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To: Jim Willie CB who wrote (16887)5/11/2005 11:01:31 AM
From: stockman_scott  Read Replies (2) | Respond to of 20773
 
Army & Marines miss recruiting goals again
_______________________________

More cash and appeals to parents, patriotism haven't reversed trend

By Jim Miklaszewski
NBC News correspondent
Updated: 12:21 p.m. ET May 10, 2005

WASHINGTON - Pentagon officials say it's not a crisis, but it is a major concern — a battle here at home to win the hearts and minds of potential new recruits.

After more than three years of war in Iraq and Afghanistan, the all-volunteer military is facing its toughest test yet.

In April, the Army missed its recruiting goal for the third month in a row, short by nearly 2,800 recruits, or 42 percent off its target.

And for the first time in 10 years, the Marine Corps missed its recruiting goal for the last four months.

"Because the Army and Marines are too small and we're employing them in constant operations, our recruiting posture is now coming apart," says retired Army Gen. Barry McCaffrey, an NBC News analyst.

Cash incentives increased
In a desperate attempt to recruit volunteers, the Army has increased cash incentives. Signing bonuses are up from $8,000 to $10,000. College scholarships have been raised from $50,000 to $70,000.

But it's an uphill battle. A decent economy is steering many potential volunteers into private sector jobs. And concerned parents who don't want their sons and daughters going to war are convincing them to not sign up.

In fact, new recruiting commercials are aimed not at recruits, but at their parents.

But the current problem with recruiting could have long-term ramifications on America's ability to take on other potential conflicts.

"This raises questions about whether the all-volunteer force can really cope with a long war," says military analyst Loren Thompson.

Appeal to 'sense of duty'
In an appeal to the nation's patriotism, the Army's vice chief of staff, Gen. Richard Cody, warns this issue is about far more than military service alone.

"This recruiting problem is not just an Army problems, this is America's problem," he said. "And what we have to really do is talk about service to this nation — and a sense of duty to this nation."

Military officials remain cautiously optimistic that they will meet their recruiting goals by the end of the year, but until the war in Iraq eases, and large numbers of American troops start coming home, it will remain a tough sell.

More than 40 percent of the ground troops in Iraq have been from the Army's National Guard or Reserve — and Guard officials warn that by the end of this year they're going to run out of additional troops with the right skills to send to Iraq.

Recruiting alone is not going to fill that need so the regular Army, already stretched thin, is going to have to come up with the numbers.

URL: msnbc.msn.com



To: Jim Willie CB who wrote (16887)5/11/2005 11:26:07 AM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
Education in an increasingly flat world
________________________________________

By THOMAS L. FRIEDMAN
SYNDICATED COLUMNIST
Sunday, May 8, 2005

Many authors hate to go on grinding book tours. But I've always found it a useful way to be a foreign correspondent in the United States and take the pulse of the country. Here are the two most important things I learned from a recent book tour:

First, many educated people seem to be getting their news from Comedy Central. Say what? As any author will tell you, the best TV book shows to be on have long been Don Imus, Charlie Rose, C-Span, Tim Russert on CNBC, "Today," Oprah and selected programs on CNN, Fox and MSNBC. They are all still huge. But what was new for me on this tour was the number of people who also mentioned getting their news from Jon Stewart's truly funny news satire, "The Daily Show." And I am not just talking about college kids. I am talking about grandmas. Just how many people are now getting their only TV news from Comedy Central is not clear to me -- but it is a lot, lot more than you think.

Second, and this may be related to the first, there's a huge undertow of worry out in the country about how kids are being educated and whether they'll be able to find jobs in an increasingly flat world, where more Chinese, Indians and Russians than ever can connect, collaborate and compete with us. In three different cities I had parents ask me some version of: "My daughter (or son) is studying Chinese in high school. That's the right thing to do, isn't it?"

Not being an educator, I can't give any such advice. But my own research has taught me that the most important thing you can learn in this era of heightened global competition is how to learn. Being really good at "learning how to learn," as President Bill Brody of Johns Hopkins put it, will be an enormous asset in an era of rapid change and innovation, when new jobs will be phased in and old ones phased out faster than ever.

OK, one ninth-grader in St. Paul asked me, then "What courses should I take?" How do you learn how to learn? Hmm. Maybe, I said, the best way to learn how to learn is to go ask your friends: "Who are the best teachers?" Then -- no matter the subject -- take their courses. When I think back on my favorite teachers, I don't remember anymore much of what they taught me, but I sure remember being excited about learning it.

What has stayed with me are not the facts they imparted, but the excitement about learning they inspired. To learn how to learn, you have to love learning -- while some people are born with that gene, many others can develop it with the right teacher (or parent).

There was a great piece in the April 24 Education Life section of The New York Times that described Britney Schmidt, a student at the University of Arizona who was utterly bored with her courses, mostly because her professors seemed interested only in giving lectures and leaving. "I was getting A's in all my classes, but I wasn't being challenged, and I wasn't thinking about new things," she said.

She had to take a natural science course, though, and it turned out to have a great professor and teaching assistants who inspired her. "I was lucky," she said. "I took a class from somebody who really cared." The result: A scientist was born. Schmidt has since been accepted to graduate school at UCLA in planetary physics and the University of Chicago in cosmo-chemistry.

I just interviewed Craig Barrett, the chief executive of Intel, which has invested millions of dollars in trying to improve the way science is taught in U.S. schools. (The Wall Street Journal noted Thursday that China is graduating four times the number of engineers as the United States; Japan, with less than half our population, graduates double the number.)

In today's flat world, Barrett said, Intel can be a totally successful company without ever hiring another American. That is not its desire or intention, he said, but the fact is that it can now hire the best brain talent "wherever it resides."

If you look at where Intel is making its new engineering investments today, he said, it is in China, India, Russia, Poland and, to a lesser extent, Malaysia and Israel. While cutting-edge talent is still being grown in the United States, he added, it's not enough for Intel's needs, and not enough is being done in U.S. public schools -- not just to leave no child behind, but to make sure the best students and teachers are nurtured and rewarded.

