19th edition - september 10th, 2011

8/4/2019 19th Edition - September 10th, 2011

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Dear Reader,

In March I made the first of, what I then realized would be many changes to The Ten Magazine. Obviously ifyou read The Ten over the last few months youve seen those changes have become more noticeable and more

numerous. Next weekIll make the most noticeable change possible, I will retire the name The Ten Magazinereplacing it with The Revolutionarys Voice. Why am I making this change? Well for starters I never muchcared for the name The Ten Magazine; it didnt capture the power of persuasion and motivation that I knowinformation possessesI doubt I have to tell you how important an informed electorate is to a healthydemocracy nor how the first instrument a tyrannical institution or person coops is the media due to itspropagandizing power which just to point out quickly, in this time of increasingly concentrated media powerinformation restriction has become an acidic force enabling economically manipulative people (I refuse to usethe term powerful when speaking about these people since their power comes from our eyes and minds seeingthem as such); to coax repressive legislation from our government officials that gnaw away at our ability to holdelected officials accountable and at our ability to feel secure within out constitutionally guaranteed liberties. Butthats off the topic my second reason for changing the name is the most important; currently there is already a

well established Ten Magazine; its a military magazine published by the Pentagon, so to avoid exposure tolitigation Im not going to use it in the future.

The name The Revolutionarys Voice comes from a comment I made to a friend five years ago. While talkingabout government malfeasance I made the following statement, blindness is not an excuse for not recognizingyour house is on fire, you still have hands, legs, ears and a brain. When I didnt know any of this {information}I was happy but in order to stay there I had to ignore what I saw; once I stopped ignoring that stuff, I becameactivated. I couldnt stand to see things continue as they were. My friend asked me where I found myinformation, I gave him a list of websites and then quipped; while I like Truth-out{.org} I wish there was a{hardcopy} newspaper I could buy with a name like. . .I dont know the Revolutionarys Voice or something.And since that day I kept the title in the back of my mind hoping to get the change to use it. Well that time is

now.

If you have any comments dont hesitate to send them [email protected], Subject Line: RV.

Thank you for your continued support!

Chief Creative EditorEphraim J Davis
mailto:[email protected]:[email protected]:[email protected]:[email protected]


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IntroductionConsortium News

Last Call for Lagging Fund Drive (Page 4)And Heres The Good News

Vancouver Announces Massive Plan to build housing, endhomelessness (Page 5)PodcastersWay

LSEA World Economic Order Based on Cultural Comparative

Advantage (Page 7)Moyers on America

The Net at Risk (2006) (Page 7)Librivox

General Smedley ButlerWar is a Racket (Page 7)

The ActivistsDeskRoll Call

The 50 Richest Members of Congress (2011) (Page 8)News BriefsInternational Business Times

Bernanke Speech: Dont Cut Government Spending To quick(Page 13)

TPM MuckrackerIn wake of Fraud Arrest, Biggest County Party in U.S.A Doesnt

Know how much money it has (Page 14)Legistorm

U.S Lawmakers among Worlds Best Compensated (Page 14)Hot Off thePressesDeep Journal

Secret Report: Megrahi is not the Lockerbie Bomber (Page 16)

Naked CapitalismMore Proof of DoJ Lack of Interest in Enforcing the Law: The

Case of the Kickback-Demanding Banks (Page 17)The Regime atHomeTruth-Out.org

The Military Assault on Global Climate (Page 19)

Real MoneyEnergy & CapitalStrategic Petroleum, Indeed (Page 23)A Break withHistory

New Deal 2.0Nine Government Investments that made us an Industrial

Economic Leader(Page 25)The Exchange

Counter Currents

A Time Frame for Systemic Collapse (Page 28)National Humanities CenterThe Religious Origins of Manifest Destiny (Page 29)

CuriousProposalsOpen Left

Entrepreneurial Populism (Page 33)InstitutionalMindsMigration Information

Migration FundamentalsFilling Labor Shortages throughImmigration: An Overview of Shortage Lists and their

Implications (Page 36)


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Last Call for Lagging Fund DriveBy Robert Parry (Editor of Consortium News

http://consortiumnews.com/2011/09/06/last-call-for-lagging-fund-driveSeptember 6, 2011

From Editor Robert Parry,For nearly 16 years, we have tried to givereaders in the United States and around theworld truly independent journalism, doingwhat the mainstream U.S. news mediaoften doesnt do: take on the hard stories

with seriousness and professionalism.

We have done this on a shoe string, but wecant continue without at least a modest

budget. Our current mid-year fund driveseeking just $25,000 remains about$10,000 short. And we are down to ourlast few days. If you can, please help.

There are four easy ways to support ourindependent investigative journalism:

First option: You can make a tax-deductible donationby credit cardat theWeb site orby checkto Consortium forIndependent Journalism (CIJ); 2200Wilson Blvd.; Suite 102-231; ArlingtonVA 22201. Or you can use PayPal (ouraccount is named after our e-mail [email protected]).

With any donation of $50 or more, youcan request as a premium gift a copy ofone of two documentaries about thehistoric 1980 election:

A DVD of the PBS Frontline

documentary The Election Held

Hostage, co-written by Robert Parry. Itexplores whether Republican skullduggery

with Iran was a factor in electing RonaldReagan.

Or, filmmaker William Brandon Shanleys

documentary, The Made for TVElection, which examines the role of

media manipulation. It is narrated by actorMartin Sheen.

For $100, you can get both. And for $125,we will add the two-DVD set of theclosed-door congressional debriefing ofIsraeli intelligence officer Ari Ben-

Menashe, describing his role in thesehistoric events.

Once you make your donation, simply e-mail us your selection [email protected].

If youd prefer, a book instead of a DVD,

you can ask for an autographed copy ofone of Robert Parrys last three books Lost History, Secrecy & Privilege orNeckDeep as a substitute. Just follow up yourdonation with an e-mail expressing your

choice.

Second:if youd rather spread out yoursupport in smaller amounts, you can signup for a monthly donation. Withcontributions of $10 or more a month, youcan qualify for war correspondent DonNorths DVD, Yesterdays Enemies

about the lives of former Salvadoranguerrillas. For details,click here.

(If you sign up for a monthly donation andwant to get Dons DVD, remember to

contact us [email protected]. If youprefer, we can substitute The Election

Held Hostage or The Made for TVElection. Just ask.)

Third option: if you cant afford adonation right now, you can also help usreach our fundraising goal by takingadvantage of our deep discount for thetwo-book set of Robert ParrysSecrecy &Privilege andNeck Deep (co-authored

with Sam and Nat Parry). The sale pricefor the set is only $19, postage included.For details,click here.

Fourth: you can help us close out ourwarehouse space by buying full boxesofSecrecy & Privilege orNeck Deep foronly $59. Each carton contains 28paperbacks, or you can ask that we giveyou a mix of half and half, 14 of each.

You can give the books away as gifts orresell them for your own fundraiser. (One

reader placed an order for her book club, agreat idea since each book costs onlyabout $2.)

For details about this bulk bookorder,click hereand scroll down to the$59 offer.

As always, thanks for your support.
http://consortiumnews.com/2011/09/06/last-call-for-lagging-fund-drive/http://salsa.democracyinaction.org/dia/track.jsp?v=2&c=99MXyF%2F9ymDW8CeoyWU42pia1lMFcnVWhttp://salsa.democracyinaction.org/dia/track.jsp?v=2&c=99MXyF%2F9ymDW8CeoyWU42pia1lMFcnVWhttp://salsa.democracyinaction.org/dia/track.jsp?v=2&c=99MXyF%2F9ymDW8CeoyWU42pia1lMFcnVWhttp://www.consortiumnews.com/cont2.htmlhttp://www.consortiumnews.com/cont2.htmlhttp://www.consortiumnews.com/cont2.htmlmailto:[email protected]:[email protected]://consortiumnews.com/2010/091310b.htmlhttp://consortiumnews.com/2010/091310b.htmlhttp://consortiumnews.com/2010/091310b.htmlmailto:[email protected]:[email protected]:[email protected]://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/http://consortiumnews.com/2011/033111a.htmlhttp://consortiumnews.com/2011/033111a.htmlmailto:[email protected]://consortiumnews.com/2010/091310b.htmlmailto:[email protected]://www.consortiumnews.com/cont2.htmlhttp://salsa.democracyinaction.org/dia/track.jsp?v=2&c=99MXyF%2F9ymDW8CeoyWU42pia1lMFcnVWhttp://consortiumnews.com/2011/09/06/last-call-for-lagging-fund-drive/


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And Here-s The Good

NewsVancouver announces massive plan to buildhousing, end homelessness

Philip Langdonhttp://newurbannetwork.com/article/vancouver-announces-massive-plan-build-housing-end-homelessness

15065When he was elected mayor of Vancouver,

British Columbia, in 2008, GregorRobertson pledged to do away withhomelessness in the 643,000-populationcity by 2015. Now the municipalgovernment is planning a buildinginitiative that aims to eliminatehomelessness by that date and produce38,000 affordable housing units over thecourse of a decade.

