Today’s News 6th June 2019

  • Israeli Navy Deploys Drone Boat To Hunt Submarines During War Exercise 

    Seagull, Elbit Systems‘ groundbreaking autonomous vessel recently participated in an Anti-Submarine Warfare (ASW) exercise conducted by the Hellenic and Israeli Navy.

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    The multi-mission drone ship deployed dipping sonar sensors initially designed to be carried by helicopters.

    “The Seagulls’ performance in the exercise demonstrated that operating a dipping sonar onboard such a vessel significantly increases the operational working time while substantially enhancing detection capabilities and the effectiveness of Anti-Submarine Warfare,” said Elbit.

    Three months before the exercise, the Israeli Navy completed a Sea Acceptance Test (SAT) for the dipping sonar (otherwise known as the Helicopter Long-Range Active Sonar (HELRAS)) that was successfully converted from operations on a helicopter to an autonomous boat.

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    The HELRAS was developed in the 1970s by FIAR and British Aerospace to detect submarines. The sensor was used throughout the Cold War for detection of Russian submarines.

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    The Seagull team includes three operators, with two remotely managing the mission and the third monitoring the autonomous navigation.

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    While transiting across the waters, the Seagull can perform real-time detections, mapping, and classification of submarines and mines.

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    The Seagull is not the first autonomous platform to be designed with submarine hunting in mind.

    The autonomous ship “Sea Hunter,” developed by the Defense Advanced Research Projects Agency (DARPA) to hunt submarines, was successfully transferred to the US Navy in 1Q18.

    The US Navy also added a fleet of autonomous submarines with the purchase of four of Boeing’s Orca Extra Large Unmanned Undersea Vehicles (XLUUVs) that will conduct anti-submarine warfare, electronic warfare, mine countermeasures, and strike missions.

    Situational awareness of the sea will lie at the heart of 21st-century ASW and has remained a core mission area for the US Navy.

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    It seems America’s allies and the US Navy are racing towards acquiring new technologies that will better prepare them for future submarine warfare with Russia and or China.

  • Berlin's "Quds Day" Panic Of 2019

    Authored (satirically) by CJ Hopkins via The Unz Review,

    So it appears we managed to survive another terrifying Quds Day in Berlin. It was certainly touch and go there for a while, what with the media issuing hysterical warnings about the hordes of “Hamas and Hezbollah supporters, neo-Nazis, and conspiracy theorists” that were going to materialize out of the ether, goose-step down the Kurfürstendamm, and reenact Kristallnacht, or something. The city was braced for an all-out Perso-Palestinian Quds Day Pogrom, which is always a threat on Quds Day in Berlin, but the hysteria level this year was elevated, due to the Anti-Semitism Pandemic that mysteriously erupted in 2016 for no apparent reason whatsoever.

    OK, what, you’re probably asking, is Quds Day? It’s an annual event initiated by Iran to show support for the Palestinians and opposition to Zionism. It takes place on the last Friday of Ramadan, in opposition to Israel’s Jerusalem Day, the national holiday commemorating Israel’s annexation of East Jerusalem in the aftermath of the Six-Day War.

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    In Berlin, there’s an annual Quds Day march, which the German media typically respond to by whipping up anti-Semitism hysteria and fanatical, guilt-ridden support for Israel. This year was no exception … on the contrary.

    A week or so before the event, Felix Klein, Germany’s “Commissioner for Jewish Life and the Fight Against Anti-Semitism,” warned Jews not to wear kippahs in public, on account of the unprecedented explosion of anti-Semitism throughout the country. According to the interior ministry, there were 62 violent anti-Semitic attacks in Germany during 2018, compared to 37 in 2017, which, in a nation of 83 million people, and with a history of real-life, goose-stepping Nazis, and of perpetrating the Holocaust, and so on … well, you can understand the Commissioner’s alarm.

    The international corporate media began spreading the news that Anti-Semitism was once again on the march in Germany. The BBC reported that official figures showed that 1,646 hate crimes had been committed against Jews in 2018, up 10% from 2017! CNN reported that anti-Semitic hate crimes had increased by almost 20%! According to The Jerusalem Post, there were 1,800 anti-Semitic incidents committed against Jews in 2018! It was almost as if the Anti-Semitism Pandemic was retroactively metastasizing right before our eyes.

    But whatever. The statistics don’t really matter. The point was, “Jews are not safe in Germany!” The Putin-Nazis had teamed up with the Iranian Nazis and the Syrian Nazis, who were backing the Palestinian Nazis, whose irrational hatred of the State of Israel the German Nazis had somehow weaponized (probably with a bunch of fake Facebook ads), and they were all going to storm the historic high-end shopping boulevard of West Berlin!

    Then, on Friday, the day before Quds Day, in a desperate, last-minute, tactical maneuver, German politicians and cultural figures exhorted Jews and gentiles alike to defiantly wear their kippahs on Quds Day. BILD, the leading German tabloid, even printed little cut-out “BILD kippas” (complete with meticulous assembly instructions), and called on Germans to wear them on Quds Day to show their solidarity with State of Israel … uh, sorry, I meant with the Jewish people.

    The BILD kippa tactic was a huge success! On Quds Day, fewer than a thousand people, many of them women and children, peacefully strolled along the Kurfürstendamm chanting slogans like “free, free Palestine,” and asking the world to stop the Israelis from penning people up in de facto ghettos, shooting their legs off with dum dum bullets, demolishing their houses, hospitals, and schools, stealing their land, randomly murdering them, and otherwise behaving like sadistic fascists. The hordes of “Hamas and Hezbollah supporters, neo-Nazis, and conspiracy theorists” that the corporate media had warned us were coming, oddly, never showed their faces … clearly, the “BILD kippas” scared them off.

    Or maybe it was the counter-demonstrators. Hundreds of anti-anti-Semites, including prominent German government officials, Israeli diplomats, Antifa factions, members of the local Jewish community, and BILD susbscribers confronted the march, wearing kippahs, waving Israeli flags, displaying giant “MAGA” banners, shouting “long live Israel” and “free Gaza from Hamas,” and giving the marchers the finger, and so on (which, OK, I found a little confusing, as, the last time I checked, Trump was still Hitler, and Antifa were supposedly a bunch of anarchists).

    In any event, the hysteria has subsided. Berlin and Israel appear to have survived. The Jews can come back out of hiding, although it isn’t quite clear whether Germany wants them to wear their kippahs in public or not now. Hopefully, we’ll be receiving some sort of official directive from Commissioner Klein (or possibly Axel Springer) about that.

    But, seriously, you can’t really blame the Germans for a going a little overboard with their anti-anti-Semitism hysteria or for being reluctant to criticize Israel. It wasn’t all that long ago that their parents and grandparents were heiling Hitler and systematically murdering millions of Jews, or looking the other way while it happened. Most of the Germans I’m acquainted with still feel kind of awful about that. Which isn’t terribly surprising, is it?

    I mean, imagine, if you’re one of my American readers, if some other country conquered the USA, and put our political and military leaders on trial for all the war crimes they’ve committed, and for the millions of people they’ve systematically murdered, and taught our children the truth about our history … that might give you some idea of how most Germans feel about the Nazis and the Holocaust.

    So, yes, Germans are a bit hypersensitive about anything resembling anti-Semitism, and they tend to conflate opposition to Israel with hatred of the Jewish people (despite the fact that Israel is doing a pretty convincing impression of the Nazis, what with its ethnic cleansing, walls, ghettos, sadistic goons, propaganda, and so on). Many Germans also overcompensate for their feelings of shame about the Holocaust by displaying an awkward fascination and enthusiasm for anything “Jewish” (you know, like many liberal Americans fetishize Native and African Americans), so that might explain the “BILD kippa” nonsense.

    No, I’m not mocking or scolding the Germans … they’re still trying to work their history out. I’m just trying to track the propaganda and cynical emotional manipulation that we are increasingly being subjected to as the global capitalist ruling classes wage their War on Populism. The Quds Day Panic of 2019 is just one example. There are many more, both manufactured and all-too-real. The Charlottesville NazisCharlottesville IIThe MAGA bomber. The Tree of Life shooting. The Christchurch attack. Jussie Smollett. MAGA hat Smirk Boy. And the list goes on … pretty much as it always has.

    I’m sorry if this comes as a shock to anyone, but the world has always contained a minority of racist and anti-Semitic whack jobs. They didn’t suddenly start murdering people when Brexit passed and Trump got elected. They’ve been doing that for quite some time. And of course there is still anti-Semitism in Germany. Saxony is crawling with neo-Nazis. And Iran really would like to wipe out Israel, just as Israel would like to wipe out Iran. None of this is in any way new or shocking to anyone who has been paying attention.

    The only thing that has significantly changed since November 8, 2016, is the official narrative we are being fed, in which anyone opposing global capitalism and the hegemony of neoliberal ideology is either a Russian or some kind of Nazi, and a new “anti-Semitism” or “fascism” panic is whipped up for us on a monthly basis.

    The Quds Day Panic of 2019 (like the Charlottesville Kristallnacht of 2017) is going to be rerun, over and over, in endless variations, until 2020, or whenever the global capitalist ruling classes manage to restore Normality. By that time Israeli sports teams will probably be wearing little Palestinians on their caps, Julian Assange will be locked away in Supermax, and satirists like me … well, I think you know.

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    C. J. Hopkins is an award-winning American playwright, novelist and political satirist based in Berlin. His plays are published by Bloomsbury Publishing (UK) and Broadway Play Publishing (USA). His debut novel, ZONE 23, is published by Snoggsworthy, Swaine & Cormorant Paperbacks. He can be reached at cjhopkins.com or consentfactory.org.

  • Do You Believe In UFOs? China Hints At Next Generation Ballistic Missile Test

    UFO sightings across several provinces in China on Sunday was actually a Chinese submarine-launched ballistic missile (SLBM) test. China’s military hinted on social media Monday that it conducted a missile test after it posted a cryptic message about UFOs and a picture of an SLBM, reported the Global Times.

    The People’s Liberation Army (PLA) Rocket Force’s Sina Weibo account, called DF Express, wrote a post Monday evening that said “Do you believe there are UFOs in this world?” with a picture of a ballistic missile in launch position.

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    The Navy then posted on its Weibo account an SLBM test, with a similar message: “Do you believe in UFOs?”

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    PLA forces conducted the SLBM test in the Bohai Sea and Bohai Straits, off the coast of northeastern China, which lines up with dozens of social media reports from residents across various Chinese provinces saying they saw a UFO streak across the sky.

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    Jane’s Defence Weekly said Sunday’s SLBM test could have been China’s next generation SLBM, called the JL-3.

    The JL-3 is China’s third-generation SLBM that will likely deploy with the Type 096 submarine. The new missile is expected to fly further and is capable of carrying more warheads than current SLBMs, Xu Guangyu, a senior consultant at the China Arms Control and Disarmament Association, told the Global Times on Tuesday.

    According to RT, the JL-3 has a range of up to 8,700 miles and can carry ten guided nuclear warheads. The long range of the SLBM allows it to strike Washington without a problem from the Bohai Straits. If China swaps out nuclear warheads with hypersonic gliders, it could be an unstoppable weapon for deterrent purposes.

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    Despite social media posts from the military, there is still no confirmation from Beijing about the launch.

    The missile launch came shortly after the US Department of Defense published its Indo-Pacific Strategy Report, along with the Trump administration raising 25% tariffs on $200 billion of Chinese goods on Saturday.

    Guangyu told the Global Times it’s necessary for China to showcase its new, rapidly growing military strength to counter US provocations.

    And again, more evidence in real-time shows a rising China with impressive military strength is generating structural stress that threatens to dissolve America’s global empire and could eventually lead to a military conflict, otherwise known as Thucydides’s Trap.

  • War Propaganda & The US Military Build-Up Against Iran

    Via Southfront.org,

    Tensions continue to grow in the Persian Gulf.

    In early May, the US deployed the USS Abraham Lincoln strike group as well as the USS Arlington amphibious transport dock, additional marines, amphibious vehicles, rotary aircraft, Patriot missiles and a bomber strike force to the region claiming that this is a needed measure to deter Iran, which allegedly prepares to attack US troops and infrastructure.

    On May 21, Acting Defense Secretary Patrick Shanahan claimed that the US had succeeded in putting the potential of Iranian attacks “on hold.” The declared victory over the mythical “Iranian threats” did not stop the US from a further military buildup.

    On May 25, President Donald Trump declared that the US is sending 1,500 troops, 12 fighter jets, manned and unmanned surveillance aircraft, and a number of military engineers to counter Iran.

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    Trump also approved an $8 billion sale of precision guided missiles and other military support to Saudi Arabia, using a legal loophole. The Trump administration declared an emergency to bypass Congress, citing the need to deter what it called “the malign influence” of Iran.

    The forces deployment was accompanied with a new round of fear-mongering propaganda.

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    On May 24, Adm. Michael Gilday, director of the Joint Staff, issued a statement saying  that “the leadership of Iran at the highest level” ordered a spate of disruptive attacks including those targeting an Aramco Saudi oil pipeline, pumping facilities, the recent sabotage of four tankers near the Strait of Hormuz, as well as a May 19 lone rocket attack on the area near the US embassy in Baghdad. Besides this, he repeated speculations about “credible reports that Iranian proxy groups intend to attack U.S. personnel in the Middle East”. Nonetheless, Adm. Gilday offered nothing that may look like hard proof to confirm these claims.

    On May 28, National Security Adviser John Bolton blamed “naval mines almost certainly from Iran” for the incident with oil tankers off the UAE.

    On May 30, Saudi Arabia’s King Salman went on an anti-Iran tirade during an emergency meeting of Arab leaders hosted in Mecca. He described the Islamic Republic as the greatest threat to global security for the past four decades, repeated US-Israeli accusations regarding the alleged Iranian missile and nuclear activities and urged the US-led bloc to use “all means to stop the Iranian regime” from its regional “interference”.

    Despite the war-like rhetoric of the US and its allies and the recent deployment of additional forces in the region, Washington seems to be not ready for a direct confrontation with Iran right now. The USS Abraham Lincoln strike group remains outside the Persian Gulf, in the Arabian Sea, demonstrating that the Washington establishment respects the Iranian military capabilities and understands that the US Navy might lose face if the carrier were to make an attempt at demonstrating US naval power too close to Iranian shores.

    Iran, in its own turn, stressed that it is not going to step back under these kinds of threats. Iran’s President Hassan Rouhani said that his country would not be coerced into new negotiations under economic sanctions and threat of military action.

    “I favor talks and diplomacy but under current conditions, I do not accept it, as today’s situation is not suitable for talks and our choice is resistance only,” Rouhani said.

    In the coming months, the US-Iranian confrontation in the diplomatic, economic and military spheres will continue to develop. Threats and aggressive actions towards Iran will not go without response. Nonetheless, it is unlikely that Teheran would move to instigate a hot conflict by its own accord, if no red lines, such as a direct attack on Iranian vital infrastructure or oil shipping lines, are crossed.

  • Alabama Passes Bill Requiring Certain Child Molesters To Be Chemically Castrated

    HB 379 in Alabama is a bill that requires certain child sex offenders to undergo chemical castration and, according to Fox News, it is now just awaiting the governor’s signature before becoming law. Unlike physical/surgical castration, chemical castration uses drugs to suppress sexual urges.

    The bill was introduced by Republican state Rep. Steve Hurst and specifically targets sex offenders whose crimes involve anyone under the age of 13. Hurst says that his aim is to reduce the number of sex crimes committed against children by making offenders “think twice” before they act. 

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    Rep. Steve Hurst

    “If we do something of this nature it would deter something like this happening again in Alabama and maybe reduce the numbers,” Hurst continued.

    Hurst said: “They have marked this child for life and the punishment should fit the crime.”

    To add insult to injury, the offender would also have to pay for the procedure. Refusing the procedure would result in a violation of parole, according to the bill. 

    Hurst concluded: “I had people call me in the past when I introduced it and said, ‘Don’t you think this is inhumane?’ I asked them what’s more inhumane than when you take a little infant child, and you sexually molest that infant child when the child cannot defend themselves or get away, and they have to go through all the things they have to go through. If you want to talk about inhumane — that’s inhumane.”

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    Attorney Raymond Johnson said there’s already harsh enough punishment for child molestation. He argues that the bill is going to meet resistance: 

    “They’re going to challenge it under the Eighth Amendment Constitution. They’re going to claim that it is cruel and unusual punishment for someone who has served their time.”

    Several states have already passed similar bills, but it is not known how often the procedure occurs.

    The bill now sits on Gov. Kay Ivey’s desk and awaits her signature. 

  • US Army Officer Urges "Swift, Responsible Disengagement" From Afghanistan

    Authored by Danny Sjursen via The Future of Freedom Foundation,

    The United States has been at war in Afghanistan for more than seventeen years. Despite many years of effort and billions spent, the U.S. military is still suffering casualties in that remote land. In 2017, fourteen American soldiers died in Afghanistan — some, in fact, shot from behind by their supposed local allies. Already, through January 2019, two more American troopers have been killed. They were the 2,418th and 2,419th U.S. military deaths in the war since 2001.

    None of this sacrifice has defeated the Taliban or staved off enemy military advances throughout the country over the last several years.  In fact, there have been a number of spectacular Taliban successes and attacks of late. On August 21, 2018, Afghan President Ashraf Ghani’s speech in the heavily fortified capital city of Kabul was interrupted by dozens of mortar rounds fired by the Taliban. It was no mere anecdotal anomaly.

    In fact, August 2018 was the bloodiest August in terms of Afghan security-force casualties in any of the past 39 years of persistent war. In one district, 100 Afghan commandoes — the pride of the U.S. advisory effort — were slaughtered. In a five-day battle for the city of Ghazni, 100 more soldiers and police were killed, along with 150 civilians, when the Taliban massed 1,000 fighters to rush and briefly seize the city. At least 350 other Afghan National Defense and Security Forces (ANDSF) members were killed this past August. Massive high-casualty Taliban attacks proliferated throughout 2018, and have continued in the new year, with more than 100 Afghan troops killed in a single attack on January 22, 2019. Such casualty levels are, frankly, unsustainable.

    To say the least, the war is not going well. That became inevitable the moment the United States initiated its “nation-building” strategy in 2002, and has remained the case irrespective of the levels of U.S. military and financial investment through the intervening seventeen years. America’s longest war has decidedly not achieved the supposed goal of establishing a liberal democracy in Afghanistan.

    Luckily, in December 2018, Donald Trump announced his tentative decision to begin a U.S. troop withdrawal from Afghanistan and gradually de-escalate this unwinnable war. It remains to be seen, however, whether he will be dissuaded from doing so by a bipartisan, interventionist clique of the media and his own advisors.

    Now is the key opportunity to end this aimless, costly war. As such, two realities should inform U.S. policy in this troubled country.

    First, the seventeen-year active U.S. role in Afghanistan is only part of an intractable, ongoing 39-year war that the U.S. government and military cannot and will not “fix.”

    Second, there is no military solution to the conflict in Afghanistan and it is long past prudent to disengage and bring all U.S. troops home, and simply accept the potential ugliness of Afghanistan — and the world — as it is, rather than how interventionists want things to be.

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    The bottom line

    1. The ongoing campaign in Afghanistan is America’s longest war, yet it has been largely unsuccessful and inconclusive. That is due to a key reality — the U.S. armed forces have gone to prop up the Afghan government, and there is no external military solution to Afghanistan’s ongoing 39-year conflict.

    2. Consistent and even amplified U.S. government spending has not produced, and is not producing, successful outcomes. Current political, economic, and security indicators are trending downward throughout Afghanistan.

    3. Risks to the United States in the way of casualties and monetary costs outweigh any potential benefits. Though casualty levels have decreased consistently with reductions in troop levels, American servicemen and women continue to die in this indecisive war.

    4. Two decades of futile efforts across the Greater Middle East show that armed nation-building does not work. The emergence of a stable, liberal democracy in Afghanistan, while theoretically desirable, is not a legitimate role for the U.S. government and vital national interest, and isn’t an achievable outcome in any event.

    5. The Taliban and homegrown, Afghan Islamist insurgent and terror groups do not present an existential threat to the United States.

    A brief history of a four-decade war

    Historically, Afghanistan has been a decentralized region resistant to foreign invasions or occupations. The modern borders, and concept, of Afghanistan coalesced only with the 1747 foundation of the Durrani Empire. During the 19th century, Afghanistan was a tool and buffer in the “Great Game” between the British and Russian empires in Central Asia. Misplaced British fears of Russia’s southward expansion led to three disastrous Anglo-Afghan Wars between 1842 and 1919. Afghanistan was a moderately stable monarchy in the first three-quarters of the 20th century. During the early Cold War, its government successfully played the United States and its global rival the Soviet Union against one another and received development aid from both.

    However, the 1970s ushered in a persistent slide toward instability.  The opposing Communist and Islamist movements each grew in strength and battled for control.  The Soviet Union intervened in 1979 to prop up the nascent Communist government and waged a 10-year counterinsurgency against various Islamist mujahideen fighters opposed to the secular and socialist reforms of the new government. Despite committing some 120,000 modern troops and suffering tens of thousands of casualties, the Soviets ultimately failed in the face of Islamist-nationalist resistance and U.S military aid provided to the mujahideen through the auspices of the CIA.

    The Soviets withdrew in 1989 and by 1991 both the U.S and Russian governments cut off military aid to the Afghan combatants. Brutal years of civil war followed. The Soviet puppet, Najibullah, held out for three years but fell to a mujahideen coalition in 1992. Afterwards the mujahideen factions fractured and divided the country among venal warlords. In response, in 1993-94, conservative, rural, and frustrated Pashtun clerics and students formed the hyper-Islamist Taliban movement and fought the warlords with increased success, eventually seizing Kabul in 1996. From 1996 to 2001, the Taliban imposed a brutal, archaic, and intolerant regime across most of Afghanistan. Nevertheless, a “Northern Alliance” of mostly minority groups (Tajiks, Uzbeks, and Hazara) continued to resist in the far northern quarter of Afghanistan. During that period, the Saudi international terrorist Osama bin Laden sought and received safe haven from the Taliban regime.

    After the bin Laden-perpetrated 9/11 attacks on New York and Washington, the U.S. military invaded Afghanistan and toppled the Taliban regime, largely destroying or dispersing the al-Qaeda presence in the country. After deposing the Taliban, the United States and NATO made the fateful, and ultimately horrific, decision to shift the mission to nation-building. The continued foreign occupation of the country eventually buttressed the power and influence of the nearly shattered Taliban movement, which now gained strength and began contesting large sections of Afghanistan’s south and east by 2006. Increased violence and instability led to the announcement of a military “surge” by Barack Obama in 2009.  By 2011, nearly 100,000 U.S. service members patrolled Afghanistan, though the Taliban was never decisively defeated. By 2014, the United States transitioned to an advisory mission of training the ANDSF and combatting transnational terror threats. Taliban influence only grew, and by 2018 the enemy contested or controlled a higher percentage of Afghan districts than at any previous time since the 2001 invasion.

    A question of legitimacy

    The Afghan central government in Kabul is largely unpopular and considered by many to be illegitimate. It faces regular criticism from the population and international community for its corruption, division, and inability to guarantee security. As a recent U.S. congressional report concluded, “Afghanistan’s … political outlook remains uncertain, if not negative, in light of ongoing hostilities.” Recent trends indicate that the U.S.-backed federal government is fragmenting along ethnic and ideological lines. That should come as little surprise. The last two presidential elections — in 2009 and 2014 — have been wracked by allegations of fraud, and the Parliamentary elections (scheduled for October 2016) were delayed almost indefinitely. Security is the main issue.  Some 1,000 of 7,400 existing polling stations are now located in areas outside the government’s control. In the last presidential election, the United States had to broker a compromise arrangement between the two leading candidates in order to break the deadlock.

    In recent years, the Uzbek Vice President (and notorious warlord) Abdul Rashid Dostum has criticized President Ghani’s government for favoring Pashtuns at the expense of minority groups. Dostum even fled the country in May 2017, in the wake of accusations of his perpetuation of political violence. That same month, representatives of several ethnic minority parties formed the Coalition for the Salvation of Afghanistan in opposition to the existing federal government. It is unclear whether the center can hold.

    Meanwhile, peace and reconciliation efforts with the Taliban insurgents are ongoing, especially as increased violence has aided the growth of a nationwide peace movement. President Ghani has finally agreed to direct talks with the Taliban “without preconditions,” though the Taliban has largely rejected such initial efforts. In a sign of hope, however, the Taliban did agree to a three-day ceasefire in June 2018. The grassroots peace movement conducted a series of nationwide marches in favor of the cessation of hostilities. After 39 years of perpetual war, it appears that national public momentum increasingly favors an Afghan-brokered peace.

    Moreover, in spite of U.S. boasts regarding the humanitarian advances of post-Taliban Afghanistan, human rights remain a significant issue. Simply put, Afghanistan’s conservative religious and political traditions are persistent and perpetuate the denial of educational and employment opportunities to women and girls. Furthermore, 70 percent of Afghan marriages are still forced; the practice of baad — giving away women in marriage to settle tribal disputes — remains prevalent; there is no national law against sexual harassment and women are still routinely jailed for adultery; men convicted of “honor killings” against adulterous wives, meanwhile, serve only a maximum of two years in prison; and, on several occasions, women’s rights activists have been assassinated. In fact, the number of women jailed for so-called moral crimes has increased by 50 percent since 2011.

    Religious freedom is also severely restricted by the supposedly modern Afghan government.  Members of small religious minority groups — such as Christians, Sikhs, Hindus, and Bahá’ís — face regular discrimination. Specifically, the Afghan Supreme Court declared the Bahá’í faith to be a form of blasphemy — punishable by death under Afghan law.  It is highly questionable whether such an unstable and, ultimately, intolerant government is worthy of U.S. investment and sacrifice.

    Eventually, the Afghan political and military crisis will reach an end state, one that might well end in a negotiated agreement. The Taliban movement is popular in large swaths of eastern and southern Afghanistan — it always has been — and is not going anywhere. It will be a part of Afghanistan’s political and security future.  Such a messy arrangement is essentially a fait accompli, regardless of the levels of U.S. efforts, deaths, or other sacrifices. In the end, this is an Afghan, not an American, problem and it must ultimately be solved by Afghan methods and compromises.

    Weakness and stasis: a deteriorating security situation

    For nearly two decades, one U.S. commanding general after another has assured the American public that — with just a few extra troops and a little more time — he could achieve victory in Afghanistan.  That is particularly disturbing considering the attention and resources dedicated to the war in Afghanistan, especially over the last ten years. After all, early in 2018, a Pentagon spokesman stated that “Afghanistan has become CENTCOM’s main effort.”  Still, despite Chairman of the Joint Chiefs of Staff Gen. Joseph Dunford’s testimony to Congress that the battlefield situation represented “roughly a stalemate,” he and other senior generals have been far more optimistic at times — promising success if only they received more troops, more money, more … everything. In February 2017, the overall commander (the sixth of seven since 2009), Gen. John Nicholson, stated that the United States had a “shortfall of a few thousand” troops, which, if provided, would help “break the stalemate.” One year later, after getting a few thousand troops and a new strategy from Donald Trump, Nicholson stated that “we’ve set all the conditions to win.”

    But results have not matched such optimistic predictions. In February 2018, former Secretary of Defense Chuck Hagel called the situation in Afghanistan “worse than it’s ever been,” and predicted that “the American military can’t fix the problems.” More disturbing, and instructive, are the recent words of a true insider with new, creeping doubts about progress in Afghanistan — a most recent commander of the war. Speaking “from the heart” in a September 2018 farewell address in the ceremony marking his transition out of command, General Nicholson admitted that “it is time for this war in Afghanistan to end.”

    Reality and ground-level metrics have confirmed Nicholson’s suspicions. The Taliban has made gains all around the country in recent years, even showing strength outside their traditional areas of support. They’ve even conducted mass operations briefly seizing major cities such as Kunduz (September 2015), Farah (May 2018), and Ghazni (August 2018). Nationwide, according to the July 2018 Special Inspector General for Afghan Reconstruction (SIGAR) report, 44 percent of Afghan districts are either contested or controlled by the Taliban — the highest rate since 2001. What’s more, just before the Obama surge (often seen as the high tide of Taliban success) that number stood at only 30 percent of Afghan districts. When Obama initially agreed to a surge of nearly 100,000 U.S. troops on the ground, he claimed they were being sent to “reverse the Taliban’s momentum.” Clearly, in the long run that has proved unsuccessful.

    Insurgent successes are largely funded by illicit narcotics, which have long filled the Taliban’s coffers. And, despite on-and-off efforts at drug (specifically opium) eradication, the metrics here are also disturbing.  In November 2017, the United Nations reported that the total area used for poppy cultivation had broken a national record and was up 46 percent from 2016. Furthermore, opium production itself had increased by 87 percent.  Overall, the trend of Afghan security has been downward — this, in spite of nearly seventeen years of varying levels of U.S. military commitment and sacrifice.

  • Baltimore City Cryptocurrency Ransomware Attack Will Cost At Least $18 Million 

    Baltimore has been struggling with an aggressive cyber-attack over the last five weeks, previously profiled here, it has now been revealed the attack will cost the city $18.2 million, reported WBAL-TV 11.

    The cost estimates were disclosed at a recent City Council budget hearing: city officials have already paid $4.6 million for recovery efforts since the ransomware was discovered May 7 and could spend an additional $5.4 million in 2H19. The remaining $8.2 million is from the loss or delayed revenue and loss of interest and penalty income.

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    As of Tuesday, 35% of city employees had their email accounts restored, with the possibility of a full system restore by the end of the week.

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    Some city operations have been shut down for the last month. Public works officials said no residents have received water bills because of the cyber attack.

    Three weeks ago, we reported all essential systems required for transacting real estate deals in the city went offline becuase of the hack.

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    Realtor R.J.Breeden, the owner of The Breeden Group, who has dozens of homes listed throughout the city, said the hack is a loss of confidence in city officials. Breeden said several of his deals last month didn’t close because the title company he uses couldn’t write a deed without accessing lien certifications on city severs.

    Hackers demanded the city pay an $80,000 ransom in Bitcoin on May 7, but Mayor Bernard C. “Jack” Young refused to pay. To be fair, the cost of a full system restore of the city’s servers would have been in the millions of dollars if the ransomware was paid.

    “Even if you pay, you still have to go into your system and make sure they’re out of it. You can’t just bring it back up and believe they are gone. We would bear much of these costs regardless,” Deputy Chief of Staff, Sheryl Goldstein, said.

    Rep. Dutch Ruppersberger was briefed last week by the National Security Agency that the Baltimore ransomware attack had nothing to do with a stolen NSA tool, contrary to our earlier reporting.

    Members of Maryland’s congressional delegation, including Sens. Ben Cardin and Chris Van Hollen and Reps. Ruppersberger, Elijah Cummings, John Sarbanes and David Trone, received a classified government briefing on Monday about the incident.

    “Yesterday, we heard that current evidence suggests the city’s network was infected via a phishing effort by malware known as RobbinHood,” the members said in a statement. “We urge against further speculation until the investigation is complete and look forward to sharing more as we learn more. We are grateful for the FBI’s ongoing efforts and plan to fully engage with DHS to strengthen systems in Baltimore and across the country to keep this from happening in the future.”

    The Baltimore ransomware incident serves as an important reminder that cybersecurity on the municipality level is greatly needed – shows how one cyber attack can paralyze an entire city.

  • How Connecticut's "Tax On The Rich" Ended: Middle-Class Tax Hikes, Lost Jobs, More Poverty

    Authored by Orphe Divounguy, Bryce Hill, Suman Chattopadhyay via IllinoisPolicy.org,

    In the past 30 years, just one U.S. state has adopted a progressive income tax: Connecticut. It made the switch from a flat income tax in 1996, phasing in the progressive income tax over three years.

    The results were disastrous. And they should halt, or at least caution, Illinois lawmakers now pushing to do the same.

    Connecticut’s experience is a warning that switching to a progressive income tax will eventually end in a tax hike on Illinois’ struggling middle class, result in fewer jobs – particularly for those on the margins of the labor force – and increase poverty. It will fail to combat inequality or fix the state’s finances.

    While Connecticut lawmakers sold the progressive tax as a way to provide middle-class tax relief and reduce property taxes, neither occurred. Instead, everyday taxpayers have been hit with recurring income and property tax hikes.

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    The typical Connecticut household has seen its income tax rates increase more than 13 percent since 1999. At the same time, property tax burdens (property taxes as a share of income) have risen by more than 35 percent.

    Making matters even worse, the policy change cost the state’s economy more than $10 billion and 360,000 jobs, ultimately shrinking the labor force by an estimated 362,000 workers.

    The Connecticut progressive income tax failed to fix state finances. In the wake of its progressive income tax experiment, Connecticut has continually raised taxes on the middle class, has a chronic outmigration problem, and finds itself in a financial situation that is just as dire as Illinois’. Connecticut has run state budget deficits in 12 of the past 15 years, and is holding more debt per capita than almost any other state.2

    Illinois Gov. J.B. Pritzker’s argument for the progressive tax relies on the same myths – that a progressive income tax will allow for middle-class tax relief and lower property taxes, and shore up the state’s finances. On the contrary, if Illinois ditches its constitutionally protected flat income tax, Illinoisans will face the same fate as Connecticut – higher taxes for everyone, fewer jobs and an even more sluggish economy.

    INTRODUCTION

    A constitutional amendment filed Jan. 29 by state Sen. Don Harmon, D-Oak Park, would eliminate Illinois’ flat income tax in exchange for a progressive income tax.3 But no one has filed a bill in the current General Assembly telling Illinoisans what the rates would be. Pritzker backed a progressive tax throughout his campaign, but putting the amendment to voters requires its passage by a supermajority in each chamber of the General Assembly; it would not require the governor’s signature.

    As state lawmakers consider scrapping the state’s flat income tax, they should look at what happened in the last state to do so.

    In the past three decades only one state has adopted a progressive income tax. That state was Connecticut, which first introduced a state income tax in 1991 and introduced a graduated rate structure in 1996.

    This report employs the “synthetic control method” as in Abadie and Gardeazabal (2003)4 and investigates the economic impact of the tax changes in Connecticut. A full description of the methodology is included in Appendix A.

    WHAT WERE THE EFFECTS OF THE CONNECTICUT TAX HIKES?

    Connecticut became the last state to enact an income tax in 1991, introducing a flat 4.5 percent income tax rate. In 1996, the state decided to phase in a progressive income tax featuring tax brackets with a 3 percent tax rate and a 4.5 percent tax rate. This income tax relief was short lived. In the time since phasing in the income tax, the median household has seen their income tax rates increase by more than 13 percent. Today, Connecticut has seven income tax brackets with marginal income tax rates ranging from 3 to 6.99 percent.

    Effects of the tax hikes on real GDP

    Connecticut’s decision to enact an income tax had immediate negative effects on the state’s economy, initially costing the state’s economy more than $4 billion, with the economic cost growing to $10 billion following the decision to make the income tax progressive and to gradually raise rates.

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    The effects of the tax changes are consistent with the expert literature on the subject. Economists widely agree that tax hikes have adverse effects on economic output (see Appendix B). They also agree that progressive tax structures reduce economic growth even more than flat tax structures (see Appendix C). Connecticut’s results provide additional evidence that tax increases are highly contractionary.5

    Effects of the tax hikes on the labor market

    Connecticut’s tax changes had similar effects for workers. The tax increase initially cost the state nearly 233,000 jobs and worsened after the switch to a progressive income tax, with the state losing a total of 362,000 jobs.

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    While the progressive income tax is often touted as a way to achieve more equal economic outcomes, employment losses hurt everyone. Job losses after Connecticut’s switch to a progressive tax were primarily concentrated among higher paying jobs, meaning that jobs that allow individuals to move up the income ladder were either destroyed or never created.

    This is a typical experience for states with progressive income taxes. These states tend to have persistently higher income inequality, with the gap between the rich and the poor often growing faster than states with flat or no income taxes.

    These outcomes show why the academic literature remains divided as to whether progressive income taxation reduces inequality (see Appendix D).

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    The initial passage of the flat income tax reduced Connecticut’s labor force by nearly 186,000 individuals. In the time since the income tax became progressive, the job market shrank by 362,000.

    The large declines in the labor force and employment that followed the tax increase aren’t surprising. Blundell (2014) finds that labor force participation, employment and hours worked respond to tax incentives, especially at early and late stages of an individual’s work life.6

    Effects of the tax hike on poverty

    When compared to the rest of the nation, Connecticut has historically been a wealthy state with fewer of its residents falling below the official poverty line. However, following the introduction of an income tax, poverty rates in Connecticut began to increase while falling in other states.7 From 1980 to 1991, before the introduction of the income tax, Connecticut had a poverty rate of 5.5 percent. That rate had soared to 8.1 percent in the period after the progressive income tax was implemented, from 1996 to 2007.

    With fewer jobs available and an increased tax burden, more residents found themselves below the poverty line than before the state began raising its income tax.8

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    After the flat income tax was enacted, 12,000 more Connecticut residents found themselves living in poverty. After the tax became progressive the problem worsened, with 64,000 individuals falling below the line.

    Despite the tax being touted as a tool to combat poverty and help struggling citizens, the policy made matters worse for the most vulnerable. As noted above, while the academic literature is divided as to whether the progressive tax reduces inequality (see Appendix D), in Connecticut, it did not provide relief to lower-income residents and actually increased poverty.

    Did progressive income tax hikes stabilize Connecticut’s budget?

    Connecticut’s progressive income tax hasn’t done anything to alleviate the state’s dire fiscal condition. The state has run budget deficits in 12 of the past 15 years and has more debt per capita than any other state.9 The state is also plagued by persistent population decline driven by domestic outmigration in recent years.

    Lack of structural reforms to the state’s budget has led to years of middle-class tax hikes.

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    WHAT DOES THIS MEAN FOR ILLINOIS?

    Connecticut’s experience suggests Illinois could suffer a similar fate if lawmakers push for a progressive income tax. That means less economic growth, fewer jobs, a shrinking labor force and deterioration in economic conditions that would result in more individuals falling below the poverty line.

    Contrary to claims that a progressive tax would only hit high earners, such a policy would harm everyone. The results in Connecticut suggest the tax led to a large increase in the poverty rate.

    It is worth asking: Who is most at risk of falling below the poverty line in Illinois? The empirical evidence suggests Illinois residents who live in non-metro areas, don’t have college degrees and are non-white are at increased risks of being below the poverty line.10Add a progressive tax, and those most likely to take the hit are Illinois workers who lack a college degree, are minorities and live in rural areas.

    Residents throughout Illinois, particularly in places such as Alexander, Cass, Scott and Pulaski counties would be most harmed. In the Chicago area, residents of Calumet, Cicero, Thornton, Rich Township and Berwyn would be most harmed.

    Instead of protecting Illinois’ most vulnerable residents, a progressive income tax may end up harming already vulnerable communities.

    A BETTER PATH FORWARD

    Rejecting a progressive income tax would spare Illinoisans from Connecticut’s sorry fate. Changes to the state tax code will not fix the structural flaws with the state’s finances or reform the main cost-drivers, pensions and government employee healthcare costs. Those two items have led state spending to increase 48 percent faster than Illinoisans’ personal incomes in the past decade.

    So long as state expenditures continue to outpace the growth in the state’s economy, Illinoisans will be forced to endure tax hikes regardless of the structure of the state income tax. A progressive income tax will only make it easier for politicians to gradually raise middle-class taxes, as in Connecticut.

    A progressive tax is a bad deal for Illinoisans. They would be giving up constitutional protections for an illusory promise from lawmakers to lower taxes for some. But a look at Illinois’ history and the outcomes of progressive tax states show that promise is unlikely to be kept. Any progressive tax rates will almost certainly rise to the level of spending in Springfield – and that means tax hikes on the middle class.

    Illinois’ families and the state’s economy simply can’t afford more tax hikes.

    Illinois is already experiencing the weakest economic expansion in state history, and a progressive income tax hike will only serve to hinder the state’s sluggish economy.

    Instead, Springfield needs to spend within taxpayers’ means. That is why lawmakers should limit growth in spending to the growth in Illinois’ economy – to what taxpayers can afford.

  • Millennial Net Wealth Collapses, Study Finds 

    The net worth of millennials (18- to 35-year-old) has collapsed 34% since 1996, according to a new, shocking report from Deloitte.

    Millennials are financially worse off than any other generation before them. With student loans, auto and credit card debts, rising rents, and out of control, health-care costs have pushed their average net worth below $8,000.

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    Deloitte told The Washington Post that their findings reveal that millennials are delaying home-buying and marriage because of massive debt loads and rising costs are making big ticketed items virtually unaffordable.

    “The narrative out there is that millennials are ruining everything, from breakfast cereal to weddings, but what matters to consumers today isn’t much different than it was 50 years ago,” chief retail officer Kasey Lobaugh told the Post. “Generally speaking, there have not been dramatic changes in how consumers spend their money.”

    Lobaugh described the soaring wealth inequality gap as another reason why young adults have little or no net wealth. In a separate report, we highlighted in April that 60% of millennials don’t have $500 in savings.

    The Post said education expenses had climbed 65% in the past decade. Food prices have increased by 26%, health care costs are up 21%, housing jumped 16%, and transportation costs rose 11%, 

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    Researchers noted that eating out and alcohol expenses made up approximately 11% of total income, about the same amount a decade ago.

    “Only 20 percent of millennials were meaningfully better off in 2017 than they were in 2007, with precious little income left to spend on discretionary retail,” the study said.

    The study showed millennials had delayed the American dream of a house, family, and automobile because of their insurmountable debts.

    Since 2005, retail spending has increased by about 13%, to roughly $3 trillion per year, but Deloitte said much of that growth is due to population increase, not a robust consumer base.

    In the past decade, the income growth of the top 10% of Americans jumped 1,305% more than the bottom 90% of Americans – which means millennials stuck in the gig-economy with multiple jobs and high debt loads will be trapped in a life of financial misery.

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Today’s News 5th June 2019

  • Fake Saudi Who Swindled Millions From Investors Sentenced In Fraud Scheme

    Miami fraudster Anthony Gignac, 48, who spent several decades impersonating a Saudi prince was sentenced last week to 18 years in prison for defrauding investors out of $8 million, reported the SCMP . The ruse reportedly fell apart when a victim saw him eating pork, which is prohibited in Islam.

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    Gignac went by the name of Prince Khalid al-Saud of Saudi Arabia, who is actually the 79-year-old governor of Mecca, chronicled his life of fraud on Instagram under the name @princedubai_07. About 450 posts show Gignac flaunting exotic watches, driving fancy cars, eating sumptuous meals, and taking luxury vacations.

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    The Miami Herald reported that US District Judge Cecilia Altonaga called him a “mastermind”. Prosecutors said it was at least the 11th time Gignac had been arrested for impersonating a Saudi prince.

    “He was the so-called Saudi prince. He enveloped himself in the trappings of Saudi royalty. He had everyone believing he was a Saudi prince,” Altonaga said.

    He resided on the exclusive Fisher Island in Florida, where his luxury penthouse was called “Sultan.” His bodyguards carried fake badges, and he even had fake diplomatic plates on some of his exotic cars. He went by “prince,” “sultan,” and “his royal highness” and demanded gifts from his business partners—’per royal protocol.’

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    But in actuality, Gignac was a Colombian orphan adopted by a Michigan family in the late 1970s. The Times said he lived a life of crime, arrested 11 times for “prince-related schemes.” Gignac pleaded guilty in March to wire fraud, conspiracy to commit wire fraud, aggravated identity theft and impersonating a diplomat, court documents showed.

    “Over the course of the last three decades, Anthony Gignac has portrayed himself as a Saudi Prince in order to manipulate, victimize, and scam countless investors from around the world,” Ariana Fajardo Orshan, the United States attorney for the Southern District of Florida, said in a statement. “As the leader of a sophisticated, multi-person, international fraud scheme, Gignac used his fake persona — Prince Khalid Bin al-Saud — to sell false hope.”

    The conman had a checkered history: according to The Los Angeles Times, Gignac stole more than US$10,000 from a limousine company and the Beverly Wilshire Hotel in 1991. He pleaded no contest. The New York Times reported that in 2006, Gignac pleaded guilty to charging US$28,000 at Saks Fifth Avenue and Neiman Marcus to the account of a Saudi royal. He also tried to withdraw nearly US$4 million from a Citibank account that did not exist.

    Prosecutors say the scam started in California in 1987, once he had his name changed. He also schemed in Michigan and Florida and used his royal title to extract $8 million from investors for phony worldwide investments. The Los Angeles Times called him the “Prince of Fraud” in 1991 after he was arrested for not paying $10,000 in bills from a limousine company.

    Gignac’s lawyer said he had lived a life of crime was the result of a troublesome childhood in Colombia.

    “The entire blame of this entire operation is on me, and I accept that,” Gignac said at his sentencing, insisting, “I am not a monster.”

    In Gignac’s latest scam, he and a now-dead business partner, Carl Williamson, created a fraudulent investment company, Marden Williamson International, in 2015. They told investors that Gignac was Saudi royalty and that he had access to exclusive deals. A Swiss victim invested US$5 million.

    In 2017, he convinced Jeffrey Soffer, the owner of Miami Beach’s Fountainebleau hotel, that he wanted to invest hundreds of millions of dollars into his famed resort. Soffer gave him US$50,000 in gifts. Soffer caught on when he saw Gignac wolfing down bacon and other pork products at meals. He alerted authorities.

  • How The Allies Guaranteed A 2nd World War

    Authored by Serban V.C. Enache via Hereticus Economicus:

    John Maynard Keynes, as a young adviser to the UK Treasury, successfully predicted another great conflict in Europe after what transpired at the so-called peace of Versailles. In preparation for the conference, Keynes argued that it would be better for Germany to owe no reparations, or a maximum of 2 million pound sterling at the most. He was in favor of a general forgiveness of war debts, including for Britain. Lastly, he wanted the US Government to begin a large credit program to quickly restore Europe to prosperity. But the Allies argued differently, and here is what they insisted on in Article 231 of the Versailles treaty on war debt (1919).

    “The Allied and Associated Governments affirm and Germany accepts the responsibility of Germany and her allies for causing all the loss and damage to which the Allied and Associated Governments and their nationals have been subjected as a consequence of the war imposed upon them by the aggression of Germany and her allies.”

    Let’s compare the cold sentiments of Versailles to the peace of Westphalia from 1648, which put an end to the Thirty Years’ War.

    Article I: “[…] And this Peace must be so honest and seriously guarded and nourished that each part furthers the advantage, honor, and benefit of the other… A faithful neighborhood should be renewed and flourish for peace and friendship, and flourish again.”

    Article II: “On both sides, all should be forever forgotten and forgiven. What has from the beginning of the unrest, no matter how or where, from one side or the other, happened in terms of hostility, so that neither because of that, nor because of any other reason or pretext, should commit, or allow to happen, any hostility, unfriendliness, difficulty, or obstacle in respect to persons, the status, goods, or security himself, or through others, secretly or openly, directly or indirectly, under the pretense of the authority of the law, or by the way of violence within the Kingdom, or anywhere outside of it, and any earlier contradictory treaties should not stand against this. Instead, all and every, from here as well as from there, both before as well as during the war, committed insults, violent acts, hostilities, damages, and costs, without regard of the person or the issue, should be completely put aside, so that everything, whatever the one could demand from the other under his name, will be forgotten in eternity.”

    Keynes described the Versailles conference as a clash of values and world views among the principal leaders, “the cynical traditions of European power politics [vs] the promise of a more enlightened order.” Keynes held Woodrow Wilson as the game maker.

    “When President Wilson left Washington he enjoyed a prestige and a moral influence throughout the world unequalled in history. […] The enemy peoples trusted him to carry out the compact he had made with them; and the Allied peoples acknowledged him not as a victor only but almost as a prophet. In addition to this moral influence the realities of power were in his hands.”

    In 1919, Keynes wrote The Economic Consequences of the Peace in which he criticized the Versailles treaty and its authors, while accurately predicting its grave socio-economic and political effects: high inflation, stagnation, and revanchism.

    He had two main points: that the treaty made it economically impossible for Europe to revive itself, and that the Allies had betrayed the tenets of the Armistice, in which they pledged to the defeated side a degree of fairness with regard to territorial and economic impositions. He judged these violations as a stain on the honor of the Allies and a primary cause for a future conflict. His prediction, that another war would begin in the next twenty years, was surgically precise.

    Keynes wrote:

    “Lenin is said to have declared that the best way to destroy the Capitalist System was to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some. The sight of this arbitrary rearrangement of riches strikes not only at security, but at confidence in the equity of the existing distribution of wealth.

    […] Lenin was certainly right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose.

    […] Economic privation proceeds by easy stages, and so long as men suffer it patiently the outside world cares very little. Physical efficiency and resistance to disease slowly diminish, but life proceeds somehow, until the limit of human endurance is reached at last and counsels of despair and madness stir the sufferers from the lethargy which precedes the crisis. The man shakes himself, and the bonds of custom are loosed. The power of ideas is sovereign, and he listens to whatever instruction of hope, illusion, or revenge is carried to them in the air.

    […] But who can say how much is endurable, or in what direction men will seek at last to escape from their misfortunes?”