Look at the attention Congress has focused on steroids in Major League Baseball, Barrett mused. And then look at the attention it has focused on science education in minor-league U.S. schools.

That's the real news out there, folks. And it's not funny.

______________________

Thomas L. Friedman is foreign affairs columnist for The New York Times. Copyright 2005 New York Times News Service.

seattlepi.nwsource.com



To: Jim Willie CB who wrote (16887)5/12/2005 10:02:20 AM
From: stockman_scott  Respond to of 20773
 
Real Wages Plunge in March

by Stirling Newberry*

bopnews.com

*Stirling Newberry is Chief Economist for Langner and Company the opinions expressed here are his own.



To: Jim Willie CB who wrote (16887)5/13/2005 11:40:15 PM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
Bush's Greatest Fear: Russian Oil Cartel/Gold Ruble

by AL MARTIN

On Feb. 21st, Russian foreign minister Lebedev said in a press conference shown on C-SPAN that he had, in recent weeks, spoken to the heads of state of all of the non-OPEC oil-producing nations about the coordination of oil policy with the Russian government. He also pointedly reminded everyone that Russia is now the world’s Number Two oil producer and the leading producer of natural gas. What does this imply?

This is the Bush Regime’s greatest fear -- that Russia has also been purchasing gold in recent weeks for the first time in years. To finance the purchase of gold, it has been selling platinum and palladium, which it had been previously withholding from the market in order to support the price during the last year. This is one reason why the price of palladium and platinum has come under pressure in recent weeks, because they are, after all, thin markets.

The Russian government has announced that it has made early repayments of all of its remaining IMF loans. Russia has also announced that she will act to readjust her payment schedules on foreign debt to pay off ahead of schedule the remainder of Russia’s $126 billion state debt.

Very simply put, Russia is flush with cash and is now running the largest net surplus budget accounts of any nation-state on the planet –even exceeding the surpluses that the government of China is maintaining. This will allow Russia to completely pay off all of its state debt within 10 to 12 years, instead of the 16 to 28 years that it had originally planned. And this original plan, by the way, is only 12 months old.

In order to do this, Russia, the world’s largest exporter of commodities, needs to maintain commodity prices at high levels. This is particularly true with oil, its chief export. In order to do so, Russia is attempting to develop a new second OPEC by stringing together all of the so-called non-OPEC oil-producing nations into one new group under Russian control.

(The preceding excerpted from "The Bush Regime’s Greatest Fear: A New Russian Based OPEC and a Gold-Backed Ruble" by Al Martin)

For the rest of this analysis, subscribe to Al Martin Raw.com
(www.almartinraw.com)
log on to Al Martin Raw.com (www.almartinraw.com)
conspiracyplanet.com

+++++++++++++++++++++++++++++++++++++++++++same source

John Negroponte & CIA Cocaine Trafficking CoverUp
by CONSPIRACY PLANET

In his column 'How To Recycle a Cabalist: The John Negroponte Story,' political analyst Al Martin, author of "The Conspirators: Secrets of an Iran Contra Insider" reveals the hidden history of the crimes of DNI John Negroponte and DCI Porter Goss.

"Bush Cabalist John Negroponte has been named the new DNI (Director of National Intelligence)," writes Martin. "He will have as his most immediate subordinate our new DCI Porter Goss. And this is the secret history of two former Cabalists who have been rehabilitated into the highest ranks of the new regime of the Bush Cabal.

"Goss is going to be reporting t directly to Negroponte, which strikes me funny because this is a Reagan-Bush era redux. Now we have an old wet-ops guy (Porter Goss) reporting to an old narcotics smuggler (John Negroponte)…

"John Negroponte was US ambassador to Honduras in the Reagan-Bush regime, and then he was forced out of that position in 1985 when it became known that he had facilitated Oliver North’s wet operation in Honduras to assassinate the then Honduran Army Chief of Staff, Lieutenant-General Reuben Mata," Martin continues."In fact, Mata was assassinated by a squad of U.S. Special Forces. Negroponte’s involvement was to provide them with false visas to get them into the country and then to facilitate their exit from the country. The Honduran government, of course, quickly became aware of Negroponte’s involvement and proffered a charge against Negroponte of conspiracy to commit treason against the government of Honduras

"At that point there wasn’t even any time to get Negroponte out of the country the normal way. He was actually taken out by US Army helicopter from the ambassador’s residence in Tegucigalpa to the U.S. airbase at San Pedro Azul. From there he was taken to Swan Island.

"Obviously, the then Reagan-Bush regime did not want Negroponte in the hands of the Honduran government for questioning because it would have revealed Negroponte’s role in attempting to negotiate with General Mata for a larger cut of CIA cocaine that was flowing through Honduras. This is what Mata was seeking, which ultimately got him assassinated when he threatened to blow the whistle.

"Mata felt that he should be getting the same $5,000 per kilogram from the Agency for each kilogram passing through Honduran soil that General Noriega of Panama, Colonel Roberto D’Aubisson, then dictator of El Salvador and General Ephraim Rio Montt of Guatemala were receiving.

"The irony of it, in a twist of Iran-Contra redux (this shows you just how it keeps coming back) is that Porter Goss, another infamous Iran-Contra player, was involved in a variety of wet-ops (assassinations) in Central America during the same time frame, which was the early 1980s. At that time, Goss had actually reported to then Ambassador Negroponte in Honduras, when he was involved in efforts to establish the so-called secure facilities in Guatemala and El Salvador for the torture of left-wing peasants by the then CIA-supported right-wing regimes of Colonel Roberto D’Aubisson and General Ephraim Rios Montt. These events have been detailed in my book 'The Conspirators.'"

For the rest of this remarkable hidden history, log on to Al Martin Raw.com (www.almartinraw.com
conspiracyplanet.com
Message 21112865



To: Jim Willie CB who wrote (16887)5/15/2005 5:24:42 PM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
Iraq is a bloody no man's land. America has failed to win the war. But has it lost it?

news.independent.co.uk

15 May 2005

Iraq is a bloody no man's land. America has failed to win the war. But has it lost it?

