Immigration Reform

It appears our politicians and court system don’t understand that the word illegal means a situation is unlawful, prohibited, banned, or criminal when it comes to immigrants. Recently, a Federal Appeals Court ruled against the part of Alabama’s immigration law requiring schools to check the immigration status of students and report undocumented ones (in order identify illegal parents). By the way, the first person charged with violating the new immigration law was a Yemen national. On October 22, it was reported that a federal judge dismissed Arizona’s lawsuit accusing the federal government of failing to enforce immigration laws.

The Immigration Reform and Control Act (IRCA) enacted November 6, 1986 reformed the US immigration law. In brief the act: required employers to attest to their employees' immigration status, made it illegal to knowingly hire or recruit unauthorized immigrants, and granted amnesty to certain seasonal agricultural illegal immigrants and those who entered the US before January 1, 1982. The US has 3 types of Foreign Worker visas, immigration documents that allow foreign nationals to temporarily live and work in the country. The L-1 visa can lead to a green card; in 2010, the US Citizenship and Immigration Services approved 74,719 out of 91,086 applications (82%). However, the Obama administration decided to stop deporting illegal immigrants that have not committed a crime. Apparently, a case to case review with an offer to apply for a work permit was given to the current 300,000 illegal immigrants clogging the court system (these are only the ones that got caught). The Department of Homeland Security’s Janet Napolitano said - we’re freeing up resources to work on other safety priorities. I’m assuming resources were freed up after the anniversary of the 9/11 tragedy as on September 29, it was reported that the federal government did arrest 2,900 immigrants with criminal records. There was a time that we needed lots of immigrants. That time is not now. We need to deport the illegal immigrants and put our people to work. I did hear that an Alabama tomato farm was losing it crop because Americans can’t handle the work (I find it hard to believe that someone can’t create a machine to pick tomatoes before they’re too ripe to ship) and a chicken factory told many unemployed Americans they weren’t qualified to work in their factory but did eventually fill the positions. We can’t have it both ways. We can’t get rid of illegal immigrants and not be willing to do what it takes to do the jobs that these people do.

On November 16, 13 people were arrested outside the Alabama Capitol protesting the immigration law. I don’t understand why we think foreigners are any different than our people traveling to other countries. Our people are arrested, tried and jailed unless the country chooses to deport them; they are not allowed to roam freely and get under-the-table jobs. When I went to Europe in the 1990s and visited 6 countries, I had to carry my passport and identification everywhere with the expectation that I would be asked to show it at anytime. I don’t understand the fuss over any state asking us to show identification. Americans should be carrying their driver license or identification card and any other documents necessary to do business. If stopped by a cop I’m supposed to show a driver license and registration when driving. When using a credit or debit card I’m supposed to show supporting identification to avoid identity theft. When walking or jogging I should have identification in case I’m in an accident so law enforcement knows who to notify. The only times I would think someone wouldn’t have identification is if he/she is too young and should be with someone older who would have identification or if he/she is doing something illegal and doesn’t want to be identified.

With the national unemployment rate (was 9.1% - 13.9 million Americans - in August 2011) dropping only .1% in 4 months, in the November 22 debate, Newt Gingrich said illegal immigrants with family ties in the US should be allowed to stay; he says if they’ve been here 25 years and paying taxes, they should stay. Taxes are tied to Social Security Numbers (SSNs) and I believe we don’t legally give them to illegal aliens so I have doubts that any taxes paid were under their own SSN (not stolen). We’ve had several amnesty programs in our history. I think we need to enforce the IRCA and strengthen it by adding a requirement for people from other countries to have sponsors; someone that can be contacted in case something is in question. And, perhaps we should ask for itineraries from those visiting so we have a place to start looking should they fail to return home; maybe this would assist in locating home grown terrorists as well. Support of amnesty should not be about getting votes. I want someone who will fight for our freedoms and civil rights and provide opportunities for Americans.  

Our Borders & Illegal Immigration

The US borders are not just the responsibility of the states bordering other countries or the waters that lead to the USA. As the people entering the country travel to other states to take jobs, make bombs, deal drugs, etc., the responsibility for protecting our country belongs to all Americans. I hold no ill will toward people coming to this country, I just don’t think that those that can walk, swim or drive to our country should not have an unfair advantage over others.

I’ve heard one-third (1/3) of illegal immigrants are in the drug business. On November 1, 2011, Arizona authorities dismantled a smuggling ring that had been distributing about $33 million in drugs monthly through the state and on November 9, ABC News reported that the Arizona Senator who drafted the tough immigration law was recalled. On November 17, a major drug tunnel (400 yards) running from Tijuana to San Diego uncovered stash houses and 14 tons of marijuana was confiscated. We are having a war on our own soil that our government and apparently many people don’t want to recognize. But, our people are getting killed on their own property by drug cartel employees bringing drugs into the US.

We should not be supporting actions that are hypocritical to our efforts to reduce the use of drugs in this country. My following comment may sound harsh but it is a possible solution to the border problem. Consider placing ground sensors with alarms or bombs on our side of the border in order to eliminate the unlawful crossing of illegal immigrants. This should reduce the cost of border patrols and the death of US citizens living along the borders. Of course an interior fence would be needed to keep cattle, etc. from going into the fields from our side. Something like this would hopefully force entry and exit at Ports of Entry which may deter some drug trafficking and weapons movement. And just as a point of interest, it really irritated me that 70% of the guns seized in Mexico came from the US. Anyone supporting the drug cartels or any other business in another country that we as a people do not condone in our own country should have no second chances; it ruins our reputation and undermines our credibility. 

The 14^th amendment passed by Congress in 1868 grants citizenship to persons born or naturalized in the US; it does not grant citizenship, therefore not US civil rights, to persons coming here illegally. As such, I believe children of illegal immigrants should be excluded from automatically becoming USA citizens. This does not deter us from allowing legal visitors who give birth on USA soil from having a USA baby if this is the way our people are treated when they legally enter another country and give birth. I do think that if illegal immigrants go to a hospital to deliver a baby that they be helped. However, the birth needs to be reported to Immigration and Customs Enforcement and the parties deported.

In Government Waste (Blog #15) I identified that $338.3 billion a year is spent on illegal immigrants. By reducing illegal immigrants there would be more job opportunities for our citizens and unemployment should go down. And, by promoting a requirement that those legally coming here to live must learn our language or have an interpreter paid by them, we should be able to reduce the money spent within our country for multilingual employees providing government services.

The Dream Act allows those illegal immigrants that came to this country as children and who have gone to college or joined the military to become citizens. Per the Immigration Policy Institute there are 66,000 people that have a bachelor’s degree or higher. I’m all for this as it’s not the children’s fault that they are here and it seems those that seek out college or the military are exactly what we want. I’m sure these accomplishments were achieved with tax payer dollars so we should get our monies worth. However, there should be no further support for illegal immigrants through amnesty programs as such is contrary to the term and subsequently is condoning an act that conflicts with established law. I also believe that anyone coming illegally to this country should not be going to school on our dime; this privilege should be reserved for our citizens only. It really ticked me off when I heard that school buses were going across the Mexican border to pick up kids that were born in the USA to illegal immigrants and I couldn’t get legal children just a little more than 2 miles away from the school to be picked up. 

Occupy Wall Street Movement

Let’s take a look back at the Occupy Wall Street (OWS) movement. It started with approximately 2,000 people assembling in lower Manhattan and claiming Zuccotti Park on September 17, 2011. The group was made up of average people that knew what a peaceful gathering was. Although the New York (NY) group still remains civil, authorities are saying that the large groups gathering around the country have changed their temperament.

The October 31, 2011 Time magazine article by Joe Klein said the OWS protests reflect a general belief – ranging across the political spectrum from Tea Party to anarchists and a great many average folks in between – that the big banks have raped and pillaged the American economy. The OWS movement includes a generous measure of weirdos, ideologues, and free-range troublemakers. A recent unscientific NY magazine poll of 100 demonstrators found 34% believed the US government is no better than Al-Qaeda. Mr. Klein said he wouldn’t be at all surprised if the OWS protesters managed, before long, to destroy the credibility of a worthy political complaint in a spasm of puerile extremism (what did he say – how about this – ruin a worthy cause with a quiver of immature, small and narrow mindedness). I think he was trying to say that the OWS protests are including too many people with their own agenda which could ruin the movement.