The Vancouver Sunreports:

The comprehensive plan calls for an

additional 7,900 supportive and socialhousing units, 11,000 rental units, and20,000 new condos and ownership unitsto be built in Vancouver, resulting in moreaffordable housing for everyone by 2021.

If approved on Tuesday, the Housing andHomelessness Strategy will unfold in twophases, beginning with a three-yearstrategy to stamp out homelessness by2015.

The last six years of the plan will focus onbringing down the cost of every type ofhousing, ranging from Single RoomOccupancy hotels to privately ownedhomes.

Vancouver, thoughrenowned for livabilityit has been ranked one of the world'smost livable cities for more than a decadebears the disadvantage of being one ofCanada's most expensive metropolitanareas. The level of pay in Greater

Vancouver isn't enough to offset the steep

housing costs. In April 2010, the CanadianweeklyMaclean's said this about life inmetropolitan Vancouver:

Family incomes are static but housingcosts arent. By one measure, theDemographic International HousingAffordability Survey, Vancouver is themost unaffordable city in Canada, and the15th worst among 100 cities worldwide.Survey co-author, Hugh Pavletich of NewZealand, says ideally housing costs shouldnot exceed three-times the familys

income, meaning an affordability index ofthree. Anything above 5.1 is ranked in thesurvey as severely unaffordable.

Vancouver has an index of 6.6, whichPavletich called bloody absurd....

Already 68 per cent of [GreaterVancouver residents'] average disposableincome is spent on housing costs. Thatcompares to 44 per cent in Toronto, 35 percent in Calgary and 36 per cent inMontreal."

Of the number of people lacking housingin Greater Vancouver, The Sun said: "Aregion-wide homeless count on March 16found 2,632 people living on the streetsthroughout the region, 1,605 of those werein Vancouver."

To help reach its housing goals, the citywould offer $42 million in land and capitalgrants to developers.

The Sun noted:

The plan also calls for the citys land

resources and capital projects to be usedto lever opportunities with the provincialand federal governments to build morehousing options in new neighbourhoods.

The city would approve more lanewayhousing and secondary suites, accordingto the plan.

New Urban Networkreported inNovember 2010 thatnearly 200

applicationshad been submitted to buildlaneway dwellings small housesbehind single-family houses. That is onepart of a multifaceted approach to allowmore people to find housing in the city.

In 2006, a previous mayor, Sam Sullivan,announced theEcoDensity Initiative,which called for higher density in everypart of the city. He presented the initiativeas a way of accommodating substantialpopulation growth and helping to relievethe high cost of housing.

Council concern

Homelessness is a prominent issue forsome of Vancouver's Council members.

"This is why I got into the job," CouncillorKerry Jang said, referring to the initiativeagainst homelessness. "I felt I wasn't doingmy part."
http://newurbannetwork.com/article/vancouver-announces-massive-plan-build-housing-end-homelessness-15065http://newurbannetwork.com/article/vancouver-announces-massive-plan-build-housing-end-homelessness-15065http://www.vancouversun.com/news/City+create+affordable+housing+units+part+plan+homelessness/5152952/story.htmlhttp://www.vancouversun.com/news/City+create+affordable+housing+units+part+plan+homelessness/5152952/story.htmlhttp://en.wikipedia.org/wiki/Vancouverhttp://en.wikipedia.org/wiki/Vancouverhttp://en.wikipedia.org/wiki/Vancouverhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://newurbannetwork.com/article/vancouver-plans-possible-doubling-populationhttp://newurbannetwork.com/article/vancouver-plans-possible-doubling-populationhttp://newurbannetwork.com/article/vancouver-plans-possible-doubling-populationhttp://newurbannetwork.com/article/vancouver-plans-possible-doubling-populationhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://newurbannetwork.com/news-opinion/links/13553/laneway-housing-takes-vancouverhttp://en.wikipedia.org/wiki/Vancouverhttp://www.vancouversun.com/news/City+create+affordable+housing+units+part+plan+homelessness/5152952/story.htmlhttp://newurbannetwork.com/article/vancouver-announces-massive-plan-build-housing-end-homelessness-15065http://newurbannetwork.com/article/vancouver-announces-massive-plan-build-housing-end-homelessness-15065


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Weve got a long way to go, Councillor

Geoff Meggs said about eliminatinghomelessness. Anybody who is sleeping

on the street is suffering. he said, and

homelessness means society is sufferingtoo.
http://newurbannetwork.com/


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URLsLibrivox -http://librivox.org/short-nonfiction-collection-vol-018-by-various/

LSE -http://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+AdvantagePBS -http://video.pbs.org/video/1475883951/
http://librivox.org/short-nonfiction-collection-vol-018-by-various/http://librivox.org/short-nonfiction-collection-vol-018-by-various/http://librivox.org/short-nonfiction-collection-vol-018-by-various/http://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+Advantagehttp://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+Advantagehttp://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+Advantagehttp://video.pbs.org/video/1475883951/http://video.pbs.org/video/1475883951/http://video.pbs.org/video/1475883951/http://video.pbs.org/video/1475883951/http://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+Advantagehttp://beemp3.com/download.php?file=2246010&song=A+World+Economic+Order+Based+on+Cultural+Comparative+Advantagehttp://librivox.org/short-nonfiction-collection-vol-018-by-various/


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The 50 Richest Members of Congress (2011)To determine the richest lawmakers, Roll Call adds up the minimum value of total assets reported by each Member on their annualfinancial disclosures and subtracts the minimum liabilities. Percent change refers to the change since last year's disclosure forms

An asset valued at $5 million to $25 million is counted at the lesser amount, as is a liability valued at $1 million to $5 million.You can visit previous editions of 50 Richest lists here

http://www.rollcall.com/50richest/the-50-richest-members-of-congress-112th.htm

1. Rep. Michael McCaul (R-Texas) $294.21 Million

1.2. Rep. Darrell Issa (R-Calif.)

$220.40 Million

3. Sen. John Kerry (D-Mass.)$193.07 Million

4. Sen. Jay Rockefeller (D-W.Va.)$81.63 Million

5. Sen. Mark Warner (D-Va.)$76.30 Million

6. Rep. Jared Polis (D-Colo.)$65.91 Million

7. Sen. Frank Lautenberg (D-N.J.$55.07 Million

8. Sen. Richard Blumenthal (D-Conn.) $52.93* Million
http://www.rollcall.com/50richest/http://www.rollcall.com/50richest/the-50-richest-members-of-congress-112th.htmlhttp://www.rollcall.com/50richest/the-50-richest-members-of-congress-112th.htmlhttp://www.rollcall.com/50richest/


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9. Sen. Dianne Feinstein (D-Calif.)$45.39 Million

10. Rep. Vern Buchanan (R-Fla.)$44.21 Million

11. Rep. Jim Renacci (R-Ohio)$35.87* Million

12. Rep. Nancy Pelosi (D-Calif.)$35.20 Million

13. Rep. Rick Berg (R-N.D.)$21.60* Million

14. Sen. Bob Corker (R-Tenn.)$21.18 Million

15. Rep. Rodney Frelinghuysen (R-N.J.) $20.35 Million

16. Sen. James Risch (R-Idaho)$19.78 Million

17. Rep. Gary Miller (R-Calif.)$17.45 Million

18. Sen. Claire McCaskill (D-Mo.)$17.00 Million

19. Rep. Kenny Marchant (R-Texas) $16.45 Million

20. Rep. Nita Lowey (D-N.Y.)$15.46 Million

21. Rep. Mike Kelly (R-Pa.)$11.90* Million

22. Rep. Trent Franks (R-Ariz.)$11.60 Million

23. Rep. Richard Hanna (R-N.Y.)$10.89** Million


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24. Rep. Scott Rigell (R-Va.)$10.69* Million

