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Obama Just Doesn’t Get It When It Comes to Business

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By Gary Shapiro
Published November 25, 2011
FoxNews.com

When it comes to the business community, the White House may feel like an abused partner in a bad marriage. President Obama likely believes that he keeps giving business what it wants yet gets nothing but complaints and unemployed Americans in return.

His gift giving began with the stimulus package, full of goodies for the preferred businesses. It continued with the auto bailout, payroll tax holidays, accelerated depreciation, “cash for clunkers,” first-time homebuyers credit, and even the extension of the Bush tax cuts.

In fact, Obama even created an Economic Advisory Recovery Board chaired by GE’s Jeff Immelt whose purpose is to report to the White House on ways to improve the economy. The board was created in 2009, nearly three years ago.

The president speaks passionately about entrepreneurs and innovation all the time. He continually addresses the need for economic-friendly policies, like more spectrum for wireless broadband. On the surface, the relationship between major business leaders and the White House seems quite cozy and comfortable.

Yet, the economy continues to stagnate and unemployment remains above nine percent. Adding salt to the wound, business owners and executives, including many former Obama supporters, seem likely to support the Republican candidate next November.

Indeed, more and more business leaders are speaking out against the president. The dam broke in mid-2010 when then-Business Roundtable Chairman and Verizon CEO Ivan Seidenberg said that the Obama administration was creating “an increasingly hostile environment for investment and job creation.”

Earlier this year, Steve Wynn, the billionaire head of Wynn Resorts and a Democrat, said that “the business community in this country is frightened to death of the weird political philosophy of the President of the United States.”

Now public criticism is common. Just this month a poll in Chief Executive magazine concluded that 85 percent of CEOs rank Obama’s performance as “weak” or “poor,” with one CEO saying, “The current administration is so anti-business, we don’t plan on any expansion until we have a new president.  We just hope we’ll be around to see that day.”

Why the disconnect?

Business is not just big companies. Smaller companies dominate America. Entrepreneurs create almost all the new jobs. As I recount in my book, “The Comeback: How Innovation Will Restore the American Dream,” a 2010 Kauffman Foundation study found that “without startups, there would be no net job growth in the U.S. economy.”

Yet small businesses have gotten little access or attention in this White House. The White House appears oblivious to the psychological impact of GE heading the committee that advises the president on how to create jobs. GE is so big and reliant on government contracts that its problems and challenges are not shared by most American businesses.

Moreover, the federal government is hurting business and job creation as it increases the regulatory burden.

Making a payroll means dealing with new taxes, health care mandates and the cost of new regulations. To compensate for the added burden, businesses must hire scores of accountants and lawyers to decipher and follow all the new rules. Washington has shifted from occasionally helpful to downright destructive of business interests.

Anti-business actions, proposals and rhetoric make it worse.  Frequent talk of “spreading the wealth around,” “corporate greed” and new tax proposals all discourage investment and job creation.

Closing Boeing’s new South Carolina factory, raiding Gibson Guitars for violating an ambiguous law in another country, and changing unionization rules to allow sudden union formation all force companies to invest and hire overseas. Encouraging hostility to business by embracing the Occupy Wall Street protesters only makes matters worse.

Results must match rhetoric. President Obama excited the business community when he promised to double exports in five years. Yet it took almost three years to simply get three Bush-era trade deals signed and no other deals have been made to promote exports and trade.

Nothing has been done on repatriation of corporate profits, lowering our absurdly high corporate taxes or shifting our educational system to train Americans for the 3.4 million jobs that are open. While college-educated, liberal arts majors protest in American cities, jobs for engineers, technicians and skilled machine operators go unfilled.

President Obama and his advisors have scant business, managerial or leadership experience. The president has relied on personality and oratory and the Democrats in Congress to lead. He created a Deficit Reduction Commission and ignored its bipartisan recommendations, which led directly to a Congressional stalemate over our debt ceiling. Obama also blew off Rep. Paul Ryan’s good faith effort to address skyrocketing Medicare costs and tried to make it an election issue.

It might be a big mystery to the president and his advisers why business spurns their advances. But it isn’t a mystery to anyone in business. Businesses are not hiring and this anti-business government is at least partially responsible.

Gary Shapiro is president and CEO of the Consumer Electronics Association (CEA), the U.S. trade association representing more than 2,000 consumer electronics companies, and author of the New York Times bestselling book, “The Comeback: How Innovation Will Restore the American Dream.”