On November 17, nearly 100 San Francisco protesters are arrested for storming a downtown bank; protesters were jumping on tables, pitched a tent and their behavior caused employees to vacate the Bank of America. On November 18, ABC News reported massive protester arrests from all over the US. In Los Angles (LA) at least 72 arrested. NY protesters closed both lanes of traffic at the Brooklyn Bridge and failed to gain access to the Stock Exchange, more than 300 were arrested and 10 protesters along with several police are nursing minor injuries. When the ABC reporter asked what the concrete reason was for the protest, half of them didn’t know why they were there (making up their own reasons – freedom of speech, claim the park, lower gas prices, end war, eradicate males, empathy). One man did say to stop the corporate takeover of our government and I’m okay with that. But generally, the responses prove Joe Klein’s point. Although they were expressing freedom of speech, it was not what the movement was about. Although the ultimate goal is for corporations to show more empathy toward their employees (I don’t mean CEOs, board members or stockholders) with better benefits and pay, it too is not the purpose of the movement. The protesters should all know that the protest is about, as Mr. Klein has indicated, the robbing, embezzling, misappropriating, and scamming of the American economy. My point of difference with Mr. Klein is that I don’t think it’s just the big banks that are doing this. I do have an issue with banks expecting the taxpayers to pull them out of a jam when things go wrong and when things are going good they reward their own (CEOs, board members or stockholders) and do not reward the taxpayers with fee reductions, increased interest on savings or money market accounts or decreased interest on loans. But I take this protest further. There needs to be increased taxes on the wealthy and equality with tax credits and deductions in order to close the gap between the 1% and 99%. Although the OWS movement is about how our government gives to the rich, I’m also angry with giving taxpayer dollars to those that don’t want to work and get Welfare or have committed horrendous crimes and live better than our hard working Americans.

On November 20, police arrested 11 protesters occupying a DC building. And, when the protesters at the University of California at Davis defied the order to remove their tents from the campus, they were casually pepper-sprayed in their faces at close range by campus police while they were just sitting civilly on the ground with their arms linked. It is my understanding that tear gas is used to disburse a group while pepper-spray is to be used to incapacitate. University police said they were looking to leave but protesters surrounded them; I did not see this problem on the video so I feel the pepper-spray was uncalled for; the University has put the Police Chief and 2 of the officers on administrative while they investigate the incident. 

On November 21, it was reported that a Un-occupy Wall Street movement showed up in Portland, Oregon claiming to be the 98.9% of the people that are fed up with the crowds, noise and disruption to traffic and businesses. And, an OWS leader is getting criticized for staying in a $700 a night hotel in NY. This irritation with the movement and lack of support was realized when millions of people went shopping on Black Friday. Per Shoppertrack sales hit $11.4 billion the most ever spent on a Black Friday, up 7% from last year. On November 26, the LA major gave the OWS protesters until today (11/28/11) to leave their City Hall camp. 

As of October 31, there were 84,448 followers @OccupyWallSt on Twitter. Since more people are using the events for their own agendas, some don’t understand what constitutes a peaceful assembly and authorities are frustrated or power hungry, I think the movement should use the internet to expand its message (like the woman who stopped the debit card fees). Unless something really different occurs, there will be no more updates to the OWS movement. Let’s hope that people don’t forget what the movement stands for when it comes to the election.  

Wall Street Reform

Okay, so you don’t like any of the candidates for president – but we have to vote for someone. Due to all the poor in the country and the Occupy Wall Street (OWS) protesters, I’m going to talk about a Ponzi scheme and the Dodd-Frank Wall Street Reform (DFWSR). (Remember - Gingrich said that Dodd and Frank should be jailed for their ties with Freddie Mac.) DFWSR is a recent law that attempts to address future Ponzi schemes by enacting protections for whistleblowers who alert authorities when they find evidence of fraud. The law also creates a new Investor Advocate and Investor Advisory Committee within the Securities and Exchange Commission to detect and investigate future Ponzi schemes. According to Time magazine’s Joe Klein, the President did sign the watered-down, overly complicated and difficult to enforce reform that has left Wall Street morally hazardous and financially toxic as it continues to allow the promoting of finances over production. Before I get into what this means in plain English, I’m going to try and explain what a Ponzi scheme is.

The Ponzi scheme was named after Charles Ponzi; although he did not invent the scheme he became notorious for using the technique in 1920. The original scheme was based on the buying of international reply coupons (IRCs - introduced in 1906 at a Universal Postal Union congress in Rome) and the selling of them at a higher price for postage stamps in a different location (postal rates are different in every country); Ponzi then diverted investors' money to make payments to earlier investors and himself. FYI - The purpose of the IRC is to allow a person to send someone in another country a letter, along with the cost of postage for a reply. The current IRC will become obsolete on December 31, 2013 but users can exchange these until said date for the new issue.

Today, a Ponzi scheme is any fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from any actual profit earned by the individual or organization running the operation (like the Pyramid Scheme). The system is destined to collapse because the earnings, if any, are less than the payments to investors. The buying and selling of unregistered securities can include bills of exchange, Certificates of Deposit or stocks and shares for the same purpose of deceiving investors as Ponzi originally did.

Because of the Dodd-Frank Wall Street Reform, it was reported on November 12, 2011 that the Security & Exchange Commission disciplined 8 employees with pay cuts and suspensions for failing to detect Bernie Madoff’s Ponzi scheme. And, on November 22, 2011, a former trader for Bernie Madoff pled guilty to fraud going back to the 1970s. However, according to Time magazine the Republicans, at the bankers’ request, are trying to gut the Dodd-Frank Wall Street Reform and the bankers are putting their money on Mitt Romney who says he will repeal the law. This is of no surprise as ThinkProgress reported that Mitt, his son and his brother are linked to Solamere Capital that worked with the Stanford Financial Group (SFG). In 2009 SFG collapsed with charges of massive and ongoing fraud against its investors; the Ponzi scheme bust was second only to Bernie Madoff. Mitt Romney and his son still have extensive financial and political ties to 3 men who allegedly participated in the SFG scheme.

Okay, in English, the Dodd-Frank Wall Street Reform law still leaves a lot of room for money in making deals rather than in making products which is not a recipe for long-term success. We need stricter regulations to stop the Wall Street scammers. This will not happen with any Republican. Time magazine (October 31, 2011) reported that 1% of Americans earn an average of $1,530,773 a year; if you make somewhat less than this you are in the 99 percentile.  So, even if you don’t understand it, you should support the OWS movement and should not vote for a Republican.

If you think the government should do its part in reducing the financial gap between the 1% rich and 99% not so rich (don’t forget that 15% are poor), then you must vote for a Democrat and that just happens to be Obama. Perhaps if Obama is reelected, he will take the painful path of real Wall Street reform as supported by former Federal Reserve Chairman Paul Volcker and consumer-credit reformer Elizabeth Warren.