And in Afghanistan, the Taliban rises again for fighting season.

"The battlefield is a great place for liars," Stonewall Jackson once said on viewing the aftermath of a battle in the American civil war.

The great general meant that the confusion of battle is such that anybody can claim anything during a war and hope to get away with it. But even by the standards of other conflicts, Iraq has been particularly fertile in lies. Going by the claims of President George Bush, the war should long be over since his infamous "Mission Accomplished" speech on 1 May 2003. In fact most of the 1,600 US dead and 12,000 wounded have become casualties in the following two years.

The ferocious resistance encountered last week by the 1,000-strong US marine task force trying to fight its way into villages around the towns of Qaim and Obeidi in western Iraq shows that the war is far from over. So far nine marines have been killed in the week-long campaign, while another US soldier was killed and four wounded in central Iraq on Friday. Meanwhile, a car bomb targeting a police patrol exploded in central Baghdad yesterday, killing at least five Iraqis and injuring 12.

Iraqi President Jalal Talabani, the leader of one of the Kurdish parties, confidently told a meeting in Brasilia last week that there is war in only three or four out of 18 Iraqi provinces. Back in Baghdad Mr Talabani, an experienced guerrilla leader, has deployed no fewer than 3,000 Kurdish soldiers or peshmerga around his residence in case of attack. One visitor was amused to hear the newly elected President interrupt his own relentlessly upbeat account of government achievements to snap orders to his aides on the correct positioning of troops and heavy weapons around his house.

There is no doubt that the US has failed to win the war. Much of Iraq is a bloody no man's land. The army has not been able to secure the short highway to the airport, though it is the most important road in the country, linking the US civil headquarters in the Green Zone with its military HQ at Camp Victory.

Ironically, the extent of US failure to control Iraq is masked by the fact that it is too dangerous for the foreign media to venture out of central Baghdad. Some have retreated to the supposed safety of the Green Zone. Mr Bush can claim that no news is good news, though in fact the precise opposite is true.

Embedded journalism fosters false optimism. It means reporters are only present where American troops are active, though US forces seldom venture into much of Iraq. Embedded correspondents bravely covered the storming of Fallujah by US marines last November and rightly portrayed it as a US military success. But the outside world remained largely unaware, because no reporters were present with US forces, that at the same moment an insurgent offensive had captured most of Mosul, a city five times larger than Fallujah.

Why has the vastly expensive and heavily equipped US army failed militarily in Iraq? After the crescendo of violence over the past month there should be no doubts that the US has not quashed the insurgents whom for two years American military spokesmen have portrayed as a hunted remnant of Saddam Hussein's regime assisted by foreign fighters.

The failure was in part political. Immediately after the fall of Saddam Hussein polls showed that Iraqis were evenly divided on whether they had been liberated or occupied. Eighteen months later the great majority both of Sunni and Shia said they had been occupied, and they did not like it. Every time I visited a spot where an American soldier had been killed or a US vehicle destroyed there were crowds of young men and children screaming their delight. "I am a poor man but I am going home to cook a chicken to celebrate," said one man as he stood by the spot marked with the blood of an American soldier who had just been shot to death.

Many of the resistance groups are bigoted Sunni Arab fanatics who see Shia as well as US soldiers as infidels whom it is a religious duty to kill. Others are led by officers from Saddam's brutal security forces. But Washington never appreciated the fact that the US occupation was so unpopular that even the most unsavoury groups received popular support.

From the start, there was something dysfunctional about the American armed forces. They could not adapt themselves to Iraq. Their massive firepower meant they won any set-piece battle, but it also meant that they accidentally killed so many Iraqi civilians that they were the recruiting sergeants of the resistance. The army denied counting Iraqi civilian dead, which might be helpful in dealing with American public opinion. But Iraqis knew how many of their people were dying.

The US war machine was over-armed. I once saw a unit trying to restore order at a petrol station where there was a fist fight between Iraqi drivers over queue-jumping (given that people sometimes sleep two nights in their cars waiting to fill a tank, tempers were understandably frayed). In one corner was a massive howitzer, its barrel capable of hurling a shell 30km, which the soldiers had brought along for this minor policing exercise.

The US army was designed to fight a high-technology blitzkrieg, but not much else. It required large quantities of supplies and its supply lines were vulnerable to roadside bombs. Combat engineers, essentially sappers, lamented that they had received absolutely no training in doing this. Even conventional mine detectors did not work. Roadsides in Iraq are full of metal because Iraqi drivers normally dispose of soft drink cans out the window. Sappers were reduced to prodding the soil nervously with titanium rods like wizards' wands. Because of poor intelligence and excessive firepower, American operations all became exercises in collective punishment. At first the US did not realise that all Iraqi men have guns and they considered possession of a weapon a sign of hostile intention towards the occupation. They confiscated as suspicious large quantities of cash in farmers' houses, not realising that Iraqis often keep the family fortune at home in $100 bills ever since Saddam Hussein closed the banks before the Gulf war and, when they reopened, Iraqi dinar deposits were almost worthless.

The US army was also too thin on the ground. It has 145,000 men in Iraq, but reportedly only half of these are combat troops. During the heavily publicised assault on Fallujah the US forces drained the rest of Iraq of its soldiers. "We discovered the US troops had suddenly abandoned the main road between Kirkuk and Baghdad without telling anybody," said one indignant observer. "It promptly fell under the control of the insurgents."

The army acts as a sort of fire brigade, briefly effective in dousing the flames, but always moving on before they are fully extinguished. There are only about 6,000 US soldiers in Nineveh province, of which Mosul is the capital and which has a population of three million. For the election on 30 January, US reserves arriving in Iraq were all sent to Mosul to raise the level to 15,000 to prevent any uprising in the city. They succeeded in doing so but were then promptly withdrawn.

