuclear power plants

And no relicensing of existing ones either. Chernobyl and Fukushima have demonstrated that although nuclear accidents are rare, when they do occur, the cost and devastation is biblical (according to the U.N., $235 billion for the former and as much as twice that for the latter). Moreover, we’ll live with the toxic waste, even from the power plants that function normally, for generations with no viable way to neutralize or safely store it, meaning we’re risking the lives of our kids and grandkids for “cheap” power today.

German Chancellor Angela Merkel, who holds a doctorate in physical chemistry and therefore knows a thing or two about these matters, has persuaded her country to end its use of nuclear power completely. Instead, the German government has adopted an 80 percent renewable-energy target for 2050 (renewables already account for 25 percent of the national electricity mix), proving you can have a robust industrial and manufacturing economy based on clean energy sources.

Map of the day: Bay Area’s most polluted sites


Detail from a statewide map created by the California Environmental Protection Agency’s new CalEnviroScreen online mapping tool of the state’s most polluted regions. We have heightened the contrast to bring out detail:

BLOG Pollution detail

More on the tool from Tony Barboza of the Los Angeles Times:

The California Environmental Protection Agency has released a statewide list of census tracts most burdened by pollution, providing a first-of-its-kind ranking certain to pressure regulators to clean up neighborhoods with long-standing health risks.

Many of the worst pollution pockets identified and mapped by state officials are in the San Joaquin Valley, Los Angeles County and the Inland Empire. Their residents are largely low-income Latinos who have had little power to force improvements in their communities.

By providing the public with an objective accounting of conditions in areas as small as a few thousand residents, Cal/EPA has created a powerful tool to spur regulators to act in highly polluted neighborhoods, state officials and environmental activists say.

“It is a major breakthrough that will give us a better opportunity to direct or redirect precious resources to the communities that need it the most,” said state Sen. Kevin de León (D-Los Angeles).

Most sites in the San Francisco Bay Area are in the East Bay, including Richmond, one of the region’s region’s poorest cities and with a large minority population. We wrote extensively about two adjoining Richmond sites during our years at the Berkeley Daily Planet, Campus Bay and the University of California’s Richmond Field Station.

More than $2 billion in developments at both sites [including nearly 1,500 units of housing] were halted, a change in regulatory oversight mandated, and more intensive cleanups ordered, in part, we were told, because of our reporting. Even then, there were case of serious misconduct on the part of both private developers and the university. And since the newspaper folded, no journalists have been following events at either site.

Fukushima alarm: A former mayor lays it out


The earthquake-and-tsunami-created nuclear disaster at the TEPCO nuclear power station in Japan’s Fukushima prefecture continues long after the 11 March 2011.

In this video by Russia Today’s Sophie Shevardnadze interviews Katsutaka Idogawa, former mayor of Futuba in the hard-hit Fukushima Prefecture. It’s a sobering account, and a revelation of the depths of the continuing crisis.

From Russia Today:

Fukushima disaster: Tokyo hides truth as children die, become ill from radiation – ex-mayor

Program notes:

Nearly three years ago, Fukushima nuclear plant disaster forced thousands out of their homes. This also led to deaths of many more. Tokyo claims the effects are all but gone; however disturbing facts sometimes rise to the surface. To shed some light on the mystery of Fukushima Sophie Shevardnadze talks to former mayor Katsutaka Idogawa.

From the transcript:

http://rt.com/shows/sophieco/fukushima-disaster-radiation-children-740/

SS: You decided to evacuate people from Futaba as far as possible without consulting anybody – so you completely assumed responsibility?

KI: Our city always had an emergency plan in case of a fire or an accident at the plant. Every year, we had special drills in case there was a fire at the plant. I think it’s the central government and the Fukushima Prefecture authorities that bear the most responsibility for what happened. As mayor, it is my responsibility to take care of the people of Futaba. At that time, I had no time to get advice. I tried talking to the prefecture authorities but there was absolute chaos. It was impossible to get advice or hold a meeting. So I chose to act on my own, and I decided to start with evacuating the people as far from the radiation as possible.

SS: Your town is moving to a new location, to the neighboring city of Iwaki. Is it safe there? Do you see this as a new start for the people?

KI: I’d like to show you a table with radiation levels around Chernobyl. Radiation levels around Fukushima are four times higher than in Chernobyl, so I think it’s too early for people to come back to Fukushima Prefecture. Here you can see radiation levels in our region, Tohoku. This is ground zero, and the radiation radius is 50-100km, even 200km in fact. Fukushima Prefecture is at the very center. The city of Iwaki, where Futaba citizens moved, is also in Fukushima Prefecture. It is by no means safe, no matter what the government says. Exposing people to the current levels of radiation in Fukushima is a violation of human rights. It’s terrible.

SS: Evacuation advisories are being lifted for some cities in the Fukushima area, but you’re saying that the government is allowing this, despite the danger of radiation?

KI: Fukushima Prefecture has launched the Come Home campaign. In many cases, evacuees are forced to return. Here is a map of Fukushima Prefecture, with areas hit by radiation highlighted in yellow, and you can see that the color covers almost the entire map. Air contamination decreased a little, but soil contamination remains the same. And there are still about two million people living in the prefecture, who have all sorts of medical issues. The authorities claim this has nothing to do with the fallout. I demanded that the authorities substantiate their claim in writing but they ignored my request. There are some terrible things going on in Fukushima. I remember feeling so deeply for the victims of the Chernobyl tragedy that I could barely hold back the tears whenever I heard any reports on it. And now that a similar tragedy happened in Fukushima, the biggest problem is that there is no one to help us. They say it’s safe to go back. But we must not forget the lessons of Chernobyl. We must protect our children. I talked to local authorities in different places in Fukushima, but no one would listen to me. They believe what the government says, while in reality the radiation is still there. This is killing children. They die of heart conditions, asthma, leukemia, thyroiditis…Lots of kids are extremely exhausted after school; others are simply unable to attend PE classes. But the authorities still hide the truth from us, and I don’t know why. Don’t they have children of their own? It hurts so much to know they can’t protect our children.

SS: I understand that many children who have been evacuated are now living in the Fukushima district again; new schools have opened for these children, and you say they are facing radiation there…Is anything being done to help the children affected by the nuclear fallout?

KI: Officially, both the central government and the prefecture authorities say there is no radiation. They’re not doing anything, and they’re not going to do anything. They say Fukushima Prefecture is safe, and that’s why nobody’s working to evacuate children, move them elsewhere. We’re not even allowed to discuss this.

Big Brother is watching you, really watching


From the Center for Investigative Reporting via Journeyman Pictures, a disturbing look atg police surveillance technology now deployed in the U.S.:

The Frightening New Technology Transforming State Surveillance

Program Notes:

State of Surveillance: Across the US, Hollywood-style surveillance technology is inching closer to reality. Sophisticated technologies enable access to more data than ever before raising questions about how the information is used.