Gingrich and Freddie Mac

So, where was Gingrich when Fannie Mae and Freddie Mac started to fail – right in the thick of it (1978 – end of 1998). Here’s the history of the programs. The Federal National Mortgage Association, commonly known as Fannie Mae, was founded in 1938 by amendments to the National Housing Act after the Great Depression as part of President Franklin Delano Roosevelt’s New Deal. It was to provide local banks with federal money to finance home mortgages in an attempt to raise levels of home ownership and the availability of affordable housing; it made it possible for banks and other loan originators to buy Federal Housing Administration (FHA) insured mortgages. In 1954, an amendment known as the Federal National Mortgage Association Charter Act split ownership of Fannie Mae; the government held the preferred stock while private investors held the common stock. In 1968 the Government National Mortgage Association (Ginnie Mae) was added. Ginnie Mae remains a government organization, supports FHA insured mortgages as well as Veterans Administration (VA) and Farmers Home Administration (FmHA) insured mortgages. As such Ginnie Mae is the only home loan agency explicitly backed by the full faith and credit of the US government. In 1970, the government authorized Fannie Mae to purchase mortgages not insured by the FHA, VA or FmHA and created the Federal Home Loan Mortgage Corporation, known as Freddie Mac (FM), to compete with Fannie Mae and facilitate a more robust and efficient secondary mortgage market (mortgage backed security). In 1992 President George HW Bush signed the Housing and Community Development Act which amended the charter of Fannie Mae and FM to reflect the ‘affordable housing goals’ set by the Department of Housing and Urban Development (HUD) and approved by Congress. In 1999 Fannie Mae was pressured to expand mortgage loans to low and moderate income borrowers and the primary mortgage market (banks, etc.) pressured Fannie Mae to ease the credit requirements on the mortgages that Fannie Mae was willing to purchase (enabled the market to make loans at interest rates higher than conventional loans) which led to Fannie Mae taking on more risky loans. The initial goal of the government sponsored enterprises (GSEs) was 30% of the total number of dwellings financed by mortgage purchases and it increased to 55% by 2007. In 1999 the New York Times reported the risk in Fannie Mae’s direction; this was echoed again in 2003 by Alex Berenson and Mike Stathis. Congress, controlled by the Republicans during this period, did not introduce any legislation aimed at bringing change until the Federal Housing Enterprise Regulatory Reform Act of 2005 which did not proceed out of committee to the Senate. In 2006 John McCain pointed out that Fannie Mae’s regulator reported that profits were “illusions deliberately and systematically created by the company’s senior management” and the reform act was never passed; instead McCain supported SB190 which provided tax credits to companies for the job training given to employees.

Immediately after leaving Congress Gingrich, in 1999, was on FM’s payroll as a historian and strategic advisor, per his campaign - getting $30,000 a month up to September 2008 (the very month that FM began getting a $54 billion bailout (11/16 - ABC News – said FM got more bailout money than any of the big banks). On the November 16^th Mark Levin radio show Gingrich said “they paid a fee which is a relatively standard fee for Washington for that kind of advice”. FM personnel said Gingrich was hired for only one reason – his political influence.

In the years off FM’s payroll ABC News said on numerous occasions Gingrich slammed FM, blaming it for making too many risky loans that led to the housing bubble that almost ruined the economy. During the last campaign Gingrich hammered Obama for taking contributions from people who worked at FM, during a recent debate Gingrich said prominent Democrats should be jailed for their ties with FM and start with Barney Frank and Chris Dodd. According to candidate Bachmann, Gingrich took money to influence senior Republicans to be favorable to Fannie Mae and FM. I wonder what Gingrich thinks ought to happen to Republicans like himself that have influenced the treatment of FM. 

Gingrich's Earlier Years

Newt Gingrich is rising in the Republican polls so let’s look at his earlier years. Gingrich started his Congressional career in 1978 and became Speaker of the House in 1994. In 1995 Gingrich was among the Republicans leading a movement that temporarily shut down the U.S. federal government. When the previous appropriations bills expired, the government had to close the most non-essential offices; the shutdown became the longest-ever in U.S. history, ending when Clinton agreed to submit a Congressional Budget Office approved balanced budget plan. During the crisis, Gingrich's public image suffered from perception that the Republican’s hard-line stance over the budget was caused by his personal grievances, including a widely-shared editorial cartoon depicting him as having thrown a temper tantrum. Reflecting on the impact of the shutdown for the Republican Party, Gingrich later commented that, "Everybody in Washington thinks that was a big mistake. They're exactly wrong. There had been no reelected Republican majority since 1928. Part of the reason we got reelected ... is our base thought we were serious. And they thought we were serious because when it came to a show-down, we didn't flinch.” In a 2011 op-ed in the Washington Post, Gingrich stated that the government shutdown led to the balanced-budget deal in 1997 and the first four consecutive balanced budgets since the 1920s, as well as the first re-election of a Republican majority for the first time since 1928.

Gingrich is the only Speaker of the House to have been disciplined for ethics violations. During his term as Speaker, eighty-four ethics charges were filed against him; eighty-three of them were dropped. The remaining charge concerned a 20-hour college course called "Renewing American Civilization" that Gingrich had taught through the tax-deductible Kennesaw State College Foundation. Allegations of tax improprieties led to two counts "of failure to seek legal advice" and one count of "providing the committee with information which he knew or should have known was inaccurate" concerning the use of a tax exempt college course for political purposes. To avoid a full hearing, Gingrich and the House Ethics Subcommittee negotiated a sanctions agreement. Democrats accused Gingrich of violating the agreement, but it was forwarded to the House for approval. On January 21, 1997, the House voted 395 to 28 to reprimand Gingrich, including a $300,000 "cost assessment" to recoup money spent on the investigation. The full committee panel did not agree whether tax law had been violated and in 1999, the IRS cleared the organizations connected with the courses.

In the summer of 1997 several House Republicans, who saw Gingrich's public image as a liability, attempted to replace him as Speaker. The attempted "coup" began July 9 with a meeting between Republican conference chairman John Boehner of Ohio and Republican leadership chairman Bill Paxon of New York. According to their plan, House Majority Leader Dick Armey, House Majority Whip Tom DeLay, Boehner and Paxon were to present Gingrich with an ultimatum: resign, or be voted out. However, Armey balked at the proposal to make Paxon the new Speaker, and told his chief of staff to warn Gingrich about the coup. On July 11, Gingrich met with the senior Republican leadership and explained that under no circumstance would he step down. If he was voted out, there would be a new election for Speaker, which would allow for the possibility that Democrats, along with dissenting Republicans, to vote in Democrat Dick Gephardt as Speaker. On July 16, Paxon offered to resign his post, feeling that he had not handled the situation correctly, as the only member of the leadership who had been appointed to his position by Gingrich instead of elected.

By 1998, Gingrich had become a highly visible and polarizing figure in the national public's eye. His national approval rating was 45% in April 1998 but his local approval was undiminished and he was handily reelected to an 11th term. Republicans lost five seats in the House in the 1998 midterm elections (the worst performance in 64 years for a party that didn't hold the presidency) and polls showed that Gingrich’s and the Republican Party's attempt to remove President Clinton from office was widely unpopular among Americans. Facing another rebellion in the Republican caucus, Gingrich announced on November 6, 1998 that he would not only stand down as Speaker, but would leave the House as well. Gingrich said, "I'm willing to lead but I'm not willing to preside over people who are cannibals. My only fear would be that if I tried to stay, it would just overshadow whoever my successor is."

Gingrich has since remained involved in national politics and public policy debates, especially on issues regarding healthcare, national security, and fighting for recognition of the role of religion in American public life.  

Thanksgiving Day

The United States of America is the only country in the world that takes time out to celebrate its national holiday known as Thanksgiving Day.

On November 11, 2011 ABC News announced that some retailers would start Black Friday at 10 PM on Thanksgiving. As time went on more and more retailers announced that they too would open on Thanksgiving.  

On November 21, Whoopi Goldberg said she had heard that the Occupy Wall Street (OWS) movement was threatening to disturb the Thanksgiving Day Parades. The parades are put together using volunteers and are paid for by companies – their attempt to give something to the people. I hope the movement has enough sense not to interrupt a tradition that is put on for everyone but especially for the kids; the average Americans attending and/or watching the parades haven’t done anything wrong.   

On November 23, Good Morning America announced that Toys”R”Us is opening at 9PM on Thanksgiving. Companies are anxious to get out of the red and say this (opening on Thanksgiving) is what consumers want. I don’t agree and neither does Nordstrom as it is being commended for not decking their halls until Friday. As the world around us fights for what we have, decent Americans, those people who believe in the United States, take the day to be with family and/or friends and reflect on what we have to be grateful for – our freedoms – our civil rights – our opportunities; shopping on Thanksgiving takes this away from the stores’ employees.  