    Woodrow Wilson’s Fourteen Points [of the Armistice] had been widely disseminated in Germany prior to the end of the war, and were well known by the German public. Sadly, these promises turned out to be nothing but propaganda. The clear gap between this document and the final treaty of Versailles caused great anger in Germany and fueled ultra nationalist sentiments.

    There’s a prevalent myth out there, which states that the nazis came to power in Germany due to hyperinflation. It can be easily debunked through the following observations…

    Germany did experience hyperinflation in the early 1920s. By October 1922, the mark stood at 130 billion to the dollar. Marks had to be carried in wheelbarrows and life savings were wiped out. Yet the inflationary spiral was brought under control in November 1923 largely through the efforts of Hjalmar Schacht, currency commissioner and president of the Reichsbank and Finance Minister Hans Luther. For an in depth explanation of their policies, see this previous article.

    With inflation in check by 1924, Germany entered a time of relative growth. Hitler, while active in German politics, was consigned to the political fringe. Beginning in late 1929, the German economy fell victim to the Great Depression. Industrial production, employment, and sales fell in the early ’30s , while Hitler’s support increased. Price inflation was nonexistent. Rather, by 1933, when Hitler became Chancellor, prices were going down as a result of collapsing demand. Price deflation is good when nominal economic growth is positive, not negative. Tight credit and tremendous unemployment left millions of people with very few marks to spend on anything.

    What brought the nazis to power if not hyperinflation? Austerity! During the years of skyrocketing prices, the percentage of the nazis [NSDAP] ranged below 4 percent (see the 1928 elections). The Government imposed harsh austerity measures in the early 1930s [after the hyperinflation had been reined in]; this increased unemployment drastically and it also gave the nazis their first success (18.5 percent in September 1930). Two years later, the ever growing levels of unemployment and poverty drove Hitler to 37.2 percent in the 1932 elections. This graph speaks for itself.

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    In 5 years time (between ’33 and ’38), the Nazi Government rebuilt the army, built industries and infrastructure, eliminated unemployment, real wage growth was in the double digits – and all of this in a climate of price stability. As such, contrary to popular mythology, the hyperinflation years didn’t bring the nazis to power. What brought them to power was private debt deflation in combination with harsh fiscal austerity.

    The end of WW1 wasn’t the end of ‘the war to end all wars.’ Sadly, it was the groundwork for a new one, far deadlier than the first.

    In an interview with William Buckley, the founder of the British Union of Fascists, Oswald Mosley, explained why Hitler got into power in Germany and why he didn’t in the UK.

    “When I began, in the following six years, right until Roosevelt’s doubling of the price of gold and many other things of that sort, unemployment in Britain was halved. Those six years before Hitler came to power, unemployment in Germany was quadrupled. Now, all those things, and your analysis of the English character, simply depend on the economic situation. Neither fascism, communism, nor any new policy, whether decent, humane, or not, will succeed ever, unless you have a grave economic crisis. That’s the only thing which moves people at all.”

    Liberals are so terrified of the profound psycho-political impact of economic crises [second only to war itself and similar in some ways], they dare not speak of such phenomena even when they are happening, nor admit that crises, even unmediated, have severe psychological consequences. The liberals practice this fetishistic disavowal. That’s why the status quo [the so-called center left and center right] is so dangerous to public order and peace itself. It’s a paradox, and paradoxes are nature’s way of telling us [observers] that we’re missing something, that something new waits to be discovered. By shunning alternate points of view and trying to silence them outright, the center misses the dialectic and loses the moral legitimacy in the eyes of increasingly larger sections of the population. I personally hold the creditors of the Versailles treaty, Britain, France, and the US, responsible for nurturing what was to become the most devastating conflict in human history.

  • Chinese Warships Cause Surprise In Sydney Harbor

    A Chinese frigate, auxiliary replenishment ship, and an amphibious vessel with 700 sailors docked in Sydney, Australia, for an unannounced visit on Monday amid rising anxieties about a rising China in the Indo-Pacific, according to Shanghai Morning Post.

    Prime Minister Scott Morrison was on a diplomatic trip at the time, in the Solomon Islands, a critical region in the South Pacific that China is trying to win over.

    “It may have been a surprise to others, but it certainly wasn’t a surprise to the government,” Morrison told reporters in Solomon’s capital Honiara. “We have known about that for some time.”

    Morrison called the port call a “reciprocal visit because Australian naval vessels have visited China.

    “They were returning after a counter drug trafficking operation in the Middle East,” he added.

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    The visit caught many social media users and academics off guard, with some questioning the port call’s timing and why the government failed to give its citizens advance notice.

    “The People’s Liberation Army (PLA) Navy visit might have been intended as an act of diplomacy, but it’s turning into a public relations disaster for China,” said John Fitzgerald, a China scholar at Swinburne University in Melbourne.

    With closer examination, the vessels appeared to be the Kunlun Shan, an amphibious landing ship; the Luoma Lake, a replenishment ship; and the Xuchang, a modern frigate that is outfitted with advanced missile systems.

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    Rory Medcalf, the head of Australian National University’s National Security College, tweeted that Beijing is making a serious statement by docking its warships in Sydney.

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    Medcalf said historical data shows Chinese military port calls usually involve one vessel, and Sydney isn’t a convenient stopover for vessels returning from the Gulf of Aden.

    “Chinese naval visits to Australia have more typically been a lone frigate, not a task group with an amphibious assault ship and 700 personnel,” tweeted Medcalf.

    “Sydney is hardly a convenient stopover on their way home from the Gulf of Aden. What’s the story here?” he tweeted again.

    “This looks like a serious show of presence in the South Pacific,” he said in another tweet.

    John Blaxland, a professor at the Strategic and Defence Studies Centre at the Australian National University, said: “The Australian Government’s Pacific reset follows a period of some disengagement by Australia and has been, in part at least, triggered by China’s renewed interest in the Pacific – notably the remaining microstates that continue to support Taiwan.”

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    The port call comes about a week after Australian Navy helicopter pilots were hit by lasers while exercising in the South China Sea.

    Australia is determined to be a significant player in the Indo-Pacific region, has recently expanded foreign policy and defense strategy with a greater push to maritime defense and security.

    But as shown earlier this week, Australia has to contend with a rising China and has to make a tough decision soon or later that if it wants to continue challenging China in the Indo-Pacific region, it might risk a shooting war down the road.

  • Surviving Tiananmen: The Price Of Dissent In China

    Authored by Rowena He via The Nation,

    Remembering the Tiananmen Movement is not just about repression… it’s about hope.

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    “Young lovers from China!” a smiling sales lady said as she approached Yu Dongyue and me in a mall on a rainy afternoon in February. It took me a moment to realize that Yu could be taken as an ordinary man with a girlfriend. Yu’s hat covered the scar that he received from brutal beatings. No one could have guessed that he was suffering from severe trauma and mental disorders after 16 years of incarceration marked by torture and solitary confinement as a political prisoner in China.

    I had long featured Yu’s story in my courses on Tiananmen and China, but I’d met him for the first time that day in Indianapolis, where he and his sister settled after escaping China in 2009. In spring 1989, when millions of citizens filled the streets all over China demanding political reforms, Yu was a 21-year-old art editor for the Liuyang Daily, a newspaper in Hunan province. The city of Liuyang also happened to be the hometown of Hu Yaobang, the former secretary general of the Chinese Communist Party (CCP), whose sudden death on April 15, 1989 triggered a nationwide campaign that would become known as the 1989 Tiananmen Movement.

    Hu was a proponent of reform, and students saw his passing as an opportunity to renew their push for change. After students launched a hunger strike in Tiananmen Square, Yu Dongyue and two friends, Yu Zhijian and Lu Decheng, traveled to Beijing to join the protests. Boarding the train, the three men, who would become known in Chinese as the Three Gentlemen of Tiananmen, could not have known it would be a one-way trip.

    On May 23, 1989, Yu and his two friends threw eggshells filled with paint at Mao’s portrait in Tiananmen Square. Instead of applauding their audacity, the students turned them over to the authorities.

    The students wanted to keep their protests separate from those of the workers. There was never an attempt to form a grand alliance to overthrow the regime, as Beijing would later assert. The students also feared that if they didn’t hand over the three young men, the government would have an excuse to crack down on them.

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    Paints mars the portrait of Mao Zedong after Yu Dongyue, Yu Zhijian, and Lu Decheng threw paint-filled egg shells at in May, 1989. (AP Photo / Mark Avery)

    Ten days later, Chinese soldiers equipped with tanks and AK-47s attacked, nonetheless. On June 4, some 200,000 People’s Liberation Army soldiers were deployed to participate in the lethal action. Hu’s successor as CCP general secretary, Zhao Ziyang, refused to order the assault and was purged. He lived under house arrest until his death in 2005. Thus, the Tiananmen Movement was bracketed by the death of one CCP secretary general and the expulsion of another. The fate of these two reform-minded CCP leaders foreshadowed China’s development ever since.

    The Tiananmen Movement remains a taboo topic in China, banned from academic and popular realms. Even the actual number of the dead and wounded remains unknown. In the immediate aftermath, after mass arrests and purges throughout the country, the CCP constructed a narrative portraying the Tiananmen Movement as a Western conspiracy to weaken and divide China. Reporting to the National People’s Congress on June 30, 1989, Beijing Mayor Chen Xitong asserted that the movement was “planned, organized, and premeditated” by those who “unite with all hostile forces overseas and in foreign countries to launch a battle against us to the last.”

    The official justification for the clampdown was that the students were “counterrevolutionaries” who threatened the country’s stability and prosperity. Yet, in 1989, they were hoping the regime would transform itself. They were not seeking regime change, just asking the CCP to live up to its ideals. Their actions were rooted in the Chinese tradition of Confucian dissent—helping the rulers to improve, but not seeking to overthrow them.

    Yu’s experiences are a testimony to the non-revolutionary nature of the movement. During my visit, Yu repeated the phrase: “This was not done by the students or the people.” After Yu and his two friends defaced Mao’s portrait, the students at Tiananmen had inscribed that sentence on a banner in order to disavow their vandalism. The three young men had not tried to run away, and they wrongly assumed the students would be on their side.

    In the end, the Three Gentlemen and the students faced the same charges of counterrevolution. That was the label CCP officials affixed to those who openly disagreed with them. Since the CCP claimed to represent the revolution, anyone criticizing them could be labeled counterrevolutionary. Today, China accuses its critics of “subverting the state,” but, at its core, it’s the same charge.Yu Dongyue was sentenced to 20 years, Lu Decheng to 16 years, and Yu Zhijian to life in prison. Lu escaped to Thailand in 2006, and was later granted asylum in Canada. In 2009, Yu Zhijian and his pregnant wife smuggled themselves out together with Yu Dongyue. They hoped that they could get medical treatment for Yu so that he would recover from his mental disability. Yu’s younger sister fled with her brother in order to take care of him. At great personal cost, she left behind her former husband and her child, neither of whom can leave China to be reunited with her.

    The Three Gentlemen of Tiananmen might not have anticipated the severity of the punishment that they received, but they were not naive about the repression of dissent. Being idealistic in China means being selfish to your loved ones. You choose to fight for your cause, uphold your principles, and stand ready to pay the price—but often family members suffer consequences, too. Prohibiting the children of human-rights lawyers from going to school is a vivid recent example.

    Three decades on, the mothers of Tiananmen victims still cannot openly mourn their children, and exiled student protesters are banned from returning home, even for a parent’s funeral. Many older supporters of the movement, liberal intellectuals in the 1980s, died in exile. One of the Three Gentlemen, Yu Zhijian, died in Indianapolis in 2017, at the age of 54.

    News of Yu Zhijian’s death was accompanied by a photo of his wife kneeling in front of the cardboard box that held his body. Printed on the makeshift coffin were the words, “Handle with care.” On one Chinese website, a comment in English read: “Garbage dead,” another said simply, “Traitor’s ending.”

    For the past 30 years, the CCP has promoted historical amnesia, fostered a narrow and xenophobic nationalism, impeded reflection on historical tragedies and injustice, and stoked a growing enthusiasm for international assertiveness. The recent detentions of young communists on college campuses in China is a reminder that it still doesn’t take much to become a target of the state machinery. Those student leftists were simply doing what the government had told them to do “as successors of the Communist cause.” They formed study groups on Maoism and Marxism, and supported workers’ rights in a state where independent unions are forbidden. But once again, the Communists in power are cracking down on the young communists siding with the powerless.

    Since the Tiananmen massacre, activists, scholars, and regular citizens have launched a war against forgetting. Many Tiananmen veterans, both inside and outside China, including Liu Xiaobo, the late Nobel Peace Prize laureate who died a political prisoner in 2017, have devoted their lives to the unfinished cause of 1989. Commemoration activities are organized in major cities every year. Tens of thousands of people gather in Hong Kong’s Victoria Park annually to demand truth and justice for those who were violently silenced in 1989. The image of thousands of people holding candles has become as iconic as the Tank Man, reminding us that Tiananmen is not just about repression—it’s about hope. Tiananmen symbolizes the struggle for freedom and human rights. Because this longing for basic rights is universal, history will witness the Tiananmen spirit again and again.

  • This New Robot Will Take Millions Of Warehouse Jobs

    The automation wave is expected to dramatically reshape the US economy in the 2020s. This disruption will impact the labor force and cause tremendous job losses. By 2030, automation could eliminate 20% to 25% of current jobs — equivalent to 40 million displaced workers, hitting the bottom 90% of Americans the hardest.

    A new report from The Atlanta Journal-Constitution (AJC) shows how warehouse automation is starting to gain traction in Atlanta, the sixth largest warehousing space in the US.

    The new, robot-powered warehouse in McDonough, Georgia, is currently undergoing pilot tests and will begin operations in June. Project Verte, a start-up trying to compete with Amazon, is responsible for automating the warehouse.

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    The Butler system, an advanced autonomous fleet of mobile robots, uses robotic goods-to-person technology for automated put-away, inventory storage, replenishment, and order picking.

    AJC said the Bulter robots are like “giant Roombas” that move between 6,000 refrigerator-size shelving units lined up in rows 85 deep within the warehouse. An employee summons the robot with a handheld device, it then uses a jack to lift the shelving unit and transports it to the human picker, who then grabs items out of the bins, scans it and hands it off to the packaging department.

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    While there are no other fully automated warehouses in Georgia, the closest one is in Jacksonville, Florida, which uses similar Roomba-like robots.

    In the next 10.5 years, automation is set to eliminate millions of jobs in the warehouse and logistics space, as well as increase the demand for small to medium-sized automated warehouses.

    “I think there’s definitely going to be fewer workers in warehouses, but warehouses are also experiencing labor shortages,” said Nancey Green Leigh, a Georgia Tech professor who studies robots and works with a National Science Foundation grant.

    According to AJC, Atlanta has 683 million square feet of warehouse space, making it the sixth-most largest in the country.

    Once fully operational, the McDonough warehouse will be able to ship 200,000 items per day, aided by a fleet of robots and 400 human pickers, packers, supervisors and technicians.

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    Tye Brady, the chief technologist for Amazon, said rising demand for new technologies [automated warehouses] would lead to job losses.

    Before the Butler system, human pickers could walk up to 12 miles a day shifting items around the warehouse, said Leigh.

    The collision of automation on the labor force will lead to severe economic dislocation that could depress wages and lead to an even wider gap in wealth inequality that would have significant economic and social ramifications. Nevertheless, millions of Americans will lose their jobs. 

  • The Deep State And The Deep Media

    Via Monty Pelerin’s World blog,

    To fully understand the Deep State one need focus on matters both inside and outside of government. The Deep State corrupts everything it touches. Today that includes much of the country.

    The Deep State corrupted the media.

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    The first task of any State is to control the information (propaganda) fed to its citizens. Totalitarian states eliminate any free exchange of opinions. The Soviet Union had a state-run newspaper known as Pravda. It was a monopoly in that no other sources legally provided news. The new Russia pretends it has press freedom, but it controls the media. So does China. Severe penalties, including murder, are used to obtain conformity.

    In the US, we say we have freedom and a “free press.” But do we?

    The answer regarding freedom is increasingly negative, at least when compared with our history. The issue regarding a “free press” is a bit more complicated. America’s press, while not owned by the State, is under similar restrictions as the press in more totalitarian states. These restrictions are not officially codified in law but are understood by the media. They result from the fact that the US government has the power to bankrupt any person or corporation it chooses to target.

    The unlimited resources of the Deep State make it impossible for individuals or corporations to defend themselves. If they come after you, you will lose.  Your limited resources or the resources of even the largest corporation are no match for the unlimited resources of the Deep State. Admission of guilt (even when not guilty) and plea deals (often admitting guilt), are generally the least costly alternative to settling any argument with the State. Often it is necessary to survive such assaults.

    With this kind of power and the willingness to use it, the Deep State need not own corporations.

    The recognition that the Deep State can “kill” any corporation it chooses explains why the “free press” (or literally any other person or company) is not truly free. There is no corporation or individual that does not break the law every day in some manner. These violations are not intentional nor are they even known by the actor. There are too many laws that none of us don’t violate several of them, unknowingly, every day.

    This type of society is not socialism in the normal sense. Actually, it is more like fascism where private ownership is allowed but behavior is so subject to government rules and regulations that it is government that actually drives behavior.

    While we think of the media as independent companies operated in local markets, they are hardly that. Most media giants control local markets. US media (as most large corporations) is “owned” by the State because of the State’s arbitrary and immense regulatory and punative powers. To understand how easy it is to influence/control media, this information sent by a reader is useful:

    This is what you call a  “stacked deck.”   Info like this can be a great benefit to the general public and  help more and more people to wake up to who their real enemies are

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    IF YOU HAD A HUNCH THE NEWS SYSTEM WAS SOMEWHAT RIGGED AND YOU COULDN’T PUT YOUR FINGER ON IT, THIS MIGHT HELP YOU SOLVE THE PUZZLE.

    ABC       News executive producer Ian Cameron is married to Susan Rice,   Obama’s   former National Security Adviser.

    CBS       President David Rhodes is the brother of Ben Rhodes,  Obama’s   Deputy National Security Adviser for Strategic Communications.

    ABC       News correspondent Claire Shipman is married to former  Obama Whitehouse Press Secretary Jay Carney.

    ABC       News and Univision reporter Matthew Jaffe is married to Katie Hogan, Obama’s former Deputy  Press  Secretary   .

    ABC       President Ben Sherwood is the brother of  Obama’s   former Special Adviser Elizabeth Sherwood.

    CNN       President Virginia Moseley is married to former Hillary   Clinton’s Deputy Secretary Tom Nides.

    This is “Huge” and is   only  a ‘partial’ list since the same holds true for NBC/MSNBC and most media outlets.
    Trump has been right all along. Fake News is generated by these incestuous relationships .

    h/t to Roscoe

    Obviously the relationships are more numerous and deeper than those listed above. Compounding the executive conflicts is the crossover between politics and journalism. George Stephanopoulos, John Brennan, Jason Chaffetz, James Clapper and others slide easily from the Deep State into the Deep Media.  The reverse is also common. This incestuousness is not limited to the media.

  • Trade War Backfires On US Hegemony: China May Shift Production To Russia

    President Trump’s efforts to force China to ‘fair’ trade (along with sanctions and/or tariff threats against many other nations in the world) appears more likely to destabilize the unipolar US hegemon than support it.

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    Many multipolar-supporting nations are hording gold, seeking alternative payment systems, and creating bilateral trade agreements between themselves in an effort to skirt US threats (or merely to defend their own sovereignty in the long-run).

    While we have seen China pushing the petro-yuan (rather anti-climactically for now) and Europe pushing INSTEX to enable trade with Iran (still unused for now), RT reports the latest shift away from the US ‘system’ and towards multi-polar collaboration is coming from China, where small and medium-sized enterprises, under pressure from Washington’s trade war, are studying the possibility of moving production to Russia.

    According to the secretary general of the China Overseas Development Association (CODA), He Zhenwei, “many Chinese export-oriented small and medium-sized enterprises are now facing difficulties.”

    “The US has already raised its duties on Chinese goods from 10 percent to 25 percent, which is tantamount to closing its doors. In case American consumers agree to pay more out of their pockets, these companies will be able to raise prices on products by 25 percent, which is hardly probable,” he said.

    In such harsh conditions, Chinese companies are now struggling to maintain their existence.

    “They should think about moving production to Russia,” He said, adding that “Chinese goods produced in Russia could be further sold in the United States and even in Europe.”

    As a reminder, trade between Russia and China saw historic growth last year of around 25 percent to US$108 billion, beating all forecasts. According to Russian President Vladimir Putin, China is and will continue to be Russia’s number one foreign trade partner. He recently said that the two countries are enjoying their best trade and economic ties ever… not something that Makes America Great Again, for sure.

  • For Tech Giants, A Cautionary Tale From 19th Century Railroads On The Limits Of Competition

    Authored by Richard White via ConsortiumNews.com,

    The tech monopoly giants have a lot to learn from the railroad monopolies of the 19th Century during the First Gilded Age…

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    Late 19th-century Americans loved railroads, which seemed to eradicate time and space, moving goods and people more cheaply and more conveniently than ever before. And they feared railroads because in most of the country it was impossible to do business without them.

    Businesses, and the republic itself, seemed to be at the mercy of the monopoly power of railroad corporations. American farmers, businessmen and consumers thought of competition as a way to ensure fairness in the marketplace. But with no real competitors over many routes, railroads could charge different rates to different customers. This power to decide economic winners and losers threatened not only individual businesses but also the conditions that sustained the republic.

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    An 1882 political cartoon portrays the railroad industry as a monopolistic octopus, with its tentacles controlling many businesses. (G. Frederick Keller) 

    That may sound familiar. As a historian of that first Gilded Age, I see parallels between the power of the railroads and today’s internet giants like Verizon and Comcast. The current regulators – the Federal Communications Commission’s Republican majority – and many of its critics both embrace a solution that 19th-century Americans tried and dismissed: market competition.

    Monopolies as Natural and Efficient

    In the 1880s, the most sophisticated railroad managers and some economists argued that railroads were “natural monopolies,” the inevitable consequence of an industry that required huge investments in rights of way over land, constructing railways, and building train engines and rail cars.

    Competition was expensive and wasteful. In 1886 the Atchison, Topeka and Santa Fe Railway and the Missouri Pacific Railroad both built railroad tracks heading west from the Great Bend of the Arkansas River in Kansas to Greeley County on the western border, roughly 200 miles away.

    The tracks ran parallel to each other, about two miles apart. Charles Francis Adams, president of the Union Pacific Railroad, called this redundancy the “maddest specimen of railroad construction of which” he had ever heard. And then his own railroad built new tracks into western Kansas, too.

    After ruinous bouts of competition like this, rival railroad companies would agree to cooperate, pooling the business in certain areas and setting common rates. These agreements effectively established monopolies, even if more than one company was involved.

    Monopolies as Unfairly Subsidized

    Anti-monopolists who opposed the railroads’ power argued that monopolies originated not as a result of efficient investment strategies, but rather from special privileges afforded by the government. Railroads had the ability to condemn land to build their routes. They got subsidies of land, loans, bonds and other financial aid from federal, state and local governments. Their political contributions and favors secured them supporters in legislatures, Congress and the courts.

    As stronger railroads bought up weaker companies and divided up markets with the remaining competitors, the dangers of monopoly became more and more apparent. Railroad companies made decisions on innovation based on the effects on their bottom line, not societal values.

    For instance, the death toll was enormous: In 1893, 1,567 trainmen died and 18,877 were injured on the rails. Congress enacted the first national railroad safety legislation that year because the companies had insisted it was too expensive to put automatic braking systems and couplers on freight trains.

    But a monopoly’s great economic and societal danger was its ability to decide who succeeded in business and who failed. For example, in 1883 the Northern Pacific Railway raised the rates it charged O.A. Dodge’s Idaho lumber company. The new rates left Dodge unable to compete with the rival Montana Improvement Company, reputedly owned by Northern Pacific executives and investors. Dodge knew the game was up. All he could do was ask if they wanted to buy his company.

    For anti-monopolists, Dodge’s dilemma went to the heart of the issue. Monopolies were intrinsically wrong because they unfairly influenced businesses’ likelihood of success or failure. In an 1886 report on the railroad industry, the U.S. Senate Select Committee on Interstate Commerce agreed, stating clearly that the “great desideratum is to secure equality.”

    Turning to Regulators for Help

    To achieve equality, anti-monopolists wanted more government regulation and enforcement. By the late 1880s, some railroad executives were starting to agree. Their efforts at cooperation had failed because railroads treated each other no better than they did their customers. As Charles Francis Adams put it, his own industry’s “method of doing business is founded upon lying, cheating, and stealing: all bad things.”

    The consensus was that the railroads needed the federal government to enforce the rules, bringing greater efficiency and ultimately lower rates. But Congress ran into a problem: If an even, competitive playing field depended on regulation, the marketplace wasn’t truly open or free.

    The solution was no clearer then than it is now. The technologies of railroads inherently gave large operators advantages of efficiency and profitability. Large customers also got benefits: John D. Rockefeller of Standard Oil, for example, could guarantee large shipments and provide his own tank cars – so he got special rates and rebates. Newcomers and small enterprises were left out.

    Some reformers suggested accepting monopolies, so long as their rates were carefully regulated. But the calculations were complex: Charges by the mile ignored the fact that most costs came not from transport but rather from loading, unloading and transferring freight. And even the best bookkeepers had a hard time unraveling railway accounts.

    Managing Power

    The simplest solution, advanced by the Populist party and others, was the most difficult politically:nationalize the railroad routesTurning them into a publicly owned network, like today’s interstate highway system, would give the government the responsibility to create clear, fair rules for private companies wishing to use them. But profitable railroads opposed it tooth and nail, and skeptical reformers did not want the government to buy derelict and unprofitable railroads.

    The current controversy about the monopolistic power of internet service providers echoes those concerns from the first Gilded Age. As anti-monopolists did in the 19th century, advocates of an open internet argue that regulation will advance competition by creating a level playing field for all comers, big and small, resulting in more innovation and better products. (There was even a radical, if short-lived, proposal to nationalize high-speed wireless service.)

    However, no proposed regulations for an open internet address the existing power of either the service providers or the “Big Five” internet giants: Apple, Amazon, Facebook, Google and Microsoft. Like Standard Oil, they have the power to wring enormous advantages from the internet service providers, to the detriment of smaller competitors.

    The most important element of the debate – both then and now – is not the particular regulations that are or are not enacted. What’s crucial is the wider concerns about the effects on society. The Gilded Age’s anti-monopolists had political and moral concerns, not economic ones. They believed, as many in the U.S. still do, that a democracy’s economy should be judged not only – nor even primarily – by its financial output. Rather, success is how well it sustains the ideals, values and engaged citizenship on which free societies depend.

    When monopoly threatens something as fundamental as the free circulation of information and the equal access of citizens to technologies central to their daily life, the issues are no longer economic.

  • China Issues Guidelines For Ranking 1.3 Billion Social Credit Scores

    China’s top economic adviser has issued guidelines over how to introduce incentives that can boost a person’s social credit score, according to ECNS

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    Issued by the National Development and Reform Commission, the new guidelines include 15 preferential policies to evaluate if a person should be considered a ‘role model’ in terms of creditworthiness. 

    Outstanding individuals in the system can freely acquire personal credit reports a number of times in a year, and freely search information in the national credit information online platform, according to the regulation.

    They will also enjoy fast-tracked services when applying for administrative approval, qualification reviews, credit cards or personal loans, patents or copyright registration, and quick refunds from financial institutions or platform companies. –ECNS

    The guidelines also state that role models will have priority access to public elderly care services as well as preferential treatment when applying for civil service positions. 

    Cities are encouraged to reward outstanding individuals with benefits in education, housing, employment, medicare and and administrative approvals. 

    “Keeping trust is glorious and breaking trust is disgraceful,” is the guiding ideology of Beijing’s attempt to crack down on rampant corruption, financial scams, corporate scandals and petty crimes. 

     In the eastern city of Hangzhou, “pro-social” activity includes donating blood and volunteer work, while violating traffic laws lowers an individual’s credit score. In Zhoushan, an island near Shanghai, no-nos include smoking or driving while using a mobile phone, vandalism, walking a dog without a leash and playing loud music in public. Too much time playing video games and circulating fake news can also count against individuals. According to U.S. magazine Foreign Policy, residents of the northeastern city of Rongcheng adapted the system to include penalties for online defamation and spreading religion illegally. –Washington Post

    “Untrustworthy conduct” by both business and individuals includes failure to repay loans, illegal fund collection, false and misleading advertising, swindling customers, and – for individuals, acts such as taking reserved seats on trains or causing trouble in hospitals.

    According to a February report by SCMParound 17.46 million people who are “discredited” were prevented from buying plane tickets, while 5.47 million were disallowed from purchasing tickets to China’s high-speed train system. 

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    Legal experts have expressed concern that the accelerated use of the creditworthiness system trample on what little privacy rights they have in China. 

    “Many people cannot pay their debt because they are too poor but will be subject to this kind of surveillance and this kind of public shaming,” said one attorney quoted by SCMP, who added “It violates the rights of human beings.” 

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Today’s News 4th June 2019

  • Mysterious Version Of US Main Battle Tank Spotted In Romania

    U.S. Army Soldiers and Romanian Armed Forces held an opening ceremony for Justice Eagle 19 at Smardan Training Area, Romania, May 29. During the ceremony, several photos show an advanced version of the U.S. Army M1 Abrams tank with a new armor system on its turret.

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    According to Defense Blog, the new armor system is called Trophy Active Protection System (APS), designed to block incoming anti-tank missile threats, has four radar antennas and fire-control radars to track incoming threats such as anti-tank-guided-missiles (ATGMs), and rocket-propelled grenades (RPGs). Once the system detects a projectile, it will automatically fire a shotgun-type blast to neutralize the threat.

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    The Army awarded Rafael Advanced Defense Systems a contract worth $193 million last July to outfit dozens of its main battle tanks with APS.

    Defense Blog said the new M1 Abrams tank is called the M1A2 System Enhancement Package Version 3 tank, or M1A2 SEPv3.

    The M1A2 SEPv3 is considered the most technologically advanced main battle tank in the world.

    The Trophy APS has also been mounted on Israel’s Merkava, the main battle tank used by the Israel Defense Forces (IDF) since 2009, and has also been installed on the IDF’s armored personnel carrier vehicles. The system saw its first action in March 2011, when it stopped an RPG attack on an IDF Merkava near the border with the Gaza Strip.

    The system employs advanced algorithms that use radar to provide continuous 360-degree protection. The bolt on kit includes four antennas and two rotating launchers mounted on the turret of the tank.

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    Once the threat is discovered, the algorithm classifies the danger, and if a direct hit is calculated, the countermeasure systems are automatically activated, and a tight pattern of explosively shaped penetrators launches at the warhead to neutralize it.

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    Presenting at the Army’s annual convention and exhibition in Washington, D.C., Col. Glenn Dean, the Project Manager of the Stryker Brigade Combat Team at Combat Ground Systems, was quoted several years ago by Military.com as saying the Trophy APS “exceeded expectations.”

    “I tried to kill the Abrams tank 48 times and failed,” he said.

    The Pentagon’s much-needed modernization efforts of defense shields for its main battle tank suggests that the next major conflict could soon be on the horizon.

  • The Center Isn't Holding In Europe

    Authored by Tom Luongo via The Strategic Culture Foundation,

    If there is one big takeaway from the recent European Parliamentary elections it is that centrist parties which stand for nothing in particular represent a lot fewer people. From both the ‘left’ and the ‘right’ the center lost ground across Europe.

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    The Euroskeptics got a lot of press in the run up to these elections and the final result was pretty much in line with expectations, with a couple of exceptions. The pro-EU left lost a lot more ground in Sweden than expected but the Dutch People’s Party were rejected thoroughly in the Netherlands.

    Otherwise the polls were mostly in line with the results. And while the early spin tried to put a brave face on results in the U.K. and France Marine Le Pen outpolling sitting president Emmanuel Macron just two years after he beat her in the presidential election is notable.

    The results in the U.K. were a microcosm of the trends we’re seeing across Europe. The major parties, both campaigning from the center, lost the confidence of the people on both sides of the divisive Brexit argument.

    Those that want Brexit in no uncertain terms bolted to Nigel Farage’s Brexit Party while those fed up with Labour’s indecision on not only Brexit but a host of other issues bolted for the Liberal Democrats and the Greens.

    And a lot of those seats that would have went to the Social Democrats via Labour in the European Parliament now belong to Guy Verhofstadt and ALDE.

    But the U.K. isn’t alone in this splitting along ideological lines. Germany has seen the collapse of the Social Democrats give spark to the Greens there as well. The Greens outpolled Angela Merkel’s Grand Coalition partners by more than five points, coming in 2nd behind the CDU/CSU with 20.5%.

    And this is the takeaway. Governing from the center by trying to mask what the EU actually is versus what it was sold as isn’t working. Merkel had to ‘un-retire’ as leader of the CDU to stop the bleeding, thinking she’d weathered the worst of the storm posed by Euroskeptics like Alternative for Germany, who regressed from their 2017 election result with 11%.

    The strong performance in countries that are pro-EU by parties that want more integration of Europe, as represented by the gains of ALDE and the Green alliances, was offset by a harder, more confrontational brand of Euroskepticism as represented by Brexit, Hungary’s Fidesz and Italy’s Lega.

    Matteo Salvini’s Lega and Nigel Farage’s Brexit are now the best represented parties in the European Parliament. Both are on a collision course with EU leadership intent on squashing both of them.

    The full results weren’t even reported officially, and European President Donald Tusk was out in the media calling “Brexit the vaccine for Euroskepticism.” This is him doubling down on the fear tactics of what will happen to anyone who dares think about trying to leave the EU.

    The problem for Tusk, of course, is that the political establishment in the U.K. is fraying badly and will not be able to hold onto power through the end of the year.

    With this disastrous result one would expect the Tories to dissolve government out of shame, similar to what Greek Prime Minister Alexis Tsipras (not a guy with an ounce of shame, mind you) did after losing to New Democracy.

    But that won’t happen. And it is obvious why. Brussels and Westminster are still scheming to scuttle Brexit and blunt the rise of Farage from riding a sovereigntist wave into 10 Downing Street later in the year.

    Because Labour was so thoroughly rebuked after leader Jeremy Corbyn was suckered into backing a second referendum he doesn’t dare call for a No-Confidence Vote against the government as there’s little chance of him winning a General Election with anything other than an unworkable coalition.

    There will be, however, a challenge to his leadership in the near future as the political class in London have been itching to get rid of Corbyn and put one of Tony Blair’s hand-picked globalists back in charge.

    A drubbing like Labour just took should be all the impetus they need to pull the plug.

    For now, we’ll have to sit through a ridiculous glamour party as the Tories try to figure out who wants to captain its Titanic with an iceberg dead ahead set for impact on Halloween.

    But since these elections didn’t end up with an upside surprise for the Euroskeptic parties overall, the usual suspects in Brussels will wrongly take that as a vote of confidence to thwart any reforms to their European project.

    Tusk’s statement was aimed directly at his own Polish government as well as Salvini in Italy and Viktor Orban in Hungary. The EU’s counterattack already began for Italy with the EU threatening to fine Italy $4 billion it doesn’t have for violating budget rules. This came one day after Salvini was handed a loaded gun by voters to oppose EU austerity.

    Germany voted for Merkel et.al. to stay the course if not accelerate the program and Italy voted otherwise.

    This is a perfect example of why, ultimately, the EU is an unworkable project that should never have been allowed to get to this stage of political integration. Had it simply stayed a free-trade zone like what is on offer in the Eurasian Economic Union (EAEU) it would have been successful.

    But that was never the agenda. The agenda was always to create a transnational superstate with no regard for the will of the people it governed. And for years these people were lied to about what the EU was and what its goals were.

    And now that they see it some have embraced it and others have rejected it.

    That’s why the center can no longer hold and why in the very near future mere anarchy will be loosed upon it because of the hubris of those who wouldn’t take no for an answer.

  • Fake News? Senior North Korean Official Seen With Kim After Reported Purge

    Everybody who criticized the American press for blindly reporting unverified rumors that North Korea had executed and purged several senior NK officials over the botched Hanoi summit has now been vindicated.

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    Reuters reports that former top North Korean nuclear envoy Kim Yong Chol was seen accompanying North Korean leader Kim Jong Un to an art performance on Sunday – proving that the former North Korean spymaster is alive and well, and that rumors that he had been purged and sent to a labor camp were greatly exaggerated.

    The fact that Kim is clearly still in good standing with the dear leader, meaning that he has probably retained his status in the North Korean power structure in a country where being purged from the ruling party often precedes execution, suggests that other senior officials, including Kim Hyok Chol, the special envoy to the US, who had reportedly been executed could still be alive.

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    Vice Chairman of the North Korean Workers’ Party Committee Kim Yong Chol

    North Korean state news agency KCNA named Kim as the tenth person in a group of 12 “leading dignitaries” who joined Kim and his wife, Ri Sol Ju, at the performance by wives of North Korean Army officers.

    South Korean newspaper Chosun Ilbo had reported that Kim, described as a ‘counterpart’ to Secretary of State Mike Pompeo, had been sent to a labor camp, while other sources reported that he had been executed.

    Asked to comment on the rumors over the weekend, Secretary of State Mike Pompeo declined, saying “we conduct our negotiations in private,” though he did say early last month that “it appeared his future counterpart might be somebody else” following reports of a “shakeup.”

    As one analyst explained to Reuters, it can be “very difficult” to verify changes in the North Korean leadership structure.

    “It’s very difficult to factually verify North Korean top leadership purges or removals,” said Hong Min, a senior researcher at the Korea Institute for National Unification.

    “It takes a long time because you need to check that they continually don’t appear in public, who took their position, who replaced who.”

    Though this isn’t the first time rumors about a purported purge turned out to be untrue, all signs indicate that Kim Jong Un’s uncle-by-marriage Jang Song-thaek, who was reportedly executed after being blown to pieces by an anti-aircraft gun back in 2013, is still extremely dead.

  • Permanent Peace Or Forever War: Two Contrasting Commencement Addresses A Half Century Apart

    Authored by Paul Craig Roberts,

    On June 1, 2019, American vice president Mike Pence gave the commencement address at West Point.

    He told the graduates that it was a certainty that they will “be on a battlefield for America” and “will move to the sound of guns.” 

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    Pence did not say for whose agenda they would be fighting, whether it would be the oil companies’ agenda, or Israel’s, or the New York Banks’, or for the neoconservative ideology of US world hegemony, or for the CIA’s drug business.  Indeed, the West Point graduates will die without ever knowing for whose interest they are fighting.  

    Pence’s address is a perfect illustration of The Matrix at work.  The innocent and ignorant graduates are sitting ducks for recruitment into what US Marine General Smedley Buttler described as the hit men for American corporate interests

    War and the preparation for war has been the hallmark of America since the Clinton regime. In American history, the wars have always been for empire and the economic and financial interests that benefit from empire. There are very few years in American history when the government has not been at war with someone.  

    On June 10, 1963, 56 years ago, a much greater man than Pence, President John F. Kennedy, gave the commencement address at American University in Washington, D.C. 

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    His speech stunned the military/security complex.  It revealed a president who was committed to establishing a peaceful relationship with the Soviet Union.  This would be a peace that would threaten their budget, power, and importance.  

    Kennedy’s brave speech was a nail in his coffin. Five months later President Kennedy was murdered by the CIA and Joint Chiefs of Staff in Dallas Texas.  Their deed was blamed on Oswall, who was promptly shot dead inside the Dallas jail by a private citizen given admittance for that purpose. Thus, the set-up fall man was murdered before he could deny his involvement.

    President Eisenhower had rattled the cage of the military/security complex when he said in his last public address in 1961 that they were a threat to American democracy.  But at American University President Kennedy went further and said his intention was to make peace and to remove the threat of war:

    “I have chosen this time and this place to discuss a topic on which ignorance too often abounds and the truth is too rarely perceived–yet it is the most important topic on earth: world peace.

    “What kind of peace do I mean? What kind of peace do we seek? Not a Pax Americana enforced on the world by American weapons of war. Not the peace of the grave or the security of the slave. I am talking about genuine peace, the kind of peace that makes life on earth worth living, the kind that enables men and nations to grow and to hope and to build a better life for their children–not merely peace for Americans but peace for all men and women–not merely peace in our time but peace for all time.

    “I speak of peace because of the new face of war. Total war makes no sense in an age when great powers can maintain large and relatively invulnerable nuclear forces and refuse to surrender without resort to those forces. It makes no sense in an age when a single nuclear weapon contains almost ten times the explosive force delivered by all the allied air forces in the Second World War. It makes no sense in an age when the deadly poisons produced by a nuclear exchange would be carried by wind and water and soil and seed to the far corners of the globe and to generations yet unborn.”

    Kennedy also had  confidence in America that no president since, except Ronald Reagan, had: 

    “We can seek a relaxation of tension without relaxing our guard. And, for our part, we do not need to use threats to prove that we are resolute. We do not need to jam foreign broadcasts out of fear our faith will be eroded. We are unwilling to impose our system on any unwilling people–but we are willing and able to engage in peaceful competition with any people on earth.”

    Contrast Washington today with President Kennedy, and you can see the total collapse of America.  Today we seek to stamp out all news except from those presstitutes that repeat the official explanations. We jam foreign broadcasts by requiring Russian news services to register as “foreign agents.” We close down websites and ban free speech from Facebook and Twitter. We have zero diplomacy, only threats.  Indeed threats are America’s hallmark.  Threats of war.  Threats of sanctions. The President of the United States gives away other countries’ territories and decides who is to be the president of Venezuela.  Today’s America is scared to death of peaceful competition and imposes tariffs on everyone from Mexico to China. 

    When John Kennedy was president, America was a proud country.  Today it is a shameful place in freefall, a grave danger to its own citizens and to the rest of the world.

  • Orwellian Future Is Here: Facial Recognition & Mass Surveillance Coming To US Schools

    Authored by Mac Slavo via SHTFplan.com,

    We are staring our Orwellian future right in the face.  Beginning in New York, facial recognition is coming to schools in the United States and it’ll be switched on for testing next week.

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    The dystopian future George Orwell warned about in his accidental historical predictions book, 1984, has arrived. According to an article by Engadget, the Lockport City School District in New York will start testing a facial and object recognitionsystem called “Aegis” on June 3rd. According to BuzzFeed News, that will make it the first in the U.S. to pilot a facial recognition mass surveillance system on its students and faculty.

    The district installed cameras and the software suite back in September, using $1.4 million of the $4.2 million funding it received through the New York Smart Schools Bond Act. Funding provided through the Bond Act is supposed to go towards instructional tech devices, such as iPads and laptops, but the district clearly had other plans. –Engadget

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    BuzzFeed News got its hands on a copy of a letter distributed to the students’ parents, and it describes Aegis as “an early warning system” that can notify officials of threats.  But that’s the propagandized version of what the system is in reality: it’s a mass surveillance tool being sold to the public as “safety” as with any human rights infringement. The system, created by Canadian company SN Technologies, can apparently keep track of certain individuals in school grounds.

    Schools have long been indoctrination centers and it doesn’t look like that trend will be reversed anytime soon, in fact, it’s being amplified. The system can identify students and staff who’ve been suspended, but it’s unclear if Lockport will use it to monitor those who’ve been suspended over non-violent offenses. Aegis claims that it will delete all footage after 60 days and it won’t record the movements of students, staff, and visitors that aren’t in the list of individuals to monitor. That said, the system will have to analyze everyone’s faces to identify people it will have to “keep an eye on.”  So in truth, this system monitors everyone and is mass surveillance packed up to sound like security.

    It’s difficult to believe anyone falls for this anymore, but the truth is treason in an empire of lies.  Anyone who’s read even a small amount of history knows there’s no benevolence to this at all. It’s an authoritarian dystopian system that seeks to monitor everyone at all times, and it’s coming to all schools.

    There are, fortunately, some other people out there who understand just how invasive and this human rights trampling system has become. Stefanie Coyle, an education counsel for the New York Civil Liberties Union, told BuzzFeed News that the organization asked the New York State Education Department to block the project. After all, San Francisco banned the technology, and it’s a city filled with tech companies that understand it best. “Why in the world would we want this to come to New York,” she added, “and in a place where there are children?”

  • Druckenmiller Dumps All His Stocks, Piles Into Treasuries Expecting Rates To Hit Zero

    Somewhere, Albert Edwards is doing a victory lap. Little by little, the SocGen strategist’s “IceAge” thesis, which sees US 10Y Treasury rates eventually catching down to Bunds and JGBs by hitting 0% and going negative thereafter as a deflationary singularity grips the entire world, is materializing.

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    On Monday, the market found a newfound appreciation for Edwards’ gloomy perspective, as September eurodollars soared 14.5 ticks following Bullard comments greenlighting a Fed rate cut. The EDM9-EDZ9 has plunged, more than doubling in just a few days as low as -0.485 bps today, in a move that shocked rates traders and left them speechless as the market is now pricing in a 60% chance of two cuts or more by September.

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    But it’s no longer just Albert who sees a deflationary tsunami flooding over the US. The grouchy permabear was joined by billionaire Stan Druckenmiller, who said he could see the Fed funds rate going to zero in the next 18 months if the economy softens, and that he recently piled into Treasuries as the U.S. trade war with China escalated.

    “When the Trump tweet went out, I went from 93% invested to net flat, and bought a bunch of Treasuries,” Druckenmiller said Monday evening quoted by Bloomberg, referring to the May 5 tweet from Trump which threatened an increase in tariffs on China and which sparked the most vicious bout of trade-war related selling yet. Explaining his decision, Druck said that it’s “not because I’m trying to make money, I just don’t want to play in this environment.”

    Incidentally, for those confused what going from 93% invested to flat means, the answer is he liquidated his entire equity book.

    In an interview by Key Square Capital Management founder Scott Bessent at The Economic Club of New York, Druckenmiller went against conventional, and Beijing, wisdom which believes that Trump will capitulate ahead of the 2020 elections, and said that at the moment he doesn’t see Trump giving China room for negotiation because the president sees tariffs as a winning strategy for the 2020 election. That, of course, could change if the economy and markets get weaker, he said.

    “If you can analyze Donald Trump more power to you. I’ve been more wrong footed by this guy, and shame on me”, Druckenmiller summarized his feelings toward Trump.

    At the same time, as we noted earlier when we pointed out that several of Druckernmiller’s key warning indicators are flashing an “amber alert”, while the former chief strategist for George Soros wouldn’t say whether the U.S. is headed for a recession, he said he sees “many warning signs” adding that he was concerned that Trump may have broken a fragile economy going into the next election and assumes he won’t be re-elected in 2020.

    Looking at other asset classes, Druckenmiller said that while Treasuries have become less interesting amid the furious rally in recent days, they remain “the best game in town” if the economy deteriorates, and certainly if rates tumble another 2% to zero or below. “Gold’s not bad either,” he added.

    As we reminded readers earlier today, last December Druckenmiller warned that trading conditions could worsen, and that while the indicators he historically used were not red yet…

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    … they were deep inside amber territory. Alongside former Fed governor Kevin Warsh, Druck also urged the Federal Reserve not to raise rates in December, and while central bank did not follow his advice that time, it has since kept interest rates steady and may cut rates as soon as the June meeting which is suddenly seen as “live.”

    Below, courtesy of Bloomberg, are some other highlights from the interview of the hedge fund legend whose average returns of 30% over three decades, speaks for itself:

    • No impeachment: It would “be crazy” at this point to try to remove Trump through impeachment or the 25th amendment, because it would take too long and “the country would go through hell. It doesn’t make sense”
    • Major shake-out in the hedge fund industry is coming:  “There’s probably five to 10 people, women and men, who are worth more than their fees now,” he said. “There are still going to be superstars, but we need to get back to maybe 200 or 300 from 4,000” funds.
    • Staying away from bitcoin: He wouldn’t be short or long Bitcoin, as he doesn’t understand why it’s a store of value. “I don’t think I’m a neanderthal, which is what I’ve been called when I’ve said I didn’t want to own Bitcoin.”

    Druckenmiller’s parting words were the most memorable. Responding to a question from the audience if the Fed is going to use negative rates, here’s what Druckenmiller said:

    They’re going to do the works.  Stuff that I thought was brilliant in 2009 and should be used once every 50 years is now being discussed as part of the toolkit even for like a recession. I can easily see 2 Years easily going to zero, and I would say the odds are very high they would cut 50 to a 100 bps in the next year. Everything I see out of central banks globally is radical policies ahead.”

    His full interview is below.

  • Aussie Feds Raid News Corp Journalist's Home After Government Spying Exposé

    Australian federal police officers are raiding the home of News Corp Australia journalist Annika Smethurst over an April, 2018 story accusing the government of radical new espionage powers allowing the Australian Signals Directorate (ASD) to monitor citizens for the first time, according to the Daily Telegraph (via the Herald Sun). 

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    News Corp Australia’s Annika Smethurst, Home Affairs minister Peter Dutton​​​​

    Ms Smethurst, the political editor for News Corp Sunday titles includingThe Sunday Telegraph, was at home preparing to leave for work this morning when several Australian Federal Police officers arrived with a warrant from an ACT magistrate giving them authority to search her home, computer and mobile phone.