For downloads and more information visit: http://www.journeyman.tv/?lid=67097 – private

“You can lie about your name, date of birth, address but tattoos, birthmarks, scars don’t lie”, says officer Rob Halverson. Mobile facial recognition technology allows him to capture a person’s face and confirm their identity within seconds. Wide-area surveillance is another technology revolutionising surveillance. Capturing images from a plane, it has the ability to play back the movement of cars and people as they scurry about the city. Meanwhile, the FBI is finalizing plans this year to make 130 million fingerprints digital and searchable. FBI’s Jeremy Wiltz is thrilled about the potential of solving cold cases: “I can’t wait till those success stories come out”. But many of the fingerprints belong to people who have simply submitted their prints for background checks while seeking jobs. Jennifer Lynch, a senior staff attorney at the Electronic Frontier Foundation, is suing the FBI for what she believes subverts basic democratic rights: “Those people whose face images come up suddenly have to prove their innocence rather than the government having to prove their guilt”.

Headlines of the day: Classes, deep politics, more


First, a stunning landmark is reached. From the New York Times:

The American Middle Class Is No Longer the World’s Richest

The American middle class, long the most affluent in the world, has lost that distinction.

While the wealthiest Americans are outpacing many of their global peers, a New York Times analysis shows that across the lower- and middle-income tiers, citizens of other advanced countries have received considerably larger raises over the last three decades.

After-tax middle-class incomes in Canada — substantially behind in 2000 — now appear to be higher than in the United States. The poor in much of Europe earn more than poor Americans.

On of the key mechanisms of the collapse of the middle class from Mother Jones:

How Taxpayers Subsidize the Multi-Million Dollar Salaries of Restaurant CEOs

  • Starbucks CEO Howard Schultz raked in $236 million in taxpayer-subsidized compensation over the past two years.

As the fight to raise the minimum wage has gained momentum, the restaurant industry has emerged as the biggest opponent. This is no surprise, since the industry claims the highest percentage of low-wage workers—60 percent—of any other business sector. Front-line fast-food workers earn so little money that about half of them rely on some form of public assistance, to the tune of about $7 billion a year. That hidden subsidy has helped boost restaurant industry profits to record highs. In 2013, the industry reaped $660 billion in profits, and it in turn channeled millions into backing efforts to block local governments from raising pay for low-wage workers and to keep the minimum wage for tipped workers at $2.13 an hour (exactly where it’s been for the past 22 years). But public assistance programs aren’t the only way taxpayers subsidize the restaurant industry.

A new report from the Institute for Policy Studies finds that the public has been contributing to excessive CEO compensation as well, helping to widen the gap between the lowest-paid workers and their bosses. Thanks to a loophole in the tax code, corporations are allowed to deduct unlimited amounts of money from their tax bills for executive compensation, so long as it comes in the form of stock options or “performance pay.” The loophole was the inadvertent result of an attempt by Congress to rein in CEO compensation by limiting the tax deduction for executive pay to $1 million a year. That law exempted pay that came in the form of stock options or performance pay. This loophole has proven lucrative for CEOs of all stripes, but it is particularly egregious in an industry that pays its workers so little that it is already heavily subsidized by taxpayers.

More from UC Berkeley’s Robert Reich:

Raising Taxes on Corporations that Pay Their CEOs Royally and Treat Their Workers Like Serfs

Until the 1980s, corporate CEOs were paid, on average, 30 times what their typical worker was paid. Since then, CEO pay has skyrocketed to 280 times the pay of a typical worker; in big companies, to 354 times.

Meanwhile, over the same thirty-year time span the median American worker has seen no pay increase at all, adjusted for inflation. Even though the pay of male workers continues to outpace that of females, the typical male worker between the ages of 25 and 44 peaked in 1973 and has been dropping ever since. Since 2000, wages of the median male worker across all age brackets has dropped 10 percent, after inflation.

This growing divergence between CEO pay and that of the typical American worker isn’t just wildly unfair. It’s also bad for the economy. It means most workers these days lack the purchasing power to buy what the economy is capable of producing — contributing to the slowest recovery on record. Meanwhile, CEOs and other top executives use their fortunes to fuel speculative booms followed by busts.

Renting wombs to fertilized eggs from abroad via Quartz:

Wealthy Chinese are turning to American surrogates to birth their children

The familiar image of international surrogacy until now has mainly involved Americans and Europeans crossing the world to find women to birth their children. Now, wealthy Chinese couples are seeking surrogates in the US. The practice—a new version of Chinese “birth tourism”—offers a solution to rising infertility in China, a way around Chinese population controls, and even the added bonus of US citizenship for babies born in the States.

For years, pregnant Chinese women have come to the US, mainly to the West Coast, to give birth to baby US citizens who can, at the age of 21, sponsor their parents for green cards. In a new wrinkle, some are instead paying American women to carry their children—a way of getting citizenship as well as dealing with the fact that more Chinese couples are facing trouble having children. (Other surrogacy destinations for wealthy Chinese include Thailand, India, and Ukraine, but the US is still the favorite.)

Salon finds brown noses:

Welcome to Plutocrat-geddon! Obama and Thomas Friedman flatter our new billionaire overlords

  • Forget inequality! Judging by the White House and the media, the real answer is sucking up to the wealthiest

Inequality is a burning topic among economists, especially since the release of Thomas Piketty’s recent book on the subject. Many are questioning whether this is a temporary period of runaway inequality, or whether we are on the verge of an irreversible collapse into extremes of wealth and poverty. (What would we call it? The Oligopolypse? Plutogeddon?)

But numbers alone don’t tell the full story. Culture, too, is adapting to this unequal world. We idealize the wealthy today in ways that would have been unthinkable decades ago.

With the children of today’s baby boomers scheduled to inherit $30 trillion in the next several decades, politicians and the press are hard at work flattering plutocrats of all ages by portraying them as paragons of wisdom.

Another assault on the potential middle class from the New York Times:

Student Loans Can Suddenly Come Due When Co-Signers Die, a Report Finds

For students who borrow on the private market to pay for school, the death of a parent can come with an unexpected, added blow, a federal watchdog warns. Even borrowers who have good payment records can face sudden demands for full, early repayment of those loans, and can be forced into default.

Most people who take out loans to pay for school have minimal income or credit history, so if they borrow from banks or other private lenders, they need co-signers — usually parents or other relatives. Borrowing from the federal government, the largest source of student loans, rarely requires a co-signer.

The problem, described in a report released Tuesday by the Consumer Financial Protection Bureau, arises from a little-noticed provision in private loan contracts: If the co-signer dies or files for bankruptcy, the loan holder can demand complete repayment, even if the borrower’s record is spotless. If the loan is not repaid, it is declared to be in default, doing damage to a borrower’s credit record that can take years to repair.

And a warning to labor from the London Daily Mail:

The future of factories? Swarm of super-fast robotic ‘ANTS’ powered by magnets can independently climb walls and even build

  • The army of robo-ants can move at around 13.7 inches (35cm) a second
  • This is equivalent to a human running at just under the speed of sound
  • Each ant can be individually controlled using magnets on a circuit board
  • Swarm has already built a tower 30cm (11.8 inches) high from carbon rods

Business Insider sounds the alarm:

DAVID EINHORN: ‘We Are Witnessing Our Second Tech Bubble In 15 Years’

Hedge-fund manager David Einhorn, who runs Greenlight Capital, says we’re seeing another tech bubble, CNBC reported, citing his fund’s quarterly investor letter.