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Van Jones Rallies with Hawaii’s Community Organizers for ‘Economic Fairness, Justice’ – and a State Bank

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Van Jones at the Hawaii State Capitol, March 20, 2012 (photo by Mel Ah Ching Productions)

Tuesday, March 20th, 2012
by Malia Zimmerman

BY MALIA ZIMMERMAN – Van Jones, President Barack Obama’s former green jobs adviser who heads the “Rebuild the Dream” organization, keynoted a rally and a “mass action event” at the Hawaii State Capitol Tuesday night to promote “economic fairness” and “economic justice.” (see the video here)

Environmental activists groups, a union, and the University of Hawaii organized the five-hour event to promote legislation that would establish a State Partnership Bank, or a “clean” and “green” bank, to fund green energy projects, as well as “highlight other legislation that would make the local economy more just and sustainable.”

If Hawaii lawmakers establish a state bank, it will be only the second one in the country, and in some proposals being floated at the capitol, the governor chairs the bank, union leaders serve as directors, and Democrat lawmakers appoint the remaining board. Republicans, who make up just 9 of 76 seats in the legislature, oppose the establishment of a state bank because they say the institution will be financed by taxpayers, will be led by political insiders and will loan money to people for projects that no private bank would authorize, but they are outgunned.

Jones, author of the New York Times bestseller The Green Collar Economy, said Hawaii is one of 10 stops on his tour of the “front lines of the fight for the future of this country.”

Van Jones in Hawaii (photo by Mel Ah Ching Productions)

Van Jones in Hawaii (photo by Mel Ah Ching Productions)

“Each of our 10 targeted urban, suburban, and rural stops across America will support a strategic state initiative, such as making corporations pay their fair share, and create a replicable model for grassroots action,” Van Jones proclaimed, stating the movement is a “cultural, political, spiritual and educational vehicle bringing together tens of thousands of everyday people in the movement for economic justice and a new economy.”

In his keynote, Jones did not directly address the bank legislation or other legislation pending in Hawaii. Instead he spoke of the dream being “under threat.”

“Not the American dream they talk about on TV,” Jones said. “There are two American dreams. One of them I call the ‘American fantasy.’ You know that one? Everyone is going to be rich. Everybody. And we’re all going to be able to ride out to the great white suburbs, get a McMansion, get flat-screened TV to cover up the holes in our lives. That is the American fantasy, which is turning out to be the American nightmare. It is dying out on its own accord – it deserves no defense and it will get no defense. I am glad that is going away. That was not serving anybody.”

Jones called out the people he called “dream killers in America” and “dream killers right here in Hawaii.”

About 400 people attended the March 20 capitol rally to hear Van Jones speak (Photo by Mel Ah Ching Productions)

About 400 people attended the March 20 capitol rally to hear Van Jones speak (Photo by Mel Ah Ching Productions)

“There are people who have taken the American dream and turned it upside down, inside out. The dream is supposed to be that you can work hard, play by the rules and get somewhere. But you and I both know right here in Hawaii, and across America, the people who are working the hardest and following the rules are the ones who are being left behind, the ones who are suffering the most, the ones who are hurting the most. And yet some people who are not working that hard at all, their investments work for them. And sometimes they break a lot of rules, especially on Wall Street.  But they are the ones doing well. That is taking the American dream upside down, inside out. That’s killing the dream.”

Jones, who served as an adviser to the White House Council on Environmental Quality for 6 months before resigning in September 2009 amid controversy over statements he made and alliances he had, briefly addressed his time in Washington DC.

“I was there for 6 months. Best 6 months of my life, followed by the worst two weeks. … What I saw there is why I am here today. I saw some of the most beautiful people, some of the most well intentioned people, some of the smartest people ever to serve in our government, be stopped in their tracks, stopped in their tracks, by people who mean us no good. People who claim to be patriots but seem to hate everybody in America.”

During an address that was videotaped earlier in 2009, he called Republicans “assholes”, but it was a petition he signed in 2004 endorsing the “9/11 truther” movement that caught many by surprise. Those supporting the truther movement believe President Bush and his administration were involved in the September 11, 2001 terror attacks on America.

