Search Episodes (Greece is the word)

Vetoing Democracy: In Athens or Washington, Elites Still Call ...

Added 11/05/11
2 Views

Vetoing Democracy: In Athens or Washington, Elites Still Call the Shots

[LESS INFO] 2 VIEWS | ADDED 18:00:07 11/05/11
Greeks protest austerity measures, October 19 (RT Television) This week was a sharp reminder that the ancient ideal of democracy is just as threatened -- and to some, just as threatening -- as it's ever been. In government offices in Athens, G20 meeting rooms in Cannes, and "Super Committee" chambers in Washington, we learned that there are still places where the will of the people can be overruled by the whims of the powerful. From the Parthenon to the Potomac, it was the same story: Elites still hold veto power over the democratic process, and they're not afraid to use it. Democracy: 'Radical,' 'Irrational,' 'Dangerous' Ironically, this week's ferment began in the country that's usually credited with creating democracy. In many ways the Greek economy couldn't be more different from our own. The government's fiscal problems there are due in large part to widespread corruption and massive tax evasion -- not tax breaks , tax evasion -- which are very different from our own problems. The government's finances dramatically worse than our own -- almost like night and day -- and a default could create the next major financial crisis. A certain level of fear and concern was understandable when Greek President George Papandreou announced there would be a referendum on the new bailout plan imposed on his country. The global economy is still unstable, top-heavy, and still riddled with too-big-to-fail institutions. In a worst-case scenario, Greece could trigger another financial meltdown. Yet the fear was rarely balanced with an understanding of what's really happening in Greece. There was no acknowledgement that the bailout's terms might be grossly unfair (they are), that they're likely to make a terrible situation even worse (they will), or that Greece is in chaos, misery, and despair. (It is.) And what was most striking was the assumption the elite -- the 1%, if you will -- have veto power over the democratic process. In most of the commentary that flowed from the powerful and the press, a surprising number of world leader didn't even acknowledge that Greece had the right to its own democratic decision-making process. South Korean President Lee Myung-bak, whose nation will benefit from "bipartisan" U.S. actions to create a free trade agreement between the two countries, said that "The world has plunged into fears again because of the Greek prime minister's radical step to hold a referendum." Closer to home, French President Sarkozy said that "the Greek's gesture is irrational and, from their point of view, dangerous." The first part of that statement is a slur against democracy. The second part is, of course, a threat. What's the Greek word for 'shafted'? Few are asking who created the Greek debt problem, or who benefited. As in the United States, deficit-creating behavior primarily served the wealthy, the powerful, and the banks. Tax collections for corporations and the wealthy have been very low in Greece. And while tax evasion is commonly for everyone from taxi drivers to millionaires, it takes a lot of cheating cabbies to equal one rich tax dodger. Bankers didn't give Greece these loans out of kindness, either. They saw an opportunity and they took it. That's why they're being asked to take "haircuts" and lose part of the loan repayment (a reasonable measure that hasn't been yet considered in the US mortgage crisis.) Greeks are struggling with devastating levels of unemployment, a declining standard of living, and widespread social unrest. While the austerity measures imposed on it do include tax hikes and measures to reduce tax evasion, they will have an especially devastating impact on already hard-hit middle class Greeks. They're the ones who went to work, paid their taxes (wage earners were disproportionately taxed because of the evasion), and paid into their Social Security and health funds with the expectation these services would be available when they were needed. It doesn't matter now. They won't get their say. Once again the elites were given veto power over democracy. A "bipartisan" revolt of politicians in both major parties made sure of that, and today George Papandreou is looking forward to joining the swelling ranks of Greece's unemployed. The public's widespread dissatisfaction is understandable, and this stifling of democracy should raise even more fears for Greece's future stability than the referendum did. What will happen if the Greek people continued to be denied a place at the bargaining table as their fate is decided? Given that nation's troubled past, and its tormented present, there's always John F. Kennedy's quote to consider: Those who make peaceful evolution impossible make violent revolution inevitable. Elites Only But what does this have to do with us? We certainly don't face Greek-level problems. In fact, it serves the elite's narrative to suggest otherwise. Our currency is the dollar, which helps a great deal. We're a commanding world economy. We have the money and resources to fix our joblessness problem, if we only had the will, and we're not part of a larger group like the European Community. Bet we are part of the G20, which this week reaffirmed its obsession on austerity measures even as Europe sinks under the weight of those already imposed. Washington's Powers That Be are still obsessing about austerity, too. Here, as in Europe, public opinion is expected to take a back seat to the elites. Yet another poll has been released which shows that a majority of people in all age groups oppose cutting Social Security to fix the deficit. Past polls have shown that strong majorities of Republicans, independents, and even Tea Party member oppose such measures. Yet despite the strong public objections, and despite the fact that there's overwhelming evidence these cuts are unnecessary and counterproductive, an elected "Super Committee" is likely to recommend them anyway. The usual Congressional rules have been waived in order to force their proposal to a simple up-or-down vote, with no possibility of filibuster and no chance to offer amendments. And US politicians will be under as much pressure to vote for this austerity measure as their Greek counterparts were. Vetoing Democracy The same week that democracy was under siege in Greece, the "Super Committee" heard from a blue-ribbon panel representing the austerity elite: a Republican hater of Social Security recipients; a Democratic member of Morgan Stanley's Board of Directors; a Republican ex-Senator; and an economist aligned with the Democratic establishment advocates for entitlement cuts. The activities of all four been funded by Republican anti-government-spending billionaire Pete Peterson. In words that echoed those of the South Korean and French Presidents, the quartet told the unelected committee that if it fails to offer austerity measures which the public rejects, "We haven't got a prayer and neither have you." The elites have spoken: The public is to be ignored. Democracy's been vetoed. Here's what they didn't teach us in civics class: Democracy has always been controversial. "Democracy... is a charming form of government," said Plato, "full of variety and disorder; and dispensing a sort of equality to equals and unequals alike." He could sound like a Tea Partier at times. "Dictatorship naturally arises out of democracy," he said, " and the most aggravated form of tyranny and slavery out of the most extreme liberty." Plato's aversion to democracy is shared by a lot of powerful people these days. But politicians, especially those whose party derives its name from the democratic principle, would be better off remembering another Greek philosopher, Aristotle, who said that "The only stable state is the one in which all men are equal before the law." Representatives from groups that represent Social Security and Medicare recipients, the disabled, and the elderly requested an opportunity to address the Super Committee. They wanted to present their case for preserving these programs, a position that's supported by compelling evidence and supported by majorities in all political parties and of all generations. Their requests were ignored.

