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Japan's new prime minister runs into difficulties in improving public finances by cutting some of the pork-barrel spending and making chages such as abolishing the gasoline tax to put more money in the hands of consumers. Cuts of wasteful spending came to less than a fourth of the target of $33 billion. The Finance Minister said that tax receipts for the year ending March 2010 would come in at $400 billion, about $100 billion less than estimated earlier, and this is less than the deficit for the current fiscal year of $590 billon.

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George Walden reviews "Opium and Empire" by Richard Grace, which focusses on the origins of Jardine, Matheson & Co., the British firm run by two Scottish traders Jardine and Matheson. This firm was at the centre of the trade in opium carried out on the black market in China using opium brought from India. It paid for the shipping expenses to take tea and silks brought back in the British market. The confiscation of a shipment of opium in Canton, China, by a Chinese Commissioner led to the first of the opium wars. This ended with the Treaty of Nanking in 1842 negotiated by Foreigh Secretary Palmerston giving Britain possession of the island of Hong Kong. It was the long history of such depredations, including the Japanese invasion in the 1930's that led to the nationalism and rise of Communists led by Mao in China by 1945.

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In his plain talk on Syria Trump said the primary message to Russia was: "You should have peace in Syria; its enough." This is the message foreign minister Tillerson is delivering in Moscow. He described the Russian support for the Syrian government as: "I think it's very bad for Russia, I think it's very bad for mankind, it's very bad for this world." He also described Chinese president Xi Jinping's response at a state dinner during dessert when Trump told him about the U.S. missile attack on Syrian airfield, as expressing the sentiment that it was OK considering the chemical attacks by the Syrian government on civilians and children. The closest any president gets to the plain talk given by Trump is during the period of the Cold War when Truman also had this kind of plain talking style to deliver the message that needed to be heard.

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The port of Hamada in Shimane perfecture Japan is seeing a jump in foreign trade with Russia. Its on the sleepy side of the Sea of Japan on the opposite side from where major cities like Nagoya and Tokyo are located. Its become a hub for trade with the Far East. Hokkaido Japn's northern island is seeing more Russian tourists. Japanese car companies can cut the time it takes to reach their plants in St Petersburg by shipping from Japan to the Russian Far East and using rail across the country.

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Indian foreign minister Jaishankar describes the highly eccentric situation of lack of US India close economic and defense cooperation for over 50 years, when the natural flow of cooperation one would expect between the land of Washington and Lincoln and the land of Vivekananda and Gandhi was interrupted. The current form of cooperation has existed for about 14 years and accelerated after prime minister Modi was elected in 2016. This was a turning point in the US India relationship and in India US economic partnership. After president Trump was elected Mr. Modi and Mr. Trump held a huge public gathering in stadiums at Houston and Ahmedabad, in a way that was never seen before between an Asian country and America. What changed? For one thing India had a great weight lifted from its shoulders with the removal of the erratic Nehru policies of post independence India of forming a non aligned bloc with countries like Egypt and Yugoslavia. These were policies that had no connection to India and its history as the civilization where the East has its roots in Vedanta and Buddhism. It also resulted in alienating the Dwight Eisenhower administration and administrations that followed after John F. Kennedy, as the Cold War intensified and most of Eastern Europe came under Soviet domination. India never gauged the effect this had on America after the Berlin crisis in 1948, the Hungarian revolution of 1956 and similar uprisings in East Germany, Poland, and the Czech Republic. Britain was no help even with the British Commonwealth, as the British perpetuated the idea that India was too divided to make up one country, having failed to grasp India's ancient civilization and  culture, and having built the Empire in India by using the division in the country. Mohandas Gandhi described this in Hind Swaraj in 1910 and told Indians that it was they who had invited the British into India, with rulers using military garrisons of the British commercial East India Company for help in their internal wars. Americans still unfamiliar with India till after 2000 simply accepted British colonial ideas about India. The new administrations in the US, the Trump and Biden administration, and the Modi administration in India have shaken this up and changed perceptions all around. Biden recently during the Modi visit to Washington DC said India US relations as he sees it would be "the closest on earth." So that today we have an ancient civilization roused to its depths in its youth for modernization, that extends from India to Indonesia all the way to Japan rooted in India's ancient civilization of Vedanta and Buddhism, with a population of about 2 billion people. That faces the US on its Pacific coast, united in its determination to build a new and common future with ideas of parliamentary democracy, participation of the people, and of modernization with science and technology, contributing to the betterment of all peoples. ...