Council Member Tulsi Gabbard spoke at the March 20 rally and thanked her 'pops' - Sen. Mike Gabbard - for passing the state bank legislation out of his energy committee that day. She is a Democratic candidate for Congress. (photo by Mel Ah Ching Productions)

Council Member Tulsi Gabbard spoke at the March 20 rally and thanked her ‘pops’ – Sen. Mike Gabbard – for passing the state bank legislation out of his energy committee that day. She is a Democratic candidate for Congress. (photo by Mel Ah Ching Productions)

Despite a rocky political past, which ended with the President accepting Jones’ resignation, he is still considered a rising star in the green-energy movement. Jones shared some of his feelings on his political opponents:

“That always struck me as strange. When I said I love America, I mean I actually love the people in America – the people who live in America. Some of them are brown, some of them are female, some of them are lesbian, gay, bisexual, transgender, some of them have bizarre piercings and tattoos, but I love them. How can you say you love America but then despise most of the people who live here. I don’t understand that politics. I don’t understand how you can say you love America and love the Statute of Liberty, but then not read the poem at the bottom that says “Give me your tired, Give me your poor, Give me your huddled masses who yearn to breathe free.” The way I was raised. You can’t be an anti immigrant bigot and a patriot at the same time. They don’t go together. They don’t go together. Not in my America. They don’t go together.”

Hoping to capitalize on the energy and excitement many Hawaii Democrats experienced in 2008 when Obama won the presidency, Jones said: “What happened to all that hope? What happened to all that beauty? What happened to all that spirit? Did the people leave the planet? Was there a rocket ship I missed? Did people join that other party with the warm beverage – what is it – the coffee party? No we’re still here. We’re still here. And we still have each other. We still have each other. No one can take that from us.”

Jones said he looked forward to being in Hawaii because “it is a community working hard to shape an economy that honors people’s environmental, social, and cultural concerns.”

“We also hope the Revivals to build a base of informed and engaged citizens ready to carry their ideas into the 2012 election cycle,” he said.

Gov. Neil Abercrombie attends Van Jones speech at the Hawaii Capitol (Photo by Mel Ah Ching Productions)

Gov. Neil Abercrombie attends Van Jones speech at the Hawaii Capitol (Photo by Mel Ah Ching Productions)

Faith Action for Community Equity (FACE) Hawaii, a group of community organizers affiliated with various local religious groups, co-chaired the event. Other sponsors included Kanu Hawaii, Sierra Club, UNITE HERE Local 5, University of Hawaii, Blue Planet, and Surfrider Foundation. Council member Tulsi Gabbard, who is a candidate for Congress in the upcoming Democratic primary, spoke at the rally.

Also in attendance at the rally that attracted around 400 people were several Democratic lawmakers, including Tulsi’s father, Senator Mike Gabbard, who earlier that day passed the bank legislation out of his energy committee, as well as Senator Roz Baker, Senator Will Espero and Gov. Neil Abercrombie.

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Soros Warns of ‘Riots,‘ ’Brutal’ Clampdowns & Possible Total Economic Collapse

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Becket Adams

George Soros is no stranger to Blaze readers. The billionaire currency speculator and philanthropist has long been in the news, especially since the fateful day in 1992 when he helped crash England’s economy. In fact, since that day, he has been commonly referred to as “the man who broke the bank of England.”

Soros is shrewd, he has a keen eye for investments, and he knows how to play the markets. Therefore, when he makes a prediction, it might be safe to say it’s worth a listen. After all, his predictions (among other things) have made him the multi-billionaire he is today.

So you might want to pay attention to a recent story from The Daily Beast that claims George Soros is nervous about the future of the global economy and that he warns of dark things to come.

“At times like these, survival is the most important thing,” Soros said.

As he sees it, the world faces one of the most dangerous periods of modern history—a period of “evil,” writes the Beasts’ John Arlidge. “Europe is confronting a descent into chaos and conflict. In America [Soros] predicts riots in the streets that will lead to a brutal clampdown that will dramatically curtail civil liberties [emphases added]. The global economic system could even collapse altogether.”

And to add a little color, Aldridge notes Soros says it all while “peering through his owlish glasses and brushing wisps of gray hair off his forehead.”

“I am not here to cheer you up. The situation is about as serious and difficult as I’ve experienced in my career,” Soros told Newsweek. “We are facing an extremely difficult time, comparable in many ways to the 1930s, the Great Depression. We are facing now a general retrenchment in the developed world, which threatens to put us in a decade of more stagnation, or worse. The best-case scenario is a deflationary environment. The worst-case scenario is a collapse of the financial system.”