Vetoing Democracy: In Athens or Washington, Elites Still Call ...

Added 11/05/11
4 Views

Vetoing Democracy: In Athens or Washington, Elites Still Call the Shots

[LESS INFO] 4 VIEWS | ADDED 18:00:07 11/05/11
Greeks protest austerity measures, October 19 (RT Television) This week was a sharp reminder that the ancient ideal of democracy is just as threatened -- and to some, just as threatening -- as it's ever been. In government offices in Athens, G20 meeting rooms in Cannes, and "Super Committee" chambers in Washington, we learned that there are still places where the will of the people can be overruled by the whims of the powerful. From the Parthenon to the Potomac, it was the same story: Elites still hold veto power over the democratic process, and they're not afraid to use it. Democracy: 'Radical,' 'Irrational,' 'Dangerous' Ironically, this week's ferment began in the country that's usually credited with creating democracy. In many ways the Greek economy couldn't be more different from our own. The government's fiscal problems there are due in large part to widespread corruption and massive tax evasion -- not tax breaks , tax evasion -- which are very different from our own problems. The government's finances dramatically worse than our own -- almost like night and day -- and a default could create the next major financial crisis. A certain level of fear and concern was understandable when Greek President George Papandreou announced there would be a referendum on the new bailout plan imposed on his country. The global economy is still unstable, top-heavy, and still riddled with too-big-to-fail institutions. In a worst-case scenario, Greece could trigger another financial meltdown. Yet the fear was rarely balanced with an understanding of what's really happening in Greece. There was no acknowledgement that the bailout's terms might be grossly unfair (they are), that they're likely to make a terrible situation even worse (they will), or that Greece is in chaos, misery, and despair. (It is.) And what was most striking was the assumption the elite -- the 1%, if you will -- have veto power over the democratic process. In most of the commentary that flowed from the powerful and the press, a surprising number of world leader didn't even acknowledge that Greece had the right to its own democratic decision-making process. South Korean President Lee Myung-bak, whose nation will benefit from "bipartisan" U.S. actions to create a free trade agreement between the two countries, said that "The world has plunged into fears again because of the Greek prime minister's radical step to hold a referendum." Closer to home, French President Sarkozy said that "the Greek's gesture is irrational and, from their point of view, dangerous." The first part of that statement is a slur against democracy. The second part is, of course, a threat. What's the Greek word for 'shafted'? Few are asking who created the Greek debt problem, or who benefited. As in the United States, deficit-creating behavior primarily served the wealthy, the powerful, and the banks. Tax collections for corporations and the wealthy have been very low in Greece. And while tax evasion is commonly for everyone from taxi drivers to millionaires, it takes a lot of cheating cabbies to equal one rich tax dodger. Bankers didn't give Greece these loans out of kindness, either. They saw an opportunity and they took it. That's why they're being asked to take "haircuts" and lose part of the loan repayment (a reasonable measure that hasn't been yet considered in the US mortgage crisis.) Greeks are struggling with devastating levels of unemployment, a declining standard of living, and widespread social unrest. While the austerity measures imposed on it do include tax hikes and measures to reduce tax evasion, they will have an especially devastating impact on already hard-hit middle class Greeks. They're the ones who went to work, paid their taxes (wage earners were disproportionately taxed because of the evasion), and paid into their Social Security and health funds with the expectation these services would be available when they were needed. It doesn't matter now. They won't get their say. Once again the elites were given veto power over democracy. A "bipartisan" revolt of politicians in both major parties