    Ms Smethurst complied with the warrant and is presently waiting for the raid to be completed. She has declined to answer questions apart from confirming her identity. –Herald Sun

    Smethurst’s article revealed that the emails, bank accounts and text messages of Australian citizens could be secretly accessed by government spies without a trace under the proposal, as long as the Defense and Home Affairs ministers approved the plan. 

    The raid comes three weeks after the federal election returned the Morrison government to power, leaving Home Affairs minister Peter Dutton at the helm. 

    Ms Smethurst’s original story included images of top-secret letters between the secretary of Home Affairs, Mike Pezzullo, and his counterpart in Defence, Greg Moriarty, outlining a plan to potentially allow government hackers to “proactively disrupt and covertly remove” onshore cyber threats by “hacking into critical infrastructure.” –Herald Sun

    Current Australian law prohibits the ASD from spying on citizens – a power left to the Australian Federal Police (AFP) and the Australian Security Intelligence Organization, the country’s domestic spy agency. 

    Smethhurt revealed that Dutton and former Defense Minister Marise Payne had reviewed the proposal, however it had not moved beyond that stage to be formally presented to the government. 

  • Ex-Defense Official: UFOs Pose A "Vital National Security Threat"

    Authored by Mac Slavo via SHTFplan.com,

    According to a top ex-defense official, the United States is not the only nation that has struggled to explain UFO sighting.  Not only have the sightings been happening worldwide, but Christopher Mellon, a former deputy assistant secretary of defense for intelligence, says the unidentified flying objects pose a “vital national security threat.”

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    According to a report by the New York Post, Mellon says that the U.S. Navy pilots who recently reported seeing UFOs on a near-daily basis in 2014 and 2015 have legitimate concerns about their time on Earth. In numerous interviews, Navy pilots have revealed that they have seen UFOs moving at hypersonic speeds, performing acts “beyond the physical limits of a human crew,” and emitting “no visible engine or infrared exhaust plumes.”

    The speeds that were being reported by Navy pilots (about 5,000 miles per hour, according to Mellon) were only sustainable for about an hour by an aircraft in the air, and these objects would be flying around all day long, the pilots said. “Pilots observing these craft are absolutely mystified and that comes through clearly in their public statements,” Mellon continued.

    They’re deeply frustrated and that is the core of our show,” Mellon said in an interview with “Fox & Friends” on Fox News Wednesday, where he pushed his forthcoming History Channel series titled “Unidentified,” which looks into the UFO phenomenon. Mellon is also concerned about UFO sightings and he’s begging the government to take action. (We know what the means: war.)

    “We know that UFOs exist. This is no longer an issue,” he said. 

    “The issue is why are they here? Where are they coming from and what is the technology behind these devices that we are observing?”

    A Super Hornet pilot once said he almost collided with one of the objects, and the fear of UFOs amplified. The pilot described the object he nearly misses as “a sphere encasing a cube.” An official report was filed, and the incident shattered the previous theory by Navy pilots that the objects were a part of some sort of extremely classified drone operation. “These are reactions between intelligently controlled vehicles operating in and around U.S. military facilities, hence the concern,” Mellon explained.

    “One: there have been near mid-air collisions so there is a safety issue. 

    Two, there is a vital national security issue which is that our sovereignty is being violated by vehicles of unknown origin,” he continued.

    Nevermind our individual sovereignty is being violated daily by the government; UFOs, who have taken exactly zero rights away, are the problem if you ask guys like Mellon.

    Terry Lovelace, a 64-year-old lawyer, and a former assistant attorney general has written a book about his experiences with UFOs. “In 2012 a routine x-ray of my leg found an anomalous bit of metal the size of a fingernail with two tiny wires attached. What followed were horrific nightmares, spontaneous recall and intrusive thoughts surrounding a 1977 camping trip I took with a friend to Devils Den State Park in Northern Arkansas. For fear of losing my job and my standing in the legal community, I’ve kept this secret for 40 years. But the 2012 discovery of this object, one and one-half inches deep in my thigh, initiated a flood of nightmares I could not control,” says the description of his book Incident at Devil’s Den.

  • Chinese Dating Apps Targeting Americans Expose 42.5 Million Records

    On May 25th, security researcher Jeremiah Fowler discovered an unsecured Elastic database associated with an entity in China had exposed 42.5 million records of mostly American dating app users.

    Fowler noticed an I.P. address, located on a U.S. server with many of the users based in North America. He examined the sever even closer and found Chinese text inside the database that read: 模型更新完成事件已触发,同步用户到 (Google Translate: The model update completion event has been triggered, syncing to the user.)

    “The strange thing about this discovery was that there were multiple dating applications all storing data inside this database,” Fowler wrote in a blog post on Security Discovery. “Upon further investigation, I was able to identify dating apps available online with the same names as those in the database.”

    He said, “that despite all of them using the same database, they claim to be developed by separate companies or individuals that do not seem to match up with each other. The Whois registration for one of the sites uses what appears to be a fake address and phone number. Several of the other sites are registered private and the only way to contact them is through the app (once it is installed on your device).”

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    Fowler was able to find users’ real identity in a matter of minutes: “The dating applications logged and stored the user’s I.P. address, age, location, and user names,” he wrote. “Like most people, your online persona or user name is usually well crafted over time and serves as a unique cyber fingerprint.”

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    In an email to CyberScoop, Fowler said a sampling of 10,000 users revealed that 8,063 were Americans, 356 were from the U.K., 219 from Canada and 151 from Australia.

    Approximately 42.5 million records were exposed, Fowler said. He wasn’t sure who controls the database nor its exact location. But the site’s Whois domain registration was located on a subway line in Lanzhou, China.

    Dating apps mentioned in the database include a diverse range to collect as much data as possible:

    • Cougardating (Dating app for meeting cougars and spirited young men: according to the site)
    • Christiansfinder (an app for Christian singles to find ideal match online)
    • Mingler (interracial dating app)
    • Fwbs (Friends with benefits)
    • “T.S.” I can only speculate it is an app called “T.S.” that is a Transsexual Dating App

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    “I am not saying or implying that these applications or the developers behind them have any nefarious intent or functions, but any developer that goes to such great lengths to hide their identity or contact details raises my suspicions,” Fowler wrote. “Call me old fashioned, but I remain skeptical of apps that are registered from a metro station in China or anywhere else.”

    Commenting on the compromised database, Nabil Hannan, managing principal, financial services, at Synopsis, told S.C. Media:

    “In this particular case, there’s a lot of personal and private information that users trust dating sites with.

    Although the data that was leaked did not include anything sensitive, per se, it does have usernames (from which a person’s full name can often be inferred) along with age and location information” and “may be enough to allow attackers to cause some level of damage depending on the type of information publicly available about the people whose data have been leaked.”

    Fowler’s findings could be another example of Chinese hackers attempting to extract personal data from Americans.

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Today’s News 3rd June 2019

  • The UK Dominates The Most Damaging Tax Havens

    New analysis by the Tax Justice Network has revealed the UK to be biggest enabler of corporate tax dodging in the world.

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    As Statista’s infographic below shows, British Overseas Territories and Crown Dependencies dominate the list of places allowing multinationals to avoid paying tax on their profits.

    Infographic: The UK dominates the most damaging tax havens | Statista

    You will find more infographics at Statista

    In total, this makes the UK responsible for about one third of global tax avoidance risk – over four times more than the second biggest contributor, the Netherlands.

  • Sweden's Self-Inflicted Mess

    Authored by Judith Bergman via The Gatestone Institute,

    • According to an Amnesty International report, in Sweden, rape investigations are under-prioritized, there are “excessively long waiting times for the results of DNA analyses”, there is not enough support for rape victims and not enough work is done for preventative purposes.

    • In 2017, a Swedish police report, “Utsatta områden 2017”, (“Vulnerable Areas 2017”, commonly known as “no-go zones” or lawless areas) showed that there are 61 such areas in Sweden. They encompass 200 criminal networks, consisting of an estimated 5,000 criminals. Twenty-three of those areas were especially critical….

    • “I cannot bear to see children faring so badly… There should be no doubt that the Government does what it can for these children [of ISIS terrorists] and if possible they should be brought to Sweden.” — Swedish Foreign Minister Margot Wallström.

    • Unfortunately, the horrific fate of enslaved Yazidi children does not appear to be something that Wallström “cannot bear”.

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    According to the latest National Safety Report, published by the Swedish National Council for Crime Prevention, four out of 10 women are afraid to walk outside freely. According to an Amnesty International report, “In a 2017 study, 1.4% of the population stated they had been subjected to rape or sexual abuse, corresponding to approximately 112,000 people.” (Image source: iStock)

    In the picturesque Swedish university city of Uppsala, 80% of girls do not feel safein the city center. One 14-year old teenager, who is afraid to reveal her identity, told the Swedish media that she always wears trainers so that she can ‘run faster’ if she is attacked:

    “I sat down on a bench and immediately guys came and sat next to me on both sides. Then more guys came and stood in front of me. They began to grab my hair and my legs and said things to me that I did not understand. I became so terrified and told them many times to stop, but they did not listen… Everything is so horrible. This is so wrong. I want to be able to feel safe”, she said about taking the bus home.

    A recent survey from Region Uppsala shows that only 19% of girls in high school feel safe in the inner city of Uppsala. In 2013, the number was 45%. The men and boys in the gangs that engage in the sexual harassment of Swedish girls in Uppsala are frequently newly-arrived migrants.

    In response, officials from Uppsala apparently told the Swedish press, “We usually encourage girls who feel insecure to think about what they need to do to feel safe, such as not walking alone, making sure they get picked up and anything else that can reduce their sense of insecurity.” In other words, the authorities are leaving the responsibility for dealing with this critical security issue to the girls themselves.

    The scared girls in Uppsala are only a small part of the entire picture. According to the latest National Safety Report, published by the Swedish National Council for Crime Prevention (Brottsförebyggande Rådet or Brå), four out of 10 women are afraid to walk outside freely.Almost a quarter of the population chooses a different route or another mode of transportation as a result of anxiety about crime… Among women aged 20-24, 42 percent state that they often opted for another route or another mode of transportation, because they felt insecure and worried about being subjected to crime. The corresponding proportion among men in the same age group is 16 percent…” according to Brå.

    Nevertheless, the government is cutting down on the police’s resources. In the government’s new spring change budget, the police are facing a reduction of 232 million Swedish kroner (US $24.5 million). “The proposals in the spring change budget will have consequences for the police’s activities, but what effects it will have it is too early to respond to at present. We will now analyze how we will handle the new economic conditions,” the police said in response to the proposed budget costs, with police chief Anders Thornberg criticizing the cuts.

    As it is, the police are already drowning in tasks they cannot perform properly, such as solving rape cases. A recent Amnesty International report, “Time for Change: Justice for rape survivors in the Nordic countries“, released in April, harshly criticized Sweden for not dealing properly with rape cases. According to the Amnesty report, among other problems, rape investigations are under-prioritized, there are “excessively long waiting times for the results of DNA analyses”, there is not enough support for rape victims and not enough work is done for preventative purposes.

    The Amnesty report states:

    “In 2017, the Swedish police received 5,236 reports of rape involving people aged 15 or over: 95% of victims were women or girls. The preliminary statistics for 2018 show 5,593 reports of rape of which 96% of victims were women or girls. However, under-reporting of rape and other sexual crimes means that these figures do not give a realistic picture of the scale of the problem. In a 2017 study, 1.4% of the population stated they had been subjected to rape or sexual abuse, corresponding to approximately 112,000 people. The vast majority of rape victims will never report the crime to the police. Of those who do, few will see their case heard in court. In 2017, prosecutions were initiated in 11% of cases involving children aged between 15 and 17 and in 6% of cases involving adults”.

    Sexual crimes are not the only crimes that Swedish authorities find themselves unable properly to confront. In 2018, Sweden experienced a record high number of lethal shootings; 45 people were killed in them nationwide. Most of the shootings took place in the Stockholm area, and most deaths occurred in Region South, where Malmö is located. “It is at a terribly high level,” Stockholm’s police commissioner , Gunnar Appelgren, said about the shootings. Previously, 2017 held the record with 43 shot to death. The number of reported shootings overall did, however, decrease slightly: from 324 in 2017, to 306 in 2018. The number of people who were injured was also slightly lower: 135 people in 2018, compared to 139 in 2017.

    According to the police, many of the shootings are linked to criminal conflicts and so-called “vulnerable areas” (utsatta områden, commonly known as “no-go zones” or lawless areas). In the first six months of 2018, according to police, almost every other shooting took place in a “vulnerable area”. In 2017, a Swedish police report, “Utsatta områden 2017” (“Vulnerable Areas 2017”) showed that there are 61 such areas in Sweden. They encompass 200 criminal networks, consisting of an estimated 5,000 criminals. Twenty-three of those areas were especially critical: children as young as 10 had been involved in serious crimes there, including ones involving weapons and drugs. Most of the inhabitants were non-Western, sadly mainly Muslim, immigrants.

    To add to these problems, Foreign Minister Margot Wallström appears to be planning to bring back children of Swedish Islamic State (ISIS) terrorists who are living in refugee camps in Syria. “It is complex and that is why it has taken time to develop a policy and a clear message, but we are working on this every day. I cannot bear to see children faring so badly”, she recently said. In an April 12 Facebook post, Wallström wrote:

    “The government is now working intensively to ensure that children with links to Sweden who are in Syria receive the help they need. There should be no doubt that the government does what it can for these children and if possible they should be brought to Sweden. Each case must be handled individually. The children are in different situations, some perhaps orphans, others with parents arrested for acts they committed for ISIS. Identifying Swedes who can have been born in [Syria or Iraq] is difficult. In the largest camp there are about 76,000 people. We are in contact with International Red Cross in the camps. It is of the utmost importance that the children’s situation is handled with legal certainty and with the best interests of the children. International actors, Swedish authorities and Swedish municipalities, who can be recipients of children, must cooperate…”

    Unfortunately, the horrific fate of enslaved Yazidi children does not appear to be something that Wallström “cannot bear”.

    Additionally, 41 out of 290 Swedish municipalities could be forced, or are already being forced, to accommodate returning ISIS terrorists in the near future, according to a recent report by SVT Nyheter. The ISIS terrorists are either still in Syria or already on their way back to Sweden. To “prepare” the municipalities, the Swedish Center Against Violent Extremism invited them to a “knowledge day” about ISIS returnees on April 24. The purpose was to “provide support to the municipalities that have received or will be receiving returning children and adults from areas previously controlled by the Islamic State”. The municipalities involved are those where the ISIS terrorists had lived before being recruited to ISIS.

    In total, 150 male and female ISIS members are expected to return to Sweden, as well as 80 children who are travelling with their parents.

    According to Prime Minister Stefan Löfven, returning ISIS terrorists have a “right”, as Swedish citizens, to return to Sweden. Löfven claimed that it would be against the Swedish constitution to strip them of their citizenship, but that those who had committed crimes would be prosecuted. Swedish terrorism expert, Magnus Ranstorp, though, has warned Sweden against taking back not only ISIS terrorists, but also their wives and children, who, he said, also pose a security risk:

    “The women are not innocent victims, and there is also a large group of ISIS children… From the age of eight or nine, they have been sent to indoctrination camps where they have learned close combat techniques and how to handle weapons. Some of them have learned how to kill… their identities will forever be linked to their time with ISIS, and the fact that they have an ISIS father or an ISIS mother.”

    Sweden seems intent on importing even more problems.

  • Escobar Warns: It's Far From Quiet On The US Vs Russia-China Front

    Authored by Pepe Escobar via The Saker blog,

    Let’s start in mid-May, when Nur-Sultan, formerly Astana, hosted the third Russia-Kazakhstan Expert Forum, jointly organized by premier think tank Valdai Club and the Kazakhstan Council on International Relations.

    The ongoing, laborious and crucial interconnection of the New Silk Roads, or Belt and Road Initiative and the Eurasia Economic Union was at the center of the debates. Kazakhstan is a pivotal member of both the BRI and EAEU.

    As Valdai Club top analyst Yaroslav Lissovolik told me, there was much discussion “on the state of play in emerging markets in light of the developments associated with the US-China trade stand-off.” What emerged was the necessity of embracing “open regionalism” as a factor to neutralize “the negative protectionist trends in the global economy.”

    This translates as regional blocks along a vast South-South axis harnessing their huge potential “to counter protections pressures”, with “different forms of economic integration other than trade liberalization” having preeminence. Enter “connectivity” – BRI’s premier focus.

    The EAEU, celebrating its fifth anniversary this year, is fully into the open regionalism paradigm, according to Lissovolik, with memoranda of understanding signed with Mercosur, ASEAN, and more free-trade agreements coming up later this year, including Serbia and Singapore.

    Sessions at the Russia-Kazakhstan forum produced wonderful insights on the triangular Russia-China-Central Asia relationship and further South-South collaboration. Special attention should focus on the concept of the Non-Aligned Movement (NAM) 2.0. If a new bipolarity is emerging, pitting the US against China, NAM 2.0 rules that vast sectors of the Global South should profit by remaining neutral.

    On the complex Russia-China strategic partnership, featuring myriad layers, by now it’s established that Beijing considers Moscow a sort of strategic rearguard in its ascent to superpower status. Yet doubts persist across sectors of “pivot to the East” Moscow elites on how to handle Beijing.

    It’s fascinating to watch how neutral Kazakh analysts see it. They tend to interpret negative perceptions about a possible “Chinese threat” as impressed upon Russia, including Russia media, by its notorious Western “partners” – and “from there proceed to Kazakhstan and other post-Soviet countries.”

    Kazakhs stress that the development of the EAEU is always under tremendous pressure by the West, and are very worried that the US-China trade war will have serious consequences for the development of Eurasian integration. They dread the possibility of another front of the US-China fight opening in strategically positioned Kazakhstan. Still, they hope the EAEU will expand, mostly because of Russia.

    Andrei Sushentsov, program director of the Valdai Discussion Club, had a more lenient explanation. He reads the current chaos not as a Cold War, but rather a “Phony Cold War” – with no pronounced aggressor, no ideological component in the confrontation, and even “a desire to relieve tension.”

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    NAM 2.0 or Eurasia integration?

    In a crucial speech to the Valdai Club, President Putin made it clear, once again, that the BRI-EAEU interconnection is an absolute priority. And the only road map ahead is for Eurasian integration.

    That interlinks with the advance of the Shanghai Cooperation Organization, whose annual summit is next month, in Kyrgyzstan. One of the key goals of the SCO, since it was founded in 2001, is to create an evolving Russia-China-Central Asia synergy.

    It’s not far-fetched to consider that what happens next may include a clash between the inbuilt logic of the Non-Aligned Movement (NAM) 2.0 and the massive Eurasian integration drive. Moscow, for instance, would be in an intractable position if it came to either align with Beijing or NAM 2.0.

    Putin has had a crack on how to solve the problem.

    “Historical experience shows that the Soviet Union had quite trust-based and constructive relations with many countries of the Non-Aligned Movement. It is also clear that if pursued in a too radical and uncompromising way, the logic of the ‘new non-aligned movement’ can become a challenge to the consolidation and unity of Eurasia, which is the top priority for the SCO and other projects.”

    Putin has arguably dedicated a lot of thought to “the case of a new rupture in Russia-China relations, toward which many are pushing us.”

    He recognizes that “quite a large part of Russian society will receive it as a quite natural and even positive development. Therefore, to avoid this scenario (to reiterate, consolidation and unity of Greater Eurasia is the key value of the SCO and the EAEU-BRI association), not only diplomatic work outside of Russia is required… but also a lot of work inside the country. In this case, the work needs to be done less with elites by way of expert papers, than directly with the people in entirely different media formats (which, by the way, not all traditional experts can do).”

    The ultimate target though remains set in stone – to “achieve the purported goal of consolidating Greater Eurasia.”

    The US three-war front

    Maximum pressure from ‘Exceptionalistan’ won’t relent. For instance, CAATSA – the Countering America’s Adversaries Through Sanctions Act – now in overdrive after the adoption of a European Recapitalization Incentive Program, will continue to economically punish nations that purchase Russian and Chinese weapons.

    The logic of this extreme “military diplomacy” is stark; if you don’t weaponize the American way, you will suffer. Key targets feature, among others, India and Turkey, two still theoretical poles of Eurasian integration.

    In parallel, from US Think Tankland, comes the latest RAND Corporation report on – what else – how to wage Cold War 2.0 against Russia, complete with scores of strategic bombers and new intermediate-range nuclear missiles stationed in Europe to counter “Russian aggression”. Santa Monica’s RAND arguably qualifies as the top Deep State think tank.

    So, it’s no wonder the road ahead is fraught with Desperation Row scenarios. The US economic war on China – at least for now – is not as hardcore as the US economic war on Russia, which is not as hardcore as the US economic siege or blockade of Iran. Yet all three wars carry the potential to degenerate in a flash. And we’re not even counting the strong possibility of an extra Trump administration economic war on the EU.

    It’s no accident that the current economic wars target the three key nodes of Eurasian integration. The war against the EU may not happen because the main beneficiaries would be the Russia-China-Iran triumvirate.

    Obviously, no illusions remain in Beijing, Moscow and Tehran’s corridors of power. Frantic diplomacy prevails. After the BRI forum in Beijing, Presidents Putin and Xi meet again in early June at the St Petersburg International Economic Forum – where discussion of BRI-EAEU interconnection will be paramount, alongside containment of the US in Central Asia.

    Then Russia and China meet again at the SCO summit in Bishkek. The head of Russia’s Federal Security Service (FSB), Alexander Bortnikov, went on the record stating that as many as 5,000 ISIS/Daesh-linked jihadis fresh from their “moderate rebel” Syrian stint are now massed in Afghanistan bordering Tajikistan and Uzbekistan, with the possibility of crossing to Pakistan and China.

    That’s a major security threat to all SCO members – and it will be discussed in detail in Bishkek, alongside the necessity of including Iran as a new permanent member.

    Chinese Vice-President Wang Qishan is visiting Pakistan, which is a key BRI member with the CPEC corridor, and after will visit the Netherlands and Germany. Beijing wants to diversify its complex global investment strategy. 

    Meanwhile, from Istanbul to Vladivostok, the key question remains: how to make NAM 2.0 work to the benefit of Eurasian integration.

  • Trash Wars Part Deux: Philippines Now Shipping Barge Of Illegal Trash Back To Canada

    While the world has been focused on the ongoing U.S./China (and now U.S./Mexico) trade war, the final chapter in an ongoing, yet little covered garbage war between the Philippines and Canada looks to have begun. 

    A shipment of trash that has been causing strain between the two countries is finally heading back to Canada, 6 years after it arrived in the Philippines, according to Gulf News

    Wilma Eisma, Subic Bay Metropolitan Authority (SBMA) chair said: “Finally, the containers of garbage transported from Canada and stored at the Subic Bay Freeport for several years now have been pulled out as of today, May 31, 2019,” 

    69 total containers filled with trash were loaded onto the MV Bavaria, pictured below, and sent back to North America. The shipment was commissioned by Canada to take the cargo back to its point of origin. 

    “This is one proud moment for all Filipinos,” Eisma continued.

    Philippine Foreign Secretary Teodoro Locsin Jr said: “The garbage is gone, good riddance. I am not interested in what the world thinks … Canada pulled all stops on this: seamless cooperation.”

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    Senator Panfilo Lacson said: “…we will await further developments on future garbage return expeditions to Australia, South Korea, Hong Kong and God knows where else.”

    President Rodrigo Duterte had previously prohibited Philippine officials from travelling to Canada as a result of the disagreement over the trash. He had also downgraded the country’s diplomatic presence in Canada. When the trash left port for Canada, Locsin withdrew an order for the recall of the Filipino ambassador and consuls to Canada.

    “To our recalled posts, get your flights back. Thanks and sorry for the trouble you went through to drive home a point,” Locsin said.

    Recall, earlier this month we highlighted the ongoing war between Duterte and Canada.

    Canada had previously agreed to take the trash back, but was slow in making arrangements for its return. Duterte threatened to leave the trash in Canadian waters if Ottawa refused to take it back, according to Salvador Panelo, spokesman for the President.

    Quoted by RT, Panelo had said Duterte was “upset” by Ottawa’s “inordinate delay” in shipping the garbage back after they missed a May 15 deadline to do so. Officials in the Philippines were even looking to hire a private shipping company to move the waste back to Canada, with Manilla bearing the expenses. 

    Duterte warned Canada to “prepare a grand reception” for the trash and said he didn’t care what Canada did with it. He even suggested that Canadians could “eat it” if they wanted to.

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    Panelo said earlier this month: “Obviously, Canada is not taking this issue nor our country seriously.” He continued, saying that the trash would be dumped in Canada’s territorial waters, or 12 miles from the country’s shore. 

    “The Philippines is an independent sovereign nation [and] must not be treated as trash by other foreign nations. We hope this message resonates well with other countries of the world,” Panelo concluded.

    The containers had previously been listed as containing plastics intended for recycling, however, upon delivery, the shipment was found to contain newspapers, water bottles, diapers and other trash. Back in April, Duterte had said of the argument: “They have been sending their trash to us. Well, not this time. We will quarrel with each other. So what if we quarrel with Canada? We’ll declare war against them, we can beat them.”

    • Jatras: Make No Mistake, Democrats Are 'Shooting To Kill' With Impeachment

      Authored by James George Jatras via The Strategic Culture Foundation,

      In the wake of Robert Mueller’s calculated handoff of the “Get Trump” portfolio to the Democrat-controlled House of Representatives, two things are evident.

      First, President Donald J. Trump is virtually certain to be impeached. That’s manifest despite doddering House Speaker Nancy Pelosi’s playing cute for now, seeking to ensure first that “we do want to make such a compelling case, such an ironclad case that even the Republican Senate, which at the time seems to be not an objective jury, will be convinced.” Translation: We don’t have the goods yet, but we expect to.

      Second, like generals proverbially fighting the last war – namely, Republicans’ failed 1998 effort to oust Bill Clinton – many in the GOP have convinced themselves that a Trump impeachment will be unsuccessful and will only hurt the Democrats. Put another way, the Stupid Party once again rises to the occasion. Cue Karl Rove:

      ‘Knowing what they know today, if House Democrats move forward on the impeachment of President Trump, five things will happen.

      ‘First, swing voters will conclude the Democrats are conducting a highly partisan exercise.

      ‘Second, impeachment talk will largely or completely obscure anything else House Democrats will do legislatively. Voters could decide the Democrats are a do-nothing bunch.

      ‘Third, impeachment will play a much larger role in the Democratic presidential primary. The issue of impeachment will obscure the other messages of the Democratic presidential hopefuls and raise the prospect of a backlash against candidates like former Vice President Joe Biden and Sen. Bernie Sanders of Vermont, who have yet to embrace impeachment.

      Fourth, the Republican Senate will quickly dismiss any impeachment resolution passed by the House, killing the issue.

      ‘And finally, any of the dozens of vulnerable House Democrats in Republican-leaning districts who back impeachment will have given their GOP opponents a big issue.’ [Emphasis added]

      Make no mistake, while the Democrats hope to wound Trump even if the attempt to remove him fails, they are deadly serious that they have a realistic shot at finishing him off. Moreover, they know that removing him by impeachment is a better prospect than beating him at the polls.

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      The Democrats are not at all sure about winning in 2020, not least because of the pathetic gaggle of so-called candidates they’ve got to offer. Thus their main goal in pursuing impeachment will not be to weaken Trump for 2020, it is – still – to get him out of the White House.

      That’s because, as was the case in 2016, Trump’s the only GOP candidate who has a shot at winning. The Democrats want a sure thing. Having underestimated him in 2016 they don’t want to roll the dice again. Even though Trump has not turned out to be the transformative president that many of his supporters might have hoped for, he certainly will be the lesser of evils compared to whoever ends up the Democratic nominee. (Spoiler alert: it won’t be Tulsi Gabbard.) Worse from their point of view, he remains a toxic avatar of the old America they thought well and truly laid to rest once and for all. They can’t breathe easy while he remains in office lest he, however unlikely in view of his failures of performance, serve as a catalyst for revival of the historic American nation facing extinction at the hands of certified victim classes.

      Rove refers to the Democrats’ “knowing what they know today,” but Pelosi has made it clear that they intend to know a lot more before they pull the trigger. All the fluff over “obstruction” is just to keep the pot boiling while they get to the real meat and potatoes. Let House Judiciary Committee Chairman Jerry Nadler and House Intelligence [sic] Committee Adam Schiff yammer about obstruction while multiple committees and New York state and city prosecutors keep digging: taxes, business skullduggery in New York real estatebabesracism. Remember, they don’t need to find a crime, only something that will give enough Republicans in the Senate an excuse to give Trump the heave-ho.

      Rove says the “Republican Senate will quickly dismiss any impeachment resolution passed by the House.” That’s nonsense, and Rove knows it. The relevant analogue to the upcoming Trump impeachment isn’t Clinton 1998, it’s Richard Nixon 1974. Bill Clinton literally could have raped Juanita Broaddrick in the middle of Fifth Avenue in broad daylight and the Democrats still would have circled the wagons to defend him, as they in fact did, without a single Democratic vote to convict. As it hardly needs be added, the media unanimously supported them.

      Nixon, however, was done in by his own party when Senate GOP leaders told Tricky Dick (loathed by most of his party, as Trump is) that he had to resign or they would vote to remove him. That’s because Republicans are not only the Stupid Party, they’re the Cowardly Party. Depending on what the Democrats dig up on Trump, Republicans can be counted on to see scary editorials in the Washington Post and New York Times and run away in panic: “I’ve always been supportive of the president, but I can’t defend that. So I have no choice but to …”

      Add in the fact that between a quarter and a third of GOP Senators would jump at the chance to put a knife in Trump’s back if they got the opportunity, with prospective Brutus and sanctimonious warmonger Mitt Romney at the front of the line. At the appropriate time, establishment Republican poobahs like Rove will join them, basking in media praise for “putting country above party.”

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      Note that this is not a prediction that Trump will be removed, only that his impeachment will not be necessarily the futile exercise some claim because of the GOP majority in the Senate. It’s possible Trump will survive. The Democrats might come up empty on the required dirt. They may fall short of the number of Republicans they need to give him the “Nixon talk.” Even if Trump is given an ultimatum, he may decide, unlike Nixon, to fight – and he might actually win. But don’t take it as a given that impeachment won’t be a serious attempt to remove Trump that will only backfire on the Democrats. It might succeed.

      If it doesn’t, with the advantages of incumbency Trump’s chances of winning reelection are better than even, though the landscape has become less favorable than it was in 2016. His base remains strong (most of his Deplorables think he’s actually delivering on his promises, because he says so in tweets and at his rallies. Look at that big, beautiful invisible nonexistent Wall! Winning!). On the other hand, failure to control our border means the demographic shift against Republicans has continued unabated, coupled with zero efforts to police voting by non-citizens and (notably in Florida) letting felons vote. If Trump loses either Florida or Pennsylvania, it’s probably all over even with a lousy Democratic opponent. That’s aside from whatever economic hiccup might occur between now and next fall. Or if Trump gets us into a war somewhere.

      Finally, let’s note what was the most important substantive message from Mueller’s swan song: Russia! Russia! Russia! Mueller both began and ended his ramble with a denunciation of Russia’s supposed attack on the United States in 2016. Citing Mueller, Ranking Democrat on the Senate Intelligence [sic] Committee Mark Warner has called for redoubled efforts to pass “legislation that enhances election security, increases social media transparency”: a dog-whistle for the real threat to honest elections: using “Russian bots” and “hate speech” as justification for tech companies’ clampdown on dissent.

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      Whatever happens to Trump, our dangerous enmity with Russia is permanent – and possibly passing the point of no return – while erosion of Americans’ freedoms will continue apace.

    • Capitulation: Equity Outflows In The Past 6 Months Are Now The Biggest Ever

      For much of 2019, the big conundrum facing investors has been justifying the unprecedented divergence between institutional sentiment as represents by historic outflows from equities on one hand, and the market’s honey badger-like ascent to new record highs in 2019 on the other, ignoring the continued redemptions, and propelled higher on the back of record stock buybacks, recurring waves of rolling short squeezes, and dealer gamma positioning.

      To some, such as JPMorgan’s Marko Kolanovic, this divergence was to be glossed over as it was only a matter of time before the market skeptics were forced to throw in the towel on the S&P’s way to 3,000 (which Kolanovic predicted in February would be hit by mid-May… it’s now June, and the S&P is back down to 2750).

      The JPMorgan strategist’s core argument is ignore what flows are telling you and just follow the price. And yet, a funny thing happened on the way to S&P 3,000: Trump first doubled down on trade war with China… then he escalated the trade war with Mexico,  “weaponizing” tariffs as a means to achieve his border policyand then – last week – he completed the trifecta when he also dragged India to the verge of the global trade war.

      As a result, it now appears that all those screaming that “price is always right” were wrong, as was the overall market, and all those bear who found solace in the ongoing found outflows, were right all along.

      Which is a problem for the market, because with the S&P having just suffered its third worst month since the US AAA- rating downgrade in August 2011, and its worst May in decades, all those who were already trimming their exposure will now double down, sending their redemption requests into overdrive.

      But before we get there, first a recap of where we are now. 

      According to Deutsche Bank, looking at the latest EPFT data, last week the safety bid in flows continued – as one would predict – with large outflows from equity (-$10bn) and HY (-$3bn) funds, but inflows to other bond (+$10bn) and money-market funds (+$12.9bn).

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      And here, a shocker: equity funds have now seen outflows of -$132bn YTD and -$237bn since December. This means that outflows over the last 6 months in dollar terms have now been larger than over any prior 6-month period.

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      As a percentage of AUM, the latest half-year outflows were only exceeded by those seen around the 2008-09 recession and the European financial crisis.

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      Breaking down the flows geographically: the US saw -$8.4bn in outflows, Europe -$1.8bn and Asia ex Japan -$1.7b), while Japan attracted $1.9b in inflows. Broad-based global funds (-$0.3b), global EM funds (-$0.1b) and Latam (-$0.1b), too, saw outflows although at moderate pace. European equity outflows were at their slowest pace in 16 weeks, and were driven both by domestic (-$1.3b) and foreign (-$0.5b) flows. In Japan, on the other hand, domestic investors pumped in $2.4b, while foreign investors pulled out -$0.4b. China funds saw outflows continue (-$1.7b) as it continues to bear the brunt of trade concerns, while India funds got their biggest inflows ($0.3b) since early 2018 after the election results showed a strong renewed mandate for the incumbent administration.

      By contrast, bond funds have seen inflows of $220bn ytd…

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      … close to the largest on record over comparable periods in the past, and money-market funds have seen inflows of over $107bn just in the last 5 weeks, in what is usually a seasonally weak period.

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      And, as Deutsche Bank confirms what we have been saying through this entire rally, “With trade tensions ratcheting higher yesterday we are likely to see the safety bid strengthen further.”

      So now that the selling avalanche is now just a matter of when, not if, Deutsche Bank provides some observations on which will be the first investor classes to capitulate:

      • Vol Control funds will remain sellers as vol rises on the latest selloff. Since the end of April, Vol Control funds have sold net $13-$15bn in equity exposure and if the S&P 500 were to sell-off an additional -2% on Monday, they would have another modest $5-7bn to sell. And since allocations still remain on the higher side, DB warns that the risk is asymmetric to the downside.

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      • CTAs also have begun selling as near-term triggers are hit. According to DB, the CTA complex is net long S&P 500, but with lighter positioning versus 2018 sell-offs. Additional selling likely if short-term MAs cross long-term MAs, which requires spot to stay low for the next few weeks.

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      • Risk Parity funds have mostly not reacted to the sell-off yet – as thesestrategies are slow moving – but do have significant beta to the S&P 500. It is possible that some PMs with more discretion de-risked, but most have significant beta to the S&P 500… right as the sell-off is hitting. With 1M vol of the cross asset portfolio only at 5, the negative correlation between equities and bonds continues to offset some of the pick-up in equity volatility

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      • Away from systematic funds, traditional equity L/S is only down -2% in May…

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      • … with low net and gross exposure going into this sell-off (once again, not many appear to have listened to the JPMorgan quant). YTD returns are +4.9%, off from a high of +7%.

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      • Popular single-stock longs have performed in-line with popular single-stock shorts, while the recent Momentum rally has not significantly impacted returns given the Hedge Fund complex’s relatively flat exposure to the factor.

      So as the equity outflows continue, it appears that all those who were betting that longs on the fence and who would be forced to jump in kicking and screaming, were wrong. The only question now is how much of a drop is expected before we finally do see some inflows…. unless of course, there is no catalyst that can take place to change the current status quo – and with both the Fed’s reversal and China’s record credit injection now in the rearview mirror, one wonders just what will prompt a turnaround to the fund flow direction – in which case global capital markets are about to face a historic day of reckoning.

    • China Is Playing The Long Game, Says Charles Gave

      Via Financial Sense,

      “There’s an old saying, a wise man points at the moon and the idiot looks at the finger,” says Charles Gave, founding partner and chairman of Gavekal Research.

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      Tariffs, soybeans, and rare earth metals steal the headlines when it comes to US-China trade tensions, but these are just tools or weapons of warfare in a much larger battle over money and sovereignty, and China is playing the long game, Gave told Financial Sense in a recent interview on FS Insider (see China Preparing for a Monetary War, says Charles Gave).

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      The US dollar serves as the world’s reserve currency and is used for pricing and trade by a majority of nations around the globe. However, Americans have decided to weaponize the dollar, Gave stated, making any transactions between two nations susceptible to US action or scrutiny.

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      This is a “big loss of sovereignty” by other nations, Gave said, and China is taking the lead in forming an “alternative trading currency to the dollar.”

      This is a real fight, he told listeners, and China is playing the long game.

      “The fight that you hear about semiconductors and all that isn’t so important – the real fight is to know who will have the imperial money in Asia. Will the Chinese be able to buy their oil in renminbi from Russia, for example, and not priced in dollars? That will change the geopolitics of oil big time.”

      Gave said China is also creating a new IMF, a new World Bank, and opened a futures market for oil in Shanghai, which now has the 3rd largest trading volume in the world, allowing people to buy oil in renminbi instead of the US dollar.

      This is basically “a blow to the sovereignty of the US dollar as a reserve currency,” he said.

      In terms of a trade deal, if one were to occur, it’ll be a temporary victory in a power struggle for years to come.

    • Domino #2: Chinese Bank With $105 BN In Assets On Verge Of Collapse

      While the western world (and much of the eastern) has been preoccupied with predicting the consequences of Trump’s accelerating global trade/tech war, Beijing has had its hands full with avoiding a bank run in the aftermath of Baoshang Bank’s failure, scrambling to inject massive amounts of liquidity last week in the form of a 250 billion yuan net open market operation to thaw the interbank market which was on the verge of freezing, and sent overnight funding rates spiking and bond yields and NCD rates higher.

      Unfortunately for the PBOC, Beijing is now racing against time to prevent a widespread panic after it opened the Pandora’s box when it seized Baoshang Bank two weeks ago, the first official bank failure in a odd replay of what happened with Bear Stearns back in 2008, when JPMorgan was gifted the historic bank for pennies on the dollar.

      And with domino #1 down, the question turns to who is next, and will they be China’s Lehman.

      This was the question we asked last Thursday, when we published a list of regional banks that have delayed publishing 2018 reports, the biggest red flag suggesting an upcoming bank solvency “event.”

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      One day later we may have gotten our answer, when the Bank of Jinzhou,  a city commercial bank in Liaoning Province, the second name in the list above, and with some $105 billion in assets, notably bigger than Baoshang, announced that its auditors Ernst & Young Hua Ming LLP and Ernst & Young had resigned, not long after the bank announced it would delay the publication of its annual reports.

      For those confused, the delay of an annual report and the resignation of an auditor, means a bank failure is not only virtually certain but practically imminent.

      As the bank – which first got in hot water in 2015 over its exposure to the scandal-ridden Hanergy Group – writes in a filing on the Hong Kong Stock Exchange, E&Y was first appointed as the auditors of the Bank at the last annual general meeting of the Bank held on 29 May 2018 to hold office until the conclusion of the next annual general meeting of the Bank. That never happened, because on 31 May 2019, out of the blue, the board and its audit committee received a letter from EY tendering their resignations as the auditors of the Bank with immediate effect.

      The reason for the resignation: the bank refused to provide E&Y with documents to confirm the bank’s clients were able to service loans, amid indications that the use of proceeds of certain loans granted by the Bank to its institutional customers were not consistent with the purpose stated in their loan documents.

      As a result, “after numerous discussions and as at the date of this announcement, no consensus was reached between the Bank and EY on the Outstanding Matters and the proposed timetable for the completion of audit.” As a result, after a clear breakdown in relations with its own auditor, the Board decided to appoint Crowe (HK) CPA Limited as the new auditors of the Bank to fill the casual vacancy following the Resignation and to hold the office until the conclusion of the 2018 annual general meeting of the Bank (we are taking the under with lots of leverage as Crowe will likewise quit in the coming weeks if not days).

      And confirming that not even the bank’s management believes this “justification” will be enough to avoid a rout in the stock, the bank reported that it has requested the trading in the H shares (which was frozen on April 1) on The Stock Exchange of Hong Kong Limited to be suspended until the publication of the 2018 Annual Results. For anyone who hopes that these shares will ever be unfrozen for trading, there are a few bridges in Brooklyn that are for sale.

      The real question facing Beijing now is how quickly will Bank of Jinzhou collapse, how will Beijing and the PBOC react, and what whether the other banks on the list above now suffer a raging bank run, on which will certainly not be confined just to China’s small and medium banks.

      Source: Bloomberg/HKex.

    • Is Robert Mueller On The Grassy Knoll?

      Authored by Graham Noble via LibertyNation.com,

      Robert Mueller has now completed his special counsel assignment, but he may yet have a role to play in the unraveling Russia conspiracy. It is entirely possible that he will come to regret ever being appointed to investigate the phony collusion allegations against President Donald Trump. The fact that congressional Democrats – along with certain Republicans – are determined to haul him before House and Senate committees is only the beginning of what could become a very messy end to Mueller’s legacy of public service.

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      Mueller is on a collision course with Attorney General William Barr. The latter clearly believes that various government officials may have acted improperly, to say the least, during the 2016 presidential election campaign and in the months leading up to Mueller’s appointment. Abuses of power and unjustified and, perhaps, improperly authorized surveillance – or spying – may have occurred. Judges may have been misled and FISA warrants fraudulently obtained. An extensive political conspiracy against then-candidate, now-President Trump may have been working behind the scenes.

      Justice Department’s Multi-Pronged Investigation

      Barr is determined to get to the bottom of it all. Michael Horowitz, the inspector general for the Department of Justice, has already investigatedpossible political bias at the FBI and how it might have affected both the Clinton private email server investigation and the counterintelligence operation that targeted Trump campaign associates. Horowitz then took on a new task, described on the inspector general website as: “Examination of the Department’s and the FBI’s Compliance with Legal Requirements and Policies in Applications Filed with the U.S. Foreign Intelligence Surveillance Court Relating to a certain U.S. Person.”

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      Michael Horowitz

      The IG’s final report on this matter is expected at any time. Horowitz has no subpoena or prosecutorial power, but elements of his report could be fed into other ongoing DOJ investigations. Those investigations are numerous. Their exact purpose and progress are being closely guarded by the DOJ though it is known that some of them relate to unauthorized leaks to – and the illegal acceptance of gifts from – members of the media by former FBI officials.

      Two other investigations, being conducted by federal prosecutors, concern potential abuses by the FBI and DOJ of the Foreign Intelligence Surveillance Act (FISA).

      All of these investigations converge on the genesis of the FBI operation, codenamed Crossfire Hurricane, that began in 2016 and continued up until Robert Mueller’s appointment as special counsel. At that point, the FBI handed off its investigation to Mueller. A team was put in place to handle the transition and bring the Office of Special Counsel (OSC) up to speed. Unless something went very wrong, the FBI would have handed over most of whatever intelligence and other materials it had gathered during Crossfire Hurricane.

      Just When Mueller Thought He Was Out

      At this point, Mueller would have become one of the few people who knew everything about Crossfire Hurricane and the predication for its birth. It stands to reason, then, that the multi-pronged investigation, overseen by AG Barr, to find out why the FBI operation began and how it was conducted, will reach out to touch Mueller himself.

      Considering the position Mueller occupied as the man who held in his hands the fate of a sitting president, there are some very big questions that need to be answered: How aware was Mueller that the FBI based its counterintelligence operation upon unverified opposition research paid for by Trump’s election opponent and upon comments solicited from Trump campaign people by FBI and CIA informants?

      If Mueller was entirely unaware of these facts, then the FBI withheld from him information vital to his own investigation. If he was aware of them, then he knew from the beginning that his own assigned task was rooted in political mischief and undercover surveillance of U.S. citizens. That would mean he either ignored or concealed wrongdoing within the senior ranks of the FBI.

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      Robert Mueller

      Another question only Mueller can answer: At what point did he come to the realization that there was no coordination or conspiracy between Russian officials and Trump associates with regard to the 2016 election? How long after that realization did he continue to investigate – and why?

      There can be little doubt that Mueller was well aware that the FBI had used, as the centerpiece of its investigation, the so-called Steele dossier. It is hardly believable that the special counsel was unaware of its provenance as a collection of uncorroborated gossip and allegations, compiled by Christopher Steele for use by the Clinton campaign against Trump; after all, Mueller’s number two at the Office of Special Counsel was Andrew Weissman. Weissman – a staunch Clinton partisan – was previously a senior FBI official who was well aware of the existence and nature of the Steele dossier.

      If the DOJ concludes, then, that Crossfire Hurricane was a politically-motivated fabrication involving fraudulently obtained FISA warrants to spy on Trump associates, the further conclusion that the Mueller investigation was an extension of that conspiracy is virtually unavoidable. How could the DOJ possibly pursue its investigations to completion without questioning Mueller, Weissman, and perhaps numerous other individuals who worked at the OSC?

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      Source: GrrrGraphics

      Trump has often described Mueller as “conflicted.” It may be that the president knows far more than anyone realizes or his use of that word may be nothing more than a comment on Mueller’s association with former FBI Director James Comey, whose firing ushered in Mueller’s appointment. Whatever the answer, it seems increasingly likely that former special counsel was, indeed, extremely “conflicted.” He may become a key witness in Barr’s investigatory endeavors – and being only a witness could be the most fortunate outcome for Robert Mueller.

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    Today’s News 2nd June 2019

    • Clubs, Cartels, And Bilderberg

      Authored by Binoy Kampmark via Oriental Review,

      “After decades of neoliberalism, we are at the mercy of a cluster of cartels who are lobbying politicians hard and using monopoly power to boost profits.”

      Joseph Stiglitz, The Price of Inequality (2012)

      The emergence of think tanks was as much a symptom of liberal progress as it was a nervous reaction in opposition to it.  In 1938, the American Enterprise Association was founded by businessmen concerned that free enterprise would suffer at the hands of those too caught up with notions of equality and egalitarianism.  In 1943, it dug into the political establishment in Washington, renamed as the American Enterprise Institute which has boasted moments of some influence in the corridors of the presidential administrations.

      Gatherings of the elite, self-promoted as chat shops of the privileged and monstrously well-heeled, have often garnered attention.  That the rich and powerful chat together privately should not be a problem, provided the glitterati keep their harmful ideas down to small circulation.  But the Bilderberg gathering, a transatlantic annual meeting convened since 1954, fuels speculation for various reasons, not least of all because of its absence of detail and off-the-record agendas. 

      C. Gordon Tether, writing for the Financial Times in May 1975, would muse that,

      “If the Bilderberg Group is not a conspiracy of some sort, it is conducted in such a way as to give a remarkably good imitation of one.”

      Each year, there are hushed murmurings and ponderings about the guest list.  Politicians, captains of industry, and the filthy rich tend to fill out the numbers.  In 2018, the Telegraph claimed that delegates would chew over such matters as “Russia, ‘post-truth’ and the leadership in the US, with AI and quantum computing also on the schedule.”  This time, the Swiss town of Montreux is hosting a gathering which has, among its invitees, US Secretary of State Mike Pompeo and President Donald Trump’s senior adviser and son-in-law Jared Kushner.

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      The Bilderberg Summit begins at the driveway – this year in Switzerland, at the hotel “Montreux Palace”.

      Often, the more entertaining assumptions about what happens at the Bilderberg Conference have come from outsiders keen to fantasise. The absence of a media pack, a situation often colluded with by media outlets themselves, coupled with a general holding of attendees to secrecy, have spawned a few gems.  A gathering of lizard descendants hatching plans for world domination is an old favourite.

      Other accounts are suitably dull, suggesting that little in the way of importance actually happens.  That man of media, Marshall McLuhan, was appalled after attending a meeting in 1969 by those “uniformly nineteenth century minds pretending to the twentieth.” He was struck by an asphyxiating atmosphere of “banality and irrelevance”.

      The briefings that come out are scripted to say little, though the Bilderberg gathering does come across as a forum to trial ideas (read anything significantly friendly to big business and finance) that may find their way into domestic circulation.  Former Alberta Premier Alison Redford did just that at the 2012 meeting at Chantilly, Virginia.  In reporting on her results after a trip costing $19,000, the Canadian politician proved short on detail. 

      “The Premier’s participation advanced the Alberta government’s more aggressive effort to engage world decision makers in Alberta’s strategic interests, and to talk about Alberta’s place in the world.  The mission sets the stage for further relationship-building with existing partners and potential partners with common interests in investment, innovation and public policy.”