25. Rep. Diane Black (R-Tenn.)$10.63* Million

26. Rep. Tom Petri (R-Wis.) $10.60Million

27. Sen. Lamar Alexander (R-Tenn.) $10.38 Million

28. Sen. John McCain (R-Ariz.)$10.35 Million

29. Sen. Tom Harkin (D-Iowa)$10.28 Million

30. Rep. Carolyn Maloney (D-N.Y.)$10.14 Million

31. Rep. Jim Sensenbrenner (R-Wis.) $10.14 ***Million

32. Sen. Olympia Snowe (R-Maine)$9.88 Million

33. Sen. Mitch McConnell (R-Ky.)$9.84 Million

34. Rep. Tom Price (R-Ga.) $9.43Million

35. Rep. Nan Hayworth (R-N.Y.)$9.35* Million

36. Rep. Shelley Berkley (D-Nev.)$9.29 Million

37. Sen. Herb Kohl (D-Wis.) $9.23Million

38. Rep. Lloyd Doggett (D-Texas)$8.53 Million


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39. Rep. Blake Farenthold (R-Texas) $8.51* Million

40. Rep. John Campbell (R-Calif.)$8.44 Million

41. Sen. Ron Johnson (R-Wis.)$8.18* Million

42. Rep. Steve Pearce (R-N.M.)$8.03* Million

43. Sen. John Hoeven (R-N.D.)$7.94* Million

44. Rep. Fred Upton (R-Mich.)$7.93 Million

45. Rep. Bill Flores (R-Texas)$7.71* Million

46. Sen. Jeff Bingaman (D-N.M.)$7.41 Million

47. Sen. Kay Hagan (D-N.C.) $7.06Million

48. Sen. Ben Nelson (D-Neb.) $6.56Million

49. Sen. Johnny Isakson (R-Ga.)$6.47 Million

50. Rep. Randy Neugebauer (R-Texas) $6.21 Million

* Indicates a freshman Member of

Congress. Roll Call did not calculatepercent change from forms filed ascandidates.** Member has not yet filed a disclosureform this year. The number here is basedon the last available data, a disclosureform filed last year when he was acandidate for Congress. This informationwill be updated.*** Roll Call added Sensenbrenner to thislist after initial publication based on moredetailed information about his wealthprovided by his office. Sensenbrenner usedto file a personal wealth statementdetailing not only his stock investmentsand bank accounts, but his travelerschecks and stamp collectionalong withthe standard disclosure form. He did notattach a similar accounting with his 2010financial report filed this spring, whichshowed a net worth of at least $5.19million. But during Roll Calls review ofthe details of Sensenbrenners nearly 700-page report, his office pointed to a


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separate financial statement he submittedto the Congressional Record in May,which indicates the Wisconsin lawmakerhas a net worth of $10.14 million dollars,including several items that he does nothave to report on the disclosure form. WithSensenbrenners addition, Rep. Rosa

DeLauro (D-Conn.) drops from our list.


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Bernanke Speech: Don't Cut GovernmentSpending Too Quickly

By Mike ObelSeptember 8, 2011 2:12 PM EDT

http://www.ibtimes.com/news/210774/20110908/forex/bernanke-speech-housing-consumer-spendingrecession-recovery.htm

Ben Bernanke, the head of the U.S. centralbank, warned Thursday against cuttinggovernment spending too sharply or

quickly, lest one of the most fragilerecoveries in the nation's economic historysuffer further damage.

TheFederal Reservechairman's speech,coming just hours before President Obamawas set to address a joint session ofCongress to propose a jobs plan, leftstocks cold: While equities started theday's session, rising they tapered off as thetime for Bernanke's speech neared andwere down on all three major indexes bythe time he finished.

The Fed chairman, who sought to assuagefears of inflation from past Fed actionsthat increased the money supply, forecastinflation moving to 2 percent or less. Healso said the central bank would do all itcould to "promote a stronger economicrecovery in the context ofprice stability."

In what appeared to be comments aimed atfederal lawmakers, Bernanke affirmed the

need to put a lid on the exploding nationaldebt -- but warned that measures to thatend must be judicious.

"While prompt and decisive action to putthe federal government's finances on asustainable trajectory is urgently needed,fiscal policymakers should not, as aconsequence, disregard the fragility of theeconomic recovery," Bernanke said.

"There is ample room for debate about theappropriate size and role for thegovernment in the longer term, but--in theabsence of adequate demand from theprivate sector -- a substantial fiscalconsolidation in the shorter term could addto the headwinds facing economic growthand hiring." Besides warning against rashcuts in government spending, the Fedchairman said one of the most strikingfeatures of the current anemic recovery isunusual weakness in household spending.

After contracting very sharply during therecession, consumer spending expandedmoderately through 2010, only to

decelerate in the first half of 2011," hesaid, in prepared remarks. Bernanke citedas causes of the unusually weak household

spending a "persistently high level ofunemployment, slow gains in wages forthose who remain employed, falling houseprices, and debt burdens that remain highfor many, notwithstanding thathouseholds, in the aggregate, have beensaving more and borrowing less. Eventaking into account the many financialpressures they face, households seemexceptionally cautious."

In conjunction with unusually weakhousehold spending is unusually weakhousing prices, he said.

"Unfortunately, the recession, besidesbeing extraordinarily severe as well asglobal in scope, was also unusual in beingassociated with both a very deep slump inthe housing market and a historic financialcrisis," Bernanke said. "These two featuresof the downturn, individually and incombination, have acted to slow thenatural recovery process."
http://www.ibtimes.com/news/210774/20110908/forex/bernanke-speech-housing-consumer-spending-recession-recovery.htmhttp://www.ibtimes.com/news/210774/20110908/forex/bernanke-speech-housing-consumer-spending-recession-recovery.htmhttp://www.ibtimes.com/topics/detail/256/ben-bernanke/http://www.ibtimes.com/topics/detail/256/ben-bernanke/http://www.ibtimes.com/topics/detail/244/federal-reserve/http://www.ibtimes.com/topics/detail/244/federal-reserve/http://www.ibtimes.com/topics/detail/244/federal-reserve/http://topics.bloomberg.com/price-stability/http://topics.bloomberg.com/price-stability/http://topics.bloomberg.com/price-stability/http://topics.bloomberg.com/price-stability/http://www.ibtimes.com/topics/detail/244/federal-reserve/http://www.ibtimes.com/topics/detail/256/ben-bernanke/http://www.ibtimes.com/news/210774/20110908/forex/bernanke-speech-housing-consumer-spending-recession-recovery.htmhttp://www.ibtimes.com/news/210774/20110908/forex/bernanke-speech-housing-consumer-spending-recession-recovery.htm


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* * * * * * * *

In Wake Of Fraud Arrest, Biggest County

Party In U.S. Doesn't Know How MuchMoney It Has

Ryan J. ReillySeptember 6, 2011, 7:50PM

http://tpmmuckraker.talkingpointsmemo.com/2011/09/kinde_durkee_in_wake_of_fraud_arrest_biggest_county_party_in_us_doesnt_know_how_much_money_it_has.php

The Los Angeles Country DemocraticParty -- the biggest county party in theUnited States -- doesn't have a clue how

much money it has in the bank and ishoping it will be able to make its payroll.The county party treasurer,Kinde Durkee,wasarrested over the weekendandcharged with moving substantial sums ofmoney to her personal business accountand between the accounts of her clients tocover shortfalls.

"I have been chair for 12 years and shepredates me," Chairman Eric Bauman toldTPM in a phone interview Tuesday. "Wenever had any issues until this last year or

so."

Bauman said that several state auditsuncovered irregularities, but that Durkeepaid the fines herself.

"We've always kept a pretty tight rein onwhat our bank balances were," Baumansaid. "But as anyone that receives financial

documents from a treasurer knows, weonly see the documents they prepared forus."

Bauman, who joked that he'd had betterdays, said the party was in touch withlawyers and the bank and trying to "figureout what the hell we had."