The shortage of US forces has a political explanation. Before the war Donald Rumsfeld, the Secretary of Defence, and his neo-conservative allies derided generals who said an occupation force numbering hundreds of thousands would be necessary to hold Iraq. When they were proved wrong they dealt with failure by denying it had taken place.

There is a sense of bitterness among many US National Guardsmen that they have been shanghaied into fighting in a dangerous war. I was leaving the Green Zone one day when one came up to me and said he noticed that I had a limp and kindly offered to show me a quicker way to the main gate. As we walked along he politely asked the cause of my disability. I explained I had had polio many years ago. He sighed and said he too had had his share of bad luck. Since he looked hale and hearty this surprised me. "Yes," he said bitterly. "My bad luck was that I joined the Washington State National Guard which had not been called up since 1945. Two months later they sent me here where I stand good chance of being killed."

The solution for the White House has been to build up an Iraqi force to take the place of US soldiers. This has been the policy since the autumn of 2003 and it has repeatedly failed. In April 2004, during the first fight for Fallujah, the Iraqi army battalions either mutinied before going to the city or refused to fight against fellow Iraqis once there. In Mosul in November 2004 the 14,000 police force melted away during the insurgent offensive, abandoning 30 police stations and $40m in equipment. Now the US is trying again. By the end of next year an Iraqi army and police force totalling 300,000 should be trained and ready to fight. Already they are much more evident in the streets of Baghdad and other cities.

The problem is that the troops are often based on militias which have a sectarian or ethnic base. The best troops are Kurdish peshmerga. Shia units are often connected with the Badr Brigade which fought on the side of Iran in the Iran-Iraq war. When 14 Sunni farmers from the Dulaimi tribe were found executed in Baghdad a week ago the Interior Ministry had to deny what was widely believed, that they had been killed by a Shia police unit.

The greatest failure of the US in Iraq is not that mistakes were made but that its political system has proved incapable of redressing them. Neither Mr Rumsfeld nor his lieutenants have been sacked. Paul Wolfowitz, under-secretary of defence and architect of the war, has been promoted to the World Bank.

Almost exactly a century ago the Russian empire fought a war with Japan in the belief that a swift victory would strengthen the powers-that-be in St Petersburg. Instead the Tsar's armies met defeat. Russian generals, who said that their tactic of charging Japanese machine guns with sabre-wielding cavalry had failed only because their men had attacked with insufficient brio, held their jobs. In Iraq, American generals and their political masters of demonstrable incompetence are not fired. The US is turning out to be much less of a military and political superpower than the rest of the world had supposed.



To: Jim Willie CB who wrote (16887)5/16/2005 2:53:57 AM
From: stockman_scott  Respond to of 20773
 
angrybear.blogspot.com



To: Jim Willie CB who wrote (16887)5/16/2005 4:25:03 AM
From: stockman_scott  Read Replies (2) | Respond to of 20773
 
Staying What Course?
_________________________

By PAUL KRUGMAN
Columnist
The New York Times
May 16, 2005
nytimes.com

Is there any point, now that November's election is behind us, in revisiting the history of the Iraq war? Yes: any path out of the quagmire will be blocked by people who call their opponents weak on national security, and portray themselves as tough guys who will keep America safe. So it's important to understand how the tough guys made America weak.

There has been notably little U.S. coverage of the "Downing Street memo" - actually the minutes of a British prime minister's meeting on July 23, 2002, during which officials reported on talks with the Bush administration about Iraq. But the memo, which was leaked to The Times of London during the British election campaign, confirms what apologists for the war have always denied: the Bush administration cooked up a case for a war it wanted.

Here's a sample: "Military action was now seen as inevitable. Bush wanted to remove Saddam, through military action, justified by the conjunction of terrorism and W.M.D. But the intelligence and facts were being fixed around the policy."

(You can read the whole thing at www.downingstreetmemo.com.)

Why did the administration want to invade Iraq, when, as the memo noted, "the case was thin" and Saddam's "W.M.D. capability was less than that of Libya, North Korea, or Iran"? Iraq was perceived as a soft target; a quick victory there, its domestic political advantages aside, could serve as a demonstration of American military might, one that would shock and awe the world.

But the Iraq war has, instead, demonstrated the limits of American power, and emboldened our potential enemies. Why should Kim Jong Il fear us, when we can't even secure the road from Baghdad to the airport?

At this point, the echoes of Vietnam are unmistakable. Reports from the recent offensive near the Syrian border sound just like those from a 1960's search-and-destroy mission, body count and all. Stories filed by reporters actually with the troops suggest that the insurgents, forewarned, mostly melted away, accepting battle only where and when they chose.

Meanwhile, America's strategic position is steadily deteriorating.

Next year, reports Jane's Defense Industry, the United States will spend as much on defense as the rest of the world combined. Yet the Pentagon now admits that our military is having severe trouble attracting recruits, and would have difficulty dealing with potential foes - those that, unlike Saddam's Iraq, might pose a real threat.

In other words, the people who got us into Iraq have done exactly what they falsely accused Bill Clinton of doing: they have stripped America of its capacity to respond to real threats.

So what's the plan?

The people who sold us this war continue to insist that success is just around the corner, and that things would be fine if the media would just stop reporting bad news. But the administration has declared victory in Iraq at least four times. January's election, it seems, was yet another turning point that wasn't.

Yet it's very hard to discuss getting out. Even most of those who vehemently opposed the war say that we have to stay on in Iraq now that we're there.

In effect, America has been taken hostage. Nobody wants to take responsibility for the terrible scenes that will surely unfold if we leave (even though terrible scenes are unfolding while we're there). Nobody wants to tell the grieving parents of American soldiers that their children died in vain. And nobody wants to be accused, by an administration always ready to impugn other people's patriotism, of stabbing the troops in the back.

But the American military isn't just bogged down in Iraq; it's deteriorating under the strain. We may already be in real danger: what threats, exactly, can we make against the North Koreans? That John Bolton will yell at them? And every year that the war goes on, our military gets weaker.