      One is on more solid ground in being suspicious of such figures given their distinct anti-democratic credentials.  Such gatherings tend to be hostile to the demos, preferring to lecture and guide it rather than heed it.  Bilderberg affirmed that inexorable move against popular will in favour of the closed club and controlling cartel.  “There are powerful corporate groups, above government, manipulating things,” asserts the much maligned Alex Jones, whose tendency to conspiracy should not detract from a statement of the obvious.  These are gatherings designed to keep the broader populace at arms-length, and more.

      The ideas and policies discussed are bound to be self-serving ones friendly to the interests of finance and indifferent to the welfare of the commonwealth.  A Bilderberg report, describing the Bürgenstock Conference in 1960, saw the gatherings as ones “where arguments not always used in public debate can be put forth.”  As Joseph Stiglitz summarises from The Price of Inequality,

      “Those at the top have learned how to suck the money out of the rest in ways that the rest are hardly aware of.  That is their true innovation.  Policy shapes the market, but politics has been hijacked by a financial elite that has feathered its own nest.” 

      A nice distillation of Bilderbergism, indeed.

      Gauging the influence of the Bilderberg Group in an empirical sense is not a simple matter, though WikiLeaks has suggested that “its influence on postwar history arguable eclipses that of the G8 conference.”  An overview of the group, published in August 1956 by Dr. Jósef H. Retinger, Polish co-founder and secretary of the gathering, furnishes us with a simple rationale: selling the US brand to sceptical Europeans and nullifying “anxiety”.  Meetings “unofficial and private” would be convened involving “influential and reliable people who carried the respect of those working in the field of national and international affairs”.

      Retinger also laid down the rationale for keeping meetings opaque and secret.  Official international meetings, he reasoned, were troubled by those retinues of “experts and civil servants”.  Frank discussion was limited for fear of indiscretions that might be seen as rubbing against the national interest.  The core details of subjects would be avoided.  And thirdly, if those attending “are not able to reach agreement on a certain point they shelve it in order to avoid giving the impression of disunity.”

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      A security guard is seen May 29 above the entrance of the Fairmont Le Montreux Palace hotel in the Swiss town of Montreux, which is set to host the annual Bilderberg Meeting.

      Retinger was already floating ideas about Europe in May 1946 when, as secretary general of the Independent League for European Co-operation (ILEC), he pondered the virtues of federalism oiled by an elite cadre before an audience at Chatham House.  He feared the loss of “big powers” on the continent, whose “inhabitants after all, represent the most valuable human element in the world.”  (Never mind those of the dusky persuasion, long held in European bondage.)  Soon after, he was wooed by US Ambassador W. Averell Harriman and invited to the United States, where his ideas found “unanimous approval… among financiers, businessmen and politicians.”

      The list of approvers reads like a modern Bilderberg selection, an oligarchic who’s who, among them the banker Russell Leffingwell, senior partner in J. P. Morgan’s, Nelson and David Rockefeller, chair of General Motors Alfred Sloan, New York investment banker Kuhn Loeb and Charles Hook, President of the American Rolling Mills Company.  (Unsurprisingly, Retinger would establish the Bilberberg Group with the likes of Paul Rijkens, President of the multinational giant Unilever, the unglamorous face of European capitalism.)

      Retinger’s appraisals of sovereignty, to that end, are important in understanding the modern European Union, which continues to nurse those paradoxical tensions between actual representativeness and financial oligarchy.  Never mind the reptilian issues: the EU, to a modest extent, is Bilderbergian, its vision made machinery, enabling a world to be made safe for multinationals while keeping popular sovereignty in check.  Former US ambassador to West Germany, George McGhee, put it this way: “The Treaty of Rome [of 1957], which brought the Common Market into being, was nurtured at Bilderberg meetings.”

    • Ranking The World's Best And Worst Passports

      As of 2019, there are 195 countries in the world, all varying widely in terms of size, culture, prosperity and influence. Some allow wide access to foreign countries for their citizens, and some don’t.

      Any would-be global citizens might wonder: While exploring the broader world, which passports offer the most opportunities, and which, well, don’t?

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      To try and quantify this, Nomad Capitalist has released its latest annual ranking of the best and worst passports. The consultancy based its ranking on five criteria: Visa-Free travel, taxation, perception, dual citizenship and personal freedom, with the goal of educating aspiring global citizens “about the true value of the world’s citizenships.”

      First, a few highlights: The ranking hasn’t changed much from last year. Once again, EU, which grant holders untrammeled access to much of the Continent, occupied nine out of 10 of the top spots. Once again, the UK, which formerly possessed one of the world’s top passports, has fallen in the ranking, sliding to 27th place.

      Once again, the US placed in the bottom end of the top 25th percentile, largely because of its low ranking on the taxation sub-index (US citizens are responsible for paying income taxes to the US Treasury even when that money is earned abroad).

      Bringing up the rear were the usual suspects: Iraq ranked dead last, largely due to travel restrictions (Iraqi citizens can only easily visit 27 other countries). The second-lowest spot went to Afghanistan, followed by Eritrea, Yemen, Somalia, Syria, Pakistan, Libya, Sudan and North Korea.

      Once again, the No. 1 spot went to Luxembourg, which ranked high on both taxation (it’s low), dual citizenship, freedom, perception and travel (citizens of Luxembourg can travel to 186 countries using just their passports). It was followed by Switzerland (the only non-EU country in the top ten), Sweden, Ireland, Belgium, Italy, Portugal, Finland, Spain and France.

      The takeaway: Benefits vary widely depending on which passport you hold – though to truly understand this, it helps to try and travel abroad.

      Nomad Passport Index 2019 by Zerohedge on Scribd

       

       

       

       

       

    • DARPA Can Exterminate Humanity: "You Could Feasibly Wipe-Out The Human Race"

      Authored by Mac Slavo via SHTFplan.com,

      One of the most dangerous experiments that mankind has ever embarked upon is DARPA’s desire for gene drive technology. Scientists now have the knowledge and the tools they need to create and deliver “Doomsday genes” which can selectively target and exterminate an entire species.

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      According to Sputnik News, and as previously reported by SHTFPlan,  the United States highly-secretive and advanced military research body DARPA (Defense Advanced Research Projects Agency) announced that it will invest tens of millions of dollars into genetic extinction research. While the official aim of this research is said to be fighting harmful insects, like mosquitos which carry Malaria, there are significantly darker implications and speculations surrounding the possible use of such a tool.

      Joe Joseph of The Daily Sheeple said a quick Google search would give you enough information to let you know how horrific this kind of technology can be.

      “…and you’ll find it fascinating just at how unbelievable a weapon this could be, how unintentionally mistakes can be made that can cause irreversible damage… irreparable damage… to the human race. And I mean, FAST!” Joseph said.

      “A gene drive… if let’s just say there’s a mistake, you could feasibly wipe out the human race in a very very short period of time. It’s an unbelievable tool at the disposal of madmen.”

      Emails released under the Freedom of Information Act (FOIA), suggest that the U.S.’s uber-secretive military body, DARPA, has become the world’s largest funder of this “gene drive” research.

      Silvia Ribeiro, Latin America director of the ETC Group, an international organization dedicated to the conservation and sustainable advancement of cultural and ecological diversity and human rights, said:  “When it is developed under an umbrella of military research, you get a clear notion that there can be a dual purpose of this research.”

      Jim Thomas, a co-director of the ETC group which obtained the emails, said the US military’s influence in furthering this technology would strengthen the case for a moratorium. “The dual-use nature of altering and eradicating entire populations is as much a threat to peace and food security as it is a threat to ecosystems,” he said. “Militarization of gene drive funding may even contravene the Enmod convention against hostile uses of environmental modification technologies.”

      But while we are on the subject of UN bans, the sanctions they placed on North Korea are being willfully ignored by the rogue regime.  It stands to reason that should a military seek the use of this technology, they will also defy the UN’s “authority.” –SHTFPlan

      Humanity is known for making mistakes, but we can’t come back from an extinction of our own making. “You can call it a ‘tool’ all day, [but] it’s a weapon,” says Joseph.

    • If You're A Millennial With Student Debt, Do Not Move To These Cities 

      As the businesses cycle is alive and well, despite central bank interventions, the global economy has recently cycled into a prolonged downturn expected to last throughout 2H19. This could be more disastrous news for heavily indebted millennials, who now owe approximately $1.6 trillion in student loans.

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      A new report from WalletHub, reveals which US cities millennials have the most difficult time paying off their student debt. In the last several years, student debt has ballooned to become the second highest form of household debt after mortgages. The average 2018 student loan debt was $37,000, equating to a $392 (5% interest rate for ten years) per month payment.

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      Even though college graduates earned significantly more than non-graduates, there hasn’t been a significant increase in earnings across some major cities to make their debt servicing manageable, thus hindering youngsters from buying homes and having families.

      “High balances combined with a payoff timeline that lasts into middle age force many graduates to significantly delay or forego other financial goals such as saving for retirement or buying a home,” the report said.

      While some cities offer better job opportunities and higher wages for millennials, many other metropolitan areas across the country have a jobs environment that makes it almost impossible for college graduates to pay off their debt.

      Researchers used the median student loan balance against the median earnings of millennials (aged 25 and older) with a bachelor’s degree in 2,510 US cities to determine the worst areas for paying off student loans.

      Here are WalletHub’s top ten cities where millennials shouldn’t move to if they have massive student debt loads:

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      10. Dacula, Georgia

      • Median student debt balance: $20,655
      • Median earnings of bachelor’s degree holders: $26,250
      • Ratio of student debt to median earnings of bachelor’s degree holders: 78.69%

       9. Austell, Georgia

      • Median student debt balance: $25,146
      • Median earnings of bachelor’s degree holders: $31,935
      • Ratio of student debt to median earnings of bachelor’s degree holders: 78.74%

      8. Murray, Kentucky

      • Median student debt balance: $21,555
      • Median earnings of bachelor’s degree holders: $27,356
      • Ratio of student debt to median earnings of bachelor’s degree holders: 78.79%

      7. Elizabeth City, North Carolina

      • Median student debt balance: $24,339
      • Median earnings of bachelor’s degree holders: $30,172
      • Ratio of student debt to median earnings of bachelor’s degree holders: 80.67%

      6. Lady Lake, Florida

      • Median student debt balance: $27,290
      • Median earnings of bachelor’s degree holders: $33,675
      • Ratio of student debt to median earnings of bachelor’s degree holders: 81.04%

      5. Waycross, Georgia

      • Median student debt balance: $17,994
      • Median earnings of bachelor’s degree holders: $22,158
      • Ratio of student debt to median earnings of bachelor’s degree holders: 81.21%

      4. East Liverpool, Ohio

      • Median student debt balance: $18,466
      • Median earnings of bachelor’s degree holders: $22,222
      • Ratio of student debt to median earnings of bachelor’s degree holders: 83.1%

      3. Palatka, Florida

      • Median student debt balance: $21,487
      • Median earnings of bachelor’s degree holders: $25,772
      • Ratio of student debt to median earnings of bachelor’s degree holders: 83.37%

      2. Green Valley, Arizona

      • Median student debt balance: $20,464
      • Median earnings of bachelor’s degree holders: $24,250
      • Ratio of student debt to median earnings of bachelor’s degree holders: 84.39%

      1. Sun City West, Arizona

      • Median student debt balance: $17,771
      • Median earnings of bachelor’s degree holders: $21,046
      • Ratio of student debt to median earnings of bachelor’s degree holders: 84.44%

    • Ralph Nader: Society Is In Decay – When The Worst Is First & The Best Is Last

      Authored by Ralph Nader via CommonDreams.org,

      If you want to see where a country’s priorities lie, look at how it allocates its money

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      Plutocrats like to control the range of permissible public dialogue. Plutocrats also like to shape what society values. If you want to see where a country’s priorities lie, look at how it allocates its money.

      While teachers and nurses earn comparatively little for performing critical jobs, corporate bosses including those who pollute our planet and bankrupt defenseless families, make millions more. Wells Fargo executives are cases in point. The vastly overpaid CEO of General Electric left his teetering company in shambles. In 2019, Boeing’s CEO got a bonus (despite the Lion Air Flight 610 737 Max 8 crash in 2018). Just days before a second deadly 737 Max 8 crash in Ethiopia.

      This disparity is on full display in my profession. Public interest lawyers and public defenders, who fight daily for a more just and lawful society, are paid modest salaries. On the other hand, the most well compensated lawyers are corporate lawyers who regularly aid and abet corporate crime, fraud, and abuse. Many corporate lawyers line their pockets by shielding the powerful violators from accountability under the rule of law.

      Physicians who minister to the needy poor and go to the risky regions, where Ebola or other deadly infectious diseases are prevalent, are paid far less than cosmetic surgeons catering to human vanities. Does any rational observer believe that the best movies and books are also the most rewarded? Too often the opposite is true. Stunningly gripping documentaries earn less than 1 percent of what is garnered by the violent, pornographic, and crude movies at the top of the ratings each week.

      On my weekly radio show, I interview some of the most dedicated authors who accurately document perils to health and safety. The authors on my program expose pernicious actions and inactions that jeopardize people’s daily lives. These guests offer brilliant, practical solutions for our widespread woes (see ralphnaderradiohour.com). Their important books, usually go unnoticed by the mass media, barely sell a few thousand copies, while the best-seller lists are dominated by celebrity biographies. Ask yourself, when preventable and foreseeable disasters occur, which books are more useful to society?

      The monetary imbalance is especially jarring when it comes to hawks who beat the drums of war. For example, people who push for our government to start illegal wars (eg. John Bolton pushing for the war in Iraq) are rewarded with top appointments. Former government officials also get very rich when they take jobs in the defense industry. Do you remember anyone who opposed the catastrophic Iraq War getting such lucrative rewards?

      The unknown and unrecognized people who harvest our food are on the lowest rung of the income ladder despite the critical role they play in our lives. Near the top of the income ladder are people who gamble on the prices of food via the commodities market and those who drain the nutrients out of natural foods and sell the junk food that remains, with a dose of harmful additives. Agribusiness tycoons profit from this plunder.

      Those getting away with major billing fraud grow rich. While those people trying to get our government to do something about $350 billion dollars in health care billing fraud this year – like Harvard Professor Malcolm K. Sparrow – live on a college professor’s salary.

      Hospital executives, who each make millions of dollars a year, preside over an industry where about 5,000 patients die every week from preventable problems in U.S. hospitals, according to physicians at Johns Hopkins School of Medicine. The watchdogs who call out this deadly hazard live on a fraction of that amount as they try to save lives.

      Even in sports, where people think the best athletes make the most money, the reverse is more often true. Just ask a red-faced Brian Cashman, the Yankees GM, who, over twenty years, has spent massive sums on athletes who failed miserably to produce compared to far lesser-paid baseball players. Look at today’s top ranked Yankees – whose fifteen “stars” are injured, while their replacements are playing spectacularly for much smaller compensation than their high priced teammates.

      A major reason why our society’s best are so often last while our worst are first is the media’s infatuation with publicizing the worst and ignoring the best. Warmongers get press. The worst politicians are most frequently on the Sunday morning TV shows – not the good politicians or civic leaders with proven records bettering our society.

      Ever see Congressman Pascrell (Dem. N.J.) on the Sunday morning news shows? Probably not. He’s a leader who is trying to reform Congress so that it is open, honest, capable and represents you the people. Surely you have heard of Senator Lindsey Graham (Rep. S.C.) who is making ugly excuses for Donald Trump, always pushing for war and bloated military budgets, often hating Muslims and Arabs and championing the lawless American Empire. He is always in the news, having his say.

      Take the 162 people who participated in our Superbowl of Civic Action at Constitution Hall in Washington D.C. in May and September 2016. These people have and are changing America. They are working to make food, cars, drugs, air, water, medical devices, and drinking water safer. Abuses by corporations against consumers, workers and small taxpayers would be worse without them. Our knowledge of solutions and ways to treat people fairly and abolish poverty and advance public services is greater because of their courageous hard work. (see breakingthroughpower.org).

      The eight days of this Civic Superbowl got far less coverage than did Tiger Woods losing another tournament that year or the dismissive nicknames given by the foul-mouth Trump to his mostly wealthy Republican opponents on just one debate stage.

      All societies need play, entertainment, and frivolity. But a media obsessed with giving 100 times the TV and radio time, using our public airwaves for free, to those activities than to serious matters crucial to the most basic functioning of our society is assuring that the worst is first and the best is last. Just look at your weekly TV Guide.

      If the whole rotted-out edifice comes crashing down, there won’t be enough coerced taxpayer dollars anymore to save the Plutocrats, with their limitless greed and power. Maybe then the best can have a chance to be first.

    • In "Jaw-Dropping" Speech Malaysian PM Says "No Evidence" Russia Shot Down MH17

      In unexpected statements Malaysia Prime Minister Mahathir Mohamad has questioned the methodology behind Dutch investigators who produced what the West considers the authoritative report on the tragic shoot down of Malaysian Airlines flight MH17 in 2014 while flying over war-torn eastern Ukraine. He criticized that the Dutch-led Joint Investigation Team (JIT) seems “to be concentrated on trying to pin it on the Russians”.

      The Malaysian leader told reporters at the Japanese Foreign Correspondents Club (FCCJ) in Tokyo on Thursday “They are accusing Russia but where is the evidence?”  Mahathir said his country accepted that a “Russian-made missile” shot down its civilian airliner, killing all 283 passengers and 15 crew members on board, but that “You need strong evidence to show it was fired by the Russians.”

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      Malaysian Prime Minister Mahathir Mohamad (left) shakes hands with Japan’s Prime Minister Shinzo Abe in Tokyo on Friday. Image source: AFP

      He ultimately questioned the objectivity of the investigators in what major regional media described as a “jaw dropping speech”.

      Australia’s prime state run news service ABC News noted the Malaysian PM’s speech has sent shock waves through the region as it questioned everything Australia’s own leaders have said. “From the very beginning we see too much politics in it,” Mahathir said in reference to the official Dutch-led investigation. 

      A total of 38 Australians were killed in the Boeing-777 shoot down and crash, and the majority were Dutch nationals. The ABC report summarized of the “bombshell” charges leveled by PM Mahathir:

      “Based on these findings, the only conclusion we can reasonably now draw is that Russia was directly involved in the downing of MH17,” Australia’s then-prime minister and foreign minister Malcolm Turnbull and Julie Bishop said in a joint statement.

      “The Russian Federation must be held to account for its conduct in the downing of MH17 over eastern Ukraine, which resulted in the tragic deaths of 298 passengers and crew, including 38 people who called Australia home.”

      But in a bombshell speech to the Japanese Foreign Correspondents Club (JFCC) on Thursday, Dr Mahathir was having none of it, accusing those who blamed Russia of scapegoating the nation for “political” reasons.

      The Malaysian PM further went so far as to point to Ukrainian pro-government forces as being prime suspects: “It could be by the rebels in Ukraine; it could be Ukrainian government because they too have the same missile,” he said. 

      Interestingly, this has been Russia’s position all along, which has already led some international media sources to suggest of the deeply contrarian Friday speech, “Dr Mahathir is known to enjoy a good conspiracy theory.”

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      Malaysian Airlines flight MH17 was shot down over eastern Ukraine on July 17, 2014 – amid heavy fighting in Ukraine’s civil war. 

      Mahathir further slammed the decision to exclude Malaysian investigators from the black box examination: “We may not have the expertise but we can buy the expertise. For some reason, Malaysia was not allowed to check the black box to see what happened,” he said.

      “We don’t know why we are excluded from the examination but from the very beginning, we see too much politics in it and the idea was to find out how this happened but seems to be concentrated on trying to pin it to the Russians.”

      The Malaysian PM’s headline grabbing comments were made in English in response to a reporter’s question:

      He concluded that, “This is not a neutral kind of examination” again questioning the basis on which suspicions of pro-Kiev forces appeared to have been superficially ruled out from the start. 

      “I don’t think a very highly disciplined party is responsible for launching the missile,” he added, according to Australia’s ABC

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      MH17 reconstruction, via Reuters

      Russia has also rejected the conclusions of the European JIT report, saying the missile that struck the civilian airliner was manufactured in the Soviet Union in 1986, and was part of the Ukrainian army arsenal at the time of the shoot down. 

    • "Extreme Vetting" Begins: U.S. Visa Applicants Must Now Turn Over Their Social Media History

      The Trump administration has implemented a new policy, effective Friday, that asks most US visa applicants to provide information on their use of social media. Even temporary visitors will be required to list their social media identifiers in a drop-down menu, along with other personal information, when applying according to The Hill.  Applicants for visas will be given the option to say that they don’t use social media, but if they are found to be lying, they could face “serious immigration consequences”, according to a U.S. Department of State official.

      A spokesperson for the Department of State said: “This is a critical step forward in establishing enhanced vetting of foreign nationals seeking entry into the United States. As we’ve seen around the world in recent years, social media can be a major forum for terrorist sentiment and activity. This will be a vital tool to screen out terrorists, public safety threats, and other dangerous individuals from gaining immigration benefits and setting foot on U.S. soil.” 

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      These identifiers will be incorporated into more traditional background checks and examined against watchlists that are generated by the US government. In the future, applicants are also going to be required to disclose more extensive information on their travel history. These two changes result from a March 2017 executive order targeting “extreme vetting”, issued by President Trump. The state department had since noted its intent to implement the policy in March 2018.

      The order is partly the result of the deadly shooting of 14 people in San Bernardino, California in 2015. The Obama administration faced criticism after the shooting since the shooter’s wife, Tashfeen Malik, had declared “terrorist sympathies” on social media before she was granted a U.S. visa.

      Trump’s executive order is called “Protecting The Nation From Foreign Terrorist Entry Into The United States.” 

    • Police To Use TSA-Style Scanners To Spy On People In Public Places

      Via MassPrivateI blog,

      TSA-style body scanners are coming to public spaces, and that should scare the hell out of everyone.

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      If you thought the NYPD’s Z-Backscatter vans and police mini-Z’s were intrusive, you have not seen anything yet.

      Soon, nowhere will be safe from Big Brother’s prying eyes, as police prepare to use HEXWAVE to spy on people in public spaces.

      Last week the Salt Lake Tribune revealed that the Utah Attorney General and law enforcement are partnering with Liberty Defense, a 3D image scanning company that makes its money from scanning the public in real-time. (3D means capturing rich information (size, shape, depth) about the detection space. It can detect any material that has a physical form.)

      Let’s start with their name — calling yourself Liberty Defense is an affront to liberty-minded Americans who do not want to be secretly spied on by Big Brother. Their tag line “Protecting Communities And Preserving Peace of Mind” is the exact opposite of what this device does.

      Any device that is used to spy on the public is just that: a surveillance device. It is not a Defense of our Liberty.

      As Fox Now 13 reported, police will use Liberty Defense’s, HEXWAVE to spy on people at mass gatherings like concerts, malls and stadiums.

      “HEXWAVE could be deployed at mass gatherings like concerts, malls, stadiums, public transit stops and government buildings” Bill Riker, Liberty Defense’s CEO, said.

      Over the past two years, I have warned people that TSA-style body scanners were turning public transit into mirror images of our airports by watchlisting and flagging suspicious people. But I could never have imagined that law enforcement would be putting them in malls and places of worship.

      If you do not believe Fox News, then perhaps you will believe Liberty Defense, which openly admits that they want governments and businesses to put their 3D scanners in every public venue.

      “Their challenge: efficiently securing high traffic areas with multiple entry points, such as hotels, schools, airports, public transit systems, entertainment venues and outdoor pedestrian locations in a secure, non-intrusive manner.”

      If you are still not sure about law enforcement’s plans to scan the public, then perhaps you will take the Utah AG’s office word for it.

      According to the AG’s “Memorandum of Understanding” police plan to use HEXWAVE to scan the public for two years, in but not limited to:

      1.  Sporting & Concert Arenas, Stadiums and Olympic Venues;

      2.  Primary, Secondary and Higher Education Facilities;

      3.  Places of Worship, Facilities and Property Owned by or Affiliated with Faith Entities;

      4.  Government Offices, Buildings and Facilities;

      5.  Amusement Parks; and

      6.  Entertainment Events, Conventions, Shows & Festivals

      Police will also use HEXWAVE to spy on the public during “non-business hours to get system exposure to the full range of potential operating conditions to include environmental, frequency/volume of use or other operating conditions to which HEXWAVE would be subjected.”

      What does that mean? It means that law enforcement will be measuring public resistance to being scanned 24/7.

      Liberty Defense CEO Bill Riker, worked for the Department of Defense and General Dynamics which speaks volumes about their desire to put 3D scanners everywhere.

      It is unclear if Liberty Defense is a Homeland Security/DoD front, but one thing is certain: their desire to turn public venues into extensions of the police state could not be any clearer.

      The spread of surveillance devices helps private corporations and law enforcement track and identify everyone; it does absolutely nothing to stop terrorism.

      We must stop the spread of TSA-style body scanners before they are put in public transportation, convenient stores, public parks, etc.

    • Police Identify Virginia Beach Shooter, Victims As Death Toll Climbs To 13

      Police in Virginia Beach have delivered a more complete picture of Friday afternoon’s tragic shooting at a municipal building that has left 13 people dead, including the shooter, and four people injured, including a police officer who was reportedly saved by his bullet-proof vest.

      During a Saturday morning news conference, Va. Beach Police Chief James Cervera identified the gunman as DeWayne Craddock, a civil engineer who was a 15-year employee of the city’s public utilities department. Craddock was armed with a .45 caliber handgun, and died after a long gun fight with police. Craddock died after a lengthy shootout with police. The weapon he used had been purchased legally, as Craddock had no criminal record to speak of.

      Cervera also refused to speculate about a motive.

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      DeWayne Craddock

      Craddock joined the army national guard after graduating from Denbigh High School in nearby Newport News, Virginia, in 1996. During his time in the national guard, he received basic military training and advanced individual training at Fort Sill in Oklahoma. 

      He eventually graduated with a degree in civil engineering from Old Dominion University, and worked a private firm for a few years before joining the town.

      City Manager Dave Hansen said he had worked with Craddock for years. Others pointed out that his name frequently appeared on city notices.

      “I have worked with most of them for many years,” said Dave Hansen, Virginia Beach City Manager. “We want you to know who they were so in the weeks to come you will learn what they meant to all of us, to their friends, to their families, and to their co-workers. They leave a void that we will never be able to fill.”

      Craddock’s neighbors in the modest Va. Beach neighborhood where he had lived for at least 10 years told NBC News that he was quiet, mostly kept to himself, and that he was “jacked” from spending lots of time at the gym.

      People who live near Craddock said police swarmed the small neighborhood of modest townhomes in Virginia Beach on Friday where some said he had lived for at least 10 years.

      Several neighbors said Craddock was clean cut, a member of the neighborhood association board and spent time lots of time at the gym. But they also said he mostly kept to himself, especially after his wife left him some number of years ago.

      Angela Scarborough, who lives in the neighborhood, said “he was very quiet. He would just wave.”

      At one time, Craddock was married. But his wife apparently left him abruptly a few years back.

      She said she knew his wife, but she left some time ago. “She just left,” Scarborough said. “Didn’t let us know or anything.”

      “I’m very saddened because this is a great neighborhood,” Scarborough said. “It’s very sad to know that that’s the way he decided to resolve the situation. It’s just something I can’t believe.”

      She added: “I would speak to him and he would speak back, but conversation-wise, I never had a conversation with him.”

      Another neighbor said Craddock appeared to be awake at all hours of the night, occasionally dropping heavy objects and making other noises that sometimes disturbed his neighbors.

      Finally, police have released the names of Craddock’s victims. 11 were city employees who worked with Craddock. The 12th was a contractor who was in the office applying for a permit. The full list can be found below:

      The 11 city employees who died were identified as Laquita C. Brown of Chesapeake, Tara Welch Gallagher of Virginia Beach, Mary Louise Gayle of Virginia Beach, Alexander Mikhail Gusev of Virginia Beach, Katherine A. Nixon of Virginia Beach, Richard H. Nettleton of Norfolk, Christopher Kelly Rapp of Powhatan, Ryan Keith Cox of Virginia Beach, Joshua A. Hardy of Virginia Beach, Michelle “Missy” Langer of Virginia Beach and Robert “Bobby” Williams of Chesapeake. The 12th victim, Herbert “Bert” Snelling of Virginia Beach, was a contractor filling a permit.

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    Today’s News 1st June 2019

    • The Limits Of American Destructiveness

      Authored by Dmitry Orlov via Club Orlov blog,

      US foreign policy has always been directed at wrecking anything that wasn’t deemed sufficiently American and replacing it with something more acceptable – especially if that something allowed wealth to flow into the US from the outside. Compromises were reserved for the USSR, but even there the Americans constantly tried to cheat. For everyone else there was just submission, which was usually tactfully disguised as a positive – a seat at the big table which offered better chances for peace, prosperity and economic and social development.

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      Of course, it was a simple enough matter to pierce this veil of hypocritical politeness and to point out that the US, living far beyond its means, has only managed to survive by looting the rest of the world, but anyone who dared to do so would be ostracized, sanctioned, regime-changed, invaded and destroyed—whatever it took.

      The US establishment has lavished its wrath on anyone who dared to oppose it ideologically, but it reserved its most extreme forms of malice for those who dared commit the cardinal sin of attempting to sell oil for anything other than US dollars. Iraq was destroyed for this very reason, then Libya. With Syria the juggernaut bogged down and stalled out; with Iran it is unlikely to ever get started.

      Even the spineless European politicians are now forced to admit that US policies are designed to enrich certain American interests at the expense of their constituents; they understand by now that further denial would cause them further harm at the polls. Most insultingly to the American ego, US attempts at making Russia and China submit are being greeted with shrugs, titters and eye rolls. And now anybody who wants to can openly criticize the US and scheme behind its back.

      How times have changed! US politicians and officials have abandoned all attempts at maintaining decorum and no longer disguise their rapacious, grasping ways. Instead of veiled threats, they now deploy big lies and fake threats. Focusing on the manufacture and dissemination of fakes, they have been attempting to use them to coerce obedience. There are the fake threats—Russian, Chinese, Iranian, North Korean, Cuban—that are used to call for discipline within NATO and for compliance with US unilateral sanctions.

      There are also the fake (or false flag) events—a Boeing shot down over the Ukraine by “pro-Russian rebels”; the Skripal poisoning; fake chemical attacks in Syria preposterously blamed on the government; damaged oil tankers in UAE blamed on Iran. These fakes are being used as an an excuse to wreck everything—international security and trade agreements, the systems for insuring that these agreements are adhered to, and world trade.

      Before the Americans would do their best to wreck anything that wasn’t theirs, then work to replace it with something that was theirs; but now they have nothing to offer as a replacement for what they are destroying. The only thing the US can offer China is Chinese victory in the trade war. China does not need the US, and this point is being rather loudly pounded home, not just by the Chinese government but by private companies and individuals as well.

      First, there is a flood of countersanctions. In particular, a halt to the export of rare earth minerals will shut down electronics manufacturing and with it the entire US high tech sector. Then there are the bonuses to those who buy Huawei products and punishments for buying anything American, up to and including eating at McDonald’s. iPhones have been all but banned—not by the government but by peer pressure. Taking a trip to the US is now a firing offense. There is now a good chance that, caught up in this patriotic uplift, the Chinese are being prepared to make any sacrifice for the sake of outright victory in their trade war with the US.

      But do the Americans still have the power to destroy? When Saddam Hussein decided to start selling oil for euros, the CIA organized a provocation that caused him to invade Kuweit as punishment for stealing Iraqi oil. This allowed the US to organize a gigantic expeditionary force with divisions from a large number of countries, including Syria and Egypt and pretty much all of NATO. After a decade of Hussein festering in place, a somewhat smaller coalition dealt him the coup de grâce, destroying Iraq in the process. The victims of the American invasion and occupation outnumber Saddam Hussein’s victims by orders of magnitude. Later, the same thing was done to Muammar Qaddafi, for similar reasons, and Libya is likely to remain as a ruin. There, some sort of minor coalition was cobbled together.

      But now the US finds that it urgently needs to knock out Iran because otherwise it will be too late. It is time to form a new coalition and Mike Pompeo has started racing around Eurasia. First off, he offended the Germans by canceling his state visit with Angela Merkel on a moment’s notice and without offering a reason. Instead, he flew to Baghdad—a perfect location for launching an attack on Iran, except that the Iraqi response was a message of solidarity with Iran, willingness to mediate the US-Iranian dispute, and consideration of a ban on US troops on Iraqi soil.

      And so Mike flew to Sochi, where he met with Russian foreign minister Sergei Lavrov and, briefly, with Putin. Most likely, Putin told him where he can stuff his war plans, and so Mike canceled his planned trip to Moscow, to avoid having Sergei Lavrov wipe his feet on him again. And so Mike flew on to Europe, where he got a quick “no” on Iran from EU foreign policy head Federica Mogherini and an outright refusal to meet from the foreign ministers of France, Germany and Great Britain. And so Mike flew back to Washington. You can’t tell anything by looking at his smirking fat mug, but I am sure that he was crying on the inside.

      US actions around the world can now be compiled into two lists.

      1. The first list is of what the US has succeeded or may yet succeed in wrecking.

      2. The second list is of what the US wants to or has been trying to wreck but won’t be able to.

      There is no third list of what the US has managed to wreck and then make whole again. The challenge for the whole world is to move as many items as possible from the first list to the second list. There are many ways of going about doing this that do have a chance of working and one that doesn’t: negotiating with Americans. Because they lie and cheat and aren’t worth talking to.

    • Schlichter: Dear Students, Here's A Plan To Solve Your Debt Problem

      Authored by Kurt Schlichter via Townhall.com,

      So, you’re a barista with a problem – you took out $200K student loans to get that master’s degree from Gumbo State in “LGBTQ2#v& Experiences as Reflected in 17th Century Bolivian Folk Songs” and now you can’t find an uncaffeinated career.

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      Worse, those fascist monsters who you took money from based on your agreement to pay it back with interest now expect you to pay the money back with interest despite the fact that you really don’t feel like it anymore.

      Well, I have a fresh solution to this crisis.

      It’s an innovative strategy that totally and permanently resolves this problem in a new and exciting way.

      Ready?

      Here goes.

      How about you pay your own student debt?

      That’s it. It’s as elegant as it is simple. You. Pay. Your. Own. Debts.

      If you follow this bold, one-step program – the one step is you paying your debts – then you will eventually be debt-free. And best of all, I won’t have to pay any of your debts.

      See, a lot of Democrat politicians are promising “free college,” but what they really mean is “free for you.” Someone has to pay, and that someone is me, and I need to level with you.

      I am not interested in paying for your college.

      Now, some may call me “greedy” or “selfish” for not wishing to work and then have the money I earned taken from me to provide things to you that you want but did not pay for instead of being able to spend it – the “it” being the money I earned – on things that I want. I am okay with that. I would much prefer having people who fundamentally misunderstand the concepts of greed and selfishness call me “greedy” and “selfish” than subsidize their educations, educations that evidently did not include learning about basic concepts like greed and selfishness.

      I understand that your priorities for my money may differ from mine, but it being my money, my priorities should take precedence. Here is a short, partial list of things that I prioritize for my money over paying off your student loan debts:

      1. A lease on a sweet German sedan

      2. A delicious tri-tip sandwich

      3. A walk-in humidor

      4. Guns and ammo

      5. A pedicure for my wife

      6. A pedicure for me

      7. A pedicure for my fat corgi Bitey

      8. Literally anything else but your student loan debt

      Now, those who support the idea of taking my money to give it to someone else so that someone else can have things he, she or xe wants rarely put it so bluntly. It’s never, “Well, I want this education but I don’t want to do the things necessary to pay for it. I want you other people to do the things necessary to pay for it.” Instead, it’s always put in some other way that makes them taking our money to spend on things they want appear as a favor to us, the people expected to do the work.

      For instance, sometimes they say that us working to give other people free stuff is an “investment.” Again with the not understanding what words means…

      Traditionally, with an investment, one gets a return on investment. No one ever explains what my return on investment for Kaden’s Marxist Puppetry degree might be, other than an occasional latte which I would still have to pay for. I prefer that I instead determine how to invest my own money in order to benefit myself, which I do not see as unreasonable since it is my money. Which I earned by working.

      This is the beauty of my one-step student loan plan. It puts all this controversy aside. Pay your own student loan off. That’s it. End of discussion. Now get to work.

      Note that I am not pointing out how I managed to fund my own education without asking strangers to chip in – actually, without forcing them to chip in, because if you don’t pay your taxes designed to fund “free college” people with guns will come to haul you away. The argument that “I paid for mine so you should pay for you own” is valid, but we need not even reach it. No one should ever be forced to give other people free stuff. It’s my money, and that’s reason enough why you can’t have it.

      I certainly understand that academia is a scam and that the government allows lending to people who foolishly undertake debts that they cannot pay. I would stop it all – no government participation in the student loan industry and full bankruptcy dischargeability for student debts. Of course, this would mean many less people taking loans, and therefore fewer college students. No lose to society there. This means many colleges would actually start having to compete for students, and even – gasp – lower prices. Sounds good to me, though they would scream bloody murder – colleges have gotten fat off of loan money and many schools would go under without this pot of suckers’ cash. Oh well.

      Sure, academia is a grift, but you did sign on the line that is dotted. You took the money. And I say that you pay it back instead of me.

      Now, I have read many tales of woe from people who have taken out huge student loans and have not taken jobs that pay enough to support paying them off. Yes, this is a problem. But it is your problem.

      Often, after I suggest my patented student loan debt resolution system – which is, in its entirety, “Pay your own debts” – people who have taken out debts they can’t pay will ask me “Well, how do I do that?”

      And my answer is, “I don’t know, because it’s not my problem. It’s your problem. You’re an adult, with at least one degree, so you figure it out.”

      See, it’s important to allocate responsibility. It is not my responsibility to provide a solution to your problems. Your problems are your problems. You solve them.

      Now, I can provide some helpful suggestions, if you wish to hear them. You won’t like them, because all of them recognize that your problem is your problem, not mine, and all of them require you to do things that you would probably prefer not to do. These suggestions include:

      1. Get a better job. You can thank President Trump for the record low unemployment rate. Sure, you might not be able to continue at your dream job because it does not pay enough, but too bad. I’d rather pay for my own dreams.

      2. Get a second job. Yeah, that will cut into your free time. Better that than paying your debt off cutting into mine.

      3. Spend less on things you enjoy in order to pay off your debt faster. Again, I would prefer you to sacrifice to pay off your debt instead of for me to sacrifice to pay off your debt.

      There are probably other ways to pay off your debt, but I am not going to spend my time thinking about them. After all, your student debt is your problem, so you spend time thinking about how to pay it off.

      Now, let me once more provide you with my student debt solution.

      Here it is again.

      Pay your own student debt.

      Creating a debtor class of over-educated, under-smart serfs with gender studies degrees is another Cloward-Piven-seque ploy to undermine our society in the pursuit of the socialist Utopia our garbage ruling class seeks to command. Of course, this would be a Utopia built of envy, incompetence and lies. If you want to see the reality of the country they dream of, then check out my action-packed yet super-snarky novels about the United States’ split into red and blue countries, People’s RepublicIndian Country andWildfire.  Liberals hate my novels. The sissy castaways from the Weekly Standard call them “Appalling.” So, obviously you’ll call them “Awesome.”

    • Duterte Says He Used To Be Gay, But "Cured Himself" When He Met His Wife

      Did Philippines President and alleged homophobe Rodrigo Duterte just pull an ‘American Beauty’?

      The Philippines strongman, who is notorious for his unfiltered public comments (late last year, he accused “most” Catholic Priests of being closet homosexuals), made an unexpected “admission” during a visit to Japan.

      During a speech on Thursday, Duterte outed one of his political opponents as a homosexual, and then he outed himself

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      According to local media reports cited by RT, while bashing Senator Antonio Trillanes, an ardent critic of his rule, Duterte implored his audience to “ask any gay person who sees Trillanes move, they’ll say he’s gay.”

      He went on to say that, in this respect, he and Trillanes are “similar.”

      But…

      Duterte said he “became a man again” after meeting his now ex-wife, and that he “cured himself” of homosexuality. He finished with a rather cryptic proclamation where he referred to himself in both the third and first person: “Duterte is gay. So I am gay, I don’t care if I’m gay or not.”

      It’s not entirely clear what he meant by that (though if you have any theories, feel free to leave them in the comments), but it’s worth noting that this isn’t the first time Duterte has discussed his sexuality in this half-joking, half-serious way. In 2017, he joked that he had considered becoming bisexual so he could “have fun both ways.”

      Keep in mind, this is the same world leader who once shocked a crowd by recounting how he molested his family’s maid when he was a teenager, telling them that he once slipped his hand in her panties while she was sleeping, them ran off when she woke up.

      This contrasts with Duterte’s reputation as an alleged homophobe, having once described US ambassador Philip Goldberg as a “gay ambassador” and a “son of a whore.”

      Though Duterte claimed to be in favor of legalizing gay marriage in the conservative Catholic country early in his presidency, he has since changed his position, saying it would clash with the country’s civic and religious principles.

    • 11 Killed In Shooting At Virginia Beach Municipal Center; Suspect Confirmed Dead

      The chief of police in Virginia Beach, Virginia has confirmed that 11 people have been killed and at least 6 hospitalized after a shooting in a local municipal center.

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      Police Chief James Cervera told reporters during a Friday night press conference that the shooting took place in building 2 of the local Virginia Beach municipal center, which is the operations center for the local public works department. The building is part of a large complex with more than 30 buildings. Police had said earlier that the shooter was in custody, by Cervera told reporters during a press conference that the shooter had died. Police said the shooter wasn’t included in the tally of victims.

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      One of the individuals shot by the suspect was a Virginia Beach police officer, and he was saved by his vest. Police have established an assistance center for employees who worked at the building where the shooting took place.

      Shortly after 4 pm, the suspect, a longtime and current public utilities employee, entered Building 2 and began indiscriminately firing on the victims. Officers responded and “engaged with the victims.”

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      Cervera released few details about the shooter, and no information about the motivation. Gov Ralph Northam is headed to the scene, and another press conference has been scheduled for later Friday. Names of the victims haven’t been released since police are still in the process of contacting family.

      “Right now, we have more questions than we have answers,” Cervera said.

      Local police are being assisted by the FBI, DHS and the Virginia State Police in processing the scene.

    • America's Allies In The Middle East Are The Real "Troika Of Tyranny"

      Authored by Danny Sjursen via TonDispatch.com,

      John Bolton claims that “socialist” states in Latin America are a threat. He’s lying to you.

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      American foreign policy can be so retro, not to mention absurd. Despite being bogged down in more military interventions than it can reasonably handle, the Trump team recently picked a new fight—in Latin America. That’s right! Uncle Sam kicked off a sequel to the Cold War with some of our southern neighbors, while resuscitating the boogeyman of socialism. In the process, National Security Adviser John Bolton treated us all to a new phrase, no less laughable than Bush the younger’s 2002 “axis of evil” (Iran, Iraq, and North Korea). He labeled Venezuela, Cuba, and Nicaragua a “troika of tyranny.”

      Alliteration, no less! The only problem is that the phrase ridiculously overestimates both the degree of collaboration among those three states and the dangers they pose to their hegemonic neighbor to the north. Bottom line: In no imaginable fashion do those little tin-pot tyrannies offer either an existential or even a serious threat to the United States. Evidently, however, the phrase was meant to conjure up enough ill will and fear to justify the Trump team’s desire for sweeping regime change in Latin America. Think of it as a micro-version of Cold War 2.0.

      Odds are that Bolton and Secretary of State Mike Pompeo, both unrepentant neocons, are the ones driving this Latin American Cold War reboot, even as, halfway across the planet, they’ve been pushing for warwith Iran. Meanwhile, it’s increasingly clear that Donald Trump gets his own kick out of being a “war president” and the unique form of threat production that goes with it.

      Since it’s a recipe for disaster, strap yourself in for a bumpy ride. After all, the demonization of Latin American “socialists” and an ill-advised war in the Persian Gulf have already been part of our lived experience. Under the circumstances, remember your Karl Marx: History repeats itself, first as tragedy, then as farce.

      And add this irony to the grim farce to come: You need only look to the Middle East to see a genuine all-American troika of tyranny. I’m thinking about the kingdom of Saudi Arabia, the military junta in Egypt, and the colonizing state of Israel—all countries that eschew real democracy and are working together to rain chaos on an already unstable region.

      If you weren’t an American, this might already be clear to you. With that in mind, let’s try on a pair of non-American shoes and take a brief tour of a real troika of tyranny on this planet, a threesome that just happen to be President Trump’s best buddies in the Middle East.

      AMERICA’S FAVORITE KINGDOM

      The Saudi royals are among the worst despots around. Yet Washington has long given them a pass. Sure, they possess oodles of oil, black gold upon which the United States was once but no longer is heavily dependent. American support for those royals reaches back to World War II, when President Franklin Roosevelt took a detour after the Yalta Conference to meet King Ibn Saud and first struck the devilish deal that, in the decades to come, would keep the oil flowing. In return, Washington would provide ample backing to the kingdom and turn a blind eye to its extensive human rights abuses.

      Ultimately, this bargain proved as counterproductive as it was immoral. Sometimes the Saudis didn’t even live up to their end of the bargain. For example, they shut the oil spigot during the 1973 Yom Kippur War to express collective Arab frustration with Washington’s favoritism toward Israel. Worse still, the royals used their continual oil windfall to buildreligious schools and mosques throughout the Muslim world in order to spread the regime’s intolerant Wahhabi faith. From there, it was a relatively short road to the 9/11 attacks in which 15 of the 19 hijackers were Saudi nationals (and not one was an Iranian).

      More recently, in the Syrian civil war, Saudi Arabia even backed the al-Nusra Front, an Al Qaeda franchise. That’s right, an American partner funded an offshoot of the very organization that took down the twin towers and damaged the Pentagon. For this there have been no consequences.

      In other words, Washington stands shoulder to shoulder with a truly abhorrent regime, while simultaneously complaining bitterly about the despotism and tyranny of nations of which it’s less fond. The hypocrisy should be (but generally isn’t) considered staggering here. We’re talking about a Saudi government that only recently allowed women to drive automobiles and still beheads them for “witchcraft and sorcery.” Indeed, mass execution is a staple of the regime. Recently, the kingdom executed 37 men in a single day. (One of them was even reportedly crucified.) Most were not the “terrorists” they were made out to be, but dissidents from Saudi Arabia’s Shia minority convicted, as Amnesty International put it, “after sham trials that…relied on confessions extracted through torture.”

      During the Arab Spring of 2011, the Saudi royals certainly proved anything but friends to the budding democratic movements brewing across the region. Indeed, its military even invaded a tiny neighbor to the east, Bahrain, to suppress civil-rights protests by that country’s embattled Shia majority. (A Sunni royal family runs the show there.) In Yemen, the Saudis continue to terror bomb civilians in its war against Houthi militias. Tens of thousands have died—the exact number isn’t known—under a brutal bombing campaign and at least 85,000 Yemeni children have already starved to death thanks to the war and a Saudi blockade of what was already the Arab world’s poorest country. The hell unleashed on Yemen has been dubbed the world’s worst humanitarian crisis. It has already producedmillions of refugees and, at present, the world’s worst cholera epidemic.

      Through it all, Washington stood by its royals time and again, with The Donald far more gleefully pro-Saudi than his predecessors. His first foreign excursion, after all, was to that kingdom’s capital, Riyadh, where the president seemed to relish joining the martial pageantry of a Saudi “sword dance.” He also let it be known that the cash would keep flowing from the kingdom into military-industrial coffers in this country, announcing a supposedly record $110 billion set of arms deals (including a number closed by the Obama administration and ones that may never come to fruition). Son-in-law Jared Kushner even continues to maintain a bromance with the ambitious and brutal ruling Saudi crown prince, Mohammed bin Salman.

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      In other words, with fulsome support from Washington, sophisticated American weapons, and a boatload of American cash, Saudi Arabia continues to unleash terror at home and abroad. This much is certain: If you’re looking for a troika of tyrants, that country should top your list.

      AMERICA’S FAVORITE MILITARY AUTOCRACY

      The United States also backs—and Trump seems to love—Egypt’s military ruler Abdel Fattah al-Sisi. At a press conference at the White House in September 2017, the president leaned toward the general and announced that he was “doing a great job.” Hardly anyone inside the Beltway, in the media, or even on Main Street batted an eye. Washington has, of course, long supported Egypt’s various tyrants, including the brutal Hosni Mubarak who was overthrown early in the Arab Spring. Cairo remains the second-largestannual recipient of American military aid at $1.3 billion annually. In fact, 75 percent of such aid goes to just two countries, the other being Israel. In a sense, Washington simply bribes both states not to fight each other. Now, that’s diplomacy for you!

      So, how’s Egypt’s military using all the guns and butter the United States sends its way? Brutally, of course. After Mubarak was overthrown in 2011, Mohammed Morsi won a free and fair election. Less than two years later, the military, which abhors his Muslim Brotherhood organization, seized power in a coup. Enter General al-Sisi. And when Morsi supporters rallied to protest the putsch, the general, who had appointed himself president, promptly ordered his troops to open fire. At least 900 protesters were killed in what came to be known as the 2013 Rabaa Massacre. Since then, Sisi has ruled with an iron fist, extending his personal power, winning a sham reelection with 97.8 percent of the vote, and pushing through major constitutional changes that will allow the generalissimo to stay in power until at least 2030. Washington, of course, remained silent.