The party's bank wouldn't -- or couldn't --tell him how much money was in partyaccounts, Bauman said.

He also said that Durkee had her ownproprietary software instead of astandardized software, which would havemade it difficult for clients to transferaccountants. Bauman said the software

"reportedly made logging transactions andreporting them appropriately much easier,so that's a positive not a negative when

you're talking with a treasurer."

Bauman said the county party has fiveemployees and raised $200,000 lastmonth.

"I just don't know if it's in the bank,"Bauman said.

* * * * * * * *

U.S. lawmakers among world's best

compensatedPosted by LegiStorm

Wednesday, July 27, 2011http://www.legistorm.com/blog/u-s-lawmakers-among-world-s-best-compensated.htm

The $174,000 base salary for members ofCongress is one of the highest legislatorpays in the world when compared against

the average wage earner, a new reportshows.

When benefits are added in, lawmakersearn around $285,000,according to thereportreleased by theTaxpayersProtection AllianceandOur Generation.
http://tpmmuckraker.talkingpointsmemo.com/ryan_j_reilly_1/2011/09/04-week/http://tpmmuckraker.talkingpointsmemo.com/2011/09/kinde_durkee_in_wake_of_fraud_arrest_biggest_county_party_in_us_doesnt_know_how_much_money_it_has.phphttp://tpmmuckraker.talkingpointsmemo.com/2011/09/kinde_durkee_in_wake_of_fraud_arrest_biggest_county_party_in_us_doesnt_know_how_much_money_it_has.phphttp://tpmmuckraker.talkingpointsmemo.com/kinde_durkee/http://tpmmuckraker.talkingpointsmemo.com/kinde_durkee/http://tpmmuckraker.talkingpointsmemo.com/kinde_durkee/http://tpmmuckraker.talkingpointsmemo.com/2011/09/feds_treasurer_used_campaign_funds_for_cosmetics_i.phphttp://tpmmuckraker.talkingpointsmemo.com/2011/09/feds_treasurer_used_campaign_funds_for_cosmetics_i.phphttp://tpmmuckraker.talkingpointsmemo.com/2011/09/feds_treasurer_used_campaign_funds_for_cosmetics_i.phphttp://www.legistorm.com/blog/u-s-lawmakers-among-world-s-best-compensated.htmlhttp://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://www.protectingtaxpayers.org/http://www.protectingtaxpayers.org/http://www.protectingtaxpayers.org/http://www.protectingtaxpayers.org/http://ourgeneration.org/http://ourgeneration.org/http://ourgeneration.org/http://talkingpointsmemo.com/http://ourgeneration.org/http://www.protectingtaxpayers.org/http://www.protectingtaxpayers.org/http://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://ourgeneration.org/wp-content/uploads/2011/06/con-compensation.pdfhttp://www.legistorm.com/blog/u-s-lawmakers-among-world-s-best-compensated.htmlhttp://tpmmuckraker.talkingpointsmemo.com/2011/09/feds_treasurer_used_campaign_funds_for_cosmetics_i.phphttp://tpmmuckraker.talkingpointsmemo.com/kinde_durkee/http://tpmmuckraker.talkingpointsmemo.com/2011/09/kinde_durkee_in_wake_of_fraud_arrest_biggest_county_party_in_us_doesnt_know_how_much_money_it_has.phphttp://tpmmuckraker.talkingpointsmemo.com/2011/09/kinde_durkee_in_wake_of_fraud_arrest_biggest_county_party_in_us_doesnt_know_how_much_money_it_has.phphttp://tpmmuckraker.talkingpointsmemo.com/ryan_j_reilly_1/2011/09/04-week/


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The largest benefit is contributions towardretirement, which the study's authorsestimated at $82,000 annually.

The base salary for a member of Congressis 3.4 times greater than the average$50,875 wage of a full-time employee inthe United States. That disparity is secondonly to Japan (3.7 times) among the 13

countries highlighted in the study. Beforeadjusting for benefits, the base salaryplaces members among the top 5 percentof all American workers.,

The study's authors conclude that pay formembers of Congress is excessive in lightof the current economic climate.

"Immediate steps need to be taken to cutCongressional salaries and benefits andreassure Americans that sacrifices madeduring this economic downturn are beingwidely shared."


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Secret report: Megrahi is not the Lockerbiebomber

By Daan de WitTranslated

By Ben KearneyThe verdict in the Lockerbie case is

based on lies and deception, and theman convicted of the crime, AbdelbasetAli al-Megrahi, cannot be theperpetrator. This appears fromrevelations contained in a secret sectionof an official report.

'Lockerbie' was investigated down to thelast detail by the Scottish Criminal CasesReview Commission, SCCRC. After fouryears, the Commission produced thefindings of an investigation which costmillions to carry out and that is partly stillsecret, but which was seen by journalistMarcello Mega: 'The report shows Scotsdetectives on the original investigation,together with Crown prosecutors and theirUS colleagues, deliberately covered upevidence and witness statements that didnot fit the case.' This quote is taken froman article by Mega published in TheScottish Sun. His article can no longer befound on The Scottish Sun website. It waserroneously edited by one of thenewspaper's editors, after which - eventhough it was related to a technicality - thearticle was removed from the website in its

entirety. Upon request, Mega emailed thequote and the remainder of the article toDeepJournal.

'Megrahi is not the Lockerbie bomber'Before Mega's article was removed, it hadalready beenquotedonline: '[...] RobertBlack QC, retired Professor of Scots Lawat Edinburgh University and the architectof the Lockerbie trial, told how he believes

Megrahi is innocent. Mr Black said:

"Megrahi is not the Lockerbie bomber andthese revelations further underline that.[] "That the judges did convict him on

the flimsiest of evidence, which requiredseveral leaps of faith on a number ofcrucial matters that had not been provenby the Crown, remains a matter ofprofound concern for all of us." Mr Blacksaid it was now vital that a top-level publicinquiry is held to get to the truth.'

Back in July, Megawrote: 'Youll justhave to take my word for it that this caserepresents the worst injustice perpetratedby the courts that Ive encoutered in 22

years as a journalist.

In aletterdating roughly to 2008 that wasrecently discovered in the headquarters ofthe Libyan intelligence services anddirected at a Gaddafi advisor, al-Megrahiwrites that he is innocent.

'Failure of the justice system'Robert Blackquotesfrom Mega's article:[The Scottish Criminal Cases Review

Commission] has grave concerns over the

evidence against the 59-year-old[Megrahi] following a multi-million-pound, four-year investigation. In thedossier - seen by The Scottish Sun -Maltese shopkeeper Tony Gauci, whohelped finger Megrahi as the bomber, isdescribed as an "unreliable" witness. []One undisclosed memo reveals the FBIdiscussed with Scots cops an offer ofunlimited cash to Gauci - with "$10,000

available immediately".' Mega from his

email: 'He and his brother Paul wererewarded for their testimony, receivingmore than $2m and $1m respectively.'

An 800-page summary of the report waspublished in 2007.A quote from thesummary: The applicant [Megrahi] mayhave suffered a miscarriage of justice. A2007headlinefrom The Scotsman reads:'Lockerbie evidence 'was tampered with,destroyed and overlooked'.

'Police are also accused of lying in courtwhile prosecutors - including then LordAdvocate Colin Boyd QC - are suspectedof suppressing bombshell evidence thatwould likely have seen Megrahi walk free.

Petition for a new investigationOn Black's website is apetitionfromJustice for Megrahi, an organization thatBlack is affiliated with: We would argue

that for nearly 23 years Scottish Courtsand the Scottish Government have failedto deliver the truth about Lockerbie despitethese claims of supremacy in human rightsmatters. We are at a loss to equate the

current governments refusal to hold ajudicial inquiry into Lockerbie with thisprinciple that Scotland and Scotland aloneis capable of delivering justice to all of itspeople.