made sure of that, and today George Papandreou is looking forward to joining the swelling ranks of Greece's unemployed. The public's widespread dissatisfaction is understandable, and this stifling of democracy should raise even more fears for Greece's future stability than the referendum did. What will happen if the Greek people continued to be denied a place at the bargaining table as their fate is decided? Given that nation's troubled past, and its tormented present, there's always John F. Kennedy's quote to consider: Those who make peaceful evolution impossible make violent revolution inevitable. Elites Only But what does this have to do with us? We certainly don't face Greek-level problems. In fact, it serves the elite's narrative to suggest otherwise. Our currency is the dollar, which helps a great deal. We're a commanding world economy. We have the money and resources to fix our joblessness problem, if we only had the will, and we're not part of a larger group like the European Community. Bet we are part of the G20, which this week reaffirmed its obsession on austerity measures even as Europe sinks under the weight of those already imposed. Washington's Powers That Be are still obsessing about austerity, too. Here, as in Europe, public opinion is expected to take a back seat to the elites. Yet another poll has been released which shows that a majority of people in all age groups oppose cutting Social Security to fix the deficit. Past polls have shown that strong majorities of Republicans, independents, and even Tea Party member oppose such measures. Yet despite the strong public objections, and despite the fact that there's overwhelming evidence these cuts are unnecessary and counterproductive, an elected "Super Committee" is likely to recommend them anyway. The usual Congressional rules have been waived in order to force their proposal to a simple up-or-down vote, with no possibility of filibuster and no chance to offer amendments. And US politicians will be under as much pressure to vote for this austerity measure as their Greek counterparts were. Vetoing Democracy The same week that democracy was under siege in Greece, the "Super Committee" heard from a blue-ribbon panel representing the austerity elite: a Republican hater of Social Security recipients; a Democratic member of Morgan Stanley's Board of Directors; a Republican ex-Senator; and an economist aligned with the Democratic establishment advocates for entitlement cuts. The activities of all four been funded by Republican anti-government-spending billionaire Pete Peterson. In words that echoed those of the South Korean and French Presidents, the quartet told the unelected committee that if it fails to offer austerity measures which the public rejects, "We haven't got a prayer and neither have you." The elites have spoken: The public is to be ignored. Democracy's been vetoed. Here's what they didn't teach us in civics class: Democracy has always been controversial. "Democracy... is a charming form of government," said Plato, "full of variety and disorder; and dispensing a sort of equality to equals and unequals alike." He could sound like a Tea Partier at times. "Dictatorship naturally arises out of democracy," he said, " and the most aggravated form of tyranny and slavery out of the most extreme liberty." Plato's aversion to democracy is shared by a lot of powerful people these days. But politicians, especially those whose party derives its name from the democratic principle, would be better off remembering another Greek philosopher, Aristotle, who said that "The only stable state is the one in which all men are equal before the law." Representatives from groups that represent Social Security and Medicare recipients, the disabled, and the elderly requested an opportunity to address the Super Committee. They wanted to present their case for preserving these programs, a position that's supported by compelling evidence and supported by majorities in all political parties and of all generations. Their requests were ignored.

G20 struggles to keep a grip on fast-moving crisis

Added 11/04/11
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G20 struggles to keep a grip on fast-moving crisis

Added 11/04/11
0 Views

Our Studio Guest: Holger Schmieding, Chief Economist at Berenb...