      Sisi has run a veritable police state, replete with human-rights abuses and mass incarceration. Last year, he even had a show trial of 739 Muslim Brotherhood-associated defendants, 75 of whom were sentenced to death in a single day. He also uses “emergency” counterterrorism laws to jail peaceful dissidents. Thousands of them have gone before military courts. In addition, in US-backed Egypt most forms of independent organization and peaceful assembly remain banned. Cairo even collaborates with its old enemy Israel to maintain a stranglehold of a blockade on the Palestinians in the Gaza Strip, which the United Nations has termed “inhumane.”

      Yet Egypt gets a hall pass from the Trump administration. It matters not at all that few places on the planet suppress free speech as effectively as Egypt now does—not since it buys American weaponry and generally does as Washington wants in the region. In other words, a diplomatic state of marital (and martial) bliss protects the second member of the real troika of tyranny.

      AMERICA’S FAVORITE APARTHEID STATE

      Some will be surprised, even offended, that I include Israel in this imaginary troika. Certainly, on the surface, Israel’s democracy bears no relation to the political worlds of Saudi Arabia and Egypt. Still, scratch below the gilded surface of Israeli life and you’ll soon unearth staggering civil-liberties abuses and a penchant for institutional oppression. After all, so extreme have been the abuses of ever more right-wing Israeli governments against the stateless Palestinians that even some mainstream foreign leaders and scholars now compare that country to apartheid South Africa.

      And the label is justified. Palestinians are essentially isolated in the equivalent of open-air prisons in the West Bank and the Gaza Strip—not unlike the bantustans of South Africa in the years when that country was white-ruled. In the impoverished, refugee-camp atmosphere of these state-lets, Palestinians lack anything resembling civil rights. They can’t even vote for the Israeli prime ministers who lord it over them. What’s more, the Palestinian citizens of Israel (some 20 percent of the population), despite technically possessing the franchise, are systematically repressed in a variety of ways.

      Evidence of an apartheid-style state is everywhere apparent in the Palestinian territories. In violation of countless international norms and UN resolutions, Israel imposes its own version of a police state—functionally, a military occupation of land legally possessed by Arabs. It has begun a de facto annexation of Palestinian land by building a “security wall” through Palestinian villages. Its military constructs special “Jewish only” roads in the West Bank linking illegal Israeli settlements, while further fracturing the fiction of Palestinian contiguity. Prime Minister Benjamin Netanyahu has not only refused to withdraw those settlements or halt the colonization of Palestinian territory by Jewish Israelis, but during the recent Israeli election promised to begin the actual annexation of the West Bank in his new term.

      Israeli military actions are regularly direct violations of the principles of proportionality in warfare, which means that the ratio of Israeli to Palestinian casualties is invariably absurdly disproportionate. Since last spring, at least 175 Palestinians (almost all unarmed) have been shot to death by Israeli soldiers along the Gaza Strip fence line, while 5,884 others were wounded by live ammunition. Ninety-four of those had to have a limb amputated. A staggering 948 of the wounded were minors. In that period, just one Israeli died and 11 were wounded in those same clashes.

      Life in blockaded Gaza is almost unimaginably awful. So stringent are the sanctions imposed that one prominent official in a leaked diplomatic cable admitted that Israeli policy was to “keep Gaza’s economy on the brink of collapse.” In fact, back in 2012, one of that country’s military spokesmen even indicated that food was being allowed into the blockaded strip on a 2,300-calories-a-day count per Gazan—just enough, that is, to avoid starvation.

      Through it all, with President Trump at the wheel, Netanyahu can feel utterly assured of the near limitless backing of the United States. The Trump team has essentially sanctioned all Israeli behavior, thereby legitimizing the present state of Palestinian life. Trump has moved the US embassy to contested Jerusalem—admitting once and for all that Washington sees the holy city as the sole property of the Jewish state—recognized the illegal Israeli annexation of the conquered Syrian Golan Heights, and increased the flow of military aid and arms to Israel, already the number-one recipient of such American largesse.

      Sometimes, in the age of Trump, it almost seems as if “Bibi” Netanyahu were the one guiding American policy throughout the Middle East. No wonder Israel rounds out that troika of tyranny.

      WAG THE DOG?

      Beyond their wretched human-rights records and undemocratic tendencies, that troika has another particularly relevant commonality as the United States reportedly prepares for a possible war with Iran. Two of those countries—Israel and Saudi Arabia—desperately desire that the American military take on their Iranian nemesis. The third, Egypt, will go along with just about anything as long as Uncle Sam keeps the military aid flowing to Cairo. Think of it as potentially the ultimate “wag the dog” scenario, with Washington taking on the role of the dog.

      This alone should make Washington officials cautious. After all, war with Iran would surely prove disastrous (whatever damage was done to that country). If you don’t think so, you haven’t been living through the last 17-plus years of this country’s forever wars. Unfortunately, no one should count on such caution from John Bolton, Mike Pompeo, or even Donald Trump.

      So settle into your seats folks and prepare to watch the empire swallow the republic whole.

    • Nearly One-Quarter Of Americans Worry About Money 'All Of The Time'

      It’s a question that the financial press – not to mention millions of struggling Americans – have returned to time and time again (recently, it even received its own Vox explainer): If we are truly in the middle of an economic boom, then how come so many Americans, even members of the vaunted middle class, feel like they’re barely treading water?

      According to the Fed, roughly 40% of Americans couldn’t cover an emergency $400 expense. Wage growth has been stagnant for decades. Meanwhile, our monetary policy makers point to a lack of inflation in the economy as an excuse for keeping interest rates on hold, even as the man on the street, and even a growing number of economists, contend that prices have been climbing much more quickly than the official data let on.

      And we’re not just talking about the obvious factors like rising tuition, rent and health-care costs. It increasingly appears that the central bank is underestimating food inflation, even as the prices of many agricultural commodities remain in a slump (of course, Trump’s trade war isn’t helping).

      To the growing list of distressing data points, we can now add one more: Gallup has published a poll showing that roughly 45% of Americans would rate their financial situation as “fair” or “poor” – and that a staggering 70% expected they would be financially better off. And while two-thirds of Americans say they have enough money to live comfortably, another one-third do not. But even more concerning is the 25% of respondents who say they’re constantly worried about not having enough money to cover their household expenses. Roughly the same number said they’re only just making ends meet.

      In a ranking of Americans’ financial anxieties, the overwhelming majority of respondents said they’re at least a little worried about being able to afford health care costs and having enough money for retirement.

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      Gallup synthesizes the polling data into what it calls a “Personal Financial Worry” index. This year, 22% of respondents said they were worried about six or seven of the seven items, qualifying them for the “highly worried” category. Another 24% worry about three to five items and are classified as “moderately worried.” The remaining 55% said they have few financial worries, while 30% – the group most likely to have a college degree, gainful employment and the ownership of stocks – are worried about none of the seven.

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      Americans’ love affair with auto- and student-loans has helped push outstanding consumer credit above $4 trillion. Even though the pace of credit growth slowed last month, once the next recession comes, the number of Americans who are struggling to make ends meet will likely explode higher, while those who are already struggling might quickly find their backs against a wall.

    • Trade Wars: A Real-Life Game Of Thrones

      Authored by Bruce Yandle via The American Institute for Economic Research,

      It’s ironic, to say the least, that the Chinese government chose to deny a national broadcast of “Game of Thrones”’ last installment recently, signaling to both its own people and to the United States that the ongoing trade war is far from over.

      After all, Mr. Trump’s much cherished trade wars are a game where one powerful leader confronts another – a game of thrones, so to speak, where skirmishes and battles occur and the innocent become victims in an inescapable field of combat.

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      Unlike marvelously created made-for-television episodes where someone usually emerges victorious, in trade wars, everyone loses.

      Those Chinese who looked forward to seeing the final episode may have instead seen some of the last few weeks’ televised propaganda and concluded that the United States is not to be trusted. At the same time, Americans – Kansas grain farmers who previously shipped crops to China; South Carolina auto workers who built China-bound BMWs, Volvos, and Hondas; or ordinary U.S. Walmart shoppers paying slightly higher prices – are not doing quite as well as they were before Mr. Trump’s game of thrones started.

      Of course, we’ve all heard the justifications: China has not played by the rules, its enforcement of intellectual property rights leaves much to be desired, and its government-owned enterprises are subsidized unfairly. But we must also recognize that the “victimized” American businesses who still chose to do business in China did so voluntarily. In spite of its well-known imperfections, they saw China’s marketplace as attractive and profitable.

      Of course, it would be great if we could compel China to improve its practices without subjecting American workers and consumers to friendly fire. And we might all wish to call Camelot home. The situation is much like when a landowner buys a fine home at a discount next to an industrial plant and then brings suit to force a clean-up. One cannot voluntarily come to the nuisance and then expect a court of law to provide a windfall. But it doesn’t hurt to try.

      Those who think that the ongoing trade wars with China and other countries are making America great should look closely at what is happening to U.S. industrial production, which has fallen for three of the last four months. They might consider falling retail sales. Or they might look at real-time GDP growth estimates from the Federal Reserve Banks of New York and Atlanta, which are now registering less that 2.0 percent in real terms.

      For a wider-ranging perspective, they might consider the Federal Reserve Bank of Philadelphia’s monthly estimates of future growth for each of the 50 states. These show strong state economic growth generally disappearing, and forecast state recessions in a few places.

      If we are engaged in a game of thrones, the data suggest we are losing.

      Politicians are savvy. They have all of this information. So why would they deliberately choose policies that could cause damage to Americans’ economic prospects in an election year? Why would those responsible for securing the wellbeing of all Americans choose to favor specific special interest groups such as organized labor in the industrial north instead of working to secure prosperity for all Americans?

      There are at least two answers to these questions:

      First, perhaps the savvy people making these political choices are far better informed about the outcome of their game of thrones than the rest of us mortals. Based on the cards they are holding, they fully expect to win and make Americans stronger in the long-run, even though we are weaker in the immediate future.

      Alternately, perhaps politicians who would risk a recession over a trade war, all while preparing to run for office, are fundamentally risk takers. After all, these are competitive people drawn to a high-stakes profession. They might prefer playing a game of thrones, seeking a resounding victory when it is not at all clear that they will win. If they succeed, the victory may taste sweeter, but in the meantime, the common folk are made poorer.

    • As Quant Funds Shutter, Stevie Cohen Doubles Down

      It’s not just humans who have no idea how to trade this market: math PhD’s are just as clueless, and as a result quants are having a deja vu of December when they suffered jarring losses in a short period of time, just like their human peers.

      For evidence, look no further than HBK Capital Management, which is closing its quant unit, adding to the recent pile up of hedge funds that wagered on algorithmic trading… poorly.

      According to Bloomberg, the Dallas-based firm which manages a total of $8 billion, is liquidating a more than $400 million quant fund and returning capital to investors, based on a statement Friday. HBK is also cutting its allocation to a statistical arb fund. The quant strategy was one of seven that HBK employed, alongside corporate credit, emerging markets, event-driven equities, structured credit, developed markets fixed income and volatility.

      “HBK’s decision was prompted by a reevaluation of its equity statistical arbitrage effort, which performed exceptionally well through 2014 but less well in recent periods,” according to the statement from the $10 billion firm. “Although recent performance compared favorably with many similar funds, it did not meet HBK’s return objectives.”

      HBK is the latest fund to fall amid hard times, struggling to make money amid bouts of market volatility. Investors yanked $8 billion from quant funds in the first four months of this year, according to data from eVestment. That’s on top of the $19 billion they pulled in 2018.

      Even iconic investors such as billionaire Cliff Asness who manages one of the world’s largest funds, has faced losses and redemptions, admitting earlier this month that quant stock selection has been “terrible.” Amplitude Capital, which lost money for two straight years and saw investor withdrawals, is returning outside money. And BlueMountain Capital Management is liquidating its $1 billion computer-driven portfolio and refocusing on human-run investing.

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      One of the main reasons for the quant underperformance: the nature of stock gyrations. As Bloomberg explained, risk appetite and economic growth expectations haven’t been strong enough to help revive a factor like value, which tends to be made up of cheaper and thus riskier equities. Others, like quality and low-volatility, have looked out of tune with the new year rally, even after they became expensive thanks to their haven appeal in late 2018.

      Even the momentum factor, which had made money in eight of the last 10 years, plunged in 2019. The strategy of buying winners of the past year and selling its losers became loaded with more defensive bets in the fourth quarter, and they turned into laggards as the S&P 500 surged in the new year.

      Despite the challenging conditions and his colorful remarks, Asness told the Morningstar conference in Chicago he intends “to stick like grim death” to his beliefs and work on improving his explanations to help investors.

      Proponents argue that recent factor underperformance is statistically nothing out of the ordinary and needs to be considered in the long term. If and when portfolios rebound, these declines might seem like a blip in retrospect. Asness reckons stock valuations are currently stretched to levels not seen since the 1990s tech bubble — a signal that his strategies may be ready to pay off.

      However as of mid May, and especially later into the month, the headache is that factor declines have been occurring in concert. Sanford C. Bernstein noted earlier this year that rising correlations in the field, which reached the highest in at least two decades, have made it harder for quants to generate idiosyncratic returns and stave off unwanted risks.

      For instance, both value and momentum — two factors that in the past have moved in opposite directions — have dropped together in the last two quarters.

      Yet one man’s meat is another man’s poison, because as many in the business are throwing in the towel on quant strategies, Steve Cohen’s Point72 Asset Management is expanding its quant business with two money manager hires. Specifically, according to Bloomberg, Sergey Fein joined this week from ExodusPoint Capital Management, while Yang Lu, who previously worked at BlueMountain Capital Management. Both will be portfolio managers in the firm’s Cubist Systematic Strategies unit.

      Fein joins after a little more than a year at ExodusPoint, which was co-founded in 2018 by Michael Gelband and was the biggest ever hedge fund launch. Fein previously co-founded quant fund R&F Capital Advisors, which shuttered in 2017 amid a slump for systematic strategies.

      Lu was most recently at BlueMountain, where he co-ran the firm’s systematic hedge fund with Perry Vais. BlueMountain is liquidating its roughly $1 billion systematic portfolio to focus on human-run credit investing.

      Point72, which now manages $13.5 billion and which has served as the basis for the show Billions on various occasions, “has seen its share of managers come and go as multistrategy hedge funds compete for talent.” The firm is seeking to raise an additional $1 billion this year after garnering $5 billion in outside capital when it launched in 2018. The fund has returned 7.4% in the first four months of 2019.

    • Paul Craig Roberts Warns Western Supremacy Is On Its Way Out

      Authored by Paul Craig Roberts,

      On May 28 I wrote that “the Western world is collapsing so rapidly that I am afraid that I am going to outlive it”. My article was about the rising demonization of white people that is producing a collapse in their confidence. Inculcated guilt is making whites willing to accept discrimination against them in order to elevate Arab, African, and Hispanic migrants that greedy corporations and witless political leaders have brought into the country.  The Identity Politics of the Democratic Party works to the advantage of darker skinned migrants who present themselves as the victims of the white-faced victimizer.

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      Psychological and emotional collapse is not the only form of collapse underway in the US and Western world generally.  There is also economic and social collapse, especially in the United States.  Today America’s once great manufacturing and industrial cities, such as Detroit, St. Louis, Cleveland, Flint Michigan, Gary Indiana, have lost 20% of their populations, largely due to the offshoring of US manufacturing.

      Social collapse is evident in rising homelessness.  Los Angeles, San Francisco, and Seattle have large homeless populations that encamp on city streets, parks, and upscale neighborhoods such as Venice Beach.

      In Los Angeles feces and garbage in public streets have caused a plague of rats and fleas.  Dangerous sanitation conditions have caused medical authorities to predict “a major infectious disease epidemic this summer in Los Angeles”.  The flea-infested carpets in City Hall are being ripped out because of fear of a typhus outbreak brought on by rat infestation. 

      Costs are mounting on already struggling taxpayers. For example, in Los Angeles in 2016 voters approved a $1.2 billion measure to finance 10,000 units of housing for the homeless. The initial cost three years ago was $140,000 per housing unit.  Now it is $500,000 per unit.  As one news report put it, “Spending a half-million dollars to build one basic rental unit to get one homeless family out of the rain” doesn’t come across as a viable idea.

      Among the solutions being investigated are refugee camps and a rethinking of the policy of taking in millions of peoples from impoverished and unstable countries. We are impoverishing ourselves without making a dent in world poverty.  For every person the US takes in, tens of thousands remain.  Already areas of the US look and function like India of 100 years ago. 

      Homeless alleviation is at least benefiting liberal and progressive organizations who are amassing money and power to fight homelessness at the expense of taxpayers. 

      Rising violence is another indicator of social collapse. Over Memorial Day weekend 42 people were shot in Chicago. The violent MS-13 gang, formed originally by Salvadoran and Honduran migrants, has expanded its operation from California to Long Island and is now invading the Hamptons.  Residents are installing bullet-proof windows, steel doors, and safe rooms inside their homes for protection.

      Another sign of social collapse is growing water problems. The Flint Michigan problem is well known, but there are many others with less publicity. Henry Ford Hospital and the Detroit Health Department report a drastic increase in levels of waterborne diseases.

      This is just a taste of the accelerating social collapse.  Readers will write to inquire why I didn’t include x,y, and z and the health care crisis.  The answer is that this is an article, not a book.  

      What we are experiencing is the failure of government at all levels.  Huge sums are being spent on wars and the fomenting of wars while Los Angeles faces the prediction of a typhus epidemic.  For two decades the US has spent trillions of dollars on wars in the Middle East in behalf of Israel. Washington calls it “the war on terror,” which is a cover story that hides the real agenda and motivation of violence that has killed, maimed, orphaned and displaced millions of Muslims. One consequence of these senseless wars has been to radicalize Muslims against Americans and Europeans even as the US and Europe import millions of displaced Muslims into their countries. 

      Countries without a homogeneous population are already disadvantaged by disunity, but to bring in massive numbers of peoples who have every reason to hate you is insanity.  Once here, the hatred is weaponized against white people by Identity Politics.

      If a country decided to self-destruct, it would do precisely what the US and Europe have done.  This is the serious problem, not Iran, North Korea, Venezuela, Syria, Russia, China.  It is likely the case that Identity Politics is now so entrenched in American institutions, such as the New York school system, that disunity is now a permanent feature of the United States.

      The largely unacknowledged problems that the US faces would overwhelm even a unified country.  For a country as disunited as America, it is difficult to see any favorable odds.  

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    Today’s News 31st May 2019

    • Putin Has Rejected Iran's S-400 Missile Request Over Soaring Gulf Tensions

      Bloomberg reports that Russia’s President Putin has rejected a controversial Iranian request to buy S-400 missile defense systems on the basis of current soaring tensions between Tehran and Washington following accusations of “sabotage” attacks on oil tankers and a pipeline in the gulf region. 

      The breaking report cites a senior Russian official and other unnamed sources with knowledge of the matter:

      The request was rebuffed by President Vladimir Putin, the people said on condition of anonymity because they’re not authorized to discuss the matter. Iranian Foreign Minister Mohammad Javad Zarif visited Moscow May 7.

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      S-400 system, via Debka

      Apparently Russia is not willing to risk yet more tensions with the US and possible further punitive measures as it’s in a growing “new Cold War” of sorts on a number of other global fronts, including in Syria, Ukraine, Venezuela, the collapsing INF treaty, defense sales to Turkey, and lately facing fresh accusations of conducting “low-yield nuke tests” in the Arctic. 

      Neither side has yet confirmed the Bloomberg report; however, Russia has lately sought to assure both Israel and the West that it’s taking strides to prevent Iranian expansion inside Syria in order to calm and stabilize the international proxy war there. 

      At this delicate time, when Syrian and Russian airstrikes are ramping up over Idlib province, Russia transferring S-400’s to Iran would likely prove disastrous in terms of re-igniting a great power confrontation and conflict in the region. No doubt Moscow doesn’t want to upset an already fragile balance, and further needs Turkey by its side related to Idlib. 

      Transfer of the S-400, which has a defense range of up to 400 kilometers, would also likely heighten an established pattern of Israeli military intervention against Iranian assets in Syria and Lebanon

      Last year Moscow announced it would transfer S-300 missiles to Syria after a Russian reconnaissance plane was mistakenly shot down during the confusion of an massive Israeli attack. The reputedly very accurate S-300 anti-air system reportedly went live in February, with Syrian personnel continuing to undergo training on the systems. That bold maneuver by Moscow also came under condemnation of the US and its allies. 

      Both Russia and Turkey are currently facing US pressures to abandon an agreed upon purchase of the deadly S-400 by Ankara, which has brought the threat of US sanctions against Turkey, as well as held up a prior F-35 stealth fighter deal as Congress has blocked further deliveries of the Lockheed Martin produced jet. 

    • New UK Standard? Prosecute Politicians For Telling Lies!

      Authored by Mike Shedlock via MishTalk,

      Boris Johnson has been summoned over lies he allegedly made during the Brexit Referendum campaign.

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      Mercy me, a politician lied during a political campaign. We cannot have that can we?

      Let’s crowdfund a private prosecution!

      As absurd as that sounds, that’s what’s happening in the UK as Boris Johnson to Appear in Court over Brexit Misconduct Claims.

      Boris Johnson has been summoned to court to face accusations of misconduct in public office over comments made in the run-up to the EU referendum.

      The ruling follows a crowdfunded move to launch a private prosecution of the MP, who is the frontrunner in the Tory leadership contest.

      Johnson lied and engaged in criminal conduct when he repeatedly claimed during the 2016 EU referendum campaign that the UK sent £350m a week to Brussels, lawyers for a 29-year-old campaigner, who launched the prosecution bid, told Westminster magistrates court last week.

      A legal team assembled by Marcus Ball, who has accused the former foreign secretary of misconduct in public office and raised more than £200,000 to finance the prosecution, laid out their case in front of the district judge, Margot Coleman.

      The case concerned the “now infamous claim” by Johnson about the £350m, according to Lewis Power QC, who said the case was not about preventing or delaying Brexit.

      One-Sided Investigation

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      Making False Statements

      In her written decision summoning Johnson to court, District Judge Margot Coleman also said:

      “The applicant’s case is there is ample evidence that the proposed defendant knew that the statements were false.”

      “I am satisfied there is sufficient to establish prima facie evidence of an issue to be determined at trial of this aspect. I consider the arguments put forward on behalf of the proposed defendant to be trial issues.”

      Idiot’s Proposal?

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      Madness?

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      Private Prosecution by a Crowdfunded Company

      Bear in mind this is a private prosecution by a nonprofit crowdfunded company, ‘Brexit Justice Limited’.

      In an extraordinary development, the favourite to win the Tory leadership race faces a private prosecution by campaigner Marcus Ball.

      Lawyers representing Mr Ball lodged an application to summon Mr Johnson to court, claiming he had deliberately misled the public during the Brexit referendum campaign in 2016 and then repeated the statement during the 2017 general election.

      Mr Johnson strongly denies any wrongdoing, claiming the application was a “[political] stunt” designed to “undermine the referendum result”.

      “The reality of this enterprise is different. The ‘Prosecutor’ (a limited company) is ‘Brexit Justice Limited’. Brexit Justice Limited is the product of a campaign to undermine the result of the Brexit referendum, and/or to prevent its consequences.

      “The company and this application owe their existence to the desire on the part of individuals such as Mr Ball to undermine the referendum result. The ‘Brexit justice’ which is ultimately sought is no Brexit.”

      Mr Ball has raised more than £200,000 through a ‘Brexit Justice’ crowdfunding campaign to pay for the private prosecution.

      Remainer Despotism

      Finally, please consider the Legal Harassment of Boris Johnson Reeks of Remainer Despotismby Andrew Lilico.

      Will David Cameron then be arrested for having said he would trigger Article 50 immediately following the election? Will George Osborne be taken to court for claiming a vote to leave would mean an emergency budget raising taxes and accompanied by interest rate hikes?

      It shouldn’t matter to this discussion, but it’s also quite wrong to claim that the “£350 million sent to Brussels” claim was a lie.

      The most straightforward of these is that that was indeed approximately the UK’s gross contribution to the EU budget. It just was. Saying “Ah, but we get a rebate” misses a fundamental point: the rebate is paid to the UK by the member states, not by the EU. The EU does not give us a discount on our membership fee; rather the member states pay us something in return.

      If I send Fred £350 million per week, and then Jane and Eliza send me £100 million per week, that does not change the fact that I send Fred £350 million per week. It does mean that saying “I send Fred £350 million per week” is not the whole story, but it is not a lie.

      Second, the £350 million claim is not a lie because in fact even when one takes the wider context into account, it’s roughly the correct amount. Critics of the figure say it neglects the rebate. But that criticism neglects the supposed accumulated “liabilities” that we’ve become aware of as the “divorce bill”. A little over half the £40 billion or so “divorce bill” takes that form. If we spread £23 billion in such “liabilities” over five years and add the weekly sum of that to the £250 million or so weekly sum, net of the rebate, then we come to about £340 million per week “sent to Brussels” as an overall net figure.

      So it’s just wrong to call the £350 million figure a lie. It is not a “lie” in any sense. It is not a lie in that it was the literal amount, and it’s not a lie in that it was the overall amount once one took everything into consideration.

      Absurd Process

      Imagine taking Trump or Obama to the courts for lying. How about Hillary? Any Senator from any party?

      Theoretically, there could be some merit to the idea if applied uniformly. Nearly all politicians are liars.

      But what about CNN, the Washington Post, etc., etc., and all their fake news?

      The downside is obvious. The courts would not have time to do anything but prosecute liars.

    • Indian Army Equips Special Forces With American Sniper Rifles On LOC

      Lieutenant General Ranbir Singh, General Officer Commanding-in-Chief, Northern Command of the Indian Army, said last week that the Pakistan Army “dare not try and come anywhere across the Line of Control (LoC) to carry out any kind of actions.” Shortly after, Special Forces of India were equipped with high-powered American and Italian sniper rifles along the LoC.

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      A defense official told Greater Kashmir that “elite units of Army deployed along the LoC in Jammu and Kashmir have been provided with the new US and Italian made snipers after proper training from US and Italian experts. The move is aimed to curb infiltration.”

      Greater Kashmir said law enforcement statistics show 93 militants, including over 25 foreign militants, have been killed in different incidents trying to cross the border this year. 

      The defense official said a shift in warmer temperatures in Kashmir has melted snow, allowing militants, generally funded by Pakistan, to cross the India–Pakistan border. “To ensure zero infiltration, latest snipers will play a crucial role,” the official claimed.

      Elaborating more on the new sniper rifles, the official said soldiers deployed along LoC are now carrying Barrett .50 caliber M95 and the Beretta .338 Lapua Magnum Scorpio TGT. “These rifles have a much longer range and power than the Russian made snipers being used by the soldiers so far. These snipers can fix the targets at the range of over 1,000 meters,” the official said.

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      The American Barrett M95 is a bolt-action sniper rifle chambered in .50 BMG (12.7×99mm), has a range of 1,800 meters. “An anti-material rifle means the bullet can actually pierce through metal,” the official said.

      “These snipers are multipurpose—to counter infiltration and to give befitting response—to the ceasefire violation from across the LoC,” the source said. “Army is ready to deal with any situation that emerges in the ensuing summer months along the LoC. There are apprehensions that militants in large groups may try to sneak in given the series of successful operations against militants in the hinterland.”

      The security situation in Jammu and Kashmir has been under control for the last several months. But in mid-February, tensions flared up with fierce fighting after the Pakistan-based Islamist group Jaish-e-Mohammad killed 40 Indian paramilitary police. Several weeks later, an Indian MiG-21 conducted the first significant aerial combat engagement between the two countries in nearly half a century and was shot down by a Pakistani F-16.

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      With warm weather now allowing Pakistani militants to cross the LoC with ease, India’s move to outfit its special forces with high-powered sniper rifles along the LoC – suggests that tensions could flare up in the summer months.

       

    • Auerback: American Global Hegemony Is Breaking Down, Here's What Comes Next

      Authored by Marshall Auerback, produced by Economy for All, a project of the Independent Media Institute,

      The breakdown in the Sino-U.S. trade talks has led a number of commentators to suggest that America’s “unipolar moment” of post-Cold War preeminence is over, as Washington lashes out against a rising China, whose economic rise threatens America’s historic dominance.

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      Direct military violence is highly unlikely, given the inherent fragility of high-tech civilization. We therefore may see Cold War–style conflict between the two superpowers, as relations in trade or national security matters become increasingly poisoned.

      So what happens to the rest of us? Will a hitherto globalized world increasingly retreat into bifurcated competing blocs, much as occurred under the original Cold War? Or can the rest of the world develop a more muted and stable form of multilateralism?

      After all, we are well past the point where parts of the globe are increasingly carved up via competing ideologies (e.g., capitalism vs. communism), given today’s broad embrace of various permutations of capitalism, or divided via proxy wars, or the “great game” of colonial expansion. Today, most nations focus on maximizing the relative productivity of their own respective economies, as opposed to establishing their ideological bona fides as quasi-colonial client states for either the United States or the former Soviet Union. Another important dimension to recognize is that what we understand to be global or international is, for the most part, owned and controlled by industrialized countries: 93 percent of foreign-owned production is controlled by Organization for Economic Cooperation (OECD) economies. Even the historic tendency to focus on state power should be questioned in this moment. In 2016, 69 of the world’s largest 100 economies were corporations, with their own range of interests and methods of functioning.

      One of the (self-serving) fears governing the end of American hegemony is that in its absence, the world will inevitably revert to some sort of brutal Hobbesian “state of nature” characterized by a balance of power clashes, in which the strong dictate to the weak.

      Is that a reasonable assumption?

      The reality of the 21st-century world is that neither the United States nor China can readily force third-party countries to join their respective competing blocs as the United States and Soviet Union were once able to do. Of course, they both have leverage, but these are often overstated. China can periodically raise the specter of a rare earths cutoff (used in everything from lithium batteries, cell phones, wind turbines, or electric cars), or threaten to liquidate its stockpile of U.S. Treasuries to cause a collapse in the dollar and bond market in order to flex its muscles. But rare earth production can ultimately be established elsewhere, and the “nuclear option” of selling U.S. bonds is a fantasy (see here for the reasons). Likewise, the United States can deploy trade sanctions, or military muscle. But this kind of aggressive unilateralism is ultimately self-defeating, as it drives away potential allies in the process.

      Indeed, the so-called era of “Pax Americana”—an alleged state of relative international peace overseen by the United States—has not been all that it has been cracked up to be. Since the fall of the Berlin Wall, “Pax Americana” itself has been characterized by a surprisingly large number of unilateral wars of choice from “Americana,” and comparatively little “Pax.” There’s no reason to expect that to change under a bullying U.S. president, dominated by hawkish champions of perpetual warfare such as John Bolton and Mike Pompeo. This is particularly the case, given that the virulent nationalism embodied in Trump’s “America First” vision is largely unilateral in scope and therefore inimical to alliance-building. Rather than seeking a voluntary coalition of the willing, the Trump administration tends to rely more on a coalition of the coerced.

      Developing economies could offer themselves up as viable supply chain manufacturing alternatives in the growing Sino-U.S. trade dispute, without actually being forced to take sides, whether they be an emerging Asian economy like Vietnam, a growing South Asia power such as India, or a Eurasian regional player such as Turkey or Iran. They can do so safe in the knowledge that there is a multiplicity of developmental modes to national prosperity (as opposed to an economic bible directed on high from Washington-dominated institutions such as the International Monetary Fund). To take a very basic example, blueprints for factory construction are downloadable from the internet.

      As for Europe, it may share some of America’s ambivalence toward Beijing, but it remains highly resistant to the confrontational (and increasingly militarized) posture toward China that Washington urges upon them (especially as such confrontation appears to be coming at the EU’s own economic expense). Europe is increasingly moving to extricate itself from the U.S. security umbrella, whether via proposals to create a new European security policy to boost defense cooperation, or developing an alternative payment system to modify U.S. dollar dominance in the current Society for Worldwide Interbank Financial Telecommunications (SWIFT) payments system (particularly given the recent American proclivity to weaponize SWIFT as a means of punishing what the United States sees as “rogue regimes,” such as Iran). Therefore, in the words of Financial Times columnist Wolfgang Munchau:

      The most creative thing the EU can do in the current circumstances is to leverage the instruments it already has, and turn them into geopolitical tools. Among such instruments, none is more potent than the euro, especially if combined with a deep capital markets union and a pan-eurozone treasury bond and treasury bills. If there is one reason to keep the euro, this is it.

      There are also increasing signs of a growing rapprochement between the EU and Russia, in spite of the latter’s annexation of Crimea. Certainly, as global polarization increases, the EU is less likely to reflexively submit to the current U.S. dollar-centric monetary system, given mounting geopolitical divergences and increasing trade tension. Even the national populist governments in Europe that are ostensibly more aligned with Trump ideologically (e.g., Hungary, Italy) are more obsessed with Islamophobic policies than in containing China, which shares their anti-Muslim views. From Europe, accordingly, we should expect to see this policy divergence reflected in efforts to expand the influence of the euro (which was originally designed in part to mitigate the dollar’s “exorbitant privilege”), as well as accelerating energy ties to Russia via Nord Stream 2.

      Accepting multipolarity does not simply mean assuming a reversion to an Adam Smith-style “Wealth of Nations” world whereby individual nation-states trade with each other on the basis of some outdated 19th-century concept of “comparative advantage.” The recently announced Fiat Chrysler–Renault merger demonstrates that many industries will continue to transcend national borders. Disrupting supply chains is easier said than done. But as this particular merger demonstrates, such tie-ups are likely to become more regionalized, less geographically diverse (especially as this particular one could well be accompanied by some diminution of the ties between Renault and Nissan).

      The European Union and Asia stand out as two obvious blocs (although in the case of the latter, Japan’s military ties with the United States and its problematic history with China complicate the geographic logic). In this regard, the European Union is probably evolving, albeit in fits and starts, toward the optimal future template (especially if and when it drops its prevailing austerity bias). Ironically, Trump himself might have catalyzed this evolution in a way that no other factor could do.

      As far as the United States itself goes, given the increasingly tenuous ties with the EU, plan B is likely a smaller U.S. bloc consisting of NAFTA (the newly reconfigured USMCA Treaty providing a template), and possibly the Anglosphere (given the linguistic and cultural ties). On paper, the GDP would be less than in an ideal U.S.-EU bloc, but it would be an actual coherent American-led bloc. By some projections, Mexico will be the seventh-largest economy in terms of purchasing power parity (PPP) by 2050.

      Geopolitically, the task that falls to most nations is to grasp that this is not an “either/or” existential choice like the old Cold War. More likely, it will be a “back to the future” embrace of the old Palmerstonian idea that there are no eternal friends or allies, only eternal interests, which can change from time to time. It does not follow that the resultant global Balkanization will inevitably lead to Balkan-style conflicts. Nor is there any ironclad law mandating that multipolarity is inextricably tied to a Hobbesian world that is “nasty, brutish and short.” If nothing else, the experience of a once war-torn Europe dominated by centuries of destructive conflict evolving into a far more stable European Union should give rise to some comfort that an alternative paradigm is possible if the countries concerned simply seize the opportunity. Nation-states are not going to disappear, but the narrowly destructive forces unleashed by Trump and his populist counterparts in the rest of the world do not represent a viable alternative.

    • Debt-Laden Americans Flee Country To Escape Crushing Student Loans 

      Faced with crushing student loans and little ability to repay them, some Americans have taken to fleeing the country in order to escape their debt, according to CNBC‘s Annie Nova.

      It’s kind of like, if a tree falls in the woods and no one hears it, does it really exist?” said 29-year-old Chad Haag, who relocated from Colorado to a jungle in India to avoid paying his $20,000 loan balance. “I’ve put America behind me,” said Haag – 9,000 miles away from home. 

      Today he lives in a concrete house in the village of Uchakkada for $50 a month. His backyard is filled with coconut trees and chickens. “I saw four elephants just yesterday,” he said, adding that he hopes never to set foot in a Walmart again. –CNBC

      That said, it hasn’t all been smooth sailing – including finding acceptable loos to poo in. “Some toilets here are holes in the ground you squat over,” said Hagg, who added that he recently ate spoiled goat meat at a local restaurant, landing him in the emergency room. Still, he insists “I have a higher standard of living in a Third World country than I would in America, because of my student loans.” 

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      Chad Hagg and the love of his life

      “If you’re not making a living wage, $20,000 in debt is devastating,” said Haag, who struggled to come up with the $300 a month he owed upon graduating from the University of Northern Colorado in 2011. Hagg’s first postgraduate job was working on-again, off-again hours unloading trucks and constructing toy rockets on an assembly line. 

      While there is no official data on how many people have fled the United States to get out of student debt, there’s ample evidence that people are heading for the hills based on Reddit postsFacebook groups, and financial advice doled out on various websites

      It may be an issue we see an uptick in if the trends keep up,” said Barmak Nassirian, director of federal relations at the American Association of State Colleges and Universities.

      With outstanding student debt projected to exceed $2 billion by 2022, the average graduate owes around $30,000, up from an inflation-adjusted $16,000 in the 1990s. As CNBC notes, salaries for those with new bachelor degrees have remained virtually flat over the last several decades. 

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      In Hagg’s case, after his stints at the toy factory and loading trucks, he went back to school to pursue a master’s degree in comparative literature at the University of Colorado Boulder, after which he tried his hand at being a low-paid adjunct professor. 

      Haag had some hope restored when he landed full-time work as a medical courier in Denver, delivering urine and blood samples to hospitals. However, he was disappointed to find that he brought home just $1,700 a month. He had little money left over after he paid his student loan bill. He couldn’t afford an apartment in the city, where rents have been rising sharply. He lived with his mother and rarely went out with friends.

      I couldn’t make the math work in America,” Haag said. –CNBC

      Last year, Hagg married an Indian citizen who teaches at a local college. He is currently living on a five-year spousal visa. 

      Not so fast?

      While the Department of Education typically can’t garnish someone’s wages if they work for a company outside of the United States, they can take up to 15% of Social Security benefits when they start collecting. 

      “The loans do not disappear when you become an expat,” said student loan expert Mark Kantrowitz. 

      Also of note, in February of 2018 the IRS began alerting the US State Department of extremely delinquent debtors, while the State Department has warned those with “seriously delinquent tax debt” that their passports may be revoked. 

      Other tales of bailing out

      39-year-old Chad Albright graduated from Millersville University in Pennsylvania in 2007 after studying communications and history, and somehow couldn’t find a job. 

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      I went to interview after interview after interview,” said Albright. 

      Still, he had $30,000 in student loans and was soon faced with a monthly bill of around $400. Unable to support himself, he moved in with his parents in Lancaster and worked as a pizza deliveryman. “There was anger,” Albright said. “I couldn’t believe I couldn’t find a job in America.”

      He fell behind on his student loans and feared the Education Department would garnish his wages.

      Albright’s credit score tanked as a result of his repayment troubles, making it difficult for him to buy a car and to land certain jobs, since some employers now pull credit reports. “I feel that college ruined my life,” Albright said. 

      Seeing no future for himself in the United States, he decided to move to China in 2011. In the city of Zhongshan, he discovered he loved teaching students English. Unlike when he was delivering greasy boxes of pizza, he found his work meaningful and fulfilling. –CNBC

      A few years after moving to China to earn $1,000 a month, Albright moved to Ukraine, where he is now a permanent resident. He has taught in Kiev and now Odessa, a port city on the Black Sea. 

      “I am much happier in Ukraine,” says Albright, who has no plans to return to the United States and hasn’t checked his student loan account in almost eight years. 

      Another student-loan escapee, Katrina Williams, couldn’t find a job after graduating from the University of South Alabama in 2013 with a $700 per month loan bill. 

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      “I had to take whatever I could so I could pay on the loans,” said Williams, who took on jobs as a Starbucks Barista, a substitute teacher, a USPS delivery woman, and a Sears call center employee. 

      “I was working every day,” said Williams. “I had enough money left over to put gas in the car.”

      Williams had a friend who had moved to Japan, and the idea of leaving the United States grew on her. In 2015, she moved to Chiba, also to teach English to students. “I love my work,” she said. Her job sponsors her visa.

      She has her own apartment now and doesn’t have to work seven days a week anymore. Yet Williams misses her relationships back home; she hasn’t been able to make many friends in Japan.

      She thinks about returning to the U.S., but knows she will be welcomed back by wage garnishments and endless calls from collection agencies. Her student debt has ballooned to well over $100,000.

      “I wish I could come back to America and not be scared,” she said. –CNBC

      According to Nassirian, there are far more reasonable ways of dealing with student debt – including entering into the government’s income-based repayment plans

      At the end of the day, perhaps Student Loan Justice founder Alan Collinge has a point when he said that “Any rational person who learns that people are fleeing the country as a result of their student loan debt will conclude that something has gone horribly awry with this lending system.” 

    • Ex-CIA Officer: Trump In "Historic Battle" With "Treasonous" Deep State

      Via Greg Hunter’s USAWatchdog.com,

      Former CIA Officer and whistleblower Kevin Shipp says what is going on in Washington D.C. with the “treason” against Trump is unlike anything we have ever faced as a nation.

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      Shipp explains, “This is an historic battle between the President of the United States and what I call the ‘Shadow Government.’

      “Some call this the ‘Deep State,’ and that includes the CIA, the FBI and the NSA. President Trump is the first President to stand up against this Shadow Government. They have been spying on Trump since he was a presidential candidate. So, this is huge, it’s historic and nothing like this has ever occurred in any western government…

      The Shadow Government has been controlling Congress, controlling the judiciary and controlling the President of the United States. No one has stood up against them until Donald J. Trump.  They did not figure on this, and he is not bound to this Shadow Government or their threats. Trump has got them quaking in their boots because they have been engaged in illegal surveillance. They have been engaged in a false counter-intelligence against the Trump campaign, literally planting spies in the Trump campaign.

      I can guarantee you they are scrambling like rats trying to get off a ship. Comey points fingers at Clapper, he’s pointing fingers at Comey, there’s Loretta Lynch and on and on. They are scared because if this stuff is declassified, the American people will see what they have done. For some of these people, this amounts to treason. They attempted a coup against a duly elected President of the United States.

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      Make no mistake, what happened to President Trump with the “hoax” of Russia collusion was a frame job to try to knock him out of office. Trump has called this “treason,” and when he says this, the mainstream media is silent and won’t report it. Shipp says,

      “They know it, and they are trying their level best to support these Shadow Government/Deep State players because the media was complicit in this false Russia collusion. There is no way they are going to report on information that will expose their role in it…

      They shot and they missed, and it was a bad miss because they tipped their hand.”

      Shipp says new Attorney General William Barr is the right man for the job of prosecuting treason. Shipp says, “Barr was a former CIA attorney . . . I was skeptical at first, but now I am right behind Barr.”

      I think the fact that Barr was a CIA attorney gives him an inside view… So, Barr has an edge . . . over the CIA and the FBI. He knows how that system works. He knows how they are going to stonewall him. He knows how they are going to use classification to try to conceal what they have done. They got the worst President and the worst Attorney General for them to expose what they are doing both at the same time. Barr has subpoena power, and they are quaking in their boots because this has never happened before. They have never been challenged like this before.”

      This is simply a case of spying to get blackmail information against political opponents. It goes back to 2012 and was under the direction of President Obama, according to Shipp. Shipp explains, “This was NSA domestic surveillance, and it’s been going on since before 9/11. It increased after 9/11.”

      “What they did, Comey and others like Brennan, they went in and requested information existing already on NSA super computers and used that information to spy on the Trump Campaign…They did spy on Donald Trump, and it was extensive. It was criminal and was existing systems the NSA already had in place

      This leads all the way to Barack Obama and, of course, Hillary Clinton. Hillary Clinton being the blackmailer extraordinaire and Barack Obama…

      They were using this power to intimidate others and probably to blackmail others… that’s exactly what they were doing… They were all engaging in flagrant criminal activity. They all thought the global princess was going to get elected, and all of a sudden—boom. The unthinkable happened for them. Donald Trump was elected, and they freaked out.”

      Join Greg Hunter as he goes One-on-One with former CIA Officer and whistleblower Kevin Shipp.

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    • Fugitive Mastermind Of $4.5B 1MDB Fraud Is Fighting To Stop The Seizure Of His Family Mansion

      For somebody who is the subject of an international manhunt led by prosecutors on two continents, disgraced Malaysian financier and alleged 1MDB mastermind Jho Low has been surprisingly active in trying to stop the DoJ and prosecutors in Malaysia from seizing hundreds of millions of dollars of assets allegedly purchased with his ill-gotten gains.

      Low, who is believed to be hiding in China under the government’s protection, has been waging an expensive public relations campaign to clear his name, while trying to block the asset seizures through a team of international lawyers – all while insisting that the only reason he has remained in hiding is that he believes he wouldn’t be able to receive a fair trial in Malaysia.

      <!–[if IE 9]><![endif]–>Malaysia

      But despite Low’s best efforts, American prosecutors have moved ahead with the seizures, and have seized or auctioned off yachts, art work, jewelry (including gifts to supermodel Miranda Kerr) and even some of the proceeds from ‘The Wolf of Wall Street’, which was purportedly financed with some of the money siphoned from the doomed (Goldman Sachs-financed) sovereign wealth fund.

      American prosecutors are also preparing to auction off millions of dollars in real estate, including luxury hotel and an LA mansion all purportedly purchased with 1MDB money have been seized by American prosecutors and are now on the auction block.

      But in Malaysia, there’s one piece of property that Low isn’t prepared to surrender without a fight.

      Low, who remains at large, dropped his claims to a stake in the Park Lane Hotel in New York City last year, paving the way for the property to be sold and the funds returned to Malaysia by the U.S. Justice Department. This week, lawyers for Low asked a U.S. judge to let them take the first steps toward selling two luxury condominiums in Manhattan, which are part of U.S. forfeiture lawsuits linked to 1MDB. Who will keep the proceeds remains unresolved as Low continues to fight the suits.

      And that’s a mansion belonging to his mother, which the Malaysian government is trying to seize, Bloomberg reports.

      Through a team of lawyers, Low is fighting the seizure, arguing that his family has lived in the property since long before 1MDB existed, and that they have the documentation to prove it.

      Low said the purchase and construction of his family home in the Malaysian state of Penang predated the state fund, as his mother Goh Gaik Ewe holds a certificate of occupation dated July 2000. A spokesman for Low, through his U.S. lawyers, provided the occupancy certificate.

      Malaysia is seeking to seize the mansion as part of a 680 million ringgit ($162 million) civil forfeiture action. The assets include handbags, cars and cash, which the government alleges were bought using funds siphoned from 1MDB, which was set up in 2009. A local court said on Thursday that the government may invite anyone to submit claims of ownership on the list of seized items, according to Ragunath Kesavan, who represents Low’s mother.

      In an open letter published Thursday, Low argued that the seizure is part of a “personal vendetta” against him orchestrated by the Malaysian government, and that seizing the property would put the health and safety of his family at risk. Moreover, prosecutors’ aggressive tack is further proof that Low wouldn’t be able to receive a fair trial in Malaysia, he said.

      What comes next? Well, we wouldn’t be surprised to see prosecutors offer Low a deal: Surrender, and in return, his family can keep their home.

    • The Places In America Where Diabetes Rates Are Increasing The Fastest

      Submitted by Priceonomics

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      Today, over 30 million Americans suffer from the disease, 71 thousand limbs are amputated each year due to its complications, and it costs over $300 BN each year.

      And it’s about to get worse. In every part of the United States, it’s expected to get costlier and more pervasive. Given that much of the treatment of diabetes and its prevention is up to the patient, managing one’s mental health is inextricably linked to improving diabetes outcomes. We thought we’d investigate the data further.

      Along with Priceonomics customer PsyDPrograms.org, we decided to analyze data from the Institute of Alternative Futures which has projected diabetes rates by state and major metro in the US from 2015 up to 2030.  According to this analysis, the diabetes rate will increase 38% in America. By 2030, the state with the highest rate of diabetes will be West Virginia, where over 20% of the population will be afflicted. The state with the lowest projected diabetes rate is Utah where just 10% of people are projected to have the disease. Among major metros examined, Miami is projected to have the highest diabetes rates and Minneapolis the lowest.

      ***

      Before diving into the results, let’s review the data and methodology that underlies this report. The data comes from the Institute for Alternative Futures, an organization that forecasts future trends and studied this issue in 2015. For our purposes, we looked at the number of both diagnosed and undiagnosed cases of diabetes in a given location compared to the overall population there to calculate the diabetes rates across America.

      As for 2015, 11.1% of Americans have diabetes. That unfortunately is as low as it’s projected to get:

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      By 2030, the diabetes rate in America is projected to rise by 38% to reach 15.3% of the population. Considering the latest estimates from the American Diabetes Association put the economic cost of disease at $327BN per year in America, the economic and human toll of the disease will continue to rise and deepen the epidemic.