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Baden-Powell was founder of the Boy Scouts which has given millions of boy scouts throughout Asia, Australia, Africa, Latin America and North America a sense of purpose when they were attending elementary and secondary school throughout the twentieth century. For girl scouts it added confidence to girls and enabled them to grow in many ways.  So it comes as a surprise that Baden-Powell is seen in this way. Gandhi never questioned British rule directly during the period when he fought for human rights in South Africa during the period 1893-1915. During the Boer War in 1900 Gandhi volunteered to form the Natal Ambulance Corps that as stretcher bearers helped treat British soldiers in the Boer War. He was given the Queens South Africa medal. In the Zulu war he repeated this by being part of the ambulance corps supporting British troops, but also treated Zulu wounded. Gandhi acted as a loyal part of the British Empire and throughout most of the period into the 1920's acted with loyalty to the British Empire. Few questioned British rule at the time, and Gandhi followed Gokhale's advice in 1915 as he returned to India at the age of 45. Gokhale was a moderate who accepted the British rule in India and sought provincial assemblies and self-rule under the British Empire. Gandhi's whole thinking was shaped by British traditions, British laws, British democracy, having attended a British school in Rajkot, Saurashtra province of Gujarat state. The letter helping him make his move for education as a barrister in England came through the British political agent in Rajkot, who was a friend of his father, the Diwan of the princely state of Porbander, Gujarat. Even Swami Vivekananda was helped by leaders of princely states in Saurashtra who pledged loyalty to the British Empire in India, one of whom was a close friend who helped Vivekananda come to America. It may be too easy to look back and make everything look good, when in reality it is complex, but yet ordinary human beings are in search for the right path. As Vivekananda's guru said you will still get there but "it is good to travel by a clean path." I visited the Gandhi home and museum in Porbander in September 2019. Driving in along the Saurashtra, Gujarat coastline we hit a rainstorm and when we reached the home it was in heavy rain. After visiting the home I went to a small bookshop in the museum and came across a copy of a small book Gandhi wrote in 1910 on a steamship back to South Africa from London, with the title- "Hind Swaraj or Home Rule." That little book written in the form of a dialogue between the reader and the editor by Gandhi amazes me as it was the basis of the movement after 1915 all the way into the 1930's. His clarity of thinking and his sincerity and steadfast purpose was such that it stood the test of time. Gandhi even goes as far as to say the English did not take India, India was given to them, given to English traders as Indian princes vied with each other for the favor of Company Bahadur, British forces designed to protect the East India Company's warehouses. That they remained in India for the purpose of trade and Indians helped them to do so. To blame them was for Gandhi to perpetuate their power. For him British arms and ammuniton were perfectly useless.  Gandhi writes this dialogue about Gokhale in the book which is worth reading at this time, as it was in 1910. Reader: Gokhale has constituted himself a great friend of the English, he says we have to learn a great deal from them, that we have to learn their political wisdom before we can talk of Home Rule. I am tired of reading his speeches. Editor: If you are tired it only betrays your impatience. We believe that those who are discontented with the slowness of their parents and are angry because the parents would not run with their children, are considered disrespectful to their parents. Professor Gokhale occupies the place of a parent. What does it matter if he cannot run with us? A nation that is desirous of home rule cannot afford to despise its ancestors. We shall become useless if we lack respect for our elders. only men with mature thoughts are capable of ruling themselves and not the hasty-tempered. Moreover how many Indian were there like Professor Gokhale, when he gave himself to Indian education? I verily believe that whatever Professor Gokhale does, he does with pure motives, and with a view of serving India... our chief purpose is not to decry his work , but to believe that he is infinitely greater than we are, and to feel assured that with his work for India, ours is infinitesmial."   ...

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Why are the French  protesting so strongly against extending the retirement age from 62 to 64. It is a question of French identity, of hard won rights to work and leisure that are seen as defining France. It also affects women differently who have a harder time working longer so that their benefits would be affected. Age discrimination is large in France so that it works against extending the age till the culture changes. Worse it comes at a time of stress for working families, and a cost of living crisis.

NYT says that when this retirement system was introduced after World War II it helped bring a fractured country together. A hard won social and labor right not easily forfeited, says NYT.