Mega writes: 'Dr Jim Swire, who lost hisdaughter Flora on the doomed flight, said:This underlines again the need for a full

public inquiry. Its too easy for everyone
http://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://www.marcello-mega.co.uk/index.php?s=lockerbiehttp://www.marcello-mega.co.uk/index.php?s=lockerbiehttp://www.marcello-mega.co.uk/index.php?s=lockerbiehttp://www.telegraph.co.uk/news/worldnews/africaandindianocean/libya/8730284/Libya-Lockerbie-bomber-Abdelbaset-Ali-al-Megrahi-maintains-innocence.htmlhttp://www.telegraph.co.uk/news/worldnews/africaandindianocean/libya/8730284/Libya-Lockerbie-bomber-Abdelbaset-Ali-al-Megrahi-maintains-innocence.htmlhttp://www.telegraph.co.uk/news/worldnews/africaandindianocean/libya/8730284/Libya-Lockerbie-bomber-Abdelbaset-Ali-al-Megrahi-maintains-innocence.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://deepjournal.com/p/43/a/en/802.htmlhttp://deepjournal.com/p/43/a/en/802.htmlhttp://deepjournal.com/p/43/a/en/802.htmlhttp://lockerbiecase.blogspot.com/2011/06/consideration-of-petition-pe1370.htmlhttp://lockerbiecase.blogspot.com/2011/06/consideration-of-petition-pe1370.htmlhttp://lockerbiecase.blogspot.com/2011/06/consideration-of-petition-pe1370.htmlhttp://www.justiceformegrahi.com/http://www.justiceformegrahi.com/http://www.justiceformegrahi.com/http://lockerbiecase.blogspot.com/2011/06/consideration-of-petition-pe1370.htmlhttp://deepjournal.com/p/43/a/en/802.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://www.independent.co.uk/news/uk/home-news/scottish-censors-to-edit-megrahi-report-2346601.htmlhttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.htmlhttp://www.telegraph.co.uk/news/worldnews/africaandindianocean/libya/8730284/Libya-Lockerbie-bomber-Abdelbaset-Ali-al-Megrahi-maintains-innocence.htmlhttp://www.marcello-mega.co.uk/index.php?s=lockerbiehttp://lockerbiecase.blogspot.com/2011/08/dossier-of-doubt-over-lockerbie.html


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to maintain Megrahi was convicted so hemust be guilty, when clearly he is not.'Megrahi was recentlytracked downinTripoli.

Palestinian terrorists acting on ordersfrom IranThis four partseries of articles onLockerbieoffers more background

information on the case. It starts with thesearch for the real perpetrator. For the timebeing all signs point in the direction ofIran and the Palestinian terroristorganization PFLP-GC. In 1988 the U.S.Navy's U.S.S. Vincennes shot down anIranian airliner, killing all 290 civilianpassengers on board. In retaliation, thePFLP-GC, under the command of Ahmed

Jibril and acting on orders from Iran, issuspected of bringing down Pan Am flight103 that same year.

* * * * * * * *

More Proof of DoJ Lack of Interest in

Enforcing the Law: The Case of the

Kickback-Demanding BanksWednesday, September 7, 2011

http://www.nakedcapitalism.com/2011/09/more-proof-of-doj-lack-of-interest-in-enforcing-the-law-the-case-of

the-kickback-demanding-banks.htm

In this world of rampant bankingmiscreance, it may seem hard to getworked up about $6 billion inimpermissible kickbacks. But this is a caseof a clear-cut legal violation, with theparticulars sent to the Department ofJustice by the HUD Inspector Generals

office on a silver platter. And one of thealleged big bad actors was the ever-

sanctimonious Wells Fargo.

American Banker has a detailed write-upof a kickback scheme between majorbanks who were mortgage originators, inparticular Wells, Citigroup, Countrywide,and SunTrust and mortgage insurers. Themortgage insurance was to insure theriskier portion of a highly gearedmortgage. The borrower would pay ahigher rate to compensate for the lack of alarge (or much of any) down payment. Thekickback was dressed up as reinsurance,

meaning the mortgage insurer was layingoff some of the risk to the originator andpaying a fee to do so. But what insteadhappened was that fees were paid but thedeals were structured so that no risk wasshifted over to the banks.

The violations were uncovered by HUDs

Inspector General office. IGs are tasked toprevent and uncover fraud, waste, andabuse. Its budget is separate from the rest

of HUD. It has substantial lawenforcement powers and can subpoenadocuments but not witnesses. Notsurprisingly, this isnt the first time that

significant HUD IG finding has beenignored. The IGs officefound substantialevidence that the biggest servicers haddefrauded taxpayers (with Wells again aparticularly bad actor) But since that report

contradicted the see no evil ForeclosureTask Force findings, nothing has beendone.

The overview fromthe American Bankerstory: In exchange for the their business,companies such as Citigroup Inc, WellsFargo & Co, SunTrust Banks Inc. andCountrywide allegedly requiredreinsurance partnerships on generousterms that violated theReal EstateSettlement Procedures Act, a 1974 lawprohibiting abusive home sales practices.

During a two-day presentation in thesummer of 2009, HUDs team presented

DOJ attorneys with a thick binder ofevidence that major banks had engineereda decade-long kickback scheme, peoplefamiliar with the investigation say.

Documents from the investigation showthat the inspector generals staff concluded

that banks and insurance companies hadcreated elaborate financial structures thathad the appearance of reinsurance butfailed to transfer significant amounts ofrisk to their bank underwriters.

Some of the deals were designed to returna 400% profit on a banks investment

during good years and remain profitable

even in the event of a real estate collapse.Making matters worse, banks allegedlyforced unknowing consumers to buy moreinsurance than they needed and failed toproperly disclose the reinsuranceagreements, another RESPA violation

Wells Fargo and Bank of America Corp.have settled class action cases alleging thesame sort of misconduct flagged by HUD,and internal documents show that banksand insurers viewed the arrangements as athinly veiled pay-to-play scheme. Even as

insurers complained they couldnt affordthe escalating cost of the reinsurancepayments, banks threatened or punishedcompanies that balked at providing them,documents obtained by American Bankershow.

Wells Fargo & Co told one insurer that itshould consider giving Wells such deals ifit wantedbusinessreferrals. After insurer
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MGIC Investment Corp. announced plansto cut back on banks share of premiums in

2003, Countrywide executives complainedto an MGIC executive and told him thatthey were shifting Countrywides business

to MGICs competitors.

The article provides far more in the way ofsupporting detail Former members of themortgage industry have also confirmedthat the banks were aggressivelydemanding kickbacks. Yet look what thentranspired:

HUD Inspector General Ken Donohueand his deputy, Mike Stephens, whosucceeded him last yearwere confidentthat they had a case

The DOJ said it wanted take the matter on,according to Inspector General Stephensand others. Six months later, HUDsattorneys formally referred its case toprosecutors, effectively ending the housingagencys involvement. Investigators

believed a speedy settlement in thehundreds of millions of dollars was likely,and HUDs investigators even suggested

that the proceeds should be used to pay formortgage counseling for borrowers whowere allegedly victims of kickbackschemes.

Major banks deny that their reinsuranceagreements were illegal, but they have notbeen eager to defend them in court.

More than a year and a half after theDepartment of Justice took over the case,no settlement has been reached and thereis serious doubt as to whether the caseeven remains active.

So why is the Department of Justices

excuse for sitting on its hands? The excusemade is that it lacks the needed accountingskills. If you believe that, I have a bridgeId like to sell you. Actions speak louder

than words, and the evidence isoverwhelming that the DoJ has no interestin inconveniencing anyone influential,particularly banks.


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The Military Assault on Global ClimateWar and the Tragedy of the Commons, Part 7

by: H. Patricia Hynes, Truthout | News AnalysisThursday 8 September 2011

http://www.truth-out.org/war-and-tragedy-commons-part-7-military-assault-global-climate/1315418406By every measure, the Pentagon is thelargest institutional user of petroleum

products and energy ... Yet, the Pentagonhas ablanket exemptionin all internationalclimate agreements ... Any talk of climatechange which does not include the militaryis nothing but hot air, according to SaraFlounders.

It's aloophole[in the Kyoto Conventionon Climate Change] big enough to drive atank through, according to the report " AClimate of War."

In 1940, the US military consumed one

percent of the country's total energy usage;by the end of World War II, the military'sshare rose to 29 percent.(1)Oil isindispensable for war.