      By 2030, how will the diabetes landscape look across America? The next chart shows the projected diabetes rate by state across the country:

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      By 2030, over 20% of West Virginians are projected to have diabetes, a level amounting to a public health catastrophe. Mississippi, Florida, and Alabama are the states with next highest rates of the disease. In fact, the American South has a virtual lock on all the top places where diabetes will be an epidemic in 2030.

      On the other hand, the projected diabetes rate in Utah is 10.2%, the lowest in the country. While that’s still a significant portion of the population, it’s half as much as the rate in West Virginia. Virtually all the top 10 places in the country with the lowest diabetes rates are predominantly rural environments. Not only will West Virginia have the highest diabetes rate in 2030, but it’s projected to grow the fastest.

      Over approximately the next fifteen years, the diabetes rate will increase nearly 40% in these states. With the exception of Ohio and Delaware, all these states are again located in the South. The CDC notes that areas with lower levels of education and higher obesity rates tend to have higher rates of diabetes.

      Lastly, let’s look at the diabetes rates in larger American cities. The next chart shows the projected diabetes rates in major Metro areas:

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      Among this set of large cities, Miami is projected to have the highest diabetes rate of nearly 19% by 2030. Miami is followed by New Orleans and Charlotte as the cities with the highest diabetes rates. While Minneapolis is the city with the lowest diabetes rate among major metros, still nearly 12% of its population is projected to have diabetes by 2030.

      ***

      By all accounts, diabetes has become an epidemic in the United States, and it’s projected to get much worse. Today over 30 million people have diabetes and another 70 million have “pre-diabetes,” a condition that progresses to diabetes if not treated within 5 years. By 2020, approximately 20% of the population in places like West Virginia, Mississippi, and Florida are projected to be diabetic. Even in the places where diabetes is expected to be less prevalent like Utah, still over 10% of the population will have the disease.

      The human and economic toll of a single case of diabetes is staggering. Reduction in quality of life, additional health complications associated with the disease, psychological trauma, amputation of limbs and ultimately premature death are all results of diabetes. At the same time, the rising cost of insulin and treatments for the disease and its complications put a huge economic toll on society. Solving the economic, physical, and mental health aspects of this disease is among the most important public health challenges we face in the United States.

    • New Satellite Imagery Reveals Chinese Navy Simulating An Invasion On Taiwan

      New satellite images show the People’s Liberation Army Navy (PLAN) recently conducted war games to simulate an invasion of Taiwan, reported ThePrint.

      The PLAN used Type 071 (NATO reporting name: Yuzhao), an amphibious transport dock, designed to carry 800 fully armed troops, dozens of vehicles and landing crafts, and four helicopters, was used to practice circular deployment with other vessels ahead of a beach assault.

      “This formation [circular deploymen] provides safety from shore fire as well as aerial attacks, since most landing ships carry only short-range air defence and close-in weapon systems (CIWS),” said ThePrint.

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      A Type 072A vessel (NATO reporting name: Yuting II), a landing ship designed to carry 250 fully armed troops ten tanks, four landing craft, a medium helicopter, was used to transport amphibious vehicles near the beach landing. Ahead of the invasion simulation, reconnaissance aircraft surveilled above.

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      The amphibious exercise used landing craft air cushion vessels to bring troops and vehicles ashore. Some of the first vehicles on land were type-08 amphibious armored vehicles and/or Type 05 amphibious fighting vehicles.

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      The PLAN’s recent upgrade of landing craft air cushion vessels demonstrates that these hovercraft will be used in future military exercises.

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      ThePrint said the PLAN also practiced re-embarkation after the landing exercise and regrouping to fine-tune their amphibious warfare tactics.

      “The re-embarkation is rarely caught on satellite imagery. This exclusive satellite image displays the process of re-embarkation with five amphibious fighting vehicles lined up in the queue for loading on Type-72 Yukan and Yuting class vessels,” ThePrint said.

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      China has vigorously criticized any action by Taiwan to acquire Western armament, claiming that the militarization of the Taiwan Strait is damaging the ‘One-China policy,’ which states that Taiwan will eventually be reunified with the mainland.

      While China has never ruled out the possibility of invasion and it has continued acquiring the military capability to do so, Taiwan’s air, sea and land forces, conducted a war exercise Thursday to repel an invading army.

      Regional tensions have also grown due to China’s territorial claims and aspirations in the South China Sea, something which has prompted Japan to cast aside its postwar pacifism.

      With the probability of China taking Taiwan by force is rising, the military balance in the Taiwan Strait is firmly in China’s favor.

      With both sides preparing for a cross-strait war, it’s only a matter of time before the powder keg is ignited.

       

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    Today’s News 30th May 2019

    • US Troops To Be Based In Saudi Arabia, Qatar Against "Iran Threat"

      Just hours after US National Security Advisor John Bolton formally accused Tehran of conducing the May 12 tanker “sabotage” attacks near the Strait of Hormuz, Iran’s foreign ministry has responded that “we are ready for war” amid fears that Washington could still be on a war footing in the Persian Gulf. 

      “We hope that we can start a dialogue, but we are ready for war,” Deputy Foreign Minister Abbas Araqchi told  RIA Novosti. 

      Bolton had told a press conference earlier in the day in Dubai, “The point is to make it very clear to Iran and its surrogates that these kinds of actions risk a very strong response from the United States.”

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      AP file photo of US troops in Saudi Arabia during 1990 Gulf War. 

      Bolton is in Abu Dhabi attending an emergency summit of gulf leaders to consider the implications of both the “sabotage” tanker attacks near Fujairah emiriate in the UAE and the drone strikes two days following on a Saudi Aramco pipeline and oil pumping station. 

      Meanwhile acting U.S. Defense Secretary Patrick Shanahan told reporters while in Asia for a major policy speech on the region, “nobody wants war” with Iran. However, he added that the US is ready and willing to “defend ships in the Strait of Hormuz” if necessary. 

      Also of note is that Shanahan for the first time identified that 900 American troops newly deployed to the Middle East in response to the heightened Iran threat are headed to Qatar and Saudi Arabia.

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      Riyadh hosting a new wave of American troops on Saudi soil is sure to be deeply controversial within the kingdom’s Wahhabi clerical establishment, given its strict form of Islam sees the region of Islam’s two holiest cities, Mecca and Medina, as sacred ground which is off limits to US soldiers. 

      While there are already limited US Air Force units stationed across up to five Saudi air bases such as Riyadh Air Force Base and Eskan Village Air Base, the fact that the Saudis previously hosted American personnel for attacks on Iraq proved deeply controversial in the kingdom. 

      Meanwhile, Iran’s military leaders have slammed the latest announced US troop deployment — now made more interesting given at least some of those military personnel will be based out of Shia Iran’s foremost Sunni rival Saudi Arabia. 

      “If they commit the slightest stupidity, we will send these ships to the bottom of the sea along with their crew and planes using two missiles or two new secret weapons,” Gen. Morteza Qorbani, a top adviser to Iran’s military command, told the semiofficial news agency Mizan over the past weekend.

    • The Western Media Is Key To Syria Deception

      Authored by Jonathan Cook via Counterpunch.org,

      The media are not a watchdog on power but the public relations arm of giant corporations pursuing their narrow interests in the Middle East…

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      By any reckoning, the claim made this week by al-Qaeda-linked fighters that they were targeted with chemical weapons by the Syrian government in Idlib province  –  their final holdout in Syria  –  should have been treated by the western media with a high degree of scepticism.

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      That the US and other western media enthusiastically picked up those claims should not have made them any more credible.

      Scepticism was all the more warranted from the media given that no physical evidence has yet been produced to corroborate the jihadists’ claims. And the media should have been warier still given that the Syrian government was already poised to defeat these al-Qaeda groups without resort to chemical weapons — and without provoking the predictable ire (yet again) of the west.

      But most of all scepticism was required because these latest claims arrive just as we have learnt that the last supposed major chemical attack — which took place in April 2018 and was, as ever, blamed by all western sources on Syria’s president, Bashar Assad — was very possibly staged, a false-flag operation by those very al-Qaeda groups now claiming the Syrian government has attacked them once again.

      Addicted to incompetence

      Most astounding in this week’s coverage of the claims made by al-Qaeda groups is the fact that the western media continues to refuse to learn any lessons, develop any critical distance from the sources it relies on, even as those sources are shown to have repeatedly deceived it.

      This was true after the failure to find WMD in Iraq, and it has been confirmed after the the international community’s monitoring body on chemical weapons, the Organisation for the Prohibition of Chemical Weapons (OPCW), was exposed this month as deeply dishonest.

      It is bad enough that our governments and our expert institutions deceive and lie to us. But it is even worse that we have a corporate media addicted — at the most charitable interpretation — to its own incompetence. The evidence demonstrating that grows stronger by the day.

      Unprovoked attack

      In March the OPCW produced a report into a chemical weapons attack the Syrian government allegedly carried out in Douma in April last year. Several dozen civilians, many of them children, died apparently as a result of that attack.

      The OPCW report concluded that there were “reasonable grounds” for believing a toxic form of chlorine had been used as a chemical weapon in Douma, and that the most likely method of delivery were two cylinders dropped from the air.

      This as good as confirmed claims made by al-Qaeda groups, backed by western states, that the cylinders had been dropped by the Syrian military. Using dry technical language, the OPCW joined the US and Europe in pointing the finger squarely at Assad.

      It was vitally important that the OPCW reached that conclusion — and not only because the west has an overarching ambition for regime change in Syria.

      In response to the alleged Douma attack a year ago, the US fired a volley of Cruise missiles at Syrian army and government positions before there had been any investigation into who was responsible.

      Those missiles were already a war crime — an unprovoked attack on another sovereign country. But without the OPCW’s implicit blessing, the US would have been deprived of even its flimsy, humanitarian pretext for launching the missiles.

      Leaked document

      Undoubtedly the OPCW was under huge political pressure to arrive at the “right” conclusion. But as a scientific body carrying out a forensic investigation surely it would not have dared to doctor the data.

      Nonetheless, it seems that may well be precisely what it did. This month the Working Group on Syria, Propaganda and Media — a group of academics who have grown increasingly sceptical of the western narratives told about Syria — published an internal, leaked OPCW document.

      A few fays later the OPCW reluctantly confirmed that the document was genuine, and that it would identify and deal with those responsible for the leak.

      The document was an assessment overseen by Ian Henderson, a senior OPCW expert, of the engineering data gathered by the OPCW’s fact-finding mission that attended the scene of the Douma attack. Its findings fly in the face of the OPCW’s published report. 

      Erased from the record

      The leaked document is deeply troubling for two reasons.

      First, the assessment, based on the available technical data, contradicts the conclusion of the final OPCW report that the two chemical cylinders were dropped from the air and crashed through building roofs. It argues instead that the cylinders were more likely placed at the locations they were found.

      If that is right, the most probable explanation is that the cylinders were put there by al-Qaeda groups — presumably in a last desperate effort to persuade the west to intervene and to prevent the jihadists being driven out of Douma.

      But, second, and even more shocking is the fact that the expert assessment based on the data collected by the OPCW team is entirely unaddressed in the OPCW’s final report.

      It is not that the final report discounts or rebuts the findings of its own experts. It simply ignores those findings; it pretends they don’t exist. The report blacks them out, erases them from the official record. In short, it perpetrates a massive deception.

      Experts ignored

      All of this would be headline news if we had a responsible media that cared about the truth and about keeping its readers informed.

      We now know both that the US attacked Syria on entirely bogus grounds, and that the OPCW — one of the international community’s most respected and authoritative bodies — has been caught redhanded in an outrageous deception with grave geopolitical implications. (In fact, it is not the first time the OPCW has been caught doing this, as I have previously explained here.)

      The fact that the OPCW ignored its own expert and its own team’s technical findings when they proved politically indigestible casts a dark shadow over allthe OPCW’s work in Syria, and beyond. If it was prepared to perpetrate a deception on this occasion, why should we assume it did not do so on other occasions when it proved politically expedient?

      Active combatants

      The OPCW’s reports into other possible chemical attacks — assisting western efforts to implicate Assad — are now equally tainted. That is especially so given that in those other cases the OPCW violated its own procedures by drawing prejudicial conclusions without its experts being on the ground, at the site of the alleged attacks. Instead it received samples and photos via al-Qaeda groups, who could easily have tampered with the evidence.

      And yet there has been not a peep from the corporate media about this exposure of the OPCW’s dishonesty, apart from commentary pieces from the only two maverick mainstream journalists in the UK — Peter Hitchens, a conservative but independent-minded columnist for the Mail on Sunday, and veteran war correspondent Robert Fisk, of the little-read Independent newspaper (more on his special involvement in Douma in a moment).

      Just as the OPCW blanked the findings of its technical experts to avoid political discomfort, the media have chosen to stay silent on this new, politically sensitive information.

      They have preferred to prop up the discredited narrative that our governments have been acting to protect the human rights of ordinary Syrians rather than the reality that they have been active combatants in the war, helping to destabilise a country in ways that have caused huge suffering and death in Syria.

      Systematic failure

      This isn’t a one-off failure. It’s part of a series of failures by the corporate media in its coverage of Douma.

      They ignored very obvious grounds for caution at the time of the alleged attack. Award-winning reporter Robert Fisk was among the first journalists to enter Douma shortly after those events. He and a few independent reporters communicated eye-witness testimony that flatly contradicted the joint narrative promoted by al-Qaeda groups and western governments that Assad had bombed Douma with chemical weapons.

      The corporate media also mocked a subsequent press conference at which many of the supposed victims of that alleged chemical attack made appearances to show that they were unharmed and spoke of how they had been coerced into play-acting their roles.

      And now the western media has compounded that failure — revealing its systematic nature — by ignoring the leaked OPCW document too.

      But it gets worse, far worse.

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      Al-Qaeda propaganda

      This week the same al-Qaeda groups that were present in Douma — and may have staged that lethal attack — claimed that the Syrian government had again launched chemical weapons against them, this time on their final holdout in Idlib.

      A responsible media, a media interested in the facts, in evidence, in truth-telling, in holding the powerful to account, would be dutybound to frame this latest, unsubstantiated claim in the context of the new doubts raised about the OPCW report into last year’s chemical attack blamed on Assad.

      Given that the technical data suggest that al-Qaeda groups, and the White Helmets who work closely with them, were responsible for staging the attack — even possibly of murdering civilians to make the attack look more persuasive — the corporate media had a professional and moral obligation to raise the matter of the leaked document.

      It is vital context as anyone tries to weigh up whether the latest al-Qaeda claims are likely to be true. To deprive readers of this information, this essential context would be to take a side, to propagandise on behalf not only of western governments but of al-Qaeda too.

      And that is exactly what the corporate media have just done. All of them.

      Media worthy of Stalin

      It is clear how grave their dereliction of the most basic journalistic duty is if we consider the Guardian’s uncritical coverage of jihadist claims about the latest alleged chemical attack.

      Like most other media, the Guardian article included two strange allusions — one by France, the other by the US — to the deception perpetrated by the OPCW in its recent Douma report. The Guardian reported these allusions even though it has never before uttered a word anywhere in its pages about that deception.

      In other words, the corporate media are so committed to propagandising on behalf of the western powers that they have reported the denials of official wrongdoing even though they have never reported the actual wrongdoing. It is hard to imagine the Soviet media under Stalin behaving in such a craven and dishonest fashion.

      The corporate media have given France and the US a platform to reject accusations against the OPCW that the media themselves have never publicly raised.

      Doubts about OPCW

      The following is a brief statement (unintelligible without the forgoing context) from France, reported by the Guardian in relation to the latest claim that Assad’s forces used chemical weapons this week: “We have full confidence in the Organisation for the Prohibition of Chemical Weapons.”

      But no one, except bloggers and academics ignored by the media and state authorities, has ever raised doubts about the OPCW. Why would the Guardian think these French comments worthy of reporting unless there were reasons to doubt the OPCW? And if there are such reasons for doubt, why has the Guardian not thought to make them public, to report them to its readers?

      The US state department similarly came to the aid of the OPCW. In the same Guardian report, a US official was quoted saying that the OPCW was facing “a continuing disinformation campaign” from Syria and Russia, and that the campaign was designed “to create the false narrative that others [rather than Assad] are to blame for chemical weapons attacks”.

      So Washington too was rejecting accusations against the OPCW that have never been reported by the state-corporate media.

      Interestingly, in the case of US officials, they claim that Syria and Russia are behind the “disinformation campaign” against the OPCW, even though the OPCW has admitted that the leaked document discrediting its work is genuine and written by one of its experts.

      The OPCW is discredited, of course, only because it sought to conceal evidence contained in the leaked document that might have exonerated Assad of last year’s chemical attack. It is hard to see how Syria or Russia can be blamed for this.

      Colluding in deception

      But more astounding still, while US and French officials have at least acknowledged that there are doubts about the OPCW’s role in Syria, even if they unjustifiably reject such doubts, the corporate media have simply ignored those doubts as though they don’t exist.

      The continuing media blackout on the leaked OPCW document cannot be viewed as accidental. It has been systematic across the media.

      That blackout has remained resolutely in place even after the OPCW admitted the leaked document discrediting it was genuine and even after western countries began alluding to the leaked document themselves.

      The corporate media is actively colluding both in the original deception perpetrated by al-Qaeda groups and the western powers, and in the subsequent dishonesty of the OPCW. They have worked together to deceive western publics.

      The question is, why are the media so obviously incompetent? Why are they so eager to keep themselves and their readers in the dark? Why are they so willing to advance credulous narratives on behalf of western governments that have been repeatedly shown to have lied to them?

      Iran the real target

      The reason is that the corporate media are not what they claim. They are not a watchdog on power, or a fourth estate.

      The media are actually the public relations wing of a handful of giant corporations — and states — that are pursuing two key goals in the Middle East.

      First, they want to control its oil. Helping al-Qaeda in Syria — including in its propaganda war — against the Assad government serves a broader western agenda. The US and NATO bloc are ultimately gunning for the leadership of Iran, the one major oil producer in the region not under the US imperial thumb.

      Powerful Shia groups in the region — Assad in Syria, Hizbullah in Lebanon, and Iraqi leaders elevated by our invasion of that country in 2003 — are allies or potential allies of Iran. If they are in play, the US empire’s room for manoeuvre in taking on Iran is limited. Remove these smaller players and Iran stands isolated and vulnerable.

      That is why Russia stepped in several years ago to save Assad, in a bid to stop the dominoes falling and the US engineering a third world war centred on the Middle East.

      Second, with the Middle East awash with oil money, western corporations have a chance to sell more of the lucrative weapons that get used in overt and covert wars like the one raging in Syria for the past eight years.

      What better profit-generator for these corporations than wasteful and pointless wars against manufactured bogeymen like Assad?

      Like a death cult

      From the outside, this looks and sounds like a conspiracy. But actually it is something worse — and far more difficult to overcome.

      The corporations that run our media and our governments have simply conflated in their own minds — and ours — the idea that their narrow corporate interests are synonymous with “western interests”.

      The false narratives they generate are there to serve a system of power, as I have explained in previous blogs. That system’s worldview and values are enforced by a charmed circle that includes politicians, military generals, scientists, journalists and others operating as if brainwashed by some kind of death cult. They see the world through a single prism: the system’s need to hold on to power. Everything else — truth, evidence, justice, human rights, love, compassion — must take a back seat.

      It is this same system that paradoxically is determined to preserve itself even if it means destroying the planet, ravaging our economies, and starting and maintaining endlessly destructive wars. It is a system that will drag us all into the abyss, unless we stop it.

    • Radioactive Nuclear Dome Leak May Be Poisoning Shellfish In Pacific  

      Several weeks ago, we reported that U.N. Secretary-General Antonio Guterres sounded the alarm over a large concrete dome constructed 40 years ago in the Marshall Islands to contain radioactive waste from Cold War-era nuclear tests.

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      According to Guterres, the dome – which houses approximately 73,000 cubic meters of nuclear debris on Runit Island, part of the Enewetak Atoll – may be leaking radioactive material into the Pacific Ocean, as the porous ground underneath the 18″ thick dome was never lined as initially planned.

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      Now, a new report from the Los Angeles Times shows that researchers have detected high levels of radiation in shellfish – confirming the worst case scenario: nuclear waste is devastating marine ecosystems near the dome.

      The discovery is “raising concerns the contamination is spreading from the dump site’s tainted groundwater into the ocean and the food chain.”

      The radiation “is either leaking from the waste site — which U.S. officials reject — or that authorities did not adequately clean up radiation left behind from past weapons testing, as some in the Marshall Islands claim.”

      The U.S. tested 67 nuclear weapons tests from 1946 – 1958 at Bikini and Enewetak atolls. Despite U.S. efforts to move people to safety, thousands of islanders were exposed to radioactive fallout from above-ground tests conducted before a moratorium was enacted in 1958.

      The tests included the 15 Megaton Castle Bravo on the Bikini Atoll, which was detonated on March 1, 1954. It was the most powerful ever detonated by the United States – and around 1,000 times bigger than the bomb dropped on Hiroshima just nine years before.

      The effort to clean up the region in the 1970s included approximately 4,000 American members of the armed forces in what was known as the Enewetak Radiological Support Project.

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      In our report, we showed how cracks are visible in the dome’s surface, and the sea sometimes washes over its surface during storms.

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      “The United States Government has acknowledged that a major typhoon could break it apart and cause all of the radiation in it to disperse,” said Columbia University’s Michael Gerrard.

      That said, a 2013 DoE report found that the soil outside of the dome is more contaminated than its contents– as the 1970s cleaning operation only removed an estimated 0.8% of the total nuclear waste in Enewetak Atoll.

      It’s unclear whether the shellfish were poisoned by radioactive material from the dome, or the 67 previous tests in the surrounding area. However, one thing is obvious: the U.S. delayed the inevitable environmental disaster by burying nuclear waste inside a concrete dome some four decades ago.

    • Technotyranny: The Iron-Fisted Authoritarianism Of The Surveillance State

      Authored by John Whitehead via The Rutherford Institute,

      “There will come a time when it isn’t ‘They’re spying on me through my phone’ anymore. Eventually, it will be ‘My phone is spying on me.’” ― Philip K. Dick

      Red pill or blue pill? You decide.

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      Twenty years after the Wachowskis’ iconic 1999 film, The Matrix, introduced us to a futuristic world in which humans exist in a computer-simulated non-reality powered by authoritarian machines – a world where the choice between existing in a denial-ridden virtual dream-state or facing up to the harsh, difficult realities of life comes down to a red pill or a blue pill – we stand at the precipice of a technologically-dominated matrix of our own making.

      We are living the prequel to The Matrix with each passing day, falling further under the spell of technologically-driven virtual communities, virtual realities and virtual conveniences managed by artificially intelligent machines that are on a fast track to replacing us and eventually dominating every aspect of our lives.

      Science fiction has become fact.

      In The Matrixcomputer programmer Thomas Anderson a.k.a. hacker Neo is wakened from a virtual slumber by Morpheus, a freedom fighter seeking to liberate humanity from a lifelong hibernation state imposed by hyper-advanced artificial intelligence machines that rely on humans as an organic power source. With their minds plugged into a perfectly crafted virtual reality, few humans ever realize they are living in a dream world.

      Neo is given a choice: to wake up and join the resistance, or remain asleep and serve as fodder for the powers-that-be. “You take the blue pill and the story ends. You wake in your bed and believe whatever you want to believe,” Morpheus says to Neo in The Matrix. “You take the red pill and you stay in Wonderland, and I show you how deep the rabbit hole goes.

      Most people opt for the red pill.

      In our case, the red pill—a one-way ticket to a life sentence in an electronic concentration camp—has been honey-coated to hide the bitter aftertaste, sold to us in the name of expediency and delivered by way of blazingly fast Internet, cell phone signals that never drop a call, thermostats that keep us at the perfect temperature without our having to raise a finger, and entertainment that can be simultaneously streamed to our TVs, tablets and cell phones.

      Yet we are not merely in thrall with these technologies that were intended to make our lives easier. We have become enslaved by them.

      Look around you. Everywhere you turn, people are so addicted to their internet-connected screen devices—smart phones, tablets, computers, televisions—that they can go for hours at a time submerged in a virtual world where human interaction is filtered through the medium of technology.

      This is not freedom.

      This is not even progress.

      This is technological tyranny and iron-fisted control delivered by way of the surveillance state, corporate giants such as Google and Facebook, and government spy agencies such as the National Security Agency.

      We are living in a virtual world carefully crafted to resemble a representative government, while in reality we are little more than slaves in thrall to an authoritarian regime, with its constant surveillance, manufactured media spectacles, secret courts, inverted justice, and violent repression of dissent.

      So consumed are we with availing ourselves of all the latest technologies that we have spared barely a thought for the ramifications of our heedless, headlong stumble towards a world in which our abject reliance on internet-connected gadgets and gizmos is grooming us for a future in which freedom is an illusion.

      It’s not just freedom that hangs in the balance. Humanity itself is on the line.

      Indeed, while most people are busily taking selfies, Google has been busily partnering with the NSA, the Pentagon, and other governmental agencies to develop a new “human” species.

      Essentially, Google—a neural network that approximates a global brain—is fusing with the human mind in a phenomenon that is called “singularity.” Google will know the answer to your question before you have asked it, said transhumanist scientist Ray Kurzweil. “It will have read every email you will ever have written, every document, every idle thought you’ve ever tapped into a search-engine box. It will know you better than your intimate partner does. Better, perhaps, than even yourself.”

      But here’s the catch: the NSA and all other government agencies will also know you better than yourself. As William Binney, one of the highest-level whistleblowers to ever emerge from the NSA said, “The ultimate goal of the NSA is total population control.”

      Cue the dawning of the Age of the Internet of Things, in which internet-connected “things” will monitor your home, your health and your habits in order to keep your pantry stocked, your utilities regulated and your life under control and relatively worry-free.

      The key word here is control.

      In the not-too-distant future, “just about every device you have — and even products like chairs, that you don’t normally expect to see technology in — will be connected and talking to each other.”

      By 2020, there will be 152 million cars connected to the Internet and 100 million Internet-connected bulbs and lamps. By 2021, it is estimated there will be 240 million wearable devices such as smartwatches, keeping users connected it real time to their phones, emails, text messages and the Internet. By 2022, there will be 1.1 billion smart meters installed in homes, reporting real-time usage to utility companies and other interested parties.

      This “connected” industry—estimated to add more than $14 trillion to the economy by 2020—is about to be the next big thing in terms of societal transformations, right up there with the Industrial Revolution, a watershed moment in technology and culture.

      Between driverless cars that completely lacking a steering wheel, accelerator, or brake pedal and smart pills embedded with computer chips, sensors, cameras and robots, we are poised to outpace the imaginations of science fiction writers such as Philip K. Dick and Isaac Asimov. (By the way, there is no such thing as a driverless car. Someone or something will be driving, but it won’t be you.)

      The aim of these internet-connected devices, as Nest proclaims, is to make “your house a more thoughtful and conscious home.” For example, your car can signal ahead that you’re on your way home, while Hue lights can flash on and off to get your attention if Nest Protect senses something’s wrong. Your coffeemaker, relying on data from fitness and sleep sensors, will brew a stronger pot of coffee for you if you’ve had a restless night.

      Internet-connected techno gadgets as smart light bulbs can discourage burglars by making your house look occupied, smart thermostats will regulate the temperature of your home based on your activities, and smart doorbells will let you see who is at your front door without leaving the comfort of your couch.

      Nest, Google’s $3 billion acquisition, has been at the forefront of the “connected” industry, with such technologically savvy conveniences as a smart lock that tells your thermostat who is home, what temperatures they like, and when your home is unoccupied; a home phone service system that interacts with your connected devices to “learn when you come and go” and alert you if your kids don’t come home; and a sleep system that will monitor when you fall asleep, when you wake up, and keep the house noises and temperature in a sleep-conducive state.

      It’s not just our homes that are being reordered and reimagined in this connected age: it’s our workplaces, our health systems, our government and our very bodies that are being plugged into a matrix over which we have no real control.

      Moreover, given the speed and trajectory at which these technologies are developing, it won’t be long before these devices are operating entirely independent of their human creators, which poses a whole new set of worries.

      As technology expert Nicholas Carr notes, “As soon as you allow robots, or software programs, to act freely in the world, they’re going to run up against ethically fraught situations and face hard choices that can’t be resolved through statistical models. That will be true of self-driving cars, self-flying drones, and battlefield robots, just as it’s already true, on a lesser scale, with automated vacuum cleaners and lawnmowers.”

      For instance, just as the robotic vacuum, Roomba, “makes no distinction between a dust bunny and an insect,” weaponized drones will be incapable of distinguishing between a fleeing criminal and someone merely jogging down a street.

      For that matter, how do you defend yourself against a robotic cop—such as the Atlas android being developed by the Pentagon—that has been programmed to respond to any perceived threat with violence?

      Unfortunately, in our race to the future, we have failed to consider what such dependence on technology might mean for our humanity, not to mention our freedoms.

      Ingestible or implantable chips are a good example of how unprepared we are, morally and otherwise, to navigate this uncharted terrain. Hailed as revolutionary for their ability to access, analyze and manipulate your body from the inside, these smart pills can remind you to take your medication, search for cancer, and even send an alert to your doctor warning of an impending heart attack.

      Sure, the technology could save lives, but is that all we need to know? Have we done our due diligence in dealing with the ramifications of giving the government and its cronies access to such intrusive programs? For example, asks reporter Ariana Eunjung Cha, “How will patients be assured that the technology won’t be used to compel them to take medications they don’t really want to take? Could what started as a voluntary experiment be turned into a compulsory government identification program that could erode civil liberties?

      Let me put it another way.

      If you were shocked by Edward Snowden’s revelations about how NSA agents have used surveillance to spy on Americans’ phone calls, emails and text messages, can you imagine what unscrupulous government agents could do with access to your internet-connected car, home and medications?

      All of those internet-connected gadgets we just have to have (Forbes refers to them as “(data) pipelines to our intimate bodily processes”)—the smart watches that can monitor our blood pressure and the smart phones that let us pay for purchases with our fingerprints and iris scans—are setting us up for a brave new world where there is nowhere to run and nowhere to hide.

      Imagine what a SWAT team could do with the ability to access, monitor and control your internet-connected home: locking you in, turning off the lights, activating alarms, etc.

      Thus far, the public response to concerns about government surveillance has amounted to a collective shrug.

      After all, who cares if the government can track your whereabouts on your GPS-enabled device so long as it helps you find the fastest route from Point A to Point B? Who cares if the NSA is listening in on your phone calls and downloading your emails so long as you can get your phone calls and emails on the go and get lightning fast Internet on the fly? Who cares if the government can monitor your activities in your home by tapping into your internet-connected devices—thermostat, water, lights—so long as you can control those things with the flick of a finger, whether you’re across the house or across the country?

      It’s hard to truly appreciate the intangible menace of technology-enabled government surveillance in the face of the all-too-tangible menace of police shootings of unarmed citizens, SWAT team raids, and government violence and corruption.

      However, both dangers are just as lethal to our freedoms if left unchecked.

      Consider that on any given day, the average American going about his daily business is monitored, surveilled, spied on and tracked in virtually every way by both government and corporate eyes and ears.

      Whether you’re walking through a store, driving your car, checking email, or talking to friends and family on the phone, you can be sure that some government agency, whether the NSA or some other entity, will be listening in and tracking your behavior.

      This doesn’t even begin to touch on the corporate trackers that monitor your purchases, web browsing, Facebook posts and other activities taking place in the cyber sphere.

      In other words, there is no form of digital communication that the government cannot and does not monitor: phone calls, emails, text messages, tweets, Facebook posts, internet video chats, etc., are all accessible, trackable and downloadable by federal agents.

      The government and its corporate partners-in-crime have been bypassing the Fourth Amendment’s prohibitions for so long that this constitutional bulwark against warrantless searches and seizures has largely been rendered antiquated and irrelevant.

      We are now in the final stage of the transition from a police state to a surveillance state.

      Having already transformed local police into extensions of the military, the Department of Homeland Security, the Justice Department and the FBI are in the process of turning the nation’s police officers into techno-warriors, complete with iris scanners, body scanners, thermal imaging Doppler radar devices, facial recognition programs, license plate readers, cell phone Stingray devices and so much more.

      Add in the fusion centers and real-time crime centers, city-wide surveillance networks, data clouds conveniently hosted overseas by Amazon and Microsoft, drones equipped with thermal imaging cameras, and biometric databases, and you’ve got the makings of a world in which “privacy” is reserved exclusively for government agencies.

      In other words, the surveillance state that came into being with the 9/11 attacks is alive and well and kicking privacy to shreds in America. Having been persuaded to trade freedom for a phantom promise of security, Americans now find themselves imprisoned in a virtual cage of cameras, wiretaps, sensors and watchful government eyes.

      Just about every branch of the government—from the Postal Service to the Treasury Department and every agency in between—now has its own surveillance sector, authorized to spy on the American people.

      And of course that doesn’t even begin to touch on the complicity of the corporate sector, which buys and sells us from cradle to grave, until we have no more data left to mine. Indeed, Facebook, Amazon and Google are among the government’s closest competitors when it comes to carrying out surveillance on Americans, monitoring the content of your emails, tracking your purchases and exploiting your social media posts.

      “Few consumers understand what data are being shared, with whom, or how the information is being used,” reports the Los Angeles Times. “Most Americans emit a stream of personal digital exhaust — what they search for, what they buy, who they communicate with, where they are — that is captured and exploited in a largely unregulated fashion.”

      It’s not just what we say, where we go and what we buy that is being tracked.

      We’re being surveilled right down to our genes, thanks to a potent combination of hardware, software and data collection that scans our biometrics—our faces, irises, voices, genetics, even our gait—runs them through computer programs that can break the data down into unique “identifiers,” and then offers them up to the government and its corporate allies for their respective uses.

      For instance, imagine what the NSA could do (and is likely already doing) with voiceprint technology, which has been likened to a fingerprint. Described as “the next frontline in the battle against overweening public surveillance,” the collection of voiceprints is a booming industry for governments and businesses alike. As The Guardian reports, “voice biometrics could be used to pinpoint the location of individuals. There is already discussion about placing voice sensors in public spaces, and … multiple sensors could be triangulated to identify individuals and specify their location within very small areas.”

      The NSA is merely one small part of a shadowy permanent government comprised of unelected bureaucrats who march in lockstep with profit-driven corporations that actually runs Washington, DC, and works to keep us under surveillance and, thus, under control. For example, Google openly works with the NSA, Amazon has built a massive $600 million intelligence database for CIA, and the telecommunications industry is making a fat profit by spying on us for the government.

      In other words, Corporate America is making a hefty profit by aiding and abetting the government in its domestic surveillance efforts.

      Control is the key here.

      Total control over every aspect of our lives, right down to our inner thoughts, is the objective of any totalitarian regime.

      George Orwell understood this. His masterpiece, 1984, portrays a global society of total control in which people are not allowed to have thoughts that in any way disagree with the corporate state. There is no personal freedom, and advanced technology has become the driving force behind a surveillance-driven society. Snitches and cameras are everywhere. And people are subject to the Thought Police, who deal with anyone guilty of thought crimes. The government, or “Party,” is headed by Big Brother, who appears on posters everywhere with the words: “Big Brother is watching you.”

      Make no mistake: the Internet of Things is just Big Brother in a more appealing disguise.

      Now there are still those who insist that they have nothing to hide from the surveillance state and nothing to fear from the police state because they have done nothing wrong. To those sanctimonious few, secure in their delusions, let this be a warning: the danger posed by the American police state applies equally to all of us, lawbreaker and law-abider alike.

      In an age of too many laws, too many prisons, too many government spies, and too many corporations eager to make a fast buck at the expense of the American taxpayer, there is no safe place and no watertight alibi.

      We are all guilty of some transgression or other.

      Eventually, as I make clear in my book Battlefield America: The War on the American People, we will all be made to suffer the same consequences in the electronic concentration camp that surrounds us.

    • Footage Captures Arms "Rat Line" On "Mysterious Planes" Fueling Libya War 2.0

      We might call it the war for Libya 2.0, given that following the Arab North African country turning to chaos and ruin following the 2011 US-NATO regime change war against Gaddafi, a new war for Tripoli is fast becoming internationalized in what threatens to be a full-blown proxy war. 

      New reports this week have uncovered what appear to be covert arms shipments pouring into the war-torn country on “mysterious planes” in support of General Khalifa Haftar’s Libyan National Army (LNA), which has since early April laid siege to the capital city. At the same time, there’s new evidence that external countries like Turkey as well as foreign mercenaries are bolstering the ranks of the UN-backed Government of National Accord which Haftar is trying to unseat. 

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      Via Al Jazeera investigation: Two Ilyushin 76 aircraft made several trips between Egypt, Israel, and Jordan before landing at air bases controlled by Haftar 

      A new Al-Jazeera investigation caught what’s presumed to be weapons-laden cargo planes making repeat trips to makeshift battlefront air bases. What’s more is that they are attempting to go “covert” during the deliveries by flipping their tracking transponders off. 

      According to the report:

      Cargo planes were discovered flying clandestinely into bases controlled by renegade Libyan military commander Khalifa Haftar and dropping off unidentifed payloads at the time his forces attacked Tripoli last month, an Al Jazeera Arabic TV investigation found.

      Satellite images and flight data show two Russian-made Ilyushin 76 aircraft registered to a joint Emirati-Kazakh company called Reem Travel made several trips between Egypt, Israel, and Jordan before landing at military bases controlled by Haftar’s Libyan National Army (LNA) in early April, just as it attempted to seize the capital.

      Haftar has long been described by many analysts as “the CIA’s man in Libya” — given he spent a couple decades living in exile a mere few minutes from CIA headquarters in Langley, Virginia during Gaddafi’s rule.

      In late April the White House had shocked UN and western allies by reversing policy which had up until then recognized the GNA’s authority, and bestowed legitimacy of Gen. Haftar’s forces. President Trump went so far as to thank Haftar for “securing Libya’s oil resources” in a phone call. 

      This week Al Jazeera published photos and video footage of the illegal (under a recent UN arms embargo) arms shipments, as well as satellite and tracking data from the planes

      Flight transponders appear to have been turned off while flying into the war-torn North African country. Libya is currently under an arms embargo imposed by the United Nations after years of fighting. 

      Video published by Haftar’s forces shows one of the cargo planes – with the registration number UP-I7645 – after landing at LNA’s Tamanhant military base in southern Libya. It had taken off from Benghazi in the east, Haftar’s stronghold. 

      The report cites a gulf affairs analyst named Bill Law, who said the war for Libya is now expanding into a full proxy war. “What we’re seeing are lots of players coming into Libya. It’s a recipe that’s almost heading to a Yemen scenario. We’re beginning to see a proxy war emerging. We’re looking at a pretty bleak situation. In this situation of a vacuum, you see players emerge and we’re seeing this now,” he told Al Jazeera.

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      Al Jazeera published screengrabs of a video published to Gen. Haftar’s media site, showing cargo unloaded from aircraft at a LNA military base. 

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      Aircraft have been observed flying into Libya with their trackers off, in what appears violation of a UN arms embargo on the country. 

      Recent UN numbers and humanitarian monitors have put the number of displaced due to Haftar’s offensive on the capital at more than 40,000 civilians and a rising death toll of multiple hundreds, and thousands wounded. 

      Among Haftar’s main backers include the UAE, Egypt, France, Russia, and recently the United States. Foreign mercenaries have been observed backing both sides, with Turkish as well as European military trainers reported to have recently assisted the Tripoli-based GNA. 

      Interestingly, in a reversal of the well-known “weapons rat line” which in 2011 to 2012 ran from Libya into Syria, Damascus has this week condemned what it says is a covert program to transfer Syrian jihadists to Libya. 

      Syria’s Ambassador to the UN Bashar Al-Ja’afari told the UNSC on Tuesday: “How can the fighters be transferred from Syria to Libya unless the support of governments benefiting from it?” as cited by The Libyan Address. “We have warned against the transfer of fighters to neighboring countries,” Jaafari added.

      According to a summary of the intensifying influx of foreign fighters into Libya, the Middle East news site Al-Masdar noted:

      Members of both the Islamic State (ISIS/ISIL/IS/Daesh) and Hay’at Tahrir Al-Sham have somehow made their way from Syria to Libya over the last year, prompting the governments in Damascus and Benghazi to question who is aiding their transfer.

      Damascus and Benghazi have accused Turkey in recent months of helping to facilitate this transfer, despite Ankara’s rejection of accusations.

      Turkey is considered a close ally to the Tripoli-based Government of National Accord (GNA); they are currently fighting the Libyan National Army (LNA), which is led by Field Marshal General Khalifa Haftar.

      The twisted irony is that whereas Libya less than a decade ago was a main departure point for foreign jihadists entering the Levant region via Turkey to fight Assad, it now appears the same jihadists are headed the other way, and again in support of a NATO country (Turkey and the GNA’s UN allies).  

    • Transgender Woman (Who Competed As A Man Last Year) Wins NCAA Track Championship

      Via The College Fix,

      A student-athlete at Franklin Pierce University on Saturday became the first in the school’s history to collect an individual national title. That student-athlete is also transgender.

      “A transgender woman who competed as a man as recently as last year won an NCAA women’s track national championship on Saturday. Franklin Pierce University senior Cece Telfer beat the eight-woman field in the Division II women’s 400-meter hurdles by more than a second, with a personal collegiate-best time of 57.53,” the Tribune-Review reports.

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      As recently as January 2018, Telfer had been competing as an athlete for Franklin Pierce men’s team as Craig. Telfer finished eighth in a field of nine in the Men’s 400 meters at the Middlebury Winter Classic in Vermont,” the Trib reported. “The NCAA allows male athletes to compete as women if they suppress their testosterone levels for a full calendar year. Before that, they compete on mixed teams — with men and women — in the men’s division but not the women’s.”

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      news release published by the small, private New Hampshire-based university celebrated the win:

      In just its seventh year of existence, the Franklin Pierce University women’s track & field team has its first national champion. Senior CeCe Telfer (Lebanon, N.H.) took control of the 400-meter hurdles down the back stretch on Saturday night and went on to post victory by more than a second, in a personal collegiate-best time of 57.53 seconds. Telfer also added All-America First Team accolades in the 100-meter hurdles earlier in the day, on the third and final day of the NCAA Championships, hosted by Texas A&M-Kingsville, at Javelina Stadium.

      Telfer is the first student-athlete in Franklin Pierce history to collect an individual national title. It marks the seventh NCAA national championship overall in the history of the University, with all the previous crowns coming on the soccer field. …

      Earlier in the day, Telfer also earned All-America First Team honors in the 100-meter hurdles, with a fifth-place finish. Running out of lane 7, she crossed the line at 13.56 seconds, just one half-second behind the winner. Pittsburg State senior Courtney Nelson, who had been the top qualifier out of Friday’s preliminary heats, took home the national title in 13.06 seconds. San Francisco State junior Monisha Lewis followed in second (13.29), while Minnesota-Duluth senior Danielle Kohlwey took third (13.31). Lindenwood senior Erin Hodge narrowly edged Telfer at the line for fourth place, with a time of 13.47 seconds.

      Read the university’s press release and the Trib article.

      h/t: Instapundit

    • Navy Denies Tarping USS McCain For Trump; WaPo Doubles Down

      Update 4CNBC has obtained the purported email which reads in part: “USS John McCain needs to be out of sight.” 

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      Update 3: The plot thickens as the Navy’s Chief of Information denies that the USS John McCain was obscured during President Trump’s visit (and explains that the images used by the media are from the day before the president’s visit)…

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      However, we do note that the Twitter account used to provide this info was last used in 2014 which raised an eyebrow, and furthermore, The Washington Post refuses to let the story go, claiming that administration officials, anonymously sourced of course, have confirmed WSJ’s version of the story, that a request was made to make sure the USS John McCain wasn’t visible, but WaPo admits that aides confirm that President Trump wasn’t involved in the request (but WaPo adds that the request was made to prevent any potential ire from Trump.)

      *  *  *

      Update 2: In an even more clear rejection of the fake news from the ‘source’ used by WSJ (and ‘confirmed’ by WaPo), one serviceman speaks up…I served on the McCain for 2 years. This ship is currently undergoing maintenance, which is why there’s scaffolding and protective sheets around it. Also, the ship is named after Senator McCain’s *father*. This is 100% Fake News.”

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      Update 1: Just minutes after the WSJ story hit, Trump responded with an tweet, thanksing the military service-members for the “spectacular job” they are doing, but denying the WSJ story: “I was not informed about anything having to do with the Navy Ship USS John S. McCain during my recent visit to Japan.”

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      As we detailed earlier, Donald Trump’s vendetta with John McCain has reportedly crossed over into the afterlife.

      Ahead of Trump’s visit to Japan this past weekend, the White House asked the U.S. Navy to move “out of sight” a warship named for the late Senator John McCain, the WSJ reported citing according to an email reviewed by The Wall Street Journal.

      The email dated May 15 to Navy and Air Force officials, outlined plans for the president’s arrival and included instructions for the proper landing areas for helicopters and preparation for the USS Wasp – where Trump was scheduled to speak – the official issued a third directive: “USS John McCain needs to be out of sight” the email said. “Please confirm #3 will be satisfied.

      The ship has been stationed at the Yokosuka Naval Base near the USS Wasp, where Trump delivered Memorial Day remarks and visited U.S. officers.

      As the WSJ adds, acting Defense Secretary Pat Shanahan was aware of the concern about the presence of the USS John McCain in Japan and approved measures to ensure it didn’t interfere with the president’s visit, a U.S. official said.

      When a Navy commander expressed surprise about the directive for the USS John McCain, the U.S. Indo-Pacific Command official replied: “First I heard of it as well.” He said he would work with the White House Military Office to obtain more information about the order.

      Before Trump’s address, a tarp was hung over the USS John McCain’s name and sailors were reportedly directed to remove any coverings that showed the ship’s name. A barge was also reportedly moved near the ship to make it harder to see its name from the USS Wasp.

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      A tarp obscures the name of the USS John McCain ahead of President Trump’s visit to Japan.

      The animosity between Trump and John McCain, and even his name, was so great that the sailors on the ship, who normally wear caps with its name, were given the day off when Trump gave his address.

      Speaking to the roughly 800 military men and women, some of whom wore “Make Aircrew Great Again” patches with a likeness of the president on their jumpsuits, Mr. Trump said he was joined by sailors from six other ships. He made no mention of the USS John McCain.

      Trump also visited two military outfits to cap off his weekend trip to Japan. The president then met with U.S. troops aboard the USS Wasp, where he wished them a “very happy Memorial Day.”  As we reported previously, over the course of his 30-minute visit, Trump critiqued plans to change the design of some aircraft carriers’ catapults, recounted his trip to Japan and praised those aboard for their service.

      The White House declined to answer questions about the reason for the directive or where it originated. The White House Military Office provides support for presidential travel, among other matters.

      In July 2018, a month before the death of McCain’s – who feuded repeatedly with Trump in his last years – the Secretary of the Navy Richard Spencer formally added McCain as a namesake of the USS John McCain, which had been named for his father and grandfather after it launched in 1994. McCain said at the time that he was “deeply honored.”

      In August 2017, the USS John McCain collided with a merchant vessel, killing 10 sailors and tearing a hole in the left rear side of the destroyer. Trump, asked about the collision at the time, told reporters: “That’s too bad.” He later tweeted that his thoughts and prayers were with the sailors aboard the ship.

    • Bilderberg 2019 Meeting Details Revealed: Stacey Abrams, Jared Kushner To Attend

      Authored by Robert Wenzel via Target Liberty,

      The 67th Bilderberg Meeting will take place from May 30 to June 2, 2019 in Montreux, Switzerland, the group has just announced.

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      It is believed that the announcement was made only days before the meeting to make it as difficult as possible for protesters and independent journalists to make it to the event.

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      Here are the details.

      The annual Bilderberg Meeting is a three-day forum for informal discussions, between global insiders.  Every year, approx. 130 political leaders and experts from industry, finance, labour, academia and the media comprise the group. About two-thirds of the participants come from Europe and the rest from North America (But Asia can come up on the agenda though Asia-based leaders and experts are not invited–see below).

      The first Meeting took place at the Hotel De Bilderberg in Oosterbeek, The Netherlands, from May 29 to 31 1954. Thus, the name.

      The Meetings are held under the Chatham House Rule, which states that participants are free to use the information received, but neither the identity nor the affiliation of the speaker(s) nor of any other participant may be revealed.

      According to the group, this is this year’s agenda:

      1. A Stable Strategic Order

      2. What Next for Europe?

      3. Climate Change and Sustainability

      4. China

      5. Russia

      6. The Future of Capitalism

      7. Brexit

      8. The Ethics of Artificial Intelligence

      9. The Weaponisation of Social Media

      10. The Importance of Space

      11. Cyber Threats

      As can be seen, the members will be discussing (plotting?) with regard to issues of the day that seem to be moving in a direction away from freedom.

      You don’t have topics such as “The Weaponisation of Social Media” and “What Next for Europe?” unless you have, or are looking for, solutions to the “problems,” solutions that are unlikely to be moving in the direction of freedom.

      The lead topic, “A Stable Strategic Order” is also a tell.

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      The group has released these names as this year’s participants (my highlights).