Anthony Hardwick, a Target employee, started a petition on Change.org urging his employer not to open until Friday and as of early Wednesday morning he had nearly 200,000 signatures. On Respectthebird.com it was reported that there were nearly 3,400 pledges asking that Black Friday not gobble up Thanksgiving. We cannot allow Thanksgiving to become just another day. We cannot put company profits and our desire to buy cheaper presents ahead of our nation’s conviction for our way of life; the philosophy and principles that make us so much better than most of the world.

The National Retail Federation is predicting that 152 million shoppers will be out this weekend, up 10% from last year; this is half of the US population. I think the retailers can wait one more day to start the Christmas holiday shopping madness. Do your part and don’t shop until Friday morning; this is the only way that the retailers will know NOT to start a new trend. This can also be your way to show them that you don’t buy in to corporate greed and, believe it or not, that you do support the OWS movement.

Happy Thanksgiving!    

Super Committee

On November 19, 2011 we got a heads up that the Democrats on the deficit reducing Super Committee rejected a last ditch offer from the Republicans for $545 billion in cuts over the next decade because there were no tax increases on the wealthy. On this same date, the US House of Representatives rejected a Republican proposal to add a balanced budget amendment to the Constitution. People – I hope you remember that this same effort was a big reason why getting a budget back in August was delayed causing our credit rating to fall.  

On November 21, the Super Committee quit in defeat (they still had a couple of days to their deadline so they probably wanted to leave for their Thanksgiving holiday). The Super Committee was made up of Senators Kyl – Minority Whip from Arizona, Toomey-from Pennsylvania, Portman-Ohio, Baucus-Montana, Murray - Caucus Secretary and Campaign Committee Chair from Washington, and Kerry-Massachusetts and Representatives Hensarling-Texas, Camp-Michigan, Upton-Michigan, Becerra-California, Clyburn-South Carolina and Van Hollen-Maryland; 6 Democrats and 6 Republicans all of whom were part of the budget crisis. So, I hope this result is of no surprise to anyone. An Independent and/or non-political civilians should have been included if we wanted something different than a delay tactic.

The Committee was given special powers over taxes and spending. Democrats wanted cuts balanced with tax increases on the wealthy Democrats and Republicans would only agree to close SOME tax loopholes. Per Jake Tapper the automatic spending cuts were cuts that no one wanted and designed to force the Committee to take a scalpel and come up with a thoughtful and considerate plan. I agree with ABC News saying it’s really a colossal and embarrassing failure. As usual, stock markets all over the world dropped – the US Dow went down 248.85 points. I really have a problem with this. The $1.2 trillion in automatic cuts do not take effect until 2013; nothing is different today than it was a week ago - there should be no fuss. I feel it’s just more Wall Street manipulation.  

The $1.2 trillion in automatic cuts are directed to Medicare, Medicaid, and the Pentagon (over half the cuts would be in the defense budget). Defense Secretary Leon Panetta says he’ll have to cut troops to their smallest level since 1940; cutting weapon systems and personnel, turning our defense into a paper tiger and leading us to a “hollow force”. Because of the failure of the Committee, Congress is expected to come back after Thanksgiving and deal with the previously approved payroll tax cuts and the unemployment benefits ending it December and it’s possible that a tax increase of 2% for all Americans could go into effect January 1, 2012.

The President in his speech said in September he sent the Committee a plan that would have more than reached the goal. His plan would have cut the deficit by $3 trillion by cutting spending, slowing the growth of Medicare and Medicaid and asking the wealthiest Americans to pay their fair share. In addition to his plan, there were a number of others plans from both Democrats and Republicans for them to consider. There are still too many Republicans that refuse to listen to the voices of reason that are coming from outside of Washington (non political economists); they insist on protecting $100 billion worth the tax cuts for the wealthy 2% of Americans. We are still in a better place than we were in August, either Congress comes up with the $1.2 trillion in cuts or these automatic spending cuts kick in. There are already some in Congress trying to undo the automatic spending cuts. My message to them is NO – I will veto any attempts to avoid the automatic spending cuts - we need to keep the pressure up to compromise. The only way the automatic cuts will not take place is if Congress gets back to work and comes up with at least the $1.2 trillion; they still have a year to figure it out. The president said on ‘Keeping it real with Al Sharpton’ - “It must be my religious faith Reverend. Because hope springs eternal and I continue to believe that at some point common sense will prevail and we’ll be able to work something out.”

On November 22, Financial Journalist Trish Reagan said – “if you’re a deficit hawk this ends the Bush tax breaks (scheduled to expire at the end of 2012 if Congress does nothing). This is more evidence, more proof that in fact there is a disconnect in Washington, that it’s not functioning as it should, that there is a breakdown and everything has become so partisan”. She said look at Europe, that’s a great example of the breakdown of the political system as a result of economic stress. Resolving the political dysfunction is in the hands of the voters.   

More on the Occupy Wall Street Protesters

To rebel against the newly imposed debit card fees and in support of the Occupy Wall Street (OWS) movement, 1 million Americans had moved their money from the big banks. On November 4, Good Morning America (GMA) reported that in October 650,000 people had moved their money to credit unions giving them $4.5 billion in new accounts; although there was a national movement encouraging others to do the same, there has been no more news reported on this issue. GMA also said that another Iraq war veteran was hurt at the Oakland protest and a car hit 3 District of Columbia (DC) protesters.

On November 10, 32 Berkeley, California protesters were arrested for not vacating a portion of the campus property; police used night sticks and tore down tents. On November 11, Harvard students join the OWS movement. There was a shooting at the Oakland protest grounds that is said not to be tied to the protest. However, on November 12, a new eviction order is issued to the Oakland protesters, the injured war veteran was out of the hospital however it was reported that he was still having trouble speaking and the Oakland protesters were bracing for another showdown with police.

On November 13, 2 police officers were cut by San Francisco (SF) protesters. Police and protesters in Portland, Oregon clashed when protesters defied a midnight eviction order; one cop was injured by a thrown firecracker and the protester was arrested. Per ABC News, in Portland most left when asked but 100s were hauled out, the protest was attracting thieves and drug users and about 50 protesters had to be arrested after someone threw a fiery object at police. In Salt Lake City, Utah a man was found dead in his tent and 10 were arrested for refusing to leave. In Denver, Colorado there were more arrests when protesters interfered with police trying to clean a park. In Albany, New York (NY) they violated their curfew. In Philadelphia, Pennsylvania a woman was dragged into a tent and sexually assaulted. In Vermont a man committed suicide. Atlanta, Georgia protesters were also evicted.

On November 14, 32 Oakland protesters were arrested and the Mayor said they’ll be allowed back but not allowed to camp at the site. On November 14, I heard Bill Maher on the View say he went to the protests in Washington and Los Angeles and he was going to the one in NY to show his support. (Barbara said one of the female protesters was nude.) Bill said the protests are about income and equality; nothing like the Tea Party and his (the President’s) birth certificate issue.

On November 15, NY’s lower Manhattan protesters lost a court battle over having tents and tarps and the police cleared them out saying it was due to crime and noise violations as well as health and safety hazards; the protesters say they can work in shifts, they don’t have to sleep. At least 90 were arrested for disorderly conduct and resisting arrest. Officials said the protesters would be allowed to return without tents and sleeping bags.

On November 16, Seattle, Washington protesters were hit with pepper-spray; a pregnant woman and an 84 year old, 4’10”, ex- school teacher were among those sprayed. The Berkeley protesters defied police orders and were setting up tents (later they flew a tent above the ground); a man with a gun was shot and wounded in the business school by police. In the middle of the night, police raided SF protesters and cleared their camp. GMA reported that a survey found that 47% of the members of Congress are millionaires and on November 17, a band of millionaires stormed Capitol Hill urging Congress to tax them more.

On November 9, 21 OWS protesters began a walk from New York to DC (231 miles). Per the Washington Post, although a few did heckle them, the majority of the people provided support along their way, giving them a place to stay, food, and donations. There were no serious incidents and they arrived in DC on November 21.  