Added 07/19/11
44 Views

Our Studio Guest: Holger Schmieding, Chief Economist at Berenberg Bank

[LESS INFO] 44 VIEWS | ADDED 22:30:00 07/19/11
Holger Schmieding, chief economist at Berenberg Bank, talks to us about the euro and the debt crisis.DW-TV: Chief economist from the Berenberg Bank, Holger Schmieding, what do you think the future looks like in Italy? Holger Schmieding: I actually think the future for Italy does not look bad. Italy does now have some austerity in the pipeline, but relative to the austerity in Greece, in Britain, in Spain, and what is ahead in the US, Italian austerity does not have to be all that harsh because the fiscal deficit of Italy actually isn't all that high. DW-TV: Why were markets reacting so nervously to Italy then? Holger Schmieding: First of all markets are very nervous, in the wake of the Greek crisis, this is just a fact of life. And then we had a public spat between the finance minister, which is seen as being extremely responsible in terms of fiscal matters, and the prime minister which is not necessarily seen as always being responsible fiscally. And this spat spooked markets. But now we have seen Italy passing an austerity package and that will hopefully will contribute to Italien tangence dying down. ? DW-TV: If we have a look at the current mountains of debt here in Europe Greece is right up on top of course, with Italy NOT all that far behind. Ireland and Portugal are already being bailed out. But what about Germany? It's got to foot the bill of course, the bulk of the bill for the E-U's share, as far as these rescue packages go. Where does that leave Germany do you think? Holger Schmieding: Germany has over the decades acquired a great reputation in markets. That is why Germany can borrow at very low interest rates, despite its debt being also not very low. On top of that, Germany is on course to cut its budget deficit to virtually zero next year. That inspires confidence. Italy by the way will probably manage to eliminate its deficit in 2014, which by global standards would be also be pretty good. DW-TV: All that sounds, to use your words, on course, where are we at as far as the euro crisis goes as a whole? Holger Schmieding: The euro crisis at the moment is extremely dangerous, markets are highly nervous. The euro markets need a political signal, that politicians will really do a lot to keep that crisis at bay, so the summit this Thursday has to come up with a result. DW-TV: There are a lot of ideas being thrown around at the moment in reaction to this summit, what do you think needs to be done? Holger Schmieding: First of all we need a solution, and secondally the best possible solution would be a program to use European funds to buy Greece, Greek debt back at a discount. That would reduce the burden of Greek debt outstanding because we would be buying back at a discount. And it would be a signal of political confidence in Greece. Interview: Brent Goff

Our Studio Guest: Holger Schmieding, Chief Economist at Berenb...

Added 07/19/11
16 Views

Our Studio Guest: Holger Schmieding, Chief Economist at Berenberg Bank

[LESS INFO] 16 VIEWS | ADDED 22:30:00 07/19/11
Holger Schmieding, chief economist at Berenberg Bank, talks to us about the euro and the debt crisis.DW-TV: Chief economist from the Berenberg Bank, Holger Schmieding, what do you think the future looks like in Italy? Holger Schmieding: I actually think the future for Italy does not look bad. Italy does now have some austerity in the pipeline, but relative to the austerity in Greece, in Britain, in Spain, and what is ahead in the US, Italian austerity does not have to be all that harsh because the fiscal deficit of Italy actually isn't all that high. DW-TV: Why were markets reacting so nervously to Italy then? Holger Schmieding: First of all markets are very nervous, in the wake of the Greek crisis, this is just a fact of life. And then we had a public spat between the finance minister, which is seen as being extremely responsible in terms of fiscal matters, and the prime minister which is not necessarily seen as always being responsible fiscally. And this spat spooked markets. But now we have seen Italy passing an austerity package and that will hopefully will contribute to Italien tangence dying down. 　 DW-TV: If we have a look at the current mountains of debt here in Europe Greece is right up on top of course, with Italy NOT all that far behind. Ireland and Portugal are already being bailed out. But what about Germany? It's got to foot the bill of course, the bulk of the bill for the E-U's share, as far as these rescue packages go. Where does that leave Germany do you think? Holger Schmieding: Germany has over the decades acquired a great reputation in markets. That is why Germany can borrow at very low interest rates, despite its debt being also not very low. On top of that, Germany is on course to cut its budget deficit to virtually zero next year. That inspires confidence. Italy by the way will probably manage to eliminate its deficit in 2014, which by global standards would be also be pretty good. DW-TV: All that sounds, to use your words, on course, where are we at as far as the euro crisis goes as a whole? Holger Schmieding: The euro crisis at the moment is extremely dangerous, markets are highly nervous. The euro markets need a political signal, that politicians will really do a lot to keep that crisis at bay, so the summit this Thursday has to come up with a result. DW-TV: There are a lot of ideas being thrown around at the moment in reaction to this summit, what do you think needs to be done? Holger Schmieding: First of all we need a solution, and secondally the best possible solution would be a program to use European funds to buy Greece, Greek debt back at a discount. That would reduce the burden of Greek debt outstanding because we would be buying back at a discount. And it would be a signal of political confidence in Greece. Interview: Brent Goff