“Now there is a clear consensus that we are witnessing our second tech bubble in 15 years. What is uncertain is how much further the bubble can expand, and what might pop it,” Einhorn wrote in the letter (PDF) posted online by @Levered_Hawkeye.

Clicking away your rights from the Christian Science Monitor:

General Mills drops arbitration clause, but such contracts are ‘pervasive’

Consumer advocates warn that clicking ‘I agree’ to online contracts can crimp buyers’ legal rights, if a contract requires arbitration and nixes class-action lawsuits. The practice is spreading, though General Mills encountered a backlash.

When consumers click “I agree” to online contracts, two things can happen: They may give up their right to pursue a class action lawsuit if something goes wrong, and they can seek damages only through arbitration, an out-of-court legal process that many experts say weighs against the harmed consumer.

From the Los Angeles Times. Another landmark:

Supreme Court upholds Michigan ban on affirmative action

The Supreme Court upheld Michigan’s ban on the use of racial affirmative action in its state universities Tuesday, ruling that voters are entitled to decide the issue.

The 6-2 decision clears away constitutional challenges to the state bans on affirmative action, which began in California in 1996.

Justice Anthony Kennedy, speaking for the majority, said the democratic process can decide such issues. “This case is not about how the debate about racial preferences should be resolved,” he said. “It is about who may resolve it. There is no authority in the Constitution of the United States or in this court’s precedents for the judiciary to set aside Michigan laws that commit this policy determination to the voters.”

Kochs go Latino, via Reuters:

Conservative Koch-backed group uses soft touch in recruiting U.S. Hispanics

The conservative advocacy groups backed by the billionaire brothers Charles and David Koch are known mostly for spending millions of dollars to pelt Democratic candidates with negative television ads.

But this year, one Koch-backed group is using a softer touch to try to win over part of the nation’s booming Hispanic population, which has overwhelmingly backed Democrats in recent elections. The group, known as The Libre Initiative, is sponsoring English classes, driver’s license workshops and other social programs to try to build relationships with Hispanic voters in cities from Arizona to Florida – even as the group targets Democratic lawmakers with hard-edged TV ads.

Taking a cue from liberal groups that have been active in Hispanic neighborhoods for decades, Libre says it aims to use these events to build support for small-government ideas in communities that typically support big-government ideals.

From NPR, a reminder from Mother Nature:

California’s Drought Ripples Through Businesses, Then To Schools

Nearly half of the country’s fruits, nuts and vegetables come from California, a state that is drying up. , the entire state is considered “abnormally dry,” and two-thirds of California is in “extreme” to “exceptional” drought conditions.

Earlier this year, many farmers in California found out that they would get no irrigation water from state or federal water projects. Recent rains have helped a little. On Friday, government officials said there was enough water to give a little more to some of the region’s farmers — 5 percent of the annual allocation, instead of the nothing they were getting.

>snip<

Economists say it’s too early to accurately predict the drought’s effect on jobs, but it’s likely as many as 20,000 will be lost.

That might not sound like a lot, but many of those workers are already living paycheck to paycheck in communities that depend on that work.

Via the National Drought Monitor, the current state of affairs in California, ranging from lightest [abnormally dry] to darkest [exceptional drought]:

BLOG Drought

After the jump, the latest from Europe [including spiking austerian suicides], Asia’s Game of Zones, an American Nazi whose work inspired a French film, spy games, and muich more. . . Continue reading

Chart of the day II: American oligarchical curve


From International Social Survey Programme data, complied by Larry Bartels of the Washington Post for an article headlined “U.S. is a World Leader in Class Conflict Over Government Spending”:

BLOG Oligarchy

April 20, 1914: The bloody Ludlow Massacre


The latter half of our childhood was spent in Colorado, where today marks the anniversary of the Ludlow Massacre, one of the bloodiest assaults on organized labor in American history, when company goons from John D. Rockefeller’s Colorado Fuel and Iron and troops from the National Guard opened fire on striking coal miners in Ludlow, killing two dozen in the tent camp erected by striking miners and their families.

Thirteen of the dead were children, most burned to death in the ensuing fires.

In this brief video, Anton Woronczuk of The Real News Network talks about the bloodshed with author Jeff Biggers and Colorado State University-Pueblo historian Jonathan Rees:

From The Real News Network:

Hundredth Anniversary of the Ludlow Massacre

From the transcript:

REES: Well, the Ludlow massacre was the culminating event of the Colorado coalfield war of 1913-1914. There’d been small-scale violence on both sides throughout Southern Colorado in the days and months leading up to April 20, but on April 20 there were some stray explosions, and as a result a gunfight broke out between the Colorado National Guard and the striking miners.

When that happened, a lot of the people fled the tent colony, but not all of them, and the Colorado National Guard set fire to the tent colony, trapping 11 children and two women in a pit under one of the tents. They suffocated. There were also a few murders of strike leaders who were trying to broker a peace.

But once the massacre was over, you got the infamous ten-day war, when the coal miners decided they would strike back against the people who had killed their colleagues and their women and children, and literally the miners managed to take over most of southern Colorado from everywhere just south of Denver all the way down to the New Mexico line. It’s really an extraordinary event in American labor history. The miners did very well in the days afterwards, inspired by the horrible violence of April 20.

WORONCZUK: And what impact did the Ludlow massacre, as well as the Colorado Cold War, have on the labor movement and labor laws in the country?

REES: I think of the Ludlow massacre as being something that draws an enormous attention to just how difficult the conditions that miners face are. But really it’s one of a series of very bad losses for the labor movement in the late 19th and early 20th century. You could take it back to the Great Railway Strike of 1877, continue on to Blair Mountain. And without those losses, without those sacrifices, I don’t think you would have had the labor reforms of the 1930s that are the bedrock of [incompr.] today.

Woody Guthrie remembers the Ludlow Massacre in this venerable ballad:

Woody Guthrie: The Ludlow Mssacre

More of those not-so-random headlines to mull


First up, how the New York Times covers the elite from Gawker:

Insanely Rich Reporter Covers White House Meeting of the Insanely Rich

There’s a lot to pore over in the New York Times Style section’s coverage of a conference for über-wealthy “next-generation” philanthropists that was recently held at the White House.

There’s the list of attendees, which includes the young progeny of such hallowed, moneyed families as Hilton, Rockefeller, and Pritzker. There’s the breathless, classically Style section-y way in which participants and organizers are described: eloquent, nimble, and commanding gravitas, wearing pinstripe suits and “scraggy Brooklyn-style facial hair.” There’s the reference to one 19-year-old attendee’s “swooping” Bieberesque bangs, despite the fact that Bieber hasn’t had that haircut in years.

Most of all, however, there’s this disclosure notice from the reporter, about halfway through the article:

Disclosure: Although the event was closed to the media, I was invited by the founders of Nexus, Jonah Wittkamper and Rachel Cohen Gerrol, to report on the conference as a member of the family that started the Johnson & Johnson pharmaceutical company.