Nationwide police said the unsanitary and life threatening conditions are prompting the various evictions. I saw the pictures on the TV and law enforcement is right, the protesters are not cleaning up after themselves and I don’t like the violence that is occurring at the protests; both by the protesters and the police. I do like what the New Yorker said on November 15, no more camping out – protest in shifts.  

GOP Candidates

On November 2, 2011 Herman Cain called the sexual harassment accusations – an appalling smear campaign. Cain continues to deny the allegations today. On November 4^th, a Washington Post poll showed 55% of Republican voters said that the sexual harassment accusations against Herman Cain are not a serious matter, 69% said it doesn’t affect his support and 69% said they could change their mind; he’s raised $1.2 million since the allegations came out but has fallen behind Mitt Romney and Newt Gingrich (2^nd) in the race. On November 15^th, Cain, in an interview, had a brain freeze when it came to Libya. Joy Behar said, after watching the interview, Cain doesn’t know about Libya and doesn’t know China has had nuclear weapons since the 60s and he wants his finger on the button – who’s voting for this guy. On November 18^th, Good Morning American reported that after physical skirmishes at his rallies, Cain requested and received Secret Service protection and while in Florida Cain suggested that the Afghanistan Taliban is somehow involved in Libya.

On November 10^th, Rick Perry stumbles (53 seconds of silence) during the Michigan debate when he couldn’t remember that he wants to disband the Department of Energy (along with Education and Commerce). Newt Gingrich said the administration has skipped all the smart ways to handle Iran and Mitt Romney says if we re-elect Obama, Iran will have a nuclear weapon and if we elect him (Mitt) they won’t have a nuclear weapon. Both Gingrich and Romney said they’re willing to go to war to keep Iran from getting nuclear weapons. Remember, that the UN said Iran has been working secretly for years to get them and are further along than anyone thought so it’ll be too late to stop them with an upcoming President. A Washington Post poll showed 33% of Republicans think Mitt Romney is the best candidate to beat Obama but only 24% support him. Because of a health care program he put in place in Massachusetts, 48% said they are less likely to back him; 22% thought Cain is honest and trustworthy and only 17% thought Romney was.

On November 13^th, ABC News pointed out that during the Republican debate most of what the Republicans said that needed to be done with Iran is already being done and the President defends his position that water-boarding is torture. November 15^th’s poll showed Obama would beat Romney 49% to 43%. On Good Morning America, Bill Maher said it’s his job to hold their (politicians) feet to the fire no matter what party. He also added – after watching all these Republican debates, I am ever more an enthusiastic supporter of Barack Obama.

On November 17^th Newt Gingrich tops new GOP poll. On November 18^th, I heard Gingrich say – I’ve been a very hard working business person. The ABC reporter called his efforts - Newt Inc., a sprawling political and media enterprise built around its founder. Newt Inc. includes: (2003) Center for Health Transformation (the Washington Post says Gingrich found gold in health reform earning $37 million from health care companies), Gingrich Group, Gingrich Communications, Gingrich Holdings, Gingrich Productions and the Gingrich Foundation. It was pointed out that the Health Transformation group advocates that most Americans buy health insurance – the same recommendation as in the President’s Health Care bill that’s getting a lot of flack. The Wall Street Journal says the Chamber of Commerce paid Gingrich as a consultant. Rick Klein, ABC Senior Washington Editor, says he’s trying to position himself as the outsider - he looks like the ultimate insider who went straight through a revolving door into a very lucrative lobbying career on the outside.    

In the Iowa debate on November 19^th, in regard to the Occupy Wall Street protesters Gingrich said “they take over a public park they didn’t pay for to go nearby to use bathroom they didn’t pay for; you need to reassert to them to go get a job right after they take a bath”. Apparently, Gingrich doesn’t understand that there are 9 million unemployed Americans because companies will not spend the money to hire even though they’re sitting on trillions of dollars and Congress won’t pass portions of the President’s Jobs Act to give them tax credits for hiring.

The latest Iowa poll for the Republican nomination shows a 4-way tie: Romney, Gingrich, Cain and Ron Paul. Romney was not in Iowa, he was in New Hampshire. I’m sure this had something to do with an earlier report that said he had spent $10 million on his last Iowa campaign trying to defeat McCain and still lost. It appears Perry is out of the race so I’ll start getting information on Ron Paul instead.                   

Congress and the President

Let’s see what has been happening with Congress and the President lately.

On October 28, 2011 it was reported that Medicare premiums are to rise less than expected for next year. And, Congress failed to pass the Jobs Act portion to improve infrastructure along with the portion to hire teachers, firefighters, and law enforcement.

Too often a shortage of necessary drugs and/or antibiotics has been reported. Months ago there were reports saying that some of the chemicals for Leukemia and cancer medicine come from other countries (putting us in their hands) and some manufacturers couldn’t keep up with demand, had production problems or chose not to make generic drugs that are less profitable. There is a shortage of 209 critical drugs on the FDA list; the number has tripled in the last 5 years. This shortage is forcing some hospitals to buy their drugs from profiteers charging 650% over the normal price and hire a full time pharmacist solely to track (maintain a daily inventory of) the drugs; this takes away from the patients. The shortage is accredited with 15 deaths. The medical community thought the government should stockpile critical drugs and give incentives to manufacturers; I don’t think either of these options is good. I think slightly raising the price of the generics and low or no cost loans to resolve production problems would be better. Congress proposed a requirement for drug companies to notify the medical community if they foresee a problem/shortage. According to ABC News, at least this would give the medical community a heads up and allow them to purchase more drugs from oversees and see if they’re safe prior to widespread use. On October 31^st, the President announced he was signing an Executive Order directing the FDA to expand on how it reports drug shortages, to speed up drug reviews and to work closely with the Justice Department to monitor price gouging in an effort to help reduce and prevent drug shortages.

On November 1^st, Good Morning America reported that the Congressional ‘Super Committee’ is striking out in its efforts to come up with budget savings by November 23^rd. On November 2^nd, it was announced that a group of Senators will unveil a proposal to overhaul the USPS; a date for them to reveal their proposal was not given.

On November 4^th, the Senate rejected the $60 billion Jobs Act portion for construction and this lack of progress shows on November 7^th as 62% of Americans disapproved of the President’s handling of the economy. On November 12^th, the President is hosting an economic summit in Hawaii with Asia-Pacific leaders; on November 13^th, he announces a new Pacific Free Trade Agreement and Canada and Mexico are interested in joining.

On November 10^th, per the Bureau of Labor Statistics - 12.1% of the military is unemployed (national average 9%) and 20,000 are homeless. A program, Joining Forces, sponsored by First Lady Michelle Obama and the Vice President’s wife, Dr. Jill Biden, has gotten American corporations to pledge to hire 100,000 veterans by 2014. On November 11^th, the Senate passes a portion of the Jobs Act bill that gives companies tax credits for hiring veterans. This is the only portion of the Jobs Act that has made progress.

It was reported on November 11^th, that a Senate Committee repealed the law defining marriage as between a man and a woman. And on November 15^th, it was reported that the House and Senate negotiators agreed on cuts to NASA and community development programs; just as NASA is looking for its next astronaut class.

On November 18^th, it was reported that the President is encouraged by a democratic reform movement by Myanmar (formerly Burma) and Secretary of State, Hillary Clinton, will be the first US Secretary to visit the country in 50 years. Congress again approved a bill to avert a government shutdown – nice of them to do it quietly this time but I don’t like this scare every couple of months.

I think the President has been doing some hustling to improve the economy. Congress seems to be stopping improvements and/or not taking positive steps to pass a bill for him to sign. On November 1, 2011, I heard Tom Brokaw say that baby boomers promised a change and then decided they like all the toys. We’re on a different playing field now and we haven’t learned the lessons of other countries; we need to compromise.  