Where to Look for Color Inspiration

Added 05/05/11
0 Views

Where to Look for Color Inspiration

[LESS INFO] 0 VIEWS | ADDED 10:00:23 05/05/11
Irwin Weiner ASID - "Learning to look" is the heart of intelligent home interior design. Look around you for inspiration on everything from period furnishings to custom finishes - but today I'm waxing poetic about color inspiration. We've just discovered the new Thomas & Hudson book Scarves, and it's filled with over 200 vintage scarves that will give you loads of color ideas. Grays Blog Don't just zero-in on a specific color, although you can certainly single out a specific shade of orange and match it up with a paint swatch. Rather go for the fascinating combination of colors you find in scarves. Look at the predominant colors used - those would become your wall and floor colors with dominant upholstered pieces picking up the charge - and the secondary colors - accessories and color bursts and counterpoints throughout the room. Our featured video gives a good overview of colors and their psychological moods - yes, you can also pick color ranges for rooms based on how you feel, and we recommend our earlier article on How Can I Get a Handle on Color Schemes? Here are some other likely suspects for color inspiration: * Room stylings in shelter magazines show great color combinations * Fashion store windows - Nordstrom, Bergdorf, Barney's - pop with exciting color combos * Nature reveals classic colors to the eye - gardens, wildflowers, arboretums * Versions of your favorite colors - "I love blue, but I'm leaning towards a greener blue or a more purply blue" (in other words, narrow down your preference for your favorite shades of blue, green, beige, etc. * Movie room stylings usually do great color bursts and combos * Big box stores like Pottery Barn and Crate & Barrel follow fashion, seasons, and decorating trends so look for color stories in displays * Different countries tell different color stories, e.g. the whites and blues of Greece versus the browns and warm sandy colors of the Australian Outback * Bright colors make a great counterpoint to gray, monotone schemes - look for English books, movies, and other Brit inspirations to find great color contrasts Click here to subscribe to our daily design videos.

Shrimp and Cheese Saganaki with Diane Kochilas

Added 12/07/10
63 Views

Studio Guest: Karen Pittel from the Ifo Institute for Economic...

Added 11/23/10
35 Views

Studio Guest: Karen Pittel from the Ifo Institute for Economic Research

[LESS INFO] 35 VIEWS | ADDED 22:30:00 11/23/10
Karen Pittel from the Ifo Institute for Economic Research is expert on energy, climate and exhaustible resources.DW-TV: Will Portugal be the next country to ask for a bailout? Karen Pittel: I guess if anybody asks next, it will be them. I'm not sure they will do it voluntarily. It's kind of like the Irish who had to be convinced to join. But I think theere would be pressing reasons for them to go under. DW-TV: The euro has taken a hit in all of this yet. Is the bad rep justified? Karen Pittel: I don't think so. I think those are temporary problems and not long-run problems. I think the Euro in itself is a good institution, a very valuable institution for Europe. I don't think it deserves the bad reputation it has by now. DW-TV: Is the European Union doing enough now to ensure that more debt crises do not occur? Karen Pittel: There's a couple of issues that are relevant here. With Greece, one didn't know for a long time that the situation was so dire. With Ireland, they were hoping to do it themselves and the country itself is not that bad, the economy isn't that bad. It's just the banks. With Portugal, they had to see it coming. They might be a little late in there. DW-TV: Some companies are trying to make a difference. For example in Recycling. But is it really worth it? Karen Pittel: It might not make the difference in terms of stopping climate change. But it's important to develop technologies that will help us to need less fossil fuels. Once we accomplish having a global treaty to reduce CO2 emissions, we need those new technologies in order to be able to still produce without using so much energy. DW-TV: The International Energy Agency: "We estimate extending Europe's plan to cut emissions from 20 to 30 percent would roughly equal China's two-week gas output," Europe can't really make a difference! Practically no global impact! Karen Pittel: It can't make a difference alone. I'm not denying that. It's like I said, when or if we have an agreement, we need the new technology. As long as we don't have this global agreement, then Europe alone won't make the difference. Especially because when Europe cuts back, not only is China increasing its emissions, but part of what is reduced in Europe will kind of switch to China and be produced there. DW-TV: There was a lot of public support and hope leading up to Copenhagen last year. Is that now lost? Karen Pittel: I don't think so. I think the expectations are still there, it's just that they're more realistic now. You don't go there and think you can change everything in 2 weeks. It takes more time. People sit down at the table now, they're more realistic, they know it will take more time. I've heard the word magic bullet, it's not going to happen, it's a step-by-step process. The goal has to be to get everyone into the fold. DW-TV: What are you expecting from the Climate Conference in Cancun? Karen Pittel: There's a difference between what I hope and what I expect. I'm expecting that they'll get closer but they won't be able. That's my sad prediction, they won't be able to complete a binding agreement at that conference. I hope their positions get closer, but I don't think there will be a binding agreement. Let's hope that history will prove me wrong. Interview: Brent Goff