      BOARD

      Castries, Henri de (FRA), Chairman, Steering Committee; Chairman, Institut Montaigne
      Kravis, Marie-Josée (USA), President, American Friends of Bilderberg Inc.; Senior Fellow, Hudson Institute
      Halberstadt, Victor (NLD), Chairman Foundation Bilderberg Meetings; Professor of Economics, Leiden University
      Achleitner, Paul M. (DEU), Treasurer Foundation Bilderberg Meetings; Chairman Supervisory Board, Deutsche Bank AG

      PARTICIPANTS

      Abrams, Stacey (USA), Founder and Chair, Fair Fight
      Adonis, Andrew (GBR), Member, House of Lords
      Albers, Isabel (BEL), Editorial Director, De Tijd / L’Echo
      Altman, Roger C. (USA), Founder and Senior Chairman, Evercore
      Arbour, Louise (CAN), Senior Counsel, Borden Ladner Gervais LLP
      Arrimadas, Inés (ESP), Party Leader, Ciudadanos
      Azoulay, Audrey (INT), Director-General, UNESCO
      Baker, James H. (USA), Director, Office of Net Assessment, Office of the Secretary of Defense
      Balta, Evren (TUR), Associate Professor of Political Science, Özyegin University
      Barbizet, Patricia (FRA), Chairwoman and CEO, Temaris & Associés
      Barbot, Estela (PRT), Member of the Board and Audit Committee, REN (Redes Energéticas Nacionais)
      Barroso, José Manuel (PRT), Chairman, Goldman Sachs International; Former President, European Commission
      Barton, Dominic (CAN), Senior Partner and former Global Managing Partner, McKinsey & Company
      Beaune, Clément (FRA), Adviser Europe and G20, Office of the President of the Republic of France
      Boos, Hans-Christian (DEU), CEO and Founder, Arago GmbH
      Bostrom, Nick (UK), Director, Future of Humanity Institute, Oxford University
      Botín, Ana P. (ESP), Group Executive Chair, Banco Santander
      Brandtzæg, Svein Richard (NOR), Chairman, Norwegian University of Science and Technology
      Brende, Børge (NOR), President, World Economic Forum
      Buberl, Thomas (FRA), CEO, AXA
      Buitenweg, Kathalijne (NLD), MP, Green Party
      Caine, Patrice (FRA), Chairman and CEO, Thales Group
      Carney, Mark J. (GBR), Governor, Bank of England
      Casado, Pablo (ESP), President, Partido Popular
      Ceviköz, Ahmet Ünal (TUR), MP, Republican People’s Party (CHP)
      Champagne, François Philippe (CAN), Minister of Infrastructure and Communities
      Cohen, Jared (USA), Founder and CEO, Jigsaw, Alphabet Inc.
      Croiset van Uchelen, Arnold (NLD), Partner, Allen & Overy LLP
      Daniels, Matthew (USA), New space and technology projects, Office of the Secretary of Defense
      Davignon, Etienne (BEL), Minister of State
      Demiralp, Selva (TUR), Professor of Economics, Koç University
      Donohoe, Paschal (IRL), Minister for Finance, Public Expenditure and Reform
      Döpfner, Mathias (DEU), Chairman and CEO, Axel Springer SE
      Ellis, James O. (USA), Chairman, Users’ Advisory Group, National Space Council
      Feltri, Stefano (ITA), Deputy Editor-in-Chief, Il Fatto Quotidiano
      Ferguson, Niall (USA), Milbank Family Senior Fellow, Hoover Institution, Stanford University
      Findsen, Lars (DNK), Director, Danish Defence Intelligence Service
      Fleming, Jeremy (GBR), Director, British Government Communications Headquarters
      Garton Ash, Timothy (GBR), Professor of European Studies, Oxford University
      Gnodde, Richard J. (IRL), CEO, Goldman Sachs International
      Godement, François (FRA), Senior Adviser for Asia, Institut Montaigne
      Grant, Adam M. (USA), Saul P. Steinberg Professor of Management, The Wharton School, University of Pennsylvania
      Gruber, Lilli (ITA), Editor-in-Chief and Anchor “Otto e mezzo”, La7 TV
      Hanappi-Egger, Edeltraud (AUT), Rector, Vienna University of Economics and Business
      Hedegaard, Connie (DNK), Chair, KR Foundation; Former European Commissioner
      Henry, Mary Kay (USA), International President, Service Employees International Union
      Hirayama, Martina (CHE), State Secretary for Education, Research and Innovation
      Hobson, Mellody (USA), President, Ariel Investments LLC
      Hoffman, Reid (USA), Co-Founder, LinkedIn; Partner, Greylock Partners
      Hoffmann, André (CHE), Vice-Chairman, Roche Holding Ltd.
      Jordan, Jr., Vernon E. (USA), Senior Managing Director, Lazard Frères & Co. LLC
      Jost, Sonja (DEU), CEO, DexLeChem
      Kaag, Sigrid (NLD), Minister for Foreign Trade and Development Cooperation
      Karp, Alex (USA), CEO, Palantir Technologies
      Kerameus, Niki K. (GRC), MP; Partner, Kerameus & Partners
      Kissinger, Henry A. (USA), Chairman, Kissinger Associates Inc.
      Koç, Ömer (TUR), Chairman, Koç Holding A.S.
      Kotkin, Stephen (USA), Professor in History and International Affairs, Princeton University
      Kramp-Karrenbauer, Annegret (DEU), Leader, CDU
      Krastev, Ivan (BUL), Chairman, Centre for Liberal Strategies
      Kravis, Henry R. (USA), Co-Chairman and Co-CEO, Kohlberg Kravis Roberts & Co.
      Kristersson, Ulf (SWE), Leader of the Moderate Party
      Kudelski, André (CHE), Chairman and CEO, Kudelski Group
      Kushner, Jared (USA), Senior Advisor to the President, The White House
      Le Maire, Bruno (FRA), Minister of Finance
      Leyen, Ursula von der (DEU), Federal Minster of Defence
      Leysen, Thomas (BEL), Chairman, KBC Group and Umicore
      Liikanen, Erkki (FIN), Chairman, IFRS Trustees; Helsinki Graduate School of Economics
      Lund, Helge (GBR), Chairman, BP plc; Chairman, Novo Nordisk AS
      Maurer, Ueli (CHE), President of the Swiss Federation and Federal Councillor of Finance
      Mazur, Sara (SWE), Director, Investor AB
      McArdle, Megan (USA), Columnist, The Washington Post
      McCaskill, Claire (USA), Former Senator; Analyst, NBC News
      Medina, Fernando (PRT), Mayor of Lisbon
      Micklethwait, John (USA), Editor-in-Chief, Bloomberg LP
      Minton Beddoes, Zanny (GBR), Editor-in-Chief, The Economist
      Monzón, Javier (ESP), Chairman, PRISA
      Mundie, Craig J. (USA), President, Mundie & Associates
      Nadella, Satya (USA), CEO, Microsoft
      Netherlands, His Majesty the King of the (NLD)
      Nora, Dominique (FRA), Managing Editor, L’Obs
      O’Leary, Michael (IRL), CEO, Ryanair D.A.C.
      Pagoulatos, George (GRC), Vice-President of ELIAMEP, Professor; Athens University of Economics
      Papalexopoulos, Dimitri (GRC), CEO, TITAN Cement Company S.A.
      Petraeus, David H. (USA), Chairman, KKR Global Institute
      Pienkowska, Jolanta (POL), Anchor woman, journalist
      Pottinger, Matthew (USA), Senior Director, National Security Council
      Pouyanné, Patrick (FRA), Chairman and CEO, Total S.A.
      Ratas, Jüri (EST), Prime Minister
      Renzi, Matteo (ITA), Former Prime Minister; Senator, Senate of the Italian Republic
      Rockström, Johan (SWE), Director, Potsdam Institute for Climate Impact Research
      Rubin, Robert E. (USA), Co-Chairman Emeritus, Council on Foreign Relations; Former Treasury Secretary
      Rutte, Mark (NLD), Prime Minister
      Sabia, Michael (CAN), President and CEO, Caisse de dépôt et placement du Québec
      Sanger, David E. (USA), National Security Correspondent, The New York Times
      Sarts, Janis (INT), Director, NATO StratCom Centre of Excellence
      Sawers, John (GBR), Executive Chairman, Newbridge Advisory
      Schadlow, Nadia (USA), Senior Fellow, Hudson Institute
      Schmidt, Eric E. (USA), Technical Advisor, Alphabet Inc.
      Scholten, Rudolf (AUT), President, Bruno Kreisky Forum for International Dialogue
      Seres, Silvija (NOR), Independent Investor
      Shafik, Minouche (GBR), Director, The London School of Economics and Political Science
      Sikorski, Radoslaw (POL), MP, European Parliament
      Singer, Peter Warren (USA), Strategist, New America
      Sitti, Metin (TUR), Professor, Koç University; Director, Max Planck Institute for Intelligent Systems
      Snyder, Timothy (USA), Richard C. Levin Professor of History, Yale University
      Solhjell, Bård Vegar (NOR), CEO, WWF – Norway
      Stoltenberg, Jens (INT), Secretary General, NATO
      Suleyman, Mustafa (GBR), Co-Founder, Deepmind
      Supino, Pietro (CHE), Publisher and Chairman, Tamedia Group
      Teuteberg, Linda (DEU), General Secretary, Free Democratic Party
      Thiam, Tidjane (CHE), CEO, Credit Suisse Group AG
      Thiel, Peter (USA), President, Thiel Capital
      Trzaskowski, Rafal (POL), Mayor of Warsaw
      Tucker, Mark (GBR), Group Chairman, HSBC Holding plc
      Tugendhat, Tom (GBR), MP, Conservative Party
      Turpin, Matthew (USA), Director for China, National Security Council
      Uhl, Jessica (NLD), CFO and Executive Director, Royal Dutch Shell plc
      Vestergaard Knudsen, Ulrik (DNK), Deputy Secretary-General, OECD
      Walker, Darren (USA), President, Ford Foundation
      Wallenberg, Marcus (SWE), Chairman, Skandinaviska Enskilda Banken AB
      Wolf, Martin H. (GBR), Chief Economics Commentator, Financial Times
      Zeiler, Gerhard (AUT), Chief Revenue Officer, WarnerMedia
      Zetsche, Dieter (DEU), Former Chairman, Daimler AG

      *  *  *

    • Japan Is About To Sell Its First Ever Junk Bond… With A 1% Coupon

      While corporate bond yields have been plumbing ever lower lows in the yield-starved “New Normal”, prompting even the world’s largest bond fund Pimco to warn that this is the riskiest credit market ever, Japan is about to deliver the proverbial “hold my beer” moment to the entire world. 

      Aiful, the consumer lender which almost went bankrupt a decade ago, is preparing to sell Japan’s first ever yen-denominated “high yield” – and in this case we use the term very, very loosely – in the public markets, showing how desperate for yield local investors are, and how much risk they are willing to take in exchange for virtually no return, as negative interest rates have now become the new normal.

      What is most remarkable about the bond sale in the country where the 10Y yield has been trading mostly in negative territory for over half a decade, is that the 18 month yen junk bond is set to price on Friday with a coupon of, wait for it, 1%.

      Another unique aspect of the upcoming issuance is that it is taking place in the first place. As Bloomberg notes, the junk bond offering will be historic for Japan’s bond market, where companies haven’t felt compelled to sell below investment grade notes as they’ve traditionally had close ties with banks, who tend to be more forgiving than bondholders in tough times.

      While few expect the offering to trigger an avalanche of junk bond issuance in conservative Japan, recent regulatory changes have raised the possibility that the country could eventually develop such a market.

      One reason is that the world’s largest state-run pension fund, the Government Pension Investment Fund, revised guidelines last year to push its return envelope, allowing it to buy yen bonds with ratings of BB or lower. As such it will likely be a beacon for Japanese debt investors, who are traditionally quite conservative, have only been slowly buying more bonds rated BBB in the past few years.

      Why Aiful? According to Kinya Numata, a manager in the company’s finance department, the easing in investment criteria, together with an improvement in Aiful’s own ratings, helped pave the way for the offering, The company intends to use the proceeds from the planned bond sale for its lending business, he said.

      Japan Credit Rating Agency raised Aiful’s credit rating two levels to BB with a positive outlook in November, citing expectations that the company will be able to generate stable profits in the future as interest repayment claims decline. In other words Aiful was a C credit roughly half a year ago. Even more striking is that the company – which is neither a unicorn, nor “growthy” – recorded a profit for the first time in a decade in March.

      And this company, which may or may not have a sustained positive cash flow is about to add billions in new debt at the coast of 1%. If only US shale drillers could get them some of this “high yield” Japanese debt, then the entire world would be floating in oil right now.

      As for Aiful’s management, the bond offering comes as a modest consolation prize for over a decade of misery. Japanese consumer lenders have been under siege since 2006, when a Supreme Court ruling ordered moneylenders to repay exorbitant interest charges on loans, and lawmakers capped how much they could charge.

      And now that Japan’s lowest rated companies have discovered the holy grail to keep corporate zombies “alive” a few extra quarters, how long until all of Japan is swimming under an ocean of 1%-yielding junk bonds, extending the NIRP misery of the New Normal even longer.

      One final thought: imagine what Michael Milken could have done if US junk bond yields in the 1980s were 1%…

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    Today’s News 29th May 2019

    • London Somalis Sending Teens Back To Africa To Escape Stabbings

      Hundreds of British Muslims of Somali descent are sending their teenage children back to East Africa in order to avoid injury or death via stabbing, according to the BBC

      London has experienced 51 stabbing deaths in 2019, while the UK overall has seen 100. According to the report, 8% of victims have been of Somali heritage. 

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      Via the Daily Mail

      The Somali teens, meanwhile, say that they feel much safer in Africa despite the UK’s Foreign and Commonwealth office advising citizens against traveling to Somalia, as well as threats of terrorism across Kenya (It probably helps if one is a practicing Muslim). Somalia was named the 13th most dangerous country in the world last year by the Foreign Office. 

      The BBC‘s Victoria Derbyshire interviewed one Somali mother, Amina, who told the network how her 15-year-old son was stabbed four times, just 17 days after his year-long stay in Somalia. 

      “They damaged his bladder, his kidneys, his liver. He’s got permanent damage,” she said, adding “He was safer there [in Somaliland] than he was here, 100 per cent more safe than in London.”

      According to Islington mayor Rakhia Ismail – a Somali immigrant to London and mother of four – some areas of the city are not safe for young people. She estimates that 40% of UK Somali families are taking their children back home

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      Dr Fatumo Abdi – a mother of Somali origin – said parents were struggling to know how to react to knife crime.

      “This is not something they’ve encountered before. But we know living here in Britain, the context is Britain. This is a British problem and it’s a problem that we’ve fallen into.

      “It’s not the answer but these are desperate parents.”

      She believes poverty, inequality and exposure to violence are big factors as to why young people fall into criminality.

      “Our communities are living in very poor disadvantaged areas with poor educational attainment. All these things affect how our children move through the world.” –BBC

      And as the Daily Mail points out, there have been an average of two murders per day in the UK – the highest level in a decade. 

      Somali mentor Jamal Hassan explained to BBC that parents will do anything to protect their children. 

      “If it means that child doesn’t finish school, college, university or he will not have a good job by the time you come for them the future is not really important. What is important is that child’s life.”

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      Via the Daily Mail

      21-year-old ‘Yusuf’, who grew up in London, told Hassan that he moved to Nairobi because he was seeing people getting stabbed “every other day,” adding “There are people in my neighbourhood, someone who I really knew, who lost his life.”

      One mother who sent her child to Africa in a bid to avoid London’s knife crime said she can now sleep at night knowing that the police sirens she hears have nothing to do with her son. 

      London’s latest stabbing comes just two days after a 23-year-old was knifed multiple times in Tower Hamlets at 4.30pm in the afternoon.

      He was the 50th victim so far this year – and it was the eighth murder in the capital this month as Britain struggles to get to grips with a knife epidemic.Daily Mail

       

    • The Welfare State Is Tearing Sweden Apart

      Authored by Jon Nylander via The Mises Institute,

      Swedes do not toil under a Communist yoke. We are thankfully a market oriented society, and particularly in rural areas, Swedes are ruggedly individualistic and responsible citizens. But we do have an enormous welfare state with which to contend — and it poisons our nation much in the same manner that full blown communism would; if perhaps not to the same degree. Doubtlessly; it sets the stage for some rather dystopian developments, both in terms of its steady consumption of productive capabilities — but also in its toxic effects on our culture. On top of this, Sweden has accepted a considerable amount of immigrants (to put it mildly) from cultures that differ wildly from the Swedish. In this text I will take a look at the welfare state through the prism of Sweden’s current multicultural challenge.

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      First and foremost, is multiculturalism a good thing? When multiculturalism emerges through voluntary interactions it is apparently valuable — otherwise it would not occur in a free society as it so often does. Again: in the marketplace there is, over time, the beautiful possibility that the identity of the tribe expands by including, assimilating and adapting to previously unknown things. Adaptation and cultural appropriation by means of voluntary associations cannot be a bad thing! But in such a situation; isn’t multiculturalism a misnomer? I would rather call it an emergent convergence towards a shared culture, in a pace that participants set. All in all: a desirable thing, especially compared to the alternatives.

      Forced multiculturalism, on the other hand, increases polarisation and tribalism along the most basic, and most easily recognised dividing lines. In times of flux; easily distinguishable traits tend to become elevated and adored, uplifted to a place of high honour. They become a substitute for truly shared cultural values and norms, which under healthy circumstances are necessary for cooperation. In times of rapid and involuntary change; they become a superficial false bulwark against the unknown. Instead of engaging in market opportunities across divides, we tend to spend time fortifying our positions. Craving security, we start leaning towards the totalitarianism of simplistic purism.

      Forced associations, such as outright invasion and conquest, will fuel embitterment and conflicts along cultural/ethnic lines and maybe even usher in the rebirth of old conflicts. The welfare state is another type of attack vector in the a matrix of forced associations — it merely has different particular properties. The end result is the same: people that do not wish to tango are forced to jot each other down for the next dance.

      Spontaneously emergent cultural change through win-win situations on the one hand, and forced associations on the other, are two radically different ways in which societies evolve. These mechanics often overlap in history. In any given situation it may be hard to untangle which has primacy.

      When a welfare state offers upkeep and support to large quantities of people from cultures that differ enormously from the predominant culture, despite the wishes of the current residents — we have a clear cut case of forced association — a powderkeg that inevitably will get packed with resentment. People who would like nothing better than for the whole thing to blow up will inevitably start to congregate, with torches at the ready. Cultural homogeneity to some degree smooths over and props up the inherent fault lines that ripple underneath any redistributive scheme, while cultural heterogeneity rapidly exposes fissures. Why is this exactly?

      E Pluribus Unum

      In his 2007 study “E Pluribus Unum: Diversity and Community in the Twenty-first Century,liberal Harvard sociologist Robert D. Putnam showed that there is an inescapable correlation between diversity and social distrust. He also concludes that racism seems to have very little to do with it. He shows that people living in multi-facetted communities tend to distrust their neighbors, regardless of their skin colour, and that they tend to pull back from even close friends. They expect the worst from society and its leaders. They volunteer less, give less to charity, vote less and agitate more for social reforms – but have less faith in any positive outcomes from those reforms. People living in ethnically or culturally diverse areas appear to retract, like turtles into their shells..

      Putnam himself appears to be no great fan of his own findings, and his study is replete with well-tempered and stringent attempts to poke holes in his own conclusions. But no, multiculturalism seems to have an unbending negative impact on civil society.

      That a Harvard Professor needs to spend years to reach such an obvious conclusion is baffling. In homogenous communities, there is more trust and more social capital. People who share language, tradition, religion, institutions and history can cooperate more easily and work through disputes without resorting to violence or furtively eyeing the categorical abilities of the state.

      People who do not share language, tradition, religion, institutions and history have a harder time cooperating and finding trust. Is this not self-evident? One would have to marinate for a very long time in some potent reality denying ideological soup in order to be able to reach any other conclusion. There is no need to invoke racism as an explanation whatsoever.

      In his study, Putnam also speaks warmly for the end-game: that multicultural communities can bridge fragmentation by embracing new social norms and broader identities. I can only agree. Humans have to do this, because we live in this world together. And when we do expand the notion of “us” voluntarily, over time, we tend to be relatively successful at it.

      Putnam uses the examples of the early migrations into the United States. Irish-Americans and Italian-Americans for example, are no longer at each other’s throats. These groups suffered friction between themselves, and towards the ruling WASP-culture despite sharing skin colour and most religious sentiments. Putnam puts forward the notion that if groups can bridge their differences, the self evident good of diversity will start to shine. I am unconvinced. Again yes; humanity has bridged cultural and ethnic divides many times in history, and this is certainly better than outright conflict — but is “diversity” really a self evident good in of itself? How so?

      The progressive penchant for the inherent strength of diversity is entirely unconvincing. What does a slogan such as “diversity is strength” mean exactly? Is it any truer than “unity is strength”? These two statements look roughly the same to me in some fundamental way: they are equally scary. Neither “diversity” nor “unity” can be strengths in any universally true way, any such conclusion would have to depend on the component parts of any given situation. It would also depend on how you define strength, and diversity, and unity. Clear definitions are paramount when trying to reach truth.

      Would it not be preferable to aim for a culture which is capable of discriminating against bad ideas, and open to adapting to good ideas — as negotiated through free speech and voluntary association? Would not such a culture be desirable to build and maintain? A culture which is capable of change towards the better, sometimes due to contact with other cultures, would indeed be strong.

      Diversity zealots however seem to believe that all it takes in order to reach the utopia of good intentions is to cram all manner of people together on a rainbow road of love and (severely bounded) tolerance. Together (and with implicit bias training) we shall prevail against the hate! This is nuts.

      In contemporary discourse, the US and especially New York are put forward as successful cultural and ethnic melting pots. There is a lot to that sentiment which is perfectly true. But to the degree that New York has been successful, it has not been thanks to simply mashing people together willy-nilly and then forcing them to like each other. People who came to the US had no choice but to bite the bullet and attempt to contribute with something of value. Even this did not take place without friction and conflict (often via labour unions and political shenanigans) but in the end cultural appropriation occurred and above all: assimilation to the predominant culture — not the other way around.

      There were still cultural clashes, and these were solved, or at least mitigated over time, because people were not explicitly forced to interact or to contribute to each other’s upkeeps. There was definitely enclavisation and segregation, many times voluntarily so, but always coupled with ample opportunity for people to willingly and voluntarily approach one another, given time and for reasons of self-interest. At least in the long run people became adherents to one overarching American culture. Voila: peace.

      With a welfare state as a punching bag between groups however, cultural divides become much harder to bridge. Large scale immigration will always be culturally demanding, even when there is access to market mechanism to bridge cultural differences. But the welfare state largely nullifies such avenues.

      1. The attractive welfare state lures non-productive economical migration, deters labour-market entry for migrants who do want to contribute, and cements welfare dependency. Beyond cultural effects, we therefore must add resentment fueled by the predominant culture having no choice but to fund absolute strangers.

      2. While not specifically related to the welfare state; minimum wage requirements and other protectionistic union regulations exacerbate this mechanic. In Sweden, hardly a day goes by without some enterprising tax-paying immigrant getting a deportation notice because of having “taken too few vacation days,” or having “accepted too low a salary.” Yes, migration authorities actively enforce union edicts! In the face of this, who can blame a migrant who simply decides to play it safe and remain on welfare?

      3. In Sweden, the welfare state is enormous and encompasses everything; from a plethora of transfer payments, to schools (including university), and health care. There is literally no way of escaping its grasp if you wish a lead a semblance of a normal life.

      When a welfare state subsidies migration we get a direct burden on existing net taxpayers, who tend to be ethnically and culturally Swedish, above and beyond the burden already imposed by native welfare-recipients and rent-seekers. The added demand for already strained welfare services from new — perceivably alien groups who perhaps have never “contributed to the system” — makes it obvious that any welfare withdrawals for people who may have tilled the soil for generations, are severely discounted. People are inclined to have an opinion in this matter, and do not necessarily deserve to be labeled racist for daring to utter it.

      Sweden’s rampant welfare state is sick to the core. And it must therefore be questioned to its core, perhaps even allowed to perish. It isn’t immigrants on welfare that should be crushed; although certainly a lot of welfare recipients and rent-seekers, among them immigrants, would have a hard time during a transition before they can find productive roles in civil society, and will have to leave on their own accord. This is a crying shame – but Swedes have chosen the welfare state for everyone and therefore ultimately: no-one. Combined with euphoric virtue signalling it has been shown to have a profoundly detrimental effect to the fabric of civil society. And now we must pay the price, one way or the other.

      These dynamics are playing out with full force in Sweden today — and it is heartbreaking to watch.

    • Iran, Iraq, & The Axis Of Sanity

      Authored by Brett Redmayne-Titley via Off-Guardian.org,

      No other country in the Middle East is as important in countering America’s rush to provide Israel with another war than Iraq. Fortunately for Iran, the winds of change in Iraq and the many other local countries under similar threat, thus, make up an unbroken chain of border to border support. This support is only in part due to sympathy for Iran and its plight against the latest bluster by the Zio-American bully.

      In the politics of the Middle East, however, money is at the heart of all matters. As such, this ring of defensive nations is collectively and quickly shifting towards the new Russo/ Sino sphere of economic influence. These countries now form a geo-political defensive perimeter that, with Iraq entering the fold, make a US ground war virtually impossible and an air war very restricted in opportunity.

      If Iraq holds, there will be no war in Iran.

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      In the last two months, Iraq parliamentarians have been exceptionally vocal in their calls for all foreign military forces- particularly US forces- to leave immediately. Politicians from both blocs of Iraq’s divided parliament called for a vote to expel US troops and promised to schedule an extraordinary session to debate the matter. “Parliament must clearly and urgently express its view about the ongoing American violations of Iraqi sovereignty,” said Salam al-Shimiri, a lawmaker loyal to the populist cleric Moqtada al-Sadr.

      Iraq’s ambassador to Moscow, Haidar Mansour Hadi, went further saying that Iraq “does not want a new devastating war in the region.” He told a press conference in Moscow this past week, “Iraq is a sovereign nation. We will not let [the US] use our territory,” he said. Other comments by Iraqi Prime Minister Adil Abdul-Mahdi agreed. Other MPs called for a timetable for complete US troop withdrawal.

      Then a motion was introduced demanding war reparations from the US and Israel for using internationally banned weapons while destroying Iraq for seventeen years and somehow failing to find those “weapons of mass destruction.”

      As Iraq/ Iran economic ties continue to strengthen, with Iraq recently signing on for billions of cubic meters of Iranian natural gas, the shift towards Russian influence– an influence that prefers peace- was certified as Iraq sent a delegation to Moscow to negotiate the purchase of the Russian S-400 anti-aircraft system.

      To this massive show of pending democracy and rapidly rising Iraqi nationalism, US Army spokesman, Colonel Ryan Dillon, provided the kind of delusion only the Zio-American military is known for, saying,

      Our continued presence in Iraq will be conditions-based, proportional to need, in coordination with and by the approval of the Iraqi government.”

      Good luck with that.

      US influence in Iraq came to a possible conclusion this past Saturday, May 18, 2019, when it was reported that the Iraqi parliament would vote on a bill compelling the invaders to leave. Speaking about the vote on the draft bill, Karim Alivi, a member of the Iraqi parliament’s national security and defense committee, said on Thursday that the country’s two biggest parliamentary factions — the Sairoon bloc, led by Shia cleric Muqtada al-Sadr, and the Fatah alliance, headed by secretary general of the Badr Organization, Hadi al-Ameri — supported the bill.

      Strangely, Saturday’s result has not made it to the media as yet, and American meddling would be a safe guess as to the delay, but the fact that this bill would certainly have passed strongly shows that Iraq well understands the weakness of the American bully: Iraq’s own US militarily imposed democracy.

      Iraq shares a common border with Iran that the US must have for any ground war. Both countries also share a similar religious demographic where Shia is predominant and the plurality of cultures substantially similar and previously living in harmony. Both also share a very deep seeded and deserved hatred of Zio- America. Muqtada al-Sadr, who, after coming out first in the 2018 Iraqi elections, is similar to Hizbullah’s Hassan Nasrallah in his religious and military influence within the well trained and various Shia militias. He is firmly aligned with Iran as is Fattah Alliance. Both detest Zio- America.

      A ground invasion needs a common and safe border. Without Iraq, this strategic problem for US forces becomes complete. The other countries also with borders with Iran are Armenia, Azerbaijan, Turkmenistan, Turkey, Afghanistan and Pakistan. All have several good reasons that they will not, or cannot, be used for ground forces.

      With former Armenian President Robert Kocharian under arrest in the aftermath of the massive anti-government 2018 protests, Bolton can check that one off the list first. Azerbaijan is mere months behind the example next door in Armenia, with protests increasing and indicating a change towards eastern winds. Regardless, Azerbaijan, like Turkmenistan, is an oil producing nation and as such is firmly aligned economically with Russia. Political allegiance seems obvious since US influence is limited in all three countries to blindly ignoring the massive additional corruption and human rights violations by Presidents Ilham Aliyev and Gurbanguly Berdimuhamedow.

      However, Russian economic influence pays in cash. Oil under Russian control is the lifeblood of both of these countries. Recent developments and new international contracts with Russia clearly show whom these leaders are actually listening to.

      Turkey would appear to be firmly shifting into Russian influence. A NATO member in name only. Ever since he shot down his first- and last- Russian fighter jet, Turkish president Recep Tayyip Erdogan has thumbed his nose at the Americans. Recently he refused to succumb to pressure and will receive Iranian oil and, in July, the Russian S-400 anti-aircraft/missile system. This is important since there is zero chance Putin will relinquish command and control or see them missiles used against Russian armaments. Now, Erdogan is considering replacing his purchase of thirty US F-35s with the far superior Russian SU- 57 and a few S-500s for good measure.

      Economically, America did all it could to stop the Turk Stream gas pipeline installed by Russia’s Gazprom, that runs through Turkey to eastern Europe and will provide $billions to Erdogan and Turkey. It will commence operation this year. Erdogan continues to purchase Iranian oil and to call for Arab nations to come together against US invasion in Iran. This week, Turkish Defense Minister Hulusi Akar renewed Turkey’s resolve, saying his country is preparing for potential American sanctions as a deadline reportedly set by the US for Ankara to cancel the S-400 arms deal with Russia or face penalties draws near.

      So, Turkey is out for both a ground war and an air war since the effectiveness of all those S-400’s might be put to good use if America was to launch from naval positions in the Mediterranean. Attacking from the Black Sea is out since it is ringed by countries under Russo/ Sino influence and any attack on Iran will have to illegally cross national airspace aligned with countries preferring the Russo/ Sino alliance that favours peace. An unprovoked attack would leave the US fleet surrounded with the only safe harbours in Romania and Ukraine. Ships move much slower than missiles.

      Afghanistan is out, as the Taliban are winning. Considering recent peace talks from which they walked out and next slaughtered a police station near the western border with Iran, they have already won. Add the difficult terrain near the Iranian border and a ground invasion is very unlikely

      Although new Pakistani President Imran Khan has all the power and authority of a primary school crossing guard, the real power within the Pakistani military, the ISI, is more than tired of American influence. ISI has propagated the Taliban for years and often gave refuge to Afghan anti-US forces allowing them to use their common border for cover. Although in the past ISI has been utterly mercenary in its very duplicitous- at least- foreign allegiances, after a decade of US drone strikes on innocent Pakistanis, the chance of ground-based forces being allowed is very doubtful. Like Afghanistan terrain also increases this unlikelihood.

      Considerations as to terrain and location for a ground war and the resulting failure of not doing so was shown to Israel previously when, in 2006 Hizbullah virtually obliterated its ground attack, heavy armour and battle tanks in the hills of southern Lebanon. In further cautionary detail, this failure cost PM Ehud Olmert his job.

      For the Russo/Sino pact nations, or those leaning in their direction, the definition of national foreign interest is no longer military, it is economic. Those with resources and therefore bright futures within the expanding philosophy and economic offerings of the Russo/ Sino pact have little use any longer for the “Sorrows of Empire.” These nation’s leaders, if nothing more than to line their own pockets, have had a very natural epiphany: War…is not, for them, profitable.

      For Iran, the geographic, economic and therefore geo-political ring of defensive nations is made complete by Syria, Lebanon and Iraq. Syria, like Iraq, has every reason to despise the Americans and similar reasons to embrace Iran, Russia, China and border neighbour Lebanon. Syria now has its own Russian S-300 system which is already bringing down Israeli missiles. It is surprising that Lebanon has not requested a few S-300s of their own.

      No one knows what Hizbullah has up its sleeve, but it has been enough to keep the Israelis at bay. Combined with a currently more prepared Lebanese army, Lebanon under the direction of Nasrallah is a formidable nation for its size. Ask Israel.

      Lebanon and Syria also take away the chance of a ground-based attack, leaving the US Marines and Army to stare longingly across the Persian Gulf open waters from Saudi Arabia or one of its too few and militarily insignificant allies in the southern Gulf region.

      Friendly airspace will also be vastly limited, so also gone will be the tactical element of surprise of any incoming attack. The reality of this defensive ring of nations means that US military options will be severely limited. The lack of a ground invasion threat and the element of surprise will allow Iranian defences to prioritize and therefore be dramatically more effective. As shown in a previous article, The Return of the Madness of M.A.D, Iran like Russia and China, after forty years of US/ Israeli threats, has developed new weapons and military capabilities, that combined with tactics will make any direct aggression towards it by American forces a fair fight.

      If the US launches a war it will go it alone except for the few remaining US lapdogs like the UK, France, Germany and Australia, but with anti-US emotions running as wild across the EU as in the southern Caspian nations, the support of these Zionist influenced EU leaders is not necessarily guaranteed.

      Regardless, a lengthy public ramp-up to stage military assets for an attack by the US will be seen by the vast majority of the world- and Iran- as an unprovoked act of war. Certainly at absolute minimum Iran will close the Straits of Hormuz, throwing the price of oil skyrocketing and world economies into very shaky waters. World capitalist leaders will not be happy. Without a friendly landing point for ground troops, the US will either have to abandon this strategy in favour of an air war or see piles of body bags of US servicemen sacrificed to Israeli inspired hegemony come home by the thousands just months before the ’20 primary season. If this is not military and economic suicide, it is certainly political.

      Air war will likely see a similar disaster. With avenues of attack severely restricted, obvious targets such as Iran’s non-military nuclear program and major infrastructure will be thus more easily defended and the likelihood of the deaths of US airmen similarly increased.

      In terms of Naval power, Bolton would have only the Mediterranean as a launch pad, since using the Black Sea to initiate war will see the US fleet virtually surrounded by nations aligned with the Russo/ Sino pact. Naval forces, it should be recalled, are, due to modern anti-ship technologies and weapons, now the sitting ducks of blusterous diplomacy. A hot naval war in the Persian Gulf, like a ground war, will leave a US death toll far worse than the American public has witnessed in their lifetimes and the US navy in tatters.

      Trump is already reportedly seething that his machismo has been tarnished by Bolton and Pompeo’s false assurances of an easy overthrow of Maduro in Venezuela. With too many top generals getting jumpy about him initiating a hot war with Iraq, Bolton’s stock in trade-war is waning. Trump basks in being the American bully personified, but he and his ego will not stand for being exposed as weak. Remaining as president is necessary to stoke his shallow character. When Trump’s limited political intelligence wakes up to the facts that his Zio masters want a war with Iran more than they want him as president, and that these forces can easily replace him with a Biden, Harris, Bernie or Warren political prostitute instead, even America’s marmalade Messiah, will lose the flavor of his master’s blood lust for war.

      In two excellent articles in Asia times by Pepe Escobar, he details the plethora of projects, agreements, and cooperation that are taking place from Asia to the Mid-East to the Baltics. Lead by Russia and China this very quickly developing Russo/ Sino pact of economic opportunity and its intentions of “soft power” collectively spell doom for Zio-America’s only remaining tactics of influence: military intervention. States, Escobar:

      We should know by now that the heart of the 21stCentury Great Game is the myriad layers of the battle between the United States and the partnership of Russia and China. The long game indicates Russia and China will break down language and cultural barriers to lead Eurasian integration against American economic hegemony backed by military might.”

      The remaining civilized world, that which understands the expanding world threat of Zio-America, can rest easy. Under the direction of this new Russo/ Sino influence, without Iraq, the US will not launch a war on Iran.

      This growing Axis of Sanity surrounds Iran geographically and empathetically, but more importantly, economically. This economy, as clearly stated by both Putin and Xi, does not benefit from any further wars of American aggression. In this new allegiance to future riches, it is Russian and China that will call the shots and a shooting war involving their new client nations will not be sanctioned from the top.

      However, to Putin, Xi and this Axis of Sanity: If American wishes to continue to bankrupt itself by ineffective military adventures of Israel’s making, rather than fix its own nation that is in societal decline and desiccated after decades of increasing Zionist control, well…

      That’s just good for business!

    • Army's 'Google Earth On Steroids' Can Look Inside Buildings 

      New mapping technology that is expected to transform training and simulation exercises for America’s warfighters was unveiled at the IEEE Transportation Electrification Conference and Expo (ITEC) 2019 conference on May 15 in Stockholm, Sweden, reported National Defense Magazine

      Jason Knowles, director of geospatial science and technology at the University of Southern California’s Institute for Creative Technologies, an Army affiliated research center, spoke at ITEC about the new terrain capture and reconstruction software that recreates complex environments including cities for simulation exercises and war planning. The institute is part of a cross-functional team working on the mapping software (called One World Terrain (OWT) project).

      Knowles described the new software as “Google Earth on steroid.”

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      At a briefing during ITEC, Knowles showed the audience a picture of an enemy base that was captured and digitally re-created in about an hour using commercial software and a small drone. “We were able to throw that UAS up, capture that in an hour, put it on the laptop, process it, and push it out,” he said.

      “The ability to have an individual or a squad go out, collect their own organic 3D model for ingesting into their modeling and simulation is huge for us,” he said.

      “The interior of buildings are now being fused and snapped inside of that 3D model,” Knowles said. The software can “strip the outside of a building level by level and see what’s inside the building. That’s obviously very useful for operators.”

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      He said the software is linked with GPS data so war planners can organize future real operations.

      The rapid 3D terrain capture and reconstruction system is supported by aerial imagery from satellites and aircraft. For higher resolution, reconnaissance teams can deploy small, handheld drones to collect much higher resolution imagery, he added.

      The software uses machine learning and artificial intelligence for the data merging component to “make the model smart, so it’s not just [identifying objects in] pictures,” he said. For example, it can tell troops if a perimeter wall of an enemy base needs to breached with a vehicle or munition.

      The new mapping software is one of the Army’s top modernization priorities, besides long-range precision missiles, next-generation combat vehicle, future vertical lift, air-and-missile defense, directed energy weapons, next-generation combat rifle, and soldier lethality.

    • Eliminating Free Speech The Smart Way

      Authored by Jeff Thomas via InternationalMan.com,

      Left-wing activists have recently been increasingly active in seeking to limit opposing political viewpoints, in order to create a more ubiquitous “groupthink.” One effort in accomplishing this has been to propose the creation of a “Human Rights Committee” in order to monitor the economic transactions of “white supremacist groups and anti-Islam activists.”

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      This should not be surprising, as, throughout the former Free World, collectivists are, increasingly, coming out of the closet and seeking to eliminate any and all opposition to their cause.

      And this should not, in itself, be alarming, as it should be both predictable and understandable that any politically driven group, be it left-leaning or right-leaning, would seek to gain an advantage over its opposite number.

      What may be a real cause for alarm, however, is that those whom they are trying to rope into their effort are banks and corporations… and that they’re succeeding without a shot being fired.

      It might be hoped that those champions of industry and commerce would at least put up a perfunctory fight, but clearly, this is not the case. They’re not only caving in; they’re entirely on board.

      As an example, MasterCard is considering the selective restriction of individuals from their services and funds. Those individuals would be the ones that held unacceptable political views.

      But they’re not the first in the queue to economically force people to have “correct” views. PayPal and Patreon have barred selected individuals from receiving payments through their services when those individuals have been identified as holding “extreme views.” More alarmingly, they’ve been supported in this decision by the US Securities and Exchange Commission.

      Journalist Ben Swann has commented that this means that the US government has granted “big corporations the ability to control what voices are heard.”

      The reader will already be familiar with the fact that major corporations that are led by liberally aligned executives, such as Facebook, Twitter and Amazon, have already proudly stated that they wish to do their part to freeze out those whose opinions they disagree with.

      Of course, in a free world, the head of a privately held corporation should be free to do business with only those individuals he approves of. Although that might make him discriminating, he should have the right to be discriminating.

      The concern here, though, is that there’s nothing on the horizon that’s aimed at limiting collectivist notions. All the restrictions are being applied to those who are conservative, libertarian, or in fact, anything but collectivist.

      There’s clearly an all-encompassing effort to not only silence non-collectivists in the media (including social media), but to silence them through the loss of economic freedom.

      And the campaign is unfolding dramatically, on many fronts, at the same time. It would not be rash to suggest that, by 2020, it may not be safe for an individual to express any non-collectivist position by that time, for fear of being cut out of the economic structure.

      Back in the early part of the twentieth century, the Bolsheviks did a wonderful job of eliminating the existence of views that opposed collectivism, through the use of concentration camps and execution. Later in the century, the Nazi (abbreviation for Nationalsozialistische, or National Socialist Party) also did a bang-up job of disappearing dissent against their rhetoric.

      But Lenin, Stalin, Hitler and Goebbels would all have their hats off to the new American version of collectivist propaganda, which is not only attacking freedom of speech in the media, but using economic warfare to ensure that, in the future, the only propaganda will be collectivist propaganda.

      This is a tactic these past collectivist leaders would have envied, as the results of economic pressure can be so immediate and permanent.

      And clearly, large banks, corporations and the US government are fully on board.

      This latter fact informs us that the move to a collectivist society in the US is not merely the work of some extremist groups; it is, indeed, the intended “New America.”

      One hundred years ago, the US began a decline into corporatism, with the introduction of the Federal Reserve as the overlord of US banking. Since that time, there has been a steady decline in freedoms in the US, interrupted only by the capitalist boom years that were brought on by World War II.

      And we now see the culmination of that long-sought-after objective. The American public are not only being phased into the fuller conversion to a collectivist society; they’re being forced into it through economic punishment, should they take any other view.

      There can be no question that virtually all of the restrictions of free speech are intended to limit any thought other than collectivist thought.

      But the more important take-away here is that this is not a mere ploy by a political group. It has the support of the financial industry, corporate America and the government (through the US Securities and Exchange Commission).

      This tells us that the Deep State – that collective body that actually rules the US above the political structure – is on board for a conversion of the US into a fully collectivist state.

      This objective should not be surprising, as rulers always wish, first and foremost, to rule. And as such, they will always seek to obtain total control, if possible. Collectivism is the key to that goal. The greater the degree of collectivism, the greater the level of totalitarianism.

      In limiting free speech through economics, they’re now going about it the smart way. But this in itself should not be too surprising. What may be surprising is that the changes necessary to bring that about are happening so quickly.

      For the US, this is much like Russia, circa 1917, or Germany, circa 1937. The question is no longer whether the government intends to institute totalitarianism. The question is how much time remains before the transition is complete.

      This question should give us pause. Its answer would define the remaining shelf-life of the US, as a country that’s desirable as a place to reside.

      *  *  *

      The wave of political correctness and liberal group-think has taken the US by storm. The effort to silence opposing viewpoints and free speech will continue to accelerate. That’s why Doug Casey has prepared a timely video on surviving this modern American trend. In it Doug exposes the lies and mainstream bias that’s poisoning America… Click here to watch it now.

    • Semiconductors Are The Trade War Epicenter

      Back in December 2018, when conventional wisdom was falsely convinced by the handshake between Trump and Xi that the tariff war between the US and China would soon end, we warned that not only is the trade war nowhere near over, far from it, but that semiconductors had “become the central battlefield in the trade war between the two countries. And it is a battle in which China has a very visible Achilles heel.”

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      Today, SaxoBank’s head of equity strategy, Peter Garnry, not only confirms what we said nearly 6 months ago, but also notes that as the trade war evolves into a technology cold, many industries stand to lose but semiconductor companies are more exposed than anything else. “Add in the rising risk of recession and you’ve got what looks like a perfect storm”, he notes ominously.

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      His full note is below:

      In our recent trade war analysis Are you ready for a Cold War in tech? we argued that the world has seen the starting signal of a Cold War in technology between the US and China. The most likely outcome of the US ban of Huawei due to national security issues is that the global supply chain will come under attack the next couple of decades. Many industries from transportation, semiconductors, biotechnology, rare earth minerals etc. will all most likely be deemed of national security to both the US and China. If the rivalry intensifies between the two countries the only sensible trajectory from here is a global supply chain separation. US and China will seek to make themselves independent of each other to limit the political downside risk in an escalating trade and technology war

      Semiconductors are bleeding and it will continue

      Since the US escalated the trade war by increasing the tariffs from 10% to 25% on $200 billion of Chinese goods on May 6 semiconductors have been tanking. The industry group can be divided into two groups: semiconductor equipment makers and pure semiconductor manufacturers.

      We have devised two custom indices tracking those two industries to measure the impact on the global supply chain the trade war. As the chart below shows the semiconductor industry is hurting from the US-China trade war escalation and our view is that it will continue.

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      Investors should stay underweight semiconductors. In our last trade war analysis we highlighted the US companies with the biggest exposure to China and the majority of those are in fact US semiconductor companies.

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      Another reason to be negative on semiconductors is that earnings have most likely topped and valuations will have to reflect this over the next 12 months. We see the risk of recession going up from our standpoint of just three months ago and in the case of a global recession semiconductor companies would be hit the hardest. To make it a perfect storm we also expect it to coincide with the beginning of a new AI winter which will dramatically slow down the growth in semiconductors. 

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      US semiconductor companies have most to lose

      If we look at how semiconductor manufacturers are performing based on their geography we see a clear sign that US companies stand to lose the most, together with South Korea. If the global supply chain in the semiconductor industry is being reconfigured US semiconductor companies will lose short-term revenue in China and will have to invest in new manufacturing facilities in other countries.

      Chinese semiconductor companies will on the other hand be more directly supported by the Chinese government and thus win out relatively speaking. But what about WTO rules about state support? In our view the WTO framework is at risk of being obsolete as the US is clearly steering away from multilateral trade deals towards bilateral deals. In this world order China would not be accountable for state sponsorship of semiconductors inside WTO.

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      European semiconductor companies could win relatively in the short-term but they face the risk that Europe eventually choose the US over China in the new political future. The caveat here is that Europe needs strong exports to offset weak domestic growth and here China offers more upside potential than the US economy. European politicians are entering a minefield over the next decade as they feel squeezed between the diverging interests of the US and China.

      US equities have broadly outperformed

      Outside the casualties in semiconductors the US equity market has in fact outperformed the five countries running the biggest trade surplus against the US. Our trade war ETF basket shows that US equities have outperformed by 22%-points since early 2018 when the trade war broke out. In the markets view trade surplus countries are more vulnerable. Only time will tell whether this is in fact true or not.

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    • Global Times: China Holds Three Trump Cards In War Against US

      Via Oriental Review,

      Amid the escalating economic war between the US and China, discussions have intensified on how Beijing might stand up to the economic power of America, especially given that the global economy is increasingly dependent on the US dollar as the main currency for international trade, and the closing of US markets could do some serious damage to China’s export-oriented companies. China’s main foreign-policy publication, the Global Times, points to three trump cards that Beijing could use to at least level the playing field in its fight with the Trump administration and cause appreciable harm to the US economy, possibly forcing its opponent to temporarily scale back its ambitions.

      According to an article in the Global Times by a professor at the Renmin University of China, the three trump cards are:

      1) banning the export of rare earths to the US;

      2) blocking US companies’ access to Chinese markets; and

      3) using China’s portfolio of US Treasury bonds to bring down the US government debt market.

      Each of these trump cards are worth looking at in detail, both in terms of their impact on the US economy and also in terms of any possible retaliation from the US and the repercussions for the global economy as a whole.

      Banning the export of rare earths to the US would actually be a pretty serious blow for US electronics manufacturers and, indeed, US high-tech manufacturers generally. This is because rare earths are a key raw material for the production of smartphones, various chips, and other high-value-added products that are the biggest cash cows of US companies such as Apple and Boeing.

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      President Donald Trump during a meeting with Chinese Vice Premier Liu He over trade talks in the Oval Office, February 22, 2019

      Reuters, an agency one could hardly accuse of sympathising with Beijing, reports: “The United States has again decided not to impose tariffs on rare earths and other critical minerals from China, underscoring its reliance on the Asian nation for a group of materials used in everything from consumer electronics to military equipment.”

      China does not exactly have a monopoly on such materials, but the market would definitely be in short supply without Chinese exports, with all the price implications that would bring. Moreover, it is likely that some deficit positions will be impossible to close no matter how much money is involved.

      Not everything is that simple, however. Should such a ban be introduced, then Beijing will encounter certain technical difficulties. If sanctions are only imposed on US companies, then they will still be able to purchase the necessary materials through Japanese or European straw buyers, making the embargo pointless. But if China imposes a total export ban, then it won’t just be US companies that suffer but European ones as well, leading to EU reprisals against Chinese exporters to Europe. This would be very painful for China, especially given the economic war with the US that is making access to European markets invaluable to the Chinese economy.