As mentioned in the above, and as The Daily Beast points out, Soros’ warning is probably based on his natural market instincts as well as personal experience.

“I did survive a personally much more threatening situation, so it is emotional, as well as rational,” Soros said in reference to his personal experiences with both Nazi and Communist occupations.

“The collapse of the Soviet system was a pretty extraordinary event, and we are currently experiencing something similar in the developed world, without fully realizing what’s happening,” Soros said.

“Unrestrained competition can drive people into actions that they would otherwise regret,” Soros said. “The tragedy of our current situation is the unintended consequence of imperfect understanding. A lot of the evil in the world is actually not intentional. A lot of people in the financial system did a lot of damage without intending to.”

Wait a minute. Soros believes that the economic meltdown was the result of not just poor investments but honest-to-God “evil”?

“That’s correct,” Soros affirmed.

Soros continued in this vein, each prediction getting darker and grimmer than the last.

He believes that the EU must be held together because “if you have a disorderly collapse of the euro, you have the danger of a revival of the political conflicts that have torn Europe apart over the centuries—an extreme form of nationalism, which manifests itself in xenophobia, the exclusion of foreigners and ethnic groups.”

“In Hitler’s time, that was focused on the Jews,” Soros said. “Today, you have that with the Gypsies, the Roma, which is a small minority, and also, of course, Muslim immigrants.”

It is “now more likely than not” that Greece will formally default in 2012, Soros said. For this, he blames the EUs’ leadership and believes that eurozone leaders only know how to “do enough to calm the situation, not to solve the problem.”

Soros then went on to talk about how the Occupy Wall Street movement has added to the ever-changing dynamics in the world economy. Debt, Wall Street and capitalism have been put under intense scrutiny and people are becoming increasingly angry.

As this anger intensifies, will the inevitable result be a spontaneous eruption of violence and riots?

“Yes, yes, yes,” Soros says, almost “gleefully.”

However, according to Soros, worse than the riots and violence will be the government reaction.

“It will be an excuse for cracking down and using strong-arm tactics to maintain law and order, which, carried to an extreme, could bring about a repressive political system, a society where individual liberty is much more constrained, which would be a break with the tradition of the United States,” Soros said.

Perhaps because he sees such a dark future for the West, Soros has staked his “hopes” for the global economy in Middle East and the “democracies” that are springing up over there.

“While the developed world is in a deep crisis, the future for the developing world is very positive,” Soros said. “The aspiration of people for an open society is very inspiring. You have people in Africa lining up for many hours when they are given an opportunity to vote. Dictators have been overthrown. It is very encouraging for freedom and growth.”

Soros insists the key to avoiding cataclysm in 2012 is not to let the crises of 2011 go to waste, writes John Arlidge.

“In the crisis period, the impossible becomes possible,” Soros said. “The European Union could regain its luster. I’m hopeful that the United States, as a political entity, will pass a very severe test and actually strengthen the institution.”

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FYI: The new politics of protest

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Matthew Sowemimo worked at the Sheila McKechnie Foundation, which trains emerging campaigners

The unprecedented scale of the government’s deficit reduction programme was always going to generated social protest. In this article I will also identify the features of some of 2011’s most effective political campaigns against the austerity programme and what they say about the wider state of our politics. The new wave of social activism will generate both challenges and opportunities for the labour movement.

Traditionally people with the lowest incomes have lacked a political voice equivalent to the stake they have in policies designed to redistribute wealth and to provide them with services like housing that they could not secure from their own resources.

Many would argue that people on low incomes are bearing the brunt of the government’s austerity programme. So have those with most at stake been at the forefront of popular protest against the government’s policies?

The student protestors dominated protest at the early stage of the spending cuts and conform to the established pattern of those with the greatest levels of social capital and educational levels being the most assertive in representing their views.

Conversely, the initial overspill of protest from the student movement to the arguably more important issue of the scrapping of the education maintenance allowance (EMA) was not sustained. The demographic of EMA beneficiaries was notably poorer and more drawn from ethnic minorities that the student protestors.

The one social group adversely affected by the welfare cuts who took part in popular protests in some numbers were disabled people. However as in many past occasions significant numbers of disabled people are part of national networks of large charities, like Scope and Radar.

Many of these charities have invested considerable resources in mobilising disabled people and supporting their political advocacy. However individuals affected by the housing benefit reforms and the household cap on benefits have lacked any national visibility.