C&L Opening Bell

Added 11/23/10
2 Views

C&L Opening Bell

[LESS INFO] 2 VIEWS | ADDED 14:00:10 11/23/10
enlarge Note: I'm experimenting with a new (hopefully) daily feature that attempts to recap the day's economic news in a way that's informative and entertaining. There's a lot of insane stuff going on in the world of economics and finance and my goal will be to explain it without making your eyes glaze over. So let's get started! C%L Opening Bell, 11-23-10 * The big news of the day was in Ireland, where the Irish government finally acknowledged that bailing out its banks has rendered it insolvent. Taoiseach Brian Cowen said that he plans to dissolve Parliament and call for new elections juuuuuust after the sure-to-have-its-ass-handed-to-it Fianna Fáil coalition passes its next budget. And what a budget it's expected to be! In exchange for a loan of up to €90 billion from the European Union and the International Monetary Fund, Ireland will have to implement further austerity measures that involve raising taxes and cutting services. And whose services are getting cut, you're wondering? Do you even have to ask ? > Deep cuts to the minimum wage and welfare benefits loom as part of the price the country pays for its huge emergency bailout loan as Brian Cowen insisted he was "not the bogeyman" who had led Ireland to financial crisis. So the poorest people in the country are essentially paying to bail out the Irish banks' creditors. Pretty remarkable. * Zero Hedge points us to the following video from Jim Rogers that lays out an alternative plan for the Irish: Just declare bankruptcy and restructure your debt already: Here's the key part: > This is ludicrous. This will cripple the Irish economy for years to come. In the future Ireland will be crippled because everything they earn will go to pay off old debt. There is no reason why taxpayers around Europe or in Ireland should pay for other people's mistakes. The bondholders and the stockholders of banks should lose money. And this is what we should keep in mind when we hear about "bailing out Ireland." It's really about bailing out the Irish banks' creditors . * It also goes without saying that this situation blows a hole in the meme that austerity is the best way to head off a recession. The Irish implemented spending cuts and tax increases long before most of the other PIIGS (Portugal, Ireland, Italy, Greece and Spain) ever did. The result was the country was still deeply in debt and in need of a rescue. More than anything, though, this crisis shows that there are structural flaws in the Eurozone single currency that are probably impossible to resolve. I can't really see anyway for countries to be able to issue their own debts but not their own currencies. * Over in the States, meanwhile, things aren't exactly better. The banks' fraudulent foreclosure activity (which our own Susie Madrak has covered extensively ) has created a buttload of anxiety in the housing market : > The ongoing controversy surrounding foreclosures is taking its toll as homebuyers refused to look at distressed properties in October, and foreclosure sales suffered from delays, according to the latest Campbell/Inside Mortgage Finance Monthly Survey. [...] News reports that major servicers were pulling REOs off the market, including some already under contract, spooked would-be homebuyers. The monthly survey found that 14% of owner-occupant homebuyers and 6% of investors refused to view foreclosed properties in October. Homebuyer fear was worse for short-sale properties where 30% of owner-occupant buyers, and 20% of investors refused to view these homes. As I told two friends who were looking to buy a home, you'd have to be N-U-T-S to think of buying a foreclosed home right now. * On the somewhat-happier side of things, the FBI raided two hedge firms yesterday as part of its sweeping investigation into insider trading. The Wall Street Journal got the scoop on this probe over the weekend: > Federal authorities, capping a three-year investigation, are preparing insider-trading charges that could ensnare consultants, investment bankers, hedge-fund and mutual-fund traders, and analysts across the nation, according to people familiar with the matter. The criminal and civil probes, which authorities say could eclipse the impact on the financial industry of any previous such investigation, are examining whether multiple insider-trading rings reaped illegal profits totaling tens of millions of dollars, the people say. Some charges could be brought before year-end, they say. The investigations, if they bear fruit, have the potential to expose a culture of pervasive insider trading in U.S. financial markets, including new ways non-public information is passed to traders through experts tied to specific industries or companies, federal authorities say. Reading those words gave me a tingly feeling in my pants. I do hope this investigation is legit and that the government won't just take a wad of "We're Sorry!" Cash from the banks and call it a day. We have a wealthy criminal class in this country that never pays for its crimes and is often rewarded for them at taxpayer expense. If we want to keep living in a democracy, this sort of thing will have to stop. * News of the hedge fund raid sent key financial stocks down today, as Bank of America's shares were down 3%, JP Morgan's were down 2.25% and the Vampire Squid was down nearly 3.5%. * And finally, let's take a look at what I call the "WE'RE ALL GONNA DIE!!!11!!!" index of key measurements to see how much investors across the world are crapping themselves with fear. Basically, it goes like this: When U.S. Treasury yields go down and the price of gold goes up, that means investors are fleeing risky assets for things they consider to be safe investments. If the reverse is happening, then investors are likely feeling they can handle more risk on a given day. Gold futures rose 0.4% to $1,357.80 yesterday. 10-year Treasury yields fell 1.41% to close at 2.80% on the day. In other words, the chances of the world exploding just got greater. Have a happy day!