Correspondingly, militarism is the mostoil-exhaustive activity on the planet,growing more so with faster, bigger, morefuel-guzzling planes, tanks and navalvessels employed in more intensive air andground wars. At the outset of the Iraq warin March 2003, the Army estimated itwould need more than 40 million gallonsof gasoline for three weeks of combat,

exceeding the total quantity used by allAllied forces in the four years of WorldWar 1. Among the Army's armamentariumwere 2,000 staunch M-1 Abrams tanksfired up for the war and burning 250gallons of fuel per hour.(2)

The US Air Force (USAF) is the singlelargest consumer of jet fuel in the world.Fathom, if you can, the astronomical fuel

usage of USAF fighter planes: the F-4Phantom Fighter burns more than 1,600

gallons of jet fuel per hour and peaks at14,400 gallons per hour at supersonicspeeds. The B-52 Stratocruiser, with eightjet engines, guzzles 500 gallons perminute; ten minutes of flight uses as muchfuel as the average driver does in one yearof driving! A quarter of the world's jet fuelfeeds the USAF fleet of flying killingmachines; in 2006, they consumed asmuch fuel as US planes did during theSecond World War (1941-1945) - anastounding 2.6 billion gallons.(3)

Barry Sanders observes with a load oftragic irony that, while many of usassiduously reduce our carbon footprintthrough simpler living, eating locally,recycling and reusing, energyconservation, taking public transportation,installing solar panels, and so on, thesingle largest institutional polluter andcontributor to global warming - the USmilitary - is immune to climate changeconcerns. The military reports no climatechangeemissionsto any national orinternational body, thanks to US arm-twisting during the 1997 negotiations of

the first international accord to limit globalwarming emissions, the Kyoto Protocol onClimate Change. To protect the militaryfrom any curbs on their activities, theUnited States demanded and wonexemption from emission limits on"bunker" fuels (dense, heavy fuel oil fornaval vessels) and all greenhouse gasemissions from military operationsworldwide, including wars. Adding insult

to injury, George W. Bush pulled theUnited States out of the Kyoto Protocol as

one of the first acts of his presidency,alleging it would straitjacket the USeconomy with too costly greenhouseemissions controls. Next, the White Housebegan a neo-Luddite campaign against thescience of climate change. In researching"The Green Zone: The EnvironmentalCosts of Militarism," Sanders found thatgetting war casualty statistics out of theDepartment of Defense (DoD) is easierthan getting fuel usage data.

Only recently has the momentous issue ofmilitary fuel use and its massive, yetconcealed role in global climate changecome to the foreground, thanks to ahandful of perspicacious researchers.Liska and Perrincontend that, in additionto tailpipe emissions, immense "hidden"greenhouse gas pollution stems from ouruse of gasoline. This impact on climatechange should be calculated into the fulllifecycle analysis of gasoline. When theEnvironmental Protection Agency (EPA)compares gasoline and biofuels for theirrespective atmospheric pollution, thegreenhouse gas emissions calculated for

gasoline should include the militaryactivities related to securing foreign crudeoil, from which gasoline is derived. (Butthey do not, thanks to the Kyoto Accordsmilitary exemption.) Oil securitycomprises both military protection againstsabotage to pipelines and tankers and alsoUS-led wars in oil-rich regions to assurelong-term access. Nearly 1,000 USmilitary bases trace an arc from the Andes
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to North Africa across the Middle East toIndonesia, the Philippines and NorthKorea, sweeping over all major oilresources - all related, in part, to projectingforce for the sake of energy security.Further, the "upstream emissions" ofgreenhouse gases from the manufacture ofmilitary equipment, infrastructure,vehicles and munitions used in oil supplyprotection and oil-driven wars should alsobe included in the overall environmentalimpact of using gasoline. Adding thesefactors into their calculations, the authorsconclude that about "20 percent of theconventional DoD budget ... is attributableto the objective of oil security."

A correspondinganalysisby researchers atOil Change International quantifies thegreenhouse gas emissions of the Iraq warand the opportunity costs involved infighting the war, rather than investing inclean technology, during the years 2003-

2007. Their key findings are unambiguousabout the vast climate pollution of war andthe lockstep bipartisan policy of forfeitingfuture global health for present daymilitarism.

1. The projected full costs of the Iraqwar (estimated $3 trillion) wouldcover "all of the global investmentsin renewable power generation"needed between now and 2030 toreverse global warming trends.

2. Between 2003-2007, the wargenerated at least 141 million metric

tons of carbon dioxide equivalent(CO2e)(4),more each year of thewar than 139 of the world'scountries release annually.(5)Rebuilding Iraqi schools, homes,businesses, bridges, roads andhospitals pulverized by the war, andnew security walls and barriers willrequire millions of tons of cement,one of the largest industrial sourcesof greenhouse gas emissions.

3. In 2006, the US spent more on thewar in Iraq than the entire world

spent on renewable energyinvestment.4. By 2008, the Bush administration

had spent 97 times more on militarythan on climate change. As apresidential candidate, PresidentObama pledged to spend $150billion over ten years on greenenergy technology and infrastructure- less than the United States wasspending in one year of the Iraq war.

Just how much petroleum the Pentagonconsumes is one of the best-kept secrets ingovernment. More likely, observes BarrySanders, no one in DoD knows precisely.His unremitting effort to ferret out thenumbers is one of the most thorough todate. Sanders begins with figures given bythe Defense Energy Support Center forannual oil procurement for all branches ofthe military. He then combines three othernon-reported military oil consumptionfactors: an estimate of "free oil" suppliedoverseas (of which Kuwait was the largestsupplier for the 2003 Iraq war), anestimate of oil used by private militarycontractors and military-leased vehiclesand an estimate of the amount of bunkerfuel used by naval vessels. By hiscalculation, the US military consumes asmuch as one million barrels of oil per dayand contributes 5 percent of current globalwarming emissions. Keep in mind that themilitary has 1.4 million active duty people,

or .0002 percent of the world's population,generating 5 percent of climate pollution.Yet, even this comparison understates theextreme military impact on climatechange. Military fuel is more pollutingbecause of the fuel type used for aviation.CO2 emissions from jet fuel are larger -possibly triple - per gallon than those fromdiesel and oil. Further, aircraft exhaust hasunique polluting effects that result ingreater warming effect by per unit of fuelused. Radiative effects from jet exhaust,including nitrous oxide, sulfur dioxide,

soot and water vapor exacerbate thewarming effect of the CO2 exhaustemissions.(6)Perversely, then, the USmilitary consumes fossil fuel beyondcompare to any other institutional and percapita consumption in order to preservestrategic access to oil - a lunacy instigatedby a series of executive decisions.

Short History of Militarizing Energy

Ten of 11US recessions since World War11 have been preceded by oil price spikes

... Maintaining low and stable oil prices isa political imperative associated withmodern petroleum-based economies.

In 1945 the US military built an air base atDhahran, Saudi Arabia, the start ofsecuring permanent American access tonewly discovered Middle East oil.President Roosevelt had negotiated a quidpro quo with the Saudi family: militaryprotection in exchange for cheap oil for

US markets and military. Eisenhowerpossessed great prescience about the post-World War II rise of a permanent war-based industry dictating national policyand the need for citizen vigilance andengagement to curb the "military-industrial" complex. Yet, he made a fatefudecision on energy policy, which set ourcountry and the world on a course fromwhich we must find our way back.

The 1952 blue-ribbon Paley CommissionReport proposed that the US build theeconomy onsolar energy sources. Thereport also offered a strong negativeassessment of nuclear energy and calledfor "aggressive research in the whole fieldof solar energy" as well as research anddevelopment on wind and biomass. In1953, the new President Eisenhowerignored the report recommendation andinaugurated "Atoms for Peace," toutingnuclear power as the world's new energy

miracle that would be "too cheap tometer." This decision not only embarkedthe country (and world) on a fateful courseof nuclear power, but it also affixed thecentrality of oil, gas and coal within theUS economy.

By the late 1970s, the Soviet invasion ofAfghanistan and the Iranian Revolutionthreatened US access to oil in the MiddleEast, leading to President Carter's 1980State of the Union warmongering doctrine.The Carter Doctrine holds that any threat

to US access to Middle East oil would beresisted "by any means necessary,including military force." Carter put teethinto his doctrine by creating the RapidDeployment Joint Task Force, whosepurpose was combat operations in thePersian Gulf area when necessary. RonaldReagan ramped up the militarization of oilwith the formation of the US CentralCommand (CENTCOM), whose raisond'etre was to ensure access to oil, diminishSoviet Union influence in the region andcontrol political regimes in the region for

our national security interests. Withgrowing reliance on oil from Africa andthe Caspian Sea region, the US has sinceaugmented its military capabilities in thoseregions.