At a conference for such refined people as these, not just any reporter will do. No, it must be a writer who intimately knows the struggles of the young and wealthy, and who can accurately transmit the ways in which they’re saving the planet to the unwashed Times-reading masses. It must be Jamie Johnson (net worth about $610 million, according to Business Insider in 2011), heir to the Johnson & Johnson company fortune.

And from the London Telegraph, that bastion of Toryism, gilding a turd:

Has the West fallen prey to crony capitalism?

  • There are certainly signs of a wealth gap – like the explosion of buy-to-let landlords in London – but that will inspire the strivers and innovators

From the Oakland Tribune, yet another gift from Proposition 13 [and here]:

Oakland auditor sounds pension alarm

Pension costs have more than doubled over the past decade, leaving Oakland with fewer police officers, more potholes and a growing threat of insolvency, City Auditor Courtney Ruby warned in a report released Sunday.

Oakland’s payments to the state pension system jumped from $37 million in 2003 to $89 million in 2012, the report found.

That $52 million gap is enough to pay the salaries of 300 police officers, according to city budget figures.

From the Los Angeles Times, the grift that keeps on giving:

Student debt holds back many would-be home buyers

Of the many factors holding back young home buyers — rising prices, tougher lending standards, a still-shaky job market — none looms larger than the recent explosion of college debt.

Of the many factors holding back young home buyers — rising prices, tougher lending standards, a still-shaky job market — none looms larger than the recent explosion of college debt.

The amount owed on student loans has tripled in a decade, to nearly $1.1 trillion, according to the Federal Reserve Bank of New York. People in their 20s and 30s — often the best-educated and highest-earning among them — owe most of that tab. That is keeping a crucial segment of home buyers on the sidelines, deferring one of the traditional markers of adult success.

The National Assn. of Realtors recently identified student debt as a key factor in soft demand for home-buying this spring. A recent study by the trade group identified student loans as the top reason many home buyers delayed their purchase. Many more didn’t buy at all.

Surveys show today’s adults value homeownership just as much as their parents did. But the shaky job market, higher debt loads, and the roller-coaster market of recent years is keeping many from pulling the trigger, said Selma Hepp, senior economist with the California Assn. of Realtors.

And the darker side of the picture from The Young Turks:

Students Loans Are HUGE Profit-Centers For The Government

Program notes:

“The U.S. Department of Education is forecast to generate $127 billion in profit over the next decade from lending to college students and their families, according to the Congressional Budget Office.

Beginning in the 2015-16 academic year, students and their families are forecast to pay more to borrow from the department than they did prior to last summer’s new student loan law, which set student loan interest rates based on the U.S. government’s costs to borrow. The higher costs for borrowers would arrive at least a year sooner than previously predicted.”* The Young Turks hosts Cenk Uygur and Ana Kasparian break it down.

And it’s not just in the U.S. From TheLocal.se:

Students to keep paying off debt beyond 67

The Swedish government has proposed scrapping the 25-year span for repaying student loans, by suggesting those who attend higher education should keep paying the money back well into retirement.

At present some 200,000 students have their student loan written off every year when they reach the age of 67. However, proposals in the government’s spring government bill are set to increase the financial burden on students.

Along with the idea of extending the debt into old age, the government are going to more than double the fee when students get a late payment reminder.

Next up, grief from Old Blighty as Tory Dubyafication of British education rouses ire, via The Independent:

Furious teacher brands Michael Gove a ‘demented Dalek on speed’ as NUT threaten more strikes

A furious teacher has branded Michael Gove a “demented Dalek on speed” during a series of scathing attacks against the Education Secretary at the teachers’ union conference.

Mr Gove was likened to the Doctor Who monster, known as the most hated adversary in all of time and space, as teachers threatened a major escalation of strike action at the National Union of Teachers (NUT) conference in Brighton on Saturday.

A member of the teachers’ union insisted that the Education Secretary was determined to “exterminate anything good in education that’s come along since the 1950s”.

And from Reuters, even Germany is finally realizing that financial crisis ain’t over:

ECB hardliner Weidmann comes in from the cold as deflation threatens

As recently as last November, Jens Weidmann steadfastly opposed any move by the European Central Bank to print money to buy assets and buoy the euro zone economy. No longer.

The Bundesbank chief, known for his hardline stances at the ECB and as head of the German central bank, is now ready to support such quantitative easing (QE) if he and his ECB colleagues deem it necessary. What has changed is that “the situation has changed”, according to one person familiar with the German’s thinking, speaking on condition of anonymity.

Euro zone inflation has slowed to 0.5 percent from 0.9 percent in November, falling far below the ECB’s target of just under 2 percent and stoking fears the bloc could become stuck in a prolonged period of so-called “low-flation”, or even sink into outright deflation.

After the jump, environmental nightmares, the Koch brothers declare war on solar, Japan and U.S. unions contract frack-o-mania, the Sino-Japanese cold war amps up, snoops on your shelves and in your thermostat, docs call for legal pot, drugged soldiers, and more. . . Continue reading

Charts of the day: Conclusive proof of oligarchy


From “Testing Theories of American Politics: Elites, Interest Groups, and Average Citizens” [PDF] by political scientists Martin Gilens of Princeton University and Benjamin I. Page of Northwestern University, convincing proof that oligarchs rule the legislative process in the U.S:

Predicted probability of policy adoption [dark lines, left axes] by policy disposition; the distribution of preferences [gray columns, right axes]

Microsoft Word - Gilens and Page 2014-Testing Theories 4-9-14.do

From Forbes: The United States of Marijuana


The number crunchers at the magazine for millionaires parse the numbers, coming to some interesting conclusions in this video report:

The United States of Marijuana

Program note:

As laws ease and public opinion leans towards legalization, Forbes looks inside the billion dollar industry of marijuana and the impact it can have on the economy.

Mark Fiore: United States of John Roberts


The Pulitzer-winning editorial cartoonist Mark Fiore tackles the latest debacle from the Supremes:

Random headlines again, for your consideration


We begin with one from United Press International, offering proof of what we all know:

The US is not a democracy but an oligarchy, study concludes

  • “The central point that emerges from our research is that economic elites and organized groups representing business interests have substantial independent impacts on US government policy, while mass-based interest groups and average citizens have little or no independent influence.”

Oligarchy is a form of government in which power is vested in a dominant class and a small group exercises control over the general population.

A new study from Princeton and Northwestern Universities concluded that the U.S. government represents not the interests of the majority of citizens but those of the rich and powerful.

“Testing Theories of American Politics: Elites, Interest Groups, and Average Citizens” analyzed extensive data, comparing nearly 1,800 U.S. policies enacted between 1981 and 2002 with the expressed preferences of average and affluent Americans as well as special interest groups.

UPDATE: Link fixed. Read it all here [PDF].

From The Guardian, Bubba’s bankster buddies:

Wall Street deregulation pushed by Clinton advisers, documents reveal

  • Previously restricted papers reveal attempts to rush president to support act, later blamed for deepening banking crisis

Wall Street deregulation, blamed for deepening the banking crisis, was aggressively pushed by advisers to Bill Clinton who have also been at the heart of current White House policy-making, according to newly disclosed documents from his presidential library.