C&L Opening Bell

Added 11/23/10
3 Views

C&L Opening Bell

[LESS INFO] 3 VIEWS | ADDED 14:00:10 11/23/10
enlarge Note: I'm experimenting with a new (hopefully) daily feature that attempts to recap the day's economic news in a way that's informative and entertaining. There's a lot of insane stuff going on in the world of economics and finance and my goal will be to explain it without making your eyes glaze over. So let's get started! C%L Opening Bell, 11-23-10 * The big news of the day was in Ireland, where the Irish government finally acknowledged that bailing out its banks has rendered it insolvent. Taoiseach Brian Cowen said that he plans to dissolve Parliament and call for new elections juuuuuust after the sure-to-have-its-ass-handed-to-it Fianna Fáil coalition passes its next budget. And what a budget it's expected to be! In exchange for a loan of up to €90 billion from the European Union and the International Monetary Fund, Ireland will have to implement further austerity measures that involve raising taxes and cutting services. And whose services are getting cut, you're wondering? Do you even have to ask ? > Deep cuts to the minimum wage and welfare benefits loom as part of the price the country pays for its huge emergency bailout loan as Brian Cowen insisted he was "not the bogeyman" who had led Ireland to financial crisis. So the poorest people in the country are essentially paying to bail out the Irish banks' creditors. Pretty remarkable. * Zero Hedge points us to the following video from Jim Rogers that lays out an alternative plan for the Irish: Just declare bankruptcy and restructure your debt already: Here's the key part: > This is ludicrous. This will cripple the Irish economy for years to come. In the future Ireland will be crippled because everything they earn will go to pay off old debt. There is no reason why taxpayers around Europe or in Ireland should pay for other people's mistakes. The bondholders and the stockholders of banks should lose money. And this is what we should keep in mind when we hear about "bailing out Ireland." It's really about bailing out the Irish banks' creditors . * It also goes without saying that this situation blows a hole in the meme that austerity is the best way to head off a recession. The Irish implemented spending cuts and tax increases long before most of the other PIIGS (Portugal, Ireland, Italy, Greece and Spain) ever did. The result was the country was still deeply in debt and in need of a rescue. More than anything, though, this crisis shows that there are structural flaws in the Eurozone single currency that are probably impossible to resolve. I can't really see anyway for countries to be able to issue their own debts but not their own currencies. * Over in the States, meanwhile, things aren't exactly better. The banks' fraudulent foreclosure activity (which our own Susie Madrak has covered extensively ) has created a buttload of anxiety in the housing market : > The ongoing controversy surrounding foreclosures is taking its toll as homebuyers refused to look at distressed properties in October, and foreclosure sales suffered from delays, according to the latest Campbell/Inside Mortgage Finance Monthly Survey. [...] News reports that major servicers were pulling REOs off the market, including some already under contract, spooked would-be homebuyers. The monthly survey found that 14% of owner-occupant homebuyers and 6% of investors refused to view foreclosed properties in October. Homebuyer fear was worse for short-sale properties where 30% of owner-occupant buyers, and 20% of investors refused to view these homes. As I told two friends who were looking to buy a home, you'd have to be N-U-T-S to think of buying a foreclosed home right now. * On the somewhat-happier side of things, the FBI raided two hedge firms yesterday as part of its sweeping investigation into insider trading. The Wall Street Journal got the scoop on this probe over the weekend: > Federal authorities, capping a three-year investigation, are preparing insider-trading charges that could ensnare consultants, investment bankers, hedge-fund and mutual-fund traders, and analysts across the nation, according to people familiar with the matter. The criminal and civil probes, which authorities say could eclipse the impact on the financial industry of any previous such investigation, are examining whether multiple insider-trading rings reaped illegal profits totaling tens of millions of dollars, the people say. Some charges could be brought before year-end, they say. The investigations, if they bear fruit, have the potential to expose a culture of pervasive insider trading in U.S. financial markets, including new ways non-public information is passed to traders through experts tied to specific industries or companies, federal authorities say. Reading those words gave me a tingly feeling in my pants. I do hope this investigation is legit and that the government won't just take a wad of "We're Sorry!" Cash from the banks and call it a day. We have a wealthy criminal class in this country that never pays for its crimes and is often rewarded for them at taxpayer expense. If we want to keep living in a democracy, this sort of thing will have to stop. * News of the hedge fund raid sent key financial stocks down today, as Bank of America's shares were down 3%, JP Morgan's were down 2.25% and the Vampire Squid was down nearly 3.5%. * And finally, let's take a look at what I call the "WE'RE ALL GONNA DIE!!!11!!!" index of key measurements to see how much investors across the world are crapping themselves with fear. Basically, it goes like this: When U.S. Treasury yields go down and the price of gold goes up, that means investors are fleeing risky assets for things they consider to be safe investments. If the reverse is happening, then investors are likely feeling they can handle more risk on a given day. Gold futures rose 0.4% to $1,357.80 yesterday. 10-year Treasury yields fell 1.41% to close at 2.80% on the day. In other words, the chances of the world exploding just got greater. Have a happy day!