In 2003, Carter's doctrine offorce whennecessary was carried out with "shock andawe," in what was the most intensive andprofligate use of fossil fuel the world hasever witnessed. Recall, too, that as
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Baghdad fell, invading US troops ignoredthe looting of schools, hospitals and anuclear power facility as well as theransacking of national museums andburning of the National Library andArchives holding peerless, irreplaceabledocumentation of the "cradle ofcivilization." The US military did,however, immediately seize and guard theIraqi Oil Ministry Headquarters andpositioned 2,000 soldier to safeguardoilfields.(7)First things first.

Many factors have converged and clarifiedover time to support the proposition that,at its core, the Iraq war was a war over oil.Eliminating weapons of mass destruction,deposing a tyrannical dictator, rooting outterrorism linked to 9/11, employinggunboat diplomacy to instill democracyand human rights - all were largely foilsfor oil. Alan Greenspan put it squarely: "Iam saddened that it is politically

inconvenient to acknowledge whateverybody knows: the Iraq war is largelyabout oil."(8)

As we near peak oil production, that is, thepoint of diminishing returns for oilexploration and production and higher oilprices, OPEC countries' share ofglobalproduction"will rise from 46 percent in2007 to 56 percent in 2030." Iraq has thethird-largest reserves of oil; Iraq andKazakhstan are "two of the top fourcountries with the largest [petroleum]

production increases forecast from 2000 to2030. The Middle East and Central Asiaare, predictably, epicenters of US militaryoperations and wars. A 2006reportonnational security and US oil dependencyreleased by the Council on ForeignRelations concluded that the US shouldmaintain "a strong military posture thatpermits suitably rapid deployment to the[Persian Gulf] region" for at least 20 years.US military professionals concur and arepreparing for the prospect of "large-scalearmed struggle" over access to energy

resources.

Where We Stand

Our national security has been reduced inlarge part to energy security, which has ledus to militarizing our access to oil throughestablishing a military presence across theoil-bearing regions of the world andinstigating armed conflict in Iraq,sustaining it in Afghanistan and provoking

it in Libya. The air war in Libya has giventhe new US Africa Command(AFRICOM) - itself anotherextensionofthe Carter Doctrine - some spotlight andmuscle. A few commentators haveconcluded that the NATO war in Libya isa justifiable humanitarian militaryintervention. The more trenchantjudgment, in my view, is that the air warviolated the UN Security CouncilResolution 1973, the US Constitution andthe War Powers Act; and that it sets aprecedent and "modelfor how the UnitedStates wields force in other countrieswhere its interests are threatened," to quoteadministration officials. The air war inLibya is another setback to non-militarizeddiplomacy; it marginalized the AfricanUnion and it sets a course for moremilitary intervention in Africa when USinterests are at stake. Air war a model forfuture wars? If so, a death knell for theplanet. This insatiable militarism is the

single greatest institutional contributor tothe growing natural disasters intensified byglobal climate change.

Postscript

In August 2010, as I was conceiving thisseries "War and the True Tragedy of theCommons," wildfires caused by droughtand heat wave were consuming hugeswaths of Russia and choking Moscowwith air pollution. A member of theRussian Academy of Sciences warned that

fire-induced winds could carry radioactiveparticles hundreds of miles from theburning forest around Chernobyl, reachingcities in Russia and even in EasternEurope. The same risk exists for regionselsewhere contaminated with radioactivewaste and jeopardized by uncontrollablewildfires. At the same time as the Russianfires, more than one in ten Pakistanis wereuprooted, rendered food dependent andendangered by disease from the worstfloods in recorded history, floods whichengulfed one-fifth of the country from the

northwest region to the south. Pakistan - ahighly militarized nuclear power withtense relations with its nuclear neighborIndia, whose border area with Afghanistanis a war zone, and within whoseboundaries the CIA is conducting a dronewar - prioritizes militarism overdevelopment. It ranks 15 in global militarystrength and 141 out of 182 countries inthe Human Development Index.

In summer 2011, as I was completing thisseries, forest fires burned almost 50,000acres in and around the nuclear weaponsproduction and waste storage facilities atthe Los Alamos National Laboratory.Among the endangered radioactivematerials and waste were as many as30,000 55-gallon drums of plutonium-contaminated waste stored in fabric tentsabove ground, awaiting transport to a low-level radiation dumpsite in southern NewMexico. Two months later, Vermontsuffered its worst ever floods and flooddamage, with no part of the stateuntouched, from Tropical Storm Irene -considered to be one of the ten costliestdisasters in US history.

Coincident with these environmentaltragedies intensified by global warming, isthe ongoing tradeoff in the US federalbudget between militarized defense andgenuine human and environmental

security. The United States contributesmore than 30 percent of global warminggases to the atmosphere, generated by fivepercent of the world's population and USmilitarism. The pieces of the US federalbudget pie that fund education, energy,environment, social services, housing andnew job creation, taken together, receiveless funding than the military/defensebudget. Former Secretary of Labor RobertReich has called the military budget ataxpayer-supported jobs program andargues for reprioritizing federal spending

on jobs in green energy, education andinfrastructure - the real national security.

The United States has the wealth(currently larding the defense budget) andthe technical capacity to revolutionize ourenergy economy and turn it within a fewdecades into an economy based onefficiency and renewableenergy sources,thus removing a critical demand factor ofour Goliath military. How costly would itbe to eliminate underlying causes of warand injustice, such as poverty and gender

inequality, and to restore the naturalenvironment? In his most recent book"Plan B 4.0: Mobilizing to SaveCivilization," Lester Brown estimates thateradicating poverty, educating women,providing reproductive resources andrestoring forests worldwide would costone-third of the US 2008 defense budget.The issue is not public monies. Anotherferocious demand factor is the octopus ofdefense industry companies that have
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spread their tentacles to nearly all of thestates and control the majority ofCongressionals. Thus, another vital scarceresource - some mineral in a contestedseabed, for example - could replacepetroleum and become the next flashpointfor more military build-up and response,unless that military-industrial complex isneutered.

Perhaps the most elusive driving factor ofwar is the values that underpin thetradition and habit of militarized solutions.War mirrors the culture of a country. USmilitarism - from its training, tactics andlogistics to its reasons for going to war andits weapons of war - is distinctly shaped bycore elements of American identity. Thesedetermining cultural forces are, accordingto military historianVictor Davis Hanson:manifest destiny; frontier mentality;rugged individualism and what he calls a"muscular independence"; unfettered

market capitalism; the ideal of meritocracy(no matter what one's class, one can rise tothe top in the US military); and afascination with machines, modernity andmobility. All converge to generate bigger,better and more destructive wartechnology. He adds that the integration ofmilitary into society is smoothed throughthe Second Amendment right to bear arms.

This cultural competence for high-techwar, with its origins in our pastannihilation of Native Americans, may be

our society's nemesis unless we do criticalsoul searching about our cultural andpersonalvaluesand actively engage intransforming them. There are a plentitudeof cross currents in our society that haveprofoundly challenged the dominantcultural profile limned by militaristHanson: the women's and civil rightsmovements, the anti-war and peacemovements, public intellectuals andprogressive media, peace and justicestudies, progressive labor and healthworkers, the coop and Transition Town

movements and the handful of progressivepoliticians, among others. The challenge ishow to build voice, social cohesion andpublic influence for our shared values of asense of community, connection to nature,

concern for the exploited and thirst forequity and justice against the dominantmarket messages of wealth, socialprestige, image, power through dominanceand meeting conflict with force.

"A nation that continues year after year tospend more money on military defensethan on programs of social uplift isapproaching spiritual death." -MartinLuther King

Resources for Education and Action

Bring the War Dollars Home, a growingmovement at the state and city/town level,uses the National Priorities Project data tomake the case for ending the wars inAfghanistan and Iraq and redirectingdefense spending to genuine domesticsecurity. Seehereandhere.