The previously restricted papers reveal two separate attempts, in 1995 and 1997, to hurry Clinton into supporting a repeal of the Depression-era Glass Steagall Act and allow investment banks, insurers and retail banks to merge.

And from USA Today, high anxiety:

Nerves fray as anniversaries of April attacks arrive

As most Americans this week enjoy mid-April’s well-deserved warm weather, educators, law enforcement and civil rights groups are perhaps understandably a bit on edge with the approach of several dates that bring bad memories.

Saturday marks the anniversary of the 1995 terrorist bombing in Oklahoma City, as well as the 1993 FBI attack of the Branch Davidian compound near Waco, Texas, which killed cult leader David Koresh and 75 followers.

Oklahoma City bomber Timothy McVeigh called his attack payback for the deaths at Waco at the hands of the FBI, calling the siege “first blood.” The Oklahoma City bombing killed killed 168 people.

Six years later, Colorado teenager Eric Harris would boast in his journal that he planned to outdo McVeigh’s body count in an attack on Columbine High School in Littleton, Colo. The 15th anniversary of that attack falls on Sunday. Harris, along with Dylan Klebold, killed 13 in a siege that was actually a failed bombing, police say. The Columbine attacks took place on the 110th anniversary of Adolf Hitler’s birth.

From the London Daily Mail, justice American style:

Judge rules that Texas inmate still behind bars 34 years after his conviction was overturned is at fault because he NEVER asked for a new trial

  • Jerry Hartfield was sentenced to death row in 1976 but his conviction was overturned four years later
  • He has an IQ of 51 and maintains police used a false confession in his case
  • Judge ruled that his right to a speedy trial had not been violated, even though the state was negligent in failing to retry him

Another potential unemployment casualty in France from RFI:

President Hollande won’t run for re-election if unemployment remains high

French President François Hollande made a shock announcement on Friday during a lunch with employees of the Michelin company: if unemployment continues to plummet between now and 2017, he will have “no reason to be a candidate” for a second mandate.

Hollande said that employment, particularly for young people, was a priority for him. “We’re going to put all our energy into this issue because there’s no other challenge [this important],” said the president.

From El País, the Iron Chancellor reneges on a promise:

Germany cancels scheme designed to attract young jobless from abroad

  • Spaniards made up half of all applicants for The Job of My Life
  • The program offered funding for language studies and help finding work
  • “I thought the Germans were serious”

The German government has announced that it is closing its The Job of My Life program, set up at the beginning of last year to attract young people from some of Europe’s hardest-hit economies – such as Greece and Spain – to work in Germany.

The €400-million program, which was aimed at 18- to 35-year-olds, was initially scheduled to run until 2018. This year’s budget, €48 million, has already been spent. The aim was to provide financial aid to young people in their own countries while they learned German, help them with interviews and then assist with the move to Germany to look for work.

From United Press International, giving the boot on The Boot:

Venice secession vote underscores autonomist movements

“We are now experiencing a strong return of little nations, small and prosperous countries, able to interact with each other in the global world,” Paolo Bernardini, European history professor at Italy’s University of Insubria, commented.

A vote in Italy’s Veneto region, which includes the city of Venice, indicating widespread support for secession from Italy, underscores the rise of nationalism in the world.

Considering the recent referendum in Crimea, the legitimacy of which was questioned, and prior to a September referendum in Scotland, whose approval could mean independence from England as early as 2016, the Venice vote in March was more like a survey. Online and without official status, it nonetheless indicated 89 percent of two million voters approved of formally separating themselves from Italy.

A blow to partisan plutocrats from the New York Times:

China Signals a Change as it Investigates a Family’s Riches

A corruption inquiry targeting the retired Communist Party leader Zhou Yongkang and his family could challenge a tacit rule that has allowed elite clans to accumulate vast wealth.

DVICE eyeballs a spooky development:

Forget Glass, Google wants to put a camera on your eyeball

Google Glass has been getting a lot of time in the spotlight lately, but if the boffins from Mountain View have their way, that fancy Google Glass rig may soon look about as cutting edge as having a Motorola Razr phone attached to your hip.

A recently published patent shows that Google has been looking at ways to build a camera directly into a contact lens on the surface of your eye. That would certainly make it more discreet than the clunky looking Glass, perfect for when you don’t want people to know that you’re using it. But it also means that the camera will be able to follow the direction of your vision, opening new possibilities for how it could be used.

From the Miami Herald, a rare chance to look inside the black box:

Guantánamo judge to CIA: Disclose ‘black site’ details to USS Cole defense lawyers

The military judge in the USS Cole bombing case has ordered the CIA to give defense lawyers details — names, dates and places — of its secret overseas detention and interrogation of the man accused of planning the bombing, two people who have read the still-secret order said Thursday.

Army Col. James L. Pohl issued the five-page order Monday. It was sealed as document 120C on the war court website Thursday morning and, according to those who have read it, orders the agency to provide a chronology of the overseas odyssey of Abd al Rahim al Nashiri, 49, from his capture in Dubai in 2002 to his arrival at Guantánamo four years later.

The Usual Suspects, cashin’ in — via Wired:

High Tech

How Silicon Valley entrepreneurs are rushing to cash in on cannabis.

For the science and technology set, it’s a classic opportunity to disrupt an industry historically run by hippies and gangsters. And the entire tech-industrial complex is getting in on the action: investors, entrepreneurs, biotechnologists, scientists, industrial designers, electrical engineers, data analysts, software developers. Industry types with experience at Apple and Juniper and Silicon Valley Bank and Zynga and all manner of other companies are flocking to cannabis with the hopes of creating a breakout product for a burgeoning legitimate industry. Maybe it’s the Firefly. Maybe it’s something still being developed in someone’s living room. There’s a truism about the gold rush days of San Francisco: It wasn’t the miners who got rich; it was the people selling picks and shovels. As the legalization trend picks up steam, Silicon Valley thinks it can make a better shovel.

From the Los Angeles Times, stiffing Californians to collect on high out-of-state tuitions:

California students feel UC admission squeeze

  • Most campuses take a lesser number of state students even as more get in from elsewhere.

California high school seniors faced a tougher time winning a freshman spot at most of the UC campuses for the fall, with their chances at UCLA and UC Berkeley now fewer than one in five, according to a report released Friday.

Six of UC’s nine undergraduate campuses accepted a smaller number of California students than last year even though the number of applicants rose. Competition was fiercest at UCLA, where only 16.3% of state students were admitted, down from 17.4% last year, and at UC Berkeley, where 18.8% were accepted, compared with 21.4% last year.

Increased competition is part of a national trend this year at the most elite level of higher education. Even though the population of American high school graduates dropped a bit, students are applying to more colleges, and schools are recruiting more overseas, especially in Asia. In the most extreme example, Stanford University accepted only 5% of applicants; many other highly selective campuses reported record low rates.