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Three events made the US a continental democracy built out of the colonial Empires of the British, the French and the Spanish under four presidents- Jefferson with Louisiana Purchase, Polk settling the Mexican American War, Lincoln defending the Union, and his vice president buying Alaska from Russia. James Polk 1845-1849 was the 11th president of the US. At the time of the Missouri Compromise he deftly kept the Union together. A protege of president Andrew Jackson from Tennessee Polk also worked hard to create the bicoastal Nation the US is today by extending the work of president Jefferson who setup the Louisiana Purchase from Napoleon, to bring the new Republic's frontiers in the West to the Pacific territories that were part of the Spanish and British colonial Empires. For the northern frontier he settled on the 49th parallel with the British instead of 54 degrees parallel 40 minutes or 54-40 that was the slogan for the Polk 1844 election campaign taking the border to the northern frontier of the Oregon Territory.  Polk was faced with settlers in Texas who had set up their own state in the south the Texas Republic under General Sam Houston in 1836. A situation Polk handled by integrating the new Texas Republic into the new Nation and faced with a military taking control of Mexico in 1846 under General Paredes and confrontation with the US, leading the US into the Mexican American War 1846-1848. The integration of Alaska was completed under president Andrew Johnson in 1867- Johnson was Vice president under Abraham Lincoln during the Civil War- when he had Seward negotiate the purchase of Alaska from Russia for 7.2 million dollars in 1867.   ...

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Leonhardt points out in the NYT that Hillary Clinton actually won in the popular vote by a substantial margin, by more than 2 million votes and more than 1.5 percentage points. He says that Democrats need to pay more attention to the working class in midwestern states- the job losses, crumbling infrastructure, and the plight of communities such as Detroit, Michigan which suffered through the bankruptcies of Chrysler and GM, and again with the foreclosure crisis, the financial crisis of the City of Detroit. With a similar situation in the neighboring states of Wisconsin and Ohio, in places like Toledo and other parts of communities facing industrial decline. While the Silicon Valley centred region powered the economy in California, and the financial industry and real estate powered New York, older midwestern communities never really recovered from a long decline stretching over 2 decades. The result was the loss of faith in Democrats among union workers and young people, leading to the loss of Wisconsin, Ohio and Michigan. For most of its history the Democratic Party was based on its union and working class base including a large number of white voters. Only under Obama because of his unique candidacy was the coalition so dependent on the minorities vote. Before minorities were part of the Democratic coalition, but not in the way under the Obama candidacy. A return to its historic and normal base among whites in unions and working class communities, liberals, minorities, is a way to go back to the historic and natural base of Democratic support. In a sense dependence on tech communities for election funding and the tech booms, globalization, may have distorted Democrats sense of their historic role as champions of the working class and middle class communities throughout the country. There is now an opportunity to restore this lost mission of protecting the interests of the middle and working class who have seen huge drop in net worth as reported by Janet Yellen of the Federal Reserve at the Inequality Conference on October 17, 2014-"62 million households with a net worth of $11,000 for the year 2013." Poorly covered in the media and not made the utmost priority by Democrats (or Republicans). In the words of Janet Yellen, this was in the past several decades "the most sustained rise in inequality since the 19th century after more than 40 years of narrowing inequality since the Great Depression." She added the shocking words "by some estimates, income and wealth inequality near their highest levels in the past hundred years, and probably much higher than much of American history before then." Even discussion in the media goes back to the Obama coalition and treats it as a way forward for Democrats, when history shows it was different and the situation described by Yellen calls for a serious response. ...