National Priorities Projectis a think tank

and advocacy group that provides researchdesigned to influence US federal spendingpriorities. Includes data on costs of wars,local taxes for war and tradeoffs.

Progressive Caucus Budget for 2012, alsoknown asThe People's Budget, is analternative budget offered by the 81-member Congressional ProgressiveCaucus that takes steps toward a saner rolefor government while reducing the deficitmore and faster than either Ryan's "Planfor Prosperity" or Obama's plan.

Peace and Conflict Studies Programs: Twohundred and fifteen accredited peace andconflict studies graduate programs andgrad schools on the leading graduateschoolweb site.

Peace and Justice Studies Association

War Tax Resistance: See theweb siteofWar Tax Resistance/War Resisters League

Women's International League for Peace

and Freedom(WILPF) was founded in1915 during World War I. WILPF worksto achieve, through peaceful means, worlddisarmament, full rights for women, racial

and economic justice, an end to all formsof violence.

Footnotes:

1. Barry Sanders (2009), "The GreenZone: The Environmental Costs ofMilitarism," Oakland, California: AKPress, p.39.

2. Barry Sanders (2009), "The GreenZone: The Environmental Costs ofMilitarism," Oakland, California: AKPress, p.51.

3. Barry Sanders (2009), "The GreenZone: The Environmental Costs ofMilitarism," Oakland, California: AKPress, pps.50,61 for data in this section.

4. Units of carbon dioxide equivalent tocombined greenhouse gas emissions.

5. This figure is conservative becausethere were no reliable numbers on themilitary consumption of naval bunkerfuels for the transport of fuel and troops.Nor was there data on the use or release ofintensive greenhouse gas chemicals in warincluding halon, an ozone-depleting fireextinguishing chemical banned in the USsince 1992 for civilian production and use,but allowed for DoD "critical mission"use.

6. George Monbiot (2006), "Heat: How to

Stop the Planet from Burning," cited inSanders, p.72.

7. Chalmers Johnson (2010), "Dismantlingthe Empire: America's Last Best Hope,"New York: Metropolitan Books. pp.40-51.

8. Quoted inLiska and Perrin, p.9.
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Strategic Petroleum, IndeedMajors Buy SPR Crude as Supply Continues to Slide

ByNick HodgeTuesday, July 12th, 2011

Late last month, the International EnergyAgency announced it was releasing 60million barrels of crude oil into worldmarkets.

Obama graciously pledged 30 million of itfrom our own Strategic Petroleum Reserve(SPR).

You should find our wanton oildisbursement a bit peculiar, especiallysince your own government defines theSPR as the nation's first line of defense

against an interruption in petroleumsupplies. So tapping it inherently implies

we're facing an interruption in petroleumsupply.

From its creation after the 1973 OPEC oilembargo up until this summer, the reservehad only been tapped twice: We released

17 million barrels in conjunction with ourinvasion of Iraq in 1991. We releasedanother 11 million barrels after HurricaneKatrina knocked out 95% of crudeproduction and 88% of natural gas outputin the Gulf of Mexico in 2005.

This timeonly the third time everwe released more oil than in the twoprevious events combined.

What could be so dire that we need toinvoke the nation's first line of defenseagainst an interruption in petroleumsupplies?

All Tapped Out

Bloombergran this headline this morning:

Middle East Oil Rises on Signs Saudis

Won't Offer Extra Supply

But ask anyone who's not a Big Oilemployee or a politician, like GoldmanSachs, and they'll say the Saudis can'toffer extra supply.

As I told youthis weekend, Goldman isadamant about its claim that Saudi oilproduction peaked in 2008 at 9.5 millionbarrels per day and will never reach thatlevel again.

And it isn't only Goldman that thinks so.

I've told you before aboutSadad Al-Husseini, former vice president of theSaudi Arabian Oil Co. (aka Aramco), whosaid:

Many of the so-called reserves are in factresources. They're not delineated, they'renot accessible, theyre not available forproduction.

Sadad knows the rest of the world is introuble, too.

Since leaving Aramco, he's becomesomething of a Peak Oil prophet. Givensome of the stuff he's said in recentinterviews, I'm surprised the collectiveglobal oil industry doesn't have a price onhis head.

He recently offered up this gem whenasked why there is so much denial aboutthe world approaching Peak Oilproduction:

If you look at published informationforexample, British Petroleums annualstatistical reportit very clearly showsthat from 2003 forward, oil production hashardly increased. So the information isthere. If you look at some of theadvertising that Chevron has been puttingout for years now, they clearly say were

half-way through the worlds reserves. Theinformation is there. The facts are there.
http://www.energyandcapital.com/editors/nick-hodgehttp://www.energyandcapital.com/editors/nick-hodgehttp://www.energyandcapital.com/articles/weekend-goldman-says-saudi-oil-has-peaked/1627http://www.energyandcapital.com/articles/weekend-goldman-says-saudi-oil-has-peaked/1627http://www.energyandcapital.com/articles/weekend-goldman-says-saudi-oil-has-peaked/1627http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/peak-oil-is-past-tense/1396http://www.energyandcapital.com/articles/weekend-goldman-says-saudi-oil-has-peaked/1627http://www.energyandcapital.com/editors/nick-hodge


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Oil prices did not jump four-fold over athree- or four-year period for any reasonother than a shortage of supply. Yes, theremay have been some recent volatility in2008, but the price trend started climbingway back in 2002-2003. So, these arerealities and the push-back is a sense thatsomehow the market is not able to dealwith these realities, that somehow peoplecant cope with these realities.

Speaking of Chevron...

After the market closed yesterday,Chevronannounced it expects secondquarter earnings to rise over the previousquarter, thanks to higher oil prices.

So it's all good, right? Higher oil prices,higher profits, happy shareholders.Everybody can rest easy...

Until you look more closely at the details.

Chevron's U.S. production in the first twomonths of the quarter (April/May) wasdown 1.8% from a year ago.Internationally, output decreased 2.4%.

So they produced less oil but made moremoney because prices are higher.

If that's not aPeak Oilsymptom, I don'tknow what is.

It's the same market dynamic that takes

effect when any good is scarce, like thoselast few tickets to the Super Bowl or anaward-winning Broadway play.

And that brings us circuitously back to thestrategic petroleum reserve and the 30million barrels we're releasing from it.Remember, that's the most oil we've everreleased at one time. So there must be a

serious and imminent threat to globalsupply.

A quick look at who bought that oil andhow much they paid serves as furtherevidence.

Yesterday theDepartment of Energyannounced it had signed 28 contracts tosell the crude at prices ranging from$104.97 to $109.26 per barrel.

As I write this, oil is trading for $95,begging the question: Why are thecompanies buying this SPR crude willingto pay a $15 premium to current prices?

There is only one answer.

They think oil prices are headed muchhigher.

Here's who bought some of the oil: Exxon

Mobil (NYSE: XOM), Shell (NYSE:RDS-A), BP (NYSE: BP), ConocoPhillips(NYSE: COP), Valero (NYSE: VLO),Tesoro (NYSE: TSO), Murphy Oil(NYSE: MUR), Sunoco (NYSE: SUN),Marathon Oil (NYSE: MRO), Barclays(NYSE: BCS), Hess Energy Trading Co.,Trafigura, JPMorgan (NYSE: JPM),Vitoil, Plains Marketing.

As I just showed you via the Chevronexample, these companies are notincreasing production. Production is

declining. So they're more than willing topay a small premium for easy supply tokeep their refineries and profits flowing.

The banks, on the other hand, have adifferent motivation...

Since the government doesn't banpurchasers of SPR crude from storing it

(even though that's contrary to its intentbut we're talking about the government, sowhat's new), banks can buy the crude, siton it, and sell it later for a higher price.

And that's clearly what JPMorgan, HessEnergy Trading, Barclays, and Trafiguraare going to do.

Higher oil pricesare coming, folks. Andthe only way to prevent them from havingill effects on your bottom line is toputthem to use for youjust like thosebanks are going to do.

Before you go, let me offer one morekernel of wisdom that undeniably proveswe're at a major crossroads for the oilindustry.

The last time the SPR was opened back in2005, the government planned on selling30 million barrels. It could only sell 11

million barrels because of lacklusterdemand.

This time, companies were banging downthe door to buy easy oil at a premium.

Just as these oi