So we need to get beyond the clichés - please, no more "pottery barn principles" or "staying the course." I'm not advocating an immediate pullout, but we have to tell the Iraqi government that our stay is time-limited, and that it has to find a way to take care of itself. The point is that something has to give. We either need a much bigger army - which means a draft - or we need to find a way out of Iraq.

E-mail: krugman@nytimes.com



To: Jim Willie CB who wrote (16887)5/17/2005 10:24:38 AM
From: stockman_scott  Respond to of 20773
 
Film About Enron's Collapse Opens Up Wounds in Houston
_______________________

By Dana Calvo
Special to The Times
Published May 17, 2005

HOUSTON — On the movie poster for a new documentary on Enron Corp.'s financial scandal is the tagline: "It's just business." But in these parts, it's personal.

You can't swing a dead cat in Houston without hitting someone in the energy industry.

Since "Enron: The Smartest Guys in the Room" opened last month at the River Oaks Landmark Theatre, crowds have flocked to the documentary chronicling the 2001 meltdown of a pillar of Houston's energy business that was once ranked by Fortune magazine as the nation's seventh-largest corporation.

"It was everyone's scandal," 70-year-old retiree Barbara Hornbeck said after attending a matinee. "Everyone knows somebody in the industry."

During its opening week, the film grossed $30,000, more than it did at either of two New York City theaters where it also premiered, said Rob Arcos, city manager for Landmark Theatres.

"It's got people talking," said John Smaistrla, general manager of La Griglia, the upscale Italian restaurant that was once a favorite of top Enron executives. "There's no comfort level. They're still upset about Enron, and this movie just regenerates those feelings."

People here have good reason to be bitter. Nearly 6,000 employees' lives were thrown into chaos when it was discovered that executives at the energy trader were cooking the books.

Workers lost their jobs, retirement savings and health insurance. Resumes were stained with a name that embodied scandal. Small businesses that supplied Enron were abruptly left hanging.

"We all lost money in it," said Jim Walker, owner of Earth Color Houston, which printed Enron's annual reports. "I have friends who lost money in it. It's part of our community."

"Enron" is refocusing attention here on the accountability of the company's three top former executives — Chairman Kenneth L. Lay, Chief Executive Jeffrey K. Skilling and Chief Financial Officer Andrew S. Fastow. Lay and Skilling are scheduled to go on trial on criminal fraud charges in January; Fastow agreed to cooperate with officials in exchange for a 10-year prison sentence. He also will pay nearly $30 million in restitution.

All three men are featured like movie stars on a blue banner hanging from the River Oaks marquee. For Lay it's an especially dubious honor — he once was an elite member of Houston's business community, a benefactor to its arts and a close friend of President Bush. The year before Enron collapsed Lay cashed in stock and options worth $123 million.

Now Lay is one of the nation's most recognized faces of alleged corporate fraud and excess. At the film's premiere last month, attendees were handed paper Lay masks to wear.

Attorneys for Lay and Skilling said the film was loose with the facts.

"It's a caricature," said Lay's attorney, Michael Ramsey. "Houston's a lot closer to the Enron story than anywhere else, so I would expect more people would go see it than in Dubuque. But that also makes me very anxious about a movie that obviously is not founded on truth. They're contaminating a jury pool."

Ramsey cited as an example the filmed testimonial that Enron employees were barred from accessing their 401(k) retirement funds while the company tumbled toward bankruptcy. A lineman from Portland General Electric, a company acquired by Enron in 1997, said his retirement fund of more than $300,000 was reduced to $1,200 by the time he could get to it.

"That's just not true," Ramsey said. "It is a lie."

Skilling's attorney, Daniel Petrocelli, said his client had not seen the movie but worries that prospective jurors will be influenced.

"It's false, fictional and a real disservice to all the people who worked at Enron," Petrocelli said.

The film is reopening other wounds. During a question-and-answer session with the filmmakers after a screening for ex-Enron employees, Carol Baxter, widow of the former Enron Vice Chairman J. Clifford Baxter, who committed suicide in 2002, challenged her husband's portrayal as manic-depressive. She said he had never been diagnosed with the disorder.

But "Enron" is mostly drawing praise from critics. It was nominated for the Grand Jury Prize at this year's Sundance Film Festival. The film was funded by HDNet Films and distributed by Magnolia Pictures, both owned by Dallas Mavericks owner Mark Cuban and partner Todd Wagner. They also own the Landmark chain.

The film is directed by Alex Gibney, whose past works include the Emmy-nominated "The Soul of a Man," and was produced in association with Fortune based on a book by reporters Bethany McLean and Peter Elkind.

"Enron" is now playing on 126 screens nationwide, and continues to do such a bang-up business at the 500-seat River Oaks that the owners plan to extend its run until at least August. The theater is in one of Houston's most expensive enclaves, known for enormous chalets and fastidiously landscaped grounds.

It's just the kind of neighborhood where Enron's elite lived during the company's halcyon days. Indeed, one recent afternoon the theater's manager and an employee spied Skilling at a nearby Starbucks. Theater employee Josh Trotter approached Skilling, asking him to autograph an "Enron" poster.

He politely declined.

chicagotribune.com



To: Jim Willie CB who wrote (16887)5/18/2005 3:18:19 AM
From: stockman_scott  Respond to of 20773
 
Start a War, No Money Down!
_____________________________

By MATT MILLER
Columnist
The New York Times
May 14, 2005

[Infomercial director: " 'The Republican Guide to Wartime Tax Cuts' ... Take One ... Action!"]

ANNOUNCER: In the old days, war profiteering was a grueling round-the-clock job. You actually had to make something, like planes or guns, and then overcharge the government obscenely. Now, thanks to the Republicans, countless Americans are becoming "war profiteers" in their spare time - and you can, too. Riches once thought to be the exclusive preserve of a few unsavory arms merchants have been made available to thousands of successful Americans, many of whom pull in the cash literally as they sleep!