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This Spiegel report looks at how far Germany has come in tackling the refugee crisis one year later in September 2016. It looks at the progress in several areas- housing, integration through language training, jobs and the labor market, school age children, crime, deportation, political scene and elections. Maintaining public support in the face of incidents such as the ones in Cologne and some terrorist incidents, the protests in cities such as Dresden, was tackled by negotiating a treaty with Turkey to turn back new refugees, and by letting countries in southeastern Europe such as Hungary to close routes used previously. Internal agreement with the Christian Social Union (CSU) and the CDU, led to a reduction in refugees granted asylum for each month in 2016. About 220,000 migrants were newly registered in the first half of 2016. Germany's EASY registration system shows 92,000 migrants registered in January and the number dropping to 16,000 in July.  Here are some of the figures on progress as cited by Spiegel. On BAMF, the Federal Office of Migration and Refugees- It has increased staff from 2300 employees in early 2015 to 8000, with many new offices opened, significantly more efficient than before. Housing- about a million refugees have found housing. Thousands of empty beds in emergency shelters and 1000 repurposed gyms are no longer needed. Smaller cities and towns have done better than large cities like Berlin, with hangars at Tempelhof Airport still housing refugees. Barbara Hendricks, Federal Environment and Building Minister of SPD party, has tripled funding for subsidized housing to 1.5 billion euros for 2018. Hendricks wants to repeal a constitutional amendment that shifts housing responsibility to states, so that the federal government is actively involved. Integration- BAMF head Weise estimates a shortage of 200,000 slots in language and integration courses. About 80,000 Afghans are not eligible for the programs. So far estimates by KMK representing education ministers of the 16 federal states, shows 325,000 children and young people integrated into school system in 2014 and 2015. Spiegel estimates 12,000 teachers were hired for this, and an additional 20,000 are needed says GEW. 58,000 daycare spots are needed for children arrived in 2015, and 9400 additional daycare personnel are needed. Wages have been raised. Jobs- The Federal Employment Office says 322,000 refugees were registered and seeking jobs in July 2016. Crime- Police crime statistics show 4% increase but when the asylum and visa related offenses are taken out the crime has not increased as it has appeared in the media. The events in Cologne had started a debate on this issue after teenagers harassed women near the Cathedral square. BKA Federal Criminal Polic Office says 1031 assaults on refugee accomodations happened in 2015, 665 in 2016. Incidents of Islamic terrorists happened in Wurzburg and Ansbach, and authorites have become more vigilant.  Deportation- the central register of foreign nationals has about 220,000 people who have to leave Germany. Because of wars in home countries 172,000 are still in Germany. Political scene- CDU and CSU sister parties have disagreements on immigration policy. There is fear about the country changing. Yet the new children in schools are only about 2% of the school children in Germany. As immigrants are mostly young people who will be required to take language training and integrate in schools and workplaces, the situation is different from the first wave of workers coming in from Turkey in early postwar period. Also lessons have been learned and integration is being required.   So has the most difficult period in this immigration crisis been put behind for Germany? It appears that this is the situation. Germany's economy was strong during the "wilkommen refugees" and it has helped the country deal with it better. The volunteer support certainly helped. State, city, and business leaders responded. What about the claims of Islamization. Because so many of the refugees are from a relatively progressive country such as Syria, and many from urban literate areas, combined with a policy of integration, this could prove to be a different experience for Germany. Because many left because of religious sectarianism or corrupt governments the immigrant mentality as a whole barring some exceptions, is likely different, seeking integration in a different modern culture that prizes the individual and respects his development. Over time and sooner than many realize, Merkel may be proved right when she says- "Germany will be Germany, with everything that is near and dear to us." When it comes to politics the CDU and CSU are taking the "homeland" theme as their own. Across the Atlantic Germany's example is being followed- as the number just a trickle about 4000 refugees admitted in 2014, has been increased to 110,000 for 2017 by president Obama, showing the power of the example in the face of adversity and skepticism. German culture and society tended to be insular and the experience of this type, difficult as it has been, and not something that was actively sought out, may have a positive effect. Particularly with the scarred immigrants who may want to embrace the new culture and not look back at what they left behind.   ...

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How slowing sale and inventory pileups at Walmart are affecting factories that supply Walmart. Particularly hit are garment and clothing factories. This counts for about 10% of Walmart sales.

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  A look at European history shows even in the religious wars between Catholics and Protestants France took the Protestant side when it was in its national interest. Other European nations also did the same in the Thirty Years War 1618-1648. China shifted out of the Soviet Bloc in the 1970's. There is no monolithic way in foreign policy. US sees it in its interest to get a European population Russian on its side or separate from China in meeting the challenge from China. After 3 years of war in which the US relations with Russia deteriorated because of the Ukraine war and US supplying Ukraine under the Biden administration, DJT reverses US policy to improve relations with Russia. The goal is to improve US-Russia relations. Because this also involves ending the Ukraine war that is destroying a whole generation of young men in Russia and Ukraine, US is exploring ways to end that war through early discussions to get a sense of Russian perceptions.This is why the US does not need the Europeans or the Ukrainians at the table. Ways in which US will restore relations-Restore staffing levels at embassies and consulates. Find ways to cooperate on economy and foreign policy issues.   ...