So-called Energy Failures

Reminder, the Republicans stopped the smog rule from being passed as it tried to put more regulation and oversight on businesses that do not want to pay for the increased cost associated with reducing global warming (shows a lack of consideration for the people and our environment). Because of this attitude, per Wikipedia, the US is far behind everyone except Afghanistan, Andorra and South Sudan. (Yes, we are even behind Somalia when it comes to reducing dangerous gases into the atmosphere.) So, let’s talk about the so-called energy failures that have been in the news the past few months.

We have plenty of sun in the US however it’s being said that solar is unlikely to contribute much (to our clean energy efforts) without a technological break-through that makes it price competitive to wind. I need to say that not all areas of the US are conducive to wind technology. Actually, I don’t think that any area can be fully supplied by a single energy source but that’s beside the point. Solyndra (a solar panel company) that received over $535 million in loan guarantees from the government (plus money from private investors) went bankrupt and didn’t even have money for employee severance pay. Republicans are saying they were leery from the beginning as Solyndra was shelved by the Bush administration and put on the fast track just 6 days after Obama took office. They’re saying the business plan was flawed from the beginning. When I first heard this story, the company said that despite strong growth it just couldn’t compete with Chinese companies making the same product at a much lower cost. This made no sense to me until I heard that it was costing Solyndra $6 to make the solar panels they were selling for $3. I don’t know if Solyndra started small to assess its competition or not. I do know that one of Solyndra’s principal backers was George Kaiser, an Oklahoma billionaire and one of Obama’s big fundraisers. I would think a backer would be more aware than the government about the stability of a company; after all they’re in the business of making money. The only time backers wouldn’t want to make money is if they needed a write-off. Now, if the Republicans truly don’t want the taxpayers holding the bag, then they should use this as an opportunity to stop bankruptcy or at a minimum change the way we look at things. A backer could be just as accountable as the company, like co-signing a loan and cover the company’s loses. This situation is also a reason why CEOs and board members should be limited in the money paid; better yet, no profit no pay for these folks as they obviously weren’t fulfilling their job commitment. I do think we should get rid of bankruptcy laws but I don’t think people shouldn’t be paid (just not outrageously).

On October 21, 2011 it was reported that the Obama administration in 2009 loaned more than $500 million to Fisker Automotive to make electric cars in the US. However, Henrik Fisker, CEO and European auto designer, said no US manufacturer would do it so the government gave approval for the production of the vehicles, Karma, to be made overseas. So far the loan made 500 jobs in Finland. Fisker says the plan is to make a compact version of the car in the plant in Delaware which should create 1,000s of jobs next year. On October 25^th, ABC News reported that California auto company Tesla Motors, making all electric cars, also received $500 million and is in the red. Tesla’s VP, Diarmuid O’Connell says they will lose money in the foreseeable near future but they will make a profit. The Department of Energy is saying that taxpayer money has already created design and engineering jobs in the US and will ultimately create 2,500 more jobs. I am not surprised to hear that a US gas dependent auto company didn’t want to assist Fisker. All companies start in the red (land, manufacturing plants, utilities, personnel and more) because they don’t have a product as soon as the doors open. The reports on the auto companies were too soon and gave the American people a false sense of wasted money during hard times.

It’s said that all these green start-ups are risky by nature and nothing is guaranteed. True but consider the alternatives. We can do like the Chinese government and pay the people little (putting more people into poverty) or we can step up as a government. It was reported that in 2010 China invested $54.4 billion in clean energy products while the US spent $34 billion. The people just like its legislators need to think long-term. Clean energy vehicles will be necessary to reduce our share of the world’s pollutants and ultimately will reduce the cost of transportation. Additionally, clean energy will reduce the cost of our utility bills. The US is supposed to be a world leader. Many other countries are supporting green projects. We look foolish giving billions in tax credits to those that destroy the air while not supporting those that can help reduce global warming. 

Energy

The June 20, 2011 issue of Time magazine reported that more than 30 years ago President Jimmy Carter pledged that the US would derive 20% of its energy needs from solar power by the end of the century. That pledge lasted as long as oil was scarce and prices were high, then it evaporated when OPEC lifted its embargo and began resupplying the US with oil from the Middle East. Currently, only 11% of our energy is generated by green/renewable sources; wind 2.4%, hydro 7% and solar 1.6% (other countries are also use geothermal and biomass). We need green/renewable energy to get away from our dependence on oil. Of the 85 million barrels of oil produced around the world every day, 21 million are burned here in the US. This means that our 4.43% of the world’s population is using 25% of the world’s oil. And, I do wonder if all the drilling in the earth is causing so many earthquakes.

The 1987 Montreal Protocol on Substances that Deplete the Ozone Layer identifies the greenhouse gases and other gases that are the basis for the UN action plan for fighting climate change. The UN’s Kyoto Protocol which was initially adopted in 1997 identifies the level of emissions to be reduced by 2012 (original date was 2005). As of September 2011, 191 countries have signed and ratified the protocol. The only remaining signatory not to have ratified the protocol is the US. As there is no good data prior to 1990, the Kyoto Protocol uses the 1990 emission levels as the basis for asking countries to reduce their collective greenhouse gases; the emission limits do not include those caused by international aviation and shipping. On November 4^th, it was reported that global output of heat trapping carbon-dioxide jumped to record levels. Per Wikipedia 37 countries have been asked to reduce their emissions by 5.2% while the US has been asked to reduce its emissions by 7%. This implies that the US is polluting the air more than other countries. I agree with the UN and believe that our smog rules should be consistent with our population, vehicle exhaust, manufacturing and other businesses (such as cattle) that send pollutants into the atmosphere. While some countries have committed to reductions above and beyond that which has been requested, the US has done very little. In an effort to join the UN’s fight for climate change and recession, President Obama’s goal is that 80% of our energy comes from clean sources by 2035. Unfortunately the program that awards grants for renewable energy is to be terminated by the end of 2012 unless an extension is approved. Our failure to comply with the UN protocol is due to fossil-fuel industries lobbying Congress to block legislation that would impose federal standards for renewable energy and thus diminish their special status. The oil industry receives $5.5 billion in tax breaks each year and discounted royalty payments as a result of $200 million in lobbying and political contributions. With the support of the news media, the Republicans want you to believe that the energy investments weren’t worth the risk. I beg to differ.

Fortunately, there’s plenty of wind in the US and in the past 4 years, it has become the leading source of new electrical power in the US, exceeding coal and nuclear combined. Hydropower is not expected to move because it requires construction of hugely expensive mega-dams with questionable environmental impacts. The world’s biggest producer of wind power, Spain’s Iberdrola Renovables, was given $1 billion in US grants. Today, some 150 miles north of Phoenix, Arizona sits the state’s first commercial-scale wind farm. The company has also brought 1,043 megawatts of new wind capacity to Washington, Oregon and Texas – enough to power nearly 700,000 households. Iberdrola’s next big installation is the Blue Creek Wind Farm in western Ohio which is supposed to come on line soon. It will produce enough electricity to power some 200,000 households. Iberdrola intends to continue working in the US at least until the end of 2012 by which time it’s expected to have invested $6 billion. One year of the annual tax breaks given to the oil industry would have paid for about 1 million households to use clean energy.

We know that there are deadly coal mine accidents. Think about Japan’s recent nuclear power plant disasters and the California gas line explosions. Replacing deadly sources with safe alternatives is what we should be doing. Instead of Republicans supporting the continued use of fuels that are destroying our planet, I say they should be convincing oil conglomerates to invest in clean energy if they want to continue with their riches. It’s time that they quit trading off of the American people for their friends and supporters.