By contrast, the National Trust-led campaign against the government’s forestry proposals was powered by thousands of affluent voters writing protest letters.

The fact that policies like the housing benefit reforms have not led to direct mobilisation of the communities directly affected by them is aggravated by the fact that these groups are far less likely to turnout in general elections.

Barack Obama’s community activism in Chicago was based on the belief that policymakers would become more responsive to poor peoples issues if those voters were brought into the political process. Obama’s own election as a United States senator was an ‘aftershock’ of long term political and electoral re-engagement of poor communities.

The protests that have been most effective are those that have focused on wider systemic political and economic issues rather than defensive campaigns reacting to specific cuts.

UKUncut and the Occupy campaigns effectiveness can be seen in the way they featured high up news schedules; how they sustained their media impact and that they shifted the terms of debate. UKUncut’s campaign challenged the central tenet of the government’s argument that there is no alternative to its spending cuts.

Both campaigns demonstrate the ability of online campaigning to reach out to large numbers of unaffiliated people around a clear focus and to do so in short time frames. Prior to the cuts, grassroots campaigns like Plane Stupid, have used the agility that comes with not having large formalised decision making structures to sometimes steal a march on large campaigning charities.

In the 1990s Adam Lent and I argued that national protest movements formed in areas like gay rights and foreign policy in part as a result of political disaffection with the conservatism and caution of the Labour Party leadership.

The Occupy campaign’s challenge to the City of London about its past and ongoing role in the financial crisis has taken place at a time when Labour is undergoing an agonising reassessment of its record in office, including its policies towards the banking sector. Occupy’s stance on the City of London was clear and urgent and quickly generated quite significant levels public approval.

As a result, Ed Miliband and Vince Cable found themselves acknowledging the force of Occupy’s core political case. Occupy’s experience shows that social movements can expand the political space for progressive politics.

However, the vibrant new social movements pose a challenge for Labour.

The youthful face and energy of groups like UKUncut serve as a sharp contrast to the ageing profile and falling membership of the trade unions and Labour Party. The more social movements are seen to set the agenda on fundamental questions about the economic and political system, the less relevant Labour may seem.

However social movements, by going where mainstream political leaders initially fear to tread, can prepare the ground for stronger progressive commitments.

Occupy Wall Street’s messaging, ‘we are the 99 per cent’, provided a countervailing force to the reactionary Tea Party by channelling popular discontent over the banking bailouts through progressive politics. Within weeks President Obama realigned his political message to argue for a greater contribution from wealthy Americans to pay down the deficit.

Labour needs bold and vibrant social movements not only to help prepare its path to power but also to govern effectively.

This year will see new potential policy conflicts that could rally protest and there will be a further test of whether those who are most socially marginalised absorb more pain without protest.

2012 is likely to see renewed pressure from within the Conservatives part of the coalition to abandon or water down climate change commitments, particularly as growth continues to stagnate. This year will see a new wave of benefit cuts come into force just at a time when unemployment is rising.

Will the newly established internet-driven loose and informal campaign groups become more structured mass movements with memberships that systematically take part in ongoing actions, or are the days of the mass mobilisation of groups like the Campaign for Nuclear Disarmament now a thing of the past?

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Soros-Rockefeller-Rhodes protégé – tried to allay a default by engineering a new sovereign debt bond mega-swap.

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Argentina, Buenos Aires : A woman passes in front of the window of an exchange in downtown Buenos Aires on October 28, 2011. (AFP Photo / Danniel Garcia)

Exactly ten years ago Argentina suffered a full-scale financial and governmental collapse. That was the end-result of over a decade of doing exactly what the IMF, international bankers, rating agencies and global “experts” told us to do.

Then President Fernando de la Rúa kept applying all IMF recipes to the very last minute, making us swallow their poisonous “remedies”.

It all began getting really ugly in early 2001 when De la Rúa could no longer service Argentina’s “sovereign debt” even after driving the country into full “deficit zero” mode, slashing public spending, jobs, health, education and key public services.

By March 2011, he had brought back Domingo Cavallo as finance minister, a post Cavallo had already held for six years in the nineties under then-President Carlos Menem, imposing outrageous IMF deregulation and privatization policies that weakened the state and led straight to the 2001 collapse.

Well, it wasn’t really De la Rúa who brought back Cavallo but rather David Rockefeller (JPMorgan Chase) and William Rhodes (CitiCorp), who personally came to Buenos Aires to tell/order President De la Rúa to name Cavallo… or else!