From Al Jazeera America, nostalgic for blasts from the past:

Boom town: Atomic tourism blooms in a western desert

  • As nuclear age approaches eighth decade, visitors flock to historic bomb craters at New Mexico test sites

Standing a few yards from the spot where the world’s first atomic bomb detonated with a blast so powerful that it turned the desert sand to glass and shattered windows more than 100 miles away, tourist Chris Cashel explained what drew him here.

“You don’t get to go to very many places that changed the entire world in a single moment,” said Cashel as he glanced around the windswept, desolate Trinity Site in the New Mexico desert packed with tourists. “The world was never going to be the same after that.”

The military veteran was among thousands of visitors who piled into cars and buses to drive out to the secluded site about 35 miles southeast of Socorro, where Manhattan Project scientists split the atom shortly before dawn on July 16, 1945, ushering in the atomic age. The successful test of the nuclear “gadget” unleashed a blast equivalent to 19 kilotons of high explosive, and led to the devastation of the Japanese cities of Hiroshima and Nagasaki weeks later.

And for our final item, worrisome corona virus censorship from Avian Flu Diary:

Saudi Govt. Prohibits ‘Unauthorized’ Media Coverage Of MERS

As you might expect, this announcement is making quite a stir on the twitter feed from Saudi Arabia, with many people clearly not pleased with this edict.

Chart of the day: No trust in parties on economy


Both parties declared FUBAR, with trust at 21st Century low. From Gallup:

BLOG Econ

Quote of the day: Kunstler on the Ukraine


From James Howard Kunstler, writing in his always-provocative blog, Clusterfuck Nation:

Barack Obama, who I voted for twice, is on his way to becoming the worst US president in my lifetime, at least — and maybe in the whole cavalcade going back to the very start of the republic. I don’t want to get too sidetracked in this brief blog space today, but isn’t it stupendously asinine that Mr. Obama’s Justice Department and his SEC appointees only just last week became interested in the pervasive swindle of high frequency trading on Wall Street after author Michael Lewis went on 60 Minutes. Like, they hadn’t heard about this years-long orgy of front-running until now? Strange to relate, I actually might feel more comfortable if Vladimir Putin was massing troops on the Mexican side of the US border to keep Americans safe from our own bungling and destructive government.

 Aren’t a number of things obvious about the Ukraine situation? Such as: the Russians have a greater interest in preventing chaos there than the US has in any provisional disposition of the Ukrainian border and the composition of its government. Such as: for most of the 20th century Ukraine was essentially a Russian province, and at various times before that the ward of several other eastern European kingdoms. Such as: Russia has a huge investment in gas pipeline infrastructure in Ukraine upon which depends a substantial portion of its national income, not to mention the winter-time comfort of most of the countries in western Europe.

More of those not-so-random headlines. . .


We open with this grim assessment from United Press International:

One-fifth of Chinese farmland is polluted, study says

  • Nearly one-fifth of China’s available farmland is polluted.

Nearly one-fifth of China’s available farmland is polluted, a government report said.

Issued Thursday by the Ministry of Environmental Protection and the Ministry of Land Resources, it said 16.1 percent of the country’s land was polluted, as was 19.4 percent of its farmland, citing “human industrial and agricultural activities” as the cause. The report was based on a study, from 2005 to 2013, on land across China.

China’s rapid industrialization, a lack of regulations and a dominance of commercial interests were cited as the cause.

The most common pollutants are cadmium, nickel and arsenic, three materials whose presence in soil have risen sharply since 1986. The cadmium level in southwestern land increased by 50 percent since 1986, and southern Chinese soil is more severely polluted than that in the north, the report said.

And an even grimmer warning from The Guardian:

Entire marine food chain at risk from rising CO2 levels in water

  • Fish will make themselves vulnerable by being attracted to predator odour and exhibiting bolder behaviour

Escalating carbon dioxide emissions will cause fish to lose their fear of predators, potentially damaging the entire marine food chain, joint Australian and US research has found.

A study by the Australian Institute of Marine Science, James Cook University and the Georgia Institute of Technology found the behavior of fish would be “seriously affected” by greater exposure to CO2.

Researchers studied the behavior of coral reef fish at naturally occurring CO2 vents in Milne Bay, in eastern Papua New Guinea.

And from Reuters, a case of too little, too late:

Manager at Japan’s Fukushima plant admits radioactive water ‘embarrassing’

The manager of the Fukushima nuclear power plant admits to embarrassment that repeated efforts have failed to bring under control the problem of radioactive water, eight months after Japan’s prime minister told the world the matter was resolved.

Tokyo Electric Power Co, the plant’s operator, has been fighting a daily battle against contaminated water since Fukushima was wrecked by a March 2011 earthquake and tsunami.

Prime Minister Shinzo Abe’s government pledged half a billion dollars last year to tackle the issue, but progress has been limited.

“It’s embarrassing to admit, but there are certain parts of the site where we don’t have full control,” Akira Ono told reporters touring the plant this week. He was referring to the latest blunder at the plant: channelling contaminated water to the wrong building.

From the Washington Post, yet another take on Obama’s alleged “recovery”:

Long-term unemployed struggle to find — and keep — jobs

For the long-term unemployed, finding a job is hard — but keeping one may be even harder.

New research tracking people who have been out of work for six months or longer found that 23 percent landed a job within a few months of the study. But a year later, more than a third of that group was unemployed again or out of the labor force altogether.

The findings are the latest in a bleak but growing body of literature suggesting long-term unemployment has become a trap that is difficult to escape.

Economists say that means the long-term unemployed could become a permanent underclass, left behind by the nation’s broader economic recovery.

From MediaWire, a case of censorship from afar:

NYT abides by Israeli gag order, draws questions from public editor

The New York Times delayed publication of a story this week about a young journalist and Palestinian rights advocate held by Israeli authorities, abiding by a court gag order, the Times’ public editor wrote Friday.

Jerusalem Bureau Chief Jodi Rudoren told Public Editor Margaret Sullivan that the paper is bound by the gag orders:

She said that the situation is analogous to abiding by traffic rules or any other laws of the land, and that two of her predecessors in the bureau chief position affirmed to her this week that The Times has been subject to gag orders in the past.

The newspaper’s newsroom lawyer told Sullivan “the general understanding among legal counsel in other countries is that local law would apply to foreign media,” but said the Times hasn’t challenged the restriction in Israel.

And from the Japan Times, rebranding militarism:

Military waging popularity campaign

  • SDF charm offensive coincides with Abe’s collective defense push

Pacifist Japan is gradually learning to love its military, with an apparent public relations campaign to soften its image featuring online popularity contests, a much-touted soprano vocalist and dating events.

The armed forces are also visible in youth culture, with young teens tuning in to “Girl und Panzer,” a cartoon about schoolgirls who do battle in tanks. Japan’s most popular Twitter hashtag in 2013 was #KanColle, a reference to an online game in which anthropomorphized warships compete to out-pretty each other as young girls.

The image change comes as nationalist Prime Minister Shinzo Abe is pushing to give the Self Defense Forces more money and scope to act as a normal military might, at a time of rising tensions with China.