      It appears that a ban on rare earth exports is a powerful weapon, but its use will require the utmost delicacy and serious diplomatic efforts to avoid any extremely unpleasant side effects.

      The second trump card mentioned by the Global Times is blocking US companies’ access to the fast-growing and extensive Chinese market. This should be looked at from a political, rather than economic, point of view (although the latter may seem logical). The aim of such restrictive measures is not to inflict unacceptable damage on the US economy, but to make the full might of America’s corporate lobbying machine work against Donald Trump and support his political opponents.

      According to the S&P Dow Jones Indices, Asia only accounts for around 14 per cent of the sales of S&P 500 companies. If we assume that China makes up the majority of this, then not even a complete closure of the Chinese markets would be a disaster. There are a few important details, however.

      • First, China is the only (and final) market for sales growth for many US companies. So if China closes, the graphs at business presentations won’t be showing any kind of growth.

      • Second, China plays a key role in many production chains that end with sales in the US and other markets. A loss of access to Chinese production would therefore severely damage the competitiveness of American companies on the world (and even on the US) market, especially if their European and Japanese competitors retain complete access to China’s production facilities.

      As a result, the profits of US companies and the future of the American stock market (which is a key political barometer given that many Americans have invested their savings in shares) would be at risk. It might be possible to offset these problems by transferring production to other Asian countries with cheap labour and favourable terms, but this couldn’t be done quickly and it would be risky, given that Trump is waging trade wars with everyone from the European Union to loyal US allies such as Japan and India. In light of this, US companies will have a huge incentive to prevent Trump from being elected for a second term, and the lobbying and political capabilities of that part of the US corporate sector that will suffer the most from this trump card could really play a key role in the political victory of Trump’s opponents.

      The third trump card involves China dumping its portfolio of US Treasury bonds. The Global Times writes: “China holds more than $1 trillion of US Treasury bonds. China made a great contribution to stabilizing the US economy by buying US debt during the financial crisis in 2008. The US would be miserable if China hits it when it is down.” One can conclude from this that Beijing will most probably save dumping its portfolio of US treasury bonds for dessert – in that it will have the biggest impact when the US stock market is experiencing its next crisis.

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      China’s Vice Premier Liu He (left) speaks during a meeting with President Donald Trump (right) in the Oval Office of the White House on February 22, 2019

      The move is not likely to cause catastrophic damage in and of itself (although the value of US bonds will definitely fall), but if it is done at the moment when America is most vulnerable, then China’s portfolio may well end up being the straw that breaks the camel’s back.

      Beijing is not displaying a particularly cocksure attitude. As the Global Times’ editor-in-chief quite rightly notes on Twitter:

      “Most Chinese agree that the US is more powerful than China and Washington holds initiative in the trade war. But we just don’t want to cave in and we believe there is no way the US can crush China. We are willing to bear some pain to give the US a lesson.”

      As China lays its trump cards on the table, the world’s globalised economy will creak and collapse. Globalisation is going backwards, and chances are we’ll end up with a completely different economic system that has more protectionism. Instead of a global market, there will be several large regional markets with their own rules, dominant currencies, technical standards, and financial systems.

    • Two Charts Showing Jeopardy Champion James Holzhauer's Record Pace

      If you don’t know about Jeopardy Champion James Holzhauer by now, you haven’t been paying attention (or read “Meet The Man Who Mastered “Jeopardy!” By Ignoring Conventional Wisdom“). Holzhauer has shocked the world, not only by amassing millions of dollars in Jeopardy winnings, but doing it at a blistering pace, making former Jeopardy champion Ken Jennings look like a snail in comparison. Despite being $455,000 behind Jennings in total winnings still, Holzhauer is closing in Jennings’ $2.5 million at breakneck speed. 

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      The New York Times has published two charts showing, graphically, just how efficient of a player Holzhauer has been. As you can see from the first chart, Holzhauer’s pace when compared to former champion Ken Jennings is stunning. He is averaging about $76,500 per episode, compared to Jennings’ $34,000 per episode. 

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      In addition, his projected winnings, should he continue at this pace, will likely near $6 million by the time he has played as many game as Jennings. Jennings’ streak is, so far, still 47 games longer than Holzhauer. 

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      When factoring in the “Tournament of Champions” games, Brad Rutter is still the all time earner at $4.7 million. Inclusive of these games, Jennings stands at $3.4 million. 

      Here are some other “by the numbers” facts about Holzhauser’s incredible run, courtesy of freelance writer Bill Rice, Jr, a freelance writer in Troy, Alabama. 

      • 0 –  Number of Daily Double clues answered incorrectly by James in game’s “Double Jeopardy” round (through 28 games).
      • – Through 28 episodes, number of games where James won more than $100,000.
      • 7 – Through 28 games, number of times James wagered $11,914 in Daily Doubles (his daughter’s birthday: 11-9-14).
      • – Number of times James wagered $9,812 in Daily Doubles (his wedding date: 9-8-12).
      • 10 – Number of “perfect games” – no incorrect responses  – recorded by James in first 28  games (includes clues in Final Jeopardy). 
      • 10 – Number of games James had only one incorrect response (through 28 games).
      • 13 – According to James, approximate number of years he tried to get on “Jeopardy!” before being selected as a contestant. James, 34, began trying in college.
      • 15 – Through 28 episodes, number of games where James won more than $80,000.
      • 15 – Number of spots James holds in Top 15 all-time winnings on show (through 28 games).
      • 20 – Number of games (through 28) where James had either zero or one incorrect response.
      • 21 – Number of times James went “all in” on these first-round Daily Doubles.
      • 22 – Number of Daily Doubles “found” by James in the game’s first round (first 28 games).
      • 28 – Number of consecutive games won by James Holzhauer though May 25.
      • 35.9 – Average number of correct responses per game by Ken Jennings (includes Final Jeopardy).
      • 37.15 – Average number of correct responses per game by James (includes Final Jeopardy)
      • 41 – Percent increase in show’s ratings over same period a year ago.
      • 68 – Percent of Final Jeopardy clues correctly answered by Ken Jennings (51-of-75).
      • 96.4 – Percent of Final Jeopardy clues correctly answered by James (27/28) in first 28 games.
      • 120 – Consecutive correct responses by James in Games 22 through 24.

      We detailed Holzhauer’s strategy at length in a recent post , remarking how the “secret” of his success was turning conventional wisdom on its head. Unlike 99.9% of the game’s previous contestants, he starts at the bottom of the board and goes sideways.

      “It seems pretty simple to me: If you want more money, start with the bigger-money clues,” Holzhauer explained in an interview with Vulture magazine. He told NPR “What I do that’s different than anyone who came before me is I will try to build the pot first” before seeking out the game’s Daily Doubles. He then “leverages” his winnings with “strategically aggressive” wagers (read: wagers far larger than any contestant before him was willing to make).

      This strategy – along with the fact he’s answering 96.7 percent of the clues correctly –  has allowed James to build insurmountable leads heading into Final Jeopardy. He can then be ultra-aggressive with his Final Jeopardy wagers, including one of $60,013. It was this wager that allowed James to establish his current single-game record of $131,016.

      You can read more on his strategy here

    • The Pence Prophecy: VP Predicts Perpetual War At West Point Graduation

      Authored by Major Danny Sjursen via AntiWar.com,

      Time was that a stint, or even a career, in the military did not necessarily translate into any serious combat duty. That may seem hard to believe eighteen years after 9/11, but this middle-aged middling major is just old enough to remember such a bygone era. As a cadet at West Point (2001-05), having joined the army just months before the September 11 attacks, most of my professors and tactical officers had never been to war. The colonels had joined in the early 1980s and, at worst, saw limited combat in the petite (and absurd) conflicts in Panama and/or Grenada. The captains and majors commissioned in the early 1990s. As such, most just missed Persian Gulf War 1.0, a few deployed to Somalia or the Balkans, and most hadn’t seen the elephant at all.

      Back then, soldiers trained for war but didn’t necessarily expect to fight in one. The Cold War, post-Vietnam army was built as much to contain America’s enemies, and to deter war, as it was to actually engage in combat. Those days seem charmingly quaint from the viewpoint of 2019. Indeed, when I entered the U.S. Military Academy on July 2, 2001, my expectation was to travel the world and maybe do some light peacekeeping in Bosnia or Kosovo, not to fight extended wars. How naive that seems now.

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      Vice President Pence speaking at West Point graduation over Memorial Day weekend. Image via Getty

      Instead I spent a career training for and deploying to wars across the Greater Middle East. Hell, that’s been the story of my entire generation of soldiers. When I graduated in 2005, this still seemed unique and profound. More than a decade later it’s simply the mundane way of things. So it was, this past week, that Vice President Mike Pence addressed the graduating class at West Point, and reminded them to prepare for ever more war.

      The content of this bellicose, and banal, speech should have been remarkable; should have raised Americans’ collective “spidey-sense.” Instead, hardly anyone noticed that Pence, like a Punxsutawney groundhog, was veritably predicting many more years of winter (read: warfare). Still, the vice president’s oratory was disturbing on a number of levels.

      First off, he bragged about President Trump’s absurd military budget and explained that the cadets should be honored to join “an Army that’s better equipped, better trained, and better supplied than any United States Army in the history of this country.” Evidence for such an assertion was glaringly absent, and none in the audience had the opportunity to ask why this unsurpassed army hasn’t won a single war in this century. Also absent was any discussion of the tradeoffs inherent in ballooning defense spending, the opportunity costs of such largesse, or an explanation as to why the US spends more on its military than the next seven nations combined. And why should he have brought any of this up? Defense spending is politically popular; it’s the one type of public outlay that draws essentially no criticism.

      Next, Pence engaged in some genuine truth-telling that revealed the nature of military service in a time of forever war. He informed the cadets that “It is a virtual certainty that you will fight on a battlefield for America at some point in your life.  You will lead soldiers in combat.  It will happen.” This should have been a controversial statement, an alarming prophecy of perpetual war. Only in 2019 that’s the norm for military members and their families. They should expect combat, because almost no mainstream political figures demonstrate the capacity or intent to reign in the American war machine.

      Pence went further, though, and actually listed out where these newly minted officers should expect to fight. Sure he listed the usual suspects – “Some of you will join the fight against radical Islamic terrorists in Afghanistan and Iraq” – so apparently the war on terror will roar on indefinitely.

      However, Pence also listed a few other places where the young officers will join “the fight,” including the “Korean peninsula,” the South China Sea, and Europe (against “an aggressive Russia”). Mind you, there are – as of yet – no actual shooting wars in any of these locales, thus labeling them ongoing “fights” is both provocative and irresponsible.

      Nevertheless, the true surprise, and most distressing of all, was the VP’s casual assertion that “some of you may even be called upon to serve in this hemisphere.” This was a clear reference to Venezuela, Washington’s stated policy of regime change there, and to the recent kick off of Cold War 2.0 with what John Bolton labeled the “troika of tyranny” – Venezuela, Cuba, and Nicaragua. Never mind that not a single one of these tinpot tyrannies presents a significant threat to the US, Pence still gleefully paraded the old ghost, and villain, of “socialism.” It was all so 1980s!

      Pence’s retro foreign policy, and outrageously pugnacious rhetoric befit the actions of an empire, not a republic. His casual assumption that today’s young graduates – most of whom were kindergarteners on 9/11 – will see combat in both ongoing and future wars reflects life in an increasingly militaristic and unhinged society. That such crazy is so routine is even more problematic.

      The normalization of war can be just as detrimental to a republic as war itself. The barbarians are not at the gates, folks. War is not a foregone conclusion or a national necessity. Each successive occupant of the White House only needs you to believe that in order to centralize the power of an increasingly imperial presidency, stifle dissent, and chip away at what remains of civil liberties.

      Seen in its proper context, Pence’s speech would have raised alarm bells in a healthy, functioning republic. But America in 2019 is far from that. Instead, the VP’s staggeringly absurd speech registered as barely a blip on the media’s 24-hour news cycle. After eighteen years of perpetual conflict, members of the military, and the populace at large, have grown immune to the inertia of war. As such, the republic’s bleeding is internal, as American Democracy dies a slow, opaque death from the inside out. It may be too late to reverse course, and one wonders if a distracted and apathetic public even notices…

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    Today’s News 28th May 2019

    • Austrian Government Collapses After Youngest-Ever Chancellor Loses Confidence Vote

      Austria’s Chancellor Sebastian Kurz has been removed from office in a stunning culmination of a scandal wherein a political ally was caught red-handed on tape discussing bribes from a woman he thought was the niece of a Russian oligarch.  

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      Sebastian Kurz with disgraced former Vice-Chancellor Heinz-Christian Strache in the background.

      The so-called “Ibiza-gate” scandal, named after the Spanish island where the video was secretly filmed in 2017, resulted in far-right Freedom Party (FPOe) leader and Vice-Chancellor Heinz-Christian Strache resigning his posts.

      On Monday opposition leaders in parliament went further and held a no-confidence vote, ousting the country’s leader Chancellor Kurz from office, in a first in Austria’s post-war history.

      Social Democrat (SPÖ) leader Pamela Rendi-Wagner, who had initially proposed the no confidence vote, slammed Kurz during the proceeding, saying, “You have said a lot, but have not yet said that your government has failed. You alone are responsible for it.”

      The video had previously forced Kurz to end his coalition with the FPOe and call for early elections, but parliament has insisted the now former chancellor take full responsibility for the corruption scandal, in spite of the 32-year old leader’s conservative People’s Party (OeVP) doing well in EU parliament elections, expected to gain 34.9% of the vote and pick up two extra seats.

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      Screengrab from the Ibiza-gate video, via AFP/Spiegel

      Per the AFP:

      The no-confidence vote against Kurz and his government took place in a special sitting of parliament with more than half of MPs withdrawing their support, making him Austria’s shortest-serving chancellor.

      Submitting the motion against Kurz, the head of the SPOe, Pamela Rendi-Wagner, accused him of an unprecedented “uncurbed and shameless power grab”.

      Austria’s president Alexander Van der Bellen named Vice Chancellor Hartwig Löger as the interim leader and a “transitional government” will be named.

      The now famous “honey-trap” video that has now effectively brought down the ruling Austrian government was summarized by the BBC as follows:

      It has widely been labelled “Ibiza-gate”, after the Spanish island where the video was recorded.

      It was secretly filmed in 2017 just weeks before the election which saw both the FPÖ and Chancellor Kurz’s party perform well.

      In the footage, released by German media, Freedom Party leader and Vice-Chancellor Heinz-Christian Strache can be seen relaxing and drinking for hours at a villa with FPÖ parliament group leader Johann Gudenus, while they meet a woman, purported to be the niece of a Russian oligarch.

      Mr Strache appears to propose offering her public contracts if she buys a large stake in the Austrian newspaper Kronen Zeitung – and makes it support the Freedom Party.

      He is heard suggesting that a number of journalists would have to be “pushed” from the newspaper, and that he wants to “build a media landscape like [Viktor] Orban” – referring to Hungary’s nationalist leader.

      The video’s mysterious origins remain subject of fierce debate and speculation after it was published over a week ago by two German newspapers, Süddeutsche Zeitung and Der Spiegel.

      It’s been described as the result of “an elaborately prepared and well-funded sting operation” which some have accused Russian intelligence of orchestrating.

      It remains as yet unclear if now disgraced Vice-Chancellor Strache will still take one of FPÖ’s three predicted three seats in European parliament. 

    • The End Of Theresa May

      Authored by Binoy Kampmark via OrientalReview.org,

      The vultures of the British conservative party have gathered, and the individual who seemed to thrive in failure, to gain momentum in defeat, has finally yielded.  UK Prime Minister Theresa May will leave the way for change of leadership on June 7.  Never known for any grand gestures of emotion, the Maybot finally gave way to it.

      It had begun rather optimistically in 2016.  May would preside over a Britain leaving the European Union in good order.  She even dared suggest that an agenda of domestic reform might be implemented.  Neither has transpired, and clues were already apparent with the blithely optimistic trio in charge of overseeing the Brexit process: David Davis, as a fabulously ill-equipped Brexit Secretary, Liam Fox holding the reins as international trade secretary and Boris Johnson keeping up appearances at the Foreign Office.  But for all that it was May who seemed to insist that all was possible: the UK could still leave the customs union and single market, repudiate free movement and wriggle out of the jurisdiction of the European Court.  Independent trade deals with non-EU countries would be arrived at but similar trading agreements could still continue in some form with the EU. And there would be no Irish border issue.

      Problems, however, surfaced early.  May’s leadership style problematic.  Her cabinet reshuffles (read bloodletting) did much to create animosity.  Some eight ministers were sacked in the first round, with all but one under 50 at the time.  They were, as Stephen Bush puts it, “right in the middle of their political careers, a dangerous time to leave them with nothing to lose.”

      Her decision to go to the polls in 2017 to crush the opposition was also another act of a folly-ridden leader.  From a position of strength from which she could instruct her party on the hard truths of Brexit instead of covering their ears, she gave Labour’s Jeremy Corbyn ample kicking room to revive his party while imposing upon herself a considerable handicap.  EU negotiators knew they were negotiating with a significantly weakened leader.

      Then came the cold showers, initiated by such wake-up alarms as shadow Brexit secretary Keir Starmer’s suggestion in 2017 that a transitional phase would have to come into effect after the UK had thrown off the EU.  As Starmer observed at the time, “Constructive ambiguity – David Davis’s description of the government’s approach – can only take you so far.”

      May duly suffered three horrendous defeats in Parliament, all to do with a failure to pass the Withdrawal Agreement, and fought off the daggers of usurpation within her own party. She had also had to convince the EU that two extensions to Brexit were warranted. The last throw of the dice featured bringing Labour leader Jeremy Corbyn to the negotiating table.  To a large extent, that had been encouraged by the third failure to pass the Withdrawal Agreement on March 29th.

      On May 21, the prime minister outlined the latest incarnation of a plan that has never moved beyond the stage of life support.  It had that air of a captain heading for the iceberg of inevitability.  She remained committed “to deliver Brexit and help our country move beyond the division of the referendum and into a better future.”  It was spiced with the sweet nothings of forging that “country that works for everyone”, all with “the chance to get on in life and to go as far as their own talent and hard work can take them”.

      She hoped for alternative arrangements to the Irish backstop. The new Brexit deal would “set out in law that the House of Commons will approve the UK’s objectives for the negotiations on our future relationship with the EU and they will approve the treaties governing that relationship before the Government signs them.”  A new Workers’ Rights Bill would be introduced to guarantee equivalent protections to UK workers afforded to those in the EU, perhaps even better.  No change to the level of environmental protection would take place, something to be policed by a new Office of Environmental Protection.  But May’s concessions on the subject of a customs union and a proposed second referendum as part of the package, both largely designed to placate Labour, were too much for her cabinet.  Her resignation was assured.

      The resignation speech was a patchwork attempt to salvage a difficult legacy.  It was “right to persevere, even when the odds against success seemed high.”  But it would be for her “successor to seek a way forward that honours the result of the referendum. To succeed, he or she will have to find consensus in parliament where I have not.”

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      She had led “a decent, moderate and patriotic Conservative government on the common ground of British politics”. She spoke of “a union of people”, standing together regardless of background, skin colour “or who we love”.  In an effort to move beyond a pure and exclusive focus on Brexit, she tried to single out such domestic achievements as gender pay reporting and the race disparity audit.  This led such conservative outlets as The Spectator to wonder whether such initiatives had “invented victimhood where none existed.”

      There will be as many post-mortems on May’s tenure as Brexit proposals.  Steve Richards, writing for The New European, felt May never had a chance.  It was a period of uncertainty made permanent.  With each Brexit secretary resignation, with each parliamentary defeat of the exit plan, “nothing much happened, only an accumulative sense of doom.”  That was a ready-made outcome.

      The list of contenders seeking to replace May is a who’s who of agents, less of assuring stability than guaranteed chaos shadowed by enormous question marks.  Furthermore, anyone willing to offer themselves up for replacement is likely to face similar treatment to that given May.

      The current stable of contenders are of varying, uneven talents.  Environment secretary Michael Gove and former Brexit Secretary Dominic Raab were rather late to the fold.  They joined Matt Hancock, Jeremy Hunt, Boris Johnson, Esther McVey, Andrea Leadsom and Rory Stewart.  Political watchers and the party faithful will be keeping an eye on wobbliness and wavering: foreign secretary Jeremy Hunt had campaigned in the 2016 referendum to remain in the UK; likewise the self-touted tech-savvy Hancock.

      With an individual such as Boris Johnson, you are assured a spell of chaos.  Incapable of mastering a brief, his temperament is utterly hostile to stable ministerial appointments.  He tries to make up for that with a buffoonish, public school air that treats certain character flaws as gifts of eccentricity.  While he is liked amongst the conservative fan base, his parliamentary colleagues are not so sure.  The Bold as British formula is only going to carry you so far; the hard negotiators in the EU will attest to that.

    • As Trump Slaps Tariffs On China, Africa Creates World's Largest Free-Trade Zone

      As global trade falls off a cliff to levels last seen during the recession, stoking fears about the potential re-run of a period most investors would probably rather forget, a free-trade savior has emerged in an often overlooked corner of the world: The African Union, which has just ratified what will purportedly become the largest free-trade zone by population that the world has ever seen. According to RT, it could boost trade in Africa by as much as 50%.

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      While the US ratchets up trade tensions with Europe and Japan and threatens to ratchet up tariffs on Chinese imports, the African Continental Free Trade Area, or AfCFTA, will become the largest free trade deal since 1995 when it takes effect on Thursday.

      The Egyptian Foreign Ministry said over the weekend that the remaining 22 ratifications had been received. The last two were from Sierra Leone and the Sahrawi Republic, and were received by the African Union on April 29. All but three countries – Benin, Eritrea and Nigeria – of the 55 countries in Africa have signed on to the deal. According to the UN, if Nigeria joins the AfCFTA, then intra-African trade could grow by more than 50% in the next five years.

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      The African Union’s trade commissioner Albert Muchanga told Fortune: “When you look at the African economies right now, their basic problem is fragmentation.”

      They’re very small economies in relation to the rest of the world. Investors find it very difficult to come up with large-scale investments in those small markets,” he said, adding: “We’re moving away from fragmentation, to attract long-term and large-scale investment.”

      AfCFTA has been a flagship project of the African Union’s “Agenda 2063” development vision for roughly half a decade. The initial proposal was approved by the African Union in 2012 and member states started working on a draft in 2015.

      In March 2018, the leaders of 44 African countries endorsed the agreement during a summit in Rwanda. Participants in the agreement are even considering the possibility that they might use a common currency.

      Of course, aside from the members themselves, one of the biggest beneficiaries of this deal will be Beijing, which has longstanding bilateral trade deals with dozens of countries in Africa, from which it imports raw materials. Africa is also home to one of the greatest concentrations of BRI-related projects.

      And given Washington’s protectionist bent under the Trump Administration, the timing couldn’t be better.

    • Is The US On The Cusp Of War In Iran?

      Authored by Rio Stockton via Renaissance Report,

      March 19th 2003, US forces in coalition with the United Kingdom and others initiate war on Iraq in a conquest to overthrow the ruthless dictatorship of Saddam Hussein. During this time President George W. Bush famously announced, “At this hour, American and coalition forces are in the early stages of military operations to disarm Iraq, to free its people and to defend the world from grave danger.” The Bush administration had built practically one hundred per cent of their case for war on the premise that Saddam Hussein was keeping “weapons of mass destruction” and was ready to use them. But soon after, it became imminent that the origins of these claims were baseless.

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      Soon after the initial invasion of Baghdad, coalition forces were able to swiftly topple Hussein’s regime and capture Iraq’s major cities in the span of just 3 weeks whilst sustaining only minor casualties. At this stage, all seemed well after President Bush declared the end of major combat operations on May 1st 2003. But despite this victory, instead of immediately pulling US troops out of Iraq, Bush attempted something that up until then was anathema to Republicans – nation building. Most Americans at this time recognised that the US had stabilised the Middle East and would then ensure a peaceful transition to a new democratically elected government and free society.

      But this would end in unequivocal failure after a growing insurgency prolonged 8 years of intense guerrilla warfare, which according to the BBC resulted in 4487 US personnel killed, over 100,000 Iraqi civilian deaths and US financial costs projected anywhere between $802 billion all the way to possibly as high as $3 trillion when additional impacts on the US budget and economy are considered.

      So what did all of this turmoil and devastation achieve? Well instead of achieving the primary goal of regime change in Iraq, it achieved many thousands of deaths of Iraqi troops/civilians and coalition forces, the loss of trillions of taxpayer dollars, destabilization of the Middle East and no so-called weapons of mass destruction were found after searches and interrogation of Saddam Hussein following his capture on December 16th 2003. But most notably, in the years since leaving Iraq, the resurgence of al Qaeda – which was on the ropes after the surge has led to a substantial increase in ethno-sectarian terrorism making it seem as if all of our efforts were ultimately futile.

      Despite this utter tragedy of a War, some still believe to this day that it was the right decision. Take it from national security advisor for the Trump administration John Bolton; “I don’t think that there is any doubt that the decision to overthrow Saddam Hussein was the correct decision.”

      Bolton, who also served as Under Secretary of State for Arms Control and International Organization of Affairs under the Bush administration continues to champion the war In Iraq and is also pushing for in his own words “regime change in Iran… There is a viable opposition to the rule of the Ayatollahs, the only option is to change the regime itself.” Bolton along with other war hawks such as Mike Pompeo and Nikki Haley pushed hard for war in Iraq; and based off of their rhetoric alone could drive the US on the verge of conflict with Iran. But how feasible is this in actuality?

      Now, although history never repeats itself, sometimes it rhymes and these rhymes can help us to understand the present. One of the first steps toward war in Iraq began with economic sanctionsin order to hinder the progress of lethal arms programs, such as the development of nuclear, biological and chemical weapons. And the similarities between what occurred then and what is occurring now are striking.

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      Over the last month, the Trump administration has applied what could be deemed as smothering force, by ending sanctions waivers to any country, meaning that all countries who do not end their imports of Iranian oil will be subject to sanctions. The aim, of course, is to drive Iranian oil exports down to essentially zero. This coupled with the classifying of the elite Islamic Revolutionary Guards Corps as a terrorist organization and the deployment of ships and bombers to the Persian Gulf is all a consolidated effort to throttle Iran into submission. Although this appears to have not achieved its intended purpose.

      Instead, it appears to have only stiffened Iran’s resolve, shifting it from wary patience to calibrated confrontation against an enemy it has long mistrusted. According to analysts, Iran’s leaders will not capitulate to what they view as economic and physiological warfare, nor will they negotiate under duress.

      Make no mistake, this is the first palatable step toward regime change in Iran. Increased US pressure has had a pernicious and dangerous effect on the Iranian people, more specifically far-right Shia Islamists who have been further emboldened by these economic sanctions. Even the more moderate Hassan Rouhani (President of Iran) has shifted his tone stating that he would begin to walk away from the 2015 restrictions imposed by the Iran nuclear deal. But instead of treading lightly, the US responded with further sanctions on Tehran, reviving a crisis that had been previously contained for the past 4 years.

      On Friday, Trump announced that the US will be sending 1500 troops to the Middle East in order to provide protection for existing troops in the region amid heightened tensions with Tehran. This, of course, was all triggered by US sanctions on Tehran in the first place and, as of now, the Shia Islamists in Iran who have long warned against placing any trust in the US are becoming more emboldened and gaining ever-more momentum and validity, further escalating us toward direct conflict.

      In short, this all seems like a pre-planned effort to initiate regime change in Iran. In Trump’s own words after ending the Iran nuclear deal, “The country is devastated… I never knew it would be this strong.” But if Iran is pressured enough into ignoring restrictions and commencing development of nuclear weapons, the US will then have a seemingly viable reason to launch a war on Iran and the neo-cons would then be granted their so-called puppet state in the Middle East. Increasing pressure on Iran is just the beginning.

      In essence, this all seems far too similar to Iraq whereby President Bush used the fallacy that Saddam Hussein was keeping weapons of mass destruction in order to lure the American people to his side, but could we really witness a direct repeat here?

      Well, it all depends on the amount of influence that Bolton, Pompeo and other war hawks have on the President’s decisions, but thus far that influence appears to be insurmountable. We can still recall during the 2016 Republican Presidential debates when Trump argued that “we should’ve never been in Iraq… we have destabilized the middle east.” Although the President still aligns with those views, tweets such as ” If Iran wants to fight that will be the official end of Iran. Never Threaten the United States again!” certainly won’t go far to comfort you. In spite of that, I think it’s safe to assume that most people have grown accustomed to such outlandish behaviour by now.

      Instead, we should be observing action over words. Most recently, the Senate Foreign Relations Committee rejected a Democratic proposal to require congressional approval before the U.S. can take military action against Iran. Without congressional approval, Trump could now potentially spiral the US into further endless conflict in the Middle East.

      Acting Defense Secretary Shanahan attempted to dampen down concerns over the situation telling reporters, “We have deterred attacks based on our re-posturing of assets, deterred attacks against American forces. Our biggest focus at this point is to prevent Iranian miscalculation. We do not want the situation to escalate. This is about deterrence, not about war.” Regardless of how you stand on the situation with Iran, one thing is for certain; a war in Iran would be far more costly, far more devastating and far more deadly than we could have ever imagined in Iraq.

    • Addicted To Gaming? You May Have A Mental Disorder

      Do you find yourself running and gunning in 2 a.m. gaming sessions after telling your spouse hours earlier you just need to get past the next checkpoint? 

      Do you have a “pattern of persistent or recurring gaming behavior” that takes priority over “other life interests and daily activities” despite the “negative consequences” which may result? 

      Bad news tired gamers; according to the World Health Organization, you may have “Gaming Disorder.”

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      In the latest revision of the WHO’s International Classification of Diseases (ICD) released last year and coming into effect on January 1st, 2022, “gaming disorder” is now a thing. According to a beta draft of the ICD noted by Geek.comit’s described as follows: 

      Gaming disorder is characterized by a pattern of persistent or recurrent gaming behavior (‘digital gaming’ or ‘video gaming’), which may be online (i.e. over the Internet) or offline, manifested by:

      1) impaired control over gaming (e.g. onset, frequency, intensity, duration, termination, context)

      2) increasing priority given to gaming to the extent that gaming takes precedence over other life interests and daily activities

      3) continuation or escalation of gaming despite the occurrence of negative consequences.

      The behavior pattern is of sufficient severity to result in significant impairment in personal, family, social, educational, occupational, or other important areas of functioning. The pattern of gaming behavior may be continuous or episodic and recurrent.

      The gaming behavior and other features are normally evident over a period of at least 12 months in order for a diagnosis to be assigned, although the required duration may be shortened if all diagnostic requirements are met and symptoms are severe. –Geek.com

      “There is increasing and well-documented evidence of clinical relevance of these conditions and increasing demand for treatment in different parts of the world,” said a WHO spokesman in January. 

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      Indeed, according to Statista the number of “active video gamers” has grown to over 2 billion worldwide, and is projected to reach 2.7 billion by 2021. 

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      There are even NSFW Reddit forums aimed at gamers who want to check out gamer girls’ ‘loot boxes’ so to speak. Several of them. So while you may have an addiction, know that there’s hope. And if you’re just fine with that, there are entire communities of fellow gamers who can validate your proclivities. 

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      According to Skygamers are pissed

      A statement from the Global Video Game Industry Associations read: “We are concerned [the WHO] reached their conclusion without the consensus of the academic community.

      “The consequences of today’s action could be far-reaching, unintended, and to the detriment of those in need of genuine help.”

      It also said that the WHO’s guidance was not based on “sufficiently robust evidence”.

      Some experts also agree that there is not enough evidence to define video game addiction as an illness. –Sky

      And according to a report published by the Journal of Behavioral Addictions, there is a “weak scientific basis” behind the new classification. 

      And while gamers may now be subject to a WHO-certified mental disorder for simply gaming too much, individuals who have decided to live their life as the opposite gender no longer have to worry about such judgement.  

    • Icebreakers And The Arctic Power Play

      Submitted by SouthFront.org

      The Arctic remains one of the few areas of the globe with relatively little human activity and therefore limited prospects for international conflict. Even during the Cold War the Arctic remained comparatively under-resourced by both adversarial blocs. The main theater was Europe, supporting theaters included the Mediterranean and the Middle East, but the Arctic was mainly visited by strategic nuclear platforms such as submarines and bombers which rehearsed their WW3 missions there.

      The end of the Cold War gradually raised the Arctic’s importance, and it did so for two reasons. The current multipolar power distribution means the addition of two independent or largely independent political actors, namely the EU and China, and the shifting of the global economic “center of gravity” eastward. This development is increasing Russia’s importance as the economic and political link between the EU and China. However, while the European and Asian economic powerhouses are exploring various forms of economic linkages with Russia serving as a vital component of the relationship, United States is actively seeking to drive a wedge between them by isolating the EU from Russia and therefore also China, and fully subordinating Europe to its economic and political interests. Whether the EU acquiesces to being merely a US protectorate or asserts its independence remains to be seen, however, in the meantime the Arctic is acquiring importance as a trade route linking Europe and Asia. The second reason for the Arctic’s importance is the presence of considerable reserves of energy resources in the region on which the global economy will depend. National control over these resources or lack thereof will in turn determine the power ranking of the country in question.

      And since we are increasingly in a world where “possession is 9/10ths of the law”, anyone seeking to access the Arctic and maintain permanent presence there will have to maintain a sizable force of icebreakers in order to ensure navigation in areas which are temporarily or permanently ice-bound. Each of interested powers already maintains an icebreaker fleet whose size and importance is only going to increase in the coming decades.

      Russia

      Having the longest coastline facing the North Pole and maritime and trade interests in the region going back centuries, it is no surprise the Russian Federation maintains the largest and the most modern icebreaker fleet in the world, with no country even coming close to it. It is also the only country to operate nuclear icebreakers, vessels whose powerplant ensures remarkable endurance and which can plow through ice pack with the aid of hot water jets, courtesy of the reactors.

      As of 2019, the nuclear icebreaker fleet consists of four active and one reserve vessels. The active ships include two-reactor, 75,000hp “Yamal” and “50 Years of Victory”, and two single-reactor 50,000hp “Taimyr” and “Vaygach”. The “Sovetskiy Soyuz” remains in reserve, to be used in the event of another ship becoming not operational. The fleet is rounded off by the “Sevmorput” nuclear-powered barge-carrier, capable of independent operations in the ice. The nuclear icebreaker fleet is complemented by five Project 21900 conventional icebreakers, each powered by a 30,000hp diesel powerplant.

      The aging of the nuclear fleet means they will be replaced in the coming decade by the LK-60Ya (Project 22220) nuclear-powered icebreakers. They are also two-reactor designs, but boasting slightly greater power than their predecessors at 80,000hp. The first two ships of the class, “Arktika” and “Sibir” have already been launched, the third “Ural” is under construction. A total of five ships of this class are planned, all to enter service during the 2020s.  The LK-60Ya (Project 22220) icebreakers will be followed by LK-120Ya “Lider” (Project 10510) boasting not only vastly greater power (160,000hp) but also greater width, to enable even the largest of ships to use the Northern Sea Passage. Overall, the plan is to have not fewer than 13 heavy icebreakers in service, of which 9 will be nuclear-powered, by 2030. This represents both a quantitative and qualitative expansion of the force, an indicator of the importance of the Arctic to Russia.

      United States

      By comparison, and in spite of Alaska being part of the United States, the US Coast Guard operates exactly one (1) heavy icebreaker dating back to the 1970s, the Polar Star, with an 78,000hp diesel/gas turbine power plant. A second ship of the class, the Polar Sea, is ostensibly in reserve but has not been to sea in many years and is likely being cannibalized for spare parts to sustain the Polar Star in service which even so remains prone to mechanical breakdowns due to its advanced age and heavy use caused by an absence of alternative ships with similar capabilities.

      When it comes to the expansion of its icebreaker fleet, the United States also lags behind the Russian Federation. Currently the plan is to procure three heavy and three medium polar icebreakers within the next decade, with the first of the new ships to be delivered in 2023 and the final in 2029. However, it should be noted that the Coast Guard is part of the Department of Homeland Security, and its modernization programs have suffered after the service was merged with the DHS which is a very much post-9/11 creation whose current budget priorities also happen to include the infamous “wall” separating the United States and Mexico.  Therefore the icebreakers will remain vulnerable to the DHS budget battles, and may also be affected by the looming next US financial crisis.

      Canada

      The United States may to some extent rely on Canada’s icebreaker fleet, which includes two heavy (36,000hp) and five medium icebreakers. However, its construction program is not as ambitious as Russia’s or even the United States. Only one new icebreaker, the 45,000hp John G. Diefenbaker is expected to join service in the 2020s, replacing one of the current heavy icebreakers. This would mean that for the first time in decades Canada would face icebreaker inferiority relative to the United States. Given US Secretary of State Pompeo’s recent assertion that Canada’s claims to the Northwest Passage are “illegitimate”, it appears that Canada is about to lose control over its portion of the Arctic to the United States.

      China

      While the PRC is not generally considered an Arctic power, its interest in trade routes means that even though it operates exactly one ship capable of ice-breaking operations, the Xue Long scientific research vessel built in Ukraine in the 1990s, there is an ongoing discussion in China over the importance of the Arctic to its economy. Therefore it is not surprising that China is in the process of developing a heavy nuclear-powered icebreaker comparable to the Russian vessels currently in service, which will likely enter service during the 2020s. Given the pace of Chinese ship-building in general, should China decide to enter the Arctic power play in earnest, it will be able to quickly out-match the United States and Canada in that realm.

      Conclusions

      Looking at the current situation and the emerging trends, it would appear that the two Eurasian powers, Russia and China, will remain dominant in the Arctic at least during the coming decade. While the United States is starting to get into the game, it is clearly very low on its list of priorities. The fact that the US capabilities are being stretched very thin indeed and the sorry state of America’s finances mean that US Arctic capabilities, military or otherwise, will receive veritable crumbs in terms of funding. Canada’s sovereignty is being gradually eroded by the United States and may lose its status as an Arctic player altogether in the next decade, particularly if icebreaker construction will have to compete for funding with the F-35 fighters which the United States is bent on imposing on Canada. China remains the wild card. At the moment, it seems content to rely on Russia’s icebreaking capabilities in the region, however, should US-China competition in the region intensify, the PRC will become more proactive in exerting its influence in the region.

    • Trump To Win In 2020 According To 'Remarkably' Good Models

      President Trump is already predicted to win the 2020 election by three different economists, according to former Obama administration official, Wall Street executive and Brookings Institution board member Steve Rattner. 

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      In an op-ed for the New York Times titled “Trump’s Formidable 2020 Tailwind,” Rattner notes how three prominent economists have predicted another term for the man who snatched victory from the jaws of Hillary Clinton in 2016. 

      How big is Trump’s tailwind? Yuge, according to the three economists. 

      One of the first — and perhaps still the best — of these models was created by Ray Fair, a professor at Yale. He found that the growth rates of gross domestic product and inflation have been the two most important economic predictors — but he also found that incumbency was also an important determinant of presidential election outcomes.

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      How did Ray Fair’s model do with Trump? “According to the model, Donald Trump should have received 54.1 percent of the vote; in actuality he received 48.8 percent,” according to Rattner. 

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      A good part of Mr. Trump’s edge in 2016 was the incumbency factor — after eight years of a Democratic president, voters would ordinarily have wanted a Republican. (Since 1952, only one man has become president following eight years of a president of the same party.) In 2020, incumbency will be a tailwind for Mr. Trump as the vast majority of presidents are chosen for a second term. –New York Times

      Meanwhile, the current economy should also help Trump in 2020, assuming it doesn’t crater. 

      It should also be noted that these models are not polls, and several polls have Biden ahead of Trump in the 2020 election. Of course, one should bear in mind that while Ray Fair’s models have been accurate, most polls got 2016 dead wrong

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      Two other prominent economists have observed similar findings to Fair

      It’s worth noting that the Fair model is hardly alone in its forecast. Mark Zandi, the chief economist at Moody’s Analytics, has looked at 12 models, and Mr. Trump wins in all of them. Donald Luskin of Trend Macrolytics has reached the same conclusion in his examination of the Electoral College. –New York Times

      Of course, it’s possible that attempts to manipulate the electoral college may change things a bit.

    • Warning: Widespread Facial Surveillance Is An "Imminent Reality"

      Authored by Mac Slavo via SHTFplan.com,

      The dystopian future George Orwell warned us all about in his iconic novel, 1984 has quickly become our reality. Widespread facial surveillance in the “land of the free” is an “imminent reality.”

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      A tech privacy report, that has been swept under the rug by the mainstream media has declared that Americans are about to live through the very world Orwell wrote of. Georgetown researchers are warning Americans about a sophisticated real-time face surveillance system that’s about to become an “imminent reality” for millions of citizens across the country. Ground zero, though, appears to be Detroit.

      The “America Under Watch” report is a warning that authorities in select U.S. cities may soon be able to pick you out from a crowd, identify you, and trace your movements via a secret network of cameras constantly capturing images of your face.  Mass surveillance of every single human being living in the U.S. has become a nightmarish dystopian reality.

      DataWorks says it offers software which “provides continuous screening and monitoring of live video streams.” The system is also designed to operate on “not less than 100 concurrent video feeds.”

      According to the research team’s report, live footage is captured by cameras installed around Detroit as part of Project Green Light, a public-private initiative to deter crime (and violate the privacy rights of everyone) which launched in 2016. The expanse of the police department’s facial recognition policy last summer, however, means the face recognition technology can now be connected to any live video, including security cameras, drone footage, and body-worn cams.

      You’ve been warned.  This technology will not remain limited to Detroit. Illinois, meanwhile, is home to one of the most advanced biometric surveillance systems in the country. The report added that the Chicago Police Department (CPD) and the Chicago Transit Authority have had face surveillance capabilities since “at least 2016.”

      Similar facial surveillance is now also, apparently on the horizon for other large cities, including New York City, Orlando, and Washington D.C. Oddly enough, San Francisco,  known for its authoritarian control of the public, became the first US city to ban facial recognition software used by police and other municipal agencies last week.

      This report has prompted the authors, Clare Garvie, and Laura M. Moy, to call for a “complete moratorium on police use of face recognition” to give communities a chance to decide whether they always want to be monitored in their streets and neighborhoods.

      The American mainstream media is also doing their “due diligence” by hiding this report and it’s obvious why they have done so The U.S. could very soon resemble communist China with the citizens having no rights and limited ability to even ask the government for permission, while the government does whatever they want with the power willingly handed to them by the ignorant masses.

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      Read the entire report titled “American Under Watch” here. 

    • More Deaths On Everest: Climber Predicted Own Demise Due To "Fatal Overcrowding"

      Late last week we featured a shocking image showing crowds of climbers stuck in a queue leading up to the summit of Mount Everest, the world’s highest peak, after it was reported that multiple climbers’ deaths could be attributed to increased “traffic jams” involving hundreds attempting to ascend the same narrow single-file path above Camp 4 known as “the death zone” that leads straight to the summit. 

      As of this weekend into Monday more climbers have been confirmed dead even after the backlog of over 300 had been well-documented at the summit last week, including a 62-year-old American lawyer named Christopher John Kulish. One of those climbers, a UK citizen, even predicted his own death on social media, saying in a final message posted online“delays caused by overcrowding could prove fatal.” Tragically, he died Saturday following international reports of the massive back-up near the top.

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      Photo taken on May 22, 2019 and released by climber Nirmal Purja’s Project possible expedition, showing dangerous traffic jab above Everest’s deadly Camp 4. Image via CNN.

      Mt. Everest’s summit sits at a dangerous 8,848 meters (29,029 feet) above sea level, where climbers face oxygen deprivation and threat of severe altitude sickness. 

      Most die due to exhaustion after they “run out of oxygen supplies after spending too long at extremely high altitudes,” according to one climbing expert. International reports have counted a shocking eleven deaths in only ten days on Everest.

      The world’s toughest mountaineering challenge can cost anywhere between $30,000 and $50,000 plus, according to most estimates

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      Via the Today Show

      On Saturday experienced British mountaineer, 44-year old Robin Haynes Fisher, died of what was reported to be altitude sickness at 8,600 meters during his descent.

      Eerily, in a post just before starting on what would be his last Everest trek, he discussed the likelihood of dying if he gets stuck among crowds of climbers:

      “I am hopeful to avoid the crowds on summit day and it seems like a number of teams are pushing to summit on the 21st,” he wrote.

      “With a single route to the summit, delays caused by overcrowding could prove fatal so I am hopeful my decision to go for the 25th will mean fewer people. Unless of course everyone else plays the same waiting game.”

       
       
       
       
       
       
       
       
       
       
       
       
       

      Climbed up to camp 3, 7500m but the jet stream had returned closing the summit after only 2 days so I descended to basecamp. Around 100 climbers did summit in those 2 days with sadly 2 deaths, an Indian man found dead in his tent at camp 4 and an Irish climber lost, assumed fallen, on his descent. A go fund me page has been set up for a rescue bid for the Irish climber but it is a well meaning but futile gesture. Condolences to both their friends and families. Both deaths happened above 8000m in the so called death zone where the majority of deaths of foreign climbers happen. Around 700 more people will be looking to summit from Tuesday the 21st onwards. My revised plan, subject to weather that at the moment looks promising, is to return up the mountain leaving basecamp Tuesday the 21st 0230 and, all being well and a lot of luck, arriving on the summit the morning of Saturday the 25th. I will be climbing with my Sherpa, Jangbu who is third on the all time list with an incredible 19 summits. The other 4 members of our team decided to remain on the mountain and are looking to summit on the 21st. My cough had started to return at altitude so I couldn’t wait with them at altitude for the window to open without the risk of physically deteriorating too much. Furthermore as I had missed due to sickness the earlier camp 3 rotation best practice was for me to descend to allow my body to recover from the new altitude high so I could come back stronger. This was not an easy decision as the 13 hours climbing from basecamp to camp 2 in a day was the hardest physical and mental challenge I had ever done, now I have it all to do again. Finally I am hopeful to avoid the crowds on summit day and it seems like a number of teams are pushing to summit on the 21st. With a single route to the summit delays caused by overcrowding could prove fatal so I am hopeful my decision to go for the 25th will mean fewer people. Unless of course everyone else plays the same waiting game. #everest #everest2019 #lhotseface

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      “Around 700 more people will be looking to summit from Tuesday the 21st onwards,” the now deceased British climber wrote.

      A high-altitude medical expert named Sundeep Dhillon previously described the danger in climbers spending too long at the summit while forgetting the extreme dangers on the way down. Once at the summit, climbers only have a few minutes without oxygen to bask in the achievement, before threat of exhausting their supplies on the descent journey becomes a pressing issue. 

      Dr. Dhillon estimated that “you’ve probably got a one in 10 chance of dying on the way down.” Current reports suggest the extra time near and at the top due to overcrowding is proving fatal given more time means dwindling oxygen supplies combined with longer exposure to extreme altitudes. 

      Another report described the death last week of 27-year old Indian citizen Nihal Bagwan as follows:

      “He was stuck in the traffic for more than 12 hours and was exhausted,” tour guide Keshav Paudel of Peak Promotion told Agence France-Presse of Bagwan. Sherpa guides had carried him down to a breathable altitude, but couldn’t save him, Paudel said.

      This week a Canadian filmmaker posted the below photo online taken last Thursday, which according to The Daily Mail “showed the long line of people waiting to ascend with a corpse still hanging to the rope – it is not known whose body it is.”

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      Image via The Daily Mail

      CNN has listed the recent Mt. Everest climbing deaths, most of which have come only within the last week, as follows:

      • Nepali climbing guide Dhruba Bista fell ill on the mountain and was transported by helicopter to the base camp, where he died Friday.
      • And Irish climber Kevin Hynes, 56, died Friday morning on the Tibetan side of Everest in his tent at 7,000 meters (22,966 feet).
      • Two died Wednesday after descending from the summit: Indian climber Anjali Kulkarni, 55, and American climber Donald Lynn Cash, 55.
      • Kalpana Das, 49, and Nihal Bagwan, 27, both from India, also died on Everest this week. Both died Thursday on their return from the summit.
      • Ravi, a 28-year-old Indian climber who goes by one name, died the previous week on May 17.
      • Last week, a search for Irish climber Seamus Lawless, 39, was called off, after the Trinity College Dublin professor fell while descending from the peak, according to the Press Assocation.

      And as of Monday an American lawyer died suddenly on his descent after making it to the summit. 

      Last week, multiple hundreds were simultaneously scrambling to the summit during the same small 2-day window of time, due in large part the narrow window of optimal weather conditions. 

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      Another angle showing the extreme overcrowding in the “death zone” just before the summit last week. 

      The trek is so dangerous, and the threat of severe oxygen deprivation so ever present, that most often climbers who lose their lives at the upper levels of the mountain can’t be safely retrieved, and are simply “buried” by layers of snow and ice.

      Lately, social media commentators have expressed shock and outrage that people would be willing to spend upward of $50,000 for an experience which has a high likelihood of ending in death, especially if as so much as a small detail goes wrong. 

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      Prior years have also witnessed too many teams summiting on the same days.

      As a BBC reported noted earlier this year, nearly 300 climbers total have died on the mountain since the 1920s, two-thirds of which are still buried on the side of the mountain. 

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