So, by June 2001, Cavallo – a Trilateral Commission member and Soros-Rockefeller-Rhodes protégé – tried to allay a default by engineering a new sovereign debt bond mega-swap which increased public debt by $51 billion, but did not avert total collapse that December.

What then? De la Rúa and Cavallo protected the bankers, avoiding a massive run on all banks by freezing all bank deposits. “Corralito” they called it – “the crib” – whereby account holders could only withdraw 250 pesos per week (at the time, equivalent to $250; after the 2002 devaluation, equal to $75).

Argentina’s economy all but collapsed; people took to the streets banging pots and pans, screaming and yelling, calling all bankers ‘thieves, criminals, crooks, swindlers and robbers’ but… the big mega-bank bronze gates all remained tightly shut. No one got their money back.

Half of bank deposits were in dollars. Again, no one got their dollars back, but just as pesos at a fraudulent rate of exchange after devaluation had been imposed and Argentina’s so-called “convertibility” Currency Board that Cavallo had imposed a decade earlier pegging the peso to the dollar at an unrealisticone-to-one parity, was dropped.

Clearly,this was a massive banker-orchestrated, government-backed robbery of the assets and savings of 40 million Argentinians.Half our population quickly fell below the poverty line, GDP contracted by almost 40% in 2002, millions lost their jobs, their savings, their homes to foreclosures, their livelihoods and yet… not one single bank folded or collapsed!

Amid rioting in Buenos Aires and major cities and brutal police repression that left 30 dead on the streets, De la Rúa boarded his helicopter on the rooftop of the “Casa Rosada” presidential palace and abandoned ship. That last week of December 2001, four presidents successively went by until finally the bankers, the media, and the US State and Treasury Departments accepted Eduardo Duhalde as provisional president. He finally named finance minister Roberto Lavagna, a founding member of the local CARI, the Argentine Council on Foreign Relations, which is the local New York CFR branch.

Argentina was used as a testing ground by the global power elite to learn how a full-scale financial, monetary, banking and economic collapse can be controlled and its social consequences suitably engineered to ensure that, with time: (a) the bankers came out unharmed, (b) “democratic order” is re-instated and the new government imposes another sovereign debt mega-swap, balance their numbers, and calm the people down (or else!), and (c) put big smiles back on bankster faces…Business as usual!

The lessons learned in Argentina in 2001/3 are today being used in Greece, Ireland, Spain, Italy, Iceland, the UK and the US.

So, “Occupy Wall Street” demonstrators, lend me your ears! You haven’t got a chance! The global money masters already made their financial war game exercise in Argentina.

At one point it got so bad that New York Times journalist Larry Rohter (later alleged by the Brazilian government to have ties with the CIA) had the gall to suggest the territorial break-up of Argentina to “solve” our debt crisis. The title of his perverse article, published on 27 August 2002, said it all: “Some in Argentina see secession as the answer to economic peril”, specifically targeting our natural resources-rich Patagonian region…

Then, the global power elite finally got their man when Néstor Kirchner became president in May 2003. Kirchner retained the finance minister, Lavagna, engineered yet another sovereign debt mega-swap running 42 years into the future (!); he paid the IMF the full amount they claimed of $10 billion (in cash, in dollars and with no deductions; i.e. absolutely most-favored creditor status!) getting nothing in return; he further weakened Argentina’s military, dumbed-down education, media and culture, and ended up imposing his wife Cristina as successor.

Clearly, lots of lessons were learned from the “Argentine experience,” which come in so handy when dealing with those rowdy, poorer Europeans today.

So, one decade on…. anyone for a tango? Adrian  Salbuchi

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REVEALED: The 29 Global Megabanks That Are Systemically Important And Too Big To Fail

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by Simone Foxman

The G20’s enforcement agency found that 29 banks globally are too big to fail.

It published a long-awaited list of “systemically important” banks Friday. Banks on the list will have to cooperate with regulations imposed by the agency as well as the Basel Committee of Banking Supervision.

Here are some of those new rules (via WSJ):

– By the end of 2012, all banks will have to map out a plan to unwind their businesses in the case of a collapse.

– By 2016 they have to hold more capital than other banks. They’ll be sorted into five different “buckets,” based on which they’ll be required to maintain 1%-3.5% more capital than less significant banks.

– By 2019, that capital requirement will be an added 3.5% on top of other regulations.