From the Reykjavík Grapevine, the curious case of the peaceful latter-day Vikings:

Examining The First Use Of Lethal Force By Icelandic Police

In a large apartment block in the Árbær suburb, the police gunned down a middle-aged man early morning on December 2, 2013. Not only was this the first time the Icelandic police used lethal force, but also the first time they fired a live round in the line of duty. Considering its monumental significance in Icelandic history this incident has received remarkably little attention from the media.

Finally, via the Oakland Tribune, a criticism of the profiteering spouse of California’s plutocratic senator:

Berkeley: USPS doesn’t follow historic preservation rules, report says

An agency that oversees preservation of federally owned historic property took the United States Postal Service to task in a report issued April 17, noting “significant concerns” resulting from sales of historic post offices due to the loss to the public of facilities built for public use, and the risk to historic art and architecture.

The Advisory Council on Historic Preservation report “Preserving Historic Post Offices: A Report to Congress,” states that “these concerns include not just the decision to close the facilities, but the manner in which the USPS is conducting its decision-making process, the transparency of that process, and how it conducts the … consultation process” mandated under the National Historic Preservation Act.

>snip<

One of the problem areas the report noted was that the postal service did not look at alternatives to sales, such as leasing properties.

“The ACHP has no evidence that the USPS has explored (as mandated under the preservation act) any alternatives to disposal of any of the historic post offices to date,” the report said.

ACHP further criticized USPS for not using “alternative property disposal systems.”

Currently, USPS has charged the giant real estate firm CBRE with marketing historic post offices. CBRE chair is Richard Blum, UC Berkeley trustee and spouse of U.S. Sen. Dianne Feinstein, D-San Francisco.

The report says it would be preferable to market the properties through the General Services Administration’s Office of Real Property Disposal, which “offers comprehensive services to federal agencies … in the marketing and sale of federal real estate at a cost lower than commercial vendors.”

By now, the pattern should be clear: The catastrophic consequences of our brave new neoliberal world are global, with a notable exception provided by the descendants of those who were once some of planet’s most violent predators.

On the institutionalization of extreme inequality


Here are two takes on one of the key issues of the day, the captuire of global wealth by a handful of oligarchs.

Our first take is graphic, from David Horsey of the Los Angeles Times:

BLOG Sharing

Our second takes comes from Bill Moyers and Nobel economics laureate and New York Times columnist Paul Krugman and is sparked by a new and important book, Capital in the Twenty-First Century by French economist Thomas Piketty [the source of our second Chart of the day, immediately below this post].

From Moyers & Company:

What the 1% Don’t Want You to Know

Program note:

Economist Paul Krugman explains how the United States is becoming an oligarchy – the very system our founders revolted against.

From the transcript:

BILL MOYERS: Inequality’s been on the table for a long time. You’ve written extensively, others have, too. I mean, it’s a familiar issue, but what explains that this book has now become a phenomenon?

PAUL KRUGMAN: Actually, a lot of what we know about inequality actually comes from him, because he’s been an invisible presence behind a lot. So when you talk about the 1 percent, you’re actually to a larger extent reflecting his prior work. But what he’s really done now is he said, “Even those of you who talk about the 1 percent, you don’t really get what’s going on. You’re living in the past. You’re living in the ’80s. You think that Gordon Gekko is the future.”

And Gordon Gekko is a bad guy, he’s a predator. But he’s a self-made predator. And right now, what we’re really talking about is we’re talking about Gordon Gekko’s son or daughter. We’re talking about inherited wealth playing an ever-growing role. So he’s telling us that we are on the road not just to a highly unequal society, but to a society of an oligarchy. A society of inherited wealth, “patrimonial capitalism.” And he does it with an enormous amount of documentation and it’s a revelation. I mean, even for someone like me, it’s a revelation.

BILL MOYERS: I was going to ask, what could– what has Paul Krugman had to learn from this book?

PAUL KRUGMAN: Even the title, the first word in the title, “capital.” We stopped talking about capital. Even people like me stopped talking about capital because we thought it was all about human capital. We thought it was all about earnings. We thought that the wealthy were people who one way or another found a way to make a lot of money.

And we knew that that wasn’t always true. We knew that in the Gilded Age or in the Belle Époque in Europe, which he prefers to talk about. That high incomes were mostly a result of having lots and lots of assets. But we sort of said, “Well, that’s not the way things work anymore.” And he says, “Oh yeah? It turns out that you’re wrong.” That’s true, that right now, a lot of high incomes in America are people who didn’t start out all that rich. But we’re rapidly moving towards a state where inherited wealth dominates. I didn’t know that. I really was– I should’ve known it. I should’ve thought about it, but I didn’t. And so then here comes this book with– I mean, it’s beautiful– absolutely analytically beautiful, if that makes any sense at all.

BILL MOYERS: As you know, I’m no economist, but I found this book, as I said in the opening, just very readable and suddenly there would be this moment of epiphany.

PAUL KRUGMAN: Yeah, it’s a real “eureka” book. You suddenly say, “Oh, this is not– the world is not the way I saw it.” The world in fact has moved on a long way in the last 25 years and not in a direction you’re going to like because we are seeing not only great disparities in income and wealth, but we’re seeing them get entrenched. We’re seeing them become inequalities that will be transferred across generations. We are becoming very much the kind of society we imagine we’re nothing like.

BILL MOYERS: Here’s Piketty’s main point: capital tends to produce real returns of 4 to 5 percent, and economic growth is much slower. What’s the practical result of that?

PAUL KRUGMAN: What that means is that if you have a large fortune, or a family has a large fortune, they can — the inheritors of that large fortune — can live very, very well. They can live an extraordinary standard of living and still put a large fraction of the income from that fortune aside and the fortune will grow faster than the economy.

So the big dynastic fortunes tend to take an ever-growing share of total, national wealth. So once you– when you have a situation where the returns on capital are pretty high and the growth rate of the economy is not that high, you have a situation in which not only can people live well off inherited wealth, but they can actually pass on to the next generation even more, an even a higher share.

And so it’s all, in his terms, “r” the rate of return on capital, and “g” the rate of growth of the economy. And when you have a high r, low g economy, which is what we now have, then you’re talking not– you’re talking about a situation in which dynasties come increasingly to increasingly to dominate the top of the economic spectrum and a tiny fraction of the population ends up very dominant.

BILL MOYERS: What’s the realistic impact of this on working people?

PAUL KRUGMAN: There’s a direct impact, which is that part of income is always going to go to labor, although that seems to be a diminishing fraction. But the part that comes from capital is going to be in the hands of a very few people. The other thing, which I think is critically important, that he talks about more towards the end of the book is political economy.

That when you have — Teddy Roosevelt could’ve told you and did — that when you have a few people who are so wealthy that they can effectively buy the political system, the political system is going to tend to serve their interests. And that is going to reinforce this shift of income and wealth towards the top.

On the Ukraine: Curiouser and curiouser indeed


Watching the news from the Ukraine as filtered through the American mainstream media arouses a powerful sense of suspicion that we’re not being told the entire story.

One recent item caught our attention, an inflammatory developement that casts the pro-Russian Ukrainians in an extremely negative light.