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Two German Patriot air defense systems are to be transferred to Ukraine and replaced by the US. The decision by Germany's Merz comes as Kyiv suffers a cruise missile attack that destroys an apartment block leading to 31 dead and 159 wounded on July 31, 2025. Five of 8 cruise missiles used evaded air defense systems.  The war brings ancient history important to Russia in the founding of the Russian state in European history before 1450 and complicated history after the Communist Bolshevik Russian revolution in the Ukraine region, the Cold War and Russia returning to its historic role of a Northern European Power. Russian commentary on Russian nationalism today suggests Russia seeks acceptance as a major European power without Wall Street's evaluation based on GDP of nations leaving Russia middling status. Wall Street gives disproportionate importance to China relative to India, Russia and Brazil three large nations on 3 continents for example. Witkoff is on the way as DJT emissary to Russia to seek some solution, but the war drags on as Russia sees itself making slow yet steady progress and seeks to end the war on terms favorable to it following huge loss of life estimated at hundreds of thousands. In August both sides including DJT are losing patience. DJT offers more sanctions but says at the same time that this may not deter Russia. Following SPD's Scholz frustrated yet restrained approach to the war, Chancellor Merz is investing in a rebuilding of Germany's defense forces and it's infrastructure. ...

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A native of Turin, who was a debonair lawyer then retrained as a physiotherapist, is beloved as "Alberto" to the Afghan people. He runs the Red Cross Afghan Rehabilitation Center in Kabul, and is the most loved westerner in Afghanistan. Its a visible location, but in all these years of war it has never been attacked. In the tradition of the Red Cross founded in 1860 as a neutral entity, the Red Cross's orthopedic centers make no distinction by political affiliation and help combatants on all sides because only the name is asked, as well as civilians who have lost legs to landmines. About 90,000 people have received new limbs since 1988, and 70,000 revisit the centers each year for replacement or adjustment of their prostheses, which last an average of 2 to 3 years for adults and as little as 6 months for children. All the treatments, including overnight stays at the centers that can run for weeks, are free. About 10 million mines were strewn across the landscape in the Soviet invasion from 1979 to 1988. Because most of these mines have been cleared by the UN and charities like the Britain's Halo's Trust, patients now recieve help for congenital deformities, polio, tuberculosis, and accidents as well as other war injuries....

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US economic growth was 2.4% in the second quarter of 2023. Even though the Fed increased rates at 10 consecutive meetings by 5% since March 2022 to tackle inflation the US economy appears strong. Large investments in the trillions of dollars in US manufacturing and infrastructure, tackling climate change is what is different this time compared to the past 2 decades when bad decisions were made with twin wars in the Arab and Muslim world, and the supply chain was transferred to China, investments were neglected in infrastructure, education and health in public goods, and capital markets allocated money with decreasing advantage to the economy. President Biden was in a unique position after the pandemic to take stock of all these mistakes and move the nation forward in positive directions in a decisive way in scale as well as in spirit and determination. That he has done so is more proof of the resilience of America.

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Japan says Russian planes intruded into Japanese airspace for over 1 minute on February 7, 2013, over the island of Rishiri, near Hokkaido. F-2 aircraft from Japan's Self Defense Forces responded to the intrusion. The intrusion comes at the time of the Northern Territories Day when Japan's government reiterates its determination to press for return of the Northern Territories from Russia. Japan did not sign a peace agreement with Russia at the end of World War II after Russia refused to leave the islands. The islands are known as the four Kuril islands in Russia. Policy experts at Japan's National Graduate Institute for Policy Studies say the Russian intrusion was an attempt to test Japan after an incident where Chinese radar locked in on Japanese naval ships in the East China Sea. The effects on public opinion are likely to create support for prime minister Abe's effort to increase the budget for Japan's Self-Defense Forces.

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NHK looks at the year end international news conference of president Putin with domestic and international journalists. In his remarks Putin pointed to a continuation of the war in Ukraine. A call in show was part of the conference. Putin seeks reelection in March 2024.

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Washington Post Editorial Board on how to bring down oil prices  during Iran War, including repealing Jones Act. The Jones Act says that only US ships can transport oil between US ports. France is sending warships to help escort tankers in the Persian Gulf. US has plans to do this to escort tankers. US can provide 24/7 drone coverage in the Persian Gulf to eliminate waterborne threats says the Post. The Post says it is in the French interest for oil trade to resume, and in America's interest.

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Prices of gasoline expected to peak at about $4.31 a gallon, while its much higher for diesel that powers trucks on the road at $5.80 in April 2026, according to Energy Information Administration. Diesel is produced mostly in Persian Gulf as the oil in the US is mostly suited for making gasoline and Gulf oil better suited for making diesel. Supplies were tight before Iran War already, while gasoline supplies are not tight. This is why diesel (and jet fuel) costs a lot more than gasoline in 2026.