What's their secret? With "The Republican Guide to Wartime Tax Cuts," you can find out what's in the playbook of Republican professionals. You'll get the war you want without laying out a dime, even as you benefit from huge tax cuts to boot (note: certain income thresholds apply).

And here's the kicker: you can slip the bill for all of this - both the war and your tax cut - to unsuspecting children!

I know what you're thinking: "I don't have the self-confidence or social skills to reach for such dreams." But here's the truth: neither did Republicans a few years ago. Yet just this week they came through again. On Wednesday, George Bush signed into law an additional $82 billion for Iraq, which brings the amount America has spent to oust Saddam Hussein and occupy the country close to $300 billion.

Now, whatever you thought about Saddam, the best news is this: we got this war for no money down and zero payments for 10 years. That's right: every penny spent on this war has been added to the deficit. And this latest $82 billion sailed through without a hitch, with no pesky questions as to whether we should actually pay for our own wars today.

(Yes, there was one scare, when Joe Biden said we could do that by repealing a sliver of the tax cuts with which the G.O.P. has incentivized important Americans. Luckily this notion was swatted away as "nongermane.") Now the drive for more tax cuts continues, even as yearly deficits close in on half a trillion dollars!

If you're ready to bring into your own life the power that this total suppression of fiscal and moral reality can offer, "The Republican Guide" is for you. Our CD's and training manuals will teach you how to profit during wartime without ever leaving your home. In an age of everlasting war, we'll show you which congressmen to call to make sure your tax cuts are permanent to match.

But there's more. Beyond learning how to maximize your own wartime tax cuts, you'll master previously undisclosed behavioral secrets that let you act as if there's nothing wrong with getting yours while the getting's good - just as top Republicans do!

Don't take my word for it. Listen to how someone just like you changed his life in a few short hours of study.

[Testimonial]

THIRTY-SOMETHING MALE: I never felt strong enough to utterly ignore Judeo-Christian ethics, even though I suspected that could get me the life I dreamed of. That's why "The Republican Guide" is so inspiring.

Believe it or not, there was actually a time when it was considered offensive to fight wars and cut taxes at the same time. In those days, conservatives were ostracized for wanting to scrap estate taxes for wealthy heirs while soldiers died in distant lands and their families scraped by on food stamps. I know - it seems so far away!

That's when I had to ask myself: if Republicans could find the courage to put these inhibitions behind them, imagine what I could do to reach for the brass ring in my own life. Now, though I'd rather not go into the details, I make more money, pay less taxes and have a beautiful wife and child.

[Back to announcer]

ANNOUNCER: So what are you waiting for? Our operators are standing by at call centers in India. Let "The Republican Guide to Wartime Tax Cuts" change your life, just as it's changed America.

[Voice-over]

WARNING: Support for the Republicans' wartime fiscal policy may include such side effects as 50 million uninsured, crumbling roads and bridges, and swelling inequality. If you are concerned about any of these symptoms, please call Dr. Howard Dean.

nytimes.com

Matt Miller is a fellow at the Center for American Progress. Maureen Dowd is on book leave until July 6.



To: Jim Willie CB who wrote (16887)5/19/2005 3:04:13 PM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
Economies stare down $105 barrel

news.scotsman.com

By DOUGLAS LOW

I WROTE a letter to a newspaper recently in response to an article it published reporting that either the United States or Israel would start bombing Iran if it did not stop its uranium enrichment program.

According to the Iranians, this enriched uranium is to be used for producing electricity, not an unreasonable objective given that we do it ourselves, as do the Americans and Israelis.

The point of my letter was that to threaten Iran with bombing, whatever the reason, was tantamount to economic suicide for the Americans, because Iran is the world’s number four oil producer.

Were it to shut its oil taps, the price of crude oil would rocket - from its already historically high price at the moment - sending the American, and global, economy into turmoil. The problem is global oil production is now peaking. If the peak does not occur this year, we’ll be lucky.

The first person to warn of a peak in global oil production was an American called M King Hubbert. In 1956 he predicted that US oil production would peak in about 1970. He was castigated for suggesting anything so outrageous, but by 1973 it had become apparent that he was correct.

In the late 1960s Hubbert went further and predicted that global oil production would peak in about 2000. He was about five years too early.

After Hubbert’s eerie predictions, all went quiet until a British gentleman - Colin Campbell - who had spent his whole life trying to find new oil for the big oil companies re-ignited the subject about 15 years ago. He is convinced global production will peak within the next two years.

There are two reasons why I think that a peak in global oil production is imminent.

Firstly, the top seven oil producing nations (in order: Saudi Arabia; Russia; the US; Iran; China; Mexico; Norway) are all either in decline or close to peak.

Secondly, the big new oil projects are not kept secret.

It takes on average six to seven years from finding a new "mega-field" to producing oil from it. Since we know all the pending big projects, we can predict reasonably accurately the maximum amount of oil that can be produced for each of the next six to seven years. Oil production will peak within the next two years.

However, oil prices are at record levels now, and yet no-one mentions peak oil, so why are prices so high?

At this moment we are producing enough oil to meet demand, just. But later this year it is predicted that demand will outstrip supply. That is why oil prices are high now, in anticipation of a shortage later this year. It is also the reason why, just over a week ago, Goldman Sachs, one of the world’s largest investment banks, issued a report stating that oil prices have entered a "super-spike" period that could reach $105 a barrel (about double the current price). The fear is that such high oil prices will bring on high inflation and high interest rates at a time when so many people are heavily in debt.

In December, Deutsche Bank issued its own report that warned: "The end-of-the-fossil-hydrocarbons scenario is a view of scarcity in the coming years and decades that must be taken seriously."

On March 7, the International Energy Agency convened a private conference to discuss the looming oil crisis. The results are due to be published later this month and will include suggestions such as driving bans and shorter working weeks.

THE event that convinced me peak oil is upon us happened on Wednesday, March 16, but no one seemed to notice. Opec (the Organisation of Petroleum Exporting Countries) announced it was to raise production by 500,000 barrels per day. At any other time in recent history, this would have sent oil prices down, but not this time - they went up even further.