Global Warming

Global warming causes climate change which brings about extreme weather. We’ve definitely seen severe snow storms, flooding, tornadoes, heat waves and fires in 20ll. And a judge, I don’t know how or why, agrees with government scientists that global warming is destroying the polar bear. People say they want to reduce global warming. However, they don’t seem to realize that when the bible said to go forth and multiply it was at a time when there was limited population on earth. Earth’s population has exploded; in year 1 = 200 million, 1800 = 1 billion, 1960 = 3 billion and on October 31, 2011 the 7 billionth person was born. Underdeveloped countries without the resources to sustain a population are having the highest birth rates (Niger is the highest with 7.2, the US is 2.1). But, we all should have the good sense to know that too many people are the cause of global warming, pollution, overfishing of our waterways, high unemployment, and other social issues resulting in pride and lust generated by extreme competition. It was good to hear Al Gore saying what I’ve said all along, it’s too many people on the planet that causes global warming. Even if it’s because of a bad economy I was happy to hear that Americans for the past 3 years have not increased births. Humankind cannot continue to increase the population while technology reduces opportunities. It was recently reported that Latinos have surpassed Blacks as the largest minority and kids under the age of 18 make up 24% of our population; seniors over 65 = 13%. By 2050 the minorities will be the majority and seniors will be 20% of the population. These actions make me believe that we are determined to destroy what has been given to us. We need change to fix the economy not add more people. Kaiser Permanente’s insemination of the Octomom was ridiculous. Here’s a woman who already had 6 children and lived with her parents. As far as I’m concerned, Kaiser failed in Planned Parenthood, Family Therapy and good old fashioned sense when it came to this insemination.

Because of global warming plants and animals are migrating away from their normal habitats. Some of this could be okay while the rest could be deadly. For example, the Asian Tiger Mosquito, native to the tropics of Southeast Asia, have landed in the US southeast and California; they bite during the day and are deadly. Starbucks Jim Hanna said because of global climate change, bad weather (severe rains or long droughts) and insect infestations are ruining our supply of coffee beans. He told the Guardian newspaper that if things stay the way they are, the coffee bean will be gone within 30 years. Another report says that Africa may end up too hot for cocoa which will eliminate chocolate. Dr. Clifford Bassett of Allergy and Asthma Care of NY says that due to the wet weather and global warming that causes more pollen, the pollen is more powerful and may be stronger and more plentiful. The Proceedings of the National Academy of Sciences has found the ragweed season to be longer. No one is asking you to give up beef or milk and I don’t think we’ll be getting rid of all the swamp land even though they put gas into the air (I learned these affect the planet years ago with one of the kid’s school project). But we can control the cutting of the rain forest, planting of new trees, exhaust from factories and vehicles and the population causing the increased usage. There are those that don’t agree with scientists, judges and other people in the know (Republican Rick Perry says he doesn’t believe that it’s man made). The skeptics of global warming are saying that the warnings are brewing unnecessary concerns. However, on October 31, 2011 a physicist, and long-time skeptic of global warming, is now agreeing that it’s real.

Earlier this year, the Republicans slammed a strict smog rule saying it would kill jobs (the President dropped it). I do agree with Al Gore in that the lack of more stringent regulations will result in increased medical bills for seniors with lung disease, more children developing asthma, and the continued degradation of our air quality. But, I still thought it was okay with the new smog rule being temporarily dropped so we could get our economy back on track and look at what others are doing before implementing new rules. I’ve since had the opportunity to look at what others are doing and how well we do our part in deterring global warming. I’ve found that we’re not keeping up our end of the bargain. The bottom line is that Republicans are being hypocrites: corporations are sitting on trillions of dollars and have done very little to add jobs and they’re yelling about medical costs, both Medicare and Medicaid, and don’t want to implement practices on business that would reduce health costs as they would also reduce business profits. But the clincher is that the Republicans don’t want to spend money when it comes to the smog regulations because it hinders the continued greed of their fossil-fuel (oil) industry cohorts. 

Other Foreign Events

A team of international mediators led by former UN Secretary-General Kofi Annan lobbied the Basque separatist militant group Euskadi Ta Askatasuna (ETA) to put down its arms. After more than 40 years trying to shoot and bomb its way into an independent state out of Spain and southwestern France, ETA announced on October 20, 2011 a definitive cessation of its armed activity and said it now backs only peaceful means for achieving its goal. On November 11^th, the Basque newspaper Gara, quoted two unnamed ETA members as saying that the group is prepared for the first time to negotiate over its arsenal. The members asserted that ETA has not renounced its goal of an independent Basque state; the people of the Basque region have the right to decide between independence and remaining part of Spain and it is now up to pro-independence parties to pick up where the ETA left off. The Spanish constitution has no clause that would allow the Basque country to break away and form a sovereign country. General elections are scheduled for Nov. 20 and many saw this as a way to plug a pro-Basque independence coalition, Amaiur - that is fielding candidates. Ramon Jauregui, outgoing Prime Minister Jose Luis Rodriguez Zapatero’s chief of staff, said disarming would be a “definitive verification” that ETA has renounced violence, but said the action was clearly aimed at reaping an “electoral premium” for Amaiur. The conservative Popular Party, expected to win the elections, has ruled out any negotiations with the ETA.

A 32 year old Norwegian farmer and veteran with grievances against the government became part of an anti-Muslim group. He bombed Oslo and 2 hours later went on a shooting spree dressed as a policeman; the incidents (Utoya Youth Camp and bombing) totaled at least 76 dead. He may be charged with acts against humanity which has a maximum 30 years sentence and they’re questioning whether or not he is sane. I believe the penalty should equal at least one year for each person killed and in my opinion, anyone that plans an act is not insane but sane as it takes calculated thought to make plans.

A Dutch citizen was charged with helping to ship aircraft parts from the US to Iran. Canadians rioted in Vancouver because their hockey team lost the Stanley Cup. A 50 year old Australian businessman, Paul Douglas Peters, was responsible for placing a fake bomb collar on William Pulver’s teenage daughter; it was a failed extortion plot. There’s talk about a tunnel from Russia to Alaska and I do wonder what the Russian and North Korean talks were about since North Korea is not an ally of the US.

Because of the austerity plan implemented a couple of years ago, the United Kingdom this year had outbursts over tax and tuition increases. They also had riots with people as young as 9 years old destroying property and setting fires. The Greeks and Italians have also rioted because of tax increases and decreased benefits. My problem with riots is that it hurts your neighbors. The government is already hurting you, your family, friends and neighbors and you should not add to the frustration. If you have a beef with the government take it to them via the news media, demonstrations or the courts. This is what the world-wide Occupy movements are all about. And, on October 19^th, the UK police moved in, burning down the barricades, to evict some 400 Travelers of Irish Extraction from a campsite that has been subject to a decade-long legal battle. 

On October 15^th, the President sent about 100 troops to Uganda. Per Time magazine, the troops are noncombat military advisers to aid Uganda in its fight against the Lord’s Resistance Army (LRA), a notorious rebel group. The LRA’s messianic leader, Joseph Kony, is wanted for crimes against humanity, including the raping, mutilating, killing and kidnapping of thousands of civilians.

It appears the world has been and is still going mad. I really wish that everyone would put their beliefs aside and realize that our individual truths are not as important as people. We do not have to agree with one another to live side by side and attain world peace.  

European Crisis

October 6^th, in President Obama’s speech, he said - In regard to the world crisis, everyone has gotten cautious in their spending. America has over the last 20 years been the engine to economic growth. We were the purchasers of last resort and when the Europeans got in trouble they could always sell to the US. Because of our problems, Europe can’t export its way out of its problem so they need to find another way. The President said he promotes a more balanced economic growth world-wide. We can’t just buy, we also need to export. 

Athens, Greece had riots over budget cuts and increased taxes. Much of Greece’s debt is financed by 3 major French banks that spread the risk to US financial institutions by selling insurance for billions of dollars (this is part of our connection to other countries). Greece started a snowball effect in Europe. Five banks from around the world, including our Federal Reserve, pumped money into European banks in hopes of calming global fears; soon after Eurozone added $1.39 trillion in funds. On October 27^th, European leaders came up with a plan to end Greece’s crisis by writing off 50% of Greece’s debt. As a result of the European’s action US stocks rose 339.51 points but this was immediately undone by the Greek Prime Minister (PM) saying he wanted the Greek people to vote on the bailout and US stocks dropped snapping a 5 week winning streak. Initially, Slovakia blocked the expansion of the Euro bailout and Standard & Poor (downgraded the US) began lowering the ratings for several countries; causing problems for many (Portugal and Ireland are seeking bailouts). The European Union (EU) used almost $8 million to bail out a large Irish insurance company and the owner has since filed for bankruptcy for $2.8 million in personal loans to Ireland’s biggest bank. On November 4, 2011 the Greek PM dropped his plan to have people vote on bailout. The Greek parliament questioned his confidence level and although he survived the vote he decided to step down; a new PM was appointed on November 10^th.  