Recrui-ducation / Judas Goat / Rebel Voices / Franklyn Lopez

Added 01/22/09
11 Views

Recrui-ducation / Judas Goat / Rebel Voices / Franklyn Lopez

[LESS INFO] 11 VIEWS | ADDED 23:54:00 01/22/09
Tajuan LaBee is the PepperSpray Collective's newest member, and he lost no time finishing his first piece for PepperSpray, which is the lead segment in this week's "Indymedia Presents." He was on hand at Seattle Central Community College when student activists recently staged a counter-recruiting action. His footage forms the basis for "Recrui-ducation." Stopping the flow of recruits into the military remains and will continue to be an important political and practical tactic in limiting US efforts to wage aggressive wars. Beyond that, it has the potential to save the lives of those who otherwise might be recruited. A few years back, students at SCCC made national headlines when they ran recruiters off their campus. Apparently the military thought this might be the time to sneak back on campus. The recruiters were met with a spirited action, and Tajuan got it on tape. With the airing of his first PepperSpray production, we publicly welcome Tajuan into our merry band. We dipped into the archives to follow Tajuan's piece with our short "Judas Goat." A judas Goat is a trained slaughterhouse animal that leads the others to their death, only to be spared the knife itself, so it may lead herd after herd into the killing chambers. Recruiters perform a similar function. So long as they can deliver a supply of fresh recruits for the front lines, military recruiters don't have to go themselves. Next up, we turn to a bit of music that continues the theme, featuring Seattle's daring duo, Rebel Voices, singing "Put your name on a different line." This material was filmed live in Seattle in 2008 and was edited into this piece to accompany Tajuan's "Recrui-ducation. Rounding out our show we are VERY pleased to include Episode 1 of Franklyn Lopez's third season of "It's the end of the world as we know it, and I feel fine." Regular viewers will welcome Franklyn's work back to the little screen. Last fall the Swami of Snark announced that he was not going to be producing "End of the World" while he pursued other things, but luckily he just couldn't help himself. This episode features: 1. Greece is the word 2. Oakland riots 3. Sea Shepherd stink bomb attack 4. Coal christmas 5. The first auction hero 6. Anarchists Against the Wall 7. Barack Israel Obama 8. Buh Bye King of Pain 9. Beastie Boys 10. New Years Revolutions 11. Reverend Billy and the Church of Stop Shopping "Indymedia Presents" is a 28 minute weekly cable public access program produced on behalf of the Seattle Independent Media Center (IMC) by PepperSpray Productions. "Indymedia Presents" airs in Seattle on Wednesdays at 8:30 pm. In addition to SCAN Channel 77 in Seattle, "Indymedia Presents" also airs on channels in greater King County (Channel 23), Bainbridge Island (Channel 12), Port Townsend, WA (Channel 97 & 98), Olympia, WA (Channel 22), Tucson, AZ (Channel 73), St Paul, MN (Channel 15), Minneapolis, MN (Channel 17), Fort Wayne, IN (Channel 57), Philadelphia, PA (Channels 54 & 62), Brooklyn, NY (Channel 34 & 67) and on New York City's Manhattan Neighborhood Network, (Channel 34).