The reason was partly that Opec was overproducing its quotas by more than this amount, so in effect they were not increasing production at all. Moreover, an increasing number of oil analysts now believe Opec has little or no spare capacity left. In which case, no one has.

But if global oil production is reaching its peak, then this is just the beginning of high oil prices and high inflation.

We need to be asking our politicians why they plan to spend billions of pounds on new roads, airports and rail links to airports when the oil to supply the transport is running out. The era of cheap transport is nearing an end.

Iran, by the way, produces about four million barrels of oil a day out of a world total of about 84 million, more than twice as much as the UK.

The last time it cut its oil supply to the world’s markets (1979 - the Iranian revolution), oil prices doubled and shortly after we had interest rates of about 15 per cent.
_______________

Douglas Low is a member of Depletion Scotland, an Edinburgh-based group with the aim of raising awareness of the imminent peak in global oil production. A conference, Peak Oil UK: Entering the Age of Oil Depletion, will be held at the Royal Museum of Scotland, Edinburgh, on Monday, April 25. See depletion-scotland.org.uk for more information



To: Jim Willie CB who wrote (16887)8/22/2005 5:31:56 PM
From: stockman_scott  Respond to of 20773
 
China wins PetroKazakhstan
_____________________________________________

by Nick Watson
TheDeal.com
22, Aug 2005

PetroKazakhstan Inc. announced Monday, Aug. 22, that China's CNPC International Ltd. had outbid India's Oil and Natural Gas Corp. Ltd. to acquire the Calgary, Alberta-based company, paying a hefty $4.18 billion to secure much-needed oil reserves.

PetroKazakhstan, which has operations in the Central Asian republic of Kazakhstan, put itself up for sale in June following a serious breakdown in its relations with the Kazakh government. Kazakhstan is gradually easing out Western investors and looking to bring in more acquiescent Asian partners, whose governments have lobbied heavily to gain access to the country's large oil and gas reserves.

PetroKazakhstan said CNPC International, a wholly owned subsidiary of state-owned China National Petroleum Corp. and its listed arm PetroChina Co., will offer US $55.00 per share in cash for all outstanding common shares of PetroKazakhstan.

The offer represents a premium of 21% to the closing price on August 19, which analysts say reflects China's intense desire to secure oil reserves to fuel its booming economy after another Chinese company, CNOOC Ltd., had to abandon its $18.5 billion bid for of El Segundo, Calif.-based Unocal under intense pressure from Congress.

Analysts say the price values PetroKazakhstan's proved and probable reserves of 550 million barrels of oil equivalent at roughly $7.60 a barrel, in line with other international oil firms though about five times more expensive than neighboring Russian firms.

The boards of both PetroKazakhstan and CNPC International have recommended its shareholders accept CNPC International's offer.

PetroKazakhstan is being advised by Goldman, Sachs & Co.'s London-based office. The Chinese consortium is being advised by CNPC's long-standing financial adviser Citigroup Inc.



To: Jim Willie CB who wrote (16887)8/25/2005 1:30:06 PM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
The American Economy is Destroying Itself
___________________________________________

Hegemony Lost

By PAUL CRAIG ROBERTS*

The historian who chronicles America's decline will lay the blame on free market ideology.

I say this as a believer in the market. My books and scholarly articles demonstrate the superiority of market systems over government allocative schemes. The problem arises when market economics ceases to be thoughtful and becomes ideological or a dogma.

A good example of the latter is a recent Heritage Foundation study that argues that global outsourcing is the best way to equip the US military with the best technology at least expense. The study brushes away concerns with the erosion of the American manufacturing, science, and engineering knowledge base by asserting that such concerns imply protectionism and that protectionism means the death of innovation.

Protectionism can be problematical for innovation, and the study is correct to point this out. Where the study fails is in ignoring that innovation does not take place in a vacuum. Innovation requires a material base and depends on a strong manufacturing, science and engineering foundation backed by R&D programs.

In an interview with Manufacturing & Technology News (August 8), the study's project leader, Jack Spencer, sees protectionism as the only threat to American innovation, which he otherwise takes for granted:

"Our belief is that subjected to the free market, the United States is still going to produce most things because our comparative advantages are innovation and new technology. If liberated from protectionism, we can compete and that is where we will always emerge as winners."

This belief is simply untrue. As this belief is the basis for the study, the study has done nothing but confirm a preordained belief.

The US has no God-given comparative advantage in innovation and new technology. We were leaders in these fields, because we were leaders in manufacturing.

We were leaders in manufacturing, because Europe and Japan destroyed themselves in wars, and the rest of the world destroyed themselves in various forms of socialism and cronyism.

America's hegemony in manufacturing, science and engineering was the product of historical circumstances. Moreover, it occurred despite American protectionism.

The historical circumstances have changed. The US gave away its scientific and engineering education and its agriculture. It did this partly for idealistic reasons and partly as cold war strategy.

Once socialism collapsed in Asia, US corporations began outsourcing abroad the manufacture of products for US markets. Success with offshore manufacturing has led to offshore outsourcing of research and development and now innovation itself.

As a recent report from the National Research Council recognizes, "product development and technical support follow manufacturing." One consequence for America is the loss of many manufacturing capabilities and "the increasing availability abroad of unique technologies not found in the United States."

This development is taking a huge toll on America's human resources in manufacturing skills, engineering and science. The first American victims were blue collar workers. Millions of them lost their jobs and experienced sharp declines in the quality of their lives. But as research, engineering, design, and innovation followed manufacturing abroad, now it is white collar workers in information technology and university graduates in engineering and physics who are being displaced.

American university enrollments in science and engineering are declining because there are no jobs for graduates. It is pointless to invest money, sweat and toil in an education that has no payoff. Markets do work. Markets are working to shrink the demand for, and supply of, American engineers and scientists.

The next impact is going to be on project manager jobs, practically the sole remaining source of career related employment for many engineers and technical people. Project management jobs require people experienced with the technology of the job. The loss of technical and engineering jobs empties the pipeline of people who have the experience to assume management positions. Far from being able to innovate, the US will even lack the human resources to manage technical and scientific projects.