The United Kingdom a couple of years ago implemented an austerity plan that progressively increases taxes and cuts benefits. When they increased college tuition costs (with the increase they’re far below US costs), the British protested. France in helping Greece will probably have to implement a plan like the United Kingdom’s in order to save itself. On November 7^th, we find out that Italy’s government bonds sky rocketed sending their economy into crisis and the US Dow made its largest drop in 7 weeks (3.2%). Let’s talk about the Italian people. They’re forbidden to work more than 48 hours a week, are entitled to 4 – 6 weeks paid vacation, take 6 months for maternity leave and retire with a full state pension after 35 years on the job or at age 56 (non state workers retire at 65). Italy is one of the world’s 10 largest economies (Greece is not). Italy sees $2 trillion in economic activity (Greece - $305 billion) and is the 3^rd biggest bond market in the world. European investors will most likely come to US Banks which will drive interest rates lower. With the world economy shaking our banks won’t want to take any risks and it’ll be harder to get a loan. With the ups and downs in Europe, our market reacts; the average 401K lost $4000 in one day. On November 10^th, it was reported that Italy is $2.5 trillion in debt and will need to borrow $408 billion to pay the interest on its debt and keep the country afloat (they’re looking at allowing advertising on national monuments). Italy’s PM will step down on the condition that Italy agrees with the European demands for more austerity. Former EU commissioner Mario Monti is likely to replace him and he has been working on a plan for 4 months. On November 10^th, following intervention by the European Central Bank, Italy’s bonds lowered. In light of Europe’s progress and an unexpected drop in US unemployment claims, US stocks go up again; after the rollercoaster ride, the November 11^th rally put the market up 1.4% for the week. It’s being said that when Greece shook we felt tremors but if Italy falls it’ll be seismic as Italy is too big for a bailout. Italy’s austerity plan includes increasing the retirement age, privatizing state-owned companies, sale of state-owned properties, liberalization of certain professions and investment in infrastructure. On November 11^th, Italy’s PM stepped down after Parliament voted to initiate a tough austerity plan; Italians celebrated the end of Berlusconi’s reign.

It’s no wonder that Europeans are generally happier than Americans; they work less, retire earlier and their retirement is more than some of our people’s working wage. I was ready to be upset with the European governments’ austerity plans until I learned that along with better benefits most European countries have a lower percentage of people living in poverty than the US. I now know that for years the European governments gave generously to the people and now they want to take it back. I’m not agreeing with their approach but I don’t think it’s fair that others continue to suffer because of their lackadaisical (relaxed) lifestyles.   

Let’s hope the European crisis is over. Jonathan Swift said that – All government without the consent of the governed is the very definition of slavery. I know governments can’t please everyone so they’ll never get total consent but they need to start targeting the rich minority and close the gap between the rich and the not so well off. On November 9^th it was reported that 61% of Americans felt this way and I’d bet the Europeans do too. 

Iran & Al Qaeda Influence

We need to watch Egypt as we could have a situation like Iran. Egyptians denounced President Hosni Mubarak and in February 2011 he resigned, ending his 30 year rule. However, because the US was friendly with Mubarak the Egyptian people do not trust us. Our troubles with Iran began when the US helped the Shah of Iran regain his power in 1953. Since 1979, when the Shah’s government was overthrown, Iran has been struggling against the western powers and continues to be a threat to world peace. To get hostages back in the 1980s, Reagan sold weapons to Iran with the profits going to Nicaragua; this is not the way we deal with such situations today.  

Iran invaded Lebanon in June 2011 and brought down its government. It has a strong influence in Syria and on October 24, 2011 the US withdrew the ambassador as anti-government protesters were killed. Also on October 24th, Gadhafi’s surviving son, on Syrian TV, promised to avenge his father’s and brother’s deaths. On October 29^th, it was reported that Syrian troops shelled protesters. On November 4^th, it was reported that the Syrian peace talks broke down and on November 12^th, it was reported that the Arab League is holding an emergency meeting regarding Syria’s 8 month brutal crackdown on its anti-government protesters; UN estimates 3,500 killed.

On October 11^th, ABC News reported that the Iranian government was trying to hire a hit man (an Iranian American from Corpus Christi, Texas) for $1.5 million. In Mexico, in August 2011, the hit man thought he was working with the Mexican cartel when he was taped; giving the FBI information on the planting of bombs in a Washington DC restaurant to kill the Ambassador from Saudi Arabia (it would have killed hundreds). The call giving the go ahead (project code name Chevrolet) was taped on October 6^th. This attempt as well as future attempts to bomb the Saudi and Israel embassies here in the US were thwarted. The Americans are saying the most damaging evidence is the $100,000 that was wired from Iran to an undercover FBI agent’s account as a deposit for the bombing. The US will go ahead with economic sanctions, diplomatic efforts to further isolate Iran, and spread the information to the world including Saudi and Muslim countries. The Iranians deny this occurred and call it a hoax to deter the media from the Wall Street protesters; the protesters are still in the news and their support is growing. I do wonder if the timing of this incident had anything to do with the release of the 2 students on September 21^st. Back in 2009 3 students were imprisoned for spying; they were each released with the payment of $500,000 for a total of $1.5 million; I don’t believe this a coincidence. Per the October 31^st issue of Time magazine Ayatullah Ali Khamenei, Iran’s Supreme Leader, warned the US against a response to the alleged plot saying ‘any unsuitable act, whether political or security, will meet a resolute response from the Iranian nation.’ On November 8^th, it was reported that a UN report came out saying that Iran has been secretly making a nuclear bomb for almost the last decade. Because oil distribution would be disrupted the price of oil goes up. On November 11^th, it was reported that the US is to sell bunker-busting bombs to the United Arab Emirates in an effort to counter Iran. The President is seeking common ground regarding Iran from Russia and China.

On October 21, 2011 it was reported that the Iraq war (March 19, 2003 with a surge in 2007) was over. There are about 39,000 troops currently left and we’ll be pulling them all out by the end of December; let’s hope they all come back safe. It’s being said that a shaky democracy is what we leave behind after spending more than $700 billion (more than 1 million troops served, 4,482 died and 32,213 were wounded). Contractors and Marines at the Embassy are staying. Although Saddam Hussein is gone, the violence has not ended. Defense Secretary Leon Panetta says the US military role after the New Year will be discussed with Iraq. He says we’re prepared to meet their training needs and exercises with them (Iraq asked for 5,000 troops) but they must guarantee immunity for our troops. Iran is trying to control Iraq thus getting control of the northern countries in the Middle East. I believe that Iraq will require our continued support to prevent the extremists from gaining control of the area. On November 1^st, I heard Condoleezza Rice say what I feel, Al Qaeda may not have been in Iraq when the war on terrorism started but going there was crucial in preventing a security threat to the region.  

Earlier this year UN offices in Nigeria were attacked, a bomb exploded outside the High Court in New Delhi, India killing at least 10 people and although it was a good month for killing Al Qaeda leaders, on October 23^rd the US warned Americans in or traveling to Kenya about a terrorist threat by a Somalia group linked to Al Qaeda and on October 31^st an American was identified as the bomber who attacked African troops in Somalia. The Islamist militants that control much of southern Somalia are lead by Al-Shabab who is accused of staging raids in Kenya and abducting tourists. In 2007 Ethiopia had an ill-fated intervention to stop Al-Shabab and now the Kenyans are trying.  

On October 28^th, it was reported that the US Embassy in Bosnia was attacked by an Islamic militant and on November 11, 2011 it was reported that Turkish forces shot a ferry hijacker and rescued 18 hostages.