From USA Today:

Leaflet tells Jews to register in East Ukraine

World leaders and Jewish groups condemned a leaflet handed out in the eastern Ukrainian city of Donetsk in which Jews were told to “register” with the pro-Russian militants who have taken over a government office in an attempt to make Ukraine part of Russia, according to Ukrainian and Israeli media.

Jews emerging from a synagogue say they were handed leaflets that ordered the city’s Jews to provide a list of property they own and pay a registration fee “or else have their citizenship revoked, face deportation and see their assets confiscated,” reported Ynet News, Israel’s largest news website, and Ukraine’s Donbass news agency.

Secretary of State John Kerry said the language of the leaflets “is beyond unacceptable” and condemned whomever is responsible.

Britain’s Sky News reported with a bit more more nuance:

Ukraine Jews Told To ‘Register’ In Mystery Flyer

Donetsk’s chief rabbi says the anti-Semitic leaflet campaign “smells of a provocation”, as its origins remain unclear.

The chief rabbi in the eastern Ukrainian city of Donetsk has told Sky News of his distress at the distribution of a leaflet suggesting Jewish people must “register” with the government.

The leaflet, written in Russian, was apparently signed by Denis Pushilin, a leader of Donetsk People’s Republic, but he has denied his organisation is behind it.

Now if you want to united American politicians behind an issue, just raise the flag of antisemitism and folks all the way from from the Christian Zionist far right to the Democratic party will rouse themselves to condemnation of the alleged perpetrators. . .as well they should, if the allegations are legitimate.

Given that registration of Jewish communities was the first step on the road to the Holocaust, it’s almost as though the flyers are too good to be true, playing on some of the unsavory realities in today’s Russia [ranging from state-sanctioned homophobia to the resurgence of antisemitism] to rouse wrath on behalf of policies favored by Washington and its NATO allies.

The legitimacy of the charges remains to be proved, as Sky News acknowledged, and yet another recent headline raises some very interesting possibilities, especially given the timing on an event that happened several day’s before today’s stories.

Again from USA Today:

White House: Brennan was in Kiev this weekend

The White House confirmed Monday that CIA Director John Brennan traveled to Kiev, Ukraine, in recent days as part of a longer trip to Europe.

Russian media reported Brennan’s visit to Kiev this past weekend, raising suspicions about it.

Those suspicions are unwarranted, said White House spokesman Jay Carney, adding that Brennan was only meeting with intelligence counterparts in Ukraine.

More from Forbes, which adds some interesting detail:

Why CIA Director Brennan Visited Kiev: In Ukraine The Covert War Has Begun

Ukraine is on the brink of civil war, Vladimir Putin has said, and he should know because the country is already in the midst of a covert intelligence war. Over the weekend, CIA director John Brennan travelled to Kiev, nobody knows exactly why, but some speculate that he intends to open US intelligence resources to Ukrainian leaders about real-time Russian military maneuvers. The US has, thus far, refrained from sharing such knowledge because Moscow is believed to have penetrated much of Ukraine’s communications systems – and Washington isn’t about to hand over its surveillance secrets to the Russians.

If you have any doubts that the battle is raging on the ‘covert ops’ front just consider today’s events in Pcholkino where Ukrainian soldiers from the 25th Airborn Division handed over their weapons and APC’s to pro-Russian militiamen and pretty much surrendered. The Ukrainian commander was quoted as saying “they’ve captured us and are using dirty tricks”. This is the kind of morale-busting incident that can spread quickly. It doesn’t happen spontaneously and it often begins with mixed messages, literally – messages purporting to come from the chain of command but actually originate from the enemy’s dirty tricks department.

Given that even the highly conservative Forbes acknowledges the dirty tricks implicit in the disinformation game now underway, one has to wonder whether the passion-arousing flyers are in fact a classic bit of disinformation, akin to tactics used by the FBI in its notorious COUNTELPRO campaigns against American radicals back a half-century ago and more recently against Latin American countries governed by folks who won’t toe the Washington line.

After all, the CIA turned to dirty tricks to target an American citizen and academic who criticized both the George W. Bush administration’s war policies and it’s pro-Israeli politics.

Given Israel’s brilliant use of the Russian expat Nathan Sharansky’s devious Three-D gambit [previously] to sensitive media to condemn any criticism of Israel as antisemitic, the American press is quick to leap uncritically when the dog whistle of of antisemitism is blown.

Given American intelligence’s long history of practicing deception/disinformation and Washington’s powerful interests in destabilizing the Russian government — which oversees the supply of natural gas to Europe — we are highly suspicious of the very convenient timing of the flyers.

Another critique of American coverage

Michael Hudson [previously], one of the sharpest economists around these days, is also highly critical of American media coverage of events in the Ukraine.

Consider the following interview of Hudson, an economist at the University of Missouri-Kansas City by Jessica Desverieux of The Real News Network:

Investigation Finds Former Ukraine President Not Responsible For Sniper Attack on Protestors

An excerpt from the transcript:

DESVARIEUX: So, Micheal, what are you tracking this week?

HUDSON: The big news is all about the Ukraine. And it’s about the events that happened in the shootings on February 20. Late last week, the German television program ARD Monitor, which is sort of their version of 60 Minutes here, had an investigative report of the shootings in Maidan, and what they found out is that contrary to what President Obama is saying, contrary to what the U.S. authorities are saying, that the shooting was done by the U.S.-backed Svoboda Party and the protesters themselves, the snipers and the bullets all came from the Hotel Ukrayina, which was the center of where the protests were going, and the snipers on the hotel were shooting not only at the demonstrators, but also were shooting at their own–at the police and the demonstrators to try to create chaos. They’ve spoken to the doctors, who said that all of the bullets and all of the wounded people came from the same set of guns. They’ve talked to reporters who were embedded with the demonstrators, the anti-Russian forces, and they all say yes. All the witnesses are in agreement: the shots came from the Hotel Ukrayina. The hotel was completely under the control of the protesters, and it was the government that did it.

So what happened was that after the coup d’état, what they call the new provisional government put a member of the Svoboda Party, the right-wing terrorist party, in charge of the investigation. And the relatives of the victims who were shot are saying that the government is refusing to show them the autopsies, they’re refusing to share the information with their doctors, they’re cold-shouldering them, and that what is happening is a coverup. It’s very much like the film Z about the Greek colonels trying to blame the murder of the leader on the protesters, rather than on themselves.

Now, the real question that the German data has is: why, if all of this is front-page news in Germany, front-page news in Russia–the Russian TV have been showing their footage, showing the sniping–why would President Obama directly lie to the American people? This is the equivalent of Bush’s weapons of mass destruction. Why would Obama say the Russians are doing the shooting in the Ukraine that’s justified all of this anti-Russian furor? And why wouldn’t he say the people that we have been backing with $5 billion for the last five or ten years, our own people, are doing the shooting, we are telling them to doing the shooting, we are behind them, and we’re the ones who are the separatists?

What has happened is that the Western Ukraine, the U.S. part, are the separatists trying to break up the Ukraine, in keeping, pretty much, with what Brzezinski advised in his book some years ago when he said breaking Ukraine off from Russia would be the equivalent of blocking any Russian potential military power.