The list will be updated every November and the methodology to choose the banks will be reviewed every three years.

Click here to see which banks are too big to fail >

UBS: This Is What The World Will Be Like In 2012 And 2013

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by Joe Weisenthal

For readers of Wall Street research, we’re getting close to the most exciting time of the year: Forecasters will start making their big predictions for the coming year and beyond.

Of course, that will really start heating up in December, but it’s already beginning.

Recently UBS‘ economics team of Larry Hathaway, Paul Donovan, Andrew Cates, and Christine Li came out with their forecasts and themes for 2012 and 2013.

First, they identify three big themes:

  • Sovereign stress: This means a range of things, not just the crisis in Europe, but also the emergence of groups like the Tea Party and Occupy Wall Street, which have coincided with a collapse in support for elected officials. Weak governments will wind up producing bad policies, which of course have all kinds of economic ramifications.
  • Excess capacity: The world is beset with “swathes” of excess capacity, most notably seen via high unemployment in developed nations. Simple manufacturing capacity remains weak, which is a hindrance to growth and high wages, and it means that growth will be uneven. It also means inflation, mostly, won’t be much of an issue.
  • An emerging world: As they put it, it’s the most obvious of the three. But the bottom line is that stronger balance sheets and better fundamentals will continue to bolster the emerging world.

Now, as for specific predictions for the economy in 2012 and 2013…

  • Global GDP growth of 3.1% in 2012 and 3.4% in 2013.
  • The eurozone will be in a recession in early next year. 2013 will see eurozone growth of just 1%.
  • The US will avoid recession, growing 2.3% in 2012 and 2.7% in 2013.
  • Emerging economies will engage in more monetary and fiscal stimulus, and maintain their trend growth rates.
  • Central banks around the world will keep monetary policy very loose. The Fed will lift interest rates in the second half of 2013.
  • The biggest downside risk is an intensification of the eurozone crisis.
  • The biggest upside risk is much better coordinated global economic policy.

Anyway, as we said, this is just the tip of the iceberg for Predictions Season. We’ll be bringing you a lot more.

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Big Soros Money Linked to “Occupy Wall Street”

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Labor unions, communists, “community organizers,” socialists, and anti-capitalist agitators have all joined together to “Occupy Wall Street” and protest against “greed,” corporations, and bankers. But despite efforts to portray the movement as “leaderless” or “grassroots,” it is becoming obvious that there is much more going on behind the scenes than meets the eye.

Billionaire financier George Soros’ fingerprints, for example, have been all over the anti-Wall Street campaign from the very beginning. And this week, the infamous hedge-fund boss publicly announced his sympathy for the protesters and their complaints about bailouts — despite the fact that he lobbied for even greater unconstitutional handouts to bankers in 2009.