Many uninformed people believe the problem is that America doesn't produce enough scientists and engineers. Manufacturing & Technology News reports that "a group of 15 US business organizations has launched a national campaign aimed at doubling within 10 years the number of bachelor's degrees in science, technology, engineering and mathematics."

What is the point of this when there is a huge supply of unemployed engineers and technical people who have been displaced by offshore outsourcing and by H-1b and L-1 work visas for foreigners? I know an American software engineer in his thirties whose job was outsourced. After searching fruitlessly for a job for four years, he took a job in Thailand writing software programs for $850 per month.

The anecdotal stories are legion. Yesterday, a friend reported to me that the service technician who repaired his garage door opener said his company was flooded with resumes from college graduates and engineers who cannot find work and are willing to take jobs installing garage doors.

US executives, with an eye to quarterly earnings and their bonuses, continue to spend considerable resources lobbying for increases in work visas that enable them to replace their American engineers, scientists, and technical people with lower cost foreigners. These executives lie through their teeth when they assert the lack of qualified Americans for the jobs. The fact of the matter is, the executives force their American employees to train their foreign replacements and then fire their American workers.

In a word, American capitalism is destroying itself by dismantling the ladders of upward mobility that have made large income inequalities acceptable. By rewarding themselves for destroying American jobs and manufacturing, engineering and scientific capabilities, US executives are sowing a whirlwind. American political stability will not survive the turning of an American university degree into a worthless sheet of paper. Libertarians and free market ideologues who rejoice in freedom should open their eyes to freedom's destruction.
________________________________________________

*Paul Craig Roberts has held a number of academic appointments and has contributed to numerous scholarly publications. He served as Assistant Secretary of the Treasury in the Reagan administration. His graduate economics education was at the University of Virginia, the University of California at Berkeley, and Oxford University. He is coauthor of The Tyranny of Good Intentions. He can be reached at: paulcraigroberts@yahoo.com
________________________________________________

vdare.com



To: Jim Willie CB who wrote (16887)8/25/2005 4:48:40 PM
From: stockman_scott  Read Replies (1) | Respond to of 20773
 
Princeton's Paul Krugman says the real estate market is heading for a tumble next year...

money.cnn.com



To: Jim Willie CB who wrote (16887)8/29/2005 12:10:28 AM
From: stockman_scott  Respond to of 20773
 
The Geopolitics of Katrina
______________________________

ALERTS 08.28.2005

A Category 5 hurricane, the most severe type measured, Katrina has been reported heading directly toward the city of New Orleans. This would be a human catastrophe, since New Orleans sits in a bowl below sea level. However, Katrina is not only moving on New Orleans. It also is moving on the Port of Southern Louisiana. Were it to strike directly and furiously, Katrina would not only take a massive human toll, but also an enormous geopolitical one.

The Port of Southern Louisiana is the fifth-largest port in the world in terms of tonnage, and the largest port in the United States. The only global ports larger are Singapore, Rotterdam, Shanghai and Hong Kong. It is bigger than Houston, Chiba and Nagoya, Antwerp and New York/New Jersey. It is a key link in U.S. imports and exports and critical to the global economy.

The Port of Southern Louisiana stretches up and down the Mississippi River for about 50 miles, running north and south of New Orleans from St. James to St. Charles Parish. It is the key port for the export of grains to the rest of the world -- corn, soybeans, wheat and animal feed. Midwestern farmers and global consumers depend on those exports. The United States imports crude oil, petrochemicals, steel, fertilizers and ores through the port. Fifteen percent of all U.S. exports by value go through the port. Nearly half of the exports go to Europe.

The Port of Southern Louisiana is a river port. It depends on the navigability of the Mississippi River. The Mississippi is notorious for changing its course, and in southern Louisiana -- indeed along much of its length -- levees both protect the land from its water and maintain its course and navigability. Dredging and other maintenance are constant and necessary to maintain its navigability. It is fragile.

If New Orleans is hit, the Port of Southern Louisiana, by definition, also will be hit. No one can predict the precise course of the storm or its consequences. However, if we speculate on worse-case scenarios the following consequences jump out:

The port might become in whole or part unusable if levees burst. If the damage to the river and port facilities could not be repaired within 30 days when the U.S. harvests are at their peak, the effect on global agricultural prices could be substantial.

There is a large refinery at Belle Chasse. It is the only refinery that is seriously threatened by the storm, but if it were to be inundated, 250,000 barrels per day would go off line. Moreover, the threat of environmental danger would be substantial.

About 2 percent of world crude production and roughly 25 percent of U.S.-produced crude comes from the Gulf of Mexico and already is affected by Katrina. Platforms in the path of Katrina have been evacuated but others continue pumping. If this follows normal patterns, most production will be back on line within hours or days. However, if a Category 5 hurricane (of which there have only been three others in history) has a different effect, the damage could be longer lasting. Depending on the effect on the Port of Southern Louisiana, the ability to ship could be affected.

A narrow, two-lane highway that handles approximately 10,000 vehicles a day, is used for transport of cargo and petroleum products and provides port access for thousands of employees is threatened with closure. A closure of as long as two weeks could rapidly push gasoline prices higher.

At a time when oil prices are in the mid-60-dollar range and starting to hurt, the hurricane has an obvious effect. However, it must be borne in mind that the Mississippi remains a key American shipping route, particularly for the export and import of a variety of primary commodities from grain to oil, as well as steel and rubber. Andrew Jackson fought hard to keep the British from taking New Orleans because he knew it was the main artery for U.S. trade with the world. He was right and its role has not changed since then.

This is not a prediction. We do not know the path of the storm and we cannot predict its effects. It is a warning that if a Category 5 hurricane hits the Port of Southern Louisiana and causes the damage that is merely at the outer reach of the probable, the effect on the global system will be substantial.
Send questions or comments on this article to analysis@stratfor.com.