“Actually I can understand their sentiment, frankly,” he told reporters while announcing a large donation to the United Nations. “I can sympathize with their grievances.”
But Soros’ support for the protesters goes far beyond his tepid public statements. In fact, the original call to “Occupy Wall Street” came from the magazine AdBusters, an “anti-consumerist” publication financed by, among other sources, the Soros-funded Tides Foundation.
Other Soros-backed outfits promoting big government — some with myriad ties to the Obama administration — are also publicly driving the occupation campaign. MoveOn.org, for instance, has received millions of dollars from the billionaire banker. And now, the group is urging its supporters to join the Occupy Wall Street movement as well.
“Over the last two weeks, an amazing wave of protest against Wall Street and the big banks has erupted across the country,” MoveOn said in a recent e-mail to supporters, praising the “brave” demonstrators. “On Wednesday, MoveOn members will join labor and community groups in New York City for a huge march down to the protest site — the biggest yet.”
On top of supplying activists to join the demonstrations, MoveOn is also staging what it calls a “massive ‘Virtual March on Wall Street’ online.” The Internet-based demonstrations are a collaborative effort with another radical and well-connected outfit tied to Soros called Rebuild the Dream.
Led by self-described communist and former Obama administration czar Van Jones, the “Dream” movement is a partnership between a host of Soros-financed “progressive” groups. Big Labor and even Planned Parenthood — the largest abortion provider in America, which receives hundreds of millions of tax dollars each year — are partners, too.
“Together, we’ll add hundreds of thousands of voices of solidarity from the American Dream Movement for the protests across the country and show just how widespread outrage at the Wall Street banks really is,” MoveOn boasted in its e-mail.
Other groups working with Rebuild the Dream are also publicly hyping the demonstrations. And more than a few of them are on the Soros payroll as well. Some examples include People For The American Way, Planned Parenthood, Campaign For America’s Future, Democracy For America, Leadership Conference for Civil and Human Rights, Common Cause, Public Campaign, and many more.
Soros, of course, has a long history of financing organizations targeting the American system of government. He has also served on the board of the immensely influential global-governance-promoting Council on Foreign Relations.
Just last year, Soros claimed that the brutal communist dictatorship ruling mainland China should lead what he calls the “New World Order.” The Chinese tyrants, meanwhile, have also been touting Occupy Wall Street through the regime’s propaganda organs.
But Soros does not love the despots in Beijing for their commitment to “equality” or “democracy.” As The New American reported, behind Soros and his tens of billions lies even more wealth and power: the unimaginably vast Rothschild banking empire.
One of the richest men in the world today, Soros has been in legal trouble for corruption before — in France, for instance, he was fined more than $2 million for his illegal scheming. So, critics noted, it might seem ironic that the textbook example of a “corrupt financier” would finance a protest supposedly aimed at corrupt financiers. But the irony hardly ends there.
Union bosses and others intimately linked to President Obama — whose top campaign contributors included Goldman Sachs, JP Morgan Chase, Citigroup, and other big banks — are also playing a key role in the Wall Street protests. The protesters are even recycling administration talking points such as the old “the rich should be forced to pay their ‘fair share'” — despite the fact that the “Buffett rule” tax proposal being advanced would almost exclusively soak what remains of the middle class.
But that might be the point. According to reports and analysts, the whole anti-Wall Street movement has been carefully orchestrated by the Obama-linked anti-capitalist union titans and tax-funded “community organizers.” A troubling plot to essentially finish off capitalism was exposed earlier this year, and at the time it was blasted as “economic terrorism.” Even more disturbing: It was uncannily similar to the growing Wall Street demonstrations.
Community organizer Stephen Lerner of the SEIU, a regular White House guest, was caught on video in March discussing the scheme to “bring down the stock market” and “destabilize” the nation — all with the stated goal of “redistributing wealth.” And while the whole conspiracy was not revealed because Lerner suspected police were present, the strategies he mentioned included civil disobedience and mass anti-banker protests.
Another conspirator said to be pulling the strings, disgraced ACORN founder and union boss Wade Rathke, was advocating massive “Day of Rage” protests targeting bankers earlier this year. And he is also closely tied to Obama, who actually used to work for Rathke’s “community organizing” outfit.
ACORN, of course, was recently exposed engaging in widespread criminal activity while receiving millions of federal tax dollars. But after the organization filed for bankruptcy, its tentacles are taking over under new names — and still receiving government handouts.
Rathke is also a founding board member of the Soros-funded Tides Foundation, a key source of money for AdBusters magazine (which first called for the Wall Street occupation) and countless other anti-business groups. And he is directly tied to more than a few unions including the SEIU.
Beyond Big Labor and Soros “front groups,” as critics call them, is also a vast collection of socialist and Marxist organizations supporting the demonstrations. The Socialist Party USA, the Marxist-oriented Workers World Party, the International Committee of the Fourth International, and the Communist Party USA-affiliated People’s World are all publicly and openly backing the movement.
While the occupation movement purports to be “leaderless,” in reality, critics say its leaders and financiers are barely concealed. According to analysts, the protests — which are quickly spreading to cities across the United States, Canada, and Europe — actually represent a well-orchestrated operation being used by the very same elite “one percent” supposedly being protested against.
The “official” goals remain murky so far, almost certainly not by chance. But it is becoming increasingly apparent that liberty and honest money are not among the demands. Rather, bigger government, higher taxes, and an end to what remains of the free market system seem to be at the top of the list.

Related articles:

Police Brutality, Mass Arrests Draw Attention to “Occupy Wall Street”

Unions, Socialists Join Forces to “Occupy Wall Street”
“Day of Rage” Wall St. Occupation Sparks Fears

George Soros Funded by the House of Rothschild

George Soros Touts China as Leader of New World Order
Former SEIU Union Official Exposes Plot to Collapse U.S. Economy
Union Leader Describes Plan to Destroy Capitalism
Union Leader Proposes Economic Terrorism — Where Is the DOJ?
ACORN Keeps Members’ Dues After Bankruptcy
Fed Manipulations in the